Core Viewpoint - The CRO (Contract Research Organization) industry is expected to enter a new development phase as adjustments are largely completed, with several broker reports indicating a recovery in the domestic pharmaceutical investment landscape in the second half of 2025 [1][4]. Company Summary - WuXi Biologics reported a revenue of 9.95 billion yuan for the first half of 2025, representing a year-on-year growth of 16.1%, and a net profit of 2.76 billion yuan, up 54.8% year-on-year [1][2]. - As of June 30, 2025, the total value of uncompleted orders reached 20.34 billion USD, with a three-year increase of 4.21 billion USD, reinforcing revenue growth expectations [2][3]. - The CEO of WuXi Biologics highlighted a robust performance with 86 new comprehensive projects signed, marking a record high for the same period [2]. - The company’s revenue from preclinical services grew by 35.2% year-on-year, benefiting from the transition of R&D service projects to the development phase [2][3]. - WuXi Biologics supported 67 clinical phase III projects and 24 commercial production projects, with revenues from these areas increasing by 24.9% year-on-year [2]. Industry Summary - Multiple broker reports suggest that the CRO industry has completed its adjustments and is poised for a new growth phase, with a recovery in global pharmaceutical investment expected by the end of 2023 [4]. - The domestic investment landscape is anticipated to recover in the second half of 2025, driven by a combination of internal and external demand, which may lead to continuous valuation recovery in the industry [4]. - The CRO industry returned to positive growth in the first quarter of this year, with expectations for this trend to continue throughout the year [4]. - Certain sub-sectors, such as peptides and ADCs, are benefiting from high demand, while the CDMO (Contract Development and Manufacturing Organization) sector is expected to maintain rapid growth [4].

Financial Data and Key Metrics Changes - Revenue reached nearly RMB 10 billion, representing a 16.1% increase year-over-year [28] - Adjusted EBITDA increased by 20.6% to RMB 4.3 billion, with an adjusted EBITDA margin of 43.3% [35][36] - Adjusted net profit exceeded RMB 2.8 billion, reflecting an 11.6% year-over-year increase [36] - Gross profit margin improved from 39.1% to 42.7%, with adjusted gross profit margin at 45.6% [7][40] Business Line Data and Key Metrics Changes - Research and Development (R&D) revenue grew over 35% year-over-year, driven by a strong pipeline of projects [30] - Late-phase and commercial manufacturing revenue grew close to 25%, representing over 43% of the total portfolio [30] - Early-phase revenue saw a decline due to timing issues with large-scale clinical manufacturing projects transitioning from phase two to phase three [30][31] Market Data and Key Metrics Changes - North America accounted for nearly 60% of revenue, with a growth rate of 20% [23] - Europe contributed close to 20% of revenue, showing modest growth as the company shifts focus from CMO projects to early-phase programs [24] - China represented 13% of revenue, experiencing a single-digit decline primarily due to out-licensing of programs to global partners [25] - Asia, particularly Japan, Korea, and Singapore, showed significant growth, now accounting for nearly 7% of revenue with more than double the growth rate [26] Company Strategy and Development Direction - The company emphasizes a unique CRDMO model, focusing on both service-based and IP-driven revenue streams [50][57] - The strategy includes expanding capacity globally, with significant investments in facilities in the US, Ireland, and Singapore [47][79] - The company aims to leverage its strong portfolio in ADCs and bispecifics, which now account for over 40% of its project portfolio [22] Management's Comments on Operating Environment and Future Outlook - Management noted that the company has absorbed post-COVID industry adjustments and is positioned for accelerated growth [28] - The backlog has shown significant growth, with milestone backlog increasing from RMB 7 billion to RMB 9 billion and service backlog from RMB 10 billion to RMB 11.3 billion [16][17] - The company expects to continue benefiting from global biotech trends, including M&A activities and out-licensing of Chinese assets to global partners [63][64] Other Important Information - The company achieved a 100% success rate in regulatory inspections, hosting 44 inspections [6] - Employee retention rate remains high at 98.8%, with no increase in total employee numbers over the past 18 months [42] - The company has a strong cash position with RMB 12.5 billion on hand and a conservative debt level of RMB 2.7 billion [43][47] Q&A Session Summary Question: What are the key drivers for revenue growth in the upcoming quarters? - Management highlighted the successful execution of the follow and win molecule strategies, with a strong pipeline of late-phase projects expected to ramp up [29] Question: How does the company plan to address the decline in early-phase revenue? - The decline is attributed to timing issues with large-scale projects transitioning to manufacturing, which is expected to be replenished by new projects in the pre-IND space [30][31] Question: What is the company's outlook on the global market trends? - Management expressed confidence in continued growth driven by M&A activities and the out-licensing of Chinese biotech programs to global partners, which typically results in significant revenue amplification [63][64]

