[Click eStock] "GC Wellbeing Begins Exports of 'Placenta Injection' to China... Target Price Raised"

On September 24, DS Investment & Securities raised its target price for GC Wellbeing to 18,000 won, which is 48% higher than the current share price. The company expects profitability to improve as the placenta injection product 'Laennec' begins exports to China.

Ahn Juwon, a researcher at DS Investment & Securities, stated, "Laennec has received sales approval from the Hainan Provincial Medical Products Administration in China," and projected, "It is expected to generate at least 10 billion won in sales in Hainan alone next year." He also analyzed, "The supply price has been set higher than the domestic sales price, which should further enhance profitability."

Ahn added, "Laennec is the first placenta injection product to be approved in China, and the first export shipment is scheduled to be sent in the fourth quarter. Through a local partner in China, the product will be supplied to about 50 hospitals, and supply contracts are also being pursued with local pharmaceutical companies."

He noted, "It is difficult to estimate the size of the placenta injection market in China, and there were previously no products with official approval. Therefore, distribution and marketing strategies will play a crucial role in expanding sales." He also expressed optimism, saying, "Since local partners and sales channels have already been secured, the burden of logistics and marketing costs will be low, which will have a positive impact on profitability."

He further emphasized, "Starting in the fourth quarter of this year, sales of fillers in China through Hualun Pharmaceutical will also increase in earnest, strengthening the performance momentum in China along with Laennec."