Summary of WuXi AppTec Co. Investor Day Company Overview - **Company**: WuXi AppTec Co. (2359.HK) - **Event**: Annual Investor Day held on September 25 Key Industry Insights - **CRDMO Business Model**: The company continues to emphasize the strength of its Contract Research, Development, and Manufacturing Organization (CRDMO) model, focusing on winning new projects and deepening customer relationships [1][2] - **Operational Excellence**: Management highlighted operational excellence as a key driver for sustaining gross margins and ensuring high-quality delivery, especially in light of future peptide capacity expansion and overseas growth [1][2] Financial Performance and Projections - **Operational Data**: The company provided detailed operational data, showcasing improvements in technical capabilities and operational efficiency [1] - **Customer Retention**: Customer retention remains high at 98%, with the top 300 clients accounting for 70% of total business [5] - **Market Share**: The company maintains a stable 16% market share in small molecules and captured approximately 20% share in 40 approved small molecule projects from 2024 to 1H25 [6] Technological Advancements - **Digital Operations**: Adoption of digital operations and advanced bioanalytical platforms has led to significant productivity improvements, including a 30% reduction in project turnaround time year-over-year [7] - **Manufacturing Efficiency**: Facility ramp-up times have dramatically decreased from 22.6 months in 2017 to just 2.4 months in 2024, supported by systematic employee training programs [7] Capacity Expansion - **Investment in D&M**: Investment in Drug Manufacturing (D&M) capacity has risen to 85%, targeting high-quality molecules and mitigating margin dilution [8] - **Key Projects**: - Taixing API site: Four new plants operational within the past year, with rapid construction times [8] - Singapore: First small molecule plant expected by January 2027 [8] - US site: Expected to be the largest overseas facility, with operations beginning in 4Q26 [8] Risks and Challenges - **Legislative Risks**: Key upside risk includes the potential exclusion of WuXi from proposed legislation affecting federally-funded projects. Downside risks include pricing pressure from peers and regulatory uncertainties [9][10] - **Market Conditions**: The company remains neutral-rated due to uncertainties from the proposed BIOSECURE bill [10] Conclusion - **Investment Thesis**: WuXi AppTec is positioned as a global leader in drug research and development outsourcing, with strong fundamentals and ongoing investments in capacity and capabilities. However, the company faces potential legislative and market risks that could impact future performance [10]

Group 1: Industry Development Goals - Shanghai has issued an action plan to promote the high-quality development of the high-end medical device industry, aiming to approve over 500 new domestic Class III medical device registrations and over 100 products in overseas markets by 2027 [1] - The plan also targets the cultivation of two leading enterprises with annual output exceeding 10 billion yuan and the establishment of three high-end medical device industrial clusters [1] Group 2: CDMO Landscape - The development of medical device CDMO (Contract Development and Manufacturing Organization) in China faces challenges compared to the biopharmaceutical sector, which is more standardized and conducive to large-scale operations [2][6] - Currently, there are few large-scale CDMO platforms for high-value medical devices in China, with most CDMO services limited to low-value consumables [1][2] Group 3: Market Dynamics and Trends - The medical device industry is characterized by a fragmented market and a high degree of customization, making it less conducive to the emergence of large CDMO players [2][6] - Some companies, like Waterwood Oriental and Paisen Technology, are providing one-stop CDMO services for high-value medical devices, indicating a shift towards integrated service offerings [2] Group 4: Outsourcing Preferences - Many established medical device companies prefer to build their own production lines to maintain control over core technologies and supply chains, while outsourcing is often driven by cost efficiency and the need for specialized capabilities [4][5] - The decision to use CDMO services often depends on the company's development stage, with early-stage companies more likely to outsource production [4][5] Group 5: Challenges in CDMO Commercialization - The commercialization of CDMO services in the medical device sector faces bottlenecks, with many platforms struggling to find a sustainable business model due to the complexity and variability of medical devices [6][9] - The need for significant investment and adherence to industry standards complicates the establishment of a comprehensive CDMO platform in China [6][9] Group 6: Future Outlook - The development of CDMO platforms is expected to help Chinese medical device companies expand into international markets, with some platforms already establishing R&D and manufacturing centers abroad [13][14] - As the industry matures, the specialization and professional capabilities of CDMO services are anticipated to improve, fostering a more collaborative ecosystem [12][13]

