CXO Industry Outlook Remains Positive as Companies Report Strong Order Backlogs

With the acceleration of BD (business development) for innovative drugs going global and a recovery in demand for pharmaceutical R&D services, multiple listed CXO (contract research/manufacturing organization) companies stated at their Q3 earnings briefings that they have ample order backlogs. They expect full-year performance to grow, with industry momentum likely to continue as project delivery scales expand further in Q4. Recently, Oriental Securities released a report indicating strong CXO sector performance in the first three quarters of 2026, with favorable industry trends. Data shows that CRO/CMO segment revenue grew 24.5% year-on-year and non-GAAP net profit attributable to shareholders rose 57.6% in the first three quarters. Overall, the export of innovative drugs and commercialization advances are expected to continue driving R&D and production demand, supporting profitability growth in the CRO/CMO and chemical pharmaceutical sectors. (Shanghai Securities News)