Wuxi Biologics (Wuxi Biologics) reported solid first-half 2026 results, highlighting double-digit revenue growth, widening gross margins and a record service backlog.
Revenue and Profitability • Revenue rose 18.4% year-on-year to RMB 11.79 billion, driven by robust demand across pre-IND and late-stage projects. • Gross profit advanced 28.1% to RMB 5.45 billion; gross margin improved 3.5 ppt to 46.2% on better capacity utilisation and productivity gains. • Net profit increased 5.8% to RMB 2.92 billion, while adjusted net profit climbed 38.6% to RMB 3.94 billion, lifting the adjusted margin to 33.4% (1H25: 28.5%). • Diluted EPS reached RMB 0.58, up 5.5% from the prior-year period.
Operational Metrics • The integrated CRDMO platform added 1,691 new projects, taking the total to 1,064. • Late-phase projects grew to 78 and commercial manufacturing mandates to 28, supported by 34 scheduled PPQ campaigns for 2026. • Total backlog hit USD 25.10 billion (USD 12.60 billion service; USD 12.40 billion potential milestones), with USD 5.50 billion expected within three years.
Segment & Regional Performance • Biologics segment external revenue: RMB 8.11 billion. • XDC (ADC & bioconjugates) segment external revenue: RMB 3.68 billion. • North America contributed 58.4% of revenue; Europe 16.9%; China 16.6%; Rest of World 8.1%.
Cash Flow & Balance Sheet • Operating cash flow reached RMB 4.29 billion. • Aggregate cash, time deposits and wealth-management products stood at RMB 13.71 billion; bank balances and cash were RMB 8.90 billion. • Borrowings declined 35.2% to RMB 0.68 billion, cutting the gearing ratio to 1.2%. • Capex remained high, with property, plant & equipment expanding 6.5% to RMB 29.55 billion as global facility build-outs continued.
Strategic Developments • Completed 60% acquisition of BioDlink in March 2026 for RMB 1.65 billion, adding RMB 1.23 billion of goodwill and enhancing ADC manufacturing capacity. • Announced disposal of two Bestchrom units; assets and liabilities (net RMB 1.34 billion and RMB 0.05 billion respectively) reclassified as held for sale.
Technology & Capacity Expansion • Proprietary platforms WuXia™, WuXiUP™, WuXiUI™ and WuXiHigh™ shortened development timelines; IND filings reached 68 in 1H26. • New modalities pipeline reached 221 bispecific/multispecific antibody projects and 328 ADC/bioconjugate iCMC projects. • Global network build-out advanced: Shanghai Fengxian’s MFG17 completed first GMP run; Singapore DP facility topped out; U.S. Worcester site progressing; Chengdu microbial site structurally completed.
Outlook Management reiterated confidence in long-term growth, citing an expanding late-stage/commercial portfolio, advancing next-generation modalities and continued investment in global dual-sourcing capacity. No interim dividend was declared.