[Featured Stock] Newgilab Eases Concerns Over Management Designation... 'Momentum Builds for Novel Anti-Cancer Drug Development'

[Asia Economy Reporter Hyungsoo Park] Newgelab is showing strong performance. The news that it succeeded in turning operating profit positive on a separate basis last year, alleviating concerns about being classified as a management item, appears to have influenced its stock price.

As of 9:07 AM on the 7th, Newgelab is trading at 11,500 KRW, up 5.5% from the previous day.

Newgelab announced that its operating profit on a separate basis last year reached 2.38 billion KRW, marking a turnaround to profitability. During the same period, sales amounted to 95.81 billion KRW, an increase of approximately 416% compared to the previous year. With the full-scale opening of the 5G era last year, sales of mobile devices and accessories increased significantly.

The CCTV business also enhanced its overseas competitiveness by effectively exploiting the niche market created by the US-China security issues, which led to a decline in sales of Chinese products. Additionally, it is strengthening market competitiveness through sales of intelligent CCTV products such as thermal imaging cameras and the development of customized new products for customers.

A company official said, "Along with quarterly performance improvements, the anticipation of anticancer drug development and other issues received positive evaluations in the stock market," but added, "Concerns about being classified as a management item remained."

He continued, "This year, we plan to further increase corporate value by not only growing existing businesses but also by actively advancing the development of anticancer new drugs secured as future growth engines."

The anticancer new drug development project, being conducted through Newgelab Pharma, a 100% subsidiary in the United States, is also expected to accelerate. Since last year, Newgelab has been conducting preclinical stages in collaboration with Covance, the world's No. 1 clinical research organization (CRO). Furthermore, it is speeding up business progress by producing active pharmaceutical ingredients for clinical trials and sales use at Merck, a global pharmaceutical company in Germany.

This content was produced with the assistance of AI translation services.