[Click eStock] "LabGenomics, US Clearlab Profit Growth in Q3 This Year"

NH Investment & Securities analyzed on the 27th that Labgenomics is expected to see profit growth from the U.S. company CleaLab starting in the third quarter of this year.

Labgenomics operates various genomic molecular diagnostic businesses, including prenatal defect testing, cancer gene testing, chromosomal abnormality testing, and personal genetic testing. Specifically, it is subdivided into PCR (Polymerase Chain Reaction), NGS (Next-Generation Sequencing), and PGS (Personal Genetic Testing).

Researcher Byung-guk Park of NH Investment & Securities explained, "COVID-19 sales disappeared as expected, and one-time operating expenses were significantly reflected in the fourth quarter," adding, "One-time costs such as subsidiary amortization after the management rights acquisition by Luha PE (Private Equity) and consulting fees for the CleaLab merger and acquisition were mostly reflected in the fourth quarter of last year."

The core growth driver, U.S.-based CleaLab, is expected to generate effects starting in the third quarter. The molecular diagnostic service products of QDX (QDX) are transitioning from existing IVD (In Vitro Diagnostic devices) to LDT (Laboratory Developed Tests), with a significant portion completed in the second quarter, which may lead to cost improvement effects in the third quarter.

Researcher Park analyzed, "The advantage lies in having the largest hospital network, including over 3,000 domestic hospitals and more than 200 specialized obstetrics and gynecology hospitals," and added, "With the completion of the CleaLab acquisition, momentum for entering the U.S. market will accelerate."