KOSDAQBiotech & Pharma068760

Celltrion Pharm

₩38,500▼ 2.90%2026-10-02 close

Market Cap

₩1.7T

Turnover

₩3.8B

Volume

100,000 shares

Shares out.

44.4M

PER

41.8×

PBR

4.0×

EPS

₩977

Dividend Yield

0.49%

PER, EPS, PBR and BPS are calculated in-house from the last 4 quarters (2025Q3–2026Q2) · Dividend yield is based on ₩200 per share · Prices as of the 2026-10-02 close

Report overview

Chemicals as Cash Cow, Growth Shifts to Biologics and CMO

Godex-led chemical drugs generate the cash while domestic sales rights for parent Celltrion's biosimilars and prefilled-syringe (PFS) contract manufacturing have become the growth engine.

1
2025 revenue of KRW 536.4bn and operating profit of KRW 56.1bn lifted the operating margin from 7.8% in 2024 to 10.5%.
2
In Q2 2026 revenue reached KRW 153.3bn and operating profit KRW 19.3bn, taking the quarterly operating margin to 12.6%.
3
Per IBK Securities, biologics plus CMO accounted for 53.8% of first-half 2026 sales, overtaking chemicals at 46.4%.
4
The company unveiled a KRW 2tn investment in a new PFS plant in Chungbuk to raise capacity from 20mn to 70mn syringes a year.
5
Much of the growth is tied to parent Celltrion's products and orders, while price cuts on Godex and flat chemical sales remain a drag.

Business structure

Founded in 2000 and listed on KOSDAQ in 2006, Celltrion Pharm manufactures and sells drugs from plants in Ochang and Jincheon in Chungbuk province.

It runs tablet and hard-capsule prescription-drug lines plus a PFS line for biologics at facilities certified under Korean KGMP, US cGMP and EU-GMP, owns the liver-treatment drug Godex as its flagship chemical product, and holds exclusive domestic sales rights to 12 biologics developed by parent Celltrion.

The business splits into three pillars: chemical drugs, domestic biosimilar distribution, and contract manufacturing of group volumes.

The chemical share of sales fell from 58.6% in 2023 to 53.2% in 2024, 49.6% in 2025 and 46.4% in the first half of 2026, while biologics plus CMO rose from 41.5% to 53.8% over the same span (based on an IBK Securities report dated September 2, 2026).

In 2025 the chemical division booked KRW 214.0bn, with Godex capsules at KRW 68.4bn, the hypertension drug Dilatrend at KRW 57.4bn and diabetes drugs Nesina and Actos at KRW 34.8bn, while biosimilars grew 50.8% year on year to KRW 130.6bn.

In the same year the contract-manufacturing division posted KRW 139.6bn as demand across Remsima SC (Zymfentra in the US), Herzuma and Truxima kept PFS lines running at maximum utilization.

Godex recorded about KRW 7.4bn of outpatient prescriptions and a 30.4% market share in April 2026 on UBIST data, holding the top spot in Korea's liver-agent prescription market for 127 straight months since October 2015.

Godex is co-promoted with Chong Kun Dang under a swap arrangement, in return for which Celltrion Pharm took over sales rights to Chong Kun Dang's hypertension drug Dilatrend.

Competitively, the company faces large domestic pharma firms in incrementally modified and generic drugs, and overseas contract manufacturers in finished PFS production.

Earnings trend

Quarterly revenue · Operating profit

₩131.3B₩15.5B25Q2₩138.2B₩16.1B25Q3₩154.4B₩13.7B25Q4₩132.1B₩12.9B26Q1₩153.3B₩19.3B26Q2

RevenueOperating profit

Annual revenue · Operating profit

₩386B₩38.2B2022₩388.8B₩36.1B2023₩477.8B₩37.2B2024₩536.4B₩56.1B2025

RevenueOperating profit

Quarterly results · Last 5 quarters
Quarter	Revenue	Operating profit	Op. margin
2025Q2	₩131.3B	₩15.5B	11.8%
2025Q3	₩138.2B	₩16.1B	11.7%
2025Q4	₩154.4B	₩13.7B	8.9%
2026Q1	₩132.1B	₩12.9B	9.8%
2026Q2	₩153.3B	₩19.3B	12.6%

