SK Biopharmaceuticals is a pharmaceutical company that develops and sells central-nervous-system drugs, with most of its revenue coming from the epilepsy treatment cenobamate. The core of its model is that it sells the drug in the United States under the name Xcopri directly through its own sales organization rather than licensing it out, booking the entire sales amount as revenue for a high-margin structure. In Europe it licenses the drug to a partner under the name Ontozry and receives milestones and royalties. It confirmed record quarterly results in Q1 2026, and the successful Phase 3 trial for a PGTC indication expansion is a medium-term catalyst that could widen the eligible prescribing population. The strengths to note are that a single large drug it sells directly is in a prescription-acceleration phase, ROE is a high 32.8%, and the cash it earns is reinvested into next-generation pipelines in a virtuous cycle. The cautions are that revenue is concentrated in the single product cenobamate, making it sensitive to changes in U.S. prescriptions, competition, and drug pricing, and that its next-generation pipeline is still in early trials.
At-a-glance assessment financial health · growth · profitability · valuation
- Debt ratio, current ratio and interest burden all look healthy.
- Revenue rose 29.1% year over year, and the pace is slowing (3-year trend: rising).
- Most recent quarter (Q1 2026) revenue was 57.8% higher than a year earlier.
- ROE is 32.8% (controlling-interest basis). It is above the sector average.
- Operating margin is 28.9%.
Ownership & governance As of 2025-12-31
Largest shareholder SK 64% (corporate)
Controlling bloc incl. related parties 64%
With the controlling bloc holding 64%, control is very secure but the free float is thin.
🔎 In-depth analysis
- SK Biopharmaceuticals is a pharmaceutical company that develops and sells central-nervous-system (brain and nerve) disease drugs, with most of its revenue coming from a single product, the epilepsy treatment cenobamate.
- The drug is sold in the United States under the name Xcopri, and SK Biopharmaceuticals does not license it out but sells it 'directly' through its own U.S. sales organization.
- Licensing it out would bring only royalties (a portion of the sales amount), but selling directly means the entire sales amount is booked as revenue and the margin is higher — the heart of this company's earnings structure.
- In Europe it licenses the drug to a local partner (Angelini Pharma) under the name Ontozry, receiving milestones (payments earned on hitting development and sales targets) and royalties in return.
- The cash earned this way is reinvested into developing next-generation cancer drugs such as targeted protein degradation (TPD) and radiopharmaceutical therapy (RPT).
- The latest close is ₩80,200 and the market cap is ₩6.3 trillion.
- The price sits below its 20-day line (₩86,355) and below its 60-day line (₩93,535).
- Trading below both its short- and mid-term moving averages, the trend looks subdued.
- The RSI (a supplementary gauge that weighs up-days against down-days over the past 14 days on a 0-100 scale) is 39.0, a neutral reading.
- The one-month change is -7.2%, the three-month change is -15.7%, and the price is -43.0% from its 52-week high.
- Relative strength versus the KOSPI is 12 (on a 1-99 scale that converts the past year's return against the index with more weight on recent moves; higher means stronger than the market).
- That places it in roughly the top 89% of all stocks by strength.
- Over the past three months it lagged the index by 34.9%.
- It is best to read the chart alongside trading volume and disclosure dates.
- On last year's (2025) confirmed results, the P/E (how many times a year's net profit the price reflects) is 23.53x and the P/B (price against book net asset value) is 7.73x.
- But this company is at an inflection where profit is rising sharply, so a P/E calculated on last year's numbers has the limitation of looking more expensive than reality — if this year's profit rises sharply, the P/E falls at the same share price.
- Profitability is very strong: ROE (how much it earns in a year on its equity) is 32.8%, among the highest even among large Korean pharma and biotech names, with an operating margin of 28.9% and a net margin of 37.8%.
- Net profit exceeding operating profit is because non-operating income such as European milestones and interest income is added on.
- The debt ratio (debt against equity) is a low 45.8%, and with a current ratio (readily usable assets against debt due within a year) of 231% the balance sheet is solid.
