L&C BIO is expected to surpass 100 billion won in annual revenue this year for the first time. As interest in K-beauty rises, demand for the skin booster Re2O is increasing, and the company is projected to post record results in the 15 years since its founding.
On the 29th, financial data firm FnGuide said L&C BIO's consolidation revenue this year is projected at 145.7 billion won, with operating profit at 28.6 billion won. Revenue would be up 70% from last year, and operating profit up 547%.
Fueled by expectations for earnings, the company's stock price has risen more than 180% over the past year. Its market capitalization is in the 2 trillion won range. However, in a fiercely competitive domestic skin booster market, the company faces the task of expanding overseas sales.
◇ On skin booster demand… Re2O output expanded to 150,000 units a month
Re2O led the record revenue. Re2O involves injecting active ingredients such as collagen and elastin directly into the skin. The extracellular matrix (ECM) is extracted from deceased donors' skin tissue, processed into powder, diluted with saline, and injected into the skin. The price per session is in the hundreds of thousands of won.
L&C BIO is ramping up production of Re2O. Based on the first quarter this year, monthly output is set to increase from 35,000 units to 80,000 in the second quarter and 150,000 in the third quarter. Through this, the company set a goal to expand the number of hospitals it transacts with to 5,000 within the year.
Skin boosters are more natural than fillers, and demand at medical institutions has recently increased. They are known to maintain skin moisture, elasticity, and regeneration effects for several months. According to global market research firm Grand View Research, the global skin booster market is expected to reach 3 trillion won by 2030.
◇ Re2O's overseas sales share under 10%… challenges in the global market
In Korea, PharmaResearch's Rejuran had previously held the lead in the skin booster market. Rejuran involves injecting a biocompatible substance extracted from salmon DNA into the skin's dermis. L&C BIO's Re2O was released in the second half of 2024 and is expanding sales at hospitals.
However, some say that as the skin booster boom draws many latecomers into the market, the key will be maintaining market share. Although the industry is growing as more foreign tourists seek K-medicine, the number of competitors is also high, requiring defense of the domestic market. Among physicians, there is a growing trend to sort the wheat from the chaff among skin boosters based on quality and safety.
Currently, Re2O's overseas sales share is under 10%. Improving results abroad is also an important task. L&C BIO plans to target the Chinese market with its skin tissue graft Megaderm Plus. The company has obtained import approval and aims to secure production approval at its China plant by year-end, then begin full-scale production next year. A L&C BIO official said, "We entered Singapore, Japan, and the Philippines last year," adding, "This year we aim to enter 20 countries, including Hong Kong."