01—Abstract
Summary
Summary of the 10-K filed February 17, 2026. Cited figures are marked; the original filing is the authoritative source.
West Pharmaceutical Services, Inc. (NYSE: WST) reported 2025 net sales of $3.07 billiona, up 6.3% from $2.89 billion in 2024, including a favorable foreign currency translation impact of $56.4 million; excluding currency effects, net sales rose 4.3%.
Proprietary Products sales grew 6.8% to $2.49 billionb, driven by Westar®, NovaChoice® and Envision® products, partially offset by approximately $47 million in customer incentives received in 2024 that were not repeated in 2025. Contract-Manufactured Products sales rose 4.2% to $582.0 million. GAAP operating profit increased 2.6% to $584.9 million, and net income was $493.7 million, or $6.79 per diluted share, versus $6.69 in 2024.
Adjusted operating profit, a non-GAAP measure that excludes unallocated items such as restructuring charges, was $622.4 millionc (20.2% margin), up 8.7%. Gross margin improved to 35.9% from 34.5%, while SG&A rose 16.3% to $393.6 million, largely on higher incentive compensation. Cash flow and balance sheet strengthened.
Operating cash flow was $754.8 milliond, and cash and cash equivalents ended the year at $791.3 million versus $484.6 million. Total debt was $202.8 million, and the $500.0 million revolving credit facility had no outstanding borrowings at year end. Share repurchases totaled $134.0 million in 2025, down from $560.9 million in 2024.
On February 17, 2026, the Board authorized a new $1.0 billion share repurchase program. Capital expenditures were $285.9 million.
The company agreed in December 2025 to sell its SmartDose® 3.5mL On-Body Delivery System manufacturing and supply rights to AbbVie for approximately $112.5 million, expected to close in mid-2026. A securities class action filed in May 2025 remains at an early stage, and the company is unable to estimate potential losses.
02—Key points
Key Highlights
- Net sales of $3.07 billion in 2025, up 6.3% (4.3% excluding foreign currency translation), with Proprietary Products up 6.8% to $2.49 billion.
- GAAP diluted EPS of $6.79 in 2025 versus $6.69 in 2024; adjusted diluted EPS (non-GAAP) of $7.29 versus $6.75.
- Gross profit rose 10.6% to $1.10 billion, with consolidated gross margin up to 35.9% from 34.5%; Proprietary Products gross margin reached 40.5%.
- Operating cash flow of $754.8 million; year-end cash and equivalents of $791.3 million against total debt of $202.8 million.
- Share repurchases fell to $134.0 million in 2025 from $560.9 million in 2024; a new $1.0 billion repurchase program was authorized on February 17, 2026.
- One customer accounted for 15.8% ($485.9 million) of consolidated net sales, and the ten largest customers accounted for 47.6%.
- Agreed to sell SmartDose® 3.5mL On-Body Delivery System rights to AbbVie for approximately $112.5 million, expected to close in mid-2026.
03—One dollar
Follow one dollar
Of each $1.00 of revenue in FY2025, West Pharmaceutical Services kept $0.16.
- Revenue$3.07B100.0%
- Cost of revenue−$1.97B64.1%
- Gross profit$1.10B35.9%
- Operating costs−$519.1M16.9%
- Operating income$584.9M19.0%
- Interest, other & tax−$91.2M3.0%
- Net income$493.7M16.1%
Where FY2025 revenue went
$3.07B- Cost of revenue: $1.97B, 64% of revenue
- Net income: $493.7M, 16% of revenue
- SG&A: $393.6M, 13% of revenue
- R&D: $74.3M, 2.4% of revenue
- Other operating costs: $51.2M, 1.7% of revenue
- Interest, other & tax: $91.2M, 3.0% of revenue
Kept 16% as net income
Full revenue history →04—Financials
Financial Highlights
Figures from 10-KFY2025filed February 17, 2026Financial Statements
FY2025 against FY2024
| Line item | FY2025FY2024 | Change |
|---|---|---|
| Revenue | $3.07B$2.89B | +6.3% |
| Cost of Revenue | $1.97B$1.89B | +4.0% |
| Gross Profit | $1.10B$998.50M | +10.6% |
| R&D Expenses | $74.30M$69.10M | +7.5% |
| SG&A Expenses | $393.60M$338.50M | +16.3% |
| Operating Income | $584.90M$569.90M | +2.6% |
| Interest Expense | $15.10M$16.20M | −6.8% |
| Net Income | $493.70M$492.70M | +0.2% |
| EPS (Basic) | $6.83$6.75 | +1.2% |
| EPS (Diluted) | $6.79$6.69 | +1.5% |
| Shares Outstanding (Basic) | 72.30M73.00M | −1.0% |
| Shares Outstanding (Diluted) | 72.70M73.70M | −1.4% |
05—Questions
Frequently Asked Questions
How did West Pharmaceutical perform financially in 2025?
Net sales rose 6.3% to $3,074.1 million, including a $56.4 million favorable currency effect. GAAP operating profit increased 2.6% to $584.9 million and net income was $493.7 million, or $6.79 per diluted share. Adjusted operating profit, which excludes unallocated items such as restructuring charges, was $622.4 million.
What drove growth in the Proprietary Products segment?
Segment net sales rose $157.6 million, or 6.8%, with $44.7 million from favorable currency translation. Excluding currency, growth was 4.8%, driven mainly by Westar®, NovaChoice® and Envision® products. These gains were partially offset by approximately $47 million in customer incentives received in 2024 that were not repeated in 2025.
How much exposure does West have to a single customer?
One customer individually accounted for 15.8%, or $485.9 million, of consolidated net sales in 2025, contributing to both the Proprietary and Contract-Manufactured Products segments. The ten largest customers together accounted for 47.6% of net sales.
What are the company's capital return and balance sheet positions?
The company repurchased $134.0 million of shares in 2025 and paid $61.2 million in dividend payments. Debt was $202.8 million, and no amounts were borrowed under the $500.0 million multi-currency revolving credit facility at year end. On February 17, 2026, the Board authorized a new $1.0 billion share repurchase program with no expiration date.
What legal and divestiture matters are pending?
A securities class action filed on May 5, 2025 alleges violations of Sections 10(b), 20(a) and 20A of the Exchange Act. The company believes the claims are without merit, and because the case is at an early stage it cannot estimate potential losses. Separately, the company agreed in December 2025 to sell its SmartDose® 3.5mL On-Body Delivery System manufacturing and supply rights to AbbVie for approximately $112.5 million, expected to close in mid-2026.
06—Continue