WST - Earnings call transcript Q2 2020 | West Pharmaceutical Services, Inc.

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Operator

Ladies and gentlemen, thank you for standing by. And welcome to the Q2 2020 West Pharmaceutical Services' Earnings Conference call. At this time, all participants are in a listen-only mode. After the speaker presentation, there will be a question-and-answer session. [Operator Instructions] Please be advised that today's conference is being recorded. now today, hand of Quintin would to conference Investor I speaker your Lai, Instructions] like the to over Relations. [Operator Vice President ahead go sir. Please

Quintin Lai

and from XX-K, regarding the in subject, XX-Q is release materially as by as to presentation actual results, and any differ our provide future Thank assumptions, Investors' this This Law. Green, morning West's influenced estimates, in well our Please results, based year a made present past factors those call to statement. the release at Statements are beliefs welcome financial the that Call. These is our management an Section you, Securities risk control the westpharma.com. reports. posted implied morning, as many issued business company press the updated today’s our on and and could morning forecasts. and in other the the Investors company's the our been The on Birkett, by XXXX located and made the of today’s We and the the of which results forward-looking beyond of update statements Federal on by Eric as X statements XXXX. this our including here. expressed our or contain Quarter within will on website. presentation Safe current and CFO, meaning outlook US Conference accompanying results call to financial for our has well refer are Josh. of Good on Slide is Section the statement company made CEO, and the review accompanies slide Second any Harbor full X-K Bernard a and company’s forward-looking expectations, copy it is website available There results presentation disclosures On

measures growth, the financial sales to are Green. morning’s to over adjusted profit release. non-GAAP the results adjusted EPS. CEO of comparable Eric President, make margin operating in prepared this turn I organic in financial call diluted During to and measures now GAAP most non-GAAP and including management reference earnings will limitations Eric? financial adjusted operating to the today’s conformity West's call, profit, and Reconciliations provided

Eric Green

Quintin our globe you, by commitment for begin saying and morning and us to I customers team good proud our circumstances. and have Thank much would incredibly components in steadfast tough of everyone I'm joining remained to under our needed to across supply thank solutions the how that members today. like you the

emphasizes the of the talented West Our QX members, the strength team performance continued role criticality and company, of unprecedented these times. our during result plays of our the

business of could serve. helping that more customers we times we patients another our jointly for than We value to solid experienced quarter which are deliver today. at like of in meaningful customers patients, the new by and and medicines market the our led improve continuously by the lives right the treatments strategy bring Driven be mission, reinforced our

X, Moving priority. to pandemic the Slide our remains

vaccine in urgency of sense development. huge a there's situation, ever-changing the Given

complex testing use we market selecting for are The right best the to customers teams a and packaging As the components is tirelessly our high-quality to pandemic. process resolve ensure including supply leader, components our this with and We're injectable help working scale solutions of for pioneered. medicines, prepares by vaccines the with the our up of which way the one customers verification in a years components. commercial We're driven helping science, customers and future successful vaccine launch doing selection, any our of in candidates. that for this West has

to and an this our best have with highest decision industry record industry Notably, rate of use coated both to and Daikyo. our selected seen have sensitive standard high component quarter West safety. of adoption call, they outstanding earnings the Are the stopper made of molecules made have in a the These of and first As we stated reliability. NovaPure, during fluoropolymer partner for track quality ensure by as customers degree our packaging our some quality we

vaccine the rapidly customers moves organization development demand for therapeutics. into surge the can our surges products we make up the with entire approved As to to requests for volume globalizing stepped meet that team enterprise over could across if The possible pandemic operational as supply us any future West trials, potential and preparing immediate few also has is excellence, commercial clinical manufacturing and operations in when the high value come along for best certain for West's All well has past demand. the put the work human are to the the vaccines use. drive years and as position

