WuXi AppTec : 2025 WuXi AppTec Investor Day - Research Enabling Platforms

About this update from Wuxi Apptec Co., Ltd. Class A

2025 WuXi AppTec Investor Day Research Enabling Platforms Enhance CRDMO Business Model Steve Yang, Ph.D. 1 Co-CEO Global R&D Pipelines Keep Growing Steadily over Past Years Small Molecule Remains the Leading Modality, with Increasing Contributions from New Modalities Global R&D Pipeline by Modality, 2015-2024 64.8% 65.4% 62.2% 62.1% 60.3% 59.6% 57.1% 54.9% 54.9% 54.3% # of pipelines 12,300 13,718 14,872 15,267 16,181 17,737 18,582 20,109 21,292 22,825 7,970 8,972 9,757 9,481 9,250 11,040 10,610 10,571 12,399 11,680 4,330 4,746 5,786 5,622 6,424 7,166 7,972 9,069 9,612 10,426 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Small Molecule & New Modalities (Synthetic) Biologics % of Small Molecule & New Modalities (Synthetic) 3 Source: Frost & Sullivan, September 2025; internal analysis. Steady Growth in Global Pharmaceutical R&D Spending Across the Industry Global Pharmaceutical R&D Spending to Grow at ~6% CAGR (2024-2029E); Large and Mid-size Pharmas Contributing ~80% Today; Small Biopharmas' Share to Rise from ~20% to ~30% by 2034E with ~9% CAGR Period Large Pharmas Mid-size Pharmas Small Pharmas/ Biotechs/Virtual Pharmas Total 2015-2024 6.1% 6.4% 8.9% 6.7% 2024-2029E 3.8% 6.6% 10.3% 6.1% 2029E-2034E 3.5% 3.5% 9.2% 5.0% Global R&D Spending by Pharma Company Size, 2015-2034E 456.3 434.4 413.1 392.9 373.1 141.3 USD billion 353.3 122.4 133.3 334.0 111.6 314.2 101.1 82.0 90.9 154.9 26.0 48.1 156.9 22.7 50.1 165.1 26.3 52.3 174.0 30.8 54.3 182.4 34.6 204.8 37.7 224.1 42.1 241.5 46.5 260.6 50.9 277.6 55.8 295.4 61.2 67.3 74.2 137.2 123.5 127.7 132.2 110.4 115.8 119.7 78.7 84.1 90.1 96.8 104.1 67.6 72.9 56.4 61.7 190.8 197.6 144.1 150.1 155.7 160.9 166.4 172.1 178.0 184.3 80.9 84.0 86.5 88.9 91.4 105.4 114.4 122.1 131.0 137.7 476.1 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025E 2026E 2027E 2028E 2029E 2030E 2031E 2032E 2033E 2034E Large Pharma Mid-size Pharma Small Pharma/ Biotechs/ Virtual Pharma 4 Source: Frost & Sullivan, September 2025. Large Pharmas, with sales >$1Bn; Mid-size Pharmas, with sales between $100M and $1Bn; Small Pharmas/Biotechs/Virtual Pharmas, with sales <$100M. Diversified Funding Sources in Ecosystem to Ensure Continued R&D Investment Despite Some Challenges in Capital Market, H1 2025 has been Strong in Dealmakings (Licens ing and M&A) for Biopharmas to Accelerate Pipeline Replenishment USD billion Global Biotech Funding (IPO + FO + PIPE + VC) Global License Deals (Upfront & Total Values) 179.7 182.1 177.9 182.9 189.8 120.0 119.9 19.8 15.6 14.6 10.7 12.8 13.3 10.8 H1 2019 2020 2021 2022 2023 2024 H1 2025 USD billion USD billion Global M&A Deals (Total Values) 203.7 87.8 76.0 145.4 127.6 78.4 70.5 50.3 42.5 H1 72.0 50.1 47.7 50.4 24.2 H1 2019 2020 2021 2022 2023 2024 H1 2025 2019 2020 2021 2022 2023 2024 H1 2025 Upfront Total Value 5 Source: Jefferies; JPM; internal analysis. For this analysis, deals of pure-play drug developers are included; medtech, distribution-only and digital health are excluded. Diversified Modality Demands in Early Stage R&D Investment Established Modalities (Small Molecule & Biologics) Continue to Lead, while New Modalities Gain Traction VC Funding by Modality, 2022 - H1 2025 USD billion Others, 5.8 Peptide, 8.5 Oligo, 8.8 CGT, 20.4 Antibody / Protein, 30.0 Small Molecule, 43.7 Small Molecule Antibody / Protein CGT Oligo Peptide Others 6 Source: internal