Investment Rating - The report maintains a rating of "Accumulate" for WuXi AppTec (603259) with a target price of 93.84 CNY, up from the previous forecast of 71.82 CNY [1][11]. Core Views - The report highlights strong growth in backlog orders and a significant increase in peptide business, indicating a positive long-term growth outlook for the company [1][11]. - The company is expected to achieve a revenue of 39.24 billion CNY in 2024, reflecting a decrease of 2.7% year-on-year, while the net profit attributable to the parent company is projected at 9.45 billion CNY, down 1.6% [2][11]. - The report notes that the fourth quarter of 2024 is expected to show a revenue of 11.54 billion CNY, representing a 6.9% increase, with an adjusted net profit of 3.234 billion CNY, up 20.3% [11]. Financial Summary - Revenue and Profit Forecasts: - 2023A: Revenue 40.34 billion CNY, Net Profit 9.607 billion CNY - 2024A: Revenue 39.241 billion CNY, Net Profit 9.450 billion CNY - 2025E: Revenue 42.602 billion CNY, Net Profit 11.778 billion CNY - 2026E: Revenue 47.327 billion CNY, Net Profit 12.846 billion CNY - 2027E: Revenue 52.801 billion CNY, Net Profit 14.749 billion CNY [2][13]. - Earnings Per Share (EPS) Forecasts: - 2023A: 3.33 CNY - 2024A: 3.27 CNY - 2025E: 4.08 CNY - 2026E: 4.45 CNY - 2027E: 5.11 CNY [2][13]. - Return on Equity (ROE) Forecasts: - 2023A: 17.4% - 2024A: 16.1% - 2025E: 17.5% - 2026E: 16.8% - 2027E: 17.0% [2][13]. Market Data - The stock has a 52-week price range of 36.87 to 69.68 CNY, with a total market capitalization of 201.235 billion CNY [3][11]. - The company has a net asset value per share of 20.30 CNY and a price-to-book ratio of 3.4 [4][11]. Business Performance - The report indicates that the chemical business is expected to grow by 11.2% in 2024, excluding the impact of COVID-19 commercialization orders, with an adjusted gross margin of 46.4% [11]. - The peptide business (TIDES) is projected to achieve a revenue of 5.8 billion CNY in 2024, marking a 70.1% increase, with backlog orders growing by 103.9% [11].

Investment Rating - The report maintains a "Recommended" rating for WuXi AppTec (603259.SH) with a target price of 70.00 CNY [7][8]. Core Insights - WuXi AppTec reported a total revenue of 39.24 billion CNY for 2024, a decrease of 2.7% year-on-year, but a 5.2% increase when excluding COVID-19 related revenue. The adjusted net profit was 10.58 billion CNY, down 2.5% year-on-year [3][4]. - The company experienced a strong recovery in the fourth quarter of 2024, with revenue reaching 11.54 billion CNY, a year-on-year increase of 6.9% and a quarter-on-quarter increase of 10.3%. The net profit attributable to shareholders was 2.92 billion CNY, up 90.6% year-on-year [4][5]. - The outlook for 2025 is positive, with expected revenue growth of 10-15%, reaching 41.5-43.0 billion CNY, driven by strong demand in the US and European markets for new drug development [4][5]. Summary by Sections Financial Performance - In Q4 2024, WuXi AppTec's revenue was 11.54 billion CNY, with a year-on-year growth of 6.9% and a quarter-on-quarter growth of 10.3%. The net profit for the same period was 2.92 billion CNY, reflecting a significant recovery [4]. - For the full year 2024, the company achieved a revenue of 39.24 billion CNY, with a net profit of 9.45 billion CNY [3][9]. Business Segments - The CRDMO business line showed resilience, with WuXi Chemistry generating 29.05 billion CNY in revenue, a slight decline of 0.4% year-on-year, while non-COVID revenue increased by 11.2% [6]. - The TIDES business segment experienced substantial growth, with revenue reaching 5.80 billion CNY, a year-on-year increase of 70.1% [6]. Future Projections - The company anticipates a capital expenditure of 40.0 billion CNY for 2024, with expectations to increase this to 70-80 billion CNY in 2025, indicating strong growth confidence [5][6]. - The forecast for net profit for 2025 is projected at 11.43 billion CNY, with a corresponding PE ratio of 18 [9][10].

