[Click eStock] "Microdigital Manufactures 'Cell Culture Bags,' Essential for COVID Vaccine Production"

[Asia Economy Reporter Hyunseok Yoo] ResearchAlum analyzed on the 24th that MicroDigital is manufacturing cell culture bags essential for COVID-19 vaccine production. No investment opinion or target price was provided.

MicroDigital is a company that manufactures bio-optical analysis equipment and consumables. It was listed on KOSDAQ through a technology special listing in June 2019. Its main products include bioanalysis equipment (LuBi, Lumi, Nabi, etc.), fully automated immunoassay automation systems (Diamond, Fasta, etc.), disposable cell culture systems (Cel Bic), and COVID antibody kits (Mdgen).

Researcher Seonghwan Choi of ResearchAlum stated, "The domestic bio materials and parts market is just beginning to bloom, and considering the precedent of localization in semiconductors, proactive investment in MicroDigital is deemed necessary."

Researcher Choi emphasized that MicroDigital is the only domestic company that has succeeded in localizing both disposable cell culture equipment and culture bags, which are currently dominated by foreign companies, and is producing them domestically, warranting attention.

He said, "Currently, large pharmaceutical companies subcontracting COVID vaccine production for companies like Novavax and Pfizer have to wait up to one year to receive culture bags, causing disruptions in vaccine supply. Culture bags are essential consumables used not only for vaccines but also for manufacturing and experimenting with biopharmaceuticals to shorten time."

Researcher Choi added, "In the past, stainless steel reusable bioreactors were widely used, but they have the disadvantage of requiring sterilization after cell culture. Using disposable culture bags allows skipping this process and simply replacing the bag, significantly saving time and initial facility costs. Therefore, most modern factories tend to use disposable equipment."

Especially since cell culture equipment is essential for biopharmaceutical and vaccine production, domestic large pharmaceutical companies' demand for domestic equipment is increasing, according to Researcher Choi. He noted, "Currently, MicroDigital's disposable cell culture system is understood to have completed sample deliveries to Samsung Biologics, SK Bioscience, and Celltrion. Once testing is complete, full-scale supply is expected to begin."

ResearchAlum forecasts that MicroDigital's sales and operating profit this year will reach 23.1 billion KRW and 1.4 billion KRW, respectively, representing a 950% increase and a return to profitability compared to the previous year. He said, "From the second quarter of this year, sales of COVID antibody diagnostic kits and COVID cell culture systems are expected to begin in earnest, making an earnings surprise possible. One-time costs incurred from new business expansion in the fourth quarter of last year will be eliminated, greatly improving profitability."

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