Financial Data and Key Metrics Changes - The company's total revenue for the first three quarters of 2025 reached RMB 32.86 billion, with revenue from continuing operations growing 22.5% year-over-year to RMB 32.45 billion [6][7] - Adjusted non-IFRS net profit increased by 43.4% to RMB 10.54 billion, with a non-IFRS net profit margin improving to 32.1% [7][20] - The adjusted non-IFRS gross profit reached RMB 15.46 billion, with the gross profit margin improving from 41.6% in 2024 to 47% [19][20] Business Line Data and Key Metrics Changes - WuXi Chemistry's revenue grew 29.3% to RMB 25.98 billion, with an adjusted non-IFRS gross profit margin improving 5.8 percentage points to 51.3% [8][9] - Small molecule D&M business revenue grew 14.1% to RMB 14.24 billion, with a total react volume of small molecule APIs exceeding 4,000 cu m [9][10] - WuXi TIDES revenue surged 121.1% year-over-year to RMB 7.84 billion, with a backlog growth of 17.1% [10][11] Market Data and Key Metrics Changes - Revenue from the U.S. grew 31.9%, while Europe saw a 13.5% increase, and revenue from China remained flat [8] - The company reported a record backlog for continuing operations of RMB 59.88 billion, growing 41.2% year-over-year [7][8] Company Strategy and Development Direction - The company is focusing on enhancing its core CRDMO capabilities and expanding global capacity to meet customer demand [7][25] - A strategic decision was made to sell 100% of its China-based clinical research services business to Hillhouse Investment Management, which will be classified as a discontinued operation [23][24] Management Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving double-digit growth in continuing operations revenue for 2025, raising the growth rate expectation to 17%-18% [25][26] - The company anticipates total revenue for 2025 to be between RMB 43.5 billion and RMB 44.0 billion, up from previous guidance [26] Other Important Information - The company has implemented a total of RMB 6.88 billion in cash dividends, share repurchases, and cancellations, representing over 70% of the net profit in 2024 [27][28] - The company is actively advancing global capacity expansion, with CapEx payments reaching RMB 3.57 billion in the first three quarters [22] Q&A Session Summary Question: What is driving the backlog growth, particularly in small molecules? - Management indicated that the backlog growth is primarily driven by small molecule D&M, especially from late-stage clinical and commercial projects, with a historical high backlog approaching RMB 60 billion [30][32] Question: What is the outlook for margins, especially for WuXi Chemistry? - The margin increase is attributed to continuous optimization of manufacturing processes and a higher proportion of late-phase and commercial projects, with expectations to maintain strong margins moving forward [35][36] Question: How does the new BIOSECURE bill affect customer sentiment? - Management noted that customers have not shown a significant change in demand patterns despite the geopolitical uncertainties, maintaining strong service demand [40][42] Question: What is the expected timing for the disposal of the clinical research services business? - The revenue guidance for continuing operations has excluded the clinical research services business, which will be reclassified as discontinued operations in the annual report [47] Question: What are the key drivers for the small molecule CDMO business? - The small molecule pipeline includes several high-potential projects, including GLP-1 and PCSK9, with a strong focus on capturing late-phase and commercial opportunities [70]

