[ET Net News Agency, 6 November 2019] Moody's Investors Service has assigned a
first-time Baa3 issuer rating to WuXi AppTec Co Ltd. The outlook is stable.
"WuXi AppTec's Baa3 issuer rating reflects its leading market position as a contract
research organization with a full-service pharmaceutical research and development (R&D)
services platform, its global operations, its solid credit metrics, and the strong growth
prospects for the sector in China," said Shawn Xiong, a Moody's Assistant Vice President
and Analyst.
WuXi AppTec is a leading contract research organization (CRO) with a full-service
pharmaceutical R&D services platform with global operations. The company's research and
manufacturing services cover the full spectrum of discovery, development and manufacturing
of small molecule drugs, cell and gene therapies. It also provides testing services for
medical devices.
WuXi AppTec's reported revenue grew around 23.8% to around RMB9.6 billion for 2018. Such
strong revenue growth combined with the company's cost competitiveness has translated into
strong operating cash flow generation, with its adjusted EBITDA margin ranging between 30%
and 33% over the three years to 2018. (KL)