GC said Tuesday that the company and its subsidiaries recorded 352.3 billion won ($309.4 million) in sales in the third quarter of this year, a 1.1 percent decrease from a year earlier.
The GC group also recorded 27.9 billion won in operating sales, down 33 percent from the same period last year, and 15.8 billion won in net profit, plunging 44.3 percent.
Aside from its subsidiaries, GC sales fell by 0.8 percent. The company explained that such drop was due to the decline in local sales.
Domestic sales of influenza vaccine, the company’s flagship product, recorded relatively good sales despite intensifying competition. However, sales of imported vaccine products were sluggish because of delayed delivery and competition.
GC, however, stressed that the overseas division posted a 21.2 percent year-on-year growth rate due to the increase in exports of blood products to China and Brazil, and the rise in export markets for its varicella vaccine.
Profitability fluctuated compared to sales due to the increase in investments and R&D expenses for entry into the global market. GC’s R&D expenses for the third quarter increased 11.8 percent over the same period last year.
Also, the increase in advertisements as the company changed its corporate image and celebrated the 10-year anniversary of its influenza vaccine. The more mediocre performances of some of its subsidiaries such as GC Labcell and GC MS have also affected the group’s overall profitability.
“We will focus on recovering profitability while maintaining expansion and investment pace and seeking to attain the economy of scale and cost cuts,” a company official said.