Allergan Shares Fall 10% on Projected 6-Month Earnings Drop

Allergan Inc. shares fell more than 10% Thursday, a day after the company warned that it expects earnings in the first half of 1997 to be below net income for the same period last year.

Allergan stock closed at $30.25 per share, down $3.125 in active trading. Allergan, which makes eye- and skin-care products, said that it expects earnings to drop in the first six months because of new product expenses, price cuts and currency fluctuations. Analysts had expected earnings to be flat or slightly higher for the period.

In the year-earlier period, the company reported earnings of 80 cents a share, excluding special charges.