WEST PHARMACEUTICAL SERVICES INC
For the period ended Jun 30, 2026. Filed Jul 23, 2026.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Jun 30, 2026 · Filed Jul 23, 2026
WST$399.81+1.9%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2026-03-31; filed 2026-04-23.
0000105770-26-000049
Item 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONSCurrent report: 10-Q
Period ended 2026-06-30; filed 2026-07-23.
0000105770-26-000099
Item 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONSThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 111 previous paragraphs and 135 current paragraphs.
70 unchanged; 35 reworded; 27 added; 6 removed; 0 previous and 3 current paragraphs rearranged.
Tables are not compared: 11 previous and 14 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (27)
Current report
We continue to monitor the conflict in the Middle East and related macroeconomic developments, including potential impacts on our operations, supply chain, transportation costs, energy costs and petroleum-based raw material inputs. While escalation or prolongation of the conflict could contribute to volatility or inflationary pressure in certain of these costs, based on information currently available and our corresponding mitigation efforts, we do not expect these matters to have a material impact on our results of operations, financial condition or liquidity. During the first six months of 2026, our Israel-based facilities continued to operate without material disruption.
Current report
(3)During thethree and six months ended June 30, 2026, the Company recorded cost-method investment impairment charges of $3.5 million within other expense (income).
Current report
(5)Other includes nonrecurring professional fees associated with various items including certain legal matters and our cybersecurity incident from May 2026. These charges are recorded within selling, general and administrative expenses.
Current report
Proprietary Products – Proprietary Products net sales increased by $102.8 million, or 16.6%, for the three months ended June 30, 2026, as compared to the same period in 2025, including a favorable foreign currency translation impact of $6.7 million. Excluding foreign currency translation effects, net sales for the three months ended June 30, 2026 increased by $96.1 million, or 15.5%, as compared to the same period in 2025. Increased sales of HVP components and HVP delivery devices products contributed approximately 11 percentage points and 5 percentage points, respectively, of organic sales growth. Sales of HVP components increased $65.5 million, or 18.4%, excluding foreign currency translation effects. This increase in HVP components sales was driven by continued strong customer demand for both Biologics and GLP-1 products as well as sales price increases. Sales of HVP delivery devices increased $29.5 million, or 29.2%, excluding foreign currency translation effects. The increase in HVP delivery devices was driven primarily by customer demand for our self-injection devices, in particular SmartDose 3.5mL in advance of the July 2026 transaction closing, and sales price increases. Sales of Standard Products increased by $1.1 million, or 0.7%, excluding foreign currency translation adjustments.
Current report
West Vantage – West Vantage net sales increased by $3.0 million, or 2.0%, for the three months ended June 30, 2026, as compared to the same period in 2025, including a favorable foreign currency translation impact of $1.8 million. Excluding foreign currency translation effects, net sales for the three months ended June 30, 2026 increased by $1.2 million, or 0.8%, as compared to the same period in 2025. The increase was driven by sales price increases and increased production volumes at certain West Vantage sites. These increases were partially offset by our revenue growth being negatively impacted by approximately $7 million from production downtime associated with the Company’s May 2026 cyber incident.
Current report
Consolidated net sales increased by $252.7 million, or 17.3%, for the six months ended June 30, 2026, as compared to the same period in 2025, including a favorable foreign currency translation impact of $48.5 million. Excluding foreign currency translation effects, consolidated net sales for the six months ended June 30, 2026 increased by $204.2 million, or 13.9%, as compared to the same period in 2025. Volume and mix and sales price increases contributed $149.7 million and $54.5 million, respectively, of growth in the six months ended June 30, 2026.
Current report
Proprietary Products – Proprietary Products net sales increased by $234.1 million, or 19.8%, for the six months ended June 30, 2026, as compared to the same period in 2025, including a favorable foreign currency translation impact of $39.5 million. Excluding foreign currency translation effects, net sales for the six months ended June 30, 2026 increased by $194.6 million, or 16.5%, as compared to the same period in 2025. Sales of HVP components increased $136.9 million, or 20.4%, excluding foreign currency translation effects. The increase in HVP components sales was driven by continued strong customer demand for Biologics products and GLP-1 products as well as sales price increases. Sales of HVP delivery devices increased $55.8 million, or 28.3%, excluding foreign currency translation effects. The increase in HVP delivery devices was driven by higher market demand for self-injection devices and sales price increases. Sales of Standard Products increased by $1.9 million, or 0.6%, excluding foreign currency translation adjustments.
Current report
West Vantage – West Vantage net sales increased by $18.6 million, or 6.6%, for the six months ended June 30, 2026, as compared to the same period in 2025, including a favorable foreign currency translation impact of $9.0 million. Excluding foreign currency translation effects, net sales for the six months ended June 30, 2026 increased by $9.6 million, or 3.4%, as compared to the same period in 2025. The increase was driven by sales price increases, partially offset by our revenue growth being negatively impacted by approximately $7 million from production downtime associated with the Company’s May 2026 cyber incident.