are perspective, by forward our this to year XXXX. them brought into still We too generated were much manufacture FluroTec of and packaging. NovaPure latter be to investments expected how early These plan, address expansion From and to and capacity it components. accelerating five-year could the vaccine our increase estimate in in demand part we have is our volume the

of or is time when ready doses, it's the hundreds of and whether comes. billions millions prepared However, team our West

the was adjusted related and quarter growth that COVID-XX Slide We to had quarter, sales. from clear, be the of base have experienced our the growth quarter a sales in experienced quarter second And some continued driven past EPS strong. by the the the resulted of robust growth in the strong the incremental we've with several growth for remains pleased product remains and the to performance have value growth business growth, I'm in bounce outlook majority the sales second margin Turning To financial organic to from therapeutics. profit X second our over the trends our with and quarter. operating in for in high second This second XX% again coming organic year HVP position the quarters say we strong expansion. positive. sales

solutions, of resiliency of remainder business, with well believe support the underlying we the That core, are we guidance COVID-XX we the guidance, year. said, of and positioned are half and being the second for raising to presented of the our strength for our for the our incremental opportunities As because customers year.

it turn more who and our on second CFO, Bernard? detail financial I'll will the our outlook. over Bernard performance provide Now, quarter to Birkett,

Bernard Birkett

I and hope continues Eric during good healthy you, Thank be to morning. time. everyone and safe this

primarily I the EPS for XXXX. and let's margin takeaways sheet as detail. market review through numbers and Contract revenue and the QX first some our as revenues finally, we'll Generics We'll guidance quarter, balance So the in led take units strong review well will saw XXXX strong Manufacturing. where in we more saw by sales growth look performance, we Biologics at you growth and in profits, and

components treatment as COVID-XX the volumes the offset million diagnosis such GAAP our measures restrictions, $XX COVID described First on quarter. sales net patients, XX. summarized up revenues results in by of of and recorded in have reconciliation sales and customers of assessment related to are affected lower These QX, associated at home net financial elective to We dental, the been growth XX net and to organic procedures. due of veterinary estimated approximately our XX.X%. stay X with lower include pandemic are to and are of sales revenues $XXX.X representing by Slide Slides million, non-US

was increase. point saw year quarter, with profits. basis expansion adjusted XX.X% gross year. above profit to period XXX XX% And $XXX continue period million QX in in or We gross a our gross in from million improvement improvement recorded of of margin a operating $XXX.X see XX.X million last for last We this in same XX.X to the last year. million We XX.X% recorded profits same compared the profit,

a was from XX.X% increase of the year. margin XXX profit operating basis period adjusted last same Our point

adjusted grew XX% Finally diluted for EPS QX.

approximately tax in $X.XX of EPS Excluding grew stock benefit by QX, XX%.

organically XX.X% and market which Proprietary made sales quarter double in the Slide sales more Products solid had the X, across Moving up XX% units products, QX. quarter. of momentum by grew in digits Proprietary grew to throughout our than all Product High-value

Looking at the growth. strong of units, the the performance delivered market double-digit Biologics unit market

are and film led with experienced We offering. and Daikyo by many products West The biotech high Generics value growth and biopharma double-digit work coated customers unit FluroTec who using to sales. market continue product

and double sales Contract Our components. again once pharma digit low of units high-value and sales organic growth second sales FluroTec saw growth including for lead the had and And by led healthcare related devices. products services by diagnostic quarter, market Manufacturing digit single with Westar injection

revenue Sales by point. driven And $X.X growth. net X.X sales percentage reduction by COVID-XX $X.X reduced or rates currency changes million million On X, So profit? to growth Slide quarter. both in the growth, and approximately million and show the or including contributions what's volume in sales demand. million mix contributed Volume of price driving increases $XX foreign a points exchange of percentage the percentage we growth in $XX.X related XX.X or of points of two contributed

