West Pharmaceutical Services, Inc. · NYSE:WST
West Pharmaceutical Services — Investor Day (March 2016)
105 slides from West Pharmaceutical Services's investor day presentation, Mar 10, 2016
Slide 1: Building for the Future: West Investor Day
Building for the Future West Investor Day March 10, 2016
Slide 2: Cautionary Statement
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: By your side… Our mission
By your side… Pharmaceutical, biotechnology, generic and medical device companies trust West and our ability to deliver consistent high quality and technologically advanced containment and delivery solutions. We share their commitment to improving health for patients worldwide. Our mission 3 Become
Slide 4: An integral part of the healthcare industry
An integral part of the healthcare industry Top 35 Injectable biologics rely on West and Daikyo components ~ 40 Billion Components manufactured annually Top 75 Supplier to the top 75 pharmaceutical & biotech injectable companies 4
Slide 5: Components manufactured
Components manufactured 5 Every Dose | Every Time | 100% Commitment 40 Billion ANNUALLY 110 Million PER DAY 5 Million PER HOUR 76,000 PER MINUTE
Slide 6: West business at a glance
2015 Sales $1.4 billion 2015 Sales $1.4 billion 2015 Net Sales by Geography West business – at a glance 7% 39% 33% 21% Americas Europe, Middle East, Africa Asia Pacific 2015 Net Sales by Category 2016E Sales(*) by Market Group 53% 40% 7% High-Value Components Standard Packaging Delivery Devices Cont
Slide 7: West's role in delivering medicines to patients
Proprietary Products Stoppers Seals Caps Syringe Components Daikyo CZ Vials & Syringes Reconstitution Systems Self-Injection Devices West’s role in delivering medicines to patients Contract Manufacturing Engineering Injection Molding Project Management Tooling $0.3B $1.1B ~8,000 product SKU’s 7
Slide 8: Sustained, consistent growth
% % % % % % % % % 2011 2012 2013 2014 2015 Net Sales Sustained, consistent growth 8 2011 2012 2013 2014 2015 Adjusted Diluted EPS* (reported, $ millions) CAGR 4.8% $1,192.3 $1,399.8 CAGR 11.8% $1.17 $1.83 (Non-GAAP) Constant Currency CAGR 6.7% Comparison of Cumulative Five-Year Total Return 0 50 100
Slide 9: Cash-flow and allocation
9 Strong Operating Cash Flow Capital Allocation Priorities: Investing in our business Dividends Inorganic growth Debt repayment Stock repurchase Cash-flow and allocation Artist rendering: new plant in Waterford, Ireland
Slide 10: Long-term strategy
Long-term strategy 10 Market Led and Customer Experience Operational Excellence Product and Service Differentiation Drive Shareholder Value Become the world leader in integrated containment and delivery of injectable medicines
Slide 11: 5-Year outlook
5-Year outlook 11 2020 Sales: $2.2 to $2.4 billion 2020 Operating Income Margin: 19% to 23% Market-led strategy Strong base of organic sales growth Margin expansion from mix of high-value products COMMERCIAL Globalize operations vs. regional structure Expand capacity Optimize network, le
Slide 12: Leadership Team
Leadership Team Eric Green President & CEO Karen Flynn SVP & Chief Commercial Officer John Paproski Chief Technology Officer (Retiring) Don McMillan VP, Global Operations Eric Resnick Chief Technology Officer (Incoming) William Federici SVP & CFO Quintin Lai VP, Corp Dev, Strategy & IR Annette Favor
Slide 13: Today's agenda
Today’s agenda 8:45 Karen Flynn Commercial Review Chris Ryan Generics Heino Lennartz Pharma Graham Reynolds Biologics Mike Treadaway Contract Manufacturing Mike Schaefers Product Management 10:00 Break 10:15 John Paproski Innovation & Technology Review Scott Young Containment Eric Resnick Delivery 1
Slide 14: Commercial Overview
Commercial Overview Karen Flynn Senior Vice President & Chief Commercial Officer
