Bausch + Lomb (NYSE:BLCO) Posts Quarterly Earnings Results, Beats Expectations By $0.13 EPS

Key Points

• Bausch + Lomb beat quarterly expectations: EPS was $0.34 versus the $0.21 consensus, while revenue reached $1.38 billion, up 7.3% year over year.
• Management raised 2026 guidance for the third time, targeting revenue of $5.45 billion–$5.55 billion and adjusted EBITDA of $1.09 billion–$1.14 billion, supported by growth across all business segments.
• Profitability and balance-sheet metrics improved: Adjusted EBITDA rose 34%, free cash flow reached $178 million, and net leverage fell to 4.1 times; the stock gained 8.6% following the results.

Bausch + Lomb (NYSE:BLCO - Get Free Report) posted its quarterly earnings results on Wednesday. The company reported $0.34 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.21 by $0.13, FiscalAI reports. The firm had revenue of $1.38 billion for the quarter, compared to analyst estimates of $1.37 billion. During the same quarter in the prior year, the business posted $0.18 EPS. The business's revenue was up 7.3% on a year-over-year basis.

Here are the key takeaways from Bausch + Lomb's conference call:

• Strong third-quarter results: Constant-currency revenue rose 8% to $1.375 billion, adjusted EBITDA increased 34% to $325 million, and adjusted EBITDA margin expanded 460 basis points to 23.6%.
• Management raised 2026 guidance for the third time, increasing revenue guidance to $5.45 billion–$5.55 billion and adjusted EBITDA guidance to $1.09 billion–$1.14 billion, implying approximately 20.3% full-year EBITDA margin.
• Growth was broad-based across all segments, led by Pharmaceuticals at 11%, Surgical at 9%, and Vision Care at 6%; key products included MIEBO, LUMIFY, Daily SiHy contact lenses, and premium IOLs.
• Cash generation strengthened, with $233 million of operating cash flow and $178 million of free cash flow, reducing net leverage to 4.1 times from 5.7 times a year earlier and keeping the company on track toward its 3.5-times target.
• Tom Appio is serving as interim CEO following a mutually agreed leadership transition. He emphasized operational efficiency, disciplined capital allocation, debt reduction, and advancing the innovation pipeline, while providing limited detail on the reasons for the change.

Bausch + Lomb Trading Up 8.6%

BLCO traded up $1.52 on Wednesday, reaching $19.14. The stock had a trading volume of 1,073,933 shares, compared to its average volume of 437,583. Bausch + Lomb has a fifty-two week low of $14.44 and a fifty-two week high of $19.44. The firm has a 50-day moving average of $17.18 and a 200-day moving average of $16.64. The company has a market capitalization of $6.84 billion, a price-to-earnings ratio of -40.23 and a beta of 0.56.

Insider Transactions at Bausch + Lomb

In related news, Director Eschenbach Andrew C. Von sold 6,059 shares of Bausch + Lomb stock in a transaction that occurred on Friday, August 7th. The shares were sold at an average price of $16.58, for a total transaction of $100,458.22. Following the sale, the director directly owned 63,733 shares in the company, valued at $1,056,693.14. This trade represents a 8.68% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CAO Frederick Munsch sold 52,900 shares of the business's stock in a transaction that occurred on Monday, August 10th. The stock was sold at an average price of $16.78, for a total transaction of $887,662.00. Following the sale, the chief accounting officer directly owned 45,831 shares in the company, valued at $769,044.18. The trade was a 53.58% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 71,459 shares of company stock worth $1,194,370 over the last three months. Insiders own 1.45% of the company's stock.

Wall Street Analyst Weigh In

A number of research analysts have issued reports on the company. Weiss Ratings upgraded Bausch + Lomb from a "sell (e+)" rating to a "sell (d-)" rating in a research report on Friday, August 21st. Citigroup increased their target price on shares of Bausch + Lomb from $19.00 to $21.00 and gave the stock a "buy" rating in a report on Wednesday, July 8th. HC Wainwright restated a "buy" rating and issued a $21.00 price target on shares of Bausch + Lomb in a research note on Friday, August 28th. Leerink Partners began coverage on shares of Bausch + Lomb in a research note on Wednesday, September 9th. They issued an "outperform" rating and a $24.00 price target on the stock. Finally, UBS Group assumed coverage on shares of Bausch + Lomb in a report on Thursday, July 30th. They set a "buy" rating and a $21.00 price target on the stock. One analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating, seven have assigned a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat.com, the stock has an average rating of "Hold" and a consensus price target of $19.46.

Bausch + Lomb Company Profile

Bausch + Lomb Corporation NYSE: BLCO is a global eye-health company that develops, manufactures and markets products for vision care, ophthalmic pharmaceuticals and eye surgery. The company serves consumers, eye-care professionals, hospitals and surgical centers through a portfolio spanning contact lenses, contact-lens care products, prescription medicines, over-the-counter eye-care products and surgical equipment.

Its vision-care portfolio includes the Biotrue and INFUSE contact-lens brands, as well as solutions and other products used to clean and maintain contact lenses.

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