Chief Executive Lee Chang-jae of Daewoong Pharmaceutical said, "We will build a system that enables people to manage their health around the clock," adding, "We will invest more than 400 billion won this year to expand Digital Healthcare and research and development."
Lee spoke on the morning of the 26th at the regular shareholders meeting held at Daewoong Pharmaceutical's headquarters in Gangnam, Seoul. He said, "With the vision of 'from treatment to management,' we will make Digital Healthcare, combined with artificial intelligence (AI), a new business pillar." He added, "Think, which began with smart bed monitoring, has evolved into the All-New Think platform that integrates blood glucose, blood pressure, and AI voice recognition," noting, "It is transforming the medical boundary that used to operate only inside hospitals."
Digital Healthcare allows patients to manage their health remotely not only in the hospital but also after discharge. For example, the hospital can attach a wearable device to a patient to detect heart rate and respiratory rate and, when abnormal signs appear, send an alert to medical staff via Think to help prevent cardiac arrest. The company aims to make such management possible at home as well. Daewoong Pharmaceutical is targeting 300 billion won in Digital Healthcare revenue this year.
Lee said, "We plan to invest more than 400 billion won this year," adding, "Through new investments—nationwide expansion of the Digital Healthcare platform, expansion of research and development infrastructure such as the opening of the Magok C&D Center, development of next-generation pipelines (new drug candidates), and building a biosimilar (biosimilar) portfolio—we will lay the groundwork for the next stage of growth." The Magok C&D Center is a space where a variety of domestic and overseas corporations can collaborate on new drug research and development.
He said, "Competition with multinational pharmaceutical companies has intensified, and with exchange-rate volatility and drug policy issues, last year's business environment was not easy," adding, "We were able to grow by expanding new drugs overseas." He also said, "We will enhance the intrinsic value of corporations so that value returns to shareholders, customers, the company, and society."
Daewoong Pharmaceutical posted 1.5709 trillion won in consolidation sales and 196.8 billion won in operating profit last year. Those figures rose 10% and 33%, respectively, from a year earlier. The botulinum toxin Nabota recorded 228.9 billion won in sales. However, as the government pushes measures such as cutting prices of generics, the company plans to seek new revenue sources through new businesses.
At the shareholders meeting, the agenda to reappoint Daewoong Pharmaceutical CEO Park Sung-soo and Consumer Healthcare Marketing Deputy Minister Park Eun-kyung as inside directors passed. In addition, the agendas to appoint former Naver Financial CEO Choi In-hyuk, Korea Development Bank (KDB) Investment CEO Choi Dae-hyun, and Catholic University of Korea Seoul St. Mary's Hospital orthopedic surgery emeritus professor Kwon Soon-yong as outside directors also passed. The shareholder dividends are 600 won per common share, the same as last year.