Financial Data and Key Metrics Changes - The company's total revenue for the first three quarters of 2025 reached RMB 32.86 billion, with revenue from continuing operations growing 22.5% year-over-year to RMB 32.45 billion [6][7] - Adjusted non-IFRS net profit increased by 43.4% to RMB 10.54 billion, with a non-IFRS net profit margin improving to 32.1% [7][20] - The adjusted non-IFRS gross profit margin improved from 41.6% in 2024 to 47% in the first three quarters of 2025 [19][20] Business Line Data and Key Metrics Changes - WuXi Chemistry's revenue grew 29.3% to RMB 25.98 billion, with an adjusted non-IFRS gross profit margin improving 5.8 percentage points year-over-year to 51.3% [8][9] - WuXi TIDES revenue surged 121.1% year-over-year to RMB 7.84 billion, with a backlog growth of 17.1% [10] - WuXi Testing revenue remained flat at RMB 4.17 billion, while lab testing service revenue grew 7.2% year-over-year [13][14] - WuXi Biology revenue increased by 6.6% to RMB 1.95 billion, with a slight decline in gross profit margin due to market pricing impacts [17] Market Data and Key Metrics Changes - Revenue from the U.S. grew 31.9%, while Europe saw a 13.5% increase, and revenue from China remained relatively flat [8] - The company's backlog for continuing operations reached a record high of RMB 59.88 billion, growing 41.2% year-over-year [7][32] Company Strategy and Development Direction - The company is focusing on enhancing its core CRDMO capabilities and expanding global capacity to meet customer demand [7][25] - A strategic decision was made to sell 100% of its China-based clinical research services business to Hillhouse Investment Management, which will be classified as a discontinued operation [23][24] - The company expects to achieve double-digit growth in continuing operations revenue for 2025, raising the growth rate guidance to 17% to 18% [25][26] Management Comments on Operating Environment and Future Outlook - Management expressed confidence in the robust demand for enabling services and the resilience of the CRDMO business model [25] - The company anticipates improved operating efficiency and financial management capabilities to sustain growth momentum [19][22] Other Important Information - The company has implemented a total of RMB 6.88 billion in cash dividends, share repurchases, and cancellations, representing over 70% of the net profit in 2024 [27][28] - The company is actively advancing global capacity expansion, with CapEx payments reaching RMB 3.57 billion in the first three quarters [22] Q&A Session Summary Question: What is driving the backlog growth, particularly in the small molecule segment? - Management indicated that the backlog growth is primarily driven by late-stage clinical and commercial projects, with a significant contribution from small molecule DNM [30][32] Question: What is the outlook for margins, especially for WuXi Chemistry? - The high margins are attributed to continuous optimization of manufacturing processes and an increase in late-phase and commercial projects, which improve utilization efficiency [35][36] Question: How do U.S. customers view the new BioSecure bill and its impact on sourcing? - Management noted that U.S. customers continue to demand services from global sites, and there has not been a significant change in sourcing patterns due to the new bill [40][42] Question: How will the disposal of the clinical research services business affect overall margins? - The margin mix for WuXi Testing is expected to improve following the divestiture of the clinical CRO business [86] Question: What are the plans for using the proceeds from recent disposals? - The proceeds will be reinvested into global growth and capacity building, supporting the company's CRDMO strategy [86]

Group 1 - The Hong Kong stock market opened higher on October 27, with technology and semiconductor stocks showing strength [1] - The Hong Kong Stock Connect Technology ETF (513860) rose by 1.96% with a trading volume exceeding 30 million yuan, indicating strong investor interest [1] - Notable performers among the ETF's constituent stocks included Hongteng Precision, which increased by over 7%, and WuXi AppTec and WuXi Biologics, both rising by over 6% [1] Group 2 - According to Xinda Securities, the derivatives market is showing positive signals despite a reduction in positions, with the basis of the Shanghai 50 index futures turning to a premium, indicating improved sentiment in blue-chip stocks [2] - Huatai Securities noted that southbound capital has accumulated inflows exceeding 500 billion HKD since the second half of the year, suggesting a balanced risk outlook in the market [2] - The current high prosperity in sectors such as metals, materials, and energy, along with technology, contrasts with the recent bottoming or upward revision signs in consumer sectors and high-dividend stocks [2]

