On the 30th, HANDOK Inc. announced that its revenue for the first half of this year was 268.6 billion won, with an operating profit of 2.84 billion won. Revenue increased by 10.2% compared to the same period last year (243.7 billion won), and the company returned to profitability after posting a 2.2 billion won operating loss in the prior year.
The company also posted solid results for the second quarter of this year. Revenue reached 137.1 billion won, a 9.4% increase from the same period last year, and operating profit stood at 2.63 billion won, marking a turnaround from a 570 million won loss in the same period last year.
Looking at first-half performance by business segment, the prescription drugs segment drove revenue growth. First-half revenue from prescription drugs reached 177.2 billion won, a 15.9% increase compared to the same period last year. This segment accounted for approximately 66% of total revenue. This is attributed to the anti-cancer drugs Eloxatin and Zaltrop, introduced in January of this year, establishing themselves as new revenue sources. Eloxatin recorded revenue of 16.1 billion won in the first half, while Zaltrop recorded 1.4 billion won.
Existing flagship products also generally showed growth. Sales of the diabetes treatment Tenelia reached 24.1 billion won in the first half, a 6.9% increase compared to the same period last year. During the same period, sales of the hypertension treatments Aprovask and Aprobel rose 15.9% to 12.6 billion won, while sales of respiratory treatments increased 19.1% to 8.5 billion won. Sales of the hyperlipidemia treatment Lipidil rose 15.4% to 7.2 billion won, while sales of rare disease treatments increased 42.4% to 6.2 billion won.
Sales in the over-the-counter (OTC) pharmaceuticals segment also rose 13.3% year-over-year to 33.3 billion won, supporting overall revenue growth. In particular, sales of the arthritis patch Ketotop rose 29.5% to 22.2 billion won, driving growth in the segment. This reflects a return to normal sales levels following production disruptions and other issues experienced last year. During the same period, sales of the digestive aid Festal increased 4.8% to 6.6 billion won.
Revenue in the medical devices and diagnostic reagents segment rose 7.8% to 40.1 billion won. Sales of the continuous glucose monitor “Barojan Fit” surged 142% to 3.3 billion won. Sales of in vitro diagnostic reagents increased 1.3% to 20.2 billion won.
In contrast, sales from exports, contract manufacturing, and other sources totaled 18.1 billion won, a 5% decrease compared to the same period last year. Export sales of diabetes treatments amounted to 4.3 billion won, while domestic contract manufacturing and quality control sales totaled 13.8 billion won.
In addition, HANDOK Inc. is working to strengthen its manufacturing competitiveness. A HANDOK Inc. official stated, “We have been selected for five government manufacturing innovation projects in a row over the past two years and are pushing forward with the transition to AI- and robotics-based smart factories,” adding, “The results of our open innovation efforts, centered on rare disease treatments and anticancer drugs, are also becoming increasingly visible.”
In fact, the company has been selected for a total of five government manufacturing innovation projects worth approximately 6 billion won from last year through this year. Through these initiatives, the company plans to enhance productivity and quality competitiveness, optimize manufacturing costs, and lay the groundwork for expanding its contract manufacturing (CMO) business and global customer base. Last year, CMO revenue already reached approximately 40 billion won, marking a 13% increase from the previous year.
In the research and development (R&D) sector, the company is advancing the clinical outcomes of its pipeline secured through open innovation. Key pipeline candidates include RZ358, a treatment for hyperinsulinism developed by affiliate Resolute, and ABL111, a bispecific antibody anticancer drug developed by ABL Bio Inc. Results from the Phase 3 clinical trial of RZ358 for tumor-associated hyperinsulinism are scheduled to be announced in the second half of this year. ABL111 aims to begin Phase 3 clinical trials in December, building on its Fast Track designation from the U.S. Food and Drug Administration (FDA).
