KOSDAQBiotech & Pharma191420

Tego Science

₩7,040▼ 2.90%2026-10-02 close

Market Cap

₩58.1B

Turnover

₩24,809,590

Volume

3,474 shares

Shares out.

8.1M

PER

—

PBR

1.4×

EPS

-₩1,613

Dividend Yield

0.00%

PER, EPS, PBR and BPS are calculated in-house from the last 4 quarters (2025Q3–2026Q2) · Dividend yield is based on ₩0 per share · Prices as of the 2026-10-02 close

Report overview

Widening Losses Amid US Trial Expansion

As revenue declines and net losses widen, the US Phase 2 entry of rotator cuff therapy TPX-115 stands as the key test for a future earnings turnaround.

1
Consolidated revenue has declined for two consecutive years since 2023, while operating and net losses have widened each year.
2
TPX-115 received FDA approval to enter Phase 2 directly, skipping Phase 1, with the first US patient enrolled in November 2025.
3
Rosmir converted from conditional to final marketing approval in May 2024, removing a key regulatory overhang.
4
A KRW 27 billion convertible bond issued in 2025 becomes subject to early redemption requests starting December 30, 2026, remaining a financing overhang.
5
The company diversified its business portfolio by bringing P&P Pharm into its consolidated subsidiaries in May 2026.

Business structure

Tego Science is a biotech company founded in 2001 specializing in cell therapy development and manufacturing based on its cell culture technology.

The company holds 3 approved products (5 indications) out of 16 approved cell therapy products in Korea, selling the autologous cultured skin product Holoderm for burns, the allogeneic cultured skin product Kaloderm for diabetic foot ulcers, and the autologous cell therapy Rosmir for under-eye wrinkle improvement.

Rosmir was first launched under conditional approval in 2017, confirmed efficacy in a Phase 3 trial in 2023, and received final marketing approval from the Ministry of Food and Drug Safety (MFDS) in May 2024, removing the conditional-approval burden.

Most of the company's revenue comes from its cell therapy segment, which originated in burn and foot-ulcer treatments and has expanded into skin and musculoskeletal disease research.

The company also operates a contract development and manufacturing (CDMO) business and provides animal-testing-alternative research services using its 3D cultured skin, leveraging its own GMP facilities.

In May 2026, the company acquired a stake in P&P Pharm and brought it into its consolidated subsidiaries, expanding its number of consolidated subsidiaries from one to two and broadening its business portfolio.

The center of pipeline expansion is TPX-115, an allogeneic cell therapy for partial rotator cuff tears, which is in domestic Phase 2b/3 trials and a US Phase 2 trial. Comparable domestic cell therapy and regenerative medicine companies include Pharmicell, Nature Cell, Kolon Life Science, Hans Biomed, and Medipost.

Earnings trend

Quarterly revenue · Operating profit

₩1.6B-₩500M25Q2₩1.6B-₩1B25Q3₩1.4B-₩2.1B25Q4₩1.2B-₩1.9B26Q1₩2B-₩1.2B26Q2

RevenueOperating profit

Annual revenue · Operating profit

₩7.7B₩200M2022₩7.8B-₩1.2B2023₩6.8B-₩2.2B2024₩5.9B-₩4.4B2025

RevenueOperating profit

Quarterly results · Last 5 quarters
Quarter	Revenue	Operating profit	Op. margin
2025Q2	₩1.6B	-₩500M	−28.6%
2025Q3	₩1.6B	-₩1B	−59.0%
2025Q4	₩1.4B	-₩2.1B	−152.1%
2026Q1	₩1.2B	-₩1.9B	−155.8%
2026Q2	₩2B	-₩1.2B	−58.5%

Annual results
Year	Revenue	Operating profit	Net income (parent)	Op. margin	ROE	Debt-to-equity
2022	₩7.7B	₩200M	₩300M	2.7%	0.5%	5.9%
2023	₩7.8B	-₩1.2B	-₩2.3B	−15.3%	−5.0%	5.6%
2024	₩6.8B	-₩2.2B	₩3.3B	−33.0%	6.7%	5.7%
2025	₩5.9B	-₩4.4B	-₩7B	−74.5%	−13.9%	55.3%

Consolidated basis (financial statements including subsidiaries) · Final figures from DART filings · Net income attributable to owners of the parent · Data as of 2026-08-23

Earnings analysis

Consolidated revenue rose slightly from KRW 7.68 billion in 2022 to KRW 7.77 billion in 2023, then declined for two straight years to KRW 6.76 billion in 2024 and KRW 5.94 billion in 2025.