analysis. This analysis includes deals of global drug development companies aimed at expanding pipelines and technological capabilities, including drug licensing, co-development and M&A. Innovators Across Regions Ensure the Continuous Emergence of Innovation In Addition to US, Europe & China are Important Innovation Hubs, Each with ~50% as Many Companies as US Number of Pharmaceutical Companies by Development Phase # of companies 1,979 1,247 1,027 732 718 687 763 827 477 561 522 559 566 553 401 337 329 384 220 256 245 67 42 135 98 175 119 27 USA Europe China APAC ex-China Discovery Preclinical Phase 1 Phase 2 Phase 3 Pre-registration Registered/Launched 7 Source: Cortellis, July 03 2025; internal analysis. This analysis includes companies with drug(s) from discovery to launched phase, and development phase is based on the highest R&D stage among all pipelines within the company. Scientific Innovations Continue to Generate ~1,000 New Companies Annually Large and Mid-size Pharmas Account for ~20%, while Small Biopharmas Gradually Expand to 80%+ Number of Global Pharmaceutical Companies, 2015-2034E 82.4% 82.8% 81.6% 82.0% 80.8% 81.2% 79.5% 80.0% 80.4% 77.6% 78.4% 26,001 26,866 76.8% 77.2% 25,074 76.0% 76.3% 23,070 24,094 275 285 22,012 266 73.8% 74.2% 16,231 17,342 209 18,119 215 18,974 19,900 227 20,911 234 241 249 257 3,965 4,028 4,081 221 3,714 3,807 3,891 # of companies 14,143 200 15,145 203 3,610 204 3,511 9,807 8,146 8,793 162 1,971 170 2,099 10,894 188 2,395 11,968 185 13,054 194 3,419 3,131 3,251 3,328 2,961 3,074 181 2,172 2,591 2,785 19,946 20,843 21,698 22,501 17,067 18,057 19,014 13,882 14,576 15,334 16,162 10,075 10,982 11,868 12,896 6,013 6,524 7,454 8,311 9,192 83.1% 83.4% 83.8% 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025E 2026E 2027E 2028E 2029E 2030E 2031E 2032E 2033E 2034E Small Pharma/Biotechs/Virtual Pharma Mid-sized Pharmaceutical Companies Large Pharmacuetical Companies % of Smaller Pharma/Biotechs/Virtual Pharma 8 Source: Frost & Sullivan, September 2025. Large Pharmas, with sales >$1Bn; Mid-size Pharmas, with sales between $100M and $1Bn; Small Pharmas/Biotechs/Virtual Pharmas, with sales <$100M. Global Outsourcing Market Continues to Expand with Increased Innovation Contributions from Small Companies and Diversified Demands Global CRO Outsourcing Penetration Exceeding 50% in 2024 and Expected to Reach 65%+ in 2034E Global CRO Outsourcing Rate, 2015-2034E 36.5% 34.8% 36.3% 37.7% 38.7% 40.7% 43.7% 47.1% 49.2% 51.9% 54.0% 55.6% 57.2% 58.7% 60.0% 61.8% 63.0% 63.9% 64.9% 65.6% 34.4% 35.1% 36.1% 37.0% 38.2% 40.0% 41.3% 42.8% 44.4% 46.0% 48.1% 50.8% 52.9% 56.3% 59.3% 61.3% 62.3% 63.5% 63.7% 65.2% 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025E 2026E 2027E 2028E 2029E 2030E 2031E 2032E 2033E 2034E Outsourcing In-house 9 Source: Frost & Sullivan, September 2025. Global Outsourcing Market Grows Faster than Overall R&D Spending Global Outsourcing Market Growing at 11.9% CAGR 2024-2029E, with Momentum Expected to Continue for Many Years to Come Period Discovery Preclinical Clinical Small molecule CDMO Including: Peptide CDMO Including: Oligo CDMO Total 2015-2024 9.7% 7.4% 8.2% 9.2% 16.2% 67.7% 23.5% 2024-2029E 9.5% 10.6% 8.0% 16.6% 25.6% 31.3% 11.9% 2029E-2034E 10.4% 9.1% 8.6% 17.6% 18.3% 22.7% 13.4% Global Pharmaceutical R&D Outsourcing Market, 2015-2034E USD billion 129.1 133.6 136.5 144.4 159.0 180.9 208.7 239.5 273.8 311.5 353.2 398.8 448.4 20.5 27.0 35.2 44.1 92.0 98.0 113.0 Total Discovery CRO Preclinical CRO