Seoul: Celltrion Inc., a leading South Korean biopharmaceutical company, reported a substantial increase in its second-quarter operating profit, which more than tripled compared to the previous year. This impressive growth is attributed to the strong sales of high-margin biosimilar products.

According to Yonhap News Agency, Celltrion's operating profit for the three months ending in June surged to 242.5 billion won (US$174.6 million), up from 72.49 billion won in the same period last year. The growth in profit was driven by increased global sales of the company's flagship biosimilars, such as Remsima SC, Yuflyma, and Vegzelma. These high-margin products constituted 53 percent of Celltrion's overall sales in the June quarter. Additionally, sales rose by 9.9 percent, reaching 961.5 billion won, compared to 874.7 billion won during the same period last year.

The company forecasts continued strong earnings in the latter half of the year, with plans to gradually introduce five new biosimilar products-Omlyclo, Avtozma, Eydenzelt, Stoboclo, and Osenvelt-into global markets. Celltrion aims for 5 trillion won in sales for this year, reflecting a 40 percent increase from its record sales of 3.56 trillion won last year.

To enhance shareholder value, Celltrion announced a buyback of 100 billion won worth of its own shares starting Tuesday, asserting that its shares are significantly undervalued. This buyback will increase the company's total repurchases to 750 billion won, alongside the cancellation of 900 billion won worth of shares earlier this year.

Despite these positive developments, Celltrion's shares have declined by 3.8 percent this year, closing at 180,300 won on Friday. This performance lags behind the broader Korea Composite Stock Price Index (KOSPI), which has gained 33 percent.

The company has expanded its global biosimilar portfolio, increasing the number of approved products from six to 11, with plans to commercialize 22 biosimilar products by 2030. This expansion aligns with the projected growth of the global market size from 138 trillion won this year to 261 trillion won by 2030.

Celltrion's final earnings results are expected to be released later.