WuXi Biologics ups target, sees strong recovery

WuXi Biologics (2269) revealed there will be 110 new projects this year, lifting the full-year target by 30, citing the expected recovery in the second quarter.

China's leading drug contract research and manufacturer lifted the 2024 goal of new business from 80.

The company added that the impact of the slowdown in biotech financing has been eased, citing the worst time in the first quarter of last year.

And a strong recovery was seen in the second half.

WuXi has some important drugs in the pipeline and they are expected to bring huge growth to the company, helping its businesses to rebound the next quarter.

Last year, WuXi warned that conditions were expected to remain "most challenging" through June 2024, slumping the shares of the company and other biotech peers.

WuXi disclosed yesterday that it added 132 new projects last year, bringing the total number of projects to 698, which are expected to boost the company's near-term revenues.

The company anticipated commercialized projects to contribute more revenue in the future, with seven projects expected to contribute more than US$200 million (HK$1.56 billion) in annual revenue and 18 projects contributing US$50 million to US$200 million per year.

Additionally, the group expects the Irish production base to break even this year, a year earlier than expected, benefiting from the high demand for commercialized production.