HLB Genex disclosed on the 14th that it posted 11.7 billion won in sales and 1.0 billion won in operating profit on a consolidation basis in the first quarter of this year. Compared with a year earlier, sales rose 9.3% and operating profit increased 25.0%.
The company said profitability improved thanks to a sales strategy focused on high value-added products and cost efficiency. Gross profit increased 19.0% from a year earlier, and the gross margin rose to 43% from 39%. The operating margin also climbed to 9% from 7%.
The company noted the improvement stemmed from an expanded specialty enzyme portfolio coupled with a recovery at subsidiaries. While existing core items such as catalase for semiconductors and lactase for food maintained stable sales, sales of new high value-added products increased.
In particular, sales of "UDCAse," an enzyme for manufacturing ursodeoxycholic acid (UDCA) that began to be reflected from the second quarter of last year, contributed in earnest to results from the first quarter of this year. Sales of "Protease NT," an enzyme for producing high-potency collagen tripeptides, more than doubled from a year earlier.
The recovery in results at subsidiary GF Fermentech also continued. First-quarter sales of major items increased more than 26% from a year earlier. Sales of phytosphingosine, the flagship material, grew more than 68%, and key materials including vitamin K2 also posted double-digit growth rates.