Brokerage : Yuanta Securities
Analyst : Hyun-soo Ha
Investment Rating : BUY (Maintained)
Target Price : KRW 270,000 (Maintained)
Core Momentum : Profitability enhancement driven by an expanding revenue share of new biosimilars, alongside global capacity expansions to support portfolio additions and CMO demand
📊 1. [Valuation & Key Financial Metrics]
- Rating and Target Price: BUY (Maintained), Target Price KRW 270,000 (Maintained), offering 39% upside potential against the base share price of KRW 194,700 (as of 05/06).
- Consolidated Financial Summary & Forecasts (K-IFRS):
- 2024A: Revenue KRW 3,557B, Operating Profit KRW 492B, Net Profit (Controlling) KRW 423B, P/E 96.4x, P/B 2.2x, ROE 2.5%, EV/EBITDA 45.5x
- 2025A: Revenue KRW 4,162B, Operating Profit KRW 1,168B, Net Profit (Controlling) KRW 1,030B, P/E 38.6x, P/B 2.2x, ROE 5.9%, EV/EBITDA 28.6x
- 2026F: Revenue KRW 5,358B, Operating Profit KRW 1,788B, Net Profit (Controlling) KRW 1,465B, P/E 29.8x, P/B 2.3x, ROE 8.2%, EV/EBITDA 22.0x
- 2027F: Revenue KRW 5,862B, Operating Profit KRW 2,047B, Net Profit (Controlling) KRW 1,572B, P/E 27.5x, P/B 2.1x, ROE 8.2%, EV/EBITDA 19.2x
- 1Q26 Preliminary Earnings:
- Consolidated Revenue reached KRW 1,145.0B (+36.0% YoY, -13.9% QoQ) and Operating Profit was KRW 321.9B (+115.5% YoY, -32.3% QoQ, OPM 28.1%), meeting consensus estimates (Revenue KRW 1,126B, OP KRW 314B).
- Net Profit (Controlling) recorded KRW 350.0B (+222.5% YoY).
🚀 2. [Market Opportunities & Business Outlook]
- Segment Sales & Profitability Shift:
- Mature product revenue (Remsima IV, Truxima, etc.) decreased slightly to KRW 393.0B (-6.5% YoY), while new product sales (Remsima SC, Omlyclo, etc.) surged to KRW 581.2B (+67.4% YoY).
- Total biosimilar revenue reached KRW 974.2B (+26.9% YoY), with the rising proportion of new products driving overall corporate profitability.
- Commercialization & Market Share by Product:
- Mature Lineup: Remsima IV and Truxima maintained stable market shares, and Herzuma sustained strong share in Japan.
- New Lineup: Remsima SC/Zymfentra demonstrated steady prescription gains. Yuflyma SC completed its EU regulatory application and targets a 2H26 launch to expand European coverage. Omlyclo is expanding market share in Europe ahead of a 2H26 US launch. Ossevelt/Stevqeyma secured formulary listings on 3 out of the top 5 US PBM preferred drug lists.
- Manufacturing Expansion & Portfolio Roadmap:
- Increasing drug substance (DS) capacity from 316kL to 571kL through expansions at Songdo Plants 4–5 (180kL, targeting completion/validation by 2030) and the US Branchburg facility (75kL).
- Capacity build-out aligns with the expansion of commercialized biosimilar products from 11 currently to 18 by 2030 and 41 by 2038, while accommodating global CMO demand following new contracts secured in March.
📝 Editor’s Comment (Perspective)
The analyst views Celltrion as a biopharmaceutical enterprise that is structurally improving its profitability through an increasing sales mix of new biosimilars—such as Remsima SC and Omlyclo—while proactively scaling manufacturing capacity to support long-term portfolio growth and global CMO orders. This perspective emphasizes commercial execution across major global markets, new formulation launches, and long-term manufacturing scalability over short-term quarterly variances.
To determine whether this investment thesis continues to materialize, key tracking points will be whether Omlyclo’s 2H26 US rollout and Yuflyma SC’s European launch sustain the revenue growth momentum of the new product portfolio, whether formulary inclusion of Ossevelt/Stevqeyma across major US PBMs translates into tangible prescription gains, and whether capacity expansions at Songdo and Branchburg proceed on schedule to meet both internal and CMO production requirements. These developments can be verified through upcoming quarterly earnings releases, official IR presentations, and regulatory filings.
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