2021 was a time of growth and renewal for many companies, following the difficult  first year of the COVID-19 pandemic. But COVID-19 continued in many countries and escalated in  two different variants: delta and omicron. Medical companies and the biopharmaceutical manufacturing industry had to continue to create, develop, and distribute despite the challenges posed by these variants. 

CDMOs have had to overcome supply shortages, restrictions caused by the virus itself, and global instability that affects every country and market. Companies like Samsung Biologics were able to successfully overcome the challenges they faced through an emphasis on innovation and success. 

The CEO of Samsung Biologics, John Rim, attributed 2021’s  success to the increase in the need for medical treatments and vaccines to ward off COVID-19. As a result, more companies sought to outsource manufacturing and distribution to CDMOs. 

“Our fourth-quarter financial performance demonstrates our ability to execute a robust and resilient approach to maintaining business continuity while adapting at every level to the needs of our clients and partners,” he said. “Our concerted efforts have enabled us to achieve our financial targets and lay a foundation to deliver future growth.”

The Fourth-Quarter Results 

The fourth quarter of 2021 brought in a revenue of 444.3 billion Korean won ($371 million). According to Samsung Biologics, this is an increase from the previous year’s fourth quarter by 18%. The rise was attributed to the increased use of Plants 1 and 3, as well as new contracts. The operating profit was 128.8 billion Korean won, which was 39% higher than the previous year. The net profit reached 79.3 billion Korean won.

Part of the reason for its success came from the new emphasis on mRNA vaccines and treatments. In May 2021, Samsung Biologics announced a collaboration with Moderna, one of the manufacturers of mRNA-1273, a highly efficient two-dose mRNA vaccination for COVID-19. Moderna’s vaccine has a 96.3% efficacy rate against the delta strain of COVID-19, according to the manufacturer. Furthermore, Samsung Biologics teamed up with GreenLight Biosciences, another company looking to develop and manufacture their COVID-19 vaccine candidate. 

Samsung Biologics has already expanded its business portfolio and manufacturing capacity as part of its long-term growth plan in order to fulfill the increasing demand in the biotechnology industry. The CDMO will be able to supply pharmaceutical companies with full-cycle mRNA vaccine production services, beginning with bulk medicinal ingredients and going through aseptic fill/finish, labeling, and packaging as well as cold chain storage by the first half of 2022.

The company also released a new platform called S-Cellerate to help serve clients and customers who need assistance in drug trials. S-Cellerate is an integrated, seamless treatment and pharmaceutical development system that enables drugs to be delivered more efficiently and in a more timely manner. This revolutionary drug development service platform is capable of simplifying and expediting processes such as those involved in the development and commercialization of monoclonal antibodies, among other applications. An accelerated CDO timeline to an Investigational New Drug (IND) application, as well as a commercialization plan, are designed when S-Cellerate is utilized in combination with another product so that the product may reach the Biologics License Applications (BLA) stage as quickly as possible.

Partners and Plants

Another reason for Samsung Biologics’ year of success comes from the company’s ability to ally with many different partners, including companies like Enzolytics, Kineta, and KAHR. Samsung Biologics’ partnership with  KAHR Medical Ltd., a cancer immunotherapy company, includes providing CDMO services and IND filing assistance for its drug candidate DSP502, a TIGITxPD1-fusion protein, as well as other services.

Kineta needed a CDMO for its cancer medication. In order to assist Kineta’s novel anti-VISTA antibody KVA12.1, Samsung Biologics will offer cell line development, clinical drug substance synthesis, and drug product manufacturing services. Kineta is developing the antibody for the treatment of solid tumors and has filed an IND for the antibody. 

Capacity expansion was also a growth factor in 2021. Construction on Plant 4, also known as the Super Plant, began in November 2020 in Incheon, South Korea, the city where the company is headquartered. The plant will be partially operational by the end of 2022 and fully completed in 2023. The facility will be the world’s largest biopharmaceutical manufacturing facility when it is done. It will have a total building area of 238,000 square meters and a total manufacturing capacity of 256,000 liters when it is completed.