Nongshim Co., Ltd., facing a significant decline in profits and a nearly 40% drop in stock value, is seeking a turnaround with its new product, “Shin Ramyun Toomba (Toowoomba).”
Industry insiders are closely monitoring whether Shin Ramyun Toomba can match or even surpass the success of Samyang Foods Co., Ltd.’s popular ‘Buldak Bokkeum Myeon (Buldak Ramen).’ Meanwhile, some consumers have drawn comparisons between the flavors of Shin Ramyun Toomba and Samyang’s ‘Carbo Buldak Bokkeum Myeon,’ noting similarities.
On Nov. 20, Nongshim’s stock closed at 343,000 won ($244.92), up 0.73% from the previous trading day. However, this still marks a 40.3% plunge from its closing price of $410.58 on June 17. Earlier, on Nov. 15, the stock tumbled 10% to close at $232.76 after the company’s third-quarter earnings shock. During that day’s trading, it hit a record low of $226.34.
For the third quarter, Nongshim posted consolidated sales of $607.1 million and an operating profit of $26.8 million, representing year-on-year declines of 1% and 33%, respectively.
The operating profit fell significantly short of market expectations, which had been set at $37.7 million. The company attributed its underperformance to sluggish consumer demand in S. Korea and China, which dampened sales of both instant noodles and snacks. Rising costs in promotions, logistics, and labor also further squeezed profitability.
In response to these challenges, Nongshim is turning to Shin Ramyun Toomba, launched in September, to revive its fortunes. Domestically, combined sales of the product’s cup and packet versions have already exceeded 11 million units within two months of release.
Shin Ramyun Toomba was inspired by a popular “modisumer (Modify+Consumer)” trend, where consumers experiment with modifying products. This version of the iconic Shin Ramyun incorporates milk, cheese, shrimp, and bacon—flavors that mirror the creative combinations often used by fans.