Slide 15: Injectable market
15 Injectable market 30 Billion Units $284 Billion of Annual Drug Sales $7- 8 Billion Containment & Delivery Product Sales Source: IMS and Company estimates
Slide 16: Injectable medicines on the rise
Novel Injectable Approvals 2013 2014 2015 Biologics (BLAs) 2 10 13 Small Molecules (NMEs) 5 9 6 TOTAL 7 19 19 Injectable medicines — on the rise The number of approvals with devices continues to increase 16 Known West Participation 7 100% 15 79% 16 84%
Slide 17: The customers we serve
The customers we serve 17 2016 Expected Organic Sales Growth 6-8% 20% 20% 30% 30% Biologics Contract Manufacturing Pharma Generics Source: Company expectations and approximate percentages More than 2,000 customers Global customer base About 2,400 injectable products are in the development pipeline T
Slide 18: Injectable market drivers
18 Injectable market drivers HIGHER REGULATORY SCRUTINY INCREASING QUALITY EXPECTATIONS GLOBALIZATION RISK MITIGATION OF SUPPLY CHAIN TIME TO MARKET COST PRESSURES COMPLEX DRUG REQUIREMENTS DEMAND UNIQUE PACKAGING PATIENT-FOCUSED CARE REQUIRES SELF-INJECTION TECHNOLOGIES
Slide 19: Our approach
Our approach 19 Pharma Biologics Generics
Slide 20: West solutions: Integrated containment & delivery
West solutions: Integrated containment & delivery 20 Increasing levels of customer intimacy Increasing value to West STERILIZED WASHED COATED ADMINISTERED CAMERA INSPECTED QUALITY BY DESIGN CONTAINMENT SELF INJECTION CONTRACT MANUFACTURING INJECTION MOLDING CONTRACT MANUFACTURING MULTI-COMPONENT ASS
Slide 21: Addressing unique needs
Addressing unique needs 21 Quality – A High Bar Set By Our Customers GENERICS Speed to market Efficient manufacturing BIOLOGICS Packaging solutions for sensitive molecules Self-injection technologies PHARMA Total cost of ownership Life cycle management Quality manufacturing Design for manufacturing
Slide 22: Commercial Overview
Commercial Overview Chris Ryan, VP & GM Global Generics Heino Lennartz, VP & GM Global Pharma Graham Reynolds, VP & GM Global Biologics Mike Treadaway, VP & GM Contract Manufacturing Mike Schaefers, VP Product Management 22
Slide 23: Generics Overview
Generics Overview Chris Ryan Vice President & General Manager, Global Generics
Slide 24: Growing generics market
2012 2013 2014 2015 Growing generics market 24 2012 2013 2014 2015 Generics Injectable Market S a le s V o lu m e CAGR 2.7% CAGR 6.3% Represents ~30% of forward sales Strong US and EU presence Forward growth trajectory mid-to-high single digits Small but growing presence in China and India IMS Data
Slide 25: Customers' need for speed
Customers’ need for speed 25 GENERICS Speed to market Efficient manufacturing Customers are looking for a global network to provide shorter lead times and faster time to market with: Higher performance products that meet increasing regulatory concerns Reduced global supply chain risk
Slide 26: West solutions: Global reach
West solutions: Global reach Global Network Dependable supply chain Rapid response 26
Slide 27: West solutions: Integrated containment & delivery
West solutions: Integrated containment & delivery 27 Increasing levels of customer intimacy Increasing value to West STERILIZED WASHED COATED ADMINISTERED CAMERA INSPECTED QUALITY BY DESIGN CONTAINMENT SELF INJECTION CONTRACT MANUFACTURING INJECTION MOLDING CONTRACT MANUFACTURING MULTI-COMPONENT ASS
Slide 28: Case study: Supply chain challenges
SOLUTION ISSUE Case study: Supply chain challenges Major Generics Company facing rising expectations from the regulatory authorities & challenging market dynamics Operational Yields Demand Management 28 MARKET
Slide 29: Generics: Pathway to continued success
