West Pharmaceutical Services, Inc. · NYSE:WST
West Pharmaceutical Services — Q4 2024 Earnings Presentation
24 slides from West Pharmaceutical Services's earnings presentation, Feb 13, 2025
Slide 1: Fourth-Quarter and Full Year 2024 Results
Fourth-Quarter and Full Year 2024 Results Fourth Quarter Overall Net Sales “I am pleased to report we had a strong quarter with Full Year Overall Net Sales $748.8M | 2.3% revenues and profits exceeding our expectations, and a $2.893B | 1.9% return to positive organic growth as the impact of destocki
Slide 2: West Pharmaceutical Services Analyst Conference Call
West Pharmaceutical Services, Inc. Eric M. Green President & CEO, Chair of the Board Bernard J. Birkett Senior VP & Chief Financial Officer Fourth-Quarter and Full Year Results 2024 Analyst Conference Call 9 a.m. Eastern Time | February 13, 2025
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 To participate on the call by asking questions to Management, Conference Call please register in advance at: 9 a.m. Eastern Time https://register.vevent.com/register/BI3c909
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 management to in management’s discussion of the Compan
Slide 5: FY24 Financial Highlights
FY24 Financial Highlights • Capitalized on the significant opportunities within the fast-growing GLP-1 market. • High participation rate on newly approved molecules, particularly in Biologics. • Engaging with customers to help them address the changing regulatory landscape with Annex 1. • Close to t
Slide 6: Q424 Financial Highlights
Q424 Financial Highlights • Q4 2024 came in above our expectations. • Revenues increased 3.3% on an organic basis. Q4 marked a return to revenue growth. • Proprietary Products organic revenues increased 4.5%. Continued improving trend, as Proprietary Products organic revenues declined in each of the
Slide 7: Proprietary Products Business: HVP Components
Proprietary Products Business HVP Components • Most important contributor to West long-term growth. • Current expectation is that HVP components will grow Mid-to-High-Single Digit in 2025. Anticipate continued mix shift to HVP in FY25 and beyond. • Biologics Market expected to grow at High-Single Di
Slide 8: Proprietary Products Business: HVP Delivery Devices and Standard Components
Proprietary Products Business HVP Delivery Devices and Standard Components SmartDose® On-Body Delivery System • Patient-centric approach to self-administration. • Expected to be margin dilutive in 2025, due to changes in pricing / incentive. Standard Products • The bulk products produced across our
Slide 9: Contract Manufacturing
Contract Manufacturing • Investments to build out our GLP-1 device business. • Now accounts for approximately 40% of total Contract Manufacturing revenue. • Anticipate GLP-1 growth to continue due to Dublin and Grand Rapids investments • Continuous Glucose Monitoring customers developed next generat
Slide 10: Fourth-Quarter 2024 Summary Results
Fourth-Quarter 2024 Summary Results ($ millions, except earnings-per-share (EPS) data) Three Months Ended December 31, 2024 2023 Reported Net Sales $748.8 $732.0 Gross Profit Margin 36.5% 38.0% Reported Operating Profit $159.6 $160.9 Adjusted Operating Profit (1) $162.8 $159.9 Reported Operating Pro
Slide 11: Fourth-Quarter 2024 Organic Net Sales
Fourth-Quarter 2024 Organic Net Sales Overall Organic Net Sales Growth: 3.3% (Q4 2024) Proprietary Products Q4 2024 organic net sales increased by 4.5% driven by sales of High-value products and customer demand for self-injection device platforms. BIOLOGICS GENERICS PHARMA CONTRACT MANUFACTURING Hig
Slide 12: Change in Consolidated Net Sales Fourth-quarter 2023 to 2024
Change in Consolidated Net Sales Fourth-quarter 2023 to 2024 ($ millions) WST Q4/FY 2024 Earnings 12
Slide 13: Gross Profit Update
Gross Profit Update ($ millions) Three Months Ended December 31, 2024 2023 Proprietary Products Gross Profit $250.7 $253.4 Proprietary Products Gross Profit Margin 40.8% 42.7% Contract-Manufactured Products Gross Profit $22.9 $24.7 Contract-Manufactured Products Gross Profit Margin 17.0% 17.9% Conso
Slide 14: Cash Flow and Balance Sheet Metrics
Cash Flow and Balance Sheet Metrics ($ millions) Cash Flow Items Financial Condition YTD YTD December 31, December 31, Q4 2024 Q4 2023 2024 2023 Depreciation and Amortization $155.4 $137.3 Cash and Cash Equivalents $484.6 $853.9 Operating Cash Flow $653.4 $776.5 Debt $202.6 $206.8 Capital Expenditur
Slide 15: 2025 Full-Year Guidance
2025 Full-Year Guidance 2025 Full-Year Guidance Consolidated Net Sales $2.875 - $2.905 billion Adjusted-Diluted EPS $6.00 to $6.20 WST Q4/FY 2024 Earnings 15
Slide 16: FY24 to FY25 EPS Guidance Progression
FY24 to FY25 EPS Guidance Progression $8.00 $0.77 $7.50 $7.00 $6.75 $(0.77) $6.50 $6.00 – $6.20 $(0.43) $6.00 $(0.22) $5.50 $5.00 2024 Proprietary Incentive Delivery Device R&D / SG&A 2025 Adj. EPS Products ex. Comp., Tax on Incentive and Investments Guidance Delivery Device SBC & Currency CM Range
Slide 17: Delivering a Successful 2025
Delivering a Successful 2025 • Pleased with the strong finish to the year. • Confident we can execute on our key objectives in 2025. • Our performance in HVP components is particularly encouraging, seeing a return to growth driven by Biologics, GLP-1s and Annex 1 adoption. • We believe we will exit
Slide 18: Q&A
Eric M. Green Bernard J. Birkett John Sweeney President & Senior VP & Chief Financial VP, Investor Relations Chief Executive Officer, Officer Chair of the Board Q&A WST Q4/FY 2024 Earnings 18
Slide 19: 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 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 Reported and A
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 and A
Slide 22: 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 23: 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 24: 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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