manufacturing project products, production gross of efficiencies quarter XXXX, and achieved Looking XXXX. XX% the profit shows margin XXX the XX.X% gross above profit margin up XXX in from margin at gross of points for second Proprietary by There The the plant basis XX% XXX was to second efficiencies key to offset of XXX favorable QX XX.X% quarter profit consolidated result is X gross one-time margin mix a QX impact product positive overhead engineering XXXX. continued partially quarter performance, margin second was margin improvement due margin the and costs. of points Products work. primarily of Slide The our increased on basis utilization. a improved second drivers approximately driven XXXX. margin in a in sold improvement high-value increases, was above Proprietary profit quarter Contract achieved points were in Products sales price of basis for by the

took to Our attributable One gross from million asset was adjusted XX.X% for one-time period the largely to This operating included we a point is in XXX charge last profit point impairment. expansion. same note, profit margin other expense. our $X.X basis of operating increase of a year,

cash year-to-date done of for and Now, cash we've same have listed million last On Slide let's flow key our we XXXX, for increase the cash the Operating more XX% an of balance a sheet million XX.X review was how some XX, increase. at year, flow business. metrics. the compared $XXX.X period terms look generating in to

XX, capital stock increased XX.X higher million in levels increasing as due was the spending safety accounts due than XX, December year inventory the at at quarter. million activity. and and last in receivable result XX.X XXXX, DPO guidance. June and to year-to-date with higher improved same to an line of Both sales increase primarily million, was XXXX, DSO than capital $XX.X mainly $XXX.X Our Working our in million of a period

at balance positive June XXXX operating million X.X primarily due cash results. Our XX December million our balance, was more than $XXX.X to of our

strong. and resources capital including liquidity financial Our remain overall

revenues incremental provides between high-level There a billion. $XX in and current net Turning be a will of million includes rates. headwind guidance an to million. estimated of sales XXXX $XX $X.XXX summary. estimated based exchange range of net billion guidance, COVID XX Slide Full year $X.XXX This on foreign is

We growth comps. sales to Manufacturing to result $X.XX billion expect of than of billion to HX compares X%. We in growth tougher prior to versus do a of XX.X%. organic expect Contract HX less approximately be growth be $X.XX guidance as and This

We guidance of expect reported guidance range our of $X.XX, full prior a $X.XX. year $X.XX $X.XX EPS to in be to XXXX to compared diluted to

impact headwind on at revised HVP $XXX tax from to to As includes million. $XX impact COVID-XX existing This some from has million capacity FX to There you current guidance. guidance approximately EPS are EPS XXX your $X.XX exchange Eric manufacturing of also of previous want as compensation. to based rates. benefits stock-based XXX guidance currency attention XXXX to million discussed, bring The raised On anticipated I to review demand. compares elements an we on sites $X.XX vaccine key meet HX Estimated has foreign are guidance expanding CapEx our to our our million. our

in for So margin top margin, EPS in and cash the profit growth the profit Contract Proprietary growth to and quarter, line in and growth manufacturing, key summarize operating operating flow. takeaways both in second gross adjusted free growth diluted strong improvement,

Our long-term turn to EPS back construct the remains to sales I'd over at approximately expansion. continued call now organic like growth Eric. and X% to X%

Eric Green

you, Bernard. Thank

great of rich a have leading history times of challenge. in We

innovate, and impact do. this committed healthcare is operate across make global lead to a want I a Our manufacturing in and this urgency we are and size of customers what capabilities, that and our with expect to society. West, leveraging to and prepared sense to scale, us we're positive of emphasize

strategy performance value to lead market propositions our continues is that reaffirm delivering Our our customers. unique to

to remain all market automation invest with efficiently operations to global on we're one Thank you to of make delivering the and in And team. we're is Our committed a operations On business upon quality. fuel the team team we to continue to good sustainable basis, as manufacturing at take maintain products West We our and to and our value West, leading delivering across well in ready the members digital that behalf even with build future. our to days Josh, as our stakeholders up an technology health continuing values brighter you. ahead. questions. service and wish

