Celltrion Pharm’s Second-Quarter Operating Profit Surges 50% as Profitability Improves, Driven by Three Factors

Celltrion Pharm reported provisional second-quarter 2026 operating profit of 19.3 billion won based on separate financial statements. The figure was up 24.37% from the same period a year earlier and surged 49.64% from the previous quarter. Revenue for the period was 153.2 billion won, up 16.75% year over year and 16.02% from the previous quarter. Net income was 13.7 billion won, an increase of 23.74% from the same period a year earlier.

For the first half cumulatively, the company reported revenue of 285.4 billion won and operating profit of 32.2 billion won. Those figures represented growth of 17.06% and 22.65%, respectively, from the cumulative results for the same period a year earlier.

■ Three business segments driving improved profitability

The key to the improved results was balanced growth across the contract manufacturing organization (CMO), biologics and chemicals businesses. The second-quarter operating margin was 12.6%, up 0.8 percentage points from the same period a year earlier, maintaining profitability in the double digits.

CMO revenue surged 53.4% year over year to 49.7 billion won. The increase resulted from utilization of the prefilled syringe (PFS) manufacturing facilities reaching its maximum as global demand rose for Zymfentra (the US product name for Remsima SC), a subcutaneous formulation therapy from the Celltrion Group, among other products.

Revenue from the biologics business increased 12.5% year over year to 36.6 billion won. Among the products, the oncology drug Vegzelma recorded 4 billion won, a 93.9% increase from the previous year, while prescriptions for key products including Remsima (11.5 billion won) and Yuflyma (2.4 billion won) also expanded.

The chemicals business recorded revenue of 67 billion won. The liver disease treatment Godex served as a stable cash cow, generating 17.7 billion won (+10.1%).

■ Task of demonstrating corporate value ahead of merger

Another reason Celltrion Pharm’s results are drawing attention is their significance in the context of corporate governance restructuring. Following completion of the first-stage merger between Celltrion and Celltrion Healthcare at the end of 2023, the second-stage merger with Celltrion Pharm remains. The merger is regarded as the final step in the integrated Celltrion’s transformation into a global, comprehensive biopharmaceutical company.

Analysts say the rapid market penetration of new products in the United States is directly driving higher PFS revenue for Celltrion Pharm. The view is that the company’s current strong results and improved profitability could work in favor of Celltrion Pharm shareholders during the process of determining the merger ratio.

■ Second-half outlook and mid- to long-term strategy

New biosimilar products, including the allergic asthma treatment Omlyclo and the ophthalmic disease treatment Eydenzelt, are expected to establish a full presence in domestic and overseas markets during the second half. The key question will be whether the company can achieve top-line growth while maintaining profitability.

Over the mid to long term, the Celltrion Group has presented a blueprint to target the global market, valued at 400 trillion won, by securing a biosimilar portfolio of 18 products by 2030 and 41 products by 2038. As it accelerates its shift toward developing next-generation drugs, including antibody-drug conjugates (ADCs) and multispecific antibodies, Celltrion Pharm is expected to play a key role in producing and commercializing related clinical materials.

Celltrion Pharm operates PFS manufacturing facilities in Cheongju, North Chungcheong Province, and elsewhere that meet FDA and EMA standards, serving as a production hub in the global supply chain. Industry experts view the integrated entity’s potential synergies positively in terms of maximizing cost competitiveness and securing funding for research and development investment after the merger.

However, the results disclosed this time are provisional figures from before completion of the external auditor’s audit and may be subject to some changes during the subsequent closing process.