West Pharmaceutical Services, Inc. · NYSE:WST
West Pharmaceutical Services — Investor Presentation (May 2019)
16 slides from West Pharmaceutical Services's investor presentation, May 14, 2019
Slide 1: West Pharmaceutical Services, Inc. Spring 2019 Investor Presentation
West Pharmaceutical Services, Inc. Spring 2019 Investor Presentation
Slide 2: Safe Harbor Statement
Safe Harbor 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 inc
Slide 3: A Growing Business Well-positioned for Success
A Growing Business Well-positioned for Success 8% 24% 24% >2,000 Customers 34% Net Sales* Largest Customer: Net Sales* 41% Net Sales* 3% By Product By Market ~7% of Total Sales 44% 48% By Geography Category Group 21% 32% 21% >7,700 Employees Americas High-Value Components Pharma Europe, Middle East,
Slide 4: Sustained, Consistent Growth
Sustained, Consistent Growth 250% Constant Adjusted Diluted EPS NYSE: WST Currency CAGR 12.1%* CAGR 6.7% S&P 500 $2.81 200% Reported $1.72 Billion S&P MidCap CAGR 4.8% 400 Index 150% $1.78 100% 50% $1.42 Billion 0% 2013 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 Net S
Slide 5: First-Quarter Earnings Highlights
First-Quarter Earnings Highlights • Net sales of $443.5 million grew 7%, organic sales growth was 11% • Reported-diluted EPS of $0.73 increased 26% (1) • Adjusted-diluted EPS of $0.74 increased 19% (1) • Repurchased 800,000 shares of common stock for $83.1 million • Company reaffirms full-year 2019
Slide 6: Long-term Growth Strategy
Long-term Growth Strategy Three Core Values 1 3 Market-Led Operational PASSION FOR and Exceptional Effectiveness CUSTOMERS Customer Experience LEADERSHIP IN 2 4 QUALITY Product Shareholder and Service Value Differentiation Creation ONE WEST TEAM 6 |
Slide 7: Proprietary Products Segment
Proprietary Products Segment Customer Needs Total Cost of Ownership PHARMA Life Cycle Management Packaging Solutions for Sensitive Molecules INTEGRATED DRUG BIOLOGICS DELIVERY Self-Injection Technologies Speed to Market GENERICS Efficient Manufacturing 7 |
Slide 8: Proprietary Products High-Value Product Strategy
Proprietary Products High-Value Product Strategy Increasing value to West SELF QUALITY INJECTION BY DESIGN CONTAINMENT CAMERA INSPECTED COATED ADMINISTERED STERILIZED WASHED Increasing levels of customer intimacy STANDARD 8 |
Slide 9: Product Net Sales & Range of Gross Profit Margin
Product Net Sales & Range of Gross Profit Margin HVP% of Proprietary Range of Gross Margins within HVP% Total Proprietary Product Units Sold Product Categories Product Net Sales 2014 31.8% Consolidated 2018 Gross Margin 2014 2018 16% High Value Product (HVP) Components HVP Devices and Admin Systems
Slide 10: Contract Manufacturing Segment
Contract Manufacturing Segment Customer Needs Quality & Design Manufacturing CONTRACT MANUFACTURING Scalability UNIQUE CAPABILITIES DEVICE DRUG PRODUCT TRACK & FINAL ASSEMBLY HANDLING TRACE/SERIALIZATION PACKAGING 10 |
Slide 11: Executing Market-led Strategy
Executing Market-led Strategy Customer Reach Operational Excellence Scientific Innovation • Digital Technology Center • 80 basis points of profit margin • Hosted 150 customers from 45 launched in Bengaluru, India expansion, led by 180 points companies at West HQ with the from Proprietary Products Pa
Slide 12: 2019 Full-Year Guidance
2019 Full-Year Guidance 2019 Full-Year Guidance(1,2) Consolidated Net Sales $1.795 - $1.820 billion Operating Margin Improvement +100 bps Adjusted-Diluted EPS $2.80 - $2.90 Capital Spending $120 - $130 million (1) Please refer to “Notes to Non-U.S. GAAP Financial Measures” on slides 13-16, and “Non-
Slide 13: Notes to Non-U.S. GAAP Financial Measures
Notes to Non-U.S. GAAP Financial Measures For additional details, please see Notes to Non-U.S. GAAP Financial Measures” (Slides 14-16) & “Cautionary Statement” (Slide 2). ▪ For the purpose of aiding the comparison of our year-over-year results, we may refer to net sales and other financial results e
Slide 14: Notes to Non-U.S. GAAP Financial Measures
Notes to Non-U.S. GAAP Financial Measures RECONCILIATION OF NON-U.S. GAAP MEASURES (UNAUDITED) See “Notes to Non-U.S. GAAP Financial Measures” (Slides 13-16), “Cautionary Statement” (Slide 2). Reconciliation of Reported and Adjusted Operating Profit, Net Income and Diluted EPS ($ million, except EPS
Slide 15: Notes to Non-U.S. GAAP Financial Measures
Notes to Non-U.S. GAAP Financial Measures RECONCILIATION OF NON-U.S. GAAP MEASURES (UNAUDITED) See “Notes to Non-U.S. GAAP Financial Measures” (Slides 13-16), “Cautionary Statement” (Slide 2). Reconciliation of Net Sales to Organic Net Sales (1) ($ million) Three months ended March 31, 2019 Propriet
Slide 16: Notes to Non-U.S. GAAP Financial Measures
Notes to Non-U.S. GAAP Financial Measures RECONCILIATION OF NON-U.S. GAAP MEASURES (UNAUDITED) See “Notes to Non-U.S. GAAP Financial Measures” (Slides 13-16), “Cautionary Statement” (Slide 2). Reconciliation of Reported-Diluted EPS Guidance to Adjusted-Diluted EPS Guidance 2018 Actual 2019 Guidance
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