West Pharmaceutical Services, Inc. · NYSE:WST

West Pharmaceutical Services — Q1 2015 Earnings Presentation

14 slides from West Pharmaceutical Services's earnings presentation, Apr 30, 2015

  1. Slide 1: First-Quarter 2015 Analyst Conference Call

    1 Speakers: Donald E. Morel, Jr. Chairman Eric M. Green Chief Executive Officer William J. Federici Senior Vice President and Chief Financial Officer All trademarks and registered trademarks are the property of West Pharmaceutical Services, Inc., unless noted otherwise. West Pharmaceutical Services,

  2. Slide 2: Cautionary Statement

    2 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 li

  3. Slide 3: First-Quarter 2015 Summary Results

    3 First-Quarter 2015 Summary Results $ millions, except earnings per-share (EPS) data ($ millions, except per-share data) Three Months Ended March 31, 2015 2014 Reported Net Sales $ 335.9 $ 346.8 Net Sales at Constant Currency(1) $ 369.4 $ 346.8 Gross Profit Margin 32.7% 30.7% Operating Profit $ 47.

  4. Slide 4: First-Quarter Operating Results

    4 First-Quarter Operating Results Sales comparisons to 2014 are at constant currency • Growth in high-value components and proprietary devices • Pharmaceutical Packaging Systems sales grew 7.7%  High-value product sales grew 19.4%  FluroTec®, Westar® and Daikyo RSV® products • Pharmaceutical Deliv

  5. Slide 5: Expansion and Product Development

    5 Expansion and Product Development  High-Value Products: • Validation of Kinston NC capacity high-value products capacity expected Q3 • Variety of NovaPure® product offerings to grow  Capacity expansion: • Waterford, Ireland – plans approved by local authorities, land preparation complete • Dubli

  6. Slide 6: 2015 and Long-Term Outlook

    6 2015 and Long-Term Outlook 2015 Guidance(2)  PPS backlog has grown  Anticipate organic growth of 6% to 8% in net sales at constant currency  Currency expected to adversely impact growth by 7% - 9%  PPS: HVP expected to grow in 8% to 12% at constant currency  PDS: Proprietary products expected

  7. Slide 7: Change in Consolidated Sales First-Quarter 2014 to 2015

    7 Change in Consolidated Sales First-Quarter 2014 to 2015 ($ millions) $335.9 $33.5 $2.2 $21.5 $3.3 $346.8 2014 Volume & Mix Sales Price Currency Disposition 2015

  8. Slide 8: Change in Consolidated Gross Profit Margin %

    8 Change in Consolidated Gross Profit Margin % First-Quarter 2014 to 2015 32.7% 1.0% 0.3% 2.6% 0.7% 30.7% 2015 2014

  9. Slide 9: Change in SG&A Costs First-Quarter 2014 to 2015

    9 Change in SG&A Costs First-Quarter 2014 to 2015 ($ millions) $55.2 $2.9 $0.5 $0.5 $2.2 $0.4 $0.1 $56.4

  10. Slide 10: Cash Flow Metrics

    10 Cash Flow Metrics ($ millions) Three Months Ended March 31, 2015 2014 Depreciation and amortization $22.0 $21.8 Operating cash flow ($1.9) $8.8 Capital expenditures $30.4 $31.7

  11. Slide 11: Summary Balance Sheet Information

    11 Summary Balance Sheet Information ($ millions) † Net Debt and Total Invested Capital are Non-GAAP measures. Net debt is determined by reducing total debt by the amount of cash and cash equivalents, and for purpose of measuring net debt to invested capital, total invested capital is the sum of net

  12. Slide 12: 2015 Full-year Financial Guidance

    12 2015 Full-year Financial Guidance ($ millions, except EPS) Estimated 2015 Revenue(3) Estimated Gross Profit %(1) Pharmaceutical Packaging Systems Segment $990 - $1,010 37.1% to 37.6% Pharmaceutical Delivery Systems Segment $405 - $415 19.5% to 20.0% Consolidated $1,395 - $1,425 32.0% - 32.5 % Cap

  13. Slide 13: Notes to Non-GAAP Financial Measures

    13 Notes to Non-GAAP Financial Measures For additional details, please see today’s press release and Safe Harbor Statement. Today’s press release, these presentation materials and associated presentation use the following financial measures that have not been calculated in accordance with generally

  14. Slide 14: Reconciliation of Non-GAAP Measures

    14 Notes to Non-GAAP Financial Measures(1) RECONCILIATION OF NON-GAAP MEASURES (UNAUDITED) (3) See “Notes to Non-GAAP Financial Measures” (Slide 13), “Cautionary Statement” (Slide 2) and today’s press release for an explanation and reconciliation of these items. Three-months ended March 31, 2015 PPS

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