#South Korea #Seoul #medical technology #Aesthetic Devices #Classys

Classys Poised for Major Sales Milestone

Classys Inc., a prominent player in the global medical aesthetics market, is on the verge of a significant milestone, expecting to surpass 50,000 device sales worldwide by the end of this year. This anticipated achievement is attributed to the company's strategic expansion beyond traditional offerings of high-intensity focused ultrasound (HIFU) and monopolar radiofrequency (MRF) devices. By diversifying its product line to include cutting-edge technologies like microneedle radiofrequency (MNRF) and various laser and dermabrasion devices, Classys is strengthening its position in the growing aesthetic treatment market.

Expanding Product Portfolio

The company’s expansion into new categories not only showcases its innovation but also its commitment to meeting a wide range of customer needs in the medical aesthetics field. As of the end of June, Classys has successfully installed over 22,000 units of its flagship HIFU devices and more than 4,000 units of MRF systems globally, alongside over 6,000 installations for each of its MNRF and dermabrasion lines. This robust global installed base is pivotal for the company as it lays the groundwork for sustainable growth in the medium to long term.

Strong Financial Performance

Classys's performance in the first half of the year has been impressive, with consolidated revenues reaching KRW 192.7 billion, reflecting a year-over-year increase of 20%. Notably, export sales, excluding shipments to the Brazilian subsidiary, saw a remarkable growth of 29%. The company's successful strategies in capturing demand within international markets underscore the effectiveness of its established distribution framework, which spans from product launch to procedure adoption, backed by an extensive network of distributors and key opinion leaders (KOLs).

Growth in European Market

The company's strategic approach to market diversification, particularly in Europe, has yielded tangible results. Classys has systematically expanded its operations into various countries, including the UK, Sweden, and Hungary, thus enhancing its footprint and sales performance across existing markets. Despite ongoing investments in global commercialization efforts, Classys managed to maintain a robust operating margin of 50.8% in the first half of the year, demonstrating effective cost management and operational efficiency.

Recurring Revenue from Consumables

As Classys continues to grow its installed base, the potential for recurring revenue from consumable products becomes increasingly significant. In the first half of this year, consumables revenue climbed to KRW 80.2 billion, marking a 5.3% year-over-year increase. This revenue growth aligns with Classys's strategy of promoting multi-device combination treatments to enhance client engagement and overall revenue potential.

Looking Ahead

Moving forward, Classys is focused on expanding its device distribution in accordance with regional regulatory frameworks, ensuring that new product launches align with market demand and timelines. Additionally, the company plans to enhance device utilization through the introduction of combination treatment protocols, tailored marketing initiatives, and education programs designed to meet the specific needs of practitioners around the globe.

In conclusion, Classys's commitment to innovation and market expansion, coupled with its effective sales and distribution strategies, positions the company for sustained growth in the evolving landscape of medical aesthetics. "The continued growth in cumulative global device sales demonstrates that Classys is steadily expanding its reach among medical professionals and patients worldwide," remarked Yugene Choi, Head of Investor Relations at Classys. With ongoing product introductions and a focus on enhancing its operational framework, Classys aims to solidify its leadership within the global medical aesthetics market.