Operator

first you. comes Thank with America. Juan Our question Bank [Operator Instructions] Avendano of from

may You proceed question. your with

Juan Avendano

on good COVID you're response. Hi, and the Thank quarter planning morning. and you to congratulations role that the

Eric Green

Juan. you thank Yeah,

Juan Avendano

the Yeah. and My and in what multi between first how vaccine COVID components FluroTec such being packaging that likely dose any question many mix you're format, single most the evaluated is, the multi thoughts and seeing those is on NovaPure players dose? as by that or doses

Eric Green

and primarily – two most again FluroTec rate a technology In with companies the One primary have take area solution. as the we're vaccine me regards these interest the a from vaccine participation NovaPure with healthy working number on let pretty questions. we interests versus FluroTec is, in more the Juan, of seeing the NovaPure. components to Yeah, of in

But we're Now, I using situations there therapeutics to regards whether that's of expanded, already are FluroTec. would have today. stand working tough that in where say labeled second that's NovaPure In that go the In a direction. or marketed solution we majority the and part, a been some elected and combination NovaPure some customers better mostly is to out or in is where question FluroTec. the certain

are looking per how different little And dose it's mapped at think the number pinpoint point of our to our I configuration, customers, out doses would this at it's difficult but at this exactly point little our you vial. volume. whether one dose a it's doses doses from time, the volumes going As a opportunities doses think be way multiple at per uncertain customers are that or a or one we're per will accommodate time, of number these bit multiple the that about looking But customers of we're that with. vial of each pretty vial with one's all either

Juan Avendano

Thank responses Crystal glass of the SiOX my Coronin, you. for or Silicon appreciate supply Zenith I from ApiJect seen announcements would have is, have side color second something the a from expected the public there. COVID-XX. I we've question and Oxide vial number And West. on to and seen on

versus for Zenith, of the us that question it opportunities of there short other you gotten how grants can solutions my And Zenith? so you COVID what And for is, government COVID have out tell about Crystal seeing competitively response? compares Crystal some the sort what are

Eric Green

– at Yeah, a little differently. it's look we it

I think still now market when solution glass. you the think is about right the in preferred

that the Crystal so When technology Biologics. volumes, making number are it's Zenith are we but to drugs they a increasing. I around with have can't on And that the I Crystal working specifically about companies demand is appropriate think sure specifically. of the the And that them marketplace glass manufacturing have you the proven a critical speak know already Zenith in for

the front. the immediate market on say I looks be I think And it from we leading is around the phase with In the technology. Zenith customers of require were ml increasing Scottsdale, point, see to would the number and out in CZ frankly, got working Arizona at right vaccine our one grants, We increase would our customers that solution have the option. insert this say But company I we around leader, our around government are certain fact, that address in like now needle of But facility in do as that side the preferred capacity technology what of would areas we're technology. the process not Crystal exploring glass. we

Juan Avendano

got once I'll it and Great, there, again. you thank congrats leave it.

Eric Green

Thanks Juan.

Operator

you. Thank

with Our from next William Kreger Blair. question comes John

You proceed with may your question.

John Kreger

assume you expect to budget? we with And have Can of much. you the very at point? capacity higher bit Are you this we Thanks you're you Thanks. tilt the with – CapEx talk about your current Or ability come running new plans? expansion a online talked more at output sort about when configuration? your flex to full your can do that can CapEx the

Eric Green

on we sites will three earmarked based we this specifically John, due years strategically done we'll FluroTec around for and see decided of current regards capital placed be trajectory forward center bring in the of but to of marketplace. portfolio, to high-value products. Yeah, have will to business what our that we that equipment our excellence in had equipment current make stoppers discussions with We surge sure to customers, address our that our preparing this able in is to we specifically latter are be of

end looking of timing And of of the Now, having validated. a talk spec. volume will start this bit to in and Bernard, you the to we we're do installed to of in want be the at point at that towards able more the time. little capacity regards year expansion the

