Samsung Epis, made a surplus of ₩122.5 billion

First operating profit recorded since establishment in 2012, sales doubled YoY ↑↑

Sales of Benepali, Flixabi, and Imraldi soared in Europe

Samsung Bioepis has made a surplus for the first time since its inception.

 

It has been in deficit every year since its inception in 2012, but it recorded operating profit of ₩122.5 billion due to the growth of biosimilars in overseas markets.

 

Sales also grew more than twice that of the previous year.

 

According to Samsung Bioepis' audit report submitted to the Financial Supervisory Service on the 29th, the company's operating profit last year was ₩122.5 billion, which turned to surplus compared to the previous year.

 

It was the first surplus since it was founded in 2012.

 

Sales Trend of Samsung Bioepis Sales by Year (Unit: KRW 100 million, Source: The Financial Supervisory Service)

Since 2010, Samsung Biologics and Samsung Bioepis have been established in April 2011 and February 2012, respectively, after designating biopharmaceuticals as promising business in 2010.

 

Samsung Bioepis' largest shareholder is Samsung Biologics, which holds a 50% stake.

 

Samsung Bioepis recorded a deficit every year due to huge research and development costs.

 

In the first year of 2012, it suffered an operating loss of ₩43.8 billion, and in 2015, 2017, and 2018, the loss amount exceeded ₩100 billion.

 

By 2018, the cumulative operating loss amounted to ₩631.9 billion.

 

In the early days of Samsung Bioepis, Samsung Biologics was invested by Samsung Group through a paid-in capital increase by allocation to stockholder, and some of them were invested in Samsung Bioepis.

 

Samsung Biologics received a total of ₩1178.4 billion from the group through 11 paid-in capital increase from July 2011 to July 2015.

 

Of these, ₩578.4 billion was invested in Samsung Bioepis as a paid-in capital increase method.

 

Samsung Bioepis received a total of ₩640.5 billion in investments from the major shareholder Biogen's participation in paid-in capital increase.

 

Since then, Samsung Biologics has invested ₩400 billion in Samsung Bioepis twice in the ₩2.25 trillion raised on the stock market in November 2016.

 

The total amount of funds Samsung Bioepis has invested from a company is ₩1.04 trillion.

 

The reason behind Samsung Bioepis' strong performance last year is the sales of biosimilars in overseas markets.

 

Samsung Bioepis has launched three biosimilars, Benepali, Flixabi, and Imraldi in the European market.

 

Samsung Bioepis Pipelines (Source: Samsung Biologics)

According to Biogen's performance last year, three types of biosimilars such as Benepali, Flixabi, and Imraldi made a total of $838 million in sales last year.

 

In 2018, sales were 35% higher than $550 million, making the highest sales ever.

 

Biogen, the second largest shareholder of Samsung Bioepis, is responsible for distribution and sales of biosimilars in Europe.

 

Although Benepali's sales growth slowed, Imraldi’s sales rose sharply.

 

Benepali, Enbrel's biosimilar, posted sales of $ 486.2 million last year.

 

This is similar to $ 485.2 million in 2018.

 

Benepali led the growth of all biosimilars with 2018 sales up 30.9% year over year.

 

Benepali has the largest share in Europe's Big 5 countries such as Germany, France, the United Kingdom, Italy and Spain.

 

In the past four years, it has accumulated cumulative sales of a total of ₩1.6 trillion in the European market.

 

Humira's biosimilar, Imraldi, posted sales of $ 184 million last year.

 

It's more than 10 times higher than $ 16.7 million in 2018.

 

In October 2018, Imraldi was released to major European countries such as the United Kingdom, France, Germany, Spain and Italy when Humira's material patent expired.

 

The sales volume of Samsung Bioepis has also expanded significantly.

 

The company's sales last year were ₩765.6 billion, more than doubled from the previous year's ₩368.7 billion.

 

Last year's sales were close to 80% of the cumulative sales of ₩974.7 billion for 7 years from 2012 to 2018.