Pathway to continued success 29 Partner to grow high-value product solutions Expand and accelerate premium emerging market opportunities Leverage the West global network Introduce more products and services Generics
Slide 30: Pharma Overview
Pharma Overview Heino Lennartz Vice President & General Manager, Global Pharma
Slide 31: Pharma market
2012 2013 2014 2015 Pharma market 31 2012 2013 2014 2015 Pharma Injectable Market S a le s V o lu m e CAGR -2% CAGR 2% IMS Data Represents ~30% of forward sales By 2020 20% of market revenue will come from E-7 countries Forward growth trajectory low-to-mid single digits Sales growing faster than the
Slide 32: Customers seek strategic partners and efficiency
Customers seek strategic partners and efficiency 32 Aligning products with customer and patient expectations Total cost of ownership including quality, reliability and outsourcing Value of strategic partnerships to ensure more efficient introduction of products to market Partnership for life
Slide 33: West solutions: High-value products (HVPs)
West solutions: High-value products (HVPs) 33 ABILITY TO OUTSOURCE, AVOID CAP EX & COMPLY WITH REG STANDARDS ADDRESS TIME-TO-MARKET REQUIREMENTS REDUCE PARTICULATE & DELAMINATION
Slide 34: West solutions: Integrated containment & delivery
West solutions: Integrated containment & delivery 34 Increasing levels of customer intimacy Increasing value to West STERILIZED WASHED COATED ADMINISTERED CAMERA INSPECTED QUALITY BY DESIGN CONTAINMENT SELF INJECTION CONTRACT MANUFACTURING INJECTION MOLDING CONTRACT MANUFACTURING MULTI-COMPONENT ASS
Slide 35: Case study: Life cycle management
SOLUTION ISSUE Case study: Life cycle management Major Pharma Company’s mature Schizophrenia therapy Reconstitution issues in delivering the drug to patient 35 MARKET
Slide 36: Pharma: Pathway to continued success
Pathway to continued success 36 Pharma Strong customer partnerships Patient-focused developments Global footprint Help our customers to differentiate from their competition Future growth through value- driven development
Slide 37: Biologics Overview
Biologics Overview Graham Reynolds Vice President & General Manager, Global Biologics
Slide 38: Growing biologics market
Growing biologics market 38 2012 2013 2014 2015 Biologics Injectable Market 2012 2013 2014 2015 S a le s V o lu m e CAGR 8.3% CAGR 3.5% IMS Data Represents ~20% of forward sales MARKET TREND 5 out of top 10 drugs are biologics 98% injectable MARKET TREND >7000 drugs in pipeline >1600 companies Forwa
Slide 39: Customers want unique drug delivery options
Customers want unique drug delivery options 39 Focus on patient outcomes Higher concentration and larger dose volume Increased sophistication and sensitivity Trend toward smaller batches and precision medicine Increased self-administration BIOLOGICS Unique packaging solutions Self-injectio
Slide 40: West solutions: Integrated systems
40 West solutions: Integrated systems Biologic Drugs – Chronic Care Nurse/Hospital Point-of-Care Transition Patient/Home Vial + Recon System Prefilled Syringe Wearable Injector Infusion Auto-Injector
Slide 41: West solutions: Integrated containment & delivery
West solutions: Integrated containment & delivery 41 Increasing levels of customer intimacy Increasing value to West STERILIZED WASHED COATED ADMINISTERED CAMERA INSPECTED QUALITY BY DESIGN CONTAINMENT SELF INJECTION CONTRACT MANUFACTURING INJECTION MOLDING CONTRACT MANUFACTURING MULTI-COMPONENT ASS
Slide 42: Case study: Container challenge
SOLUTION ISSUE Case study: Container challenge New class of drug Early stage Biotech Co Interaction with glass Low-temp storage MARKET 42
Slide 43: Case study: High-volume self-injection
SOLUTION ISSUE Case study: High-volume self-injection 43 MARKET Exciting new class biologic medicines PCSK9 Monthly dosing high volume for competitive differentiation