Annual results
Year	Revenue	Operating profit	Net income (parent)	Op. margin	ROE	Debt-to-equity
2022	₩386B	₩38.2B	₩26B	9.9%	7.3%	68.1%
2023	₩388.8B	₩36.1B	₩21.3B	9.3%	5.6%	70.3%
2024	₩477.8B	₩37.2B	₩22B	7.8%	5.5%	68.7%
2025	₩536.4B	₩56.1B	₩38.8B	10.5%	8.9%	74.2%

Consolidated basis (financial statements including subsidiaries) · Final figures from DART filings · Net income attributable to owners of the parent · Data as of 2026-09-04

Earnings analysis

On an annual basis, revenue expanded clearly over the past two years, from KRW 386.0bn in 2022 and KRW 388.8bn in 2023 to KRW 477.8bn in 2024 and KRW 536.4bn in 2025.

Operating profit, by contrast, was almost flat for three years at KRW 38.2bn in 2022, KRW 36.1bn in 2023 and KRW 37.2bn in 2024, before jumping to KRW 56.1bn in 2025. The operating margin slid from 9.9% in 2022 and 9.3% in 2023 to 7.8% in 2024, then recovered to 10.5% in 2025.

Management attributed the record year to cost improvements and full utilization of PFS facilities despite headcount additions and higher R&D spending.

Net profit attributable to owners rose from KRW 21.3bn in 2023 and KRW 22.0bn in 2024 to KRW 38.8bn in 2025, while operating cash flow improved from negative KRW 4.0bn in 2022 and KRW 8.8bn in 2023 to KRW 56.6bn in 2024 and KRW 86.4bn in 2025, showing better cash conversion.

Quarterly, revenue and operating profit were KRW 131.3bn/15.5bn in Q2 2025, KRW 138.2bn/16.1bn in Q3 and KRW 154.4bn/13.7bn in Q4, when the margin fell to 8.9% despite higher sales; Q1 2026 showed seasonal softness at KRW 132.1bn/12.9bn.

In Q2 2026 revenue was KRW 153.3bn, operating profit KRW 19.3bn and net profit to owners KRW 13.7bn, lifting the margin to 12.6%, and the company said contract-manufacturing sales rose 53.4% year on year to KRW 49.7bn, of which PFS commercial production accounted for KRW 35.3bn, up 51.9%.

In the same quarter biologics sales grew 12.5% to KRW 36.6bn while chemicals edged up just 1.0% to KRW 67.0bn.

Over the four quarters from Q3 2025 to Q2 2026, revenue totaled about KRW 578.0bn, operating profit KRW 62.0bn and net profit to owners KRW 42.9bn; equity stood at KRW 436.0bn against liabilities of KRW 323.5bn at end-2025, a debt-to-equity ratio of 74.2%.

Industry analysis

Korea's prescription-drug market rests on solid demand from aging and chronic disease, but reimbursement price cuts and volume-linked pricing structurally cap individual product prices. That helps explain why the chemical division's revenue grows only in the low single digits even as volumes rise.

Biosimilars, by contrast, are in an expansion phase as originator patents keep expiring and the product count grows. Celltrion Pharm now holds exclusive domestic rights to 12 products from its parent, double the 2023 count. Finished PFS production follows its own cycle.

Demand is rising quickly thanks to dosing convenience and safety, but the need for advanced aseptic processing and stringent GMP control creates a high entry barrier.

Citing Fortune Business Insights, the company said the global PFS market should grow from USD 10.6bn in 2026 at more than 10% a year to USD 26.4bn by 2034.

Still, its PFS volumes currently depend heavily on internal group demand, a different profile from top domestic pharma firms that earn from their own novel or modified drugs, and whether the business can eventually extend to contract manufacturing for global pharma companies is the variable that will define its character.

Outlook

Management has said that in 2026 it will pursue growth by strengthening product competitiveness and keeping contract-manufacturing utilization at maximum, while expanding the market presence of newly launched biosimilars and improving chemical profitability using products whose production has been brought in-house.

With its second-quarter results it also said it would reinforce the sales competitiveness of core products in the second half and maintain production capability flexible enough to meet market demand. A major investment plan has also been disclosed.

In a July 2, 2026 filing, Celltrion Pharm said it would spend KRW 2tn to build PFS production facilities in Chungbuk in two phases, raising annual capacity from 20mn to 70mn syringes; phase one runs from 2028 to 2032, with commercial production starting in 2032 alongside additional facilities depending on global demand.

