] South Korean drug maker Hanmi Pharmaceutical
said on Oct. 27 that its operating profit plunged 61.6 percent in the third quarter compared with the previous year when the firm’s revenue surged after winning a blockbuster licensing deal from German pharma giant Boehringer Ingelheim.
Operating profit came to 13.77 billion won (US$12.10 million) on consolidated basis, while sales decreased 18.1 percent to 219.72 billion won in the quarter ended on Sept. 30. It swung to a net profit of 6.3 billion won.
The sharp decline in operating profit was exacerbated by the high base in the same period last year following an 850 billion won agreement with Boehringer Ingelheim to jointly develop and sell a lung cancer treatment HM61713.
Hanmi received US$500 million as upfront payment.
A drop in sales of its Chinese unit Beijing Hanmi Pharmaceutical also dragged down earnings as it came to 42.8 billion won, down 13.5 percent from a year earlier.
“Sales and operating income are expected to improve in the fourth quarter as the upfront fee paid by Genentech which recently entered into an exclusive license agreement with Hanmi will be reported in the next quarterly balance sheet,” an official at the firm said.
By Park Han-na (firstname.lastname@example.org)