WuXi AppTec Realizes over 60% Profit Growth in 1H 2020
The dual-listed Chinese contract research organization (CRO) obtained a high-speed growth during the first half-year of 2020.
Despite the COVID-19 pandemic and national quarantine regimes, WuXi AppTec (603259.SH;2359.HK), the tier-one CRO in China, has reached a total revenue of CNY 7,231 million and profits of CNY 1,717 million, at 22.7% and 62.5% respectively.
Among the four business pivots, lab services in China and CDMO/CMO (contract development manufacturing organization and contract manufacturing organization) services grew 26.5% and 25.8% in revenue at CNY 3,780 million and CNY 2,162 million. The other two businesses, lab services in the US and clinical research (including other CRO services), obtained 10.1% and 5.9% in revenue growth during the last half-year.
One thing to notice is that the company helped Chinese clients complete 13 investigational new drug (IND) applications and obtained clinical trial approvals (CTA) for nine projects. It also indicates the potential of the Chinese CRO market to undertake the shift of R&D capabilities from the global pharmacetucial industry.