Healthways Lowers FY15 Outlook, Shares Plunge 22%

(RTTNews) - Healthways (HWAY), Thursday lowered it revenues outlook for the full year 2015, sending its shares down over 22 percent in the after-hours trade.

The company now expects full-year revenues of $770 million to $785 million compared to a previous outlook of $800 million to $825 million. Analysts polled by Thomson Reuters currently estimate earnings of $808.85 million for 2015.

Last year, the company generated revenues of $742 million.

The company revised its revenue projections citing lower than expected revenue from a single health plan contract, slower than expected business development and implementation of Dr. Ornish's Program for Reversing Heart Disease, and slower than expected business development of its Blue Zones Project.

"We feel it is prudent to revise 2015 guidance now, based on the three factors that have emerged since announcing our first quarter results and the CEO transition," said Interim CEO Alfred Lumsdaine.

HWAY closed Thursday's trading at $15.53, up $0.19 or 1.24%, on the Nasdaq. The stock, however, slipped $3.54 or 22.79%, in the after-hours trade.