Celltrion(068270) set a record for the highest quarterly sales this year in the second quarter, driven by growth in new biosimilar products and improved profitability. Expanding the share of high-margin new products led to simultaneous gains in scale and profit, according to assessments.
Celltrion disclosed on the 27th that, on a consolidation basis, it posted sales of 1.3937 trillion won and operating profit of 451.8 billion won in the second quarter this year. These are finalized results, with sales up 45% and operating profit up 86.3% from the same period a year earlier. The operating margin was 32.4%, up 7.2 percentage points from a year earlier.
This is the highest quarterly sales on record. Compared with the preliminary results released on the 3rd, sales rose by 93.7 billion won and operating profit by 21.8 billion won.
New biosimilar product lines contributed to earnings growth.
The company is expanding its portfolio from a biosimilar-focused business centered on its existing flagship products—Remsima (autoimmune diseases), Truxima (hematologic cancers), and Herzuma (breast and gastric cancers)—to high-margin new products such as Remsima SC (autoimmune diseases), Yuflyma (autoimmune diseases), and Vegzelma (oncology areas including metastatic colorectal cancer and Non-small cell lung cancer (NSCLC)).
As a result, second-quarter sales of new products increased 76% year over year, and their share of total bio product sales expanded to 65%.
In particular, Remsima SC surpassed a 32% market share in the EU5, and prescriptions for Zymfentra continue to expand in the United States. Yuflyma maintained the No. 1 share in Europe's adalimumab market and also showed growth in the United States.
The combined quarterly sales of five new products that began full-scale global sales last year—Eydenzelt (ophthalmology), Aptozma (autoimmune diseases), OMLYCLO (asthma), Stovoclo and Osenbelt (osteoporosis), and Steqeyma (autoimmune diseases)—also surpassed 300 billion won. This is up 49% from the previous quarter.
Profitability also stood out. The cost of sales ratio in the second quarter was 38%, down 5.4 percentage points from a year earlier. Expansion of high-margin product sales, depletion of high-cost inventory, and production efficiency improvements all played a role.
A Celltrion official said, "As the share of new high-profitability products increased, and we depleted high-cost inventory and improved production efficiency, the cost structure also improved."
It is also notable that the company maintained an operating margin in the 30% range while continuing to invest in research and development (R&D).
Celltrion is expanding investment in new drug areas such as Antibody-Drug Conjugate (ADC), multispecific antibodies, and obesity treatments, based on cash generation secured from its biosimilar business. By 2030, it plans to build a portfolio of 18 products, including autoimmune disease treatments such as Ocrevus, Cosentyx, and Taltz, and oncology biosimilars such as Keytruda and Darzalex.
Celltrion is aiming to exceed the targets presented at the start of the year—"annual sales of 5.3 trillion won and operating profit of 1.8 trillion won." In the second half of this year, supply for major national tenders and the market expansion effects of new products are expected to kick in in earnest. Expanded listings in U.S. formularies, wins in European public tenders, and year-end inventory buildup by distributors are cited as additional growth drivers.