SK BIOSCIENCE announced on the 10th that its preliminary consolidated second-quarter revenue for this year was 155.7 billion won, with an operating loss of 15.7 billion won. While revenue decreased by 3.8% from 161.9 billion won in the same period last year, the operating loss decreased by 21.7 billion won compared to the same period last year (37.4 billion won). This represents a reduction in the deficit of approximately 58%.
The decline in revenue is seen as a temporary factor resulting from the postponement of the supply schedule for some of the company’s own vaccine batches to the third quarter. The company expects the impact on its annual performance to be limited, as these volumes are scheduled to be fully reflected in the third-quarter results.
The primary driver behind the improvement in the loss margin was IDT Biologica, a German contract development and manufacturing organization (CDMO) subsidiary acquired in 2024. IDT improved its performance by reducing cost burdens through workforce optimization and yield improvements, amid increased production volumes from major clients. Going forward, IDT plans to continue streamlining its productivity and cost structure while expanding high-value-added contracts and securing new clients in North America, Europe, and Asia.
However, on a cumulative basis for the first half of the year, the impact of expanded investments continued to be felt. First-half revenue reached 324.3 billion won, a 2.5% increase from the same period last year, but the operating loss widened from 52.5 billion won to 60.3 billion won. This was due to factors such as the relocation of the headquarters to Songdo earlier this year and increased research and development expenses, which weighed on profitability.
The company is also continuing to expand its global business for its proprietary vaccines. The influenza vaccine “SkyCellFlu” further strengthened its position in the global public procurement market by signing a new supply contract with UNICEF, following its supply to the Pan American Health Organization (PAHO). Domestically, it secured the largest volume under the National Immunization Program (NIP), solidifying its public demand base. The varicella vaccine “SkyVaricella” laid the groundwork for entering the Latin American market by signing an agreement with VECOL, a Colombian state-owned pharmaceutical company, for technology transfer and the establishment of local production facilities.
Development of its core pipeline is also progressing smoothly. “GBP410,” a 21-valent pneumococcal protein-conjugate vaccine being co-developed with Sanofi, is currently undergoing global Phase 3 clinical trials in major countries such as the United States and Europe, with the goal of securing interim results in the second half of next year. In addition, the company has completed the expansion of its commercial production facilities at the Andong L HOUSE, thereby enhancing its production capacity for global supply. Recently, the company was selected to receive support from the National Growth Fund, securing 300 billion won in ultra-low-interest, long-term funding, which will further accelerate its R&D, commercialization preparations, and the upgrading of production facilities.
The company is also expanding its global partnerships in various ways to secure new growth engines. It is currently advancing clinical development by licensing RSV preventive antibody technology from Gates MRI and is participating in a next-generation Ebola vaccine development project supported by the Coalition for Epidemic Preparedness Innovations (CEPI). Furthermore, through collaborations with global organizations—such as being selected for the next-generation influenza vaccine development project led by the European Health and Digital Executive Agency (HaDEA) and signing a licensing agreement with the U.S. Centers for Disease Control and Prevention (CDC) for an injectable rotavirus vaccine—the company is continuously expanding its next-generation vaccine portfolio.
An SK BIOSCIENCE official stated, “In the second half of the year, we plan to continue expanding IDT’s global CDMO business while simultaneously expanding the domestic and international supply of our proprietary vaccines and advancing the clinical development of our core pipeline without delay.” The official added, “Through these efforts, we plan to further strengthen our foundation for mid- to long-term growth and solidify our position as a global biotech company.”
