Salix Pharma Shares Fall On Disappointing Outlook, CFO Resignation

Salix Pharmaceuticals Ltd. dropped in the extended session Thursday after the drug and medical device maker forecast a weak fourth quarter and said its financial chief resigned. Salix shares fell 37% to $87.60 on heavy volume. The company forecast adjusted fourth-quarter earnings of $1.16 a share on revenue of $325 million, while analysts surveyed by FactSet are looking for $1.95 a share on revenue of $436 million. Salix also said Chief Financial Officer Adam Derbyshire resigned and will be replaced in the interim by Timothy Creech. Adjusted third-quarter earnings came in at $1.53 on revenue of $354.7 million. Analysts expected $1.55 a share on revenue of $392.3 million.