- Revenue rose for three straight years, from ₩354.9 billion in 2023 to ₩547.6 billion in 2024 and ₩706.7 billion in 2025, and operating profit swung from a ₩37.5 billion loss in 2023 to ₩96.3 billion in 2024 and surged to ₩203.9 billion in 2025 (+112%) after turning profitable.
- The growth engine is expanding U.S.
- Xcopri prescriptions — U.S. revenue was about ₩630.3 billion in 2025, up roughly 44% year on year, with new-patient prescriptions accelerating rather than slowing.
- In Q1 2026 it posted record quarterly results, with revenue of ₩227.9 billion (+57.8%), operating profit of ₩89.8 billion (+250%), and net profit of ₩102.7 billion (+424%); U.S.
- Xcopri revenue was ₩197.7 billion (+48.4%), and March new prescriptions (NBRx) topped 2,000 per week for the first time ever.
- On top of this, the Phase 3 trial for a generalized tonic-clonic (PGTC) indication expansion secured positive results, leaving room to widen the eligible patient population.
- Reflecting this profit trajectory, this year's net profit looks set to rise sharply from last year, in which case this year's P/E falls considerably below last year's 25.4x — so while it looks expensive on last year's numbers, on this year's basis we judge it in undervalued territory.
- Recent disclosures center on results and business expansion.
- On May 7, 2026, it disclosed preliminary Q1 2026 (consolidated) results confirming record quarterly performance, and on May 19 and 26 and in early June it announced earnings-briefing IR events.
- On May 27 there was a single sale-and-supply contract disclosure (detailed figures require checking the attached document).
- The previously announced successful Phase 3 trial for a PGTC indication expansion is a medium-term catalyst that could widen cenobamate's prescribing population.
- The milestone-receipt structure from the European partner is an additional upside factor for revenue and net profit.
- The strengths are clear — a single large drug (Xcopri) that it discovered and sells directly in the United States is in a prescription-acceleration phase, ROE is a very high 32.8%, and a virtuous cycle of reinvesting the cash it earns into next-generation pipelines has begun to turn.
- A P/E of 25.4x on last year's basis looks more expensive than reality because it is at an inflection where profit is surging, and on this year's basis it is actually lower than the large Korean pharma and biotech peer set, so we judge it undervalued.
- The cautions are that revenue is heavily concentrated in the single product cenobamate, making results sensitive to U.S. prescription trends, competing drugs, and drug-pricing policy, and that the next-generation pipeline (cancer and the like) is still in early trials, so results will take time.
- In sum, this is a stock where profit leverage works strongly as long as U.S. prescription growth holds, while single-product concentration and clinical and policy variables are its weaknesses.
🔎 Valuation vs peers Undervalued
Compared against large Korean pharma and biotech names holding commercialized drugs in the U.S. and Europe, though SK Biopharmaceuticals has a single-large-product structure of selling its own drug directly in the United States, different in business character from CDMO (Samsung Biologics) or biosimilars (Celltrion).
| Peer | P/E | P/B | ROE |
|---|---|---|---|
| Samsung Biologics | 34.37x | 8.23x | 23.95% |
| Celltrion | 37.26x | 2.23x | 5.98% |
| SK Bioscience | — | 1.59x | -3.21% |
A P/E of 25.4x on last year's basis is below the peer set (Samsung Biologics 36x, Celltrion 38x), and its ROE, at 32.8%, is actually the highest. This company is at an inflection where profit is rising sharply, so a P/E calculated on last year's numbers has the limitation of looking more expensive than its real earnings strength — Q1 2026 operating profit alone rose 250% year on year and U.S. prescriptions are accelerating, so on this year's basis the P/E falls considerably below last year's 25.4x. Taking profitability, growth, and the balance sheet together, we judge it at a discount to peers and therefore undervalued. That said, single-product concentration and clinical and pricing variables are the preconditions of this assessment.
