Shares of Catalent Inc. CTLT sank 5.2% toward a 4 1/2-year low in premarket trading Friday, after the manufacturer of products used by drug makers and consumer health companies cut its full-year revenue outlook, citing operational challenges and higher costs. The company now expects 2023 revenue of $4.250 billion to $4.350 billion from $4.625 billion to $4.875 billion, which compares with the FactSet consensus of $4.427 billion. The company also cut its guidance range for net income excluding nonrecurring items, to $187 million to $228 million from $567 million to $648 million, while raising its guidance for capital expenditures (capex) to about $550 million from about 4500 million. Earlier Friday, the company disclosed that it had been notified by the New York Stock Exchange (NYSE) that it was not in compliance with listing standards, given the late filing of its audited quarterly results. The stock, which was on track to open at the lowest price seen during regular-session hours since January 2019, has tumbled 28.6% year to date while the S&P 500 SPX has gained 9.3%.
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