[Click eStock] "BioPlus, Record-Breaking Q4 Performance"

Hanyang Securities stated on the 14th that BioPlus recorded its highest-ever performance in the fourth quarter of last year and expects operating profit to increase by more than 100% this year as well.

BioPlus's consolidated results for the fourth quarter of last year showed sales of 29.1 billion KRW, an 80.0% increase compared to the same period last year, and operating profit of 13.5 billion KRW, up 114.5%. The operating profit margin remained high at 46.3%. Regarding this, Lee Jun-seok, a researcher at Hanyang Securities, analyzed, "This is interpreted as the effect of the distribution structure reorganization in the first half being fully reflected, and it is judged that the increase in exports to Brazil particularly drove the performance growth."

This performance exceeded the previous quarterly record sales of 18.9 billion KRW by about 10 billion KRW, setting a new record. The main factors for the improved profit margin include an increase in direct export volume and maximization of operating leverage effects in a situation where fixed cost increases were limited. However, due to derivative product valuation losses caused by the recent stock price rise, net income for the period was 4.7 billion KRW, a 34% decrease compared to the previous year. Nevertheless, the researcher stated, "Excluding these losses, the adjusted net income is 12.1 billion KRW, indicating that the core business profitability remains solid."

BioPlus plans to strengthen its mid- to long-term growth potential through stable core business growth and new business expansion in 2025. Overcoming a difficult management environment in the first half of last year, the company has grown to record monthly sales of 8 to 9 billion KRW on a consolidated basis.

Additionally, the expansion of the new factory in Eumseong, Chungbuk, is expected to be completed within the first quarter and to begin full-scale operation from the third quarter. As this is a large-scale project worth 150 billion KRW, significant growth momentum is also anticipated.

The researcher analyzed, "This year's expected performance is sales of 109.9 billion KRW, a 65.5% increase from the previous year, and operating profit of 48.4 billion KRW, a 107.6% growth. Given the high export ratio, the exchange rate effect is also likely to have a positive impact."

Furthermore, BioPlus has developed a skin booster called ‘Bonyx’ as a new business, and full-scale sales are expected to begin this year. ‘Bonyx’ is a drug injected into the skin and has a concept similar to ‘Rejuran,’ which is widely known in the domestic market. The researcher explained, "The company plans to target the initial market based on price competitiveness, and through this, it is expected to increase the growth potential of the new business sector."

He also analyzed, "The body filler market is attracting attention as a complementary product for side effects of excessive weight loss caused by obesity treatments," adding, "The basic volume of body fillers is about 20 times that of facial fillers, so market expansion is expected."