1H26F preview and FY26F forecast revisions: We expect stable, high top-line growth, despite some FX headwinds on earnings; reaffirm Buy

研报英文原文证据摘录

1H26F preview and FY26F forecast revisions: We expect stable, high top-line growth, despite some FX headwinds on earnings; reaffirm Buy

Global Markets Research

Wuxi XDC 2268.HK 2268 HK 24 July 2026

EQUITY: HEALTH CARE & PHARMACEUTICALS

Rating1H26F preview and FY26F forecast revisions Remains Buy

Target priceWe expect stable, high top-line growth, despite some FX Reduced from HKD 82.60headwinds on earnings; reaffirm Buy HKD 87.73

1H26F sales/earnings likely grew 41.2%/0.2% y-y Closing23 July 2026price HKD 55.65

We forecast Wuxi XDC to report 1H26F revenue of CNY3.8bn (41.2% y-y), driven by the

on-track high growth of existing business and consolidation of BioDlink (1875 HK, Not Implied upside +48.4%

rated) since this April, which contributed CNY225mn.

On the margin front, we estimate a largely stable gross margin of 36.0% in 1H26F Market Cap (USD mn) 8,988.0

ADT (USD mn) 40.6(factoring in economies of scale that mitigated negative FX impact, and CNY appreciation

against USD by 4% in 1H26 vs 1H25), and a lower operating margin of 27.4% (-1.1pp y-y)

Relative performance charton higher G&A expenses related to the BioDlink acquisition. Along with a higher FX loss,

we expect 1H26F net profit to shareholders at CNY747mn .

For 2H26F, we estimate Wuxi XDC tol book revenue/net profit of CNY4.3bn/CNY941mn

(+32%/28% y-y), owing to contributions from commercial projects and further enhanced

operational efficiency.

Maintain Buy rating and lower TP to HKD82.60 from HKD87.73, implying 48.4%

upside

We cut FY26F revenue growth by 0.2% and lower FY26F earnings by 22.3%, considering

the negative FX impact and M&A fees for the BioDlink acquisition. Our FY26F revenue /

earnings are 0.2%/17.4% below Bloomberg consensus estimates.

We maintain our Buy rating.