West Pharmaceutical Services, Inc. (NYSE:WST) reported better than expected second quarter 2026 earnings. The injectable solutions company reported adjusted earnings of $2.37 per share, beating the consensus of $2.08.
Net sales of $872.3 million increased 13.8% year over year, with organic growth of 12.7%, beating the consensus of $838.586 million.
HVP Products And GLP-1 Demand Drive Growth
Proprietary Products sales of $722.6 million grew by 16.6% and increased 15.5% on an organic basis.
High-Value Product (HVP) Components net sales of $424.1 million increased 19.4% and rose 18.4% on an organic basis.
During the earnings call, CEO Eric Green said, “This was driven by our three growth drivers, which include biologics and biosimilars, HVP upgrades including Annex 1, and continued strength in GLP-1 elastomers. We continue to believe in the near- and long-term growth prospects of HVP components.”
HVP Delivery Devices net sales of $131.2 million increased by 29.6% (+29.2%). Standard Products net sales of $167.3 million increased by 2.4% (+0.7%).
West Vantage Segment (Contract-Manufactured Products) sales reached $149.7 million, up 2% (+0.8%), slightly below expectations due to the impact of the cyber incident.
West Raises 2026 Guidance
“As a result of our team’s strong execution in the second quarter and improved outlook, we are increasing our full-year 2026 guidance,” commented Eric Green.
West Pharmaceutical raised its fiscal 2026 adjusted earnings per share guidance from $8.40-$8.75 to $8.85-$9.05 compared to the consensus of $8.61.
The company revised 2026 sales guidance from $3.29 billion-$3.35 billion to $3.345 billion-$3.380 billion versus the Wall Street estimate of $3.332 billion.
West Pharmaceutical expects third quarter adjusted earnings of $2.14-$2.24 per share versus consensus of $2.12.
The company sees sales between $820 million and $835 million versus the consensus of $815.71 million.
Broader HVP Growth Despite Cost Pressures
CFO Robert (Bob) McMahon said increased guidance is driven by higher growth expectations for the non-GLP-1 portion of HVP components as well as an increase in HVP delivery devices.
The company anticipates both GLP-1 and non-GLP-1 HVP components are now expected to grow in the high teens for the year.
From a margin perspective, West Pharma is experiencing some inflationary pressure from higher oil and commodity prices, and it is working to offset those costs.
WST Stock Price Activity: West Pharmaceutical shares were down 1.13% at $385.01 at the time of publication on Thursday, according to Benzinga Pro data.
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