Good morning, everyone. Welcome to this session. I'm Yang Huang, China Healthcare Analyst of J.P. Morgan, based in Hong Kong. Welcome to this session to be presented by WuXi Biologics, and the presenter will be WuXi Biologics CEO, Dr. Chris Chen. Dr. Chen, we can get started.
Good morning. It's my time to report to you guys every year about the exciting progress of WuXi Biologics. So this year, we chose the title of a Scaled CRDMO Platform, delivering sustainable high growth. So scale at WuXi Biologics is incredible, and our business model, CRDMO, is very unique. And we want to make sure that we can deliver sustainable high growth. I'm going to start with a brief talk about our business model, and mostly give you guys a business update and a strategic footprint expansion. I cannot come to this conference without showcasing our technology leadership and our ESG progress. And then I'll give you a summary and outlook. Our business model is incredibly, again, we said we are scaled integrated CRDMO model, basically one-stop shop and with a huge scale. So our vision is every biologic can be made.
We have delivered that vision for the past 15 years. Every project comes to WuXi, we deliver. That's not an easy statement. Every biologic project comes to WuXi, we deliver. That's why our mission, our vision is every biologic can be made. We said our mission is going to accelerate discovery, development, and manufacturing of biologics for the global partners, global clients. We did that. And then last year, we launched our CRDMO Plus strategy. We really want to continue to focus on our clients, continue to global expansion, continue to innovate with our technology, and continue to be agile to make our clients the best partners of the world. The enablers of our CRDMO strategy, we are fully compliant with any global regulations. We have premier quality. Every BLA we filed gets approved. We are pushing into digital and WBS.
WBS is our lean system, and we're very proud of what we do. As I mentioned, we are a scaled CRDMO platform. What's our scale? Look, every year we can deliver 10 PCC, essentially 10 assets for our partners to use. We can deliver 200 INDs. I cannot imagine any other company who can do 200 INDs a year. We can do 20 BLAs a year. We will do 200 INDs this year. As you guys see in front of the slide, we signed 209 projects last year. So it's end-to-end, one-stop shop. So we started with, if you are an entrepreneur from Stanford University, we make the first milligram of protein for you, first gram, first kilogram, first metric ton. So as we scale the manufacturing, our revenue grows exponentially as well. That's our business model.
We cover all the modalities you think of: monoclonal antibody, bispecific, antibody-drug conjugate. Because the technology is our strength, the more complex the molecule is, the higher market share we are. That's why recently, for the past couple of years, ADC and bispecifics are about two-thirds of our portfolio. And they also constitute the fastest growing segment of our industry. So we benefit really from the more complex modality. So as a result, we won the 2025 Global Customer Value Leadership Award from Frost & Sullivan. So over the past five years, this week, everyone is very happy about M&A. Everyone is anticipating something big is going to happen. Over the past five years, 72 of WuXi Biologics' clients were acquired at an average valuation of $1.4 billion.
Because of our CMC work, we have helped 72 companies, 72 of my clients become acquired and become part of large pharma. And as a result, investors get rewarded with $100 billion of money. Go to the right side. Over the past couple of years, we have already filed 600 INDs, 600 INDs over the past couple of years. This year alone, we're going to help file 200. You see the acceleration. On the commercial side, we have 25 commercial projects. We have 74 phase three programs. Our reliability is unheard of. Go back to our vision. Every biologic can be made. Our manufacturing success rate is almost 98-99%. That's almost, if you sign a contract with us, you're almost like a body of insurance.
Ten years ago, when I visited Boston Biotech, every CEO, if you ask every CEO, 50% of them had a headache with biotech manufacturing. 50%. Half of them have, if you are an investor, your portfolio company run into CMC issues, get a CRL from FDA. But now, with WuXi Biologics' help, you don't have that headache. I think that's how reliable we are. And then on the regulatory side, as I said earlier, 100% of BLA we filed get approved. So really, I want to give you an update on our business side. As I said, we are CRDMO. The R part is very unique. Again, if you're a professor here at Stanford, you come up with an idea for pancreatic cancer, who can help you create that molecule? We can. Because we use our platform, we use our CD3 platform, we use ADC technology, use our phage library.
