Emergent BioSolutions gains as results top estimates, co to cut 300 jobs (NYSE:EBS)

Emergent BioSolutions’ (NYSE:EBS) shares climbed 60% in premarket trade on Thursday, after the company surpassed Street estimates for first quarter earnings, and unveiled layoff plans.

Emergent’s (EBS) adjusted Q1 EPS of $0.59 beat estimates by $1.45, as revenue of $300.4M (+82.1% Y/Y) topped expectations by $75.9M.

On the same day, the company said, it would slash about 300 jobs across all areas, and will eliminate about 85 job openings.

As part of the operational changes, Emergent will also shut down both its Baltimore-Bayview Drug Substance manufacturing facility and Rockville, Maryland Drug Product facility, it said on Wednesday.

The costs associated with the restructuring plan are estimated to be about $18 million – $21 million and are expected to be primarily incurred in the second half of 2024.

Emergent’s (EBS) shares, which have plunged about 20% so far this year, advanced +64.25% to $3.17 premarket.