Sales down 0.1% YoY
Operating profit decreased by 9.4%
Acquired Panama in vitro diagnostic device distributor for 11.4 billion KRW
Year-end dividend of 290 KRW per share decided
[Asia Economy Reporter Myunghwan Lee] SD Biosensor, a company specializing in in vitro diagnostics, announced on the 20th that its consolidated sales for last year amounted to KRW 2.93 trillion, a 0.1% decrease compared to the previous year.
During the same period, operating profit decreased by 9.4% to KRW 1.26 trillion, and net profit declined by 8.8% to KRW 990 billion.
An SD Biosensor representative explained, "Considering that the COVID-19 pandemic shifted to an endemic (periodic infectious disease outbreak) from the second half of 2022, we achieved excellent results approaching KRW 3 trillion for two consecutive years."
Regarding the decrease in operating profit, the representative stated, "In the fourth quarter, operating profit temporarily declined due to foreign currency valuation losses on foreign currency holdings caused by the drop in the KRW-USD exchange rate compared to the previous quarter and advisory fees incurred from the merger and acquisition (M&A) of Meridian Bioscience in the U.S. However, we maintained strong performance thanks to large orders in the U.S., Taiwan, and Japan, the successful market entry of the 'STANDARD M10,' and diversified sales across various regions compared to 2021."
SD Biosensor also announced the acquisition of a distributor based in Panama on the same day. The company disclosed on the 20th that it decided to acquire 'Miraero,' an in vitro diagnostics distributor located in Panama, for KRW 11.4 billion.
Miraero, established in Panama in 2004, is a distributor and seller of in vitro diagnostic devices that supplies SD Biosensor’s rapid diagnostic products throughout Central America and Caribbean countries. Through this acquisition, SD Biosensor has secured direct sales systems in North America (Meridian Bioscience), Central America, and South America (Eco Diagnostica), respectively.
The in vitro diagnostics market size in Central America and the Caribbean currently stands at USD 429 million (approximately KRW 550 billion) and is expected to grow to USD 464 million (approximately KRW 602 billion) by 2027. SD Biosensor explained that Panama, in particular, is projected to experience an annual growth rate of 10% until 2027.
A company representative stated, "Through this acquisition, starting with respiratory disease diagnostic products, we plan to actively expand our market share in Central America and the Caribbean by supplying diagnostic products specialized for local diseases such as human papillomavirus (HPV), dengue fever, and diabetes. We will continue to establish additional direct sales systems to become a global in vitro diagnostics company."
Additionally, SD Biosensor announced on the same day that it decided on a year-end cash dividend of KRW 290 per common share. The total dividend amount is approximately KRW 29.7 billion, with a dividend yield of 0.9%. Including the interim dividend of KRW 70.8 billion paid last August, the total annual dividend is expected to reach KRW 100.5 billion. The dividend payment date will be within one month from the resolution date of the shareholders' meeting, which is scheduled to be held next month to finalize the dividend and other agenda items.
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