1. What Happened?

On August 18, 2025, Raphas issued a correction to its business report, rectifying an omission in the ‘Raw Materials and Production Facilities’ section regarding ‘Production Capacity and Production Performance (Separate Basis)’. While this correction doesn’t directly impact the company’s fundamentals, investors should pay attention to information disclosure practices and corporate transparency.

2. Why Does It Matter?

Raphas’ core competitiveness lies in its proprietary DEN technology. Based on this technology, the company has a diversified pipeline, targeting markets from cosmetics to pharmaceuticals and vaccine patches. Global partnerships are also a positive factor. However, clinical and regulatory risks, as well as intensifying competition, are potential threats.

  • Strengths: Innovative DEN technology, diversified pipeline, global partnerships
  • Weaknesses: Need for profitability improvement, financial health management
  • Opportunities: High growth potential of the microneedle market
  • Threats: Clinical and regulatory risks, intensifying competition

3. So What Should We Do?

In Q2 2025, Raphas recorded sales of KRW 8.1 billion, a 10.9% increase year-over-year. However, the operating loss of KRW 700 million highlights the urgent need for profitability improvement. While R&D investment is essential for long-term growth, efficient fund management and profitability strategies must be pursued simultaneously.

Investors should focus on the following:

  • Clinical progress and results of key pipelines
  • Profitability improvement strategies and actual performance
  • Maintaining technological competitiveness and expanding market share compared to competitors

4. Action Plan for Investors

Raphas has high growth potential, but careful analysis is required before making investment decisions. Investors should consider the company’s financial situation, competitive landscape, and future growth strategies comprehensively and make prudent investment choices. This analysis is not an investment recommendation, and the responsibility for investment lies with the individual investor.