reported disappointing third-quarter results and said its full-year financials will likely fall short of estimates, sending its shares sinking Wednesday.
The company reported revenue of $86.3 million, mostly from its medical-products segment and royalty revenue, in the third quarter. Analysts surveyed by Thomson First Call were expecting $95.9 million.
Of total revenue, $42 million came from sales of drug-coated stents by device maker
. The stents use Angiotech's paclitaxel drug technology.
Angiotech earned $6.9 million, or 9 cents a share, but excluding charges, it would have had a profit of 19 cents. Still, analysts were looking for 20 cents a share.
Additionally, Angiotech reduced its full-year earnings and revenue guidance, partly because of costs it expects to incur in the fourth quarter for product development, sales and marketing. The company now sees a profit of 70 cents to 72 cents a share for 2006, down from its old projection of 79 cents to 81 cents a share.
The company expects to report revenue of $302 million to $306 million vs. its previous estimate of $325 million to $335 million. Product sales are expected to be $138 million to $140 million for the full year. Angiotech previously anticipated $155 million to $163 million.
Shares of Angiotech were slumping 7.9% to $8.75.