Samsung Biologics Reports Second Quarter 2023 Financial Results
Recorded Q2’23 consolidated revenue of KRW 866.2 billion
Recorded Q2’23 consolidated operating profit of KRW 253.4 billion
Achieved record-high semi-annual revenue exceeding KRW 1,587.1 billion
Strong growth sustained with successful contract wins and full completion of Plant 4 set to drive Q3 revenue
Incheon, S. Korea, July 26, 2023 – Samsung Biologics (KRX: 207940.KS), the world’s leading contract development and manufacturing organization (CDMO), today announced financial results for the second quarter of fiscal year 2023.
“Our consistent delivery of quality service and operational excellence, coupled with our expanded strategic partnerships with top global pharmaceutical companies, have been pivotal in driving stable revenue growth in the second quarter,” said John Rim, CEO and President of Samsung Biologics. “With the full completion of Bio Campus I offering 604,000 liters of capacity and our Bio Campus II expansion with Plant 5 on track to come on line by April 2025, we are well-positioned to meet the growing demands of the market.”
SECOND QUARTER 2023 RESULTS
Samsung Biologics demonstrated improved profitability in both the second quarter and the first half of the year. The full utilization of Plants 1 through 3 and expanded partnerships with major pharmaceutical companies played a key role in delivering solid results.
In the second quarter of 2023, the company achieved a consolidated revenue of KRW 866.2 billion, marking a 33.0% increase compared to KRW 651.4 billion in the second quarter of the previous year. Operating profit reached KRW 253.4 billion, 49.4% higher than the prior-year period. Net profit for the second quarter of 2023 was KRW 184.9 billion, with an EBITDA of KRW 362.1 billion.
The first half of 2023 saw a consolidated revenue of KRW 1,587.1 billion and an operating profit of KRW 445.2 billion.
[Consolidated Earnings, KRW billion]
On a standalone basis, Samsung Biologics recorded KRW 637.2 billion in revenue in the second quarter 2023. Operating profit reached KRW 254.1 billion, showing a substantial 47.8% growth compared to the same quarter of the previous year. The revenue generated from Plant 4 will be reflected in the third quarter results and is expected to enhance the company’s performance in the coming quarters.
FISCAL YEAR 2023 OUTLOOK
Building upon the recent completion of Bio Campus I, Samsung Biologics reaffirmed its commitment to meeting the increasing demand for high-quality biologics. The company unveiled its expansion plans, with the aim of commencing operations at its fifth plant by April 2025. As the first facility of Samsung Biologics’ second Bio Campus, Plant 5 is expected to have the shortest construction timeline, and once completed will add 180,000 liters of additional capacity.
The company also expanded a number of large scale manufacturing contracts with leading pharmaceutical companies including Roche, Pfizer, and Novartis, securing over KRW 2 trillion in sales backlog as of July, exceeding the cumulative sales backlog of the previous year.
Samsung Biologics also released its third annual ESG report, showcasing its ongoing efforts towards sustainable practices and environmental stewardship. The company has made significant progress in reducing its carbon footprint and aims to achieve net zero GHG emissions in its operations, along with a transition to 100% renewable energy by 2050. The company remains dedicated to responsible business practices that generate long-term value for stakeholders and the communities it serves.
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, end-to-end CDMO service provider, offering seamless development and manufacturing solutions from cell line development to final aseptic fill/finish as well as laboratory testing support for the biopharmaceutical products we manufacture. In Bio Campus I, our state-of-the-art facilities are cGMP compliant with bioreactors ranging from small to large scales with a total 604KL capacity to serve varying client needs. In response to global biomanufacturing demands, Samsung Biologics announced plans to expand its footprint to Bio Campus II with the construction of Plant 5, which will be operational in April 2025. Additionally, Samsung Biologics America enables the company to work in closer proximity to clients based in the U.S. and Europe. We continue to upgrade our capabilities to accommodate our clients by investing in technologies such as an antibody-drug conjugate (ADC) facility, a dedicated mRNA manufacturing facility, and additional aseptic filling capacity. As a sustainable CDMO partner of choice, we are committed to on-time, in-full delivery of the products we manufacture with our flexible manufacturing solutions, operational excellence, and proven expertise.
Samsung Biologics Contact:
Head of Marketing Communication