Daewoong's "Leaps and Bounds" Q3 Performance, Exceeds KRW 20B in Operating Income for Three Consecutive Quarters

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Nov 02, 2021, 09:00 ET

Advancement of Nabota and prescriptions... KRW 290.6B sales and KRW 22.7B operating income
Expanding growth momentum with the release of Fexuprazan in Korea and Nabota in Europe next year

SEOUL, South Korea, Nov. 2, 2021 /PRNewswire/ -- Daewoong Pharmaceutical (Daewoong) (CEO Sengho Jeon) announced its management performance (consolidated) for Q3 of 2021.

Sales recorded KRW 290.6 billion, which is up 5% YoY. Operating income and net profit recorded KRW 22.7 billion and KRW 12 billion, respectively, which is up nearly four times YoY. Comparing the cumulative operating income up to Q3, Daewoong saw an increase of 7.6 times YoY from KRW 8.3 billion to KRW 63.4 billion.

Daewoong made KRW 20 billion in operating income for three consecutive quarters, and is expected to reach close to KRW 90 billion this year. In Q3, ethical-the-counter (ETC) drug export reached near KRW 200 billion, again demonstrating Daewoong's status as the powerhouse of the ETC sector. Nabota also achieved sales of KRW 20 billion and expect steep growth. Over-the-counter (OTC) drugs also made achievements in the health functional foods business. Based on consolidation, Daewoong made records of KRW 265.1 billion in sales and KRW 23.9 billion in operating income.

ETC sales was KRW 174.9 billion in Q3 of the year before last, and KRW 188.9 billion in the same quarter last year. Sales in the ETC sector leaped again by 4.1% in Q3 of this year, making a record of KRW 196.7 billion. While maintaining overall substantial sales, Daewoong's products with high profitability, including Diabex, Crezet and Luphere, greatly extended and achieved high operating income. Cumulative sales in Q3 grew by 8% YoY.

Q3 sales of Nabota this year doubled YoY from KRW 11.3 billion to KRW 20.9 billion. Sales continued to show the usual trend of growth in the major sales channels (i.e. US and Korean markets), and saw high outcome in Brazil, Thailand and Mexico. Cumulative sales in Q3 grew by 85.7% YoY.

In the OTC sector, sales increased 3.3% reaching KRW 30 billion from KRW 29.1 billion in last year's Q3. Conventional OTC such as Ursa(OTC) and Impactamin has shown steady sales while sales in health functional food have increased.

Daewoong expects to further strengthen its growth momentum with next year's new drug releases. As Fexuprazan and Nabota have been recognized for their substantial operation value, they will be released in Korea and in European markets, respectively, next year. Technology for Fexuprazan has already been exported on a scale of KRW 1.1 trillion globally, and Nabota is the only botulinum toxin in Asia that has been approved by the US Food and Drug Administration (FDA), and plans to submit a Biologics License Application (BLA) in China within this year. Clinical trials for treatment indications in the US are also moving forward smoothly.

CEO Sengho Jeon at Daewoong said, "Continuous R&D innovation, investment, and sales expansion based on the four-phase strategy of marketing verification are leading to performance growth. We plan to continue to strengthen our growth momentum by releasing Nabota in Europe next year along with Fexuprazan in Korea which exceeded KRW 1 trillion in technology exports."

SOURCE Daewoong Pharmaceutical Co., Ltd