West Reports Third-Quarter 2025 Results

Core Insights - West Pharmaceutical Services, Inc. reported solid growth in both Proprietary Products and Contract Manufacturing segments, achieving double-digit growth in HVP Components, driven by strong demand for GLP-1 products and improved HVP conversion [2][3][8] - The company has increased its full-year 2025 revenue and EPS guidance due to strong performance and ongoing business momentum [2][9] Financial Performance - For the third quarter of 2025, net sales reached $804.6 million, a 7.7% increase compared to the same period last year, with organic growth of 5.0% [7][24] - Proprietary Products segment net sales were $647.5 million, growing by 7.7% and 5.1% on an organic basis [2][7] - Contract-Manufactured Products segment net sales increased by 8.0% to $157.1 million, with organic growth of 4.9% [3][24] Segment Analysis - High-Value Product (HVP) Components net sales were $390.0 million, reflecting a 16.3% increase and 13.3% organic growth, accounting for 48% of total company net sales [8][24] - HVP Delivery Devices saw a decline in net sales to $99.1 million, down 15.7% due to a prior one-time incentive fee [8][24] - Standard Products segment net sales increased by 6.7% to $158.4 million, with organic growth of 3.6% [8][24] Cash Flow and Share Repurchase - Operating cash flow for the first nine months of 2025 was $503.7 million, an increase of 8.7% year-over-year, while free cash flow rose by 53.7% to $293.9 million [4][5] - The company repurchased 552,593 shares for $134.0 million at an average price of $242.55 [5] Updated Guidance - Full-year 2025 net sales guidance has been raised to a range of $3.060 billion to $3.070 billion, up from the previous range of $3.040 billion to $3.060 billion [9][10] - Adjusted-diluted EPS guidance for 2025 has also been increased to a range of $7.06 to $7.11, compared to the prior range of $6.65 to $6.85 [9][10]