After Delaying Earnings, Catalent Posts Larger-Than-Expected Q3 Loss Due To Production Challenges

Catalent Inc CTLT announced its Q3 FY23 results after delaying it twice last month.
The company reported revenue of $1.04 billion, down 19% as reported, or 17% in constant currency, beating the consensus of $952.66 million.
Overall organic net revenue decreased by 19% over the same period.
"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 Alessandro Maselli, President & CEO.
The company reported an adjusted net loss was $(17) million, or $(0.09) per diluted share, compared to a profit of $188 million, or $1.04 per diluted share, a year ago and the consensus loss of $(0.03).
In April, Catalent reported productivity challenges and higher-than-expected costs at its drug product and drug substance manufacturing facilities in Bloomington, Indiana, and Brussels, Belgium.
Guidance: The company expects FY23 sales of $4.225-$4.325 billion, compared to previous guidance of $4.25-$4.35 billion and the consensus of $4.29 billion.
Catalent forecasts adjusted EBITDA of $700 million - $750 million, down from $725 million - $775 million expected earlier, and adjusted net income of $169 million - $210 million versus $187 million - $228 million expected earlier.
Price Action: CTLT shares are up 3.07% at $40.01 premarket on the last check Monday.

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