SK Biopharmaceuticals reports $27 million in net losses in Q1

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SK Biopharmaceuticals went into the red in the first quarter, reporting 35 billion won ($27 million) in net losses compared to a 129 billion won net profit in the same period a year earlier.

The losses were larger than the market expectation. The consensus was 26.6 billion won of net losses, according to FnGuide.

The Pangyo, Gyeonggi-based biopharmaceutical company blamed accounting reasons as the biggest factor behind the losses as the company booked $110 million for milestone payments and another 50.4 billion won for selling its 12 percent stake in Arvelle Therapeutics in the first quarter of last year.

Quarterly revenue fell 71 percent to 41.1 billion won, while operating loss stood at 37.1 billion won. Both figures fell short of expectations as the market consensus of revenue was 49.2 billion won with 26.8 billion won of operating loss.

"The U.S. sales of Cenobamate have been growing, which will likely grow more in the second quarter as Covid-19 measures have been eased in the United State," SK Biopharmaceuticals said.

Cenobamate, an epilepsy treatment, is currently being sold in major markets globally including the United States and Europe. In the United States alone, Cenobamate generated 31.7 billion won in sales in the first quarter, where it is being sold under the name Xcopri.

Cenobamate is being sold in Germany, Sweden, Denmark and Britain as Ontozry, and the company aims to introduce it in France, Italy and Spain soon. It is currently undergoing Phase 3 clinical trials in Korea, China and Japan.

SK Biopharmaceuticals shares fell 5.86 percent to close at 81,900 won Thursday.

BY SARAH CHEA [chea.sarah@joongang.co.kr]