Shares plummet as company reports significant revenue decline and revised outlook

  • Avid Bioservices shares dropped 19% after 2Q revenue miss and lowered FY guidance
  • Revenue for the fiscal second quarter fell to $25.4 million compared to $34.8 million last year
  • Quarterly loss of $9.5 million, compared to a loss of $1.2 million in the year-ago period
  • Avid Bioservices now expects revenue of $137 million to $147 million for the year

Shares of Avid Bioservices dropped 19% in pre-market trading after the company reported a significant revenue miss and lowered its guidance for the year. The biotechnology company’s revenue for the fiscal second quarter fell to $25.4 million, compared to $34.8 million in the same period last year. This decline was attributed to fewer manufacturing runs and lower in-process development services. Avid Bioservices also reported a quarterly loss of $9.5 million, compared to a loss of $1.2 million in the year-ago period. The company now expects revenue of $137 million to $147 million for the year, down from its previous guidance of $145 million to $165 million.

Factuality Level: 8
Factuality Justification: The article provides specific information about Avid Bioservices’ revenue miss and lowered guidance, including the actual revenue figures and analyst forecasts. It also mentions the reasons for the revenue drop and the company’s quarterly loss. However, the article lacks additional context or analysis, and it does not provide any opposing viewpoints or perspectives.
Noise Level: 3
Noise Justification: The article provides factual information about Avid Bioservices’ revenue miss and lowered guidance. It includes data on the company’s revenue for the fiscal second quarter, the reasons for the revenue drop, and the quarterly loss. It also mentions the analysts’ forecast and the company’s revised revenue expectations for the year. However, the article lacks in-depth analysis, antifragility considerations, and actionable insights.
Financial Relevance: Yes
Financial Markets Impacted: Shares of Avid Bioservices
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Rating Justification: The article pertains to financial topics as it discusses the drop in shares of Avid Bioservices due to a significant revenue miss and lowered guidance for the year. However, there is no mention of an extreme event.
Public Companies: Avid Bioservices (N/A)
Key People:

Reported publicly: www.marketwatch.com