Sinolink Securities: High Prosperity of Pharmaron TEDIS Business Drives High Performance Growth, Raises Full-Year Performance Guidance.

Cinda Securities research report pointed out that the prosperous business of TEDIS of Pharmaron Conde drove high performance growth, and the company raised its annual performance guidance. In the first half of 2025, the net profit attributable to the mother was approximately 8.56 billion yuan, an increase of 101.9% year-on-year; in the second quarter of 2025, the adjusted net profit attributable to the mother was 3.64 billion yuan, an increase of 47.9% year-on-year. It is believed that the company's chemical business is growing strongly, mainly driven by the prosperous TEDIS business. Considering that the demand for peptides and oligonucleotides is still strong, the company has a rich backlog of orders and plans to increase the solid-phase synthesis capacity of peptides to over 100,000 liters by the end of 2025. Looking forward to the next 1-2 years, we predict that the TEDIS business will continue to maintain a high level of prosperity. Overall, the company's overseas customer revenue accounts for approximately 85%, making it a fully globalized and globally competitive CRDMO leader. We believe that from the Biological Security Act in 2024 to the US-China tariff conflict in 2025, the market has fully interpreted concerns about geopolitical risks. In the first half of 2025, the business growth rate of the company's American customers remains strong, once again dispelling market doubts. The trend of globalization is irresistible, and the company's position in the global industrial chain is stable.