As a result of helping you get that molecule, we get 3%-5% royalties. And if we use more technology, we can even get 5%-8% royalties. And if we're lucky, we even get 10% royalties. So last year, the upfront payment and milestone payment from all those programs is actually record high. And the biotech dollar we just generated from last year's contract alone reached $4 billion. Just CD3, as you know, CD3 bispecific is a huge class. I believe it's going to be more than 20 products approved. WuXi Biologics played a key role in there. Back in 2016, we started to invest in our own CD3 platform. We look at everyone's CD3. We said, "That's not the best. That's not the best for the industry." We started investing in our own CD3 platform. We spent $10 million in three or four years.
Now, every year, we're getting $50-$100 million return, almost net profit. So that's almost already a 10x return. Fast forward another five years or even 10 years, we may even get a billion dollars of royalties from those programs. We have 20 programs carrying royalties from a regular 3%-5% to as high as 10%. So again, 20 programs with 5%-10% royalties, unbelievable. So this is an investment, a couple of million dollars investment back 10 years ago. Now it's generating $50-$100 million profit, and eventually will generate billions of dollars of profit. That's the beauty of WuXi Biologics' arm. And I think this is really exciting. And again, if you look at the program, back in 2018, we signed a program with CTTQ, and later with Curon, Merck, GSK, Ardi. D I just announced very exciting science. I'm sorry, Candid.
Candid just announced a very exciting program. And then Zai Lab, and then last Christmas with another major multinational companies. So those are the programs. Again, hopefully, we'll generate hundreds of millions of dollars of revenue and profit this year, next year, and we'll generate hopefully a billion dollars of revenue and profit 10 years from now. And those are the programs we're carrying royalties. I think we have a very exciting program from BioNTech, the B7-H3 antibody Duality BioNTech. We have a very exciting program from Merck, from GSK, and from other large pharma who we cannot disclose. We have 50 programs like this. Again, 50 programs. So the revenue and profit from this is already a significant part of our business today. Last year, we estimate about 20% of profit comes from this business. Although this is a very small revenue, but because they are pure profit.
It's a very small percentage of revenue, but it's already 20% of profit last year. The year before, it's 15%. Fast forward another five years, maybe about 25% of profit comes from royalties, milestones, and upfront payment. That's why our margin will continue to lead the industry. If you are an investor, this is a famous what we call golden funnel or diamond funnel. This funnel represents the project we're working on right now. It's unbelievable. Our funnel is getting close to 1,000 molecules. When I left Lilly and started this effort myself, my Lilly friend said, "It would be fantastic if you can work on 100 projects, 100 biologic programs." And then 15 years later, now we're close to 1,000 programs. And this is the stuff any company's own portfolio.
Again, because we are a service business, every molecule in the funnel gives me money, gives me revenue and profit. So there's no scale issue. No matter how much money you have on R&D, you have limited. You cannot develop 1,000 molecules. There's no limit. This can be 1,000. It could be 1,500, it could be 2,000, it could be 5,000 if our industry has a need. If AI can transform discovery, if someone can discover antibody in silico in a minute, I can develop them with—they can give me 100 projects, I can develop them in a year. So we will be beneficiaries of the AI revolution in the next couple of years because we have the scale to deliver. We're delivering 200 INDs this year. Why not 300 in five years? Why not 400 in five years?
There's no limit because every project contributes revenue and profit to us. So if you look at this golden funnel, we have close to - we have 945 programs. Last year alone, we added 209 projects. That's why I said this year we'll probably deliver 200 INDs. We have 25 commercial programs. We have 74 phase three programs. So I always tell investors, when you look at WuXi Bio, this is the only channel you need. You know we'll grow. You know our R is very good. You know our D is incredible. You know our M will give you a hockey stick growth because the funnel, as the program moves, that's the beauty of our CRDMO model. R will lead to D, D will lead to M. Even during Biosecure, our D to M conversion is more than 90%. Basically, clients, once the project gets into the funnel, they don't leave.
