WuXi AppTec Co., Ltd. Class A · SSE:603259
WuXi AppTec Co., Ltd. Class A — Q1 2024 Earnings Presentation
22 slides from WuXi AppTec Co., Ltd. Class A's earnings presentation, Apr 30, 2024
Slide 1: First Quarterly 2024 Results
WuXi AppTec First Quarterly 2024 Results April 30, 2024 1 603259.SH / 2359.HK
Slide 2: Forward-Looking Statements and Non-IFRS Financial Measures
Forward-Looking Statements This presentation may contain certain “forward-looking statements” which are not historical facts, but instead are predictions about future events based on our beliefs as well as assumptions made by and information currently available to our management. Although we believe
Slide 3: Agenda
01 Results Overview 02 Segment Performance 03 Financial Performance 04 Business Outlook 3 Note: Unless otherwise stated, all financials disclosed in this presentation are prepared based on International Financial Reporting Standards (or “IFRSs”). The currency is RMB. All net profit disclosed in this
Slide 4: 1. Results Overview
1. Results Overview 4
Slide 5: Q1 2024 Target Achieved Despite External Challenges, Maintaining Stable Operations
Q1 2024 Target Achieved Despite External Challenges, Maintaining Stable Operations Revenue Adjusted Non-IFRS Net Profit RMB billion RMB billion COVID-19 Commercial Projects -11.0% -1.8% -18.3% non-COVID-19 Commercial Projects excluding COVID-19 commercial projects 9.0 8.0 2.3 1.9 Q1 2023 Q1 2024 Q1
Slide 6: Continue to Serve as a Highly-Efficient Enabler to the Industry
Continue to Serve as a Highly-Efficient Enabler to the Industry ⚫ 300+ new customers, 6,000+ active customers Strong, Loyal & Expanding Customer ⚫ 7.92Bn revenue from existing customers, -1.6% YoY excluding COVID-19 commercial projects Base ⚫ 0.07Bn revenue from new customers Execute Long-Tail ⚫ 2.7
Slide 7: Stability and Resilience of the Company's Financial Performance
Diversified Revenue Streams from Customers Across Regions Ensure the Stability and Resilience of the Company’s Financial Performance China Europe 1.59Bn，-3.3% 1.07Bn，+3.9% Revenue contribution: 20% US Revenue contribution: 13% 4.90Bn， excluding COVID-19 commercial projects + 0.4% Revenue contributio
Slide 8: ESG Leading Position Further Enhanced in Global ESG Rating Systems
ESG Leading Position Further Enhanced in the Global ESG Rating Systems Consecutively in 2023-2024: Named to the S&P Global Sustainability Yearbook, and Awarded as Industry and Regional Top-Rated Company by Sustainalytics Consecutive “A-” rating in Consecutive “AA” ratings CDP Climate Change in 2022-
Slide 9: Unwavering Commitment to Customers' IP Protection and Highest Quality & Compliance Standards
Unwavering Commitment to Customers’ IP Protection and the Highest Quality & Compliance Standards 748 1 83 Quality Audits & Inspections by Information Security Global Customers, Regulatory Audits by Global Authorities and Independent Third Customers in 2023, with Parties in 2023 0 Critical Findings 2
Slide 10: 2. Segment Performance
2. Segment Performance 10
Slide 11: WuXi Chemistry: Growing CRDMO Pipeline Driven by Follow and Win the Molecule
WuXi Chemistry: Growing CRDMO Pipeline Driven by “Follow the Molecule + Win the Molecule” Strategies “R” Q1 2024 Newly 430,000+ Compounds 1 Added Molecules in Total 337 332 2,803 Preclinical & Phase I 3 “D” 345 Phase II 74 Phase III 11 Commercial & Phase III Projects 2 64 “M” Added in Q1’24 Commerci
