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[Alpha Biz= Paul Lee] LS Securities stated today that Hugel is likely to post a significant year-on-year increase in operating profit for the first quarter of 2024.
According to the brokerage, Hugel’s Q1 sales are estimated at KRW 90.3 billion (approx. $66 million), with operating profit at KRW 40.1 billion (approx. $29 million) — marking increases of 22% and 68%, respectively, compared to the same period last year.
LS Securities further forecast that exports of botulinum toxin (BTX) will grow rapidly, rising from KRW 167.9 billion this year to KRW 225.2 billion in 2025. Notably, U.S. sales are projected to more than double from KRW 30 billion this year to KRW 66 billion next year.
They noted that 2024 marks the first full-scale entry into the U.S. market, the world’s largest for BTX products. Hugel’s U.S. toxin business, which went through a soft launch phase last month, is now moving into full order fulfillment.
Hugel is also said to be actively engaging in local medical conferences to boost its presence. LS Securities expects additional U.S.-bound shipments in Q2.
In addition, Hugel’s third plant is scheduled to become operational in Q2, coinciding with growth in exports to Europe and China, and the beginning of U.S. sales. LS Securities concluded that this expansion should enable Hugel to achieve a significant level-up in revenue over the coming years.
Alphabiz Reporter Paul Lee(hoondork1977@alphabiz.co.kr)