Investment Rating - The report maintains a "Recommended" rating for WuXi AppTec (603259.SH) with a target price of 70.00 CNY [7][8]. Core Views - WuXi AppTec's performance shows a marginal improvement with a robust order backlog contributing to growth momentum. The company achieved a revenue of 39.24 billion CNY in 2024, a decrease of 2.7% year-on-year, but a 5.2% increase when excluding COVID-19 related revenue. Adjusted net profit was 10.58 billion CNY, down 2.5% year-on-year [3][4]. Summary by Sections Financial Performance - In Q4 2024, the company reported a revenue of 11.54 billion CNY, a year-on-year increase of 6.9% and a quarter-on-quarter increase of 10.3%. The net profit attributable to shareholders was 2.92 billion CNY, up 90.6% year-on-year and 27.2% quarter-on-quarter [4]. - The company expects a revenue growth of 10-15% in 2025, projecting revenues between 41.5 billion CNY and 43 billion CNY [4]. Business Outlook - As of the end of 2024, WuXi AppTec added approximately 1,000 new clients, with a backlog of orders reaching 49.31 billion CNY, a year-on-year increase of 47.0%. The capital expenditure for 2024 was 4.0 billion CNY, with expectations to rise to 7.0-8.0 billion CNY in 2025, reflecting strong growth potential [5][8]. Segment Performance - The CRDMO business segment showed resilience, with WuXi Chemistry generating 29.05 billion CNY in revenue, a slight decline of 0.4% year-on-year, while non-COVID revenue grew by 11.2%. The TIDES business segment experienced significant growth, achieving 5.80 billion CNY in revenue, up 70.1% year-on-year [6]. - WuXi Testing reported a revenue of 5.67 billion CNY, down 4.8% year-on-year, while WuXi Biology's revenue was 2.54 billion CNY, a slight decline of 0.3% year-on-year, but showed positive growth trends in Q4 2024 [6]. Financial Projections - The forecast for 2025-2027 indicates a net profit attributable to shareholders of 11.43 billion CNY, 13.19 billion CNY, and 14.95 billion CNY respectively, with corresponding PE ratios of 18, 15, and 14 [8][9]. - Revenue projections for the same period are 43.58 billion CNY, 48.82 billion CNY, and 54.88 billion CNY, with growth rates of 11.0%, 12.0%, and 12.4% respectively [9][10]. Valuation Metrics - The report highlights a projected PE ratio of 21 for 2024, decreasing to 14 by 2027, indicating an improving valuation as earnings grow [9][10]. - The projected PB ratio is expected to decline from 3.4 in 2024 to 2.3 in 2027, reflecting a strengthening financial position [9][10].

Investment Rating - The report maintains a "Buy" rating for the company [1][10] Core Views - The company has shown strong performance in its TIDES business, with significant growth in backlog orders [2][6] - The company expects a revenue growth of 10%-15% in 2025, driven by strong order backlog and new capacity [7][8] - The company plans to increase shareholder returns through a special dividend and share buyback program [8] Financial Performance Summary - Revenue projections for the company are as follows: - 2023A: 403.41 billion - 2024A: 392.41 billion (down 2.73% YoY) - 2025E: 426.09 billion (up 8.58% YoY) - 2026E: 479.18 billion - 2027E: 535.53 billion [2][9] - Net profit projections are: - 2023A: 96.07 billion - 2024A: 94.50 billion - 2025E: 115.49 billion - 2026E: 129.68 billion - 2027E: 144.86 billion [2][9] - Earnings per share (EPS) are projected to increase from 3.33 in 2023A to 5.02 in 2027E [2][9] Business Segment Performance - The TIDES business (mainly oligonucleotides and peptides) achieved revenue of 58.00 billion in 2024, a 70.10% increase YoY [6][7] - The chemical business generated revenue of 290.52 billion in 2024, with a slight decline of 0.41% YoY, but a growth of 11.20% when excluding specific commercial production projects [6][7] - The testing business saw revenue of 56.71 billion in 2024, down 4.82% YoY, impacted by reduced industry demand and increased competition [6][7] Valuation Metrics - The company’s price-to-earnings (P/E) ratio is projected to decrease from 19.25 in 2023A to 12.77 in 2027E [2][9] - The price-to-book (P/B) ratio is expected to decline from 3.35 in 2023A to 2.23 in 2027E [2][9] - The target price for the company is set between 72.00 and 80.00 per share based on a P/E of 18-20 for 2025 [8]

Investment Rating - The report maintains a "Buy" rating for the company [1][10] Core Views - The company has shown strong performance in its TIDES business, with a significant increase in backlog orders [2][6] - The company expects a revenue growth of 10%-15% in 2025, driven by strong order backlog and new capacity [7][8] - The company plans to increase shareholder returns through a special dividend and share buyback program [8] Financial Performance Summary - Revenue projections for the company are as follows: - 2023A: 403.41 billion - 2024A: 392.41 billion (down 2.73% YoY) - 2025E: 426.09 billion (up 8.58% YoY) [2][9] - Net profit projections are: - 2023A: 96.07 billion - 2024A: 94.50 billion - 2025E: 115.49 billion [2][9] - Earnings per share (EPS) are expected to increase from 3.33 in 2023A to 4.00 in 2025E [2][9] Business Segment Performance - The TIDES business achieved revenue of 58.00 billion in 2024, a 70.10% increase YoY, with backlog orders growing by 103.9% [6][7] - Chemical business revenue was 290.52 billion in 2024, with a slight decline of 0.41% YoY, but a growth of 11.20% when excluding specific projects [6][7] - Testing and biological services faced challenges, with revenues of 56.71 billion and 25.44 billion respectively, showing declines [6][7] Market Position and Valuation - The company is expected to achieve a price-to-earnings (P/E) ratio of 16.01 in 2025, with a target price range of 72.00-80.00 per share based on a P/E of 18-20 [8][9]

