SAN FRANCISCO, Calif. -- By Kim Chan-hyuk/Korea Biomedical Review correspondent -- Hugel reaffirmed its botulinum toxin and filler-focused strategy at the 43rd annual J.P. Morgan Healthcare Conference (JPM 2025) while hinting at possible expansion to new injectables, such as PLA (polylactic acid) and collagen.

Speaking on the Asia-Pacific (APAC) track of JPM 2025 at the Westin St. Francis Hotel in San Francisco, Calif., last Thursday (local time), Hugel CFO Eva Huang outlined the company's growth strategy.

“We are very selectively looking at M&A while maintaining our current high profitability,” Huang said.

Particularly noteworthy is the direction of portfolio expansion, she noted.

“We will focus on botulinum toxin and fillers as our core assets,” Huang said. “However, we are also open to BD (business development) or M&A for new injectable products, such as PLA and collagen injectables, while adding various indications to our existing pipeline.”

CFO Huang also laid out the regional strategy for the botulinum toxin and filler businesses. “The four markets of the U.S., China, Europe, and the Middle East account for 80 percent of the global injectables market, and we will execute our strategy more efficiently and rigorously to achieve leadership positions in each market,” she said.

“We received approval for botulinum toxin in the U.S. last year and plan to launch it this year,” Huang said. “The U.S. botulinum toxin market is worth $2.5 billion (about 3.64 trillion won) and is expected to more than double in the next few years.”

“The Chinese market is benefiting from the 'one patient, one vial' policy, and Hugel is the only supplier of 250IU vials in the market. We expect more than 100 percent growth in 2023 and more than 40 percent last year, which is well above our competitors and the industry average,” Huang said.

Huang also announced capacity expansion. “In Fillers, we have already doubled our capacity in 2022,” she said. “In Botulinum Toxin, we will have an additional capacity of 8 million vials once the new plant is operational at the end of the second quarter of this year. This will further accelerate our margin improvement.”

CFO Huang also highlighted Hugel's progress in the global medical aesthetics market. “Last year, the total global supply of botulinum toxin was 30 million vials, of which Hugel produced 5.65 million, ranking second globally after Allergan,” she explained.

“EBITDA (earnings before interest, taxes, depreciation, and amortization) in 2023 was 130.2 billion won ($89.7 million), and trailing 12-month EBITDA in the third quarter of 2024 was over 170 billion won, representing growth of over 31 percent,” Huang said. “EBITDA margin improved from 38 percent in 2023 to 47 percent in the third quarter of last year.”

“Our toxin product has entered 67 countries, and filler has reached 35 countries, and we are the only Asian company to have toxin approvals in the top three markets of the U.S., China, and Europe,” Huang said. “We have achieved a 15 percent market share in China in just three years since launch. This contrasts the single-digit market share of our global competitors who entered the market simultaneously.”

CFO Huang introduced Hugel Chairman Cha Suk-yong as a “legendary CEO" in Korea.

"Chairman Cha has 35 years of experience in the healthcare and consumer goods sectors, including 17 years at LG Household & Health Care, where he grew the company's size and market capitalization by more than 40 times," Huang said. "Chairman Cha also played a key role in resolving key uncertainties, such as the ITC win and U.S. Food and Drug Administration (FDA) approval."

Regarding shareholder return, Huang said, “Last year, we repurchased 270 billion worth of shares, of which we burned 3 percent. We will continue to review our shareholder return policy.”