16 slides from West Pharmaceutical Services's earnings presentation, Apr 26, 2012
Slide 1: First-Quarter 2012 Analyst Conference Call
West Pharmaceutical Services, Inc. First-Quarter 2012 Analyst Conference Call 9 a.m. Eastern Time, April 26, 2012 A webcast of today’s call can be accessed in the “Investors” section of the Company’s web site Speakers: www.westpharma.com Donald E. Morel, Jr. To participate please dial: Chairman and
Slide 2: Cautionary Statement Under the Private Securities Litigation Reform Act of 1995
Cautionary Statement Under the Private Securities Litigation Reform Act of 1995 This presentation and any accompanying management commentary contain “forward-looking statements” as that term is defined in the Private Securities Litigation Reform Act of 1995. Such statements include, but are not limi
Slide 3: First Quarter 2012 Operations
First Quarter 2012 Operations • Sales Grew 7.1% (9.1% at constant currency) – Pharmaceutical Packaging Systems up 9.2% (11.6% at constant currency) • High-value products grew 14.4% at constant currency • In part due to new customers’ product launches, increasing inventory requirements – Pharmaceutic
Slide 4: Expansion and Product Development Update
Expansion and Product Development Update • Asian Expansions – China – India • NovaPure™ launched at April 2012 trade event • Daikyo Crystal Zenith® products update • Large-volume parenteral delivery: SmartDose™ and CZ • New applications for safety and administration products – Customer new product l
Slide 5: Summary Results
Summary Results $ millions, except per-share data Three Months Ended March 31, 2012 2011 Net Sales $ 316.3 $ 295.4 Gross Profit 101.1 88.0 Reported Operating Profit 41.7 28.8 Adjusted Operating Profit (1) 42.3 30.7 Reported Diluted EPS $ 0.81 $ 0.56 Adjusted Diluted EPS(1) $ 0.83 $ 0.60 (1) These ar
Slide 6: Change in Consolidated Sales
| i _ Wes t @ Delivering Innovative Solutions Changein ConsolidatedSales First-Quarter 2011 to 2012 ($ millions) $7.5 s04 6 Se $316.3 $295.4 2011 Sales Volume & Price Currency 2012 Sales Mix
Slide 7: Change in Consolidated Gross Profit Margin %
| TT We. ste Delivering Innovative Solutions Change in ConsolidatedGross Profit Margin % First-Quarter 2011 to 2012 1.7% (1.2%) (0.8%)
Slide 8: Change in First-Quarter SG&A Costs
West] Delivering Innovative Solutions Change in First-Quarter SG&A Costs 2011 to 2012 ($ millions) $0.2 $0.1 — —__ a Co 5 501 $50.6 207, Us eB Com Our, Al fo Cur, Sto, 207 en, fe) Y th, en, Ch 2 = Satig Services *" ” 1p
Slide 9: Cash Flow Metrics
Cash Flow Metrics ($ millions) Quarter Ended March 31, 2012 2011 Depreciation and amortization $18.6 $19.5 Operating cash flow $13.8 $9.5 Capital expenditures $32.4 $19.4 9
Slide 10: Summary Balance Sheet Information
Summary Balance Sheet Information ($ millions) As of March 31, December 31, 2012 2011 Cash and cash equivalents $100.2 $91.8 Debt $381.4 $349.4 Equity $694.7 $654.9 Net debt to total invested capital† 28.8% 28.2% Working capital $200.4 $228.8 † Net Debt and Total Invested Capital are Non-GAAP measur
Slide 11: 2012 Full-year Financial Guidance
2012 Full-year Financial Guidance Estimated Estimated Gross ($ millions, except EPS) 2012 Revenue(1) Profit %(1) Pharmaceutical Packaging $905 - $925 33.6% Systems Segment Pharmaceutical Delivery $345 - $355 19.9% Systems Segment Consolidated $1,250 - $1,280 29.8% 2012 Adjusted Diluted EPS(1)(2) Est
Slide 12: Selected Factors That Impact Margin % in 2012
Selected Factors That Impact Margin % in 2012(3) Improving sales mix: Profit expectations include the favorable impact of sales of more profitable products, including high-value pharmaceutical packaging components and proprietary pharmaceutical delivery devices and systems, growing faster than lower
Slide 13: Non-GAAP Financial Measures
Non-GAAP Financial Measures(1) Three Months Ended March 31, 2012 and 2011 (in millions, except per share data) As Reported Restructuring Acquisition- Non-GAAP March 31, and related related Discrete March 31, 2012 charges contingencies tax items 2012 Operating profit $41.7 $0.4 $0.2 $- $42.3 Interest
Slide 14: Notes to Non-GAAP Financial Measures
NOTES TO NON-GAAP FINANCIAL MEASURES For additional details, please see today’s press release and Safe Harbor Statement. These slides use non-GAAP financial measures. West believes that these non-GAAP measures of financial results provide useful information to management and investors regarding cert
Slide 15: Notes to Non-GAAP Financial Measures
NOTES TO NON-GAAP FINANCIAL MEASURES For additional details, please see today’s press release and Safe Harbor Statement. 15
Slide 16: Slide 16