That's the stickiness of biologics. That's the stickiness. That's really our business model. If you look at the funnel, one great thing is actually more than last year we signed 209 projects is record high. The year before was 150. When we IPOed 15 years ago, this was 20. So in about 10 years, the number of projects we signed increased by tenfold. Among the 209 projects we signed last year, more than half of them come from the U.S. More than half of them come from the U.S. More than about two-thirds are the more complex modality. The most exciting modality is the bispecifics, multispecifics, the ADCs. And then, as I mentioned earlier, we also have 23 Win-the-Molecule programs. This is when my peers could not deliver. They actually come pick WuXi to help them resurrect or salvage the program. We have 23 programs like that.
Among the 23, six of them are phase three. That basically means we'll help them do PPQ. Eventually, we'll be helping them do commercial manufacturing. This is unbelievable. Again, the only thing you need to remember about WuXi Biologics is this funnel. As the funnel grows, our growth will be there. Because, as I said earlier, we deliver 100%. Every project coming to the funnel, we deliver. As a result, they stay in the funnel, and they will go from R to D to M. If you look at our portfolio, it's already. Because it's so big, it'll mimic our industry. We have about 340 mAbs. We have 196 bispecific programs. Bispecific is a relatively new modality. It recently really became exciting. We have almost 200 assets already. We have about 250 ADCs. In our portfolio, we have almost 370 first-in-class programs.
Again, go back to the concept of Harvard professor coming up with the idea of pancreatic cancer, where we can help them deliver the first gram, first kilogram, hopefully first metric ton. In biologics, there are three most exciting modalities, and we are king of all three. Bispecific and multispecifics, we have the largest portfolio. Probably globally, more than half of the bispecific are within WuXi's portfolio. It's also the fastest growing modality. It's also the highest margin modality because we have R, D, and M. For CD3 platform, we carry royalties, milestones. For our D, it's more complex, so the pricing is good. And for M, currently, we have three manufacturing projects. All of them, hopefully, can be mega blockbusters. So bispecific is actually the fastest growing, most exciting, highest profit margin segment within all the WuXi Biologics portfolio. It was not meaningful a couple of years ago.
Last year was already almost 20% of my revenue. It's growing at a whopping 120%, so if you think about it, 2024, this is probably 4%, 5% of my business. 2024 became 10%. Last year became almost 20%, and that's the fastest growing segment. As I mentioned, I already highlighted my CD3 platform, but the most exciting bispecific in this industry is happening at WuXi Biologics. You see the CD3, CD19, CD3, CD20, CD3 PSMA, CD3 19, 20, BCMA, and then that's one class. The other class is everyone's watching the PD-1 VEGF. We have multiple programs, PD-1 VEGF. We have DLL4 VEGF, EGFR, TGF-beta, 4-1BB Claudin 18.2, so basically, if you read the news about a breakthrough or bispecific tomorrow, 70% chance WuXi Biologics is the CMC owner, and we'll benefit from this whole bispecific.
We'll see how, next couple of years, what the growth is going to be. But the past couple of years is very exciting. Again, go from 4% or 5% of revenue to 20% in three years. So a kicker of almost 100%. Because we spin off XDC, so everyone knows ADC, and they will be presenting this afternoon. But this is also a very exciting modality. We have 252 ADCs. We already have quite a few POC validated mAbs. We have the HER2 ADC, TROP2 ADC, Folate receptor ADC, Nectin-4 ADC. And we have a lot of emerging. Again, it's probably very similar. Tomorrow, if you hear a breakthrough in ADC, 65% chance, two-third chance WuXi Biologics is behind that. WuXi Biologics and WuXi XDC is behind that. I said there are three most exciting segments of biologics. The other one is traditional mAb.
The vanilla mAb is not as exciting as they want to be, but because we have been working on this field for 10 years, now we have many programs that are getting to commercial stage that will give us incredible revenue. FcRn franchise, Agile 1R. We have mAbs for autoimmune disease, for kidney disease, for allergy disease. Yesterday, I met a client. He had the antibody for hair growth. Even for white hair, it grew back to dark. So I may need to produce 10 tons for that mAb for China alone, 10 metric tons, so initially, I was hoping for Alzheimer's. Maybe actually the hair growth actually is better than Alzheimer's in terms of that modality, so for WuXi Biologics, we get to work with the most exciting partners globally. We have quite a few programs for kidney disease, for autoimmune disease, for peanut allergy, even for hair growth.
