WuXi Apptec's Core CDMO Business Hits Record High Without COVID-19 Boost

Stock News04-27

WuXi Apptec (02359) reported strong growth in its core business for the first quarter, with its small-molecule CDMO (contract development and manufacturing organization) segment reaching revenue of 6.93 billion yuan. This figure represents a new single-quarter record, achieved entirely without contributions from COVID-19-related commercial projects. The result underscores that the company's primary growth engine no longer relies on specific events and has entered a phase of robust, sustainable expansion driven by internal pipelines.

The near-7-billion-yuan quarterly revenue milestone is particularly significant. Between 2022 and 2023, large commercial orders related to the pandemic provided substantial but temporary income. Now, without any such orders, the small-molecule CDMO business has surpassed previous peak levels. This demonstrates the powerful self-sustaining growth capacity of WuXi Apptec's unique CRDMO business model, reflecting higher-quality growth and stronger risk resilience.

The performance breakthrough is supported by continuous high-quality expansion and conversion within the company's small-molecule pipeline. By the end of the first quarter, the total number of projects in WuXi Apptec's small-molecule CDMO pipeline reached 3,550. Among these, 89 projects are in the commercial production stage, and 94 are in Phase III clinical trials. The increasing number of high-value late-stage projects has directly driven both revenue scale and profitability upward.

The company's long-standing "Follow the Molecule" strategy ensures efficient progression of early-stage projects to later clinical and commercial stages, creating a steady stream of revenue. Strong performance delivery is also backed by globally leading production capacity. By the end of 2025, WuXi Apptec's total small-molecule active pharmaceutical ingredient synthesis reactor volume exceeded 4 million liters, establishing a significant capacity barrier. Additionally, its API production bases in Changzhou, Taixing, and Jinshan have passed inspections by global regulators with high-quality standards, ensuring stable and reliable commercial supply capabilities.

The record revenue achieved by the small-molecule CDMO business in the post-pandemic era serves as strong evidence of WuXi Apptec's transition from event-driven growth to sustained platform-driven expansion. It further solidifies the company's pivotal role in the global pharmaceutical supply chain.

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