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WuXi PharmaTech Announces Second-Quarter 2009 Results
Date:8/11/2009

y continue to deliver a large portion of our revenues and revenue growth. In recent years, we have been building new capabilities in discovery biology, DMPK/ADME, formulation, toxicology, bioanalytical services, process research, analytical development services, and other areas. These newer services have become increasingly significant revenue growth drivers as we offer an integrated platform of services. We have also expanded our services beyond development of small-molecule pharmaceuticals to include testing services for biologics and medical-device products.

"In our short history, WuXi PharmaTech has grown to become a leading contract research organization providing integrated R&D services to the global life science industries. Our mission as a company is to partner with the world's leading life science and medical device companies to help them improve the success of research and shorten the time of development," Dr. Li concluded.

GAAP Results

Second-quarter 2009 net revenues decreased 3% year over year to $67.0 million due to a 69% decline in Manufacturing Services net revenues, offset by 19% growth in Laboratory Services net revenues. Manufacturing Services net revenues are inherently variable due to fluctuating demand and customer delivery schedules, and the majority of the year-over-year decline in Manufacturing Services net revenues came from large projects in 2008 that did not recur in 2009. In addition, Manufacturing Services net revenues in second-quarter 2009 were impacted by project mix that included more early-stage projects. Laboratory Services net revenues in second-quarter 2009 benefited from stronger demand for our integrated drug discovery and development services, particularly in DMPK/ADME, bioanalytical services, discovery biology, process research, analytical development services, formulation development, and our core discovery chemistry services.

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SOURCE WuXi PharmaTech (Cayman) Inc.
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