That's why I think in summary, this slide, this is the most exciting part of WuXi Biologics. We will grow, we will see even growth acceleration because bispecific is growing at a kicker of almost 100% in the past couple of years. ADC, you see the XDC growth and continue to see strong growth fast forward. On the MAB side, on the development side, it's growing on market because our size is so big. But on the manufacturing side, we'll see 30%-50% kicker in the next couple of years on revenue growth. I already highlighted multispecific, beyond the multispecific as really WuXi Biologics' most exciting platform. Because again, this is really such a good example, good manifesto of WuXi Biologics' business model. We have R, who generates hundreds of millions of dollars of revenue and profit this year. We have D, the largest portfolio.
The D will carry into M. The M, we already have three exciting programs that's already one of them is already mega blockbuster. Two of them hopefully will become mega blockbuster. So the M will generate hundreds of million dollars of revenue for us as well. And that's why I said so really the multispecifics are really the most exciting part of WuXi Biologics' portfolio in the next couple of years. So go back to our RDM. I already mentioned that every BI we filed gets approved, gets accepted by U.S. FDA, EMA by China. And that's how continue to be our track record. So it's almost like there's a test. We always score 100% in this. You can go to the website, search our peers, what their track record is. But so far, we are 100%.
So I mentioned very exciting R, very exciting D, and now the M part. A surrogate or a leading indicator of manufacturing growth or CMO growth is actually the number of PPQs. You see our number of PPQs a couple of years ago was a single digit. During COVID, we benefited quite a lot from COVID MABs, COVID vaccines. That's why 2022, we have 22 PPQs. Among them, half of them are COVID programs. So if you take out the COVID program, it was about 10 programs in the past couple of years. And last year was 28. So go from average of 10 to 30. So tripled the number of PPQs. And then as of now, we have 34 scheduled. During this J.P. Morgan conference, we'll probably sign another three or four. And then end of this year, it will probably be much higher than this.
So, last year was about 28. This year, probably about 38 or even more. And then PPQ is a leading indicator of manufacturing growth. On the bottom, we show you how PPQ translates into product approval, translating into manufacturing revenue. The nature of our business, most of our programs are new drugs. So they have a sales launch curve. So don't expect us to sign a PPQ today, $100 million revenue tomorrow. We will sign a PPQ today. We have $20-$50 million revenue in the next two years. But then we have to wait for FDA approval. And then we have to wait for sales launch. So from a PPQ to a peak sales probably requires six years. And that's the patience we have to wait. So a lot of people are expecting a lot of investors keep asking, why cannot your M grow faster?
Because we're working on new drug. We have to allow the sales to peak. We have to allow the sales to grow, and that's why our revenue profile, M revenue profile, is there. M revenue is there, but it's going to grow faster than we expected. But we need some time, and that's the beauty of our business model, so you'll see the M revenue will grow in a very fast fashion. Because 2025, as I said earlier, the number of PPQ already tripled to the average of the past couple of years. That basically means about 27, 28-ish. Our revenue will grow very, very fast. Another factor is our PPQ success rate, 99%. We have done about 100 PPQs. We only have one of them has an issue. Our industry average may be 90%. That's a tremendous success factor.
Again, that basically means if you want us to launch the product, we will help you launch the product on time, on time, with a 1% chance of failure, where our industry average is 10, 10% chance of failure. So as I mentioned earlier, most of our drugs are launching. Most of the commercial drugs were launching. So their revenue will need to ramp up. That's why we have close to 99 CMO projects. But our revenue is still relatively low comparing to our peers because they're launching. And that's a good sign. It basically means our growth comes not only from the number of projects, but also from project growth itself. So for example, for one program, we currently only have $30 million revenue. But in five years, we'll have $100 million revenue. So that program will grow from $30 million to $100 million.
In the meantime, we'll keep adding more and more programs into the funnel. So as everyone knows, WuXi Biologics is a global company. We have a global footprint. We have a footprint in Ireland, in Germany, in the U.S., in Singapore. And we just announced Qatar. So we are increasing our strategic investment in the U.S. Our total investment in WuXi Biologics, WuXi XDC combined, our total investment in the U.S. will be about $1 billion. We want to provide an alternative supply chain in the U.S. from end to end, from DNA to IND to BLA. We are doing that in Singapore as well, end-to-end supply chain. XDC was building a facility in Singapore. From piling the ground to the mechanical ready, 15 months is unheard of. This is a project on time, on budget. So XDC will highlight this right now.
