[Click eStock] "Syntekabio Expected to Achieve Full Profitability by 2026"

On October 30, GL Research issued a 'positive' investment opinion on Syntekabio, stating that the company is advancing its core AI drug discovery technologies to the commercialization stage and that platform revenue is expected to ramp up, driven by its supercomputing infrastructure.

Syntekabio is a domestic AI drug discovery company that utilizes AI technology to identify new drug candidates. It has established an integrated structure capable of handling all stages of synthetic drug, antibody drug, and cancer vaccine development, based on its supercomputing center (ABSC) and proprietary AI platforms (Sm-ARS™, Ab-ARS™, NEO-ARS®).

Park Changyoon, a researcher at GL Research, explained, "The company is accelerating the commercialization of AI drug development, focusing on its AI Driven Asset Program," and added, "Syntekabio has already established a structure in which AI discovers synthetic and antibody drug candidates in silico and provides them as high-value assets through external validation."

In particular, in the antibody field, Syntekabio uses its proprietary Ab-ARS™ platform, where AI designs the CDR, which is the core region of the antibody, and selects the optimal candidates from tens of thousands of variants. Approximately 20 antibody programs are underway, including global blockbuster targets such as PD-1, HER2, and IL-23. In the synthetic drug field, the LM-VS platform, a large language model-based virtual screening technology, is being utilized. This technology is noted for its ability to rapidly identify optimal candidates for each target by screening a compound library of up to more than 10 billion compounds.

The company is also building a recurring revenue structure by collaborating with global pharmaceutical companies through a Fee-for-Service (FFS) model. Park noted, "Syntekabio has demonstrated tangible revenue generation through project-based contracts with numerous domestic and international partners," and analyzed, "The company is securing both short-term cash flow and long-term partnerships through upfront project fees, provision of candidate lists, a stage-based billing structure for validation, and the potential for IP sharing."

In the first half of this year, Syntekabio launched its LM-VS platform in the global market as a SaaS (Software as a Service) model, thereby establishing a subscription-based revenue stream. Research institutions and pharmaceutical companies can use the platform via API calls or annual subscription plans. In the second half of this year, the company expanded its service offering by additionally launching a PaaS (Platform as a Service) model.

He evaluated, "The PaaS model is not just simple server rental, but a subscription service that provides Syntekabio's dedicated AI drug discovery platform on a flat-rate basis," adding, "It is a total AI solution that includes hardware, data center infrastructure, and professional personnel support, offering high scalability." Through this service, pharmaceutical companies can immediately utilize global-level AI drug discovery capabilities without building separate infrastructure, and Syntekabio is working to expand its domestic and international customer base on this foundation.

Alongside this platform business expansion, Syntekabio is also pursuing new businesses such as co-location and data center consulting services for corporations and institutions, leveraging its supercomputing center (ABSC). The company aims to achieve annual revenue of approximately 3 billion won from these new businesses utilizing ABSC infrastructure starting in 2025.

He projected, "Syntekabio has established a diversified revenue structure through its AI platform, co-location and data center consulting business, and SI business, and is expected to turn profitable in 2026 and enter a phase of accelerated growth in 2027." He further commented, "With the completion of large-scale CAPEX investments, cost burdens have been alleviated, and profitability improvements driven by revenue growth are expected to materialize in earnest."

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