Current report
Consolidated -Consolidated gross profit increased by $55.3 million, or 20.2%, for the three months ended June 30, 2026, as compared to the same period in 2025, including a favorable foreign currency translation impact of $2.9 million for the three months ended June 30, 2026, as compared to the same period in 2025. Consolidated gross profit margin increased by 2.0 percentage points for the three months ended June 30, 2026, as compared to the same period in 2025.
Current report
Proprietary Products -Proprietary Products gross profit increased by $59.7 million, or 24.0%, for the three months ended June 30, 2026, as compared to the same period in 2025, including a favorable foreign currency translation impact of $2.8 million. Proprietary Products gross profit margin increased by 2.5 percentage points for thethree months ended June 30, 2026, as compared to the same periods in 2025, due primarily to favorable sales mix of HVP components, including GLP-1 products, as well as sales price increases. These were partially offset by inflationary pressures and plant costs.
Current report
Proprietary Products gross profit increased by $122.6 million, or 26.7%, for the six months ended June 30, 2026, as compared to the same period in 2025, including a favorable foreign currency translation impact of $17.7 million. Proprietary Products gross profit margin increased by 2.2 percentage points for thesix months ended June 30, 2026, as compared to the same periods in 2025, due primarily to favorable sales mix of HVP, including GLP-1 products, and sales price increases.
Current report
West Vantage gross profit decreased by $2.8 million, or 5.9%, for the six months ended June 30, 2026, as compared to the same period in 2025, including a favorable foreign currency translation impact of $1.4 million. West Vantage gross profit margin decreased by 2.0 percentage points for the six months ended June 30, 2026, as compared to the same period in 2025, due to inefficiencies associated with production downtime related to the Company’s May 2026 cyber incident, as well as inflationary pressures on our plant spend, partially offset by sales price increases.
Current report
Consolidated SG&A costs increased by $33.2 million, or 18.1%, for thesix months ended June 30, 2026, as compared to the same period in 2025, including an unfavorable foreign currency translation impact of$2.8 million.
Current report
Proprietary Products -Proprietary Products SG&A costs increased by$8.0 million, or 13.0%, for thethree months ended June 30, 2026, as compared to the same period in 2025, including an unfavorable foreign currency translation impact of$0.6 million, due primarily to increased salary and wages due to headcount increases and annual inflationary increases, higher annual incentive compensation from a higher projected incentive payout compared to the same period in 2025 and increased software license and IT costs, which contributed approximately 7%, 4% and 2%, respectively, of the SG&A cost increases.
Current report
West Vantage -West Vantage SG&A costs increased by$1.3 million, or 18.6%, for thethree months ended June 30, 2026, as compared to the same period in 2025, including an unfavorable foreign currency translation impact of less than $0.1 million, due primarily to higher annual incentive compensation from a higher projected incentive payout compared to the same period in 2025, increased charges related to computer hardware and increased salary and wages due to annual inflationary increases.
Current report
Corporate and unallocated items -Corporate and unallocated SG&A costs increased by$12.4 million, or 45.3%, for thethree months ended June 30, 2026, ascompared to the same period in 2025. During the three months ended June 30, 2026, the Company recorded expense within SG&A on the following unallocated items: (i) expense of$6.9 million related to nonrecurring professional fees associated with various items including certain legal matters and our cybersecurity incident from May 2026 and (ii) expense of $5.1 million relating to professional services in connection with the Company's agreement to sell its SmartDose® 3.5mL On-Body Delivery System and other M&A activities, which were not recorded during the same period in 2025. Additionally, the Company recorded additional charges related to stock-based compensation in thethree months ended June 30, 2026, as compared to the same period in 2025, of approximately $3.5 million related to improved financial performance metrics and increased mark to market charges. See the Financial Performance Summary section above for further details.
Current report
Corporate and unallocated SG&A costs increased by$19.0 million, or 40.0%, for thesix months ended June 30, 2026, as compared to the same period in 2025. During the six months ended June 30, 2026, the Company recorded expense within SG&A on the following unallocated items: (i) expense of$7.5 million related to nonrecurring professional fees associated with various items including certain legal matters and our cybersecurity incident from May 2026 and (ii) expense of $6.1 million relating to professional services in connection with the Company's agreement to sell its SmartDose® 3.5mL On-Body Delivery System and other M&A activities, which were not recorded during the same period 2025. Additionally, the Company recorded additional charges related to stock-based compensation in thesix months ended June 30, 2026, as compared to the same period in 2025, of approximately $9 million related to improved financial performance metrics and increased mark to market charges. See the Financial Performance Summary section above for further details.
Current report
Consolidated other expense (income) changed by $9.0 million for the six months ended June 30, 2026, as compared to the same period in 2025, due to the factors described below.