Financial Data and Key Metrics Changes - Revenue reached nearly RMB 10 billion, representing a 16.1% increase year-over-year [27] - Adjusted EBITDA increased by 20.6% to RMB 4.3 billion, with an adjusted EBITDA margin of 43.3% [34] - Adjusted net profit exceeded RMB 2.8 billion, an 11.6% increase year-over-year [35] - Gross profit margin improved from 39.1% to 42.7%, with a gross profit increase of RMB 900 million [32][38] Business Line Data and Key Metrics Changes - Early phase R&D revenue grew over 35%, while late phase manufacturing revenue increased by nearly 25% [28][29] - The company added a record 86 new projects in the first half of the year, continuing strong momentum from the previous year [4][28] - The backlog grew significantly, with milestone backlog increasing from RMB 7 billion to RMB 9 billion and service backlog from RMB 10 billion to RMB 11.3 billion [16][17] Market Data and Key Metrics Changes - North America accounted for nearly 60% of revenue, with a growth rate of 20% [22] - Europe contributed close to 20% of revenue with modest growth, while China accounted for 13% with a single-digit decline [24] - Asia, particularly Japan, Korea, and Singapore, saw revenue growth exceeding 100% [25] Company Strategy and Development Direction - The company emphasizes its unique CRDMO model, which integrates R&D, development, and manufacturing [50][58] - Focus on expanding capabilities in ADCs and bispecifics, with over 300 projects in the pipeline [19][21] - Plans to enhance global capacity, with significant expansions in the US, Ireland, and Singapore [76][80] Management's Comments on Operating Environment and Future Outlook - Management noted that the company has absorbed post-COVID industry adjustments and is positioned for accelerated growth [27][28] - The company expects to continue benefiting from the increasing number of projects moving through its golden funnel [28] - Management expressed confidence in achieving positive free cash flow for the fourth consecutive year [48] Other Important Information - The company maintained a high employee retention rate of 98.8% and stable employee numbers despite revenue growth [6] - The company has a strong balance sheet with RMB 12.5 billion in cash and a conservative debt level of RMB 2.7 billion [42][47] - The company achieved a 100% success rate in regulatory inspections, reinforcing its quality assurance [6][81] Q&A Session Summary Question: What are the key drivers of revenue growth? - Revenue growth was primarily driven by successful execution of the follow and win the molecule strategies, with late phase and commercial manufacturing revenue growing close to 25% [28][29] Question: How is the company addressing the decline in early phase revenue? - The decline in early phase revenue is attributed to timing issues as several large-scale projects progressed from phase two to phase three, which is expected to be replenished by new projects [29] Question: What is the company's strategy for expanding its market presence? - The company aims to leverage its strong market share in China and capitalize on global licensing trends, expecting revenue to grow significantly as projects are out-licensed to global partners [64][65]

© 2025 WuXi Biologics. All rights reserved. 2 CRDMO Business Model: Accelerating Growth 2025 Interim Results August 2025 Stock Code: 2269.HK Forward-Looking Statements This presentation may contain certain "forward-looking statements" which are not historical facts, but instead are predictions about future events based on our beliefs as well as assumptions made by and information currently available to our management. Although we believe that our predictions are reasonable, future events are inherently unce ...

