Taipei, January 23, 2023 – Crystal Diamond Biomedical Co., Ltd. (referred to as “Crystal Diamond Biomedical,” stock code: 6815) held a corporate briefing today. General Manager, Xie Jia-Xian, announced that the company will accelerate its growth with six strategies and has an optimistic outlook for the next two years’ operations.
Crystal Diamond Biomedical focuses on developing its own brand of medical materials and acting as an agent for upstream medical beauty materials. The company aims to become the world’s largest supplier of medical beauty materials. In 2018, they successfully developed the “Timela” thread, and in 2022, obtained the approval from the Ministry of Health and Welfare for thread lifting. It is the only domestic brand thread approved for facial lifting in Taiwan. Xie Jia-Xian stated that compared to traditional facelift surgery, thread lifting is less invasive and has a shorter recovery period. Therefore, they see great long-term growth potential in thread lifting, which is expected to become mainstream in facial anti-aging. The company will fully promote business related to Timela to seize the $60 billion global anti-aging market.
Xie Jia-Xian further stated that over the past three years, due to the impact of the pandemic on overseas expansion, the company has focused mainly on the domestic market. Through a dual-track strategy of developing their own brand and acting as an agent, they successfully penetrated the supply chain of the top ten medical beauty clinic groups in Taiwan. Currently, the company has 400 medical beauty clinic clients nationwide and has maintained consecutive profitability, with last year’s revenue reaching NT$435 million. With the easing of the pandemic, the annual plan for 2023 is set as follows: 1. Achieve continued growth in performance. 2. Initiate clinical trials in China. 3. Obtain international licensing for Timela. 4. Appoint agents for Timela in China. 5. List Timela in Hong Kong. 6. Complete the GMP factory in Xizhi.
In the first quarter of this year, Crystal Diamond Biomedical recorded revenue of NT$152 million, surpassing the revenue performance of the peak season in the fourth quarter of last year, with a quarterly growth of 5.82% and a year-on-year increase of 49.8%. This achievement also set a historical high for the same period. The main reason is the integration of the company’s entire medical beauty product line completed last year, which includes products such as botulinum toxin, hyaluronic acid, thread lifting, ultrasound, and skincare, providing customers with one-stop service. The integration benefits have gradually been realized.
Additionally, this year, the company listed “Ronkyla” as the only legally approved lipolytic injection product in Taiwan, apart from the imported Belkyra. Xie Jia-Xian pointed out that Ronkyla is a drug that eliminates fat and promotes natural metabolism by dissolving fat cells. Compared to traditional surgical procedures and liposuction, lipolytic injection products have lower risks and shorter recovery periods. In recent years, the demand for such products in the global medical beauty market has grown rapidly.
Ronkyla is the only domestically branded new drug approved by the TFDA for eliminating double chin. It contains sodium and is less prone to swelling and pain, making it highly competitive. Based on international experiences, the Taiwanese lipolysis or fat reduction market is estimated to be worth up to NT$700 million annually. With its dominant position, Ronkyla has the opportunity to capture a significant market share, becoming a major driver of revenue and profit growth for the company.
In terms of overseas markets, Timela has completed the distribution authorization in Hong Kong last year, and shipments are scheduled to begin this year. Hong Kong will serve as the relay station for Crystal Diamond Biomedical to enter the China and Southeast Asia markets. In the United States market, the company is currently in the FDA review stage and has the opportunity to obtain certification this year. In the US market, the company mainly focuses on collaborations with international medical beauty manufacturers such as Allergan, Galderma, and Merz, which do not have related thread lifting products. Therefore, the strategy for Timela thread in the European and American markets is primarily focused on licensing, and they will engage in negotiations with potential partners this year.
Regarding the Chinese market, after two years of effort, Timela has met the inspection requirements of the China Food and Drug Administration (CFDA) and is about to enter the clinical trial phase. The goal is to obtain CFDA approval for promotion and sales in mainland China within two years.
Xie Jia-Xian stated that while Timela is going through certification in China, they will seek to sign agency contracts with existing distributors, enabling them to quickly open the market once the product is certified. In addition, they have begun distribution negotiations in Thailand and will officially enter the Southeast Asian market this year, targeting the business opportunities of a large population.
Furthermore, in response to long-term development and future capacity expansion needs, Crystal Diamond Biomedical acquired a factory office in Xizhi District, New Taipei City last year. They integrated production and sales resources and planned office space, warehouses, laboratories, and established a GMP plant. The completion is expected before the end of this year, which will contribute to operational efficiency and seamless alignment with the global market’s capacity demands.
Looking ahead, Crystal Diamond Biomedical will employ both domestic and international strategies to drive their operations forward. Xie Jia-Xian expressed that the company will continue to expand its market share in Taiwan through their own brand and agent distribution models. The company’s independent R&D for regenerative medical materials has also entered the certification stage. In the international market, they will focus on their own brand Timela thread, regenerative medical materials, and lipolytic medical materials, taking advantage of the global reopening and targeting the billion-dollar global anti-aging and lipolysis markets.
With the progressive global expansion of Timela thread, the past research and development investments will now bear fruit, and the company has an optimistic outlook for the next two years’ operations.
Source: MoneyDJ News