[Click eStock] "Pharmaresearch Achieves Record High Performance Last Year... Growth Continues This Year"

[Asia Economy Reporter Hyunseok Yoo] KB Securities analyzed on the 27th that Pharmaresearch Product recorded its highest-ever performance last year and expects continued improvement this year. No investment opinion or target price was provided.

Pharmaresearch posted provisional sales of 89.3 billion KRW and operating profit of 19.1 billion KRW last year, representing increases of 30.4% and 118.9% respectively compared to the previous year. KB Securities analyst Kilsuk Lim said, "The sales growth was driven by recovery in pharmaceutical sales, high growth of the new product ‘Conjuran’, and licensing-out royalties from Reentox. Operating profit significantly increased compared to 2019 due to operating leverage from sales growth and reduced losses from the consolidated subsidiary Pharmaresearch Bio." He added, "Strong performance improvement is also expected in 2020."

KB Securities explained that Pharmaresearch Product’s growth drivers remain valid. He said, "The biggest strength lies in securing PDRN and PN manufacturing technology, substances that promote self-regeneration, enabling expansion of a diverse product lineup. Significant growth is expected from Reentox (botulinum toxin) and Conjuran, which received export approval last February and is scheduled for full-scale exports to China, Southeast Asia, the Middle East, and South America."

He continued, "Conjuran is a PN-based intra-articular injection that helps relieve pain and improve function in osteoarthritis patients, with a decision on insurance reimbursement expected between March and April. Once designated as a reimbursable item, full-scale sales expansion is anticipated. The global launch of the cosmetic product ‘Rejuran Healer’ is expected to drive substantial growth, along with the planned release of new products such as joint health functional foods and HA (hyaluronic acid) fillers in the second half of the year, positively expanding the product portfolio. Confidence in the company’s performance is increasing."