Bridge Biotherapeutics has reported a significant downturn in its financial performance for the year 2023.

The company's annual revenue plummeted to 100 million won ($74,878), marking a drastic 96.7 percent decrease compared to the previous year.

This downturn is attributed to the absence of additional milestone payments following the receipt of a significant milestone in 2022 for the completion of phase 1 clinical trials in China for its ulcerative colitis drug candidate BBT-401.

The company also reported an operating loss of 40.3 billion won and a net loss of 41.6 billion won. Despite the revenue drop, the losses remained relatively consistent with the previous year, showing a marginal 0.2 percent difference for both losses.

The decline in revenue was specifically linked to the lack of subsequent milestone achievements after the successful milestone payment received for BBT-401.

However, Bridge Biotherapeutics stressed it is actively working on improving its performance through the development of its pipeline focusing on idiopathic pulmonary fibrosis (IPF) treatments.

Bridge Biotherapeutics is developing three potential treatments for IPF based on its current pipeline-- BBT-877, BBT-301, and BBT-209.

The company believes that These drugs will become second-generation treatments for IPF, aiming to halt the progression of lung function decline, unlike first-generation therapies that only slow the progression.

The company has high hopes for the IPF market, as over eight of the top ten global pharmaceutical companies are enhancing their IPF pipelines, indicating a ripe environment for potential technology export opportunities.

Currently, BBT-877 is undergoing a global phase 2 clinical trial, while BBT-301 is advancing towards a phase 2 trial within the year. Additionally, the company plans to conduct phase 1 and 2 clinical trials for BBT-209, a fourth-generation targeted therapy for non-small cell lung cancer with EGFR mutations.