Yuhan Yanghaeng, Last Year's Sales 1.6878 Trillion Won... Operating Profit Down 42%

[Asia Economy Reporter Chunhee Lee] Yuhan Corporation continued its sales growth last year, recording sales of 1.6878 trillion KRW. However, operating profit declined due to the base effect from technology exports made in 2020.

Yuhan Corporation announced its provisional consolidated financial results on the 16th. Last year's sales reached 1.6878 trillion KRW, a 4.2% increase compared to the previous year. On the other hand, operating profit was 48.59612 billion KRW, and net profit was 99.12668 billion KRW, down 42.3% and 47.9%, respectively.

Despite overall sales growth from the parent company and subsidiaries, the sharp decline in profits was explained by Yuhan Corporation as "due to a decrease in license revenue and a reduction in gains from the disposal of assets held for sale." In 2020, there was a sharp increase in profits from milestone receipts related to technology exports and the disposal of the Gunpo factory site, and last year showed a base effect from these factors.

In 2020, Yuhan Corporation received a milestone payment of 35 million USD (approximately 41.9 billion KRW) from Janssen Biotech, which is co-developing the non-small cell lung cancer treatment 'Reclaza' (generic name 'Lazertinib'), related to clinical trial stages. Additionally, the disposal of the Gunpo factory site resulted in a gain on disposal of tangible assets amounting to 132.8 billion KRW, which was reflected in the 2020 net profit.

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