A

Harmony Biosciences Holdings, I — Earnings Quality Grade A

HRMY · Healthcare

Strong financial health

Revenue
$868M
2025
Net Income
$159M
2025
Gross Margin
77.2%
Free Cash Flow
$348M
01

Screening Summary

15
Passed
1
Watch
0
Failed
M-Score

Management Signals

No recent CEO, CFO, board, or accounting leadership signals found in SEC 8-K filings.
02

Financial Trends

Revenue & Net Income ($B)

Margins (%)

03

18-Point Screening

01

Revenue Quality

A1DSO Change

DSO 41 days, change -2 days YoY

A2AR vs Revenue Growth

AR growth 16.6% vs revenue growth 21.5%

A3Revenue vs CFFO

Revenue 21.5%, CFFO 58.4%. Cash follows revenue

02

Expense Quality

B1Inventory vs COGS

Inventory -25.6% vs COGS 26.5%. Normal

B2CapEx vs Revenue

CapEx growth -73.1% vs revenue 21.5%. Normal

B3SG&A Ratio

SG&A/Gross Profit = 40.6%. Normal

B4Gross Margin

Gross margin 77.2%, change -0.9pp. Stable

03

Cash Flow Quality

C1CFFO vs Net Income

CFFO/NI = 2.19. Profits backed by cash

C2Free Cash Flow

FCF $0.3B, FCF/NI = 2.19

C3Accruals Ratio

Accruals ratio = -14.9%. Low accruals

C4Cash vs Debt

Cash $0.8B covers debt $0.2B

04

Balance Sheet Health

D1Goodwill + Intangibles

No goodwill. Clean balance sheet

D2Leverage

Debt/EBITDA = 0.6x. Healthy

!
D3Soft Asset Growth

Other assets grew 147.8% vs revenue 21.5%

D4Asset Impairment

No write-off data

05

Acquisition Risk

E1Serial Acquirer FCF

FCF after acquisitions positive

E2Goodwill Surge

No goodwill

06

Manipulation Score

F1Beneish M-Score

Insufficient data

Portfolio monitoring

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05

Altman Z-Score

7.28
Safe Zone
0 Distress1.102.605.0+ Safe
0.515
Liquidity
0.1265
Cumulative profit
0.1806
Operating efficiency
2.1679
Leverage

Generated from public financial data using forensic accounting frameworks. Not investment advice. Data: Yahoo Finance · 2026-04-25

·Latest Quarterly Check

About this →

HRMY is sitting near the watch threshold across the last 5–6 quarters.

  • Q3 · GM compressionGM: 82.7% → 79.3% (-335 bp)

Updated 2026-06-09