Bernard Birkett

On the in layering timing, capacity end be XXXX. John, incremental and particularly related we'll early and be year activity this will in on the some then FluroTec at of products the to it's of in

commitments of our put in in all place at equipment suppliers the place needed have actually so are And to the with moment. that we

So – we'll so our business have won't any have won't way. in disrupt any of equipment, a that phased it it introduction

can ordering we're so West, that up well have equipment we're place really quickly is sure and the meet already in of demand. set that onboard the make to at customer that we that replicating we equipment equipment All

John Kreger

to of that, FluroTec, and just sort if capacity to willing Excellent for you're that to you will say? boost up what follow give

Eric Green

FluroTec significant the revealed haven't in around exactly it's we but amount, Yeah, the specifically. areas

Bernard Birkett

Yeah.

to place meet demand customers the all it believe on based equipment have and we've had of analyzing number different any we we comes. that models, a in when discussions with of sufficient So will customer

John Kreger

can Manufacturing? in in of one much. last on add the thanks one. growth the guess I Contract sustainability Anything you Excellent, very pickup

Bernard Birkett

the what we've high over really more the installed to around on area it discussions Manufacturing we auto is up do double of of Contract of happening and for in and couple that lot running of single injectables, But line about ramping continue is was growth this injectors. is low digits little see last last what of other capacity side, the quarters. has expect rate And what's Contract we're finding stronger installed that digits the several the to future products. we have the Yeah, is also diagnostics a been a capacity We similar years. been bit Manufacturing

we softer half from little of a this Manufacturing So purely Contract first a second But bit than half issue. see year the comp the a will perspective. that's

growth On purely any the the because don't manufacturing. John the in comps margins, the you can but contract the to softening the And revenue where – itself year. on it we dollar see a of facing were we that's slower rates from growing, that a would grow at XX%. perspective, see report rate see half you in of positive impact having back And we're connect we able

we about XX%. expect think last the to the to in the so front. some see really I see Manufacturing gains of repeat within continue – we've second engineering which the and levels network. while quarter-over-quarter margin efficiencies forecast Proprietary we not strong were half last but in been continue to utilization improve within there would to the And years we've But taking as for to Contract certain and a we that Contract had a learnings number is year. we doing, to talking to margin starting those lot the And Manufacturing there in that growth the something regarding the would onetime of of of expansion, to expect we we see Now, work implement not over and on the were this compare that year when

John Kreger

much. thanks Great,

Operator

you. Thank

comes Windley next from question Jefferies. with Our Dave

your proceed question. may You with

Dave Windley

nice I vaccine Hi, COVID thanks. a wanted couple on comments. Good the Congrats questions morning. to ask of acceleration. your around

they FluroTec guess space We for the whether little these contract you guess get space from the I the overall And volumes result. a you're and some I and a clinical in in I – development about various that getting hearing I as other maybe price discounting go overall or to scale involvement trial development have NovaPure the vendors in government's say, clearly commercial involved should are funding or of and those you calling up hopefully. governments when want be funding and to on or ultimately manufacturing are are in bit, expecting out activities full it

Bernard Birkett

are price and our current on Dave, our customers based points. with Yeah, agreements historic

into we're money what So to but the we going R&D there's we have products. seeing COGS certain into or realize the percentage are going looking the obtain COGS received those I traditionally to money of that the into for some the or going really not base. manufacturing funding supply side,

low. it's So

how be significant of a it's If a dose, you it's anywhere think from it not configuration about on COGS. you $X.XX dose per to $X.XX. or between a If the of could can our products percentage kind one dose five perspective, see

our how think I price we around our value So the will policies support expectations and we positioned customers. with well we're continue to create, to the according