Current report
Corporate and unallocated items changed by $8.5 million for the six months ended June 30, 2026, as compared to the same period in 2025, due primarily to the decrease of recorded restructuring and other charges within other expense. The Company's 2025 restructuring and other charges within other expense (income) were $16.6 million related to severance, acceleration of depreciation and lease costs in connection with the Company's January 2025 restructuring plan. The Company's 2026 restructuring and other charges within other expense (income) were (i) $1.9 million related to severance, acceleration of depreciation and lease costs in connection with the Company's January 2025 restructuring plan and (ii) $2.2 million related to employee benefit costs in connection with the Company's agreement to sell its SmartDose® 3.5mL On-Body Delivery System and associated facilities to AbbVie. The decrease in restructuring and other charges was partially offset by the Company recording cost-method investment impairment charges of $3.5 million during the six months ended June 30, 2026 that did not occur in the same period in 2025.
Current report
Consolidated - Consolidated operating profit increased by $25.4 million, or 16.5%, for the three months ended June 30, 2026, as compared to the same period in 2025, including a favorable foreign currency translation impact of $2.1 million for the three months ended June 30, 2026, as compared to the same period in 2025.
Current report
Consolidated operating profit increased by $95.5 million, or 36.6%, for the six months ended June 30, 2026, as compared to the same period in 2025, including a favorable foreign currency translation impact of $15.5 million for the six months ended June 30, 2026, as compared to the same period in 2025.
Current report
Proprietary Products operating profit increased by $108.8 million, or 37.2%, for the six months ended June 30, 2026, as compared to the same period in 2025, including a favorable foreign currency translation impact of $14.4 million, due to the factors described above, most notably favorable sales mix of HVP components, including GLP-1 products.
Current report
West Vantage operating profit decreased by$2.8 million, or 8.9%, for thesix months ended June 30, 2026, as compared to the same period in 2025, including a favorable foreign currency translation impact of $1.1 million, due to the factors described above, most notably inefficiencies associated with production downtime related to the Company’s May 2026 cyber incident, as well as inflationary pressures on our plant spend.
Current report
For unallocated items, please refer to the Financial Performance Summary section above for details.
Current report
The provision for income taxes was $32.2 million and $30.2 million for the three months ended June 30, 2026 and 2025, respectively, and the effective tax rate was 17.9% and 19.2%, respectively. The decrease in the effective tax rate for the three months ended June 30, 2026, as compared to the same period in 2025, primarily reflects the impact of favorable changes in our geographic mix of earnings.
Current report
Equity in net income of affiliated companies was $6.1 million and $5.0 million for the three months ended June 30, 2026 and 2025, respectively. Equity in net income of affiliated companies increased by $1.1 million for the three months ended June 30, 2026, as compared to the same period in 2025, due primarily to favorable operating results at Daikyo, partially offset by unfavorable operating results at the Mexico affiliates.
Current report
Equity in net income of affiliated companies was $9.5 million and $8.4 million for the six months ended June 30, 2026 and 2025, respectively. Equity in net income of affiliated companies increased by $1.1 million for the six months ended June 30, 2026, as compared to the same period in 2025, due primarily to favorable operating results at Daikyo, partially offset by unfavorable operating results at the Mexico affiliates.
Removed paragraphs (6)
Previous report
We continue to monitor the events and macro-economic impacts that the conflict in the Middle East has on our business model. We have raw materials and other costs in our operations that are dependent on petro-chemicals. Based on the current situation in the Middle East, we anticipate future inflationary pressures on these costs, but we do not expect those impacts to have a material impact. Additionally, our Israel-based facilities continue to operate as they had prior to the conflict, and we did not experience any disruption in business during the first quarter of 2026.
Previous report
Proprietary Products – Proprietary Products net sales increased by $131.3 million, or 23.3%, for thethree months ended March 31, 2026, as compared to the same period in 2025, including a favorable foreign currency translation impact of $32.8 million. Excluding foreign currency translation effects, net sales for thethree months ended March 31, 2026 increased by $98.5 million, or 17.5%, as compared to the same period in 2025, due primarily to an increase in sales of Westar®, NovaPure® and FluroTec® products, as well as self-injection device platforms.
Previous report
West Vantage – West Vantage net sales increased by $15.6 million, or 11.6%, for thethree months ended March 31, 2026, as compared to the same period in 2025, including a favorable foreign currency translation impact of $7.2 million. Excluding foreign currency translation effects, net sales for thethree months ended March 31, 2026 increased by $8.4 million, or 6.2%, as compared to the same period in 2025, due primarily to an increase in sales of self-injection devices for obesity and diabetes.
Previous report
Proprietary Products -Proprietary Products gross profit increased by $62.9 million, or 29.9%, for thethree months ended March 31, 2026, as compared to the same period in 2025, including a favorable foreign currency translation impact of $14.9 million. Proprietary Products gross profit margin increased by 2.0 margin points for the three months ended March 31, 2026, as compared to the same periods in 2025, due primarily to increased customer demand, primarily of high value components, and sales price increases.
Previous report
Consolidated - Consolidated operating profit increased by $70.1 million, or 65.5%, for thethree months ended March 31, 2026, as compared to the same period in 2025, including a favorable foreign currency translation impact of $13.4 million for thethree months ended March 31, 2026, as compared to the same period in 2025.
