Shares of Alvotech (NASDAQ: ALVO) continued their downward trajectory, plummeting 8.39% in pre-market trading on Thursday. This sharp decline follows a 7.68% drop during Wednesday's regular trading session, as investors reacted to the company's disappointing third-quarter earnings report and reduced full-year guidance.

The Iceland-based biosimilars developer reported Q3 revenue of $113.744 million, falling short of analyst expectations of $117.203 million. More concerning for investors, Alvotech lowered its full-year 2025 revenue guidance to $570-$600 million, down from previous estimates. The company also reduced its adjusted EBITDA forecast to $130-$150 million, further dampening market sentiment.

Adding to the pressure on Alvotech's stock are ongoing regulatory concerns stemming from an FDA inspection of its Reykjavik facility in July. While the company emphasized that resolving these issues is a "top priority," the unresolved status continues to weigh on investor confidence. Furthermore, Alvotech's cash position decreased to $42.8 million as of September 30, driven by inventory build-up, capital expenditures, and recent acquisitions. Despite securing a new $100 million working capital option, the cash burn rate remains a significant concern for investors, contributing to the continued sell-off in the pre-market session.