West Pharmaceutical Services, Inc. · NYSE:WST

West Pharmaceutical Services — Q2 2015 Earnings Presentation

12 slides from West Pharmaceutical Services's earnings presentation, Jul 30, 2015

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

    1 Speakers: 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, Inc. Second-Quarter 2015 Anal

  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: Second-Quarter 2015 Summary Results

    3 Second-Quarter 2015 Summary Results (1) Net sales at constant currency is a Non-GAAP measurement. See slides 11 and 12 and the discussion under the heading “Non-GAAP Financial Measures” in today’s press release for an explanation and reconciliation of these items. Except as noted, statements in th

  4. Slide 4: Second-Quarter 2015 Operating Results

    4 Second-Quarter 2015 Operating Results Sales comparisons to 2014 are at constant currency & exclude divested business Growth in high-value components  Pharmaceutical Packaging Systems sales grew 8.5% • High-value product sales grew 12.1% • Envision®, NovaPure® and Westar® products Growth in propri

  5. Slide 5: Expansion and Product Development Investments

    5 Expansion and Product Development Key High-Value and Proprietary Products Investments  Kinston, NC • North America high-value products capacity  Westar, FluroTec®, Envision, NovaPure • Expect initial customer approvals/orders in Q3  Waterford, Ireland – June 2015 Groundbreaking • Insulin packag

  6. Slide 6: Change in Consolidated Sales Second-Quarter 2014 to 2015

    6 Change in Consolidated Sales Second-Quarter 2014 to 2015 ($ millions) $359.7 ($36.5) ($1.2) $25.7 $2.8 $368.9 2014 Volume & Mix Sales Price Currency Disposition 2015

  7. Slide 7: Change in Consolidated Gross Profit Margin %

    7 Change in Consolidated Gross Profit Margin % Second-Quarter 2014 to 2015 32.8% (1.7%) (0.3%) 0.8% 0.5% 0.5% 33.0% 2014 Volume & Mix Sales Price Raw Material Labor & Overhead Currency & other 2015

  8. Slide 8: Change in SG&A Costs Second-Quarter 2014 to 2015

    8 Change in SG&A Costs Second-Quarter 2014 to 2015 ($ millions) $60.8 $3.7 $2.5 $2.2 $1.2 $1.1 $57.5 2014 Stock and Incentive Comp Other Comp Other SG&A Technology Currency 2015

  9. Slide 9: Cash Flow and Balance Sheet Metrics

    9 Cash Flow and Balance Sheet Metrics ($ millions) Cash Flow Items Six Months Ended June 30, 2015 2014 Depreciation and amortization $44.2 $44.9 Operating cash flow $75.6 $73.0 Capital expenditures $57.1 $56.2 Balance Sheet Items As of June 30, 2015 As of December 31, 2014 Cash and Cash Equivalents

  10. Slide 10: 2015 Full-year Financial Guidance

    10 2015 Full-year Financial Guidance(3) ($ millions, except EPS) Estimated 2015 Revenue(3) Estimated Gross Profit % Pharmaceutical Packaging Systems Segment $990 - $1,010 37.1% to 37.6% Pharmaceutical Delivery Systems Segment $410 - $420 19.4% to 19.9% Consolidated $1,400 - $1,430 32.0% - 32.5 % Cap

  11. Slide 11: Notes to Non-GAAP Financial Measures

    11 Notes to Non-GAAP Financial Measures For additional details, please see today’s press release & 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 acc

  12. Slide 12: Reconciliation of Non-GAAP Measures (Unaudited)

    12 Notes to Non-GAAP Financial Measures RECONCILIATION OF NON-GAAP MEASURES (UNAUDITED) See “Notes to Non-GAAP Financial Measures” (Slide 11), “Cautionary Statement” (Slide 2) and today’s press release for an explanation and reconciliation of these items. Reconciliation of Net Sales to Net Sales at

West Pharmaceutical Services — Q2 2015 Earnings Presentation on 6ix