Previous report
Equity in net income of affiliated companies was $3.4 million and $3.4 million for thethree months ended March 31, 2026 and 2025, respectively.
Reworded paragraphs (35)
Previous wording
Beginning in 2025, the U.S. government imposed additional tariffs and trade restrictions on certain goods produced outside of the United States. In response to these actions, certain jurisdictions in which we operate have imposed or are considering imposing tariffs and restrictions on certain goods produced in the United States. We continue to monitor this dynamic situation to assess the impact of these tariffs on our business and actions we can take to minimize their impact. Based on the information available at this time, we do not believe the impact will be material to our 2026 results.
Current wording
Beginning in 2025, the U.S. government imposed additional tariffs and trade restrictions on certain goods produced outside of the United States, and certain jurisdictions in which we operate have imposed or are considering imposing tariffs and restrictions on certain goods produced in the United States. In February 2026, the U.S. Supreme Court issued a ruling that certain tariffs imposed under the International Emergency Economics Power Act (“IEEPA”) were unauthorized. During the second quarter of 2026, the Company began applying for and receiving certain refunds for tariffs previously collected under the IEEPA. We continue to monitor this dynamic trade-policy environment, including the potential impact of existing or future tariffs, trade restrictions, retaliatory measures, available refund processes and mitigation actions. Based on information currently available, we do not expect these matters to have a material impact on our 2026 results.
Previous wording
The following tables present a reconciliation from U.S. GAAP to non-U.S. GAAP financial measures for the three months ended March 31, 2026:
Current wording
The following tables present a reconciliation from U.S. GAAP to non-U.S. GAAP financial measures for the three and six months ended June 30, 2026:
Previous wording
The following tables present a reconciliation from U.S. GAAP to non-U.S. GAAP financial measures for the three months ended March 31, 2025:
Current wording
The following tables present a reconciliation from U.S. GAAP to non-U.S. GAAP financial measures for the three and six months ended June 30, 2025:
Previous wording
(1)During the three months ended March 31, 2026, the Company recorded pre-tax charges of $1.4 million related to our two existing restructuring programs: (i) $0.9 million within other expense (income), related to acceleration of depreciation and lease costs in connection with the Company's January 2025 restructuring plan and (ii) $0.5 million within selling, general and administrative expenses, for professional services relating to our 2024 plan to optimize the legal structure of the Company and its subsidiaries. In addition, we recorded a one-time tax cost of $12.0 million associated with an internal legal entity restructuring which occurred in the first quarter of 2026. During thethree months ended March 31, 2025, the Company recorded pre-tax charges of $17.8 million related to our two existing restructuring programs: (i) $16.4 million within other expense (income), related to severance, acceleration of depreciation and lease costs in connection with the Company's January 2025 restructuring plan and (ii) $1.4 million within selling, general and administrative expenses, for professional services relating to our 2024 plan to optimize the legal structure of the Company and its subsidiaries. In addition, we recorded income tax charges of $2.0 million related primarily to withholding tax and capital gains incurred in executing our plan to optimize our legal structure.
Current wording
(1)During the three and six months ended June 30, 2026, the Company recorded pre-tax charges of $1.5 million and $2.9 million, respectively, related to our two existing restructuring programs: (i) $1.0 million and $1.9 million, respectively, within other expense (income), related to acceleration of depreciation and lease costs in connection with the Company's January 2025 restructuring plan and (ii) $0.5 million and $1.0 million, respectively, within selling, general and administrative expenses, for professional services relating to our 2024 plan to optimize the legal structure of the Company and its subsidiaries. In addition, we recorded a one-time tax cost of $12.0 million associated with an internal legal entity restructuring which occurred in the first quarter of 2026. During thethree and six months ended June 30, 2025, the Company recorded pre-tax charges of $1.6 million and $19.4 million, respectively, related to our two existing restructuring programs: (i) $0.2 million and $16.6 million, respectively, within other expense (income), related to severance, acceleration of depreciation and lease costs in connection with the Company's January 2025 restructuring plan and (ii) $1.4 million and $2.8 million, respectively, within selling, general and administrative expenses, for professional services relating to our 2024 plan to optimize the legal structure of the Company and its subsidiaries. In addition, we recorded income tax charges of $2.0 million in the first quarter of 2025, related primarily to withholding tax and capital gains incurred in executing our plan to optimize our legal structure.
Previous wording
(2)During the three months ended March 31, 2026, the Company recorded charges of $1.9 million related to the Company's agreement to sell its SmartDose® 3.5mL On-Body Delivery System and associated facilities to AbbVie. The Company recorded $0.9 million of the charges within other expense (income), related to employee benefit costs in connection with the sale agreement. The Company recorded the remaining $1.0 million within selling, general and administrative expenses, relating to professional services in connection with the sale agreement.
