Harbour BioMed: A Global Biopharma Powerhouse Driving Innovation in Immuno-Oncology and Immunology

Harbour BioMed (HKEX: 02142), a global biopharmaceutical company committed to the discovery, development, and commercialization of novel antibody therapeutics focusing on immuno-oncology and immunology, recently announced its business progress and update. The company reported a profit of US$22.8 million for the year ended 31 December 2023, marking the first time it has recorded a net profit on its annual financial statements. This significant achievement is a testament to Harbour BioMed's remarkable resilience and adaptability in challenging market conditions.



Harbour BioMed's sustained profitability is primarily driven by several key factors:

1. Accelerated growth of its unique business model: The company's strategic partnerships with global pharmaceutical and leading biotech companies have contributed significantly to its revenue growth. In 2023, Harbour BioMed signed multiple licensing and collaboration agreements, including a deal with Pfizer and Cullinan Oncology, which generated substantial revenue.
2. Growing recurring component of revenue: In 2023, Harbour BioMed recorded a significant increase in its revenue, with a growing recurring component. This includes platform-based research revenue and milestone payments as collaboration programs advance. For example, the company's platform-based research revenue increased by 119.9% compared to the previous year, reaching US$40.7 million.
3. Effective cost control and efficient operational management: Harbour BioMed has implemented cost control measures and optimized its investments in clinical programs and molecule assets in discovery and pre-clinical stages. This has resulted in a 66.6% decrease in research and development expenses, from US$135.1 million in 2022 to US$45.1 million in 2023.
4. Administrative expenses reduction: The company has also managed to reduce its administrative expenses by 28.6%, from US$27.3 million in 2022 to US$19.5 million in 2023.



Harbour BioMed's robust pipeline and strategic partnerships have contributed to its strong financial performance. In 2023, the company recorded a significant increase in revenue, demonstrating its excellent global business development capabilities. The company's global operations continue to open new avenues for future growth, and its outstanding performance has validated the feasibility of its Two-Engine strategy, driven by Harbour Therapeutics and Nona Biosciences.

Dr. Jingsong Wang, Founder, Chairman and CEO of Harbour BioMed, commented on the company's achievements: "Harbour BioMed is accelerating its transformation into a sustainably profitable global biotech engine, driven by our proprietary Harbour Mice® platform and differentiated business model. With more than 19 molecules progressing into the IND stage globally through partnerships with multinational pharmaceutical and biotech companies, our platform's value continues to be validated. Our strong financial performance highlights the resilience and scalability of our business. Looking ahead, we remain committed to advancing next-generation antibody technologies to address critical medical needs and deliver long-term value to our stakeholders."

Harbour BioMed's Two-Engine strategy, driven by Harbour Therapeutics and Nona Biosciences, contributes to the company's long-term growth and value creation by fostering a diversified pipeline, generating platform-based revenue, optimizing costs, expanding global business development, and maintaining technological leadership. The company's robust and diversified pipeline, with potentially differentiated drug candidates in immuno-oncology and inflammatory and immunology diseases, positions it for long-term success by providing a strong foundation for growth, reducing risk, and creating multiple opportunities for value creation.

Investors seeking exposure to the global biopharmaceutical industry should consider Harbour BioMed as a compelling investment opportunity. The company's strong financial performance, innovative technology platforms, and robust pipeline make it an attractive choice for those looking to capitalize on the growth and potential of the immuno-oncology and immunology sectors. As Harbour BioMed continues to execute its Two-Engine strategy and advance its pipeline, investors can expect the company to deliver long-term value and sustainable growth.