About KRW 1tn goes into phase one, with a further KRW 1tn phase two to be pursued after 2032 depending on market demand and business conditions. Parent-side demand is another swing factor.

Celltrion expects second-half growth to exceed the first half on tender supply in major countries and share gains for new products, and has set a goal of beating its initial targets of KRW 5.3tn in revenue and KRW 1.8tn in operating profit.

The domestic product roster keeps expanding: Celltrion Pharm launched the subcutaneous formulation of the autoimmune drug Avtozma after reimbursement listing and said it plans to launch the intravenous formulation within the year.

At group level, the Cosentyx biosimilar CT-P55 is in the approval process in Korea and North America, so whether additional domestic products are added is worth watching.

Valuation

PER

41.8×

PBR

4.0×

ROE

9.9%

EPS

₩977

BPS

₩10,340

Dividend per share

₩200

The earnings-based multiple sits above the range at which traditional Korean pharmaceutical companies typically trade, and the shares also change hands at a premium to net assets.

How that is read depends on the market's treatment of two things: a chemical cash cow paired with growth engines in biosimilar distribution rights and PFS contract manufacturing, and the direction of margins, which improved from 7.8% in 2024 to 10.5% in 2025.

A dividend is paid, but the yield is not far above the domestic pharma and biotech sector average, so the valuation debate rests mainly on the durability of profit growth.

That said, the KRW 2tn PFS investment brings depreciation and funding burdens, so how the pace of profit expansion relative to the capital base lines up with the capex schedule is the key variable for interpreting these metrics.

For reference, IBK Securities initiated coverage in a September 2, 2026 report with a Buy rating and a target price of KRW 61,000, saying it applied a 25x EV/EBITDA multiple, the one-year average for domestic biosimilar and CDMO companies, to estimated 2027 EBITDA of KRW 107.0bn. That is the broker's view, not KOSAI's.

PER, EPS, PBR and BPS are all calculated in-house (the same method as Naver and Toss) · Dividend yield = cash dividend per share from DART filings (supplemented by KRX) ÷ current price · As of 2026-09-04

Bull factors

Contract manufacturing emerges as the growth engine

Q2 2026 contract-manufacturing sales rose 53.4% year on year to KRW 49.7bn and made up 78.5% of the KRW 22.0bn total revenue increase, driving top-line growth. The 2025 full-year figure for the division was KRW 139.6bn, so the quarterly run-rate is now tracking above that pace.

IBK Securities forecast that as biosimilar competition shifts from price to formulation differentiation, Celltrion's expansion of subcutaneous formats will lift demand for finished PFS output and drive contract-manufacturing growth.

Margin structure trending better

The operating margin rose from 7.8% in 2024 to 10.5% in 2025 and reached 12.6% in Q2 2026, as a larger revenue base absorbed fixed costs and more products moved to in-house production.

The company said it would actively use products whose manufacturing has been internalized, such as Nesina, Actos and Edarbi, to focus on improving chemical profitability. Operating cash flow also expanded from KRW 8.8bn in 2023 to KRW 86.4bn in 2025, improving earnings quality.

Long-term capacity expansion plan

Celltrion Pharm plans to add 50mn syringes to its current 20mn annual PFS capacity for a total of 70mn, 3.5 times the existing level.

The new plant will house a one-stop line covering compounding, aseptic filling, assembly and packaging plus an assembly-materials facility, internalizing both finished production and materials sourcing.

The group has said that once the Yesan drug-product plant and the PFS expansion are complete, it could make roughly 90% of global finished-product demand in-house and cut costs versus overseas contract manufacturing.

Bear factors

Stagnant chemicals and price cuts

Chemical sales in Q2 2026 rose only 1.0% year on year to KRW 67.0bn, meaning a division accounting for nearly half of revenue is essentially flat. IBK Securities estimated 2026 chemical sales would grow just 2.5% because of price cuts on Godex. Godex sales were KRW 17.7bn in Q2 2026.

Dependence on the parent

Both domestic biosimilar sales and PFS contract manufacturing are tied to parent Celltrion's products and orders. IBK Securities said the core of the CMO growth is rising PFS production demand from the parent's biosimilar expansion.

The same broker viewed the pace of Celltrion's subcutaneous formulation rollout, the execution of Korean biosimilar policy and the resulting production and revenue contribution as the main variables ahead. Any change in the parent's product strategy or production allocation would feed directly into results.

