HBM Healthcare Investments Ltd

Latest Results (07.08.2024):

Net Asset Value (NAV) Performance

HBM Healthcare Investments Ltd reported a slight loss of CHF 1 million for the 2023/2024 financial year. Despite this, the net asset value per share (NAV), including distribution, rose by 0.3 percent. This increase was primarily driven by the positive performance of the portfolio of public companies, which saw a total value increase of CHF 69 million or 3.9 percent.

Public Companies Contribution

The portfolio of public companies made a significant positive contribution to HBM Healthcare Investments Ltd's earnings in the 2023/2024 financial year. Notable contributors included Y-mAbs Therapeutics, Longboard Pharmaceuticals, and Ambrx Pharmaceuticals, with the latter being acquired by Johnson & Johnson for USD 2 billion. However, negative currency effects totaling CHF – 32 million partially offset these gains.

Private Companies and Funds Performance

HBM Healthcare Investments Ltd's private companies and funds experienced a decline in performance during the 2023/2024 financial year. Despite some companies performing well and offering significant future value potential, the overall performance of this segment was negative. This was reflected in the write-downs on some investments, which impacted the annual results.

Currency Effects

Strong exchange rate fluctuations affected HBM Healthcare Investments Ltd's investment currencies during the 2023/2024 financial year. The Swiss National Bank's early interest rate cut corrected the strong appreciation of the Swiss franc somewhat, but all investment currencies lost ground against the Swiss franc. This resulted in a negative impact of around 2.5 percent on the company's performance.

Distribution and Share Buy-Backs

HBM Healthcare Investments Ltd plans to propose a distribution to shareholders similar to the previous year and continue its share buy-back program. This decision reflects the company's confidence in the fundamentally positive performance of the biotech sector and many of its portfolio companies, despite the challenging market environment.