China CXOs Takeaways from preliminary results: Solid growth continues, strong demand ahead

Research evidence excerpt

16 January 2026

Equity Research Report

China CXOs

Equities

Health Care

Takeaways from preliminary results: Solid growth

continues, strong demand ahead

China

◆ Latest updates from CXO leaders largely on track

◆ Heating funding, easing rates and diminishing legislative risks

underpin visible growth

◆ Maintain Buy on all CXO names, with updated TPs

Turning optimistic on 2026 demand visibility, with industry leaders set to

deliver c26% bottom-line growth. China CXO order momentum remains robust,

supported by resilient overseas demand and improving commercialisation pipelines.

Sector leaders’ backlogs provide strong earnings visibility into 2026. Recent company

updates reinforce this view: WuXi AppTec’s 15.8% revenue growth in 2025 beat our

expectations; WuXi Biologics gained 123 new orders in 2H25, in line with our estimates

(vs. 86 in 1H25); Pharmaron’s 2025 revenue came in at the upper end of its guidance

range (13-16%); and Tigermed is seeing a recovery in financing activity alongside

steady outbound demand, supporting China clinical contract research organisations’

(CRO) volumes (source: Company reports). We highlight the mix is shifting towards

later-stage and commercial projects, underpinning margin and growth quality.

Linda Shu*, PhD (Reg. No. S1700522120001)

Head of China Healthcare Research

HSBC Qianhai Securities Limited

Oliver Wang* (Reg. No. S1700523100003)

Analyst, China Healthcare Research

HSBC Qianhai Securities Limited

Evie Liu* (Reg. No. S1700119110001)

Associate

Shenzhen

* Employed by a non-US affiliate of HSBC Securities (USA) Inc, and is

not registered/ qualified pursuant to FINRA regulations

Geopolitical risks manageable near term; long term depends on execution of

global delivery. Near term, the market is focused on the Section 1260H listing and

whether it includes WuXi or other China CXO names as “Entities of Concern”. If

included, the impact will be mainly on new contract signings as existing contracts

benefit from a five-year safe harbor period. Under the revised framework, organisations

designated as “Entities of Concern” will become ineligible to secure new US federal

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