Humedics Reports 26.4 Billion KRW in 3Q Sales and 3.1 Billion KRW Operating Profit

Humedics logo (Photo by Humedics)

[Asia Economy Reporter Chunhee Lee] HuMedics announced in its quarterly report that it recorded sales of 26.3966 billion KRW and operating profit of 3.14586 billion KRW on a consolidated basis for the third quarter. Compared to the same period last year, sales increased by 18%, while operating profit decreased by 12%.

A HuMedics official explained the decrease in operating profit in the third quarter as "due to increased costs to secure future growth momentum." This includes depreciation expenses from expanded facility investments in the second plant for the Sputnik V vaccine contract manufacturing (CMO) business and the eye drop CMO business, new personnel recruitment, and increased R&D costs due to pipeline expansion, which are part of the strategic business development.

In terms of sales, the aesthetic and eye drop businesses drove overall sales growth. Supported by the recovery of domestic and international economies and the resumption of sales and marketing activities, sales growth was notable in the aesthetic business, including fillers and botulinum toxin, and performance was supported by increased orders for disposable eye drops.

Jinhwan Kim, CEO of HuMedics, stated, "Despite changes in the profit structure due to increased costs for securing new growth engines and changes in subsidiary businesses in the third quarter, we achieved stable external growth. We are making multifaceted efforts across product development, sales, and distribution, and we expect to continue the upward trend in the fourth quarter."

Subsidiary Huons Medical recorded sales of 4.1 billion KRW in the third quarter, down 20.4% compared to the same period last year. A Huons Medical official explained, "The temporary reflection of decreased sales from the discontinued COVID-19 diagnostic kit business, which was ended to focus on the medical device business," and added that excluding diagnostic kit performance, sales increased by 37.5% compared to the same period last year.