Linzess growth figures disappoint investors

Allergan plc (NYSE:AGN) said it expects future growth for Linzess linaclotide to be in the low- to mid-single digits, sending shares of partner Ironwood Pharmaceuticals Inc. (NASDAQ:IRWD) down $2.91 (18%) to $13.18. Allergan, which relayed the news in its 3Q18 earnings on Tuesday, lost $13.13 to $160.67.

Worldwide sales of Linzess in 3Q18 were $210.5 million, missing consensus estimates of $215 million, according to Credit Suisse, but up 7% from $196.6 million in 3Q17. On a conference call to discuss earnings, Allergan EVP and Chief Commercial Officer William Meury said that while the company expects demand for Linzess to grow at mid- to high-single digit levels, it projects Linzess revenue growth of low- to mid-single digits which Meury attributed to "industry-wide pricing dynamics." ...