Magnesium (Mg) alloys are considered to be a new generation of revolutionary medical metals. Laser-beam powder bed fusion (PBF-LB) is suitable for fabricating metal implants with personalized and complicated structures. However, the as-built part usually exhibits undesirable microstructure and unsatisfactory performance. In this work, WE43 parts were firstly fabricated by PBF-LB and then subjected to heat treatment. Although a high densification rate of 99.91% was achieved using suitable processes, the as-built parts exhibited anisotropic and layered microstructure with heterogeneously precipitated Nd-rich intermetallic. After heat treatment, fine and nano-scaled Mg24Y5 particles were precipitated. Meanwhile, the α-Mg grains underwent recrystallization and turned coarsened slightly, which effectively weakened the texture intensity and reduced the anisotropy. As a consequence, the yield strength and ultimate tensile strength were significantly improved to (250.2 ± 3.5) MPa and (312 ± 3.7) MPa, respectively, while the elongation was still maintained at a high level of 15.2%. Furthermore, the homogenized microstructure reduced the tendency of localized corrosion and favored the development of uniform passivation film. Thus, the degradation rate of WE43 parts was decreased by an order of magnitude. Besides, in-vitro cell experiments proved their favorable biocompatibility.