Current wording
(2)During the three and six months ended June 30, 2026, the Company recorded pre-tax charges of $6.4 million and $8.3 million, respectively, related to M&A activities, including the Company's agreement to sell its SmartDose® 3.5mL On-Body Delivery System and associated facilities to AbbVie. The Company recorded $1.3 million and $2.2 million, respectively, of the charges within other expense (income), related to employee benefit costs in connection with the sale agreement. The Company recorded the remaining $5.1 million and $6.1 million, respectively, within selling, general and administrative expenses, relating to professional services in connection with the sale agreement and other M&A activities.
Previous wording
(3)During the three months ended March 31, 2026, and 2025, the Company recorded $0.0 million and $0.2 million, respectively, of amortization expense within selling, general and administrative expenses associated with an intangible asset acquired duringthe second quarter of 2020. During thethree months ended March 31, 2026, and 2025, the Company recorded $0.5 million and $0.4 million, respectively, of amortization expense in association with an acquisition of increased ownership interest in Daikyo.
Current wording
(4)During thethree and six months ended June 30, 2026, the Company recorded $0.4 million and $0.9 million, respectively, of amortization expense in association with an acquisition of increased ownership interest in Daikyo. During the three and six months ended June 30, 2025, the Company recorded $0.0 million and $0.2 million, respectively, of amortization expense within selling, general and administrative expenses associated with an intangible asset acquired duringthe second quarter of 2020. During thethree and six months ended June 30, 2025, the Company recorded $0.5 million and $0.9 million, respectively, of amortization expense in association with an acquisition of increased ownership interest in Daikyo.
Previous wording
The following table presents net sales, consolidated and by reportable segment, for thethree months ended March 31, 2026 and 2025:
Current wording
The following table presents net sales, consolidated and by reportable segment, for thethree and six months ended June 30, 2026 and 2025:
Previous wording
Consolidated net sales increased by $146.9 million, or 21.0%, for thethree months ended March 31, 2026, as compared to the same period in 2025, including a favorable foreign currency translation impact of $40.0 million. Excluding foreign currency translation effects, consolidated net sales for thethree months ended March 31, 2026 increased by $106.9 million, or 15.3%, as compared to the same period in 2025.
Current wording
Consolidated net sales increased by $105.8 million, or 13.8%, for the three months ended June 30, 2026, as compared to the same period in 2025, including a favorable foreign currency translation impact of $8.5 million. Excluding foreign currency translation effects, consolidated net sales for the three months ended June 30, 2026 increased by $97.3 million, or 12.7%, as compared to the same period in 2025. Volume and mix and sales price increases contributed $67.0 million and $30.3 million, respectively, of growth in the three months ended June 30, 2026.
Previous wording
Consolidated -Consolidated gross profit increased by $64.5 million, or 27.8%, for thethree months ended March 31, 2026, as compared to the same period in 2025, including a favorable foreign currency translation impact of $16.2 million for thethree months ended March 31, 2026, as compared to the same period in 2025. Consolidated gross profit margin increased by 1.9 margin points for thethree months ended March 31, 2026, as compared to the same period in 2025.
Current wording
Consolidated gross profit increased by $119.8 million, or 23.7%, for the six months ended June 30, 2026, as compared to the same period in 2025, including a favorable foreign currency translation impact of $19.1 million for the six months ended June 30, 2026, as compared to the same period in 2025. Consolidated gross profit margin increased by 1.9 percentage points for the six months ended June 30, 2026, as compared to the same period in 2025.
Previous wording
West Vantage -West Vantage gross profit increased by $1.6 million, or 7.4%, for thethree months ended March 31, 2026, as compared to the same period in 2025, including afavorable foreign currency translation impact of $1.3 million. West Vantage gross profit margin decreased by 0.6 margin points for the three months ended March 31, 2026, as compared to the same period in 2025, due primarily to increased production costs, partially offset by sales price increases.
Current wording
West Vantage -West Vantage gross profit decreased by $4.4 million, or 17.2%, for the three months ended June 30, 2026, as compared to the same period in 2025, including afavorable foreign currency translation impact of $0.1 million. West Vantage gross profit margin decreased by 3.3 percentage points for thethree months ended June 30, 2026, as compared to the same period in 2025, due to inefficiencies associated with production downtime related to the Company’s May 2026 cyber incident, as well as inflationary pressures on our plant spend, partially offset by sales price increases.
Previous wording
Consolidated R&D costs decreased by $0.5 million, or 3.1%, for the three months ended March 31, 2026, respectively, as compared to the same period in 2025. Efforts remain focused on the continued investment in (1) primary injectables in elastomeric components, formulation development & packaging and (2) drug containment systems, self-injection systems, and drug administration consumables.
Current wording
Consolidated R&D costs increased by $0.6 million, or 3.1%, and$0.1 million, or 0.3%, for the three and six months ended June 30, 2026, respectively, as compared to the three and six months ended June 30, 2025. The increase in R&D spend is associated with our investment in (1) primary injectables in elastomeric components, formulation development & packaging and (2) drug containment systems, self-injection systems, and drug administration consumables.
Previous wording
All of the R&D costs incurred in thethree months ended March 31, 2026 and 2025 related to Proprietary Products.
