PharmGen Science Surpasses Last Year's Annual Sales with Q3 Cumulative Revenue
Donggu BioPharm Approaches 200 Billion Won Club
Allico Pharma Expands Global Market Strategy
[Asia Economy Reporter Lee Gwan-joo] Small and medium-sized pharmaceutical companies with annual sales in the 100 billion KRW range are achieving remarkable growth and aiming for record-breaking performance. As they diversify their businesses and expand globally this year, attention is focused on whether they can finish strong.
According to the pharmaceutical industry on the 1st, PharmGen Science recorded cumulative consolidated sales of 112 billion KRW in the first to third quarters of this year, surpassing last year's annual sales of 109.9 billion KRW. Operating profit showed a sharp increase, rising 196% year-on-year to 5.6 billion KRW, and net profit soared 273% to 71.3 billion KRW.
The growth of PharmGen Science is attributed to business diversification. Balanced growth continued across three sectors: prescription drugs (ETC), contract manufacturing (CMO), and healthcare (health functional foods). The main ETC cardiovascular drugs posted sales of 24.8 billion KRW, a 24% increase from last year, while gastrointestinal and respiratory drugs recorded 13 billion KRW and 10.9 billion KRW respectively. Additionally, the strong performance of Access Bio, a diagnostic device company in which PharmGen Science is the largest shareholder, led to a sharp increase in net profit due to equity method gains. Access Bio’s cumulative sales for the first three quarters reached 983.8 billion KRW, with operating profit at 470.2 billion KRW.
PharmGen Science expects to achieve not only its sales target of 140 billion KRW this year but also sales in the range of 150 to 160 billion KRW. Not content with external growth, the company is accelerating talent management and research and development to secure future growth engines, suggesting that its growth momentum will continue to expand. In the first half of this year, PharmGen Science paid bonuses to all employees following strong performance, expanded new research facilities, and consolidated dispersed R&D personnel and equipment to open the Dongtan Campus Global Research Center in September. A PharmGen Science official said, “Fourth-quarter results are generally higher than those of the first to third quarters. We will strive to become known as the ‘fastest-growing healthcare company’ with results exceeding expectations.”
Dongkoo Bio & Pharma is also expecting record performance this year. Its cumulative sales for the first to third quarters reached 146.9 billion KRW, approaching last year’s total sales of 155.1 billion KRW. Operating profit was 14.6 billion KRW, and net profit was 6.5 billion KRW. Strengthening business competitiveness centered on key areas such as ETC and CMO was effective. Dermatology, which has maintained the top prescription ranking for many years, the rising urology sector, and recently focused internal medicine and otolaryngology drug segments drove strong results. In addition, competitiveness was enhanced through advanced production facilities, and overseas sales are also expanding.
Efforts to secure growth engines are also accelerating. Distribution and sales of a combination drug for premature ejaculation and erectile dysfunction, developed in partnership with CTC Bio, are forthcoming. The phase 3 clinical trial is in its final stage, and once the clinical trial report is received from the CRO (Contract Research Organization), the company plans to apply for product approval from the Ministry of Food and Drug Safety.
Aliko Pharmaceutical is also expected to surpass last year’s sales of 140.1 billion KRW. Its cumulative sales for the first to third quarters were 123.6 billion KRW, a 23% increase compared to the same period last year. Balanced sales growth of core ETC products and expansion of global business drove strong performance. In August, the company signed export contracts worth a total of 6 million USD with companies in Thailand and the Philippines, and in October, it signed an export contract for topical anesthetic products with an Indonesian pharmaceutical company. Earlier in March, it also signed a direct export contract with an Iraqi pharmaceutical supply specialist, diversifying its export markets. An Aliko Pharmaceutical official said, “Through continuous export contracts, we are strengthening our position in the global market. Along with rapid growth in new businesses such as medical devices, we expect this year’s performance to improve compared to last year.”
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