Catalent shares rose by double digits on Monday after the contract drug maker reported a third-quarter fiscal 2023 revenue beat, despite swinging to a loss and slashing its fiscal 2023 outlook for sales and profit.
For the quarter ended March 31, 2023, Catalent posted revenue of $1.04 billion, down 19% from the year-ago quarter but ahead of the Street’s expectation of $952.7 million.
Its adjusted loss per share of $0.09 or $17 million was better than the expected $0.13 loss per share and compares to a profit per share of $1.04 or $188 million in the year-ago quarter.
The company also downwardly revised its fiscal 2023 revenue outlook from a range of $4.25 billion to $4.35 billion to a range of $4.23 billion to $4.33 billion.
Catalent now expects an adjusted net profit of between $169 million to $210 million for the financial year, compared to its previous forecast of between $187 million to $228 million.
"We continue to make progress in addressing our previously announced operational challenges, while also completing our strategic investments in high-demand, high-growth areas and executing a company-wide cost-reduction plan," said Catalent CEO Alessandro Maselli in a statement.
“The fundamentals of our business remain strong, with durable customer demand for our global services and our talented colleagues continuing to deliver on some of the most complex and significant programs in the contract development and manufacturing organization (CDMO) industry.”
Catalent shares had risen 11.1% late morning on Monday.
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