Slide 44: Biologics: Pathway to continued success
Pathway to continued success 44 Biologics Market-leading West solutions Full-service “concept to patient” Participation on pipelines Integrated systems: container + device New therapies and competitive differentiation Future growth
Slide 45: Contract Manufacturing Overview
Contract Manufacturing Overview Mike Treadaway Vice President & General Manager, Contract Manufacturing
Slide 46: Contract Manufacturing
Contract Manufacturing 46 0% 25% 50% 75% 100% 2015 2020 273 281 296 302 2012 2013 2014 2015 drug delivery diagnostics medical consumer 3% CAGR 4% Constant Currency CAGR West CM Sales: $ millions DRUG DELIVERY Significant growth in self injection and pulmonary DIAGNOSTICS Significant growth in molecu
Slide 47: Customers need manufacturing expertise that reduces risk
Customers need manufacturing expertise that reduces risk Regulatory compliance pressures Manufacturing excellence Capabilities Depth of experience Quality manufacturing Design for manufacturing CONTRACT MANUFACTURING 47
Slide 48: West solutions: Precision injection molding
Focus on Medical/Pharma Market ‒ World’s largest manufacturer of auto-injectors & continuous glucose monitors Compliant & tested quality systems Quality culture Advanced manufacturing systems Full-service provider West Solutions: Precision injection molding 48
Slide 49: Case study: Full service contract manufacturing provider
Case study: Full service contract manufacturing provider Major Medical Device Company in need of full service provider 49 Ability to ramp up production with increased patient demand Expanded manufacturing capacity and a global network with West service by Evan MacDonald from the Noun Project SOLUTIO
Slide 50: Contract Manufacturing: Pathway to continued success
50 Continue to drive manufacturing excellence Full service provider Value added services Leverage West global network Contract Manufacturing Pathway to continued success
Slide 51: Portfolio Overview
Portfolio Overview Mike Schaefers Vice President, Product Management
Slide 52: West tailored products and services
STANDARD PACKAGING COMPONENTS HIGH-VALUE COMPONENTS DAIKYO PORTFOLIO CONTRACT MANUFACTURING DELIVERY DEVICES SERVICES & PARTNERSHIPS Integrated Containment & Delivery West tailored products and services 52
Slide 53: Standard packaging components
Standard packaging components 53 Basic packaging solutions for customers Disposable components Standard stoppers, seals, plungers and other components for injectable medicines
Slide 54: High-value components
High-value components 54 Proven barrier coating for demanding drug products Sterile and ready-to-sterilize closures & systems Unrivaled quality through automated 100% camera inspection & quality by design
Slide 55: West & Daikyo partnership
West & Daikyo partnership 55 Partner of West since 1973 Enabling global reach Proven barrier lamination for demanding drug products Sterile & ready-to- sterilize components Advanced automated 100% camera inspected components Advanced polymer based containment and delivery system
Slide 56: Delivery devices
Delivery devices 56 Differentiated delivery solutions to revolutionize patient experience Integrated containment and delivery expertise Enhanced drug reconstitution and transfer solutions Disposable, patient controlled and wearable self-injection systems
Slide 57: Analytical laboratory services
Analytical laboratory services 57 Solutions from early development through market support Early compatibility studies Late-stage development support • Extractables and leachables • Design verification studies • Container closure integrity • Particle testing Industry standard testing Testing for cont
Slide 58: West solutions: Integrated containment & delivery
