WuXi AppTec(SH:603259) Orient Securities·2025-03-29 14:23Investment Rating - The report maintains a "Buy" rating for WuXi AppTec, with a target price of 105.56 CNY based on a reasonable valuation level of 29 times the expected earnings per share for 2025 [3][6]. Core Insights - The company has shown a sequential improvement in performance, with a significant increase in backlog orders, which reached 49.31 billion CNY, a year-on-year growth of 47.0%. The TIDES segment saw a remarkable 104% increase in backlog orders [10]. - The revenue for 2024 is projected to recover to double-digit growth, supported by strong demand in the new molecule business and improved operational efficiency [10]. - The company’s revenue for 2023 was 39.24 billion CNY, reflecting a decrease of 2.7% year-on-year, but excluding COVID-19 related projects, the revenue increased by 5.2% [10]. Financial Summary - The expected revenue for 2025 is 42.46 billion CNY, with a year-on-year growth of 8.2%. The net profit attributable to the parent company is projected to be 10.51 billion CNY, reflecting an 11.3% increase [5][10]. - The gross margin is expected to improve to 43.5% in 2025, while the net margin is projected to be 24.8% [5]. - The earnings per share (EPS) for 2025 is estimated at 3.64 CNY, with a projected increase to 4.74 CNY by 2027 [5][10].