Financial Data and Key Metrics Changes - The company's total revenue for the first three quarters of 2025 reached RMB 32.86 billion, with revenue from continuing operations growing 22.5% year-over-year to RMB 32.45 billion [5] - Adjusted non-IFRS net profit increased by 43.4% to RMB 10.54 billion, with a non-IFRS net profit margin improving to 32.1% [5][17] - The adjusted non-IFRS gross profit margin improved from 41.6% in 2024 to 47% in 2025 [17] Business Line Data and Key Metrics Changes - WuXi Chemistry's revenue grew 29.3% to RMB 25.98 billion, with an adjusted non-IFRS gross profit margin improving 5.8 percentage points year-over-year to 51.3% [6][7] - WuXi TIDES revenue surged 121.1% year-over-year to RMB 7.84 billion, with a backlog growth of 17.1% [8] - WuXi Testing revenue remained flat at RMB 4.17 billion, while lab testing services revenue grew 7.2% year-over-year [11][12] Market Data and Key Metrics Changes - Revenue from the U.S. region grew 31.9%, while Europe saw a 13.5% increase, and revenue from China remained relatively flat [6] - The company's backlog for continuing operations reached a record RMB 59.88 billion, growing 41.2% year-over-year [5][6] Company Strategy and Development Direction - The company plans to focus on its core CRDMO business model and accelerate global expansion, capacity construction, and capability development [21][23] - A strategic decision was made to sell 100% of its China-based clinical research services business to Hillhouse Investment Management, which will be classified as a discontinued operation [21][22] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving double-digit growth in continuing operations revenue for 2025, raising the growth rate expectation to 17% to 18% [23][24] - The company anticipates total revenue for 2025 to be between RMB 43.5 billion and RMB 44.0 billion, up from previous guidance [24] Other Important Information - The company has implemented a total of RMB 6.88 billion in cash dividends, share repurchases, and cancellations, representing over 70% of the company's net profit in 2024 [25] - The company is actively advancing global capacity expansion, with CapEx payments reaching RMB 3.57 billion in the first three quarters [19] Q&A Session Summary Question: What has been driving the backlog growth, particularly in the small molecule part? - The backlog growth is mainly driven by contributions from small molecule DNM, especially from late-stage clinical and commercial projects [30] Question: What has been driving the high gross margin in the third quarter? - The high margin is attributed to continuous optimization of the manufacturing process and an increase in late-phase and commercial projects, improving utilization efficiency [34] Question: How do U.S. customers view the new BioSecure bill? - Customers have not shown a significant change in demand patterns, and the company continues to meet service demands effectively [40] Question: Does the raised guidance for the full year include the clinical research services business? - The guidance for continuing operations has excluded the clinical research services business, which will be reclassified as discontinued operations [45] Question: What is the outlook for early-stage demand? - There has been a rise in early-stage demand, particularly from U.S. customers, driven by the company's differentiated capabilities [47] Question: What are the key drivers in the small molecule CDMO business? - The small molecule pipeline includes multiple potential big projects, including GLP-1 and other therapeutic areas [60]

