financetom
Business
financetom
/
Business
/
Catalent misses Q1 revenue estimates ahead of $16.5 billion deal close with Novo Holdings
News World Market Environment Technology Personal Finance Politics Retail Business Economy Cryptocurrency Forex Stocks Market Commodities
Catalent misses Q1 revenue estimates ahead of $16.5 billion deal close with Novo Holdings
Nov 6, 2024 12:25 AM

(Reuters) - Contract drug manufacturer Catalent ( CTLT ), which is in the process of being acquired by Novo Holdings, posted a surprise first-quarter loss and revenue below Wall Street estimates on Tuesday.

WHY IT'S IMPORTANT

The company provides filling and packaging services for syringes and injection pens in sterile conditions, including for Danish drugmaker Novo Nordisk's popular weight-loss treatment Wegovy.

Novo Holdings, the investment firm that has a controlling interest in Novo Nordisk, agreed to buy Catalent ( CTLT ) in February to boost the supply of Wegovy.

CONTEXT

Catalent ( CTLT ) said the deal is expected to close towards the end of this year, after which the parent firm will sell three of the contract manufacturer's key fill-finish sites to Novo Nordisk for $11 billion.

On Monday, a regulatory filing showed EU antitrust regulators will decide by Dec. 6 whether to clear the deal.

In May, the U.S. Federal Trade Commission had sought more information on the deal.

The deal has been criticized by some U.S. consumer and labor groups that have urged the FTC to block it, saying it threatens competition in the booming weight-loss drugs industry.

Drugmakers Roche and Eli Lilly have also expressed concerns.

BY THE NUMBERS

Catalent's ( CTLT ) revenue for fiscal first quarter ended Sept. 30 was $1.02 billion, marginally below analysts' estimates of $1.06 billion, according data compiled by LSEG.

Revenue from its biologics segment was $461 million, missing expectations of $470.57 million.

Its pharmaceuticals and consumer health segment posted sales of $563 million, below estimates of $566.60 million.

Catalent ( CTLT ) posted a quarterly adjusted loss of 13 cents per share. Analysts were expecting a profit of 5 cents.

Comments
Welcome to financetom comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
Related Articles >
CFPB sues Comerica Bank over allegations of failing disabled and older Americans
CFPB sues Comerica Bank over allegations of failing disabled and older Americans
Dec 6, 2024
(Reuters) - Regional lender Comerica Bank faces allegations it systematically mistreated millions of mostly disabled and elder customers and could pay penalties under new civil enforcement action, the U.S. watchdog agency for consumer finance announced Friday. The Consumer Financial Protection Bureau said it was suing Comerica for failing 3.4 million Direct Express card holders -- who the agency said were...
Victoria's Secret Lifts FY24 Guidance After Strong Q3: Sees Holiday Momentum
Victoria's Secret Lifts FY24 Guidance After Strong Q3: Sees Holiday Momentum
Dec 6, 2024
Victoria's Secret & Co. shares are trading higher after the company reported third-quarter results yesterday. Revenue rose 7% year over year (Y/Y) to $1.347 billion, beating the consensus of $1.294 billion. Total comparable sales for the quarter increased 3% Y/Y. Sales was led by mid-single digit growth in North America and 20+% growth from the International business. Adjusted operating loss stood at $28 million vs. loss...
--American Water Works Keeps Quarterly Dividend at $0.765 a Share, Payable March 4 to Shareholders of Record on Feb. 7
--American Water Works Keeps Quarterly Dividend at $0.765 a Share, Payable March 4 to Shareholders of Record on Feb. 7
Dec 6, 2024
10:07 AM EST, 12/06/2024 (MT Newswires) -- Price: 132.03, Change: -0.07, Percent Change: -0.05 ...
Lee Enterprises, Perplexity Collaborate to Enhance Local Journalism With AI
Lee Enterprises, Perplexity Collaborate to Enhance Local Journalism With AI
Dec 6, 2024
10:12 AM EST, 12/06/2024 (MT Newswires) -- Lee Enterprises ( LEE ) said Friday it partnered with artificial intelligence search engine Perplexity as part of its publishers' program. This partnership demonstrates Lee's commitment to enhancing local journalism by utilizing AI to deliver content more effectively, foster deeper audience connections, and explore innovative revenue opportunities, according to the company. Price: 16.01,...
Copyright 2023-2026 - www.financetom.com All Rights Reserved