Operating profit was positive at KRW 0.21 billion in 2022 but turned to losses of KRW -1.19 billion in 2023, KRW -2.23 billion in 2024, and KRW -4.42 billion in 2025, with the operating margin deteriorating from 2.7% in 2022 to -74.5% in 2025.

Net income attributable to owners was positive in 2022 (KRW 0.26 billion) and 2024 (KRW 3.35 billion) but swung to losses in 2023 (KRW -2.32 billion) and 2025 (KRW -7.01 billion), showing large year-to-year variance.

The 2024 net profit, despite a widening operating loss, is understood to reflect one-off non-operating gains.

On a quarterly basis, net losses attributable to owners deepened from KRW -0.33 billion in Q2 2025 to KRW -0.98 billion in Q3 2025 and KRW -5.04 billion in Q4 2025, continuing into KRW -2.00 billion in Q1 2026 and KRW -4.89 billion in Q2 2026, bringing the cumulative net loss over the most recent four quarters (Q3 2025 through Q2 2026) to roughly KRW -12.91 billion.

The fact that net losses in Q4 2025 and Q2 2026 far exceeded operating losses suggests that rising non-operating expenses further weighed on results.

In Q1 2026, revenue fell 8.7% year-over-year while the operating loss expanded 110.1% and the net loss expanded 204.7%, reflecting a combination of declining sales and profitability in the cell therapy segment along with rising cost burdens.

Operating cash flow deteriorated from +KRW 1.04 billion in 2022 to KRW -0.79 billion in 2023, KRW -1.16 billion in 2024, and KRW -3.07 billion in 2025, indicating an accelerating pace of cash burn.

The debt ratio stayed in the low single digits (around 5%) from 2022 through 2024 but jumped to 55.3% in 2025, a change attributed to the convertible bond issued in May 2025 being recognized as a liability.

Industry analysis

The rotator cuff tear treatment market remains an unmet-need area with no approved therapies to date, and the global market size is projected to grow from roughly KRW 9 trillion currently to KRW 19 trillion by 2034.

In this space, Australia's Orthocell and Canada's Replicel each target tendinitis/tendinopathy (Stage I-II) with autologous tendon-cell or hair-follicle-cell based therapies, while Tego Science's TPX-115 uses allogeneic fibroblasts and is positioned to cover a broader treatment range up to Stage II-III, a differentiating factor the company highlights.

In the facial aesthetics market, a domestic segment worth about KRW 400 billion and a global segment worth about KRW 13 trillion for wrinkle improvement sees cell therapies competing against established treatments such as botulinum toxin and dermal fillers.

Rosmir, having moved past conditional approval, has established itself as Korea's only approved wrinkle-improvement cell therapy, though its revenue contribution has not yet been large enough to drive a company-wide earnings turnaround.

In the domestic regenerative medicine and cell therapy sector, Pharmicell, Nature Cell, Kolon Life Science, Hans Biomed, and Medipost are cited as comparable competitors, each shaping the market with different indications and platforms.

The cell therapy industry broadly features long clinical and approval timelines with heavy upfront investment burdens, but tends to have higher barriers to entry once approval is secured.

Outlook

The company's core pipeline asset TPX-115 completed domestic Phase 2b patient enrollment in November 2025 and targets entry into Phase 3 in the domestic trial during Q4 2026.

In the United States, the FDA approved the Phase 2 trial plan in February 2025, allowing the company to skip Phase 1 and enter directly into Phase 2, with the first US patient enrolled on November 26, 2025 (local time), marking the formal start of US clinical activity.

The US Phase 2 trial is expected to run for about two years, and the company appears to have followed through on its previously stated target of enrolling the first patient in Q4 2025.

