Computed from published fixed rules, not a model's judgement — though one input, the count of high-severity risks, comes from the AI analysis below.
Not investment advice and not a price target: it scores the quarter's fundamentals, not the stock. Full methodology →
AI Takeaway
West Pharmaceutical Services (WST) delivered strong Q2 FY2026 results with revenue up 13.8% YoY to $872.3M and net income up 16.8% to $154.0M, driven by robust Proprietary Products demand (HVP components and delivery devices tied to GLP-1 and Biologics growth), though West Vantage segment profitability was pressured by a May 2026 cybersecurity incident.
Revenue
$872.3M
+13.80% YoY
EPS (Diluted)
$2.15
+18.13% YoY
Gross Margin
37.7%
+2.0 pts YoY
Operating Income
$179.1M
+16.53% YoY
Source: SEC XBRL
West Pharmaceutical Services (WST) reported Q2 FY2026 revenue of $872.3M, up 13.8% year over year. Operating margin was 20.5%, up 0.4 points from 20.1% a year earlier. WST's fiscal Q2 FY2026 corresponds to calendar Q2 2026.
Last 4 quarters: 4 beats
| Quarter | Actual EPS (USD) | Consensus (USD) | Result |
|---|---|---|---|
| Jun 2026 | 2.37 | 2.10 | Beat +12.8% |
| Mar 2026 | 2.13 | 1.69 | Beat +25.8% |
| Dec 2025 | 2.04 | 1.85 | Beat +10.2% |
| Sep 2025 | 1.96 | 1.70 | Beat +15.4% |
Compiled by AI from 10-Q Item 2 of this filing
Proprietary Products net sales increased 16.6% (15.5% organic) to $722.6M in Q2 FY2026, with HVP components sales up 18.4% (ex-FX) driven by continued strong customer demand for Biologics and GLP-1 products, and HVP delivery devices up 29.2% (ex-FX) driven by demand for self-injection devices, particularly SmartDose 3.5mL ahead of its July 2026 divestiture to AbbVie.
Source: 10-Q Item 2 MD&A
West Vantage net sales grew only 2.0% (0.8% organic) to $149.7M, with revenue growth negatively impacted by approximately $7 million from production downtime associated with the Company's May 2026 cyber incident; segment operating profit fell 27.5% YoY to $12.9M and gross margin contracted 3.3 percentage points to 14.2%.
Source: 10-Q Item 2 MD&A
Consolidated gross profit margin rose 2.0 percentage points to 37.7% in Q2 FY2026, with Proprietary Products gross margin up 2.5 points to 42.6% due to favorable sales mix of HVP components (including GLP-1 products) and price increases, partially offset by inflationary pressures and plant costs.
Source: 10-Q Item 2 MD&A
The Company recorded $6.4M in pre-tax charges in Q2 FY2026 related to M&A activities, including the agreement to sell its SmartDose 3.5mL On-Body Delivery System and associated facilities to AbbVie, alongside $1.5M in restructuring charges and a $3.5M cost-method investment impairment, all excluded from adjusted operating profit of $197.4M (22.6% adjusted margin).
Source: 10-Q Item 2 MD&A
The effective tax rate for Q2 FY2026 was 17.9%, down from 19.2% in the prior-year period, reflecting favorable changes in the Company's geographic mix of earnings, though the six-month effective tax rate rose to 21.3% due to a one-time $12.0M tax cost from an internal legal entity restructuring in Q1 FY2026.
Source: 10-Q Item 2 MD&A
Compiled by AI from 10-Q Item 1A of this filing · 2 high, 2 medium, 0 low
In May 2026, the Company experienced a material cybersecurity attack in which data was exfiltrated and certain systems were encrypted, temporarily disrupting global operations and requiring the Company to proactively take systems offline worldwide for containment. Although the incident has been contained and operations have fully recovered, it contributed to nonrecurring professional fees and negatively impacted West Vantage revenue by approximately $7 million due to production downtime.
Source: 10-Q Item 1A
The filing notes that techniques used to gain unauthorized access to data and systems are constantly evolving, including through the use of artificial intelligence, and the Company may not discover all incidents or be able to respond promptly or sufficiently. Adverse impacts to IT systems or data availability, integrity, or confidentiality could require significant additional costs to modify systems or remediate attacks.
Source: 10-Q Item 1A
Although the Company carries cybersecurity insurance, there is no assurance that policy limits are sufficient to cover all potential losses, damages, or fines from future incidents, or that such insurance will remain available on economically reasonable terms in the future. This leaves residual financial exposure from future cyber incidents.
Source: 10-Q Item 1A
The Company's systems are subject to regulations preserving the privacy of data held on those systems, and failure to comply with regulations or prevent unauthorized access, release, or corruption of confidential or customer information could damage the Company's reputation and result in financial losses.
Source: 10-Q Item 1A
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Revenue $M | 872.30 $M | 766.50 $M | +13.80% |
Cost of Revenue $M | 543.10 $M | 492.60 $M | +10.25% |
Gross Profit $M | 329.20 $M | 273.90 $M | +20.19% |
Operating Income $M | 179.10 $M | 153.70 $M | +16.53% |
Net Income $M | 154.00 $M | 131.80 $M | +16.84% |
EPS (Basic) $ | 2.17 $ | 1.82 $ | +19.23% |
EPS (Diluted) $ | 2.15 $ | 1.82 $ | +18.13% |
R&D Expense $M | 19.70 $M | 19.10 $M | +3.14% |
SG&A Expense $M | 117.60 $M | 95.90 $M | +22.63% |
Answers draw on this SEC filing and the data on this page
Expected release date, analyst estimates & what to watch
WST delivered a strong Q1 FY2026 with revenue surging 21.0% YoY to $844.9M and operating income jumping 65.5% to $177.1M, driven by significant margin expansion, though operating cash flow declined 30.5% amid aggressive share buybacks.
WST delivered solid FY2025 results with revenue growing 6.3% to $3.07B and gross margin expanding 140 bps to 35.9%, though net income was nearly flat at $493.7M (+0.2%) as SG&A costs surged 16.3%.
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