Hanwha Securities: KT&G's Global Market Share Expected to Hit New High, Overseas Heated Tobacco Sales Projected to Grow 74%

Key points：

1. Hanwha Investment & Securities researcher, predicts that KT&G will achieve a historic high in global tobacco market share by 2025. 
2. Third-quarter sales are expected to reach 1.8007 trillion Korean won (approximately 1.27 billion US dollars), a 10% year-on-year increase. 
3. Hanwha forecasts that KT&G's overseas heated tobacco sales will increase by 74% year-on-year. 
4. Hanwha also predicts that the introduction of new equipment in the future will further improve the supply structure.

According to a report by Asiatoday on October 16, 2025, analyst from South Korea's Hanwha Investment & Securities predicts that KT&G, a South Korean tobacco company, will achieve a record high market share in the global tobacco market this year. 

Researcher Han Yoo-jung from Hanwha Investment & Securities stated, "Due to the expansion of market share and speculative demand before the Mid-Autumn Festival, domestic cigarette sales in South Korea are expected to increase." She added, "With the entry of new markets and the expansion of distribution channels, overseas cigarette sales continue to exceed domestic sales." 

For the overseas heated tobacco sector, the company predicts, "With the thorough resolution of equipment supply chain issues, sales are expected to significantly increase, with a 74% year-on-year growth." KT&G is expected to have third-quarter sales of 1.8007 trillion South Korean won (approximately $1.27 billion), a 10.0% increase compared to the previous year. It is estimated that operating profit during the same period will reach 457 billion South Korean won (approximately $320 million), surpassing market expectations of 433.3 billion South Korean won (approximately $310 million).

A researcher pointed out that KT&G's increasing repurchase rate in overseas markets and strengthened brand loyalty are factors contributing to its global market share advantage.

He added: "After Vietnam passed a law banning the production, distribution, transportation, and use of e-cigarettes and heated tobacco products, there was a disruption in equipment supply that lasted until the first half of this year. However, the shipment volume of existing devices has fully recovered since the third quarter, and the introduction of new devices in the future will also be gradually resolved.

Image credit: Asiatoday.