Huons announced on the 6th that it achieved its highest quarterly revenue ever in the second quarter of this year, and its operating profit increased by 40.3% compared to the same period last year, recording favorable results.
According to preliminary consolidated financial statements reported by Huons, the revenue for the second quarter of this year was recorded at 156 billion won, up 4.7% from the same period last year. This is the highest quarterly revenue for the company.
The operating profit for the second quarter was 13.1 billion won, an increase of 40.3% compared to the same period last year, while net profit was 11.8 billion won, up 46.5% from the same period last year. The ordinary research and development expenses for the second quarter amounted to 9.8 billion won, a 9.8% increase compared to the same period last year.
Song Soo-young, CEO of Huons, said, "We recorded the largest quarterly results thanks to the stable growth of existing businesses and the growth of our subsidiaries."
Looking at the sales by division, the revenue from the prescription drug business in the second quarter increased by 3.9% from the same period last year, totaling 69.1 billion won. In particular, exports of injectable drugs to North America amounted to 5.4 billion won, a 51% increase compared to the same period last year.
However, the revenue from the beauty and wellness business in the second quarter dropped by 13.3% to 42.2 billion won. The company noted, "Since May of last year, the performance of the health functional food sector has been transferred to HuonsEN."
The revenue from the contract manufacturing organization (CMO) business was recorded at 20.8 billion won, an increase of 7.4%. This is attributed to the contract sales of eye drops and pharmaceuticals due to the operation of the eye drop line at the second factory.
HuonsEN, a subsidiary specializing in health functional foods that completed its partitioning merger procedure in May, and Huons Life Sciences, a manufacturer and seller of finished pharmaceuticals, both turned to profit. PanGen Biotech, acquired at the end of last year, was incorporated as a consolidated subsidiary from June this year.
Huons received approval from the U.S. Food and Drug Administration (FDA) for its "1% lidocaine injection multi-dose vial" and "2% lidocaine injection multi-dose vial". It plans to expand its export items to the U.S. by promoting the new registration of dental local anesthetics.
Huons intends to achieve both revenue growth and profitability improvement in the second half of the year through the new injection line at its second factory, which is set to become operational in the third quarter. CEO Song Soo-young said, "Having completed the partitioning merger of the health functional food business, as the new production facilities start full operations in the second half, we will secure steady growth in size and profitability simultaneously."
Meanwhile, Huons decided to distribute a cash dividend of 150 won per share during the board meeting held on this day, setting the dividend record date for the 21st.