Psomagen

Psomagen was established in 2004 in Maryland, U.S. as Macrogen's American subsidiary and became the first foreign company to list on KOSDAQ under the technology special listing track in 2020.

Its core businesses are next-generation sequencing (NGS) and first-generation Sanger sequencing (CES) services; based on previously disclosed figures, NGS accounted for roughly 66% of revenue, CES about 27%, and direct-to-consumer (DTC) genetic testing about 7%, though the most recent segment mix has not been separately confirmed.

The company subsequently expanded into single-cell analysis in 2021, proteomics in 2022, and third-generation long-read sequencing in 2023, positioning itself as a multi-omics total-solution provider in North America. Its major clients include the U.S. National Institutes of Health (NIH), the Michael J.

Fox Foundation (Parkinson's GP2 project), Moderna, AstraZeneca, GSK, and the Chan Zuckerberg Initiative, with multi-year contracts from these institutions underpinning its revenue base.

Psomagen has renewed an annual contract worth roughly KRW 8.3 billion with Moderna, accumulating over KRW 20 billion in revenue from that relationship over three years, while separately securing an KRW 8.3 billion Parkinson's genomics contract with the Michael J.

Fox Foundation and a roughly KRW 10 billion Alzheimer's-related contract with NIH. Macrogen remains the controlling shareholder, holding about 36.88% as of the third quarter of 2023, with combined related-party ownership exceeding half, though the current shareholding structure requires separate confirmation.

In the competitive landscape, China-based Novogene—often cited as the world's largest genomic sequencing company—has reportedly used Psomagen as a reference point in its own online advertising, which some in the industry interpret as a sign of Psomagen's rising brand recognition in the U.S. market.

Kean Health, a home-wellness testing subsidiary Psomagen invested in during 2023, had a portion of its equity stake sold in the first half of 2026, removing it from the consolidation scope.

Psomagen's consolidated revenue fell from KRW 45.55 billion in 2022 to KRW 33.54 billion in 2023, then rebounded for two consecutive years to KRW 43.43 billion in 2024 and KRW 56.47 billion in 2025.

The operating loss widened from KRW 1.55 billion in 2022 to KRW 3.69 billion in 2023 and KRW 5.20 billion in 2024 before narrowing to KRW 2.15 billion in 2025, with the operating margin improving from -3.4% (2022) to -11.0% (2023), -12.0% (2024), and -3.8% (2025).

Net income attributable to owners also improved, with the loss shrinking from KRW 5.59 billion in 2024 to KRW 2.85 billion in 2025.

On a quarterly basis, losses narrowed steadily from KRW 1.64 billion in Q1 2025 to KRW 0.93 billion in Q2, KRW 0.29 billion in Q3, and a small profit of KRW 16 million in Q4 2025—the first positive quarter—before reverting to a KRW 331 million net loss in Q1 2026 on revenue of KRW 11.88 billion and an operating loss of KRW 661 million.

Over the trailing four quarters (Q2 2025 through Q1 2026), combined revenue reached KRW 57.77 billion with a net loss attributable to owners of about KRW 1.54 billion, suggesting the loss-narrowing trend on an annual basis has broadly continued.

Operating cash flow improved from -KRW 309 million in 2022 to KRW 1.67 billion in 2023 and KRW 3.04 billion in 2024, before easing to KRW 789 million in 2025, indicating cash generation has generally held up despite net losses.

However, owners' equity declined every year, from KRW 38.20 billion in 2022 to KRW 25.81 billion in 2025, while the debt ratio jumped from 37.9% to 93.6% over the same period, signaling that cumulative losses have pressured the balance sheet.

Media reports have also noted that on a standalone (non-consolidated) basis, full-year 2025 operating profit turned positive for the first time in company history—a figure that excludes subsidiary-level losses and is distinct from the consolidated loss reported above.

The global genomic sequencing and multi-omics analysis market is driven by government research budgets, pharmaceutical R&D outsourcing, and direct-to-consumer (DTC) testing demand, making it more sensitive to policy and budget cycles than to general economic conditions.

The largest competitors in the space are China-based BGI, MGI Tech, and Novogene, which have long held substantial global market share on the strength of price competitiveness.

The BIOSECURE Act, signed into law in the U.S. on December 18, 2025 as part of the Fiscal Year 2026 National Defense Authorization Act, restricts federal agencies from using equipment or services from designated 'biotechnology companies of concern,' and the Department of Defense's 1260H list already includes BGI and MGI Tech.

However, the Office of Management and Budget's initial list of concern companies is not due until December 18, 2026—one year after enactment—and subsequent implementing guidance and Federal Acquisition Regulation amendments could take an additional one to two years, meaning actual regulatory effects are likely to be phased in gradually.

Industry groups such as the Korea Biotechnology Industry Organization expect competition among Korean, Indian, Japanese, and European companies to intensify as they vie to fill the market gap left by Chinese firms, and Psomagen, as a Macrogen affiliate, has been mentioned as one company that could potentially benefit from this shift.

Macrogen itself has stated it is still monitoring how the situation may affect Psomagen, suggesting any benefit may take time to materialize. Domestically, AI-driven genomic interpretation companies such as 3billion have also entered the U.S. market, adding further competitive intensity.

When reporting Q1 2026 results, the company stated that standalone operating results had reached breakeven and that it expected to continue aggressive, profitability-focused management through the remaining quarters with a goal of achieving full-year operating profit.

Media reports (based on an August 14, 2026 disclosure, preliminary) indicated that H1 2026 operating income turned positive at USD 93,000, a result attributed to revenue growth, cost reduction, and the recognition of discontinued-operations gains from the partial divestiture of subsidiary Kean Health.

This H1 2026 figure falls outside the period covered in this report (through Q1 2026) and should be treated as preliminary pending formal disclosure.

Operationally, the company obtained clinical laboratory certification in molecular genetics testing from the New York State Department of Health, broadening its eligibility for the North American clinical market, and reports indicated DTC genetic testing revenue in Japan more than doubled year over year.

Shinhan Investment Corp, in a past report, cited strong growth in Moderna-related revenue and discussions around a new global pharmaceutical client contract as potential drivers of expansion in the NGS/CES business, though it did not issue a price target or investment rating.

On June 30, 2026, the board disclosed a resolution to reduce additional paid-in capital by USD 75 million to fully offset an accumulated deficit of USD 61.33 million, which the company said was purely an accounting reclassification with no change to equity or shares outstanding.

Whether the company benefits from the BIOSECURE Act will likely depend on the OMB's publication of its list of concern companies, expected around December 2026, and the pace of subsequent rulemaking.