Core Viewpoint - The company, WuXi Biologics, reported strong financial performance in the first half of 2025, with significant revenue and profit growth, while its major shareholder continues to reduce holdings, raising concerns about the long-term implications of this trend [1][2]. Financial Performance - In the first half of 2025, the company achieved a revenue of 9.95 billion yuan, representing a year-on-year increase of 16.1% [1]. - The net profit reached 2.76 billion yuan, marking a substantial year-on-year increase of 54.8% [1]. - The profit attributable to the company's owners grew by 56% to 2.34 billion yuan, and the gross margin improved by 3.6 percentage points to 42.7% [1]. - The company reversed a declining trend in net profit observed in 2023 and 2024, where profits had decreased by 23.1% and 1.3%, respectively [1]. Project and Order Growth - The company added 86 new comprehensive projects in the first half of 2025, bringing the total to a historical high of 864 projects [1]. - Over 70% of the newly signed projects are in the categories of bispecific antibodies, multi-specific antibodies, and antibody-drug conjugates (ADCs) [1]. - The total amount of uncompleted orders reached 20.34 billion USD (approximately 139 billion yuan), with 4.21 billion USD of these orders expected to be completed in the next three years, ensuring continued revenue growth [1]. Shareholder Activity - The major shareholder, Li Ge, has been actively reducing his stake, with a total of 68 billion HKD (approximately 6.8 billion yuan) cashed out in the first half of 2025 alone [2]. - Since the company's IPO in 2017, Li Ge has cumulatively reduced his holdings, resulting in a decrease from 75.43% to 12.32% [2]. - The reasons for the share reduction are linked to repaying loans from the privatization of WuXi AppTec in 2015, although market analysts suggest it may reflect a broader capital strategy of "spin-off listings and high-level cashing out" [2].

Core Viewpoint - WuXi Biologics reported a strong performance in the first half of 2025, with revenue of 9.95 billion yuan, a year-on-year increase of 16.1%, and a net profit of 2.76 billion yuan, up 54.8% [1][2] Group 1: Financial Performance - The company achieved a revenue of 9.95 billion yuan in the first half of 2025, reflecting a 16.1% year-on-year growth [1] - Net profit reached 2.76 billion yuan, marking a significant increase of 54.8% compared to the previous year [1] Group 2: Business Development - WuXi Biologics added 86 new comprehensive development projects in the first half of 2025, setting a new record for the same period [1] - Over 70% of the newly signed projects involve bispecific antibodies, multi-specific antibodies, and antibody-drug conjugates (ADCs) [1] Group 3: Research and Development - The company reported a 35.2% year-on-year increase in preclinical revenue, benefiting from the transition of R&D service projects to the development phase [2] - WuXi Biologics supports 67 clinical phase III projects and 24 commercial production projects as of June 30, 2025, with a 24.9% increase in revenue from these areas [2] Group 4: Future Outlook - The total unfulfilled orders reached 20.34 billion USD, with unfulfilled service orders and potential milestone payment orders amounting to 11.35 billion USD and 9 billion USD, respectively [2] - The total unfulfilled orders increased by 4.21 billion USD over three years, reinforcing the revenue growth expectations for the near term [2]

药明生物(02269)涨超4%，截至发稿，涨4.03%，报30.98港元，成交额4.44亿港元。 2025年上半年，药明生物新签86个综合项目，刷新同期历史纪录，推动综合项目数攀升至864个。其 中，临床III期和商业化项目分别增至67和24个，临床III期及商业化生产收益同比增24.9%。订单储备方 面，公司未完成服务订单总额达203.4亿美元，未来3年未完成订单规模超42.1亿美元。 消息面上，药明生物发布2025年中期业绩，公司当期实现收益99.5亿元(人民币，单位下同)，同比增长 16.1%；当期毛利率同比提升3.6个百分点，至42.7%；纯利同比增长54.8%至27.6亿元，此带动公司拥有 人应占纯利增长56.0%至人民币23.4亿元，对应经调整纯利同比增长11.6%至人民币28.4亿元。与此同 时，药明生物宣布上调2025年全年收入指引至14%-16%。 ...

（原标题：港股异动 | 药明生物(02269)涨超4% 中期纯利同比增长56% 公司上调全年收入指引） 智通财经APP获悉，药明生物(02269)涨超4%，截至发稿，涨4.03%，报30.98港元，成交额4.44亿港元。 消息面上，药明生物发布2025年中期业绩，公司当期实现收益99.5亿元(人民币，单位下同)，同比增长16.1%；当期毛利率同比提升3.6个百分点， 至42.7%；纯利同比增长54.8%至27.6亿元，此带动公司拥有人应占纯利增长56.0%至人民币23.4亿元，对应经调整纯利同比增长11.6%至人民币 28.4亿元。与此同时，药明生物宣布上调2025年全年收入指引至14%-16%。 2025年上半年，药明生物新签86个综合项目，刷新同期历史纪录，推动综合项目数攀升至864个。其中，临床III期和商业化项目分别增至67和24 个，临床III期及商业化生产收益同比增24.9%。订单储备方面，公司未完成服务订单总额达203.4亿美元，未来3年未完成订单规模超42.1亿美元。 ...