West solutions: Integrated containment & delivery 58 Increasing levels of customer intimacy Increasing value to West STERILIZED WASHED COATED ADMINISTERED CAMERA INSPECTED QUALITY BY DESIGN CONTAINMENT SELF INJECTION CONTRACT MANUFACTURING INJECTION MOLDING CONTRACT MANUFACTURING MULTI-COMPONENT ASS
Slide 59: Break
Break 59
Slide 60: Long-term strategy
Long-term strategy Market Led and Customer Experience Operational Excellence Product and Service Differentiation Drive Shareholder Value Become the world leader in integrated containment and delivery of injectable medicines 60
Slide 61: Innovation & Technology Review
Innovation & Technology Review John Paproski Senior Vice President & Chief Technology Officer
Slide 62: West's unique position along customers' development process
West’s unique position along customers’ development process 62 2 years 4-6 years NDA/ EMEA 4-6 years IND Reg. Approvals West participation: Concept to Patient Pre-clinical to Phase 1 Phase 2 to commercial launch Manufacturing Life cycle management Discovery
Slide 63: Current Developments
Current Developments 63 Container Systems NovaPure 1-3 mL Verux launch Flip-Off Seal RS/RU Crystal Zenith platform launches Delivery Systems SmartDose development Innovation Center in Israel Patient centric approach
Slide 64: Deep technical expertise
Deep technical expertise 64 ~2,500 Employees have worked 10+ years >65 Projects in development >850 Issued patents and pending patent applications 12 Number of R&D Innovation Sites
Slide 65: Innovation & Technology strategy
Innovation & Technology strategy 65 Better collaboration Market led Integrated approach Increased investments Ease- of-use Safety, efficacy & dosage Function Stability & quality INTEGRATED DRUG DELIVERY
Slide 66: Innovation & Technology Overview
Innovation & Technology Overview 66 Scott Young VP Container Systems Eric Resnick VP & Chief Technology Officer Innovation & Technology
Slide 67: Containment Solutions
Containment Solutions Scott Young Vice President, Primary Container Technology
Slide 68: Why containment matters
Why containment matters 68 Risk mitigation Patient safety Cost avoidance Ease-of-use for patients Ease- of-use Safety, efficacy & dosage Function Stability & quality INTEGRATED DRUG DELIVERY
Slide 69: Customers care about cleanliness & performance
69 Preservation of drug or biologic Chemical incompatibility Leachables formation Variability in quality Particle levels Visual defects Reliability with device delivery Dimensional control Functionality Injection time Customers care about cleanliness & performance
Slide 70: Matching innovative containment and delivery
Matching innovative containment and delivery 70 SENSITIVE PROTEIN DRUGS RELIABLE AUTOINJECTOR DELIVERY RISK MANAGEMENT GLOBAL LEADER IN QUALITY LIFE CYCLE MANAGEMENT
Slide 71: West Solutions: NovaPure packaging
West Solutions: NovaPure packaging 71 FluroTec film Extractables check Particle control 100% vision verified Steam sterilized CpK and ppm release Design History File Knowledge management Quality by Design
Slide 72: Customers are concerned with glass containers
Customers are concerned with glass containers 72 Interaction with sensitive biologics Breakage Dimensional variation Variable silicone distribution Quality
Slide 73: West solutions: CZ containment
West solutions: CZ containment Multiple options for application 73 Discovery Preclinical Clinical Phases Scale Up Life cycle Management Self Injection CZ Vials 0.5mL – 250mL CZ Syringes 0.5mL – 100mL CZ Screw-Cap 8mL – 1L
Slide 74: West solutions: Integrated containment system
Silicone oil-free Flurotec lamination Significantly more break resistant than glass Tight dimensional control Consistent gliding forces High flexibility for alternate shapes Novel designs available to reduce device size 100% Vision Inspection Highly automated ISO7 cleanroom manufac
