[Click eStock] "SK Bioscience, Better Performance Expected in Second Half"

[Asia Economy Reporter Ji Yeon-jin] Kiwoom Securities announced on the 2nd that following the confirmation of high growth in the first half of the year for SK Bioscience, even steeper performance growth is expected in the second half.

Ahn Jae-yong, CEO of SK Bioscience, is speaking at the ceremony celebrating the new listing of vaccine development and manufacturing company SK Bioscience on the KOSPI market, held on the 18th at the Korea Exchange in Yeouido, Seoul. Photo by Kim Hyun-min kimhyun81@

Heo Hye-min, a researcher at Kiwoom Securities, forecasted, "SK Bioscience's contract manufacturing organization (CMO) production is expected to reach 100 batches this year, with 30 batches produced in the first half and 60 to 70 batches planned for the second half, indicating a higher growth rate in performance in the latter half."

SK Bioscience's sales in the second quarter reached 144.6 billion KRW, a 277% increase compared to the previous year. Operating profit turned positive at 66.2 billion KRW. Although the company mentioned a slowdown in performance for the second quarter due to production schedule impacts such as regular maintenance during the first quarter earnings announcement, growth was observed compared to the previous quarter as well.

Additionally, the company is expected to announce Phase 1 data of its own vaccine and receive approval for Phase 3 clinical trials within this month. Future stock price variables include the lifting of a six-month lock-up period in mid-next month, submission of the Novavax vaccine approval application in the third quarter, success of its own vaccine next year, and the COVID-19 situation. If the 'booster shot,' which involves administering an additional vaccine dose after a certain period to enhance vaccine efficacy, is approved, demand for CMO is expected to increase further.