Shares of Bausch Health Companies Inc (BHC) plummeted 5.08% in Wednesday's trading session, following disappointing first-quarter results from its subsidiary, Bausch + Lomb Corporation (BLCO). The eyecare division's performance seems to have cast a shadow over its parent company's stock.

Bausch + Lomb reported a swing to a first-quarter adjusted loss of US$54 million, or US$0.07 per share, compared to an adjusted net income of US$24 million, or $0.07 per share, in the prior year period. This result significantly missed the consensus analyst estimate of US$0.02 per share earnings. The company's revenue increased by 3% to US$1.137 billion, falling short of Wall Street's expectations of US$1.15 billion.

Adding to investor concerns, Bausch + Lomb updated its 2025 outlook to account for the estimated impact of the enVista intraocular lens recall and foreign exchange fluctuations. While the company raised its revenue forecast to US$5 billion to US$5.1 billion, up from February's projection of US$4.95 billion to US$5.05 billion, it also expects a one-time impact of US$55 million on revenue due to the product recall. The adjusted EBITDA guidance for the full year was set at $875 million at the midpoint, below analyst estimates of $922.4 million, further dampening investor sentiment.