West Pharma raises profit forecast as dollar weakens amid Trump’s tariff policies

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(Reuters) -West Pharmaceutical Services raised its annual profit forecast on Thursday, anticipating a boost from a weaker dollar to shield it from a potential hit from U.S. President Donald Trump’s tariffs.

The Pennsylvania-based company said it expected a $20 million to $25 million hit from Trump’s shifting trade policies.

However, the company generates around half of its revenue from international markets, and its sales forecast now accounts for a $5 million impact from currency fluctuations compared with a $75 million hit it estimated earlier.

“We are closely monitoring potential impacts, both political and macroeconomic, in order to react as quickly as possible with offsetting mitigating measures,” said West’s CEO Eric Green.

The medical equipment maker raised its annual sales forecast to between $2.95 billion and $2.98 billion, from $2.88 billion to $2.91 billion previously.

West Pharma has earlier also said it anticipates an increase in demand for its syringes and cartridges due to the extraordinary demand for weight-loss and diabetes drugs by Novo Nordisk and Eli Lilly.

The company now forecast 2025 adjusted profit in the range of $6.15 to $6.35 per share, compared with $6 to $6.20 per share earlier.

Separately, West also said that chief financial officer, Bernard Birkett, will step down from his position.

Sales for the first quarter rose 0.4% to $698 million, beating analysts’ average estimates of $685.8 million, according to data compiled by LSEG.

On an adjusted basis, the company posted a quarterly profit of $1.45 per share, above analysts’ expectations of $1.23.

(Reporting by Puyaan Singh in Bengaluru; Editing by Leroy Leo)