Celltrion (068270.KS) has topped market expectations for three consecutive quarters, prompting securities analysts to raise their estimates for the biopharmaceutical company.
Hyundai Motor Securities (001500.KS) raised its target price on Celltrion to 300,000 won from 280,000 won on the 28th in a report titled "Celltrion Is Doing Better Than Expected." Third-quarter revenue came to 1.5755 trillion won ($1.1 billion), up 53.1% from a year earlier, the company reported the previous day. Operating profit rose 74.3% to 525.3 billion won, with an operating margin of 33.3%. Both revenue and operating profit exceeded consensus estimates for a third straight quarter.
The results were driven by new products and rising contract manufacturing volumes for Eli Lilly. "New products now account for 67% of total biosimilar revenue," said Kim Hyun-suk, an analyst at Hyundai Motor Securities. "Of the quarter-on-quarter increase in biosimilar revenue, 77% came from five new products, including Omlyclo." Net profit, however, was weighed down by foreign exchange translation losses on foreign-currency bonds, booked as non-operating losses after the won strengthened at the end of the third quarter.
Among individual products, Omlyclo stood out. The drug generated 132.1 billion won in revenue in Europe alone during the third quarter. With no competing products on the market, Omlyclo gained share by offering a longer shelf life and extended room-temperature storage compared with the original drug, making it easier for hospital staff to handle. "A U.S. launch is scheduled for the fourth quarter, so we expect another sharp increase in growth," Kim added.
Stoboclo and Osenvelt posted the highest quarter-on-quarter growth rates among the company's biosimilars. After being listed as preferred drugs by three of the five largest pharmacy benefit managers in the U.S., their combined revenue jumped to around 100 billion won in the third quarter from about 60 billion won in the second. "In Europe, revenue is limited because of price cuts driven by competition, but the company plans to raise penetration by using the sales network of Ziphre, which it acquired in the first half," Kim said.
Aptozma has been winning a series of tenders in Europe while expanding its share amid supply disruptions at a competing product that launched earlier. In the U.S., it is growing rapidly after being listed as a preferred drug by three major pharmacy benefit managers and benefiting from a recall of a rival product caused by manufacturing defects. Eydenzelt remains small in revenue terms but is expected to begin growing in earnest from 2027, supported by a fourth-quarter U.S. launch and increased supply.
Zymfentra, by contrast, saw revenue decline from the previous quarter in the third quarter as well as the second, despite an increase in prescription volumes. "We expect revenue to rebound through the partnership with Pfizer that begins in the fourth quarter," Kim said of the drug.
