Catalent adds 11% as Q3 report shines after multiple delays
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Contract manufacturer Catalent (NYSE:CTLT) added ~11% in the morning hours Monday after finally beating Street forecasts with its Q3 report for FY23, following numerous delays due to accounting adjustments.
Catalent's (CTLT) revenue for the quarter surpassed expectations to reach $1.0B despite a ~19% YoY decline as the company deals with its previously disclosed operational challenges at some of its manufacturing sites.
Net revenue from the Biologics segment fell ~32% YoY to $475M, while Pharma and Consumer Health brought $563M to make up ~54% of the topline, indicating a ~2% YoY drop.
From $141M of net earnings in the prior year's quarter, the company swung to a net loss of $227M, driven by a goodwill impairment of $210M, including $42M of deferred tax adjustment.
The adj. EBITDA fell ~69% YoY to $105M making up ~10% of net revenue compared to ~27% in Q3 FY22.
Catalent (CTLT) lowered its full-year outlook for net revenue and adj. EBITDA to $4,225M - $4,325M and $700M – $750M from $4,250M – $4,350M and $725M – $775M, respectively. According to Bloomberg, the consensus for CTLT indicates $4.3B in net revenue and $785.8M of adj. EBITDA for FY23.