Price history Close · MA20 · MA60
The latest close is ₩80,200 and the market capitalization is ₩6.3 trillion. The price sits below its 20-day moving average (₩86,355) and below its 60-day moving average (₩93,535). It is under both its short- and medium-term moving averages, so the trend looks subdued. The RSI (a supplementary indicator that gauges the strength of gains versus losses over the past 14 days on a 0-100 scale) is 39.0, a neutral level. The one-month change is -7.2%, the three-month change is -15.7%, and the position relative to the 52-week high is -43.0%. Relative strength versus the KOSPI is 12 (on a 1-99 scale, converted from returns against the index over the past year with more weight on recent performance; higher means stronger than the market). It is stronger than roughly 11% of all stocks. Over the past three months it lagged the index by 34.9%. Chart interpretation is best done alongside trading volume and the dates on which disclosures occur.
Relative performance stock vs index · start = 100
Excess return vs index · 3M -34.89% / 6M -60.43% / 12M -63.42%
Key metrics vs sector median
Valuation
The P/E of 23.53x is below the sector median (59.55x). The P/B of 7.73x is in line with the sector median (7.05x). That said, this P/E is based on last year's (trailing) results. With recent quarterly earnings up sharply, the trailing P/E can look higher than it really is, so a precise read is best done on this year's expected (forward) earnings.
Enterprise value (EV)
EV = market cap + net debt. It reflects cash and debt, so it captures the real cost of the whole business that market cap alone misses; lower multiples are cheaper relative to earnings or sales.
Intrinsic value (DCF estimate)
DCF (discounted cash flow) estimate — discount rate 9.2%, initial growth 10.0%→terminal 2.0%, 10-yr forecast, free-cash-flow basis, forward earnings power normalized 1.496x. A reference range that shifts materially with assumptions.
Profitability & financials
The operating margin is 28.9%. The debt ratio is 45.8%, so the financial structure is stable.
Growth FY2025 · annual report (consolidated)
| Item | 2023 | 2024 | 2025 | YoY |
|---|---|---|---|---|
| Revenue | $235.2M | $362.9M | $468.4M | +29.06% ↓ slower |
| Operating profit | -$24.9M | $63.9M | $135.2M | +111.69% |
| Net profit | -$21.8M | $159.6M | $176.9M | +10.89% |
| 5-year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | $277.5M | $163.2M | $235.2M | $362.9M | $468.4M |
| Operating profit | $62.9M | -$86.9M | -$24.9M | $63.9M | $135.2M |
| Net profit | $43.0M | -$92.4M | -$21.8M | $159.6M | $176.9M |
| Revenue CAGR | 4-yr avg 13.99% | ||||
Revenue rose 29.1% year over year (2023 ₩354.9 billion → 2024 ₩547.6 billion → 2025 ₩706.7 billion), and the three-year trend is 'rising'. That said, the pace of growth slowed from the prior year. Operating profit rose 111.7% year over year. Over the 5 years on record, revenue compound annual growth (CAGR) is 14.0%. The two-year revenue CAGR is 41.1%. In the most recent quarter (Q1 2026), revenue was 57.8% higher than the same period a year earlier.
Latest quarterly results Q1 2026 · vs year-ago
Technical indicators
What stands out
- ROE of 32.8% points to solid profitability.
- Revenue grew 29.1% year over year, a sign of growth.
- The balance sheet is stable in terms of debt and liquidity.
Points to watch
- The figures shown are based on the last annual report as of the writing date, so it is best to review the latest quarterly results and filings alongside them.
