Samsung Biologics Reports 64% Jump in FY19 Earnings, Sees Global Expansion in 2020
INCHEON, South Korea, Feb. 4, 2020 /PRNewswire/ -- Samsung Biologics, a pharmaceutical Contract Manufacturing Organization (CMO), recorded high for the fiscal year 2019, reporting 30.9% growth in sales at 701.6 billion won, and 64.6% growth in operating profit at 91.7 billion won compared to the previous year. The strong performance was driven by increased operations at all three manufacturing plants.
Debt to Equity improved with base effects from stock disposal gains with the exercise of Biogen call option in 2018. Cash flow from operating activities also turned profitable due to growth in augmented sales and operating performance. A significant growth was seen in the number of Contract Development (CDO) contracts signed in 2019, and the total number of Contract Manufacturing (CMO) contracts signed increased by 30%.
Since its launch in 2011, Samsung Biologics has been expanding its service offerings beyond CMO with state-of-the-art development, manufacturing, and laboratory testing services. The company has continued positive momentum and recently further reinforced its manufacturing capabilities in small scale manufacturing and aseptic filling.
"With a flawless regulatory approval record, the highest capacity, and the fastest throughput, Samsung Biologics continues to demonstrate strong growth as a world-class CMO. With our background in business excellence and our unwavering commitment to quality and healthcare, we are uniquely positioned to support the evolving needs in the development, manufacturing, and testing of biological products to the benefit of our clients, patients, and shareholders," Dr. Tae Han Kim, CEO of the company added.
Meanwhile, Samsung Biologics is exploring and planning on further investment options both at home in Songdo and globally. In addition to studying expanding manufacturing capacity in Korea, Samsung Biologics officially announced at a recent global conference its plans to open the company's first CDO R&D lab abroad in San Francisco this year to widen its sales footprint and improve client proximity. Samsung Biologics is reviewing further geographical expansion plans in other regions in the US, Europe, etc. that will work to bring even greater synergy through collaboration with the manufacturing site in the Songdo headquarters.
SOURCE Samsung Biologics