Current wording
All of the R&D costs incurred in thethree and six months ended June 30, 2026 and 2025 related to Proprietary Products.
Previous wording
Consolidated - Consolidated SG&A costs increased by $11.5 million, or 13.1%, for the three months ended March 31, 2026, as compared to the same period in 2025, including an unfavorable foreign currency translation impact of$2.2 million, due primarily to increased expense related to stock-based compensation and increased salary and wages.
Current wording
Consolidated - Consolidated SG&A costs increased by $21.7 million, or 22.6%, for thethree months ended June 30, 2026, as compared to the same period in 2025, including an unfavorable foreign currency translation impact of$0.6 million.
Previous wording
Proprietary Products -Proprietary Products SG&A costs increased by$4.7 million, or 7.8%, for the three months ended March 31, 2026, as compared to the same period in 2025, including an unfavorable foreign currency translation impact of$2.0 million, due primarily to increased salary and wages.
Current wording
Proprietary Products SG&A costs increased by$12.7 million, or 10.4%, for thesix months ended June 30, 2026, as comparedto the same period in 2025, including an unfavorable foreign currency translation impact of $2.6 million. Proprietary Products SG&A costs increased due primarily to increased salary and wages due to headcount increases and annual inflationary increases and higher annual incentive compensation from a higher projected incentive payout compared to the same period in 2025, which contributed approximately 6% and 3%, respectively, of the SG&A cost increases.
Previous wording
West Vantage -West Vantage SG&A costs increased by$0.2 million, or 2.6%, for the three months ended March 31, 2026, as compared to the same period in 2025, including an unfavorable foreign currency translation impact of$0.2 million.
Current wording
West Vantage SG&A costs increased by$1.5 million, or 10.3%, for thesix months ended June 30, 2026, ascompared to the same period in 2025, including an unfavorable foreign currency translation impact of $0.2 million, due primarily to higher annual incentive compensation from a higher projected incentive payout compared to the same period in 2025 and increased salary and wages due to annual inflationary increases.
Previous wording
Consolidated - Consolidated other expense (income) changed by $16.6 million for the three months ended March 31, 2026, as compared to the same period in 2025, due to the factors described below.
Current wording
Consolidated - Consolidated other expense (income) changed by $7.6 million for thethree months ended June 30, 2026, as compared to the same period in 2025, due to the factors described below.
Previous wording
Proprietary Products - Proprietary Products other expense (income) changed by $0.1 million for thethree months ended March 31, 2026, as compared to the same period in 2025, due primarily to increased contingent consideration expense and foreign exchange losses being recorded in thethree months ended March 31, 2026, as compared to the same period in 2025. This was partially offset by gains being recorded on oil hedges in thethree months ended March 31, 2026, as compared to losses being recorded in the same period in 2025.
Current wording
Proprietary Products other expense (income) changed by $1.0 million for the six months ended June 30, 2026, as compared to the same period in 2025, due primarily to increased contingent consideration expense in the six months ended June 30, 2026, as compared to the same period in 2025, partially offset by gains on oil hedges being recorded in the six months ended June 30, 2026, as compared losses on oil hedges being recorded in the same period in 2025.
Previous wording
West Vantage -West Vantage other expense (income) changed by $0.7 million for thethree months ended March 31, 2026, as compared to the same period in 2025, due primarily to foreign exchange gains being recorded in thethree months ended March 31, 2026, as compared to foreign exchange losses being recorded in the same period in 2025.
Current wording
West Vantage -West Vantage other expense (income) changed by $0.8 million for the three months ended June 30, 2026, as compared to the same period in 2025, due primarily to foreign exchange gains being recorded in the three months ended June 30, 2026, as compared to foreign exchange losses being recorded in the same period in 2025.
Previous wording
Corporate and unallocated items -Corporate and unallocated items changed by $16.0 million for thethree months ended March 31, 2026, as compared to the same period in 2025, due primarily to the Company recording restructuring and other charges of $1.8 million within the three months ended March 31, 2026, as compared to $16.4 million being recorded during the same period in 2025. The Company's 2026 restructuring and other charges within other expense (income) were (i) $0.9 million related to acceleration of depreciation and lease costs in connection with the Company's January 2025 restructuring plan and (ii) $0.9 million related to employee benefit costs in connection with the Company's agreement to sell its SmartDose® 3.5mL On-Body Delivery System and associated facilities to AbbVie. The Company's 2025 restructuring and other charges of $16.4 million related to severance, acceleration of depreciation and lease costs in connection with the Company's January 2025 restructuring plan.
