West Pharmaceutical Services, Inc. · NYSE:WST
West Pharmaceutical Services — Q3 2021 Earnings Presentation
21 slides from West Pharmaceutical Services's earnings presentation, Oct 28, 2021
Slide 1: Third-Quarter 2021
Third-Quarter 2021 Third Quarter Overall Net Sales “We had robust growth in all three of OVERALL ORGANIC SALES GROWTH $706.5M | 28.9% our Proprietary Products market units, Proprietary Products Q3 2021 organic sales Q3 led by the sales of components in our growth of 35.7%, led by sales of high-value
Slide 2: West Pharmaceutical Services, Inc. Third-Quarter Results 2021 Analyst Conference Call
West Pharmaceutical Services, Inc. Eric M. Green President & CEO Bernard J. Birkett Senior Vice President & CFO Third-Quarter Results 2021 Analyst Conference Call 9 a.m. Eastern Time | October 28, 2021
Slide 3: West Analyst Conference Call
A webcast of today’s call can be accessed in the “Investors” section of the Company’s website: www.westpharma.com West Analyst Conference Call To participate on the call, please dial: 877-930-8295 (U.S.) 253-336-8738 (International) 9 a.m. Eastern Time The conference ID is 5587559 October 28, 2021 A
Slide 4: Safe Harbor Statement
Cautionary Statement Under the Private Non-U.S. GAAP Financial Measures Securities Litigation Reform Act of 1995 Certain financial measures included in these presentation materials, or which may be referred This presentation and any accompanying to in management’s discussion of the Company’s managem
Slide 5: Q3 Highlights
Q3 Highlights FINANCIALS • Third quarter 2021 net sales of $706.5 million grew 28.9%; organic sales growth was 27.9% • Third quarter 2021 reported-diluted EPS of $2.31 increased 112%; adjusted-diluted EPS of $2.06 increased 79% • Raising net sales and adjusted-diluted EPS guidance for full-year 2021
Slide 6: Q3 Drivers of Growth in our High-Value Product (HVP) portfolio
Q3 Drivers of Growth in our High-Value Product (HVP) portfolio WST Q3 2021 Earnings 6
Slide 7: Continue to accelerate multi-phased investments to meet HVP demand
Continue to accelerate multi-phased investments to meet HVP demand Completed investment across the Investment for additional equipment Investment approved with anticipated network to increase HVP capacity and validated lines — expected to be future vaccine demand – expected to be complete by end of
Slide 8: West is Driving Sustainable Business Practices
West is Driving Sustainable Business Practices Progress Improvement Reduction Six Pillars: in waste recycled and global waste in Energy from 2019 to 2020 in absolute water consumption from diversion at sites in 2019 to 2020 • Compliance & Ethics 2020 • Philanthropy $3.1 MILLION >50% • Health & Safet
Slide 9: Third-Quarter 2021 Summary Results
Third-Quarter 2021 Summary Results ($ millions, except earnings-per-share (EPS) data) Three Months Ended September 30 2021 2020 Reported Net Sales $706.5 $548.0 Gross Profit Margin 40.8% 35.5% Reported Operating Profit $181.4 $99.2 Adjusted Operating Profit (1) $182.8 $103.9 Reported Operating Profi
Slide 10: Third-Quarter 2021 Organic Sales Growth
Third-Quarter 2021 Organic Sales Growth Overall Organic Sales Growth – 27.9% (Q3 2021) Proprietary Products Q3 2021 organic sales growth of 35.7% led by sales of high-value products, which grew double digits BIOLOGICS GENERICS PHARMA CONTRACT MANUFACTURING Double-Digit Double-Digit Double-Digit Low-
Slide 11: Change in Consolidated Net Sales Third-quarter 2020 to 2021
Change in Consolidated Net Sales Third-quarter 2020 to 2021 ($ millions) WST Q3 2021 Earnings 11
Slide 12: Gross Profit Update
Gross Profit Update ($ millions) Three Months Ended September 30, 2021 2020 Proprietary Products Gross Profit $267.3 $171.9 Proprietary Products Gross Profit Margin 46.3% 40.8% Contract-Manufactured Products Gross Profit $20.9 $22.7 Contract-Manufactured Products Gross Profit Margin 16.1% 17.9% Cons
Slide 13: Cash Flow and Balance Sheet Metrics
Cash Flow and Balance Sheet Metrics ($ millions) Cash Flow Items Financial Condition YTD YTD September 30, December 31, Q3 2021 Q3 2020 2021 2020 Depreciation and Amortization $87.9 $80.6 Cash and Cash Equivalents $688.0 $615.5 Operating Cash Flow $423.2 $323.8 Debt $254.1 $255.2 Capital Expenditure
Slide 14: 2021 Full-Year Guidance
2021 Full-Year Guidance 2021 Full-Year Guidance Consolidated Net Sales $2.800 - $2.810 billion Adjusted-Diluted EPS $8.40 - $8.50 WST Q3 2021 Earnings 14
Slide 15: We are proud to serve as the valuable, trusted partner for customers
We are proud to serve as the valuable, trusted partner for customers across the globe to support patient health. Strong Base Business Delivering Unique Value Propositions Global Operational Effectiveness Accelerating Investments for the Future WST Q3 2021 Earnings 15
Slide 16: Q&A
Eric M. Green Bernard J. Birkett Quintin Lai President and Senior Vice President and Vice President, Corporate Chief Executive Officer Chief Financial Officer Strategy & Investor Relations Q&A WST Q3 2021 Earnings 16
Slide 17: Notes to Non-U.S. GAAP Financial Measures
Notes to Non-U.S. GAAP For the purpose of aiding the comparison of our The non-U.S. GAAP financial measures are year-over-year results, we may refer to net sales and incorporated into our discussion and analysis as other financial results excluding the effects of management uses them in evaluating o
Slide 18: Notes to Non-U.S. GAAP Financial Measures
Notes to Non-U.S. GAAP Financial Measures RECONCILIATION OF NON-U.S. GAAP FINANCIAL MEASURES (UNAUDITED) See “Notes to Non-U.S. GAAP Financial Measures”, “Safe Harbor Statement” (Slide 4) and today’s press release for an explanation and reconciliation of these items. Reconciliation of Reported and A
Slide 19: Notes to Non-U.S. GAAP Financial Measures
Notes to Non-U.S. GAAP Financial Measures RECONCILIATION OF NON-U.S. GAAP FINANCIAL MEASURES (UNAUDITED) See “Notes to Non-U.S. GAAP Financial Measures”, “Safe Harbor Statement” (Slide 4) and today’s press release for an explanation and reconciliation of these items. Reconciliation of Reported and A
Slide 20: Notes to Non-U.S. GAAP Financial Measures
Notes to Non-U.S. GAAP Financial Measures RECONCILIATION OF NON-U.S. GAAP FINANCIAL MEASURES (UNAUDITED) See “Notes to Non-U.S. GAAP Financial Measures”, “Safe Harbor Statement” (Slide 4) and today’s press release for an explanation and reconciliation of these items. Reconciliation of Net Sales to O
Slide 21: Notes to Non-U.S. GAAP Financial Measures
Notes to Non-U.S. GAAP Financial Measures RECONCILIATION OF NON-U.S. GAAP FINANCIAL MEASURES (UNAUDITED) See “Notes to Non-U.S. GAAP Financial Measures”, “Safe Harbor Statement” (Slide 4) and today’s press release for an explanation and reconciliation of these items. Reconciliation of Reported-Dilut
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