1. What Happened with Kukje Pharma’s Q2 Earnings?

Kukje Pharma recorded sales of 45 billion won, operating profit of 35 billion won, and net profit of 26 billion won in Q2 2025, exceeding market expectations.

2. What Drove the Strong Performance?

Steady sales of its flagship product, ‘QRone Eye Drops,’ along with growth in its diverse pharmaceutical portfolio, fueled the increase in sales. The growth of its subsidiary, Kukje Care, aligned with the aging population trend, also contributed positively. Continued R&D investments and new drug development through licensing agreements are also seen as future growth drivers.

3. How Will the Earnings Announcement Impact the Stock Price?

This earnings surprise is likely to have a positive impact on the stock price in the short term. Confirmation of the growth trend from Q1 into Q2 is expected to provide further upward momentum. There is also the potential for increased foreign investment. However, macroeconomic factors such as interest rate volatility and the USD/KRW exchange rate should be monitored.

4. Action Plan for Investors

  • Maintain a Buy Stance: Considering the positive earnings trend, maintain a buy stance but closely monitor stock price movements following the announcement to confirm further upside potential.
  • Risk Management is Crucial: Continuously monitor potential risk factors such as declining operating profit margins, accounts receivable management, the ongoing legal dispute, and exchange rate fluctuations.
  • Long-Term Perspective is Important: Securing future growth drivers through R&D investments and subsidiary growth is positive. However, a long-term investment decision requires consideration of the competitive landscape and profitability management capabilities.