Financial Data and Key Metrics Changes - The company's total revenue reached RMB32.86 billion, with revenue from continuing operations growing 22.5% year over year to RMB32.45 billion [7] - Adjusted non-IFRS net profit increased by 43.4% to RMB10.54 billion, with a net profit margin of 32.1% [7][27] - The backlog for continuing operations reached a record RMB59.88 billion, growing 41.2% year over year [8] Business Line Data and Key Metrics Changes - Chemistry's CRDMO revenue grew 29.3% to RMB25.98 billion, with an adjusted non-IFRS gross profit margin improving by 5.8 percentage points to 51.3% [11] - Small molecule DNM business revenue increased by 14.1% to RMB14.24 billion [13] - WuXi Tides revenue surged 121.1% to RMB7.84 billion, with a backlog growth of 17.1% [14] Market Data and Key Metrics Changes - Revenue from the U.S. region grew 31.9%, while Europe saw a 13.5% increase, and revenue from Japan, Korea, and the rest of the world grew 9.2% [10] - Revenue from China remained relatively flat, indicating a diversified revenue stream [10] Company Strategy and Development Direction - The company is focusing on enhancing core capabilities and expanding capacity to meet customer demand [7] - An agreement was signed to sell 100% of the equity of its China-based clinical research service business, which will be classified as a discontinued operation [32][33] - The company raised its full-year guidance for continuing operations revenue growth to 17% to 18% [37] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in customer demand for enabling services and the resilience of the CRDMO business model [36] - The company expects to improve adjusted non-IFRS net profit margins in 2025 and anticipates free cash flow to increase [37][38] Other Important Information - The company has implemented a total of RMB6.88 billion in cash dividends and share repurchases, representing over 70% of net profit in 2024 [38] - The company is actively advancing global capacity expansion, with CapEx payments reaching RMB3.57 billion in the first three quarters [30] Q&A Session Summary Question: What is driving the backlog growth, particularly in small molecules and Tides business? - Management noted that the backlog has reached a historical high, driven by small molecule DNM and Tides business, with a year-over-year growth of approximately 30% [44][45] Question: What is the outlook for margins moving forward? - The company indicated that margin growth is driven by continuous optimization of manufacturing processes and an increase in late-phase and commercial projects [50][51] Question: How do U.S. customers view the new legislative proposals regarding biotechnology? - Management stated that they are closely monitoring legislative changes and have not seen a significant shift in customer demand patterns [54][58] Question: What is the impact of the disposal of the clinical research service business on margins? - The margin mix is expected to improve following the divestiture of the clinical CRO business, enhancing the overall margin of the WuXi testing business [110] Question: How will the company utilize the cash from the recent transactions? - The cash will be used to support global growth and capacity building initiatives [112]

（文章来源：每日经济新闻） 每经AI快讯，药明康德(02359.HK)高开逾7%，截至发稿，涨7.51%，报118.8港元，成交额3129.39万港 元。 ...

Core Viewpoint - The Hong Kong stock market shows signs of volatility in the short term, but the long-term upward trend remains intact, with specific sectors, particularly technology, expected to benefit from AI narratives and structural advantages in asset allocation [1][1][1]. Market Performance - The Hang Seng Index opened up by 1.28%, while the Hang Seng Tech Index rose by 2.06%. Notable stock performances include Alibaba increasing by nearly 4%, Baidu Group and SMIC rising over 3%, and Kuaishou gaining over 2%. WuXi AppTec saw a significant increase of over 7%, with a year-on-year net profit growth of 53.27% in Q3 [1][1][1]. Analyst Insights - Dongwu Securities indicates that while recent events may lead to continued short-term volatility in the Hong Kong market, the long-term upward trend is unchanged [1]. - Guotai Junan suggests that short-term fluctuations do not alter the bullish outlook for the fourth quarter, particularly for the Hang Seng Tech Index, which has the most potential for growth [1][1]. - China Merchants Securities notes a consensus of pessimistic expectations in the Hong Kong market, influenced by anticipated fluctuations due to US-China trade tensions. However, it emphasizes that the long-term upward trend remains, advising a focus on structural themes rather than index points [1][1][1].

Core Insights - WuXi AppTec reported a revenue of 32.857 billion yuan for the first three quarters of 2025, representing an 18.61% year-on-year increase, and a net profit of 12.076 billion yuan, up 84.84% year-on-year [1] - The company attributes its growth to a focus on the CRDMO business model, optimization of production processes, and increased efficiency from large-scale projects [1] - The company expects its revenue growth rate for ongoing operations to be adjusted from 13%-17% to 17%-18% for 2025 [1] Revenue Breakdown - As of September 30, 2025, the company had a backlog of orders worth 59.88 billion yuan, a 41.2% increase year-on-year [2] - For the first three quarters of 2025, revenue from ongoing operations was 32.45 billion yuan, with revenue from U.S. clients at 22.15 billion yuan (31.9% increase), European clients at 3.84 billion yuan (13.5% increase), Chinese clients at 5.04 billion yuan (0.5% increase), and other regions at 1.42 billion yuan (9.2% increase) [2] Future Projections - The company has raised its full-year revenue forecast from 42.5 billion-43.5 billion yuan to 43.5 billion-44 billion yuan [2] - WuXi AppTec plans to focus on its core CRDMO business and improve operational efficiency [2] Strategic Moves - The company announced the transfer of 100% equity in its subsidiaries to Shanghai Shihe Rong Enterprise Management Consulting Co., Ltd. and Shanghai Shihe Mu Enterprise Management Consulting Co., Ltd. for a transaction price of 2.8 billion yuan [2] - This move aims to enhance focus on the CRDMO business model and accelerate global capabilities and capacity deployment [2] - The anticipated gains from this transaction are expected to exceed 10% of the company's most recent audited net profit, positively impacting the net profit for 2025 [2]