Core Viewpoint - The development of high-end medical device industry in Shanghai aims to enhance global competitiveness, with specific targets set for 2027, including over 500 new domestic third-class medical device registrations and over 100 products approved in overseas markets [1] Group 1: Industry Overview - The medical device CDMO (Contract Development and Manufacturing Organization) sector is compared to "precision handicrafts," indicating a more specialized and fragmented market compared to the "heavy industry" nature of biopharmaceutical CDMOs [3][5] - The market size of China's medical device industry is projected to reach 1.2 trillion yuan (approximately 1.2 trillion CNY) by 2024, highlighting significant growth potential [3] Group 2: CDMO Development and Challenges - Despite the growth potential, the medical device CDMO sector faces challenges, including a lack of large-scale providers akin to WuXi AppTec in biopharmaceuticals, and a predominance of low-value consumables in the current CDMO offerings [1][3] - The complexity and non-standard nature of medical devices make it difficult to establish a mature CDMO ecosystem, as the industry requires significant investment and expertise across multiple disciplines [6][7] Group 3: Market Dynamics and Trends - Many medical device companies prefer to build their own production lines to maintain control over core technologies and supply chains, with outsourcing primarily driven by cost efficiency and access to specialized capabilities [5][10] - The trend towards self-built production systems is evident as companies progress to mass production stages, although initial stages may benefit from CDMO partnerships [5][10] Group 4: Future Outlook - The future of medical device CDMOs in China is expected to improve as companies focus on specialization and collaboration with academic and research institutions, enhancing the overall ecosystem [7][12] - The integration of CDMO platforms into global supply chains is crucial for the competitiveness of Chinese medical device companies, with some platforms already establishing international R&D and manufacturing centers [12][13]

证券代码：603259 证券简称：药明康德 公告编号：临2025-065 2025年9月25日，由于市场环境变化，投资基金全体合伙人一致决议对投资基金财产进行清算。投资基 金尚无已完成交割的投资项目。截至本公告披露日，药明一期对投资基金实缴出资人民币24,000万元。 药明一期预计将收回投资本金24,000万元及相关利息收益。 本次投资终止不会对公司的财务及经营活动产生实质影响，不存在损害公司及全体股东利益的情形。 无锡药明康德新药开发股份有限公司 关于认购私募基金份额的进展公告 本公司董事会及全体董事保证本公告内容不存在任何虚假记载、误导性陈述或者重大遗漏，并对其内容 的真实性、准确性和完整性承担法律责任。 2023年10月20日，无锡药明康德新药开发股份有限公司（以下简称"公司"）全资子企业无锡药明康德一 期投资企业（有限合伙）（以下简称"药明一期"）与上海华平私募基金管理有限公司及其他合伙人签署 有限合伙协议，约定由药明一期认缴华平大健康产业投资（无锡宜兴）合伙企业（有限合伙）（以下简 称"投资基金"）不超过60,000万元人民币的投资基金份额（以下简称"本次投资"）。具体内容详见公司 于2023年10 ...

2025年9月25日，由于市场环境变化，投资基金全体合伙人一致决议对投资基金财产进行清算。投资基 金尚无已完成交割的投资项目。截至本公告披露日，药明一期对投资基金实缴出资人民币2.4亿元。药 明一期预计将收回投资本金2.4亿元及相关利息收益。 药明康德(02359)公布，2023年10月20日，公司全资子企业无锡药明康德一期投资企业(有限合伙)(以下 简称"药明一期")与上海华平私募基金管理有限公司及其他合伙人签署有限合伙协议，约定由药明一期 认缴华平大健康产业投资(无锡宜兴)合伙企业(有限合伙)(以下简称"投资基金")不超过6亿元人民币的投 资基金份额。 ...

2025 年 9 月 25 日，由于市场环境变化，投资基金全体合伙人一致决议对投资基金财产进行清算。投资 基金尚无已完成交割的投资项目。截至本公告披露日，药明一期对投资基金实缴出资人民币2.4亿元。 药明一期预计将收回投资本金2.4亿元及相关利息收益。 智通财经APP讯，药明康德(02359)公布，2023 年 10 月 20 日，公司全资子企业无锡药明康德一期投资 企业(有限合伙)(以下简称"药明一期")与上海华平私募基金管理有限公司及其他合伙人签署有限合伙协 议，约定由药明一期认缴华平大健康产业投资(无锡宜兴)合伙企业(有限合伙)(以下简称"投资基金")不超 过6亿元人民币的投资基金份额。 ...