Slide 75: Case study: Glass delamination challenge
SOLUTION ISSUE Case study: Glass delamination challenge Major Pharma Company dealing with mature product, facing regulatory hurdles because of glass delamination 75 MARKET Formation of visible glass flakes from unstable layer of inner surface of vial; detected in actual drug product
Slide 76: Case study: Protein compatibility challenge
SOLUTION ISSUE Case study: Protein compatibility challenge Exciting monoclonal antibody therapy from a Biopharma company Interaction with glass, need for 1.2mL fill volume, and enhanced cleanliness required 76 MARKET
Slide 77: Innovation & Integrated Solutions
Innovation & Integrated Solutions Eric Resnick Vice President & Chief Technology Officer
Slide 78: Customers want advanced seal for packaging
Customers want advanced seal for packaging 78 Potential quality issues between lyophilization and capping Regulators seeking reduced particulate Filling and capping consumes significant space
Slide 79: West solutions: Plastic seals
Single process step as the plastic seal is placed with the stopper Plastic seal cap will have lower particulate count than metal seal Combined filling and capping West solutions: Plastic seals 79
Slide 80: Why delivery matters
80 Why delivery matters Differentiation Patient-focused Compliance & adherence Safety & outcomes Self-administration Ease- of-use Safety, efficacy & dosage Function Stability & quality INTEGRATED DRUG DELIVERY
Slide 81: Novel delivery devices on the rise
81 Novel delivery devices on the rise Novel Injectable Approvals 2013 2014 2015 TOTAL APPROVALS 17 19 19 Prefilled Syringe 2 2 5 Pen Injector 0 3 4 Autoinjector 0 0 1 Wearable 0 0 1 TOTAL 2 5 11 Source: IMS
Slide 82: West can support customer demand
West can support customer demand 82 Adding capacity in multiple locations to support expected demand Established supply chain Product & customer support network Capacity
Slide 83: West solutions: Training & adherence
West solutions: Training & adherence 83 Patient onboarding and training Usability and affinity Connectivity & rewards Patient Adherence
Slide 84: West solutions: Next generation delivery
West solutions: Next generation delivery 84 Customization Dosages ranging from 1 mL – 10 mL Preloaded & pre-sterilized Patient-centric approach Customer process simplification
Slide 85: Long-term strategy
Long-term strategy Market Led and Customer Experience Operational Excellence Product and Service Differentiation Drive Shareholder Value Become the world leader in integrated containment and delivery of injectable medicines 85
Slide 86: Global Operations Overview
Global Operations Overview Don McMillan Vice President, Global Operations
Slide 87: A global approach
A global approach 87
Slide 88: Transforming Operations
Transforming Operations Regional manufacturing Site-level customer interface Regional capacity planning Lean practices deployed locally Many hybrid facilities Global Organization: Process Engineering Supply Chain Procurement Advanced Manufacturing Best practice solutions and lean im
Slide 89: Capacity expansion and segmenting our facilities
Capacity expansion and segmenting our facilities Aligning our existing network Scottsdale, AZ new product introduction center Expanding HVP capacity in Kinston, NC HVP center of excellence in Singapore Establishing a next generation quality site in Waterford, Ireland 89 NEXT GENERATION QUA
Slide 90: New Waterford Plant
New Waterford Plant 90 Centralized utilities, warehouse & employee services Insulin component production HVP finishing center
Slide 91: A commitment to quality & safety
