WuXi Biologics posts 4.3% rise in first-half profit, defying biotech headwinds
WuXi Biologics, one of China’s largest contract drug developers, posted a 4.3 per cent increase in profit attributable to shareholders in the first half of the year, as stronger demand and improved capacity utilisation lifted revenue and margins. The Wuxi, Jiangsu-based company’s net profit attributable to shareholders rose to 2.44 billion yuan (US$363 million) in the six months ended June,…
WuXi Biologics, a leading contract drug developer in China, reported a 4.3% rise in first-half profit despite challenges faced by the biotechnology sector. The company's net profit attributable to shareholders rose to 2.44 billion yuan (US$363 million) for the six months ending June, with revenue increasing by 18.4% to 11.79 billion yuan.
Adjusted net profit, excluding foreign-exchange impacts and non-core items, jumped 38.4% to 3.31 billion yuan, driven by improved capacity utilization, productivity gains, and operating leverage.
Gross profit grew by 28.1% to 5.45 billion yuan, and gross margin expanded to 46.2% from 42.7%. WuXi Biologics added 169 integrated projects during the period, bringing the total to 1,064, with late-phase projects reaching 78 and commercial manufacturing projects reaching 28. The company also secured 16 external projects through its "follow and win the molecule" strategy.
North America remained the largest market, contributing 58.4% of total revenue, up from 58% the previous year. Growth was supported by demand for new drug-development programs and projects progressing into late-stage and commercial manufacturing.
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