Core Viewpoint - WuXi AppTec (02359) reported strong financial performance for the first three quarters of 2025, with significant revenue and profit growth, indicating a positive outlook for the company's core CRDMO business [1] Financial Performance - For the first three quarters of 2025, the company achieved operating revenue of RMB 32.86 billion, representing a year-on-year increase of 18.6% [1] - The revenue from continuing operations grew by 22.5% year-on-year [1] - The net profit attributable to shareholders reached RMB 12.076 billion, marking an impressive year-on-year growth of 84.84% [1] Future Outlook - The company expects revenue from continuing operations to return to double-digit growth, with the growth rate revised from 13-17% to 17-18% [1] - Overall annual revenue guidance has been raised from RMB 42.5-43.5 billion to RMB 43.5-44 billion [1] Business Focus - The company will concentrate on its core CRDMO business and aims to continuously improve operational efficiency [1] Order Backlog - As of September 30, 2025, the order backlog for continuing operations stood at RMB 59.88 billion, reflecting a year-on-year increase of 41.2% [1] Revenue Breakdown - For the first three quarters of 2025, revenue from continuing operations was RMB 32.45 billion, with contributions from various regions: - Revenue from U.S. clients was RMB 22.15 billion, up 31.9% year-on-year [1] - Revenue from European clients was RMB 3.84 billion, increasing by 13.5% [1] - Revenue from Chinese clients was RMB 5.04 billion, showing a slight growth of 0.5% [1] - Revenue from other regions was RMB 1.42 billion, up 9.2% [1]

Core Insights - The core business of the company is the chemical segment, which remains the main growth engine with a revenue increase of 29.3% year-on-year in the first three quarters [4][10] - The TIDES business (oligonucleotides and peptides) has shown exceptional performance, with revenue skyrocketing by 121.1% to 7.84 billion yuan [5][11] - The company has a robust order backlog of 59.88 billion yuan, reflecting a significant year-on-year growth of 41.2%, providing a solid foundation for upward adjustments in annual performance guidance [3][13] Financial Performance - In Q3 2025, the company achieved a revenue of 12.057 billion yuan, representing a year-on-year growth of 15.26% [3][8] - The net profit attributable to shareholders reached 3.515 billion yuan, with a substantial increase of 53.27% year-on-year [3][8] - For the first three quarters of 2025, total revenue was 32.857 billion yuan, up 18.61%, while net profit attributable to shareholders surged by 84.84% to 12.076 billion yuan [4][8] Business Segment Analysis - The TIDES business is the strongest growth driver, contributing 7.84 billion yuan in revenue, a remarkable increase of 121.1% [5][11] - The small molecule CDMO business maintained steady growth, generating 14.24 billion yuan in revenue, up 14.1% [12] - Testing services showed weak performance, with revenue of 4.17 billion yuan, nearly flat year-on-year, primarily due to a 6.4% decline in clinical CRO and SMO services [6][15] Market Dynamics - The company continues to rely significantly on overseas markets, with revenue from U.S. clients increasing by 31.9% to 22.15 billion yuan, while revenue from Chinese clients remained nearly unchanged, growing only 0.5% [13]