Clinical CRO Small molecule CMO/CDMO including: Peptide CDMO including: Oligo CDMO 2015 20.5 5.4 6.7 29.0 23.5 1.0 0.0 2016 27.0 5.9 7.1 32.4 25.9 1.2 0.1 2017 35.2 6.7 7.7 34.6 28.2 1.3 0.3 2018 44.1 7.6 8.4 37.9 31.3 1.5 0.5 2019 92.0 8.5 9.1 40.6 33.8 1.7 1.0 2020 98.0 9.2 9.5 41.8 37.5 2.0 1.3 2021 113.0 10.2 10.6 50.2 42.0 2.2 1.6 2022 129.1 11.2 11.7 54.7 51.5 2.5 2.0 2023 133.6 11.7 12.2 57.7 51.9 3.0 2.3 2024 136.5 12.5 12.7 59.2 52.1 4.0 2.6 2025E 144.4 13.5 13.6 62.3 55.0 5.1 3.2 2026E 159.0 14.6 15.0 67.4 61.9 6.4 4.0 2027E 180.9 16.0 16.8 73.2 74.9 8.1 5.5 2028E 208.7 17.7 18.9 79.8 92.3 10.1 7.8 2029E 239.5 19.6 21.0 86.9 112.0 12.4 10.3 2030E 273.8 21.8 23.2 94.6 134.2 14.8 13.1 2031E 311.5 24.1 25.4 102.9 159.2 17.6 16.3 2032E 353.2 26.6 27.7 111.7 187.2 20.9 20.0 2033E 398.8 29.3 30.0 121.2 218.3 24.5 24.1 2034E 448.4 32.2 32.4 131.4 252.4 28.6 28.6 10 Source: Frost & Sullivan, September 2025. WuXi Chemistry, Biology, and Tes ting Collaborate at Research Stage to Enhance CRDMO Business Model Generate the Flow by enabling discovery and research Discovery Preclinical Unders tand the Trends by following science and customers Achieve Synergy through accelerating PCC and IND delivery WuXi Biology WuXi Chemistry WuXi Testing 11 Note: PCC, Preclinical Candidate; IND, Investigational New Drug. Attract New Cus tomers to WuXi AppTec CRDMO Platform ~70% of WuXi AppTec new customers are supported by Discovery + Preclinical in 2024 of Discovery + Preclinical 2024 new biotech customers* have public fund raising events after 2019 ~35% 12 12 Notes: 1. Including Discovery and Preclinical customers. * Customers with fund raising data are from outside of China. 2. Discovery represents WuXi Biology and RCS (Research Chemistry Services); Preclinical represents WuXi Testing excluding clinical & Medical Device. Enhance Cus tomer Engagement through Integrated Services # of Customers use both Discovery & Preclinical platforms 800+ 900+ 1000+ 2022 2023 2024 74.4% 72.4% 73.2% Revenue% of customers use both Discovery & Preclinical platforms 2022 2023 2024 13 Note: Discovery represents WuXi Biology and RCS (Research Chemistry Services); Preclinical represents WuXi Testing excluding clinical & Medical Device. Small Molecule Market Expansion ~42% of active customers in market* collaborate with us since 2021 Research Chemistry Services (RCS) synthesized over 440,000+ compounds from 2024H2 to 2025H1 The application of Flow Chemistry and Photochemistry Technologies benefits over 91% of our long-term partners Strengthen Long Tail Strategy , Research's long-tail customers contribute over 70%* of business volume 14 Notes: 1. Internal analysis. 2. Including Discovery and Preclinical customers. 3. Discovery represents WuXi Biology and RCS (Research Chemistry Services); Preclinical represents WuXi Testing excluding clinical & Medical Device. From Undruggable Targets to Druggable Previously Undruggable Targets (e.g. RAS) Multi-Specific Drugs New Modalities PROTAC Covalent inhibitor Molecular glue Allosteric inhibitor 10+ drugs approved 100+ programs in clinical development Peptide Macrocycle 15 Source: 1. The Biology of Cancer, 2nd edition. 