We'll start generating revenue starting this year. Our drug product facility, this is a prefilled syringe range. Our vial facility will be ready next year. Our drug substance facility will be ready. This is a large-scale, 120,000-liter facility for mAb will be ready two years from now. So we're putting a lot of efforts in Singapore. Our current efforts, U.S. and Singapore. But we just launched a very exciting effort into Qatar. That's the six countries we'll be operating in. We really think Qatar is probably the only country where we can replicate the execution and the profit margin of our China site. Because it's such an attractive place. Before I went to Qatar, I didn't know much about the country other than World Cup, other than really the fascinating city. But once we get into Qatar, it's such a friendly business environment.
And we really wanted to make Qatar, make Doha our future hub of biotech R, D, and M. I envision we have thousands of employees in Doha by the end of this decade. So Qatar is besides Ireland, besides the U.S., Ireland, Germany, Singapore, China, and Qatar is our sixth country. We'll have a significant capacity there. And you'll see. Because we have very strong cash flow, we don't need any equity fundraising to support the project. Our own cash will be more than enough to support the project. So don't worry about any fundraising from WuXi Biologics. As I mentioned earlier, technology is always a highlight of WuXi Bio. The reason we can deliver every project on time and on budget. And the reason we can be much faster than our peers is because of technology. I want to highlight a few. The CD3 technology I already highlighted.
The WuXiBody bispecific. Both technologies we invested back in 2016. Again, now you know. Now it's a no-brainer. Now everyone knows bispecific is important. But we kind of know bispecific is important 10 years ago. And that's why we built the technology. That's why we can generate hundreds of millions of dollars of IP income from those technologies already. And we have multispecific platform. We have single domain platform. We have ADC platform. Last September, we announced the most exciting technology of WuXi Biologics history. It's our new cell line. As you know, WuXi Biologics' core is based on a cell. 15 years ago, when I started with the company, we had to screen 10,000 cells. 15 years ago, it takes nine months. 10,000 cells get 2 grams per liter.
Last month, 30 cells, from 10,000 cells to 30 cells, from nine months to two months, from two grams to 10 grams per liter, so this is probably the best technology our industry can offer, and this is the only one in the service space who can offer, so we actually have companies who are willing to pay $100 million to license the technology, so this is going to be a game changer. For every program coming to WuXi, we can get 10 grams per liter, so if every program is 10 grams per liter, then what's your bioreactor size? You only need a 5K reactor. 5K reactor already gives you 50 kilos. It's incredible, this technology, but this is something, again, this is something we start to cook back in 2019. We are very excited to send here now, but the investment comes from 2019.
If you think about 2019, we have what we call semi-targeted. For those of you who are experts on biology, we found a spot, so typically, in our industry, you put a DNA mixed with a cell. The DNA, you don't know where the DNA goes into the cell. That's how you get a cell line. That's why you need to look at the 10,000 cells, figure out which one is the highest producing. Over the past five years, we found a hotspot in CHO genome. We know exactly where we want to go to, and we have the technology to deliver the DNA to that spot. That's why every cell, 10 years ago, because when you look at the 10,000 cells, there are some zero, some one, a few two, but now every cell is 8 to 10 grams per liter, so technically, I don't need to pick.
I just put a DNA together with a cell, take a cell, and that's your cell bank. That's why we can cut the timeline from six months to two months, increase productivity from 2 grams to 10 grams per liter, and this will transform our industry. Again, we can make because if it's 10 grams per liter, annual cost of biologics will be a few thousand dollars. If it's a recent, for example, PD-1, PD-1, the annual manufacturing cost of PD-1 using this technology is only a few thousand, $2,000, $3,000. We can make biologics really, really affordable. I think because we pioneered the whole disposable manufacturing, a lot of investors, a lot of clients initially also doubt whether disposable works. If you have a 10 grams per liter, if you have disposable, now you know why it works. For WuXi Biologics, we planned this whole thing from get-go.
