Shares of MannKind Corporation (NASDAQ: MNKD), a biopharmaceutical company focused on the development and commercialization of inhaled therapeutic products, plunged over 5% in pre-market trading on November 8, 2024, despite reporting better-than-expected Q3 earnings the previous day.

On November 7, MannKind reported Q3 2024 adjusted earnings per share of $0.05, beating analysts' estimates of $0.03. However, the company's revenue of $19.73 million fell significantly short of expectations, coming in at nearly 61.5% lower than the year-ago quarter.

During the earnings call, MannKind provided updates on its various products and pipeline. While the company highlighted the strong growth of its collaboration with United Therapeutics for the Tyvaso DPI and the progress made with its pipeline candidates, such as clofazimine inhalation (MNKD-101) for NTM lung disease and nintedanib DPI (MNKD-201) for IPF, investors appeared to be concerned about the performance of its flagship product, Afrezza.

Afrezza, an inhaled insulin product for diabetic patients, saw its net revenue grow by 12% year-over-year in Q3 2024, primarily driven by higher demand and improved gross-to-net adjustments. However, the company acknowledged facing headwinds throughout the year, including payers implementing double step edits and a shift in inventory at Walgreens and one of its specialty pharmacies.

While MannKind expressed optimism about accelerating Afrezza's growth in 2025 and beyond, citing the upcoming INHALE-3 and INHALE-1 pediatric study readouts, investors may have concerns about the product's near-term performance and the potential impact on the company's overall revenue trajectory.