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Don’t Raise Your Eyebrows on This Korean Pharmaceutical Upstart

Watch the video with Andrew Stotz or read a summary of the World Class Benchmarking on Hugel Incorporated.


Hugel Incorporated, founded in 2001, operates as a pharmaceutical company in South Korea.

It offers Botulinum Toxin, Hyaluronic Acid Filler and medical equipment produced at their two plants in Sinbuk and Geodu.

In 2016 exports accounted for 50% of revenue.

Hugel has tripled the #KOSPI's total #return over last 18 months

Business Description

Hugel markets Botulinum Toxin (BTX), a white injectable dry powder vial for the treatment of spasm and for improvement of glabellar lines (the skin between the eyebrows and above the nose) in adults. BTX accounted for 52% of revenue in 2016.

The company also provides Hyaluronic Acid Filler (HA Filler), a bio-material of tissue repair for the temporary removal of facial wrinkles, which accounted for 38% of revenue. Approval for HA Filler for application in penile enlargement is expected for in the second half of 2017.

Approvals of BTX in #Russia, #Brazil, and #Mongolia should speed up global penetration

In addition, Hugel sells medical equipment and other skin care products.

Recent approvals of BTX in Russia, Brazil, Mongolia, and the expected approval in Mexico in 2017, should speed up global market penetration and improve revenue. Approvals for the US and European market are expected in later 2017.

Upon completion, Bain Capital should help boost overseas business expansion by injecting up to US$406m, which translates to a controlling 45% stake. The cooperation should strengthen Hugel’s US distribution network, establish subsidiaries and acquire distributors in key markets.


Hugel features a management structure with two co-CEOs. Moon Kyeong-yeop has the longer experience, having served as both co-CEO and Chairman since 2012. In that time, Hugel has managed to fall in the top 20% of its sector in terms of our World Class Benchmarking rank.

Hugel features a #management structure with two co-CEOs

New addition Shim Ju-yeop became co-CEO in April 2o17. He joined following Bain Capital’s US$400 million investment.

World Class Benchmarking

Profitable Growth at Hugel returned to World Class after a dip in 2015, ranking it among the top 93 of 930 small Health Care companies.

Profitability maintained its World Class rank, and Growth has returned from the doldrums of 2015.

Hugel ranks in the top 100 among small #HealthCare companies globally

Asset utilization improved to #3 from #5 over the last year, and Profit margin has returned to World Class.

Sales growth ranked solid at #2, while Margin change was below average in the past year.

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