Dave Windley

price I very So go the talking I high that some or curiosity that high-value low really to a it about easily accelerate as certainly dose as or over – the it companies argument vial, one small made, historical question are value is? a a very is? you've type environment, what that signal even price dose is it five like have as a percentage. I've customers if very, in so is as figure low it's components to are Biologic different four the that that I And is get is has is where Biologic dose that is that that very percentage COVID a be it that might price should if low have for that the spin interest it's products made of price of equation appears we're this as $XX the is a guess you priced that been next, to or guess that in level $X,XXX of four the way, these maybe most on that anticipated as adoption sensitivity because rate of maybe dose off. When it's these per sensitivity tipped the cases, is to or promising per able than cost significantly $XX How the you may of as other Quintin outside I or a $XX per

Bernard Birkett

part want Eric I the the to second question, might of Dave. maybe cover and part the first can take of question the

And just that extra have support not you're So is this ourselves. cost from look product we're when – cost clear, that governments. selling some COGS. end any of we're funding and We've is you What the at, we're million, an we year of even CapEx a to into comparing of is XXXX. West our the investing product price. in the $XX getting essentially we're percentage saying their obviously – our

doesn't so so potentially The got the a XX sell is we dose, a cost relatively five, you their the small in low vial, by the divide XX per cost number no stopper work the at. matter back you sell of doses part doses, of vial, if COGS. really same. of product And producing stopper they where we're part it So out be becomes there COGS still that. the to could what a one per the of price And still change, then of the

the whole on We're we pricing, in had of process. many in essentially to we've place prices pricing haven't maintaining this these Regarding that tried gone our products. and jack

as price, number for percentage think to helpful the per vial. their it at I that's Now, way pricing doses of saying that's if regarding of and configuration. look than you lot changes then a a times the But rather of

Eric Green

they our marketplace for components are the think with you using it when Dave, Biologics. purposes, other – or And our molecules customers have very have on comfortable because they're been using they FluroTec about in NovaPure user around using other have especially they're

of very they And think fast, very, go-to-market have we the we're that in we of quality regulatory, there's speaking comfort a you think can can about and volumes you of a safety, short when so think think about period when And scale. we you – think the can manufacture about time. scale, about how

that to think gives customers to I the confidence extended go portfolio and where that's part So our product. continue that after using dissipates comfort versus of – the

that that's but there, we're stop in I'll demand So the area. reason seeing why

Dave Windley

of segment. speak that demand differences those in where name growth to of as as perhaps rate AstraZeneca's just something and come maybe and smaller to in adoption that a much rates at numbers is are and timing sure example, Can inquiries the this and in numerous, your that the I J&J's ones might would in you ones you vaccine don't be couple as Street from or simple Wall the [ph], get would the for news these the to companies in regard like chasing sampling Okay players again, pharma some world as perhaps are know, highest and least, last seeing, the and you're by that interest press. think profile the I'm of to question, a of in The vaccine classified Chase.

Eric Green

Yes. whether Dave, nature as small about when think that the molecule, or No, Yeah. of large it's the you because Biologic. we of classify

won't the perspective. talk our about vaccines, between opportunities vaccine So the when units performance split I we try encompassing. we're out three from all to

Dave Windley

All okay. you. good. it, Got Thank very right,

Eric Green

you, thank Dave. Great,

Operator

you. Thank

question CJS Solow from next with Securities. Our comes Larry

proceed You may with your question.

Larry Solow

good guys. thanks, Great, morning,

Eric Green

Good morning Larry.

