[Click eStock] "EasyBio, Additive Demand Increase... Continued Performance Growth Next Year"

[Asia Economy Reporter Eunmo Koo] There is an analysis that EasyBio's performance growth will continue next year as various positive factors surround the company.

Shinhan Financial Investment estimated that EasyBio's third-quarter sales will reach 35.1 billion KRW, a 6.4% increase compared to the same period last year, and operating profit will increase by 17.3% to 7 billion KRW.

On the 15th, Hong Sejong, a researcher at Shinhan Financial Investment, stated in a report, "Both weaner pig feed and additives are performing well," and predicted, "Weaner pig feed sales are expected to increase by 8.3% to 20.4 billion KRW, and profit margins will also rise due to scale expansion." He also analyzed, "Market share in Korea is continuously rising based on product competitiveness, and sales of additives, which are the growth engine, are expected to increase by 3.9% to 14.7 billion KRW," adding, "Although the overseas feed market shrank by 10-20% due to the impact of COVID-19 and ASF (African Swine Fever), the company performed quite well."

Next year, consolidated sales are estimated to grow by 20.8% from this year to 148.3 billion KRW, and operating profit is expected to increase by 24.4% to 29 billion KRW. The outlook is positive with various favorable factors. Researcher Hong said, "First, overseas sales of additives, estimated at 17-18 billion KRW this year, are expected to increase to 30 billion KRW," and predicted, "As antibiotic use is banned, demand for additives is rapidly rising, and it is highly likely that approval for six products will be completed in China within this year."

Weaner pig feed is expected to play a role beyond just a cash cow. Researcher Hong said, "The domestic feed market grows at an annual rate of around 2%, but the growth rate of weaner pig feed is higher than that," and added, "With product competitiveness leading the way, market share is also on the rise, so weaner pig feed sales in 2021 are expected to increase by 14.9% to 79.1 billion KRW."

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