Cuckoo To Set Up Factory In Selangor After Earning Over RM200 Million In M'sia Last Year
2017 was a successful year for the South Korean brand.
By John Lim — 16 Mar 2018, 05:52 PM
It's safe to say that Cuckoo Malaysia had a really, REALLY good 2017
The South Korean home appliance brand's Malaysian arm reached many milestones last year, with growth and acceleration across different segments of the business.
As a way of celebrating its achievements, Cuckoo Malaysia invited members of the media, including SAYS, to South Korea for a week-long trip where the company showcased its state-of-the-art factories, revealed ambitious expansion plans into the SEA markets, and the proposal of a RM100 million factory in Malaysia.
The company first entered the Malaysian market back in December 2014, under the stewardship of KC Hoe. And it has boasted nothing but achievement after achievement.
While Cuckoo is not the first South Korean home appliance brand to enter the Malaysian market, its fast growth and impressive total revenue of RM10 million in 2015 was a testament that this company had great potential here.
Cuckoo's catalogue of products includes multi-functional electric pressure cooker, electric rice cooker, water purifier, air treatment, induction range, and cookware.
But its most impressive result thus far came last year when the company recorded a solid three-digit revenue growth
The company exceeded last year's sales target by a staggering 106% which translate into 190% growth in sales when compared to 2016.
All that sums up to a total revenue of more than RM200 million in 2017.
The flamboyant KC Hoe was brimming with pride when he made the announcement at Cuckoo's 40th Anniversary celebration dinner in Seoul Dragon City, South Korea.
"Such extraordinary results are only attainable thanks to the efforts of my highly supportive team, who shares my belief in our vision," he said.
However, Cuckoo won't be resting on its laurels anytime soon despite such a stellar year in Malaysia. 2018 will see the company set foot in Vietnam, India, and Indonesia.
Since 2016, Cuckoo has appointed its Malaysian division to spearhead brand penetration into the SEA markets like Singapore and Brunei.
Brian Koo, CEO of Cuckoo Korea, revealed at the 40th Anniversary celebration that the company will be upping their expansion efforts in 2018.
"Our sights are set on expanding the Cuckoo brand to Vietnam, India, and Indonesia in 2018. We estimate that our export revenue will bring in an annual revenue of USD150 million in 2018. For the next five years, we estimate an annual export revenue of USD1 billion," Koo said.
Expansion plans will happen in Malaysia as well, in the form of a RM100 million factory
The expansion of the company's manufacturing efforts to Port Klang, Selangor, will bridge the demand gap due to Southeast Asia's rapid growth with its huge potential market.
"We’re checking out properties and carrying out a feasibility study," Koo added.
Cuckoo currently has two factories in its home country of South Korea – one in Yangsan and the other in Siheung.