Because my 10 grams per liter times 5,000 to 6,000 liter reactor, I get 40 kilos. If you look at the first generation of Herceptin, Avastin, it was made in a 20,000 liter reactor because the titer is only 1 gram per liter. So every batch gets 20 kilos. Now, with my technology, every batch gets 40 kilos. I can double the throughput comparing to what the traditional industry output. And that's why my reactor scale is smaller. But if you have a grandfather cell line, if you have an old cell line, if you have a grandfather project, I can do it for you. Over the past couple of years, we have done 300 batches by multiplexing the reactor. One reactor is only 4K. But why don't we put four of them together? It becomes 16K. We did that in Ireland. We did that in China.
So I think with our capacity, we can actually deliver 30 metric tons. I mentioned earlier, a hair implant or hair growth anabolic may need 10 metric tons. But I can build a 10 metric tons facility in China in two years. Now I can build it in Qatar in two years, in Singapore in two years. So I think the manufacturing platform is super rigid. It's cost competitive. I think industry always have a debate. Disposable, why disposable should be more expensive than stainless steel? We have a disposable manufacturer in the room. We already proven with our 300 batch, there is no cost difference. Disposable, a single plastic bag is as effective cost-wise compared to a stainless steel vessel. Because your CapEx is lower, your footprint is smaller, and you are more environmentally friendly.
As our industry evolved, we see a lot of projects go from IV to a SubQ. Even for oncology projects, patients want to do it at home. As a result, we actually delivered all those technologies to enable us to convert an IV product into a SubQ. We have done many projects already. If you have a drug that needs four hours IV infusion, patients have to stay in the hospital for six hours. Now you can convert with WuXi's help; we can convert into a SubQ. You can administer at home, two minutes, one injection. I think that's all the technology we have enabled that. Drug product is also a core part of our business that's growing. We are already developing 500 formulations. We have 100 projects.
We can formulate the protein to 150 mg, even 250 mg per mL. And that's why with a, if your dose is only 250 mg, we can actually make it into one mL. You can deliver at home instead of go to a hospital IV for four hours. Those are the technologies that we are developing. We have been helping global companies with that. As our industry evolves, and this week, you probably see AI companies everywhere. And AI is also part of the game for WuXi Bio. It's built into our platform. We want to be the world-leading digital CRDMO. I think we have a DaVinci client portal. So all the data our clients need, you can access it from DaVinci. We have a BioFoundry. It's our own system for documenting every data. Every piece of data is in the BioFoundry.
We have a manufacturing batch record electronic system to allow paperless manufacturing. Really, all those platforms are already in the works, and hopefully, by next year, we'll be launching all of those. We're already launching piece by piece as of this year. WuXi Biologics' vision of manufacturing is in three years, we don't need anyone in the plant. The plant runs by itself. It's fully automated continuous processing, and that's why we're launching what we call PAT VroLab. This is a digital twin of a manufacturing facility. If you ever get a chance to visit our Shanghai facility, you can already see it. We have it already running at a 50 liter scale. It's a 50 liter reactor, but it's continuous run. Every day, you get 10 grams per liter in there.
So you get it's a very small vessel, but every day, you get 500 grams, and it keeps running in there. And then we have a digital twin that allows us to manufacture that. We use Raman to say we don't even need to sample. We don't even need to sample. Because every data, the computer is monitoring and helping us make decisions. So this is what we call our PATrol Lab. It's our own version of a digital version of a manufacturing facility. We always are very proud of our ESG performance. If you look at every metrics, every metrics, our ESG score is highest, one of the highest in the industry. That's something I'm really, as a global company emerged from China, I'm very proud of what we have done and what we have been doing with ESG.
I think overall, we are on track to deliver 2025 with sustainable growth momentum into 2026. So we are on track to deliver a very strong 2025 with both top line and bottom line. I already mentioned to you that biomultispecifics are the most exciting platform and the fastest growing within WuXi Bio because we have R, D, and M. We have already fully established track record in large-scale manufacturing with either disposable or hyper-dense cell line. We continue to invest technology. So I highlighted CD3 technology we invested in. Highlighted bispecific technology we invested in. Highlighted cell line technology we invested in. On our side, we see record high number of milestones and upfront payment. On the D side, record number of projects. On the M side, the number of PPQ increased by 75% comparing to last the year before.