Slide 12: WuXi Chemistry: Integrated CRDMO Business Model Drives Steady Growth
WuXi Chemistry: Integrated CRDMO Business Model Drives Steady Growth, with Continued Expansion in TIDES Revenue & Gross Profit Margin Drug Discovery (R) Generating Downstream Opportunities RMB billion ⚫ In the past 12 months, successfully synthesized and delivered 430,000+ new compounds (grew 3% YoY
Slide 13: WuXi Testing: Drug Safety Evaluation Service & SMO Maintain Leadership
WuXi Testing: Drug Safety Evaluation Service & SMO Maintain Leadership Positions and Drive Steady Growth Revenue & Gross Profit Margin Lab Testing Services ⚫ Q1 revenue of lab testing services down 0.6% YoY to 1.05bn, among RMB billion which, drug safety evaluation service revenue grew 3.7% YoY, mai
Slide 14: WuXi Biology: New Modalities Business Drives Growth
WuXi Biology: New Modalities Business Drives Growth; WuXi Biology Platform Continues to Generate Downstream Opportunities Revenue & Gross Profit Margin Discovery Biology RMB billion ⚫ Focused on improving capabilities related to new modalities, revenue Adjusted Non- from new modalities grew 12.2% Yo
Slide 15: ATU: Advancing Pipeline on the Globally Integrated CTDMO Platform
WuXi ATU: Advancing Pipeline on the Globally Integrated CTDMO Platform Testing CAR-T | TIL | MSC Cells AAV | LVV | TESSA Q1 2024 Newly US | EU | CN Added Projects in Total 2 1 49 Preclinical & Phase I 9 Phase II 1 Including 2 5 Phase III Projects in BLA Preparation Stage 1 Commercial Project Added 2
Slide 16: ATU: Commercial Projects Gradually Approved, Driving Future Growth
WuXi ATU: Commercial Projects Gradually Approved, Driving Future Growth Revenue & Gross Profit Margin Pipeline & Progress of Commercial Projects RMB billion ⚫ Total pipeline of 65 projects by end of Q1, among which, the world’s Adjusted Non- IFRS GPM * -7.4% -32.8% first innovative TIL-based therapy
Slide 17: DDSU: Supporting Customers to Continue Advancing Pipeline Projects
WuXi DDSU1: Supporting Customers to Continue Advancing Pipeline Projects Revenue & Gross Profit Margin NDA Approval RMB billion ⚫ By end of Q1, 3 new drugs developed for our customers obtained Adjusted Non- NMPA approvals, including 2 for COVID-19 infection treatment and 1 IFRS GPM 24.0% 26.9% for t
Slide 18: 3. Financial Performance
3. Financial Performance 18
Slide 19: Financial Performance
Financial Performance Revenue Adjusted Non-IFRS Gross Profit Adjusted Non-IFRS GPM RMB MM RMB MM 40.0% 40.3% 38.0% 38.7% 42.0% 41.0% 38.7% 39,355 40,341 16,938 22,902 15,228 -11.0% -1.8% 16,535 excluding COVID-19 12,872 commercial projects 8,704 -16.0% 8,964 5,155 6,670 7,982 3,678 3,090 2019 2020 2
Slide 20: Sustained Positive FCF Driven by Business Growth & Operating Efficiency
Sustained Positive FCF Driven by Business Growth & Operating Efficiency Q1 2024 Free Cash Flow Remained Positive and Reached RMB 1.33Bn RMB MM Capital Expenditure 12,641 Operating Cash Flow 9,966 10,230 6,936 5,517 4,379 3,828 3,031 2,532 2,529 2,137 Q1 23 Q1 23 2,951 811 1,270 2019 2020 2021 2022 2
Slide 21: 4. Business Outlook
4. Business Outlook ze S| od
Slide 22: 2024 Outlook
2024 Outlook Despite uncertainties in the external environment, revenue expects to reach RMB 38.3-40.5 1 billion in 2024, and maintain positive growth of 2.7-8.6% excluding COVID-19 commercial projects Continue to improve operating efficiency. Adjusted non-IFRS NPM in 2024 expects to 2 remain at a s