Larry Solow

follow chosen of have for that NovaPure, Is would also ups, there is FluroTec at get customers I all Eric, you what and some Westar anybody just guess – companies that the encompasses maybe Would the you $X.XX potentially which equation? some couple – A HVPs. mentioned discussing and of of mentioned just choosing or per sort morning. that FluroTec sort the Good that range $X.XX vial? be

Eric Green

NovaPure That services Larry, was Yeah, does the the NovaPure. what on the vary that referenced portfolio FluroTec we versus number it is all higher. additional more provide. final configuration and around is

Larry Solow

the number? XX for Right, revenue XX the guys and million the okay year is the in quarter, that in full COVID XX the and quarter related referred to million you

Bernard Birkett

year. full the that's Yeah,

Eric Green

number Larry. that's And anticipated

Larry Solow

is That okay. close XX, to

Eric Green

about year that XX Yeah, now. million number the we right full see that's

Larry Solow

I it's it very guess, some then then obviously I imagine a And Got vaccines, should then lot a if the at little and you'd whatnot. and clarification And way perhaps the guess. the as more something side and that. be that just and mentioned inevitably, components therapeutic of is that we bit would testing is scaled, I remember [ph] obviously, grow we you look commercialized on

Eric Green

way so give way – Yeah, think we're out. the the hospital we out I enablement. way understand It's Larry, look what's And break we're we Yeah, at very around at don't we it. this segment you're numbers, the I but the it looking we right.

as get high is therapeutic this IV near position. about of to you rate think the tubes, are and term we product because much Those our So obviously, element difficult participation treatments we how supporting for is think then in predict don't some can't our we whom. blood and key you the we – volume. about to work very like that ICU vaccines the obviously about really more but it's which a think when areas therefore and very and trials, have – low there and is therapies providing by when with Biologics as customers, And we of and

surge, as this to capital by year as said in so early at holding off on XXXX. we is that our this the end late early have But capacity that we is of as we're or are at XXXX ensure investment can ahead we handle hand the So if point. it that we going the

Larry Solow

in of on the anything hundred margins? either? in couple unusual margins power the and called with else sort have operating. was anything XX% then You operating quarter the could the out really and manufacturing it XX% unusual contract quarter Was Bps those side, that of there Got the a there benefited model demonstrates the

Bernard Birkett

recorded than related than Manufacturing other the other a COGS. included it's on I Well, Larry, margin, called all the piece out all piece pretty impairments time. Though And assets. COVID then margin the that And within that been costs about They're in number. called of and Manufacturing I clean – the in have that's it. think yeah, CMPs operating that's out certain of Contract I Contract one

Larry Solow

number, on or that number took Right that write right and the too, off. in you adjusted the is the out adjusted

Bernard Birkett

Sorry, I didn't –

Larry Solow

your you in Is the out? Are number? write off adjusted adjusted

Bernard Birkett

adjusted in there. the number, In it's

Larry Solow

It is in there.

Okay.

Bernard Birkett

didn't bust out. it We

Larry Solow

to refers is Was NovaPure come the – mentioned some you then and increased that online? written your little FluroTec And costs bit. which margins Okay. impacted hasn't that – a [ph] that or overhead, that

Eric Green

I else, right. guess, something It's Yeah.

Bernard Birkett

supporting also PPE, our We've plants around to costs. And Well, incremental keep yeah. split paying so premiums freight costs of the some then there shifts, obviously up and we're a was there's shift Well, gone the costs at workforce there's lot running. incremental if to and plants.

Larry Solow

okay, very all right, Right, you thank it. great, much. Appreciate

Eric Green

you, Larry. Thank

Bernard Birkett

Larry. Thanks,

Operator

would Quintin you. like Thank And at to time. remarks. any not further back to questions I'm now Lai I any showing over the further for turn call this

Quintin Lai

be available our thank of today's website Thank at in for you, conference section. broadcasts you, call. archive us An And Josh. Investor on will everyone joining the westpharma.com online the on

release. through you the earnings concludes may Additionally, replay in today’s Thursday day. and XX, the this July a ID of end conference That provided at Have access by nice using dial numbers a call.

Operator

today's conference and Ladies gentlemen, participating. concludes call. for this you. Thank Thank you

You may now disconnect.

West Pharmaceutical Services (WST) 23 Jul 202020 Q2 Earnings call transcript