Catalent, Inc. (CTLT) Q1 2023 Earnings Call Transcript

For the period ending September 30, 2022

November 1, 2022 8:15 a.m. ET

Prepared Remarks

Questions and Answers

Call Participants

Prepared Remarks:

Operator

Hello everyone and welcome to the Catalent Inc. First Quarter Fiscal Year 2023 Earnings Conference Call. My name is Daisy and I'll be coordinating your call today.

I would now like to hand the call over to your host Paul Surdez Vice President of Investor Relations to begin. So, Paul, please go ahead.

Paul Surdez - VP, IR

Thanks Daisy. Good morning everyone and thank you all for joining us today to review Catalent's first quarter 2023 financial results. Joining me on the call today are Alessandro Maselli, President and Chief Executive Officer; and Tom Castellano, Senior Vice President and Chief Financial Officer.

Please see our agenda for today's call on Slide two of our supplemental presentation which is available on our Investor Relations website at investor.catalent.com. During our call, today management will make forward-looking statements and refer to GAAP and non-GAAP financial measures. It is possible that actual results could differ from management's expectations. We refer you to slide three for more detail on forward-looking statements, slides four and five discuss Catalent's use of non-GAAP financial measures, and our just issued earnings release provides reconciliations to the most directly comparable GAAP measures.

Please also refer to Catalent's Form 10-Q that will be filed with the SEC today for additional information on the risks and uncertainties that may bear on our operating results, performance, and financial condition.

Now, I would like to turn the call over to Alessandro Maselli, whose opening remarks will begin on slide six of the presentation.

Alessandro Maselli - President & CEO

Thanks Paul and welcome everyone to the call. We started the year with solid results and positive momentum as a strong constant currency growth in excess of 25% in non-core related revenues helped offset headwinds from lower COVID product demand, inflation, and unfavorable foreign exchange translation.

First, I would like to highlight that the results of the -- in the first quarter were initially expected to include $54 million of revenues and adjusted EBITDA related to the resolution of take-or-pay contracts for fill and finish of the Janssen viral vector COVID-19 vaccine at our Bloomington and Anagni sites.

We agreed that on determination of the contracts, which reflect the changing demand patterns for the COVID-19 vaccines in order to accommodate these long-standing and significant customer as we set a new and strengthened framework for our growing partnership.