Samsung Biologics said Wednesday its operating profit in 2019 rose 65 percent on-year, on the back of increased revenue.

The company recorded 701.6 billion won ($602 million) revenue with operating profit of 92 billion won operating profit, up 31 percent and 65 percent on-year, respectively.

The growth was credited to the enhanced operation rate of its three plants.

Its net profit recorded 203 billion won, a 21 billion won, or -9.5 percent, fall on-year. Samsung Biologics explained this reflects the cash influx of 389 billion won asset transfer from Biogen in November 2018.

Samsung Biologics Vice President John Rim had said at the JP Morgan Healthcare Conference 2020 that the company had reached near-full operation capacity at the first and second plants, and 35 percent utilization rate of the third plant.

“Our goal last year was to achieve 50 percent utilization rate for the third plant, but the accounting controversy hampered that. For 2020, we aspire to utilize 60 percent capacity at the plant,” Rim had said.

The contract manufacturing organization has so far signed 35 CMO, 42 contract development and 10 contract research deals and plans to add on 12 CMO and over 18 CDO deals.

By Lim Jeong-yeo (kaylalim@heraldcorp.com)