2. Nature, Apr 2020, 580(7803):329-338. Note: PROTAC refers to the abbreviation of Proteolysis Targeting Chimera. Increasing Molecular Complexity Molecular weight Synthetic steps Synthetic complexity Purification difficulty Average molecular weight 2021 2025 Proportion of compounds with molecular weight >600 Da 2021 2025 Average synthesis steps for long-route molecules* 2021 2025 16 Source: internal analysis. * Long-route molecules: >5 synthetic steps. Sophisticated Analytical Platform for Complex Synthetic Molecules Techniques & Capabilities Dedicated technical solution for new modalities Specific solutions for different molecules, covering 10+ categories, such as PROTACs, covalent inhibitors Sophisticated tools & method development platforms Customized analysis & purification services in 2-4 weeks for new molecules Instruments & Workflows 1900+ cutting-edge instruments and equipment Comprehensive coverage of 60+ analysis items Automated streamline workflows ( 1h cycle time for regular testing) Accurate, multi-dimensional, rapid solution for complex issues Q-TOF GC-MSMS LC-MSMS ICP-MS 17 Note: PROTACs refers to the abbreviation of Proteolysis Targeting Chimeras. Advancing Drug Discovery & Development of "Undruggable Targets" Supporting Mirati Therapeutics on the 'undruggable' KRAS Target Financing in the discovery & development of therapies for undruggable targets from 2022 to 2024 "WuXi AppTec has been one of our longest standing partners with whom we work closely across the chemistry, DMPK, toxicology, cancer biology and structural biology teams. Close personal relationships have formed over the years and our partnership is stronger than ever." Total investment amount 6.58B USD Matt Marx, Ph.D. Senior Vice Pres ident Drug Dis covery Mirati Therapeutics 2023.10 18 Source: WuXi AppTec Blog ( https://mp.weixin.qq.com/s/rFvEHzVRqh_LXFQaqdjovA ); internal analysis. Total investment transactions 127 Value and Contribution of WuXi AppTec Research Chemistry Service (RCS) Accelerating PCC Finding Contributing to Customer Success 13.7 months 104 * PCCs Average time to identify a PCC after collaborating with RCS Produced within RCS during 2024 * Based on feedback from clients 60 % 90 % of small molecules deals (>$100M) come from RCS partners in past 3 years of RCS clients who raised funds in 2024 were already partners before fundraising 19 Note: statistical data for 2022-2024. Continue to Strengthen the Conversion from R to D 1,000+ Active clients "R" "D" 308 Clients with "D" opportunity 185 New clients from R to D Understand potential requirements and provide specific solutions Work closely between R and D teams Ensure consistent high-quality transition from R to D stages 336 New molecules The close collaboration between R and D teams delivers the power of CRDMO model 20 Note: data from H2 2024 to H1 2025. Customer Growth and Retention in Research Chemistry ≥5 years 980+ clients ≥10 years 280+ clients ≥20 years 10+ clients 21 The Expansion of Biology in vitro Hit Generation & Hit Finding Platform 2010 2025 POD 810 Plate Assembler Versatile, multi-threaded, multi-project parallel high-throughput screening Shanghai Key Instrument # 20+ 22 Note: POD 810 Plate Assembler, for compound dilutions and assay-ready plate preparation. Operational Sites Shanghai, San Diego, Munich 400+ Indus try Leading Platform for Hit Finding WuXi Biology High-throughput Hit Finding Technologies Track Record of Early Discovery Capabilities 15+ years of experience 1800+ clients 1000+ targets screened 1500+ proteins produced Integrated solution for successful hit finding with all target classes 23 Notes: HTS, High-Throughput Screening. HCS, High Content Screening. SELEX, Systematic Evolution of Ligands by Exponential Enrichment. NMR, Nuclear Magnetic Resonance. SPR, Surface Plasmon Resonance. ASMS, Affinity