Investment Rating - The report maintains a "Buy" rating for WuXi AppTec (02268.HK) [1] Core Views - The company reported strong performance in the first half of 2024, with revenue of 1.665 billion yuan (+67.6% YoY) and net profit of 488 million yuan (+175.5% YoY), exceeding expectations [3] - The North American market showed remarkable growth, with revenue of 823 million yuan (+123.9% YoY), accounting for 49.4% of total revenue [3] - The company has a robust pipeline with a total of 167 projects (+52% YoY) and a backlog of orders amounting to 842 million USD (+105.0% YoY), indicating strong future growth potential [4] Revenue and Profit Forecast - Revenue projections for 2024-2026 have been revised upwards to 34.02 billion yuan, 48.07 billion yuan, and 63.12 billion yuan respectively, with net profit estimates adjusted to 8.32 billion yuan, 11.87 billion yuan, and 15.82 billion yuan [4][9] - The current price-to-earnings (P/E) ratios are projected at 24, 17, and 13 times for 2024, 2025, and 2026 respectively [4] Financial Performance - The company achieved a gross margin of 32.1% (+9 percentage points) and a net margin of 29.3% (+11.5 percentage points) in the first half of 2024 [3] - The earnings per share (EPS) for 2024 is projected to be 0.69 yuan, increasing to 1.32 yuan by 2026 [9] Market Position - WuXi AppTec is positioned as a leading player in the ADC CRDMO sector, benefiting from a scarcity of global capacity and limited customer choices [3][4] - The company is expanding its production capabilities, with new facilities expected to come online in 2024 and 2025, enhancing its operational capacity [4]
药明合联：2024年中报点评：业绩超预期，ADCCRDMO龙头增长强劲且有望持续