Investment Rating - The investment rating for the company is "Buy" [3][6] Core Insights - The company's revenue for 2024 was 39.24 billion, a year-on-year decrease of 2.73%, while the net profit attributable to shareholders was 9.45 billion, down 1.63%. However, the adjusted net profit increased by 2.47% year-on-year [1][2] - The company has shown a strong growth trend in orders, with a year-end backlog of 49.3 billion, representing a 47% increase year-on-year. The new signed orders for 2024 reached 53.6 billion, a growth of 25.5% compared to 42.8 billion in 2023 [2][5] - The company expects a revenue growth guidance of 10% to 15% for 2025, driven by cost reduction and efficiency improvements [2] Financial Performance Summary - For 2024, the company reported total revenue of 39.24 billion, with a breakdown of revenue by business segments: - Small molecule CDMO: 17.87 billion (up 6.4%) - TIDES: 5.8 billion (up 70.1%) - R&D services: 5.38 billion (down 9.2%) - Testing services: 5.67 billion (down 4.8%) - Biology services: 2.54 billion (down 0.3%) [2] - The company plans to increase capital expenditure to 7-8 billion in 2025, significantly up from 4 billion in 2024, to enhance production capacity [5][6] - The earnings per share (EPS) forecast for 2025 is adjusted to 4.17, with a projected PE ratio of 17 [6][8] Future Outlook - The company anticipates continued growth in its order book and revenue, with a focus on expanding production capacity and enhancing operational efficiency [2][5] - The company is also planning to increase shareholder returns through dividends and share buybacks, with a proposed dividend of 3.84 billion for 2024 [5]

Investment Rating - The report maintains a "Buy" rating for both A-shares and H-shares of WuXi AppTec, with current prices at 69.68 CNY and 72.35 HKD respectively [5]. Core Views - WuXi AppTec reported a revenue of 39.241 billion CNY for 2024, a decrease of 2.73% year-on-year, but a 5.2% increase when excluding COVID-19 commercialization projects. The net profit attributable to shareholders was 9.45 billion CNY, down 1.63% year-on-year, while the net profit excluding non-recurring items grew by 2.47% to 9.988 billion CNY, aligning with expectations [1]. - The company experienced a continuous improvement in performance, with a significant increase in backlog orders, reaching 49.31 billion CNY by the end of 2024, a 47% year-on-year growth, indicating robust future revenue support [1]. - The TIDES business segment showed remarkable growth, with a 70.1% year-on-year increase in revenue to 5.8 billion CNY, and a 103.9% growth in related backlog orders [2]. Summary by Sections Financial Performance - For Q4 2024, WuXi AppTec achieved a revenue of 11.54 billion CNY, a quarter-on-quarter increase of 10.31%, and a net profit of 2.92 billion CNY, up 27.22% quarter-on-quarter [1]. - The gross margin improved by 0.68 percentage points to 43.46% [1]. Business Segments - The chemical business generated a revenue of 29.05 billion CNY in 2024, with an 11.2% year-on-year growth when excluding specific projects. The small molecule D&M business contributed 17.87 billion CNY, with a 6.4% growth excluding COVID-19 projects [2]. - The TIDES business is expected to expand capacity significantly, with the total volume of peptide solid-phase synthesis reactors increasing to 41,000 liters by the end of 2024 and projected to exceed 100,000 liters by the end of 2025 [2]. Profit Forecast and Valuation - The profit forecasts for 2025-2027 have been revised upwards, with net profit estimates of 10.978 billion CNY for 2025, 12.516 billion CNY for 2026, and 14.147 billion CNY for 2027, reflecting year-on-year growth rates of 16.2%, 14.0%, and 13.0% respectively [3]. - The corresponding price-to-earnings ratios for A-shares are projected to be 18, 16, and 14 for 2025, 2026, and 2027 respectively, while for H-shares, they are expected to be 18, 15, and 14 [3].

