Seoul: Celltrion Inc., a leading South Korean biopharmaceutical company, announced a significant increase in its fourth-quarter net profit, driven by strong sales of biosimilar drugs and a strategic merger with its healthcare affiliate. For the quarter ending December 31, the company's net profit soared to 235.6 billion won (US$164.7 million), a substantial rise from 453 million won in the same period of the previous year, as reported in a regulatory filing.
According to Yonhap News Agency, the company's impressive financial performance was bolstered by a surge in sales of its biosimilar products, including Remsima, Truxima, and Herzuma, in developed markets. Additionally, cost reductions following the late 2023 merger with Celltrion Healthcare contributed to the robust results. Remsima is utilized in the treatment of Crohn's disease and other autoimmune disorders, while Truxima and Herzuma are employed in anti-cancer therapies.
Celltrion's operating profit experienced a dramatic increase, rising over tenfold to 196.4 billion won in the fourth quarter, compared to 18.4 billion won from the previous year. Sales nearly tripled, reaching 1.06 trillion won, up from 382.6 billion won during the same period.
Despite the fourth-quarter success, Celltrion's net income for the full year of 2024 declined by 22 percent to 418.9 billion won from 539.7 billion won in the previous year. The annual net income was impacted by increased marketing expenses for new biosimilar products and one-off costs associated with the operation of its third domestic plant, which commenced in December.
The company's full-year operating profit decreased by 24 percent year-on-year to 492 billion won, while sales rose by 63 percent to 3.56 trillion won. Looking ahead, Celltrion is committed to expanding its portfolio and plans to commercialize 22 biosimilar products by 2030, up from the current 11, in a bid to sustain its growth trajectory.