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WuXi Pharmatech 1Q Profit Rises 32%; Manufacturing

 
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PostWysłany: Pon 2:53, 14 Lut 2011    Temat postu: WuXi Pharmatech 1Q Profit Rises 32%; Manufacturing

WuXi Pharmatech (Cayman) Inc.‘s (WX) first-quarter earnings rose 32%, beating views, on consistent growth in laboratory services and a surge in its manufacturing-services revenue.

The contract-research firm also said 2010 revenue will be at the upper end of March‘s downbeat view for $310 million to $320 million.

Last month,Help desk outsourcing, Charles River Laboratories International Inc. (CRL) agreed to buy the Chinese pharmaceutical research outsourcing firm for $1.6 billion.

Big pharmaceutical companies‘ cuts to their own research programs meant they focused on their own clinical trials and marketing while outsourcing development and testing services to contractors like WuXi. However, the cuts grew significant enough to deplete the overall pool of business opportunities for the contract firms.

WuXi posted a profit of $15.5 million,Mobile solution, or 21 cents per American depositary share,hospitality solution, from $11.7 million, or 16 cents per ADS, a year earlier. Excluding items share-based compensation and amortization, earnings rose to 25 cents from 20 cents.

Revenue increased 36% to $80.6 million. Laboratory services posted a consistent 18% sales growth,Business process outsourcing, and the figure soared more than fivefold to $13.6 million in manufacturing services on improving demand and delivery of a large order,health care outsourcing, which had been weak in the previous period.

Analysts surveyed by Thomson Reuters expected 19 cents on the bottom line with $78 million in revenue.

Gross margin fell to 37.7% from 38.4%.

WuXi ADS were up 1.8% at $18.30 after hours.


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