Ostem Implant Decides on 30 Billion KRW Treasury Stock Buyback... "Enhancing Shareholder Value"

[Asia Economy Reporter Jang Hyowon] Osstem Implant (CEO Eom Taegwan) announced on the 27th that it held an emergency board meeting and decided to repurchase its own shares worth 30 billion KRW. On the same day, the Korea Exchange Corporate Review Committee decided to resume trading of Osstem Implant's shares.

Eom Taegwan, CEO of Osstem Implant, stated, "Following the Corporate Review Committee's decision to resume stock trading, we decided to repurchase our own shares worth 30 billion KRW to protect shareholders and enhance shareholder value. We will accelerate the realization of this year's business plan to surpass 1 trillion KRW in sales and reward our shareholders with high growth."

In fact, with the news of the resumption of stock trading and first-quarter earnings at an earnings surprise level, the realization of Osstem Implant's business plan is expected to accelerate further.

Osstem Implant announced on the 26th that its first-quarter sales this year reached 234.1 billion KRW, an increase of more than 36% compared to the same period last year. Operating profit also recorded 51.2 billion KRW, more than doubling compared to the same period last year. Sales were the highest ever for a first quarter, and operating profit surpassed 50 billion KRW for the first time in a quarter.

Osstem Implant's operating targets for this year are 1 trillion KRW in sales and 170 billion KRW in operating profit. To achieve this, the company is actively considering expanding global sales and mergers and acquisitions (M&A). Currently operating 30 overseas subsidiaries in 26 countries, Osstem Implant plans to establish five additional overseas subsidiaries this year, including in Spain.

Global production facilities will also be expanded. For the U.S. subsidiary, the Philadelphia production plant will be additionally expanded to have a production facility of 1,396 pyeong (approximately 4,610 square meters) in the second half of this year, increasing annual production by about 58% compared to the previous year. Once the expansion is completed, local sales activities and production efficiency of the U.S. subsidiary will improve, and the growth trend in the U.S. market is expected to become steeper.

Global M&A will also be pursued. In particular, Osstem Implant plans to actively consider M&A in areas that can create synergy with its core business, targeting global dental companies in Europe, South America, and other regions.

CEO Eom said, "Taking this embezzlement incident as an opportunity, we will strengthen the company's fundamentals and quickly realize our global business plans. We will lead efforts to enhance shareholder value by continuously exploring various shareholder-friendly policies, not only through this share repurchase but also through other initiatives."