Samsung Biologics Reports First Quarter 2023 Financial Results

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Apr 24, 2023, 02:51 ET

Recorded Q1'23 consolidated revenue of KRW 720.9 billion.
Recorded Q1'23 consolidated operating profit of KRW 191.7 billion.
Expected to maintain a strong growth trajectory with the full utilization of existing and newly expanded capacities.

INCHEON, South Korea, April 24, 2023 /PRNewswire/ -- Samsung Biologics (KRX: 207940.KS), the world's leading contract development and manufacturing organization (CDMO), today announced financial results for the first quarter of fiscal year 2023.

"Enabled by the groundwork we have laid with our strategic capacity expansion plans, our first quarter results demonstrate stable revenue growth as we continue to drive strong operational excellence and business agility with full utilization of Plants 1, 2, and 3," said John Rim, CEO and President of Samsung Biologics. "With continued partnership expansion with global pharma, we are focused on achieving sustainable growth and securing more robust capacity with Plant 4 set to be fully operational by June and the groundbreaking of Plant 5 to occur later this year. We will continue to anticipate client needs and execute on opportunities to meet the increasing market demand for biomanufacturing capacity."

FIRST QUARTER 2023 RESULTS

For the first quarter 2023, Samsung Biologics recorded a consolidated revenue of KRW 720.9 billion and an operating profit of KRW 191.7 billion.

First quarter 2023 net profit reached KRW 141.8 billion, a slight decrease from KRW 146.9 billion in the first quarter a year ago due to the elimination of intercompany transactions and PPA amortization after the inclusion of Samsung Bioepis.

On a standalone basis, Samsung Biologics reported KRW 591.0 billion in revenue in the first quarter 2023, attributable to new and extended manufacturing deals. Operating profit posted KRW 234.4 billion, an increase of KRW 58.4 billion from the prior-year period, as a result of maximized operational efficiency amid full utilization of Plants 1, 2 and 3. Samsung Biologics has achieved a continuous revenue increase for 13 consecutive quarters.

[Consolidated Earnings, KRW billion]

	Q1'23	Q1'22	YoY Change
Revenue	720.9	511.3	+209.6
Operating Profit	191.7	176.4	+15.3
Net Profit	141.8	146.9	-5.1
EBITDA	292.4	218.7	+73.7

FISCAL YEAR 2023 OUTLOOK

Samsung Biologics plans to commence construction of its fifth plant later this year in response to increased market demand. Upon full completion of the fifth plant in 2025, the company will maintain its global biomanufacturing capacity leadership with a total of 784,000 liters.

Continuous strategic investment in antibody-drug conjugates (ADCs) business will be another driver of the company's growth. Samsung Biologics announced its plan to invest in building an ADC facility within 2024 at this year's J.P. Morgan Healthcare Conference. The company also invested in Araris Biotech AG through the Samsung Life Science Fund, jointly created with Samsung C&T, to support future advancement of ADC therapies and technology.

Samsung Biologics looks to continue momentum with strengthened partnerships worldwide. Further seeking to expand the company's U.S. presence, Samsung Biologics opened a regional office in New Jersey in March. The new office will enable the company to provide support for clients with greater proximity and agility.

Samsung Biologics will remain focused on engaging in sustainable practices by investing in eco-friendly technology throughout its new manufacturing site. Samsung Biologics is also committed to achieving net zero GHG emissions in its operations, moving towards 100% renewable energy by 2050.

During the first quarter, the company was recognized by the Carbon Disclosure Project (CDP) for its committed actions and transparent disclosures on climate change. Samsung Biologics was awarded the Sustainable Market Initiative's Terra Carta Seal in recognition of its commitment to creating sustainable future.

For more details on performance and financials, please refer to the Earnings Release.

About Samsung Biologics Co., Ltd.

Samsung Biologics (KRX: 207940.KS) is a fully integrated contract service provider offering development, manufacturing, and testing services, all from a single location. We provide highly tailored solutions to clients, while meeting the evolving needs of the global healthcare industry. With proven regulatory approvals, Samsung Biologics is a trusted CDMO partner of choice and is uniquely able to provide seamless offerings from cell line development to final fill/finish as well as laboratory testing services at every stage for biopharmaceutical products.

To maximize our operational efficiency and expand capabilities in response to growing biomanufacturing demands, Samsung Biologics has launched Plant 4, which will further advance the company's standing as the world's largest manufacturing facility at a single site — holding a 604KL total capacity upon full completion in June 2023 — and announced plans to construct Plant 5, which will be operational in 2025. Our facilities are all cGMP compliant with bioreactors ranging from small to large scales. We continue to upgrade our capabilities to accommodate our clients by investing in single-use technology and additional aseptic filling capacity.

To further expand our global presence, Samsung Biologics opened an R&D Center in South San Francisco, which has been operational since October 2020. We are committed to on-time, in-full delivery of the products we manufacture with our flexible manufacturing solutions, operational excellence, and proven expertise. For more information, visit samsungbiologics.com.

Samsung Biologics Contact:
Claire Kim
Senior Director, Head of Marketing and Global Communications
[email protected]

SOURCE Samsung Biologics