Boryung Corp. achieved impressive growth in 2021 compared to a year ago. In fact, stand-alone revenue climbed 10% year-on-year (YoY) and operating profit soared 24%YoY. The phenomenal financial performance was achieved through our intrinsic business competitiveness in the face of the COVID-19 pandemic, rather than due to one-off events. On a consolidated basis (including Boryung Consumer Healthcare), growth could appear sluggish, but this was caused by aggressive investments for future growth. Hence, Boryung is forecast to achieve meaningful growth even in consolidated earnings starting in 2022. Our pharmaceutical business, the flagship growth driver of Boryung, should continue to display solid growth this year, backed by Daniel Chang and our excellent management team. Investors are advised to read his 2022 annual letter for more detailed information on the pharmaceutical business.

I decided to write a separate annual letter from Daniel in the same vein as the decision made at the latest shareholders’ meeting to change our name to Boryung Corp. to set out our new direction. To this end, I intend to review the past year from my point of view and examine the direction Boryung is taking with our employees, shareholders and potential partners.

We believe not only pharmaceuticals, but the healthcare businesses also offer limitless opportunities for growth to our company. We are determined to aggressively find new opportunities in areas familiar to us and invest in them in order to take our company one step further. To this end, we intend to acquire a promising company or assets as a whole, rather than secure a minor stake in it. With such aggressive investments, we aim to strengthen our earning power over the long term.

We will make investment decisions based on the following criteria: 1) whether the corresponding company is essential to a specific population and 2) whether its management is capable of leading the corresponding business successfully. If these two preconditions are met, the company or assets should offer tremendous opportunities for our future growth.

As I mentioned earlier, our top priority is to discover and invest in businesses necessary for solid profit growth looking ahead. From a long-term point of view, however, we felt the need to ponder on which projects are needed for Boryung to become irreplaceable to humanity. Then, we came up with this challenging long-term project—becoming a major player in outer space.

We believe humanity will not stop exploring uncharted territory. This is why we decided to hold a ‘Care in Space Challenge’ event annually with our partners in order to greatly contribute to humankind’s foray into outer space. Surely, our immediate top priority remains the growth of our earning power, but we still aim to discover promising new projects in outer space, which is a territory brimming with new opportunities. Indeed, our very reason for boosting earnings is the need to secure financial resources for future investments and facilitate stronger growth. Investors can get related information by clicking the CIS-related link on the first screen of our webpage.

We are committed to preparing various opportunities and events in order to grow together with market participants who share our views on the past, present and future of Boryung through CEO letters and shareholders’ meetings and decide to trust and invest in Boryung.

Thank you.

2022.03.31

CEO & Chairman, Jay Kim