TPX-121, an allogeneic fibroblast cell therapy positioned as a successor to Rosmir for nasolabial fold wrinkles, received Phase 1 approval in July 2024 but was terminated early at the end of December 2025, about six months ahead of schedule, with the company stating it expects Phase 2/3 trial plan approval by Q3 2026 at the latest.

In May 2025, the company issued a KRW 27 billion convertible bond to fund domestic and overseas clinical costs and to build US local manufacturing and distribution infrastructure, with an investment schedule that calls for roughly KRW 8 billion per year from 2027 through 2030.

The company also appears to be searching for a joint venture partner for local US manufacturing.

In May 2026, it brought P&P Pharm into its consolidated subsidiaries in an attempt at business diversification, and at its March annual general meeting it resolved articles-of-incorporation amendments to strengthen shareholder return policy.

Valuation

PER

—

PBR

1.4×

ROE

-25.3%

EPS

-₩1,613

BPS

₩5,448

Dividend per share

₩0

With cumulative net losses attributable to owners continuing over the most recent four quarters, a price-to-earnings ratio cannot be meaningfully calculated. The stock trades at a level above its per-share net asset value, which can be interpreted as the market attaching a premium to book value.

The company has not paid a cash dividend through its most recent fiscal year, putting it at a relative disadvantage on dividend yield within its sector.

That said, the articles-of-incorporation amendment to strengthen shareholder return policy resolved at the March 2026 annual general meeting suggests the possibility of future changes to shareholder return policy.

On the earnings side, the swing from a profit in 2022 to a loss in 2023, a temporary profit in 2024, and another large loss in 2025 shows a pattern without a clear consistent direction, complicating valuation interpretation.

Given the small market capitalization typical of this KOSDAQ biotech stock, valuation metrics can be subject to significant volatility around individual events such as clinical trial results or financing news.

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 2026-08-23

Bull factors

US Phase 2 Entry Targets a Large Unmet-Need Market

The FDA recognized the company's proprietary allogeneic cell bank technology and approved direct entry into Phase 2 without a Phase 1 trial, and the first US patient was enrolled on November 26, 2025 (local time).

The rotator cuff treatment market currently has no approved therapies, with the global market projected to grow from KRW 9 trillion to KRW 19 trillion by 2034. If the US trial proceeds as planned, it could serve as a foothold for new regional revenue generation.

Rosmir's Final Approval Removes Conditional-Approval Risk

Rosmir, launched under conditional approval in 2017, reconfirmed its efficacy in a 2023 Phase 3 trial and received final marketing approval from the MFDS in May 2024.

It is cited as one of the few domestic cell therapy or biologic drugs among those conditionally approved over the past decade to have its safety and efficacy reconfirmed and converted to final approval.

This reduced regulatory uncertainty and reinforced its position as Korea's only approved wrinkle-improvement cell therapy.

Business Diversification and Shareholder Return Policy Changes

In May 2026, the company acquired a stake in P&P Pharm, expanding its consolidated subsidiaries from one to two in an effort at business portfolio diversification.

At its March 2026 annual general meeting, it resolved articles-of-incorporation amendments to strengthen shareholder return policy and accountable management.

The addition of a new subsidiary alongside existing cell therapy sales, CDMO, and animal-testing-alternative businesses opens up the possibility of revenue diversification.

Bear factors

Stagnant Revenue and Widening Losses

Consolidated revenue peaked at KRW 7.77 billion in 2023, then fell for two straight years to KRW 6.76 billion in 2024 and KRW 5.94 billion in 2025, while the operating loss widened from KRW -1.19 billion to KRW -4.42 billion over the same period.

In Q1 2026, revenue fell 8.7% year-over-year while the operating loss expanded 110.1% and the net loss expanded 204.7%. This reflects a combination of declining sales and profitability in the cell therapy segment alongside rising cost burdens.

Accelerating Cash Burn and Large Net Losses

Operating cash flow deteriorated from +KRW 1.04 billion in 2022 to KRW -3.07 billion in 2025.

Net losses attributable to owners expanded far beyond the scale of operating losses, reaching KRW -5.04 billion in Q4 2025 and KRW -4.89 billion in Q2 2026, bringing the cumulative figure over the most recent four quarters to roughly KRW -12.91 billion. Volatility in non-operating income and expense is cited as a factor that complicates earnings predictability.

