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Shares of Australian biotech major CSL plunge to 8-year low after CEO departure, weak earnings

CNBC

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Shares of the Australian biotech giant crashed 17% to an 8-year low of A$151.30 after CEO Paul McKenzie’s abrupt departure and dismal half-year results were announced Wednesday. The company reported an 81% net profit collapse to $401 million, citing restructuring costs and asset write-downs, while revenue fell 4% to $8.3 billion for the six months ending December. Interim CEO Gordon Naylor, a former senior executive, replaces McKenzie immediately as the board searches for a permanent successor amid the leadership and financial turmoil. CSL, a global flu vaccine leader, acknowledged dissatisfaction with performance but vowed new growth initiatives, though its market cap had already shrunk to $58.9 billion pre-announcement. The plunge marks the stock’s lowest level since February 2018, erasing billions in value as investors react to leadership instability and weakening financial fundamentals.

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Shares of Australian biotech firm CSL plunged to an 8-year low Wednesday after it announced the exit of Paul McKenzie as chief executive officer, and posted weak earnings for the first half of its fiscal year ended December.Shares fell 17% to 151.3 Australian dollars, their lowest since February 2018.Former senior executive Gordon Naylor has been appointed as interim CEO, effective Wednesday, until a permanent replacement is found. CSL on Wednesday reported its net profit after tax plunged 81% year on year to $401 million as the drugmaker booked one-off restructuring costs and asset impairments. Revenue dropped 4% to $8.3 billion."We are clearly not satisfied with our performance and have implemented a number of initiatives to drive stronger growth going forward," said Ken Lim, CSL's chief financial officer.The company, which is one of the world's largest producers of flu vaccines, had a market cap of $58.9 billion as of Tuesday, data from LSEG showed. This is breaking news. Please check back for updates.Got a confidential news tip? We want to hear from you.Sign up for free newsletters and get more CNBC delivered to your inboxGet this delivered to your inbox, and more info about our products and services.© 2026 Versant Media, LLC.

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