Samsung Biologics is a fully integrated CDMO that offers one-stop services for development, manufacturing and biosafety testing. With the largest single site capacity, Samsung Biologics is an award-winning company that has continued to operate successfully despite the COVID-19 pandemic.
In a year of unprecedented uncertainty surrounding earnings and company stability, Samsung Biologics continues to hold its own with strong financial results. The fiscal year 2020 second quarter report recorded sales of KRW 307.7 billion, a 48.5 percent quarter-on-quarter increase and operating profit of KRW 81.1 billion, in 29.6% increase. Net profit increased 42% quarter on quarter to KRW 52.0 billion. Compared to the same period last fiscal year, revenue increased 294.1% largely due to increased operations at all of its factories 1, 2 and 3. These impressive figures come despite the harsh global conditions that have affected businesses and markets around the world. Samsung Biologics has been able to maintain a robust operating margin for three consecutive quarters to support continued revenue growth.
The company leveraged its key technological capabilities to generate strong performance, signing several manufacturing contracts worth around KRW 1.8 trillion in the first half of this year, roughly 2.5 times more than the total annual turnover of last year. Samsung Biologics closed its largest contract manufacturing contract with Vir Biotechnology *, valued at KRW 440 billion, for a potential COVID-19 treatment, and signed a KRW 283.9 billion CMO contract with GSK in May to expand its innovative biopharmaceutical portfolio.
The growth is not surprising: As the demand for bioproduction increases, the company has strived to be a one-stop-shop with cutting-edge technology and operational efficiency.
“We have adapted to operate in a more virtual environment due to COVID-19 and the profound changes it has introduced,” said Dr Tae Han Kim, CEO of Samsung Biologics. “In this global crisis, we will continue to raise the bar by strengthening our cost competitiveness and our agility for maximum customer satisfaction in order to be a unique and relentless service provider in its quest for innovation.
As operations are expected to reach full capacity by 2022, Samsung Biologics will add a fourth “super factory” and a new organic campus to its headquarters in Incheon, South Korea, a rapidly growing organic hub to meet the needs of growing needs of the biopharmaceutical market. Adding 256KL capacity to its site, this new plant is expected to begin manufacturing activities in the second half of 2022, and strengthen the company’s position as the world’s largest single-site manufacturing facility, with capacity total of 620KL when completed.
As Samsung Biologics strives to become the most competitive CDMO with a proven track record of quality and consistency, its capacity and wide range of service capabilities make it an effective resource in the global biomedical supply.
* On August 7, 2020, there was a main part change from Vir Biotechnology Inc to GlaxoSmithKline Trading Services Limited for production. Please see the Samsung Biologics Public Disclosure Review.