Samsung Biologics, a leading contract development and manufacturing organization, announced Wednesday that the company’s earnings in the first quarter this year hit an all-time high.

In the January-March period, Samsung Biologics’ sales increased by 31.3 percent on-year to 946.9 billion won ($690 million) from the previous year’s 720.9 billion won. Its operating profit also reached 221.3 billion won, up 15 percent on-year.

“The operation of the fourth plant has largely contributed to the increase in its earnings,” an official from Samsung Biologics said. Increased sales from Samsung Bioepis, a biosimilar affiliate of Samsung Biologics, also helped the company boost the figures, the official added.

On a standalone basis, Samsung Biologics’ sales hit 670 billion won, up 13 percent on-year from the previous year's 591 billion won. Its operating profit, however, decreased by 1 percent to some 232.7 billion won.

Sales of Samsung Bioepis posted a 31 percent increase to reach 280 billion won from 213.4 billion won in the first quarter last year, and its operating profit also went up by 6 percent to 38 billion won from 36.1 billion won in the first quarter of 2023.

Samsung Biologics expects that the company's earnings will further improve in the coming months once Plant 4 becomes fully operational in phases. The company currently anticipates a 10-15 percent increase in its annual revenue in 2024.

"Our continued growth momentum reflects not only our ability to meet the diverse and expanding needs of our clients but also our unwavering commitment to quality and operational excellence. With accumulated orders exceeding $12.5 billion, the demand for our client-centric services remains robust," said Samsung Biologics CEO John Rim.

To boost its earnings, Samsung Biologics is speeding up the construction of Plant 5, which is to be completed in April 2025. With the completion of the fifth plant with a 180,000-liter manufacturing capacity, Samsung Biologics will have a combined manufacturing capacity of 784,000 liters next year.

Samsung Biologics is also increasing its strategic investment in antibody-drug conjugates. In February this year, Samsung Biologics entered into a partnership with LegoChem Biosciences to collaborate on the development of a solid tumor ADC program. Samsung’s recent investment in biotech company BrickBio will also help the company accelerate its ADC development. In 2024, Samsung Biologics will also complete its standalone ADC manufacturing facility in Songdo, Incheon.

"Proactive investments in cutting-edge therapeutic technologies and the ongoing construction of our ADC facility will drive our advancements in next-generation drug development. We also remain fully committed to expanding our production capabilities and securing additional capacity with the completion of Plant 5 next year to support market demands and deliver exceptional value to our partners and shareholders," Lim said.