A commitment to quality & safety Company-wide quality culture initiative launched More than 130 programs identified to reduce particulate load More than 20% reduction in particulate on Westar RS Safety incorporated into everything we do 91
Slide 92: Financial Overview
Financial Overview Bill Federici Senior Vice President & CFO
Slide 93: Long-term strategy
Long-term strategy 93 Market Led and Customer Experience Operational Excellence Product and Service Differentiation Drive Shareholder Value Become the world leader in integrated containment and delivery of injectable medicines
Slide 94: Sustained, consistent growth
% % % % % % % % % 2011 2012 2013 2014 2015 Net Sales Sustained, consistent growth 94 2011 2012 2013 2014 2015 Adjusted Diluted EPS* (reported, $ millions) CAGR 4.8% $1,192.3 $1,399.8 CAGR 11.8% $1.17 $1.83 (Non-GAAP) Constant Currency CAGR 6.7% Comparison of Cumulative Five-Year Total Return 0 50 10
Slide 95: Product net sales & margin growth 2011-2015
Circles reflect relative size of 2015 net sales Standard Packaging High-Value Components 0% 5% 10% 15% 20% 0% 30% 60% 2015 Category Gross Margin % Proprietary Devices Contract Manufacturing 2015 GM 32.6% 5-Yr Sales CAGR 6.7% Product net sales & margin growth 2011-2015 compound annual net sales growt
Slide 96: 5-Year outlook
5-Year outlook 96 2020 Sales: $2.2 to $2.4 billion 2020 Operating Income Margin: 19% to 23% Market-led strategy Strong base of organic sales growth Margin expansion from mix of high-value products COMMERCIAL Globalize operations vs. regional structure Expand capacity Optimize network, le
Slide 97: Five-year capital spending
Normal and Necessary Maintenance 37% Growth & Expansion 54% IT 9% Proprietary Products 72% Contract Mfg 13% Corporate 15% 2011-2015 Five-year capital spending ($622M 5-year cumulative spend) 97 BUSINESS SEGMENTS MAJOR CATEGORIES Expecting annual capital spending of $150 million to $175 million throu
Slide 98: 2015 sales by segment
2015 sales by segment ($ millions) HVPs $464 Standard $536 PPS $1,000 Devices $98 Contract Mfg. $302 PDS $400 HVPs $464 Standard $536 Devices $98 Proprietary Products $1,098 Contract Mfg. $302 Contract Manufactured Products $302 PREVIOUS SEGMENTS NEW SEGMENTS 98 Note: Sum of segment results do not e
Slide 99: Restated 2015 sales by quarter
Restated 2015 sales by quarter ($ millions) 99 2015 Previous Segment Structure: Q1 Q2 Q3 Q4 Full Year PPS $242.5 $259.6 $247.2 $251.4 $1,000.7 Growth -4.1% -3.2% -1.8% 1.7% -1.9% Growth @ Constant Rates 7.0% 8.5% 8.5% 9.8% 8.5% PDS $93.5 $100.6 $97.6 $108.5 $400.2 Growth -0.5% -0.4% -6.5% 5.3% -0.5%
Slide 100: 2016 Full-year financial guidance
2016 Full-year financial guidance ($ millions, except EPS - Non-GAAP) (1) (2) 100 Estimated 2016 Revenue Estimated Gross Profit % Proprietary Products $1,175 - $1,190 37.7% to 38.2% Contract-Manufactured Products $310 - $320 17.4% to 18.4% Consolidated $1,485 - $1,510 33.3% to 34.0 % Est. Capital Sp
Slide 101: Close
Close Eric M. Green President & Chief Executive Officer
Slide 102: Building for the Future
Building for the Future Market-led strategy addressing the specific needs of pharmaceutical, biotechnology, generic and medical device customers Strong competitive position with high barriers to entry Quality culture Designed into regulated products Scientific and technical expertise Global Op
Slide 103: Questions
103 Questions
Slide 104: Appendix
Appendix ,
Slide 105: Reconciliation of non-GAAP measures
Reconciliation of non-GAAP measures 105 2015 2014 2013 2012 2011 Diluted EPS Reported (GAAP) $1.30 $1.75 $1.57 $1.15 $1.08 Pension settlement charge 0.43 - - - - Executive retirement and related costs 0.09 - - - - License costs - 0.01 - - - Discrete tax items 0.01 0.02 0.06 0.03 0.02 Restructuring,
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