Medigen Vaccine expects annual profit boost from Vietnam enterovirus vaccine shipments

Medigen Vaccine Biologics Corp. (6547) is poised to achieve profitability for the full year, buoyed by anticipated increases in its enterovirus vaccine shipments to Vietnam. The company's stock saw a significant surge, climbing over 8% in early trading on August 21, reaching a high of 57.6 New Taiwan dollars.

Medigen's financial performance improved in the second quarter, with a reported net profit of 22.35 million New Taiwan dollars and earnings per share of 0.07 dollars, indicating a successful return to profitability. This positive trend is largely attributed to the successful acquisition of a pharmaceutical license in Vietnam for its enterovirus vaccine in March.

The company completed its first shipment of the enterovirus vaccine to Vietnam in early August. The vaccine is slated for availability in late September or early October, initially targeting the self-funded market. Vietnam, with approximately 1.4 million newborns annually and a vaccination target group of children aged six months to six years, presents a substantial market of over 9 million potential recipients. Medigen aims for a 10% market penetration within the top-tier families in Vietnam.

Currently, Medigen's enterovirus vaccine has an annual production capacity of about 1 million doses, operating at full capacity. With pending drug license applications in Malaysia, Thailand, and the Philippines, the company anticipates demand to outstrip supply. To address this, Medigen is establishing a new production line, aiming for it to be operational by next year. The company is scheduled to hold an investor conference next week to discuss its business outlook for the second half of the year.