Core Insights - The company, WuXi Biologics, reported a revenue of 9.95 billion RMB for the first half of 2025, representing a year-on-year growth of 16.1%, with net profit increasing by 54.8% to 2.76 billion RMB [1] - Key drivers for revenue growth include the successful execution of the "Follow and Win" strategy, expansion of service offerings in the biopharmaceutical industry, and improved utilization of existing and new capacities [1][2] - The company added 86 integrated development projects in the first half of 2025, solidifying its position as a leader in complex biologics with a product line that includes 168 bispecific/multispecific antibodies and 225 antibody-drug conjugates (ADCs) [1][2] Revenue Growth and Project Development - Preclinical revenue increased by 35.2% year-on-year, driven by the development and transition of R&D service projects [2] - The company supports 67 Phase III clinical projects and 24 commercial production projects, with a 24.9% increase in revenue from these areas, reflecting the maturation of early projects [3] - The total unfulfilled order backlog reached 20.34 billion USD, with unfulfilled service orders and potential milestone payments amounting to 11.35 billion USD and 9 billion USD, respectively [4] Strategic Initiatives - The company is advancing its "Global Dual Factory" strategy to enhance capacity and capabilities in response to growing commercialization demands [3] - Recent strategic transactions include the asset transfer of a vaccine facility in Ireland and a biomanufacturing plant in Germany, aimed at optimizing global operations and focusing on large-scale biomanufacturing in Singapore [3] - The company has empowered over 50 molecular projects and is set to receive potential milestone payments and sales royalties, contributing to long-term profit growth [2]

Core Viewpoint - WuXi Biologics reported strong financial performance in the first half of 2025, with significant growth in revenue, profit margins, and project acquisitions, reflecting the effectiveness of its business strategies and operational excellence [1][24]. Financial Highlights - Revenue increased by 16.1% YoY to RMB 9,953.2 million, driven by successful strategies and expanded service offerings [2][7]. - Gross profit rose 27.0% YoY to RMB 4,252.9 million, with a gross profit margin of 42.7% [3][25]. - EBITDA grew 50.5% to RMB 4,221.8 million, with an EBITDA margin of 42.4% [4][25]. - IFRS net profit increased by 54.8% YoY to RMB 2,756.6 million, with a net profit margin of 27.7% [5][25]. - Basic EPS rose 56.8% to RMB 0.58, while diluted EPS increased by 57.1% to RMB 0.55 [6][25]. Business Highlights - The Group added a record 86 integrated projects in the first half of 2025, bringing the total to 864 projects [7][10]. - Late-stage and commercial manufacturing revenue rose by 24.9% YoY, with 25 process performance qualifications (PPQs) scheduled for 2025 [7][13]. - Total backlog increased to US$20.34 billion, enhancing near-term revenue visibility [16]. Research and Development - The Group's research business maintained strong momentum, with ongoing partnerships advancing discovery programs [9]. - The addition of 86 new integrated development projects included a focus on complex modalities such as bi- and multi-specific antibodies and ADCs [10][11]. Manufacturing and Operations - The Group's manufacturing capabilities expanded, with successful releases of new bioreactor systems and ongoing construction of new facilities in Ireland and Singapore [13][14][20]. - The implementation of a "Global Dual Sourcing" strategy continues to enhance supply chain reliability [13]. Asset Optimization - The Group executed strategic transactions to optimize operations, including the divestiture of facilities in Ireland and Germany to focus on large-scale manufacturing capabilities in Singapore [15]. Quality and Compliance - The Group achieved a 100% success rate in regulatory inspections, reinforcing its commitment to quality standards [17]. Talent and Workforce - As of June 30, 2025, the Group's workforce reached 12,552 employees, with a key talent retention rate of 98.8% [18]. Sustainability Initiatives - The Group made significant progress in sustainability, receiving recognition from global rating agencies for its ESG efforts [22][23].