[BioS]Seegene, operating loss of 30.1 billion won in 2023, “turns to deficit”

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Last year’s sales of 367.4 billion won, a “57% decrease” compared to the previous year… Last year’s 4Q operating profit of 3.5 billion won, “a profit compared to the previous quarter.”

Seegene, a domestic PCR molecular diagnostic total solution company, announced on the 16th that it recorded sales of 367.4 billion won and operating loss of 30.1 billion won last year based on consolidated financial statements.

Due to the impact of the COVID-19 pandemic, sales decreased by 57% compared to the previous year, and operating profit turned into a loss. Net profit for the period was 500 million won, a whopping 99.7% decrease from the previous year (181.9 billion won).

However, as sales of non-corona products steadily increased, sales in the fourth quarter of last year were KRW 100.5 billion, an increase of 9.4% compared to the previous quarter, and operating profit was KRW 3.5 billion, turning from a loss in the third quarter to a surplus. Last year, quarterly sales exceeded 100 billion won for the first time in the fourth quarter.

Seegene said, “Sales, which had been on a downward trend since the third quarter of 2022, are showing an upward trend after bottoming out in the second quarter of last year, and operating profit turned to surplus in the fourth quarter of last year.” He added, “The turnaround in operating profit to surplus is a result of efficient management along with sales growth.” “The impact of cost management was significant,” he explained.

Seegene IR Director Lee Jun-hyuk said, “As a result of leading the growth of non-coronavirus products through continuous efforts to improve our constitution after the pandemic transition, we were able to achieve an operating profit surplus faster than the market forecast,” and added, “We will continue to invest in non-coronavirus products and technology sharing businesses.” “We will continue to drive mid- to long-term growth,” he said.

Meanwhile, Seegene emphasized that it is preparing for a comprehensive transformation into a global bio distribution company through technology sharing projects, a mid- to long-term business strategy. Based on the strategic agreement with Microsoft (MS) of the United States signed in January of this year, the plan is to accelerate digital innovation that combines biotechnology (BT) and information technology (IT). While implementing an open AI-based developer automation system (SGDDS), we plan to begin computerizing and automating tasks related to new businesses such as technology sharing projects. Seegene explained that it is also part of digital innovation to plan and develop customized software and build related systems through the recent acquisition of Brex, a domestic IT company.