Amphastar Pharmaceuticals' stock plunged 12.28% in pre-market trading on Friday, following the release of disappointing first-quarter financial results that significantly missed analyst expectations.

The company reported adjusted earnings per share of $0.42 for the quarter ended March 31, well below the mean analyst estimate of $0.71. Revenue of $171.17 million also fell short of the $173.39 million expected by Wall Street, while GAAP net income plummeted 75% year-over-year to $6.42 million.

The earnings miss was driven by lower average selling prices for key products including BAQSIMI, glucagon, phytonadione, and epinephrine, which reduced gross margin. Additionally, higher manufacturing expenses from facility expansion and increased research & development costs, including a $2 million licensing payment, further pressured profitability.