Investment Rating - The report maintains a "Buy" rating for both A-shares and H-shares of WuXi AppTec, with current prices at 69.68 CNY and 72.35 HKD respectively [5]. Core Insights - WuXi AppTec reported a revenue of 39.241 billion CNY for 2024, a decrease of 2.73% year-on-year, but a 5.2% increase when excluding COVID-19 commercialization projects. The net profit attributable to shareholders was 9.45 billion CNY, down 1.63% year-on-year, while the net profit excluding non-recurring items grew by 2.47% to 9.988 billion CNY, aligning with expectations [1]. - The company experienced a significant increase in backlog orders, reaching 49.31 billion CNY by the end of 2024, a 47% year-on-year growth, indicating robust future revenue support [1]. - The TIDES business segment saw a remarkable growth of 70.1% year-on-year, generating 5.8 billion CNY in revenue, with backlog orders increasing by 103.9% [2]. Summary by Sections Financial Performance - In Q4 2024, WuXi AppTec achieved a revenue of 11.54 billion CNY, a quarter-on-quarter increase of 10.31%, and a net profit of 2.92 billion CNY, up 27.22% quarter-on-quarter [1]. - The gross margin improved by 0.68 percentage points to 43.46% due to favorable currency exchange rates and investment income from the reduction of Wuxi XDC [1]. Business Segments - The chemical business generated 29.05 billion CNY in revenue for 2024, with an 11.2% year-on-year growth when excluding specific projects. The small molecule D&M business contributed 17.87 billion CNY, growing 6.4% year-on-year [2]. - The TIDES business is expected to continue its rapid expansion, with production capacity projected to exceed 100,000 liters by the end of 2025 [2]. Profitability and Valuation - The net profit forecasts for 2025-2027 have been revised upwards to 10.978 billion CNY, 12.516 billion CNY, and 14.147 billion CNY respectively, reflecting year-on-year growth rates of 16.2%, 14.0%, and 13.0% [3]. - The report indicates that the A-share price-to-earnings (P/E) ratios for 2025-2027 are projected to be 18, 16, and 14 times, while the H-share P/E ratios are expected to be 18, 15, and 14 times [3].

Investment Rating - The report maintains a "Buy" rating for the company and raises the target price to HKD 90 and RMB 93, indicating a potential upside of +38% and +45% respectively [3][5][9]. Core Insights - The acceleration in new order signings, along with an additional special dividend and A-share buyback, are the major positive surprises that have driven the company's stock price up [3][8]. - For 2024, the company achieved a revenue of RMB 39.24 billion, a decrease of 2.7% YoY, but a growth of 5.2% YoY when excluding COVID-19 commercialization projects [8][10]. - The company reported a Non-IFRS adjusted net profit of RMB 10.58 billion for 2024, down 2.5% YoY, with a net profit margin of 27% [8][10]. Revenue and Growth Drivers - The small molecule D&M revenue and TIDES business remain the main drivers of revenue growth, with TIDES revenue growing by 67.9% YoY [3][8]. - The company expects TIDES business to maintain over 60% YoY revenue growth in 2025, while small molecule D&M revenue is also projected to grow significantly [8][9]. Financial Performance - In Q4 2024, the company achieved a revenue of RMB 11.54 billion, representing a 6.9% YoY increase and a 10.3% QoQ increase [10][12]. - The adjusted Non-IFRS net profit for Q4 2024 was RMB 3.24 billion, up 20.4% YoY, with a net profit margin of 28.1% [10][12]. Future Guidance - For 2025, the company expects revenue from continuing operations to reach RMB 41.5-43 billion, representing a 10%-15% YoY growth [8][9]. - The company plans to distribute an additional special dividend of RMB 1 billion and conduct a RMB 1 billion A-share buyback in 2025 [8][9]. Market Position - The company ended 2024 with a backlog of orders amounting to RMB 49.31 billion, a 47% YoY increase, indicating strong execution capabilities and international competitiveness [8][9].

证券研究报告 | 公司点评报告 2025 年 03 月 18 日 药明康德（603259.SH） 在手订单进一步提速，预计 25 年收入双位数增长 消费品/生物医药 药明康德发布 2024 年年报：2024 年公司实现收入 392.4 亿元（yoy-2.7%）， 剔除新冠商业化项目收入 yoy+5.2%，毛利率 41.5%（yoy+0.3pct），归母净 利润 94.5 亿元（yoy-1.6%），扣非归母净利润 99.9 亿元（yoy+2.5%），经 调整 Non-IFRS 归母净利润 105.8 亿元（yoy-2.5%）；其中，2024Q4 单季度 实现收入 115.4 亿元（yoy+6.9%），毛利率 43.5%（yoy+2.6pct），归母净 利润 29.2 亿元（yoy+90.6%），扣非归母净利润 33.1 亿元（yoy+62.2%）， 经调整 Non-IFRS 归母净利润 32.4 亿元（yoy+20.4%）。 强烈推荐（维持） 目标估值：NA 当前股价：69.68 元 基础数据 | 总股本（百万股） | 2888 | | --- | --- | | 已上市流通股（百万股） | 2501 | | ...