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.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.