Current wording
Corporate and unallocated items -Corporate and unallocated items changed by $7.5 million for the three months ended June 30, 2026, as compared to the same period in 2025, due primarily to the Company recording restructuring and other charges of $2.3 million within the three months ended June 30, 2026, as compared to $0.2 million being recorded during the same period in 2025. The Company's 2026 restructuring and other charges within other expense (income) were (i) $1.0 million related to acceleration of depreciation and lease costs in connection with the Company's January 2025 restructuring plan and (ii) $1.3 million related to employee benefit costs in connection with the Company's agreement to sell its SmartDose® 3.5mL On-Body Delivery System and associated facilities to AbbVie. The Company's 2025 restructuring and other charges within other expense (income) were $0.2 million related to severance, acceleration of depreciation and lease costs in connection with the Company's January 2025 restructuring plan. Additionally, the Company recorded cost-method investment impairment charges of $3.5 million during the three months ended June 30, 2026 that did not occur in the same period in 2025.
Previous wording
Proprietary Products -Proprietary Products operating profit increased by $58.6 million, or 44.9%, for thethree months ended March 31, 2026, as compared to the same period in 2025, including a favorable foreign currency translation impact of$12.4 million, due to the factors described above, most notably increased customer demand, primarily of high value components, and sales price increases.
Current wording
Proprietary Products -Proprietary Products operating profit increased by $50.2 million, or 31.0%, for the three months ended June 30, 2026, as compared to the same period in 2025, including a favorable foreign currency translation impact of$2.0 million, due to the factors described above, most notably favorable sales mix of HVP components, including GLP-1 products.
Previous wording
West Vantage -West Vantage operating profit increased by$2.1 million, or 15.6%, for the three months ended March 31, 2026, as compared to the same period in 2025, including a favorable foreign currency translation impact of$1.0 million, due to the factors described above, most notably sales price increases and foreign exchange gains, partially offset by increased production costs.
Current wording
West Vantage -West Vantage operating profit decreased by$4.9 million, or 27.5%, for thethree months ended June 30, 2026, as compared to the same period in 2025, including a favorable foreign currency translation impact of$0.1 million, due to the factors described above, most notably inefficiencies associated with production downtime related to the Company’s May 2026 cyber incident, as well as inflationary pressures on our plant spend.
Previous wording
Corporate and unallocated -Excluding the unallocated items, Corporate costs increased by $4.7 million, or 24.6%, for thethree months ended March 31, 2026, as comparedto the same period in 2025, due to the factors described above, most notably the increase in expense related to stock-based compensation.
Current wording
Corporate and unallocated -Excluding the unallocated items, Corporate costs increased by $3.2 million, or 13.2%, for the three months ended June 30, 2026, as comparedto the same period in 2025, due to the factors described above, most notably the increase in expense related to stock-based compensation.
Previous wording
Corporate and unallocated items -Corporate SG&A costs increased by$6.6 million, or 32.8%, for the three months ended March 31, 2026, as compared to the same period in 2025, due primarily to an increase in expense related to stock-based compensation and increased salary and wages.
Current wording
Excluding the unallocated items, Corporate costs increased by $7.9 million, or 18.2%, for the six months ended June 30, 2026, as compared to the same period in 2025, due to the factors described above, most notably the increase in expense related to stock-based compensation.
Previous wording
Interest expense, net, increased by $1.5 million, for thethree months ended March 31, 2026, as compared to the same period in 2025, due primarily to a decline in interest rates on the Company's Term Loan inthree months ended March 31, 2026, as compared to the same period in 2025, as well as a decrease in capitalized interest.
Current wording
Interest expense, net, increased by $2.5 million and $4.0 million for the three and six months ended June 30, 2026, respectively, as compared to the same periods in 2025, due primarily to a decrease in capitalized interest, partially offset by a decline in interest rates on the Company's Term Loan in the three and six months ended June 30, 2026, as compared to the same periods in 2025.
Previous wording
Interest income increased by $1.0 million, for thethree months ended March 31, 2026, as compared to the same period in 2025, due primarily to the Company having a higher average cash balance inthree months ended March 31, 2026, as compared to the same period in 2025.
Current wording
Interest income increased by $0.2 million and $1.2 million for the three and six months ended June 30, 2026, respectively, as compared to the same periods in 2025, due primarily to the Company having a higher average cash balance in three and six months ended June 30, 2026, as compared to the same periods in 2025.
Previous wording
Other nonoperating expense (income) was $0.2 million and $0.2 million for thethree months ended March 31, 2026 and 2025, respectively.
Current wording
Other nonoperating expense (income) was $0.2 million and $0.4 million for thethree and six months ended June 30, 2026 and 2025, respectively.
Previous wording
The provision for income taxes was $44.7 million and $24.1 million for thethree months ended March 31, 2026 and 2025, respectively, and the effective tax rate was 24.8% and 21.8%, respectively. The increase in the effective tax rate is due primarily to a one-time tax cost of $12.0 million associated with an internal legal entity restructuring which occurred in the first quarter of 2026.
Current wording
The provision for income taxes was $76.9 million and $54.3 million for the six months ended June 30, 2026 and 2025, respectively, and the effective tax rate was 21.3% and 20.3%, respectively. The increase in the effective tax rate for the six months ended June 30, 2026, as compared to the same period in 2025, is primarily due to a one-time tax cost of $12.0 million associated with an internal legal entity restructuring which occurred in the first quarter of 2026, partially offset by the impact of favorable changes in our geographic mix of earnings.