Dilution Overhang from Convertible Bonds

Tego Science issued a KRW 27 billion convertible bond by board resolution in May 2025, with a conversion price of KRW 17,713 that could result in the issuance of 1,524,304 new shares, equal to 18.8% of total shares outstanding.

While the absence of a refixing clause has been viewed positively, actual exercise of the conversion right would inevitably dilute existing shareholders. Starting December 30, 2026, bondholders also gain the right to request early redemption, which could add to the company's funding burden.

Risk factors

Clinical and Regulatory Delay Risk

The TPX-121 Phase 1 trial was terminated early at the end of December 2025, about six months ahead of its original schedule, illustrating how clinical timelines can diverge from plan.

The company stated it expects Phase 2/3 trial plan approval by Q3 2026 at the latest, but the actual approval timing depends on MFDS review outcomes. TPX-115's entry into domestic Phase 3 and completion of its US Phase 2 trial could also deviate from their currently stated schedules.

Financial and Funding Risk

The KRW 27 billion convertible bond issued in 2025 becomes subject to bondholders' early redemption requests starting December 30, 2026, which could increase the company's funding burden if exercised. The debt ratio jumped from 5.7% in 2024 to 55.3% in 2025, marking a substantial shift in capital structure.

Cell therapy revenue alone continues to fall short of covering large-scale clinical investment costs, leaving open the possibility of further capital raising.

Competitive and Market Risk

In the rotator cuff treatment space, Australia's Orthocell and Canada's Replicel are competing with similar cell therapy platforms, suggesting the race for global market leadership will continue.

Domestically, multiple competitors such as Pharmicell, Nature Cell, Kolon Life Science, Hans Biomed, and Medipost exist in the cell therapy and regenerative medicine sector.

Given the small market capitalization typical of this KOSDAQ stock, share price volatility tied to individual events remains a persistent risk factor.

What to watch next

During Q3 2026
Check whether the Phase 2/3 trial plan (IND) for TPX-121 is approved — the company has said it expects approval by Q3 2026 at the latest following submission of the clinical study report from the early-terminated Phase 1 trial.
Q4 2026
Check whether TPX-115's domestic trial advances from Phase 2b to Phase 3 — the company has targeted Q4 2026 for this transition after completing Phase 2b patient enrollment in November 2025.
Mid-to-late November 2026
Check the Q3 2026 earnings disclosure — a key point to watch is whether revenue, operating loss, and net loss trends continue the deteriorating pattern seen over the past four quarters.
December 30, 2026
The 6th-series convertible bond's early redemption (put option) right first becomes exercisable — worth monitoring whether bondholders request early redemption and how the company secures funds in response.
From Q4 2026 onward
Check IR updates on patient enrollment progress in the US TPX-115 Phase 2 trial — the trial is scheduled to run for about two years following the first patient enrollment in November 2025.

Overall view

Tego Science's business is anchored by sales of three approved cell therapy products (Holoderm, Kaloderm, and Rosmir) and its CDMO business, yet consolidated revenue has declined for two consecutive years since 2023 while operating and net losses have widened.

Q1 and Q2 2026 results continued this pattern of declining revenue and expanding losses, with net losses in Q4 2025 and Q2 2026 in particular far exceeding operating losses, highlighting the impact of non-operating factors.

The core of the company's growth narrative rests on the progress of TPX-115's US Phase 2 and domestic Phase 2b/3 trials for rotator cuff tears, along with the development of TPX-121, positioned as a successor to Rosmir.

TPX-115 received FDA approval to skip Phase 1 and enter Phase 2 directly, with the first US patient enrolled in November 2025, while the domestic trial targets Phase 3 entry in Q4 2026.

This pipeline progress is being funded in part by a KRW 27 billion convertible bond issued in 2025, which becomes subject to early redemption requests starting December 30, 2026, remaining a funding variable going forward.

With no dividends currently being paid and recent earnings lacking a consistent direction, it is important to track both clinical/regulatory timelines and changes in the capital structure together.

Ahead of any investment decision, it is worth continuously monitoring concrete upcoming events such as trial plan approvals, Q3 earnings, and convertible bond-related developments.

Sources

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

Show 18 more articles and sources

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.