2019 2nd Quarter Results2019. 8. 8

This presentation contains forward-looking statements with respect to the financial condition,

results of operations and business of Cell Biotech and its subsidiary (the “Company”) and plans and

objectives of the management of the Company. The aforementioned forward-looking statements are

influenced by unknown risks, uncertainties and other factors which may change the actual results

or performance of the Company. The Company does not make any representation or warranty,

expressed or implied, as to the accuracy or completeness of the information contained in this

management presentation, and nothing contained herein is, or shall be relied upon as, a promise or

representation, whether as to the past or the future. Therefore, this presentation contained herein

should not be utilized for any legal purposes in regards to investors’ investment results. The

Company hereby expressly disclaims any and all liability for any loss or damage resulting from the

investors’ reliance on the information contained herein. This presentation only speaks the

information as of the date they are made, and the Company undertakes no obligation to update

publicly any of them in light of new information or future events.

Financial Highlights

Business Update

4

(Unit: KRW Million)

Sales: Increased by +1.8% QoQ. However, YoY sales decline continued due to reduced order from Amway.

Profit: Operating profit declined due to weak sales and marketing expenses burden.

Quarterly net income remained over 2 billion KRW thanks to gains from foreign currencies.

[Sales Revenue]

(Unit: KRW Million)

[Operating Profit]

5

Maintained debt ratio below 10% and recorded net cash of KRW 64.8 billion

* [Cash and cash equivalent + financial asset(current and non-current) + Short-term Investment] - Debt

(KRW million) ’19.2Q ’19.1Q QoQ ’18.2Q YoY

Current Asset 75,794 77,324 -2.0% 76,084 -0.4%

Non-current Asset 36,426 32,175 13.2% 27,026 34.8%

Total Asset 112,220 109,498 2.5% 103,110 8.8%

Current Liabilities 5,596 5,722 -2.2% 6,487 -13.7%

Non-current Liabilities 547 98 458.2% 28 1,853.6%

Total Liabilities 6,143 5,919 3.8% 6,515 -5.7%

Shareholders’ Equity 106,077 103,679 2.3% 96,594 9.8%

Debt Ratio 5.8% 5.6% 0.2%p 6.7% -0.9%p

Net Cash* 64,851 66,245 -2.1% 63,165 2.7%

Financial Highlights

Business Update

7

Duolac sales in Korea increased by 13% YoY thanks to new products introduction and upgrades of main products

Reduced order from Amway contributed to sales decline. Gradual recovery is expected from 2H by expanding customer base.

(Unit: KRW Million)

-

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

18,000

20,000

'17 1Q '17 2Q '17 3Q '17 4Q '18 1Q '18 2Q '18 3Q '18 4Q '19 1Q '19 2Q

[Sales Trend by Product Type, Quarterly]

Duolac OEM/ODM Source Material

8

Completion of building new pharma plant (July 24) New Products launch and existing products upgrades

• Microbiome 7 Series (Senior, For Man, Women, Kids)

Duo-An, a new drinking yogurt introduced in collaboration with Seoul Dairy Cooperative

• Designed to produce sample drugs for clinical trial. Upgradable for mass production.

• Non-clinical study, GMP certification, PV and CMC are in progress.

• Main Products upgrades(Gold, Care, YamYam, Baby, etc.)

Singed MOU with K-Bio for new colon-cancer medicine development (May 23)

• Research in progress to demonstrate

drug safety (Toxicology and

Pharmacokinetics) in primates

• Expected to complete by the end of

October

GMP: Good Manufacturing Practice,

PV: Process Validation

CMC: Chemistry, Manufacturing and Controls

9

(KRW Million) '18 1Q '18 2Q '18 3Q '18 4Q '18 Total ‘19 1Q ‘19 2Q

Sales 15,856 16,322 14,652 15,714 62,544 11,449 11,658

COGS 3,377 3,411 3,353 3,559 13,700 2,603 2,723

Gross Income 12,479 12,911 11,299 12,155 48,844 8,846 8,935

SG&A 6,708 7,682 6,468 6,311 27,169 6,674 7,853

Operating Income 5,771 5,229 4,831 5,844 21,675 2,172 1,082

OP Margin(%) 36.4% 32.0% 33.0% 37.2% 34.7% 19.0% 9.3%

Non-OP gain/loss 496 941 143 607 2,187 515 1,373

Income before tax 6,266 6,171 4,974 6,451 23,861 2,687 2,455

Net Income 5,062 4,982 3,903 5,437 19,384 2,222 2,025

Net margin(%) 31.9% 30.5% 26.6% 34.6% 31.0% 19.4% 17.4%

10

(KRW Million) '17. 1Q '17. 2Q '17. 3Q '17. 4Q '18. 1Q '18. 2Q '18. 3Q '18. 4Q ‘19. 1Q ‘19 2Q

Current Asset 59,661 65,200 70,247 70,869 71,653 76,084 79,431 81,047 77,324 75,794

Non-current Asset 21,365 24,811 25,225 25,608 25,874 27,026 27,406 31,001 32,175 36,426

Total Asset 81,026 90,011 95,472 96,472 97,527 103,110 106,837 112,047 109,498 112,220

Current Liabilities 5,293 7,349 7,617 6,259 6,222 6,487 6,453 6,402 5,722 5,596

Non-current Liabilities 21 21 21 21 21 28 21 21 98 547

Total Liabilities 5,314 7,370 7,638 6,280 6,243 6,515 6,474 6,423 5,819 6,143

Shareholders’ Equity 75,712 82,641 87,834 90,196 91,284 96,594 100,363 105,625 103,679 106,077

Debt Ratio 7.0% 8.9% 8.7% 7.0% 6.8% 6.7% 6.5% 6.1% 5.6% 5.8%

Net Cash* 46,732 49,847 52,972 59,613 61,104 63,165 66,736 62,168 66,245 64,851

* [Cash and cash equivalent + financial asset(current and non-current) + Short-term Investment] - Debt