China-based WuXi Reports Successful Second Quarter
A year after going public on the New York Stock Exchange, Chinese contract research, development and manufacturing company WuXi PharmaTech reported second quarter net revenues of $70.8 million—a 134% increase compared with the same period last year.
Established in 2000, WuXi has enjoyed several successes the past year. The company acquired a U.S.-based laboratory services supplier in January, and in late June, WuXi and contract research organization (CRO) Covance announced plans to form a partnership to provide preclinical contract research services in China, a move that will enable WuXi to access Covance’s deep customer base. WuXi's current big pharma clients include Merck and AstraZeneca. In addition to its operations in China, WuXi runs R&D and manufacturing facilities in St. Paul, Minn.; Atlanta, Ga; and Philadelphia, Pa.
According to WuXi’s second quarter earnings report, net revenues from laboratory services increased to $45.2 million, up 80% from Q2 2007, and manufacturing services net revenues grew almost 400% to $25.6 million. The January acquisition of AppTec was supposed to have contributed to WuXi’s impressive revenue growth, but WuXi did not provide specific financial details about this acquisition.