Revenue and EPS Beat Expectations
First quarter revenues and adjusted EPS exceeded expectations, largely driven by the GLP-1 market and reduced impact from industry-wide destocking.
Growth in Proprietary Products and Biologics
Proprietary products business grew by 0.6% (2.4% on an organic basis), with HVP components experiencing a CAGR of 13% over the past five years. Biologics market unit delivered mid-single digit organic net sales growth.
AnnexOne Progress
AnnexOne revenues were stronger than expected, contributing 200 basis points of total revenues, with 340 projects in various stages, up from 280 in the last earnings call.
GLP-1 Auto Injector Business Growth
Revenue growth in the GLP-1 auto injector business offset CGM contract exits, delivering low single digit growth for the contract manufacturing segment.
Improved Operating Margins
Gross profit margin increased by 10 basis points to 33.2%, and adjusted operating profit margin increased by 20 basis points to 17.9% year-over-year.