Onconic Therapeutics said in a filing on the 30th that its operating profit in the third quarter turned to black on a preliminary basis, jumping 453.8% from a year earlier to 8.3 billion won. Revenue for the same period rose 867% to 19.2 billion won, marking the largest quarterly result on record.
The latest performance increase reflects 12.3 billion won in domestic revenue from steady prescription growth of the domestic 37th new drug for gastroesophageal reflux disease, "Ja Q Bo tablet," and about 6.9 billion won in technology transfer revenue received from Chinese partner Livzon Pharmaceutical Group, both booked in the quarter.
Ja Q Bo tablet is a new drug in the potassium-competitive acid blocker (P-CAB) class that was launched in Korea in Oct. last year, and its cumulative prescription amount surpassed 34.5 billion won as of the end of Sep. This June, it additionally secured an indication for gastric ulcer treatment, and further expansion of target indications and the launch of an orally disintegrating tablet (ODT) formulation are anticipated.
Onconic Therapeutics raised its annual revenue outlook in Apr. this year to 24.9 billion won from 16.2 billion won, but has already far exceeded the target with 37.8 billion won in cumulative revenue through the third quarter alone.
The company raised its annual revenue forecast in Apr. this year to 24.9 billion won from 16.2 billion won, but already beat the target with 37.8 billion won in revenue on a cumulative basis through the third quarter.
Overseas revenue included technology transfer revenue from Livzon. This was driven by completion of phase 3 clinical trials in China for Ja Q Bo tablet and the subsequent marketing authorization application, raising expectations for commercialization in China, the world's largest gastroesophageal reflux disease market.
An Onconic Therapeutics official said, "Starting with the Chinese market, known to be worth 6 trillion won, Ja Q Bo tablet is expanding its global reach by signing technology transfer and distribution agreements with 26 countries," and added, "As overseas approvals and launches get into full swing, the revenue structure will become more diversified."
The company is reinvesting revenue from Ja Q Bo tablet into next-generation anticancer new drug research and development (R&D). It is currently focusing on expanding a phase 2 trial of the next-generation synthetic lethality dual-target anticancer new drug candidate "Nesuparib," and recently received approval from the Ministry of Food and Drug Safety for a phase 2 pancreatic cancer trial plan. In the second half, it will enter phase 2 trials for four cancer types and develop Nesuparib as a pan-tumor treatment.
An Onconic Therapeutics official said, "By maintaining operating profit in the black while simultaneously advancing clinical development across multiple new drug pipelines, we have proven the distinctiveness of our 'profit-making bio' model that generates revenue with our own new drugs," and emphasized, "We will not rest on today's achievements and will devote ourselves even more to new drug research and development to become Korea's Gilead."