Valeant Pharmaceuticals International Inc (NYSE:VRX) slumped again as it warned its recovery was taking longer than expected.
The embattled Canadian drug group posted a third quarter net loss of US$1.22bn and indicated 2017 might be another ‘down year’ as it downgraded forecasts for 2016.
Valeant has been dogged by price scandals and boardroom upheaval but blamed the figures this time on generic competition to heart drug Nitropress and a write-down in the for sale Salix business.
The Canadian firm now expects adjusted 2016 earnings of US$5.30 to US$5.50 a share on US$9.55bn to US$9.65bn in sales for the year compared to $6.60 to $7 a share and $9.9bn and $10.1bn predicted in June.
Valeant is reportedly on the verge of selling Salix to Japan’s Takeda for US$10bn.
Revenue in the latest quarter fell 11% to $2.48 bn. The company is about US$30bn in debt.
Shares fell 20% to US$15.39.
Story by ProactiveInvestors