Shares of Avantor, Inc. (AVTR) plummeted 5.25% in pre-market trading on Friday, following the release of the company's fourth quarter 2024 earnings results. The stock slump came despite Avantor providing an optimistic outlook for 2025, as investors reacted negatively to the company's fourth quarter revenue miss.
For the fourth quarter, Avantor reported net sales of $1.69 billion, a 2% decrease from the prior year period and below analysts' expectations of $1.71 billion. The company attributed the sales decline to unfavorable foreign currency translation and the divestiture of its clinical services business, though sales grew 1% on an organic basis.
However, Avantor's adjusted earnings per share of $0.27 for the quarter exceeded Wall Street's estimates of $0.26. The company also posted a sharp increase in net income to $500.4 million from $98.5 million a year ago, boosted by a $446.6 million gain from the sale of its clinical services unit.
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