WuXi Biologics (2269) H1 2026 earnings summary

Executive summary

• Revenue grew 18.4% year-over-year to RMB 11.8 billion, with constant currency growth at 23.4% and gross margin expanding by 350bps, reflecting strong operating leverage.

• The company added 169 new integrated projects (123 organic, 46 acquired), with over 1,000 projects managed and more than 70% of new projects in bi- & multi-specifics and ADCs; project retention exceeded 95%.

• Significant expansion in manufacturing capacity and global footprint, including new facilities in the U.S., Singapore, and China, and strategic acquisitions such as BioDlink and Transcenta's manufacturing facility.

• Portfolio increasingly weighted toward higher-margin ADCs and bispecifics, now over 50% of assets, driving robust backlog and margin growth.

• Ongoing digital transformation and portfolio optimization, including divestiture of BestChrom and vaccine/DP facilities, and launch of new proprietary ADC technologies.

Financial highlights

• Adjusted EBITDA rose 24.9% to RMB 5.4 billion (margin 45.6%); adjusted net profit attributable to owners increased 38.4% to RMB 3.3 billion; basic EPS up 3.4% to RMB 0.60, adjusted basic EPS up 37.3% to RMB 0.81.

• Gross margin expanded to 46.2%, with adjusted gross margin at 48.4%.

• IFRS net profit grew 5.8% to RMB 2.9 billion; free cash flow reached RMB 1.5 billion.

• Available funds stood at RMB 13.7 billion as of June 30, 2026, with a gearing ratio of 1.2% and borrowings of RMB 0.7 billion.

• CapEx for H1 was RMB 2.8 billion, with full-year 2026 projection at RMB 7.1 billion and 2027 at RMB 8 billion.

Outlook and guidance

• FY2026 revenue growth guidance raised to 20%-23% in constant currency and 15%-18% in RMB terms; manufacturing revenue CAGR expected at 30% over the next three years, with overall revenue CAGR at 20%.

• Annual IND filing capacity to expand to 300 by 2027, supporting future growth.

• Margin expansion targeted at 100-150 basis points per year.

• Growth acceleration expected each year through 2028, with manufacturing and biosimilar segments as key drivers.

• Continued investment in next-generation technologies and global manufacturing network expansion.