South Korean contract development and manufacturing organization (CDMO) Samsung Biologics announced financial results for the second quarter of fiscal year 2026, with year-over-year revenue increasing 30% due to favorable foreign exchange rates and full utilization of Plants 1 through 4 at its Bio Campus I in Songdo, Incheon.

Bio Campus I, touted as the world’s largest biomanufacturing facility with a combined total capacity of 605,000 liters, includes bioreactors from 1,000 liters to 15,000 liters for both small-batch clinical production and large-scale commercial manufacturing.

Samsung Biologics reported strong performance during the second quarter the result of “stable manufacturing operations” across Plants 1 through 4 at Bio Campus I, despite union strike-related batch production disruptions in May 2026.

Even with the Q2 batch production disruptions, the company said it is well positioned to achieve the upper end of its full-year revenue growth guidance (15% to 20% for 2026), driven in part by the ramp-up of Plant 5 Process Performance Qualification (PPQ) batch production.  

Last year, the fully automated Plant 5 with digital systems went online — the company’s first facility at its Bio Campus II site in Songdo — adding 180,000 liters of capacity and bringing the CDMO’s total antibody production capacity to 784,000 liters. Bio Campus II, which will also include Plants 6, 7, and 8, is slated for completion by 2032 with total capacity of 720,000 liters.

Samsung Biologics’ biomanufacturing framework — called ExellenS — will be applied by the CDMO across its Bio Campus I and Bio Campus II to ensure plant-to-plant equivalency and speed, according to the company. With multi-plant sourcing under ExellenS, the company contends it provides standardized designs, unified processes, and advanced digitalization ensuring predictable outcomes and enabling rapid approvals and accelerated time to market. 

Eli Lilly and Samsung Biologics announced a collaboration in March to establish a Lilly Gateway Labs site at Bio Campus II to support early-stage biotechnology companies advancing drug development and manufacturing. The new 125,000-square-foot facility, to be completed in 2027, will include laboratory space, research infrastructure, and is designed to accommodate up to 30 biotech companies.

Samsung Biologics has also purchased land for a planned Bio Campus III in Songdo, which is expected to support multiple modalities including potentially cell and gene therapies and vaccines.

Acquisitions to begin bearing fruit

Last month, Samsung Biologics made an all-cash public tender offer to acquire Switzerland-headquartered CDMO PolyPeptide Group AG. The deal, worth $1.8 billion and to be completed by the end of 2026, is designed to target one of the fastest-growing biopharmaceutical segments — peptides — and boost Samsung’s multi-modality and global manufacturing capabilities.

The acquisition will expand the CDMO’s capabilities beyond antibodies and antibody-drug conjugates (ADCs) to include peptide therapeutics, while advancing innovation across high-growth areas such as oncology and other emerging indications. The deal also grows Samsung’s global network to include PolyPeptide’s six cGMP manufacturing facilities in five countries — Belgium, France, India, Sweden, and the United States.

The transaction comes on the heels of Samsung Biologics acquiring a production facility in Rockville, Maryland from GSK — completed in March 2026 — and establishing the CDMO’s first U.S. manufacturing presence. The Rockville site includes two cGMP manufacturing plants with a combined 60,000 liters of drug substance capacity supporting both clinical and commercial biologics production across multiple scales. With the acquisition, the CDMO’s total global manufacturing capacity increases to 845,000 liters.

Samsung Biologics reported Q2 operating margin of 44.4% despite absorbing upfront costs and depreciation charges tied to validation batch production at Plant 5 in South Korea and the launch of its Maryland manufacturing facility. The company said revenue recognition from the Rockville site will begin in Q3, while Plant 5’s PPQ ramp-up is projected to boost revenue in the second half of the year.

“Our continued investments in global operations and future capabilities are strengthening the foundation of our business and preparing us for the next phase of industry growth,” Samsung Biologics CEO John Rim said in a statement. “As the biopharmaceutical landscape evolves, we remain committed to providing the scale, flexibility, and expertise our clients need to bring next-generation therapies to patients.”

In a biologics market report released last month, Grand View Research estimates that the outsourcing segment will expand at a compound annual growth rate of 10.7% between 2026 and 2033.

Companies such as Lonza, Samsung Biologics, and WuXi Biologics have “established cutting-edge biologic manufacturing facilities” with market growth “significantly influenced by the increasing number of CDMOs and their expansion of production capacity,” the report said.