Previous wording
The following table presents cash flow data for thethree months ended March 31:
Current wording
The following table presents cash flow data for the six months ended June 30:
Previous wording
Net Cash Provided by Operating Activities – Net cash provided by operating activities decreased by $39.5 million for thethree months ended March 31, 2026, as compared to the same period in 2025, due primarily to fluctuations in working capital and increased incentive payments, partially offset by improved operating results.
Current wording
Net Cash Provided by Operating Activities – Net cash provided by operating activities decreased by $92.6 million for the six months ended June 30, 2026, as compared to the same period in 2025, due primarily to fluctuations in working capital and increased incentive payments, partially offset by improved operating results.
Previous wording
Net Cash Used in Investing Activities – Net cash used in investing activities decreased by $28.6 million for thethree months ended March 31, 2026, as compared to the same period in 2025, due to a decrease in capital expenditures.
Current wording
Net Cash Used in Investing Activities – Net cash used in investing activities decreased by $60.6 million for the six months ended June 30, 2026, as compared to the same period in 2025, due to a decrease in capital expenditures.
Previous wording
Net Cash Used in Financing Activities – Net cash used in financing activities increased by $161.7 million for thethree months ended March 31, 2026, as compared to the same period in 2025, due primarily to an increase in purchases under our share repurchase programs.
Current wording
Net Cash Used in Financing Activities – Net cash used in financing activities increased by $311.6 million for the six months ended June 30, 2026, as compared to the same period in 2025, due primarily to an increase in purchases under our share repurchase programs.
Previous wording
Cash and cash equivalents – Our cash and cash equivalents balance at March 31, 2026 consisted of cash held in depository accounts with banks around the world and cash invested in high-quality, short-term investments. The cash and cash equivalents balance at March 31, 2026 included $98.4 million of cash held by subsidiaries within the U.S., and $423.0 million of cash held by subsidiaries outside of the U.S. During thethree months ended March 31, 2026, we purchased 1,222,019 shares of our common stock under the share repurchase program at a cost of $297.6 million, or an average price of $243.57 per share.
Current wording
Cash and cash equivalents – Our cash and cash equivalents balance at June 30, 2026 consisted of cash held in depository accounts with banks around the world and cash invested in high-quality, short-term investments. The cash and cash equivalents balance at June 30, 2026 included $73.9 million of cash held by subsidiaries within the U.S., and $361.9 million of cash held by subsidiaries outside of the U.S. During the six months ended June 30, 2026, we purchased 1,760,610 shares of our common stock under the share repurchase program at a cost of $454.3 million, or an average price of $258.03 per share.
Previous wording
Working capital – Working capital at March 31, 2026 decreased by $170.5 million, or 12.9%, as compared to December 31, 2025, which includes adecrease of$6.5 million due toforeign currency translation. Excluding the impact of currency exchange rates, cash and cash equivalents decreased by$261.4 million, while accounts receivable increased by$115.6 million.
Current wording
Working capital – Working capital at June 30, 2026 decreased by $156.3 million, or 11.8%, as compared to December 31, 2025, which includes adecrease of$7.2 million due to foreign currency translation. Excluding the impact of currency exchange rates, cash and cash equivalents decreased by $345.6 million, while accounts receivable increased by $144.5 million.
Previous wording
Thedecrease in cash and cash equivalents wasdue to share repurchases and capital expenditures during thethree months ended March 31, 2026, partially offset by cash from operations. The increase in accounts receivable was due to increased net sales leading up to the March 31, 2026 balance sheet date as compared to the December 31, 2025 balance sheet date.
Current wording
Thedecrease in cash and cash equivalents was due to share repurchases and capital expenditures during the six months ended June 30, 2026, partially offset by cash from operations. The increase in accounts receivable was due to increased net sales leading up to the June 30, 2026 balance sheet date as compared to the December 31, 2025 balance sheet date.
Previous wording
Debt and credit facilities – The total debt balance of $202.8 million at March 31, 2026 is consistent with the total debt balance at December 31, 2025.
Current wording
Debt and credit facilities – The total debt balance of $202.9 million at June 30, 2026 is consistent with the total debt balance of $202.8 million at December 31, 2025.
Rearranged current paragraphs (3)
Current report — wording carried from elsewhere
The following table presents net sales, consolidated and by reportable segment, for the six months ended June 30, 2026 and 2025:
Current report — wording carried from elsewhere
Proprietary Products - Proprietary Products other expense (income) changed by $0.9 million for the three months ended June 30, 2026, as compared to the same period in 2025, due primarily to increased contingent consideration expense and increased losses on oil hedges recorded in the three months ended June 30, 2026, as compared to the same period in 2025.
Current report — wording carried from elsewhere
West Vantage other expense (income) changed by $1.5 million for the six months ended June 30, 2026, as compared to the same period in 2025, due primarily to foreign exchange gains being recorded in the six months ended June 30, 2026, as compared to foreign exchange losses being recorded in the same period in 2025.