West Pharmaceutical Services, Inc. · NYSE:WST
West Pharmaceutical Services — Q3 2023 Earnings Presentation
20 slides from West Pharmaceutical Services's earnings presentation, Oct 26, 2023
Slide 1: Third-Quarter 2023
Third-Quarter 2023 Third Quarter Overall Net Sales $747.4M | 8.8% “We had a solid quarter of organic net sales growth, driven by our Proprietary Products’ high-value product (HVP) and strong Contract Diluted Earnings Per Share: $2.14 Manufacturing components. We are observing a slowdown in Adjusted
Slide 2: West Pharmaceutical Services, Inc. Third-Quarter 2023 Analyst Conference Call
West Pharmaceutical Services, Inc. Eric M. Green President & CEO, Chair of the Board Bernard J. Birkett Senior VP & Chief Financial and Operations Officer Third-Quarter 2023 Analyst Conference Call 9 a.m. Eastern Time | October 26, 2023
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/BI035b5
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 to in management’s discussion of the Company’s managem
Slide 5: Financial Highlights
Financial Highlights • Third quarter 2023 net sales of $747.4 million grew 8.8%; organic net sales increased 5.7% • Third quarter 2023 reported-diluted EPS of $2.14 compared to $1.59 in the same period last year; adjusted-diluted EPS of $2.16 compared to $2.03 in the same period last year WST Q3 202
Slide 6: Execute. Innovate. Grow.
Execute. Innovate. Grow. A commitment and focus to deliver superior value to our customers and patients HVP Co m p o n e n t s & Gl o b a l Ca p a c i t y S h owc a s i n g o u r D e l ive r y Sys t e m s Expansion Scientif ic Leadership & Te ch n i c a l E x p e r t i s e 6 WST Q3 2023 Earnings
Slide 7: Third-Quarter 2023 Summary Results
Third-Quarter 2023 Summary Results ($ millions, except earnings-per-share (EPS) data) Three Months Ended September 30 2023 2022 Reported Net Sales $747.4 $686.9 Gross Profit Margin 38.6% 39.0% Reported Operating Profit $177.3 $186.2 Adjusted Operating Profit (1) $180.8 $186.4 Reported Operating Prof
Slide 8: Third-Quarter 2023 Organic Net Sales Growth
Third-Quarter 2023 Organic Net Sales Growth Overall Organic Net Sales Increase: 5.7% (Q3 2023) Proprietary Products Q3 2023 organic net sales increased 3.2% driven by growth in all three market units BIOLOGICS GENERICS PHARMA CONTRACT MANUFACTURING Low-Single Digit High-Single Digit Low-Single Digit
Slide 9: Change in Consolidated Net Sales Third-Quarter 2022 to 2023
Change in Consolidated Net Sales Third-Quarter 2022 to 2023 ($ millions) WST Q3 2023 Earnings 9
Slide 10: Gross Profit Update
Gross Profit Update ($ millions) Three Months Ended September 30, 2023 2022 Proprietary Products Gross Profit $261.4 $247.3 Proprietary Products Gross Profit Margin 43.4% 43.6% Contract-Manufactured Products Gross Profit $26.9 $20.7 Contract-Manufactured Products Gross Profit Margin 18.6% 17.3% Repo
Slide 11: Cash Flow and Balance Sheet Metrics
Cash Flow and Balance Sheet Metrics ($ millions) Cash Flow Items Financial Condition YTD YTD September 30, December 31, Q3 2023 Q3 2022 2023 2022 Depreciation and Amortization $101.4 $89.5 Cash and Cash Equivalents $898.6 $894.3 Operating Cash Flow $537.4 $493.2 Debt $207.3 $208.9 Capital Expenditur
Slide 12: 2023 Full-Year Guidance
2023 Full-Year Guidance 2023 Full-Year Guidance Consolidated Net Sales $2.950 - $2.960 billion Adjusted-Diluted EPS $7.95 to $8.00 WST Q3 2023 Earnings 12
Slide 13: Making a Difference to the Future of Patient Health
Making a Difference to the Future of Patient Health Execute. Innovate. Grow. Delivering Unique Value to Customers and Patients Global Operational Effectiveness Across the Network Accelerating Investments for the Future WST Q3 2023 Earnings 13
Slide 14: Eric M. Green, Bernard J. Birkett, Quintin Lai - Q&A
Eric M. Green Bernard J. Birkett Quintin Lai President and Senior VP and Chief Financial VP, Corporate Strategy & Chief Executive Officer, and Operations Officer Investor Relations Chair of the Board Q&A WST Q3 2023 Earnings 14
Slide 15: 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 16: Reconciliation of Reported and Adjusted Operating Profit, Net Income and Diluted EPS (2023)
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 17: Reconciliation of Reported and Adjusted Operating Profit, Net Income and Diluted EPS (2022)
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 18: Reconciliation of Net Sales to Organic Net Sales (2023)
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 19: Reconciliation of Net Sales to Organic Net Sales (2022)
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 20: Reconciliation of Reported-Diluted EPS Guidance to Adjusted-Diluted EPS Guidance
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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