Recent news & events searched · sourced
- 2026-05-07EarningsQ1 2026 consolidated preliminary-results disclosure — revenue ₩227.9 billion, operating profit ₩89.8 billion, net profit ₩102.7 billion, a record quarterShort term: accelerating U.S. Xcopri prescriptions confirmed in surging profit, strengthening earnings momentum. Medium term: proof that quarterly earnings strength has stepped up a level Source
- 2026-05-27UpdateSingle sale-and-supply contract disclosure (detailed terms per the DART attached document)Short term: revenue recognized depending on contract size. Medium term: reinforces revenue visibility on a supply-contract basis Source
- 2026-05-26IRNotice of an earnings and business-briefing IR eventShort term: updates investment information by sharing U.S. prescription trends and pipeline progress Source
- 2026-05-15FilingQuarterly report filed as of March 2026Medium term: secures transparency by confirming and disclosing Q1 financial and business details Source
Figure cross-check computed ↔ external
| Metric | Computed | External | Status | Source |
|---|---|---|---|---|
| Q1 2026 revenue | 227,886 | approx. 2,279 | Confirmed | link |
| Q1 2026 operating profit | 89,768 | approx. 898 | Confirmed | link |
| 2025 full-year operating profit growth rate | op_income_yoy +111.7% | approx. 2,039, approx. 112% | Confirmed | link |
| 2026 full-year net profit estimate | approx. 4,000 | — | Unverified | link |
Recent filings
- 2026-06-01Corporate governance report
- 2026-05-29Large-business-group status disclosure
- 2026-05-27Single supply/sales contract
- 2026-05-26Disclosure
- 2026-05-19Disclosure
- 2026-05-15PeriodicQuarterly report
- 2026-05-07EarningsFair-disclosure notice
- 2026-05-04Disclosure
- 2026-04-01OwnershipOwnership-change filing
- 2026-03-31OwnershipLargest-shareholder ownership change report
- 2026-03-31OwnershipOwnership-change filing
- 2026-03-31OwnershipOfficers'/major-shareholders' holdings report
📖 Plain-language glossary — expand if you are new to this
- P/E
- How many times a year's net profit the price is worth (lower is cheaper relative to earnings). The P/E here is on trailing (last full-year) results; for companies whose earnings swing fast (memory chips and other cyclicals/high-growth), a forward P/E on this year's expected earnings is more accurate.
- P/B
- Price relative to net assets (equity). Around 1x means it trades near book value; below 1x means below book.
- P/S
- Price relative to a year's revenue — useful for growth companies with thin earnings.
- Net debt / EV
- Net debt = interest-bearing debt − cash. Negative means more cash than debt (net cash). EV (enterprise value) = market cap + net debt, closer to what it would cost to buy the whole business.
- EV/EBIT · EV/EBITDA · EV/Sales
- Enterprise value against operating profit (EBIT), EBITDA, or revenue. Unlike P/E these reflect debt and cash; lower is cheaper relative to earnings power or sales.
- FCF / FCF yield
- Free cash flow = operating cash − capex, the cash actually left over. FCF yield = FCF ÷ market cap; higher means more cash generated per unit of market value.
- Intrinsic value (DCF)
- Future free cash flow (or, for some capex-heavy but profitable names, forecast earnings) discounted to today to estimate per-share value. Because it shifts a lot with the discount-rate and growth assumptions, it is shown as a bear/base/bull range, and the basis and assumptions are disclosed in one line beneath it.
- ROE
- How much profit the company earns in a year on its equity (%). Higher means better returns on capital.
- EPS / BPS
- Earnings per share / net assets (book value) per share.
- Operating / net margin
- Profit left from the core business / final profit after tax and interest, per unit of revenue.
- Debt ratio
- Debt relative to equity (%). Higher means more reliance on borrowing (norms vary by sector).
- Current ratio
- Assets convertible to cash within a year against debt due within a year. Above 100% leaves some short-term headroom.
- Interest coverage
- How many times operating profit covers the interest owed. Below 1x means operating profit alone struggles to cover interest.
- Dividend yield / payout ratio
- The year's dividend as a % of today's price / the share of earnings paid out as dividends.
- Revenue CAGR
- Multi-year growth expressed as a single yearly average (compound annual growth rate).
- RSI (short-term signal)
- Whether recent price action is overheated or beaten down. Above 70 is overbought, below 30 oversold.
- MA20 / MA60 (moving averages)
- The 20- and 60-day average price. Price above them signals a firmer short-term trend.
- vs 52-week high
- How far below the past year's peak the price sits now (%).
All figures are for reference only; how they read varies by sector and over time.
Sources: Korea FSC market-price API (data.go.kr), OpenDART, KRX/KIND — public data only.
Bong Stocks presents public-data-based information for reference only. It is not investment advice and contains no target prices, ratings, or buy/sell recommendations. Verify independently before making any decision.