[Market Feature] Geninus Rises on Analysis of Transition to New Drug Development Platform Company

As of 9:30 a.m. on October 23, the share price of Geninus on the KOSDAQ market was up 15% from the previous closing price, trading at 2,200 won. This appears to be due to a securities firm’s analyst report indicating that the company is transitioning from a diagnostics business to a new drug development platform company.

On this day, Daishin Securities published a 'Not Rated' report, analyzing that Geninus is shifting its business structure toward new drug development and is also recovering its profitability.

Hansong Hyup, an analyst at Daishin Securities, stated, "For next-generation anticancer drugs such as ADCs (antibody-drug conjugates) and bispecific antibodies, the tumor microenvironment (TME) and intercellular interactions determine drug efficacy. Therefore, advanced genomic data such as spatial omics and the ability to interpret this data are crucial. In line with this trend, Geninus is moving away from a diagnostics-focused business model and is transitioning into an AI and genomics-based new drug development platform company."

In this context, Geninus has secured 400 million spatial transcriptomics data points and single-cell data from 4,000 patients in collaboration with major hospitals in Korea and abroad. Through Japan’s MONSTAR-3 project, the company has also gained access to 43,000 genomic datasets and data from 3,200 patients. Geninus is currently in the commercialization stage through contracts with major domestic pharmaceutical and biotech companies.

Daishin Securities projected that Geninus’s revenue for this year will reach 11.2 billion won, a 73% increase year-on-year, but forecasted that the company will continue to post a net loss. In the first half of the year, revenue grew 60% year-on-year, driven by the full-scale contribution from its Japanese subsidiary.

Meanwhile, Geninus secured liquidity through a 10 billion won convertible bond investment from the Korea Investment Consortium in May, ending the first half with 16 billion won in cash. As a result, the company is expected to be able to operate without additional fundraising until the middle of next year.

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