--- title: "HCW Biologics reports first-quarter 2026 net income on Trimmune license" url: "https://aibio.space/news/hcw-biologics-reports-first-quarter-2026-net-income-trimmune-license/" publisher: "aibio.space (Biotech Investor Relations News)" date: "2026-05-14" section: "Company Updates" tickers: "NASDAQ:HCWB" source: "https://www.sec.gov/Archives/edgar/data/1828673/000149315226023122/ex99-1.htm" summary: "The company reported $6.5 million in revenue and net income of $3.5 million for the quarter ended March 31, 2026, and it still states substantial doubt abo" --- By the aibio.space news desk. Sources - [HCW Biologics first-quarter 2026 results, Form 8-K filed May 14, 2026](https://www.sec.gov/Archives/edgar/data/1828673/000149315226023122/ex99-1.htm) - [HCW Biologics 10-K filed March 31, 2026: business](https://www.sec.gov/Archives/edgar/data/1828673/000119312526134934/hcwb-20251231.htm) - [HCW Biologics financial data (SEC XBRL)](https://www.sec.gov/Archives/edgar/data/1828673/000119312526134934/) [HCWB](https://aibio.space/companies/hcw-biologics/) 2026-05-14 # HCW Biologics reports first-quarter 2026 net income on Trimmune license Tickers [HCWB](https://aibio.space/companies/hcw-biologics/) The company reported $6.5 million in revenue and net income of $3.5 million for the quarter ended March 31, 2026, and it still states substantial doubt about going concern. ## Key facts - **Company**: HCW Biologics Inc. (NASDAQ: HCWB) - **News type**: Company Updates - **Primary source**: [HCW Biologics first-quarter 2026 results, Form 8-K filed May 14, 2026](https://www.sec.gov/Archives/edgar/data/1828673/000149315226023122/ex99-1.htm) *Chemistry glassware in a black and white photograph. CC0, via rawpixel. The picture shows the field, not the companies named.* HCW Biologics Inc. (NASDAQ: [HCWB](https://aibio.space/companies/hcw-biologics/)) reported financial results and business highlights for the three months ended March 31, 2026 in a press release furnished with a Form 8-K on May 14, 2026. Revenue for the quarter was $6.5 million, compared with $5,065 for the first quarter of 2025. The company reported net income of $3.5 million, compared with a net loss of $2.2 million a year earlier. ## The Trimmune license The main driver of the quarter was the license with Beijing Trimmune Biotech Co., Ltd. for HCW11-006. The closing occurred on March 16, 2026, when the company received the full nonrefundable upfront license fee. The fee consisted of $3.5 million in gross cash proceeds, or $2.9 million net of taxes, and an in-kind payment of a transferable minority equity interest in Trimmune with a fair value of $3.5 million. For the quarter the company recognized $6.5 million in revenue and $470,000 in deferred revenue. Under the Wugen agreements it has recognized more than $16.0 million in revenue since 2020. ## Operating expenses Research and development expenses were $1.3 million for the quarter, compared with $1.5 million a year earlier, a decrease of $220,763, or 15%. General and administrative expenses were $1.8 million, compared with $2.2 million a year earlier, a decrease of $394,320, or 18%. The company attributes the change to lower salaries and benefits and lower accretion of a fixed bonus on the Secured Notes. The notes were restructured in May 2025. ## Financing and warrant amendment On February 19, 2026, the company completed a $1.5 million equity financing with an existing investor. It issued pre-funded warrants for 2,477,292 shares at $0.0001 and common warrants for up to 2,477,292 shares at $0.6055. At the same time, the company agreed to amend earlier warrants covering up to 3,020,410 shares, lowering their exercise price from $2.41 to $0.6055 per share. The release says the warrants are subject to stockholder approval. ## Going concern and Nasdaq The release states that, as of March 31, 2026, substantial doubt exists about the company's ability to continue as a going concern for at least 12 months from the issuance date of its audited financial statements, without additional funding or financial support. On May 5, 2026, the company was granted a hearing to appeal a Nasdaq Listing Qualifications Staff determination to delist its securities from The Nasdaq Capital Market for not meeting the $1.00 minimum bid price requirement. The Staff had not yet said whether the plan was accepted. ## Clinical and research milestones The company said it remains on track to provide a preliminary readout from the first two dose levels of the Phase 1 study of HCW9302 in alopecia areata in the first half of 2026. It reports no dose-limiting toxicities to date and expects the full Phase 1 readout in the fourth quarter of 2026. The company says it is actively seeking a corporate partner to commercialize HCW9206, a commercial-ready reagent program. ## Financial position from the annual report In the annual report, research and development expense was $5.4 million in 2025 and $6.4 million in 2024. The net loss was $8.0 million in 2025 and $30.0 million in 2024. Cash used in operations was $13.4 million in 2025 and $14.2 million in 2024. Year-end cash and cash equivalents were $4.7 million at December 31, 2024. ## Why the profit is not a turnaround The net income came from a one-time license fee, half of which was an equity stake in Trimmune rather than cash, and the release says all revenue since inception has come from licenses. The company used $13.4 million in operations in 2025, and it still states going-concern doubt. To raise $1.5 million in February it also cut the exercise price on earlier warrants from $2.41 to $0.6055 per share, which dilutes holders, and the warrants need stockholder approval. The Nasdaq delisting appeal is unresolved. For HCW9302, the company reports no dose-limiting toxicities so far but gives no efficacy data, and the full Phase 1 readout is not expected until the fourth quarter of 2026. It is still seeking a partner for HCW9206. [Report an error](https://aibio.space/reputation/#correction) ## Companies in this story HCWB HCW Biologics Inc. NASDAQ ยท United States Open the starter desk ## More in Company Updates Company Updates ### [PTC reports third-quarter 2026 revenue of $358 million and raises product guidance](https://aibio.space/news/ptc-reports-third-quarter-2026-revenue-358-million-raises-product/) Oct 29, 2026 Company Updates ### [Processa clears VT-7208 CSU IND and names a new executive chair](https://aibio.space/news/processa-clears-vt-7208-csu-ind-names-new-executive-chair/) Oct 29, 2026 Company Updates ### [Kiora in-licenses late-stage KIO-401 for retinal artery occlusion](https://aibio.space/news/kiora-licenses-late-stage-kio-401-retinal-artery-occlusion/) Oct 29, 2026 --- Source page: https://aibio.space/news/hcw-biologics-reports-first-quarter-2026-net-income-trimmune-license/. Facts in aibio.space stories are checked against company filings and releases; opinion is labelled. Cite as: aibio.space, "HCW Biologics reports first-quarter 2026 net income on Trimmune license", 2026-05-14, https://aibio.space/news/hcw-biologics-reports-first-quarter-2026-net-income-trimmune-license/