[Edaily Reporter Kwon Oh Seok ] IBK Investment & Securities announced on the 10th that it is maintaining its “Buy” rating on Seegene Inc.(096530)but lowering its target price from 44,000 won to 33,000 won.

Jo Eun-ae, an analyst at IBK Investment & Securities, explained, “Although we are lowering the target price, we are maintaining our investment rating as we believe the company’s structural growth centered on non-respiratory products remains valid,” adding, “The company aims for annual revenue growth in the 10% range and an operating profit margin of over 10% while continuing to invest in mid- to long-term growth.”
She further elaborated, “We are revising our 2027 earnings forecast downward by 27% from the previous estimate to reflect rising cost ratios resulting from the transition to next-generation equipment following the clearance of inventory for existing amplification devices set to be discontinued, as well as increased R&D expenses associated with the development of Cureka (a system for automating the entire testing process) and e-STARCO (an infectious disease data platform).”
Previously, third-quarter revenue came in at 123.1 billion won (+8% year-over-year), operating profit at 11.6 billion won (+21%), and the operating profit margin at 9%, all of which fell short of consensus estimates. Due to sharp exchange rate fluctuations, a reduction of approximately 6 billion won was recorded in third-quarter revenue during the restatement of overseas subsidiaries’ results. This is an accounting adjustment and is unrelated to an actual decline in sales. A one-time expense of 3.6 billion won also arose from a change in the calculation standards for retirement benefits.
He analyzed, “Excluding exchange rate effects and one-time expenses, revenue would have been approximately 129 billion won, with an operating profit margin of 16%, indicating that our profitability remains solid. Revenue from non-respiratory products (gastrointestinal, cervical cancer, sexually transmitted infections, etc.) reached 62.4 billion won (+12%), driven by strong growth in GI (+14%) and HPV (+20%) segments.”
He projected that fourth-quarter revenue would reach 139.2 billion won (+7%), operating profit 18.6 billion won (+168%), and the operating profit margin 13% (+8 percentage points), marking a recovery compared to the previous quarter. Analyst Cho emphasized, “The entry into the peak season for respiratory diseases and growth in non-respiratory segments are expected to drive the recovery in earnings,” adding, “For 2026, annual revenue is projected to reach 527.4 billion won (+11%), operating profit 75.4 billion won (+118%), and the operating profit margin 14% (+7 percentage points).”
Furthermore, he projected that in 2027, revenue would reach 601.9 billion won (+14%), operating profit 91.8 billion won (+22%), and the operating profit margin 15% (+1 percentage point).