Wuxi AppTec, Asia's largest contract pharmaceutical research provider, beat market expectations with a 33.7% jump in first-half net profit, helped by strong demand for weight-loss and diabetes drugs.
Net profit attributable to owners of the Shanghai-based company rose to 11.08 billion yuan (US$1.64 billion) from a year earlier, surpassing the average estimate of 25 analysts compiled by Bloomberg.
The company also raised its full-year guidance, and Jefferies' head of Asia healthcare research said the outlook remains bright.
The earnings report comes amid US scrutiny of the biotech contractor, but the company still saw gains in its US business during the period.