Selection Mass Spectrometry. OBOC, One Bead One Compound. Capability Building Flywheel for Oncology ~33% of active customers in market* collaborate with us since 2021 Capability Technology Know-how Efficiency Speed Quality Project Delivery System Standard Process 2017-2024 CAGR 38% End-to-end services and solutions to enable cancer drug discovery 1,200+ cell lines and 4,000+ disease models 19,000+ cancer pharmacology projects since 2017 Successful IND submissions to U.S., China and Australia Integrated, on-line, tumor model database 24 Notes: 1. Internal analysis. 2. Including Discovery and Preclinical customers. Discovery represents WuXi Biology and RCS (Research Chemistry Services); Preclinical represents WuXi Testing excluding clinical & Medical Device. Infectious Disease Market Expansion 21 drugs on market > 40 types of infectious agents in vitro screening and profiling in vivo efficacy clinical assay Biology Infectious Disease Platform ~27% of active customers in market* collaborate with us since 2021 25 Notes: 1. Internal analysis. 2. Including Discovery and Preclinical customers. Discovery represents WuXi Biology and RCS (Research Chemistry Services); Preclinical represents WuXi Testing excluding clinical & Medical Device. Biology Non-cancer in vivo Pharmacology Delivered Over 40% YoY Growth +42% +115% +7% +31% +98% Metabolic Disease Immunology & Inflammation Non-cancer in vivo Pharmacology Revenue 25 H1 vs 24 H1 Infectious Disease Neuroscience 26 Note: WuXi Biology data only. In vivo Pharmacology Integration Across Therapeutic Areas Infectious Disease ~27% Project Delivery System Standard Process Immunology & Inflammation ~35% Technology Capability Know-how Metabolic Disease ~33% Efficiency Speed Quality Neuroscience ~35% 27 Notes: 1. Internal analysis; data represent % of active customers in market collaborate with us since 2021. 2. Including Discovery and Preclinical customers. 3. Discovery represents WuXi Biology and RCS (Research Chemistry Services); Preclinical represents WuXi Testing excluding clinical & Medical Device. Early Capability Building in Emerging Technologies Bispecific antibody ADC Target Protein Degradation Stem cell Oncolytic viruses OBOC Single-cell DAC Cancer vaccine Fusion protein Oligo Tumor Infiltrating Lymphocyte 2015 2019 2021 2023 2014 2016 Peptide Early Discovery 2020 2022 2024 CAR-T / CGT AAV / CGT Covalent inhibitor 28 Note: DAC, Degrader-antibody conjugates, OBOC, One Bead One Compound. New Modality Market Expansion ~29% of active customers in market* collaborate with us since 2021 Targeted Protein Degradation Oligo / Antisense ADC / PDC / AOC Cancer Vaccine / Oncolytic virus / Stem Cell / Exosomes Vector Platform/ Novel Drug Delivery Vehicle 29 Notes: 1. Internal analysis. 2. Including Discovery and Preclinical customers. Discovery represents WuXi Biology and RCS (Research Chemistry Services); Preclinical represents WuXi Testing excluding clinical & Medical Device. Nucleic Acid Therapeutics Market Expansion Biology Revenue +26 % YOY (2024 vs 2023) Capability and capacity Quality and turnround time Experience Solution provider Nucleic Acid Therapeutics ~26% of active customers in market* collaborate with us since 2021 30 Notes: 1. Internal analysis. 2. Including Discovery and Preclinical customers. Discovery represents WuXi Biology and RCS (Research Chemistry Services); Preclinical represents WuXi Testing excluding clinical & Medical Device. 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