Valeant Pharmaceuticals lowers 2015 outlook

Valeant Phamaceuticals International (VRX) warned that its revenue and earnings for 2015 would miss its full-year projections in a sign that the embattled drugmaker is still facing financial hurdles amid scrutiny of its business model.

The company on Wednesday lowered its forecasted 2015 revenue from a previous range of $11 billion to $11.2 billion to a new range of $10.4 billion to $10.5 billion.

It also lowered its adjusted earnings per share measured without using generally accepted accounting principles from a previous range of $11.67 to $11.87 to a new range of $10.23 to $10.33.

The move came a day after Valeant celebrated a dose of good news: a new 20-year distribution agreement with drug-store chain Walgreens and a plan to slash its prices following criticism of spikes.

That news sent Valeant shares up 16% on Tuesday and the stock continued its upward trajectory in pre-market trading Wednesday, despite the lowered forecast, as shares rose 2% to $111.39.

One reason investors may be encouraged is that despite the lowered forecast for 2015, the company projected for the first time that its revenue would rise to a range of $12.5 billion to $12.7 billion for 2017.

"We are very excited about the strong future given our broad portfolio of brands, our upcoming launch products and our robust R&D pipeline," Valeant CEO J. Michael Pearson said in a statement. "We believe that we are entering a new era of growth and opportunity as we continue to build and grow our businesses around the world and deliver medicines and products at affordable prices that improve the lives of patients."

Follow Paste BN reporter Nathan Bomey on Twitter @NathanBomey.