WuXi AppTec Says Advanced Therapy Unit Hit Despite Revenue Beat
- Company’s 3Q revenue dipped 2% amid Biosecure Act concerns
- Cell, gene therapy unit feels political pressure, firm says
The stable revenue masks concerns about the company’s ability to win more business in North America.
Photographer: CFOTO/Future Publishing/Getty ImagesWuXi AppTec Co. posted better-than-expected third-quarter revenue despite concerns over a US bill seeking to block the Chinese company from accessing federally-funded contracts. While the company acknowledged impact on one part of its operations, the earnings provided an upbeat outlook on the overall business.
Revenue fell 2% to 10.5 billion yuan ($1.47 billion) in the three months ended September, according to a company filing on Monday. That was higher than the 10 billion yuan forecast in a median estimate of analysts compiled by Bloomberg. WuXi AppTec reported revenue from US clients of 17.6 billion yuan in the first nine months of this year, representing a 7.6% increase from a year earlier excluding Covid-19 projects.