Menarini Korea's poor performance continued last year, with the company's sales declining for three consecutive years and falling below 50 billion won ($38.4 million) for the first time in nine years, IQVIA data showed.

The company also turned to an operating loss for the first time in three years, with a deficit of over 70 billion won.

In a public filing on Thursday, Menarini Korea said it posted sales of 47.7 billion won last year, down 14.3 percent from 2021. This is the first time since 2014 that the company has recorded sales below 50 billion won.

Due to the decrease in sales, the company also recorded an operating loss of 7.2 billion won last year, marking a deficit for the first time since 2018.

The company had previously turned profitable in 2020 after reporting an operating profit of 300 million won and maintained the figure in 2021. However, the sharp decline in sales last year resulted in a large-scale operating deficit.

The deterioration in profitability was followed by an increase in deficit reserves. Korea Menarini's unprocessed deficit reserves amounted to 72.2 billion won last year, an increase of 11.2 percent from the previous year.

The company's decline in sales follows the decrease in sales of its product lineup.

According to a market research firm, IQVIA, sales of the nail fungus treatment drug Fulcare Nail Lacquer and painkiller Abstral Sublingual Tab. reached 4.9 billion won and 10 billion won in 2022, a decrease of 35.5 and 18 percent from 2021.

The company's erectile dysfunction drug Priligy Tab. also saw a slight decrease in sales from 1.4 billion won in 2021 to 1.3 billion won in the previous year.