By Yamini Kalia (Reuters) -British drugmaker Indivior on Thursday issued its second profit and revenue warnings in three months, citing lower than expected sales from its opioid addiction treatment, sending its shares down as much as 21.5%. The company said that revenues from its opioid addiction treatment Sublocade have been negatively impacted by the rapid […]
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Indivior’s opioid treatment sales slump prompts second profit warning
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By Yamini Kalia
(Reuters) -British drugmaker Indivior on Thursday issued its second profit and revenue warnings in three months, citing lower than expected sales from its opioid addiction treatment, sending its shares down as much as 21.5%.
The company said that revenues from its opioid addiction treatment Sublocade have been negatively impacted by the rapid adoption of Brixadi, a competing drug developed by Swedish pharmaceutical firm Camurus.
“Looking further out, we now expect a period of slower growth for Sublocade in the near term,” said CEO Mark Crossley in a call with analysts.
The company, which expects Sublocade to generate more than half of its annual revenue, said it no longer expects the treatment will exit 2025 at a $1 billion net revenue run rate.
“We also are actively evaluating actions to fuel Sublocade growth and to support margins,” Crossley said in the earnings statement.
Indivior, whose opioid addiction drug is made available by the U.S. Criminal Justice System (CSJ) for the rehabilitation of drug users, said the timing of funding among certain CJS accounts was also hurting its revenue.
Shares of the company fell as much as 21.5% to 564 pence – their lowest since 2021.
Indivior expects adjusted operating profit between $260 million to $280 million, down from expectations of $285 million to $320 million.
The London-listed company also cut its revenue forecast to $1.13 billion to $1.17 billion for the full year, down from prior range of $1.15 billion to $1.22 billion.
The drugmaker had slashed its 2024 profit forecast in July while signalling a slowdown in sales of its top-selling opioid addiction treatment, and had discontinued sales of its schizophrenia drug Perseris.
It also took an $86 million hit in the same month in a settlement over its alleged role in spreading opioid addiction across the United States.
The trial alleged that Indivior’s manufacture of buprenorphine-based products meant to treat opioid abuse could fuel addiction if misused.
(Reporting by Yamini Kalia in Bengaluru; Editing by Varun H K, Tasim Zahid and Louise Heavens)