Daewoong showed improved performance both sales and earnings in Q1

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May 07, 2021, 09:00 ET

OP. income exceeded 20 billion won due to successful export of Fexuprazan and sales recovery
Nabota(botulinum toxin) revenue soared after settlement, historical high performance in March
Turnaround in earnings just started and will continue to 2H

SEOUL, South Korea, May 7, 2021 /PRNewswire/ -- Daewoong Pharmaceutical(CEO Sengho Jeon) announced its management performance (based on consolidation) in Q1 of 2021. Its sales and operating profit were 269.6 billion and 26.6 billion KRW. It rose 4.7 percent and 305 percent yoy, respectively. Operating profit surpassed 20 billion won in eight years as ETC and OTC drugs maintained solid sales plus upfront from Fexuprazan to China and decreased legal cost as ITC lawsuits were settled.

The ETC division revenue grew 11.7 percent yoy(from 162.1 billion won to 181 billion won). Sales of products such as Ursa(prescription drug), Luphere Depot, and Crezet and introduced items such as Crestor, Forxiga, and Lixiana have increased. The OTC division showed stable results(from 26.1 billion KRW to 26.4 billion KRW). Impactamin(vitamin B complex) series and liver function-enhancing drug URSA(non prescription) continued stable sales.

Nabota's sales reached 15.4 billion won from 15.1 billion won Q1, 2020. Not only did domestic sales increase, but ITC's agreement on February 19 resolved uncertainties, resulted in surged U.S. sales, marking the historical high performance in March. Turkey and Chile, which recently acquired product licenses, are also planning to launch Nabota in Q3.

HanAll Biopharma, a major subsidiary, recorded 27.8 billion won this year from 22.1 billion won in sales in the same period last year, and its operating profit increased from 3 billion won to 5.4 billion won during the same period. Upfronts for new drug candidates, such as HL036(for dry eyes) and HL161(for autoimmune diseases) contributed to make better performance.

"We have been showing sluggish performance by many non business factors, but our performance defintely begun to improve from Q1. In particular, Nabota's scalability in U.S. is just opening and it is expected to stand out in Europe, China and other markets." said from an insider. "Foistar Tab and DWRX2003(Niclosamide) for COVID19 treatmenmt and new drugs such as Fexuprazan and Enavogliflozin, are also considered to have great market potential" he said.

Meanwhile, Daewoong Co., a holding company of Daewoong Pharma., also announced its Q1 performance(based on consolidation). Its sales grew 6.2 percent year-on-year to 348.5 billion won and operating profit rose 78.7 percent to 44.3 billion won.

About Daewoong Pharma. Co., Ltd.

Daewoong Pharma. is a global healthcare corporation founded in 1945 with the belief to 'create good medicine to protect the health of the people and create a healthy society.' Major business areas are hospital prescription drug (ETC) sector, over-the-counter medicine (OTC) sector, exportation of finished products and raw material medicine sector, and consignment production sector. Daewoong continues to invest more than 10% of its sales in R&D every year, focusing on developing gastrointestinal(GI), endocrine, orphan and stemcell based therapeutics.

For further information, please contact:

Daewoong IR team ([email protected]) or
HanAll IR team ([email protected] )

Forward-looking Statements

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outlook and related plans; the therapeutic potential of its product candidates; the intended results of its strategy and the company, and its collaboration partners', advancement of, and anticipated clinical development, data readouts and regulatory milestones and plans, including the timing of planned clinical trials and expected data readouts; the design of future clinical trials and the timing and outcome of regulatory filings and regulatory approvals. By their nature, forward-looking statements involve risks and uncertainties and readers are cautioned that any such forward-looking statements are not guarantees of future performance. The company's actual results may differ materially from those predicted by the forward-looking statements as a result of various important factors, including the effects of the COVID-19 pandemic, our expectations regarding its the inherent uncertainties associated with competitive developments, preclinical and clinical trial and product development activities and regulatory approval requirements; our reliance on collaborations with third parties; estimating the commercial potential of our product candidates; our ability to obtain and maintain protection of intellectual property for its technologies and drugs; our limited operating history; and our ability to obtain additional funding for operations and to complete the development and commercialization of its product candidates. A further list and description of these risks, uncertainties and other risks can be found in Korea Stock Exchange(KRX) filings and reports, including in our most recent annual report as well as subsequent filings and reports filed by the company with the KRX. Given these uncertainties, the reader is advised not to place any undue reliance on such forward-looking statements. These forward-looking statements speak only as of the date of publication of this document. We undertake no obligation to publicly update or revise the information in this press release, including any forward-looking statements, except as may be required by Korean law and regulations.

SOURCE Daewoong Pharmaceutical Co., Ltd