Indivior stock tumbles 20% on weak 2025 guidance

Published 20/02/2025, 12:44
© Reuters.

Investing.com -- Shares of Indivior PLC (LON:INDV) plummeted 20% following the company’s fiscal year 2025 guidance that fell short of market expectations.

Indivior provided a revenue forecast range of $955 million to $1.025 billion, which is 9% below the consensus and represents a 17% decrease YoY. The company’s adjusted EBIT guidance of $185 million to $225 million is also below expectations, showing a 34% decline YoY and 14% below the market consensus.

The significant drop in Indivior’s stock price is largely attributed to weaker-than-anticipated guidance for Sublocade sales and Suboxone, which are driving the overall revenue and adjusted EBIT shortfall.

According to the company’s announcement, Sublocade sales are expected to reach $725 million to $765 million, down 1% YoY and 3% below consensus.

The guidance anticipates a more than 50% erosion in Suboxone sales and includes the impact of discontinuing Perseris, which was announced in the second quarter of 2024 and accounts for 3 percentage points of the revenue decline. The OPEX guidance is 7% below the consensus of $664 million.

Morgan Stanley (NYSE:MS) analysts commented: "Investors will focus on the below-expectations Sublocade guidance which is caused by competition and funding issues in the criminal justice system." 

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