Investing.com – Shares of Indivior tumbled on Tuesday after the British pharmaceutical company issued a profit warning for 2024 and announced it would halt sales of its schizophrenia drug Perseris.
At 07:00 ET (11:00 GMT), Indivior shares fell more than 36% to 751.25p, the lowest price this year.
Indivior cited adverse market conditions impacting its top-selling opioid addiction treatment, with its Sublocade drug facing intense competition from the launch of a rival, as well as the end of pandemic measures that have led to loss of coverage in the United States for some people were enrolled in government-backed Medicaid plans.
The drugmaker said it now expects to generate revenue of $1.150-$1.215 billion for 2024, down from previous expectations of $1.240-$1.330 billion, with adjusted operating profit of $285-$320 million, compared to previous projections of $330-$380 million.
Indivior also said it has taken “decisive action that we believe is in the best interests of shareholders” by halting the sale of Perseris.
However, over the longer term, Indivior still expects to have net sales of $1 billion and peak sales of >$1.5 billion by 2025,” Jefferies said.
The investment bank maintained a buy rating on Indivior, with a price target of 2,390p.