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告之內容概不負責，對其準確 性或完整性亦不發表任何聲明，並明確表示，概不對因本公告全部或任何部分內容而產生或 因依賴該等內容而引致之任何損失承擔任何責任。 海外監管公告 本海外監管公告乃由本公司根據香港聯合交易所有限公司證券上市規則第 13.10B條作出。 WUXI APPTEC CO., LTD. * 無錫藥明康德新藥開發股份有限公司 （於中華人民共和國註冊成立的股份有限公司） （股份代號：2359） 无锡药明康德新药开发股份有限公司 关于认购私募基金份额的进展公告 茲載列本公司在上海證券交易所網站刊登的以下資料中文全文，僅供參閱。 承董事會命 無錫藥明康德新藥開發股份有限公司 董事長 本公司董事会及全体董事保证本公告内容不存在任何虚假记载、误导性陈 述或者重大遗漏，并对其内容的真实性、准确性和完整性承担法律责任。 李革博士 2023 年 10 月 20 日，无锡药明康德新药开发股份有限公司（以下简称"公 司"）全资子企业无锡药明康德一期投资企业（有限合伙）（以下简称"药明一 期"）与上海华平私募基金管理有限公司及其他合伙人签署有限合伙协议，约 定由药明 ...

无锡药明康德新药开发股份有限公司 证券代码：603259 证券简称：药明康德 公告编号：临 2025-065 关于认购私募基金份额的进展公告 本公司董事会及全体董事保证本公告内容不存在任何虚假记载、误导性陈 述或者重大遗漏，并对其内容的真实性、准确性和完整性承担法律责任。 2023 年 10 月 20 日，无锡药明康德新药开发股份有限公司（以下简称"公 司"）全资子企业无锡药明康德一期投资企业（有限合伙）（以下简称"药明一 期"）与上海华平私募基金管理有限公司及其他合伙人签署有限合伙协议，约 定由药明一期认缴华平大健康产业投资（无锡宜兴）合伙企业（有限合伙）（以 下简称"投资基金"）不超过 60,000 万元人民币的投资基金份额（以下简称"本 次投资"）。具体内容详见公司于 2023 年 10 月 21 日在上海证券交易所网站 （www.sse.com.cn）及相关指定媒体披露的《关于认购私募基金份额的公告》（公 告编号：临 2023-062）。 2025 年 9 月 25 日，由于市场环境变化，投资基金全体合伙人一致决议对投 资基金财产进行清算。投资基金尚无已完成交割的投资项目。截至本公告披露 日，药明一期 ...

Core Viewpoint - Daiwa maintains a "Buy" rating for WuXi AppTec (02359) and raises the target price from HKD 128 to HKD 134, reflecting a 3% increase in revenue and earnings per share forecasts for the company from 2023 to 2027 [1] Group 1: Financial Performance - The company produced 4 out of the 10 best-selling chemical drugs last year and is expected to receive FDA approval for 8 out of 40 small molecule drugs between 2024 and the first half of 2025 [1] - Management anticipates that WuXi TIDES business will see a year-on-year revenue growth of over 80% this year [1] Group 2: Product Development - The company is currently producing 23 GLP-1 drugs, an increase from 21 disclosed in January and 19 in September of last year, with 16 of these in Phase 2 and Phase 3 clinical trials, capturing 26% of the market share [1] Group 3: Future Operations - The first small molecule factory at the Singapore API base is expected to commence operations in 2027, followed by the first TIDES factory in the second quarter of 2028 and a second small molecule factory in the fourth quarter of 2029 [1] - The DP base in Delaware, USA, is expected to begin operations in the fourth quarter of next year, with sterile filling/completion capacity anticipated by the fourth quarter of 2027 [1]

Core Viewpoint - Daiwa maintains a "Buy" rating for WuXi AppTec (603259) with a target price raised from HKD 128 to HKD 134, reflecting an optimistic outlook on the company's revenue and earnings growth [1] Revenue and Earnings Forecast - The firm has increased its revenue and earnings per share forecasts for the company by 3% for the years 2023 to 2027, driven by higher revenue expectations from WuXi's chemical business [1] Product Development and Market Position - WuXi produced 4 out of the 10 best-selling chemical drugs last year and is expected to have 8 out of 40 small molecule drugs approved by the FDA between 2024 and the first half of 2025 [1] - The company is currently developing 23 GLP-1 drugs, an increase from 21 in January and 19 in September of the previous year, with 16 of these in Phase 2 and Phase 3 clinical trials, capturing 26% of the market share [1] Business Growth Expectations - Management anticipates that WuXi's TIDES business will see a year-on-year revenue growth of over 80% this year [1] Future Operational Plans - The first small molecule factory at the Singapore API site is expected to commence operations in 2027, followed by the first TIDES factory in the second quarter of 2028 and a second small molecule factory in the fourth quarter of 2029 [1] - The DP base in Delaware, USA, is projected to begin operations in the fourth quarter of next year, with sterile filling/completion capabilities expected by the fourth quarter of 2027 [1]