West Pharmaceutical Services Inc. (NYSE: WST) shares are trading lower by 11.94% to $224.02 during Thursday's session after the company reported worse-than-expected Q3 EPS and sales results and lowered FY22 adjusted EPS guidance below estimates.
What Happened?
West Pharmaceutical reported quarterly earnings of $2.03 per share which missed the analyst consensus estimate of $2.12.
The company also reported quarterly sales of $686.90 million which missed the analyst consensus estimate of $731.61 million by 6%. This sales figure represents a 3% decrease over sales of $706.50 million in the same period last year.
West Pharmaceutical lowered FY22 adjusted EPS guidance from as low as $9.00 to as high as $9.15, to as low as $8.15 or as high as $8.20, which is lower than the analyst consensus estimate of $9.07.
"While our base, non-COVID-19 demand continues to grow, we have had multiple constraints that impacted our financial results," said Eric M. Green, President, Chief Executive Officer and Chair of the Board.
"Delays in expansion projects as well as customer delivery timing and mix-shift related productivity impacts resulted in lower-than-expected overall high-value product (HVP) net sales. We expect to resolve these issues in early 2023."
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