HLB Pharm Achieves Cumulative 3Q Sales of 100 Billion Won... "First Ever"

HLB Pharmaceutical announced on the 15th that its cumulative sales for the third quarter of this year have surpassed 100 billion KRW for the first time since its establishment.

HLB Pharmaceutical logo. [Image provided by HLB Pharmaceutical]

HLB Pharmaceutical's cumulative sales for the third quarter of this year amount to 102.2 billion KRW. This figure is close to last year's total sales of 107.5 billion KRW, and HLB Pharmaceutical explained that it is expected to achieve record-high sales again this year following last year. The company's compound annual growth rate (CAGR) has exceeded 50% for five consecutive years.

Sales growth was driven by the prescription drug (ETC) sector. HLB Pharmaceutical launched 18 new products this year. With successful bioequivalence (BE) tests, product competitiveness has been strengthened, and HLB Pharmaceutical explained that future sales growth in the pharmaceutical sector will accelerate. The scale of CMO (contract manufacturing organization) at the Hyangnam plant has also steadily increased, surpassing 10 billion KRW for the first time.

Launching the joint-specialized brand 'Kwanchel' in April this year to diversify sales channels also proved effective. Since the launch of Kwanchel, HLB Pharmaceutical's brand awareness has rapidly increased, contributing to the overall business performance of the company, according to the company. Due to the nature of business-to-consumer (B2C) products, initial advertising costs increased, temporarily widening the deficit compared to the previous year, but with the large-scale prepayment of marketing expenses completed, the company expects a significant improvement in operating losses from the fourth quarter onward.

Meanwhile, HLB Pharmaceutical participated in BioEurope 2023 held in Germany for three days starting from the 6th, promoting the technology of its long-acting injectable drug (SMEB) that improves patient convenience and safety compared to existing treatments to numerous global pharmaceutical companies. The company is currently discussing various forms of cooperation, including technology licensing out, with multiple companies.

Park Jae-hyung, CEO of HLB Pharmaceutical, said, "This year, we have continued rapid and balanced growth across all business divisions including prescription drugs, new drug development, and consumer healthcare, enhancing our growth potential as a comprehensive pharmaceutical and bio company." He added, "Based on the significantly increased brand value of the company, the steep growth of existing prescription drugs and the potential for technology licensing of long-acting injectable drugs are also increasing, so we expect to achieve solid internal management in addition to external growth."