Financial burden from large capex

At end-2025 equity stood at KRW 436.0bn and liabilities at KRW 323.5bn, a 74.2% debt-to-equity ratio. Against that balance sheet, the company is pursuing a KRW 2tn program, with KRW 1tn in phase one, breaking ground in 2028 for operation from 2032.

Funding structure and the timing of depreciation could reshape the profit and loss profile, and fixed-cost pressure may appear before volumes ramp. The company said internally it had long been reviewing the need to expand PFS capacity, but no detailed funding plan has been confirmed.

Risk factors

Regulation and drug pricing

Domestic prescription drugs are directly exposed to policy changes such as reimbursement reassessment and volume-linked pricing.

In July 2022 the Health Insurance Review and Assessment Service found Godex lacked reimbursement suitability, but after an appeal and re-review it was deemed suitable; a November 2022 decision to defer reimbursement was followed a month later by a policy committee ruling to keep it covered. With one flagship product carrying a large weight, such policy events amplify earnings volatility.

Competition and sales structure

Godex broadened its prescription base through co-promotion with Chong Kun Dang, but co-promotion contracts carry both commission costs and the risk of rights changing hands depending on terms. Korea's co-promotion market sees frequent shifts, as when the partner for K-CAB moved from Chong Kun Dang to Boryung.

For domestic biosimilars, analysts note that government policies to expand biosimilar use can simultaneously intensify competition.

Execution and schedule risk

The new PFS plant targets design and groundbreaking in 2028 with commercial production after GMP certification in 2032, so revenue contribution is years away. Permitting, construction and GMP certification each carry delay risk, and the KRW 1tn second phase is conditional on global demand. In the meantime, results hinge on utilization of the existing Ochang lines and order volumes from the parent.

What to watch next

October to early November 2026
Q3 2026 results. Watch whether contract-manufacturing growth holds near the 53.4% year-on-year pace of Q2, whether chemicals break out of low single-digit growth, and whether the quarterly operating margin stays in the 12% range.
Q4 2026
Whether the parent's second-half tender volumes and US formulary listings translate into actual PFS orders. Celltrion cited European public tender supply and year-end distributor stocking as second-half revenue drivers.
Early February 2027
Confirmed full-year 2026 results and the dividend resolution. This will show how far revenue and operating profit exceed 2025's KRW 536.4bn and KRW 56.1bn, and how high the combined biologics plus CMO share of sales has climbed.
During 2027
Filings on site confirmation, design contracts and funding for phase one of the Chungbuk PFS project. Since phase one is slated for design and groundbreaking in 2028, preparatory steps should surface in disclosures before then.
As approval processes progress
Whether the Cosentyx biosimilar CT-P55 wins Korean approval and reimbursement listing. The group has it in the approval process in Korea and North America, and approval plus pricing would add another product to Celltrion Pharm's domestic lineup.

Overall view

Celltrion Pharm's earnings structure has clearly changed over the past two years. Revenue grew from KRW 388.8bn in 2023 to KRW 536.4bn in 2025, and operating profit, stuck in the KRW 36-38bn range for nearly three years, expanded to KRW 56.1bn in 2025, restoring the margin to 10.5%.

In Q2 2026 revenue of KRW 153.3bn and operating profit of KRW 19.3bn took the margin to 12.6%, with most of the increment coming from contract manufacturing, up 53.4% year on year. Chemicals, close to half of revenue, grew just 1.0% in the same quarter, so growth and stagnation coexist within one company.

The KRW 2tn PFS expansion is a long-term plan to lift capacity from 20mn to 70mn syringes a year, but with phase one targeted for 2032 the payoff will take considerable time, and funding and depreciation burdens are separate items to verify.

That much of the growth is tied to the parent's product expansion and orders is both a structural feature and a variable. This report is for information purposes and contains no buy or sell opinion or target price.

Sources

Korea Exchange (KRX) — Prices · Market Cap · Volume
FSS electronic disclosure system (DART) — Financial statements · Dividend filings

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Report written 2026-09-05 · Data as of 2026-09-04

This content is AI analysis of market data and web search results, provided for information only. It is not a solicitation or recommendation to invest. Investment decisions and their consequences are the investor's own responsibility. Data may be delayed or contain errors.