We are very excited about Qatar and our future investment in Qatar. Looking forward into 2026, I think we continue to see. And you already know the funnel. You can see the growth in 2026. We already continue to see R grow strong, D grow strong, M grow strong. We have quite a few blockbusters. We had an FDA inspection in our Ireland facility last month. We have one more FDA inspection next month in our Shijiazhuang facility, Hebei facility. We have one in March. Basically, FDA coming to us almost every month for a product approval inspection. So we're expecting a few product launches this year. All those inspections are hopefully for mega blockbuster product. So the revenue, the explosive growth of manufacturing revenue will come. Thank you.
Thank you, Dr. Chen. Before we start Q&A session, may I invite Mr.
Tu, the company's CFO, to join us on the stage.
So for our audience, if you have questions, you can raise your hand. But please wait for Mike so that everyone can hear you. And also for our online audience, if you have questions, you can submit your questions through our conference digital app. Any questions from the audience here? Just please wait for Mike.
Hi. For the three end market bispecific, multispecific, ADCs, and the mAbs, what are the underlying market demands during the next, let's say, five years?
Because of confidentiality, I cannot disclose the program. But one of them should be a $5 billion product. The other one should be towards the other one, the analyst. Because all of them are public companies. Finance and analysts expect $2-$3 billion. So the three mAb, the three bispecific combined peak sales should be around $10 billion.
So they are all really mega blockbusters.
Congratulations. Hi, Chris. Congratulations to you and to WuXi Biologics as a whole. You definitely delivered a wonderful performance in 2025. And it's exciting to see that you have a huge investment in Middle East. Can you just elaborate a little bit more in terms of at what level of contribution to the future performance, let's say, in two years, as you mentioned that you will get the project finished in two years?
And sorry. In Qatar, we probably expect $500-$800 million revenue by end of the decade, by 2030.
Okay. Thanks. So four years from now, we'll be $500–$800 million revenue. Okay. And thanks. And in Middle East, I'm wondering if there was any technical problems, let's say, to deploy the talents. So what's your strategy or plan to solve this problem?
You mean talent challenge?
Talent, yes.
I think we will be able to hire from global. I think certainly initially, a lot of expats from China. But the Middle East has a very diversified workforce. We believe we can win.
Okay. Thank you.
Hey, Chris. So obviously, the future milestone sort of outlook is really exciting for the company. But as an investor, one of the things that's hard to sort of think about is just how do you model that because it's so lumpy, right? But I guess the volume will increase, so then the lumpiness should kind of even out. What do you sort of think, just broad speaking, guidance could be for milestone contribution, let's say, in the outer years, three, four years from now?
Yep. That's a good question.
I think that's why, rule of thumb, you can assume the milestone, the upfront milestone will grow at a CAGR of 30% and may accelerate when the royalty come in. Because just upfront milestone, as a company, we just assume it will grow a CAGR of 30%. That's why I promised investors our margin will continue to improve. Because the milestone revenue will come in, we continue to improve with our WBS, WuXi Business System, and then our efficiency improves over years, and then our global sites start to ramp up. Because we invested very heavily globally, we have US, Germany, and Ireland. So all those losses will convert into profit in the next couple of years. That's why our margin will continue to expand every year.
So just on the final, in the termination stage, are most of those terminating and going over to a competitor?
Most of those terminations, say, we're not continuing with this phase? So far, in the past five years, we lost two projects to a competitor, two projects to a competitor. So out of 1,000, two projects. So maybe we need to clarify. All the termination is actually fate of the molecule. It's not successful.
Thank you.
So we won 23 projects. We won probably 100 projects over the past five years. We lost five. So win-loss ratio is 20 to 1.
Over there.
Hi. You go very fast on the AI impact and digital. Can you elaborate a bit more? And what's your vision about the impact of this technology in your area and driving performance, I guess?
Yeah. I think, as I said earlier, if AI really can discover a drug, we will probably be the first beneficiary.
Because someone still needs to make it and test it in humans, so we are the most efficient maker of the protein or of the antibody of the drug. So we'll benefit from that and then, as a company, now every company uses AI, so AI is part of our business strategy as well. We use it in every part of our business.
Okay then. I guess we're approaching the end of this session. Thank you for joining this presentation by WuXi Biologics.
Thank you.