Bausch Health trims loss in Q1, lifts full-year outlook

Headline results for the first quarter:

Revenue

$2 billion (in line with forecasts)

+1%

Loss

$52 million

Versus loss of $2.6 billion

Note: All changes are versus the prior-year period unless otherwise stated

 

What the company said:

CEO Joseph Papa said "Bausch Health is off to a strong start in 2019 with the continued growth of Xifaxan, which grew 11 percent in the quarter, the launch of Bryhali, the successful acquisition of Trulance and the approval of Duobrii and expected launch in June."

He added that "with nearly 60 percent of our revenues coming from a diversified mix of medical devices, [over-the-counter] products and prescription and branded generic products that are not exposed to the US branded prescription drug pricing environment, we believe that Bausch Health is uniquely positioned to grow in healthcare."

Meanwhile, Bausch Health explained that "the decrease in net loss is primarily due to the increase in operating results…lower interest expense and lower loss on extinguishment of debt."

Other results:

  • Bausch + Lomb/International: $1.1 billion, up 1 percent, with higher volumes offset in part by divestitures and discontinuations
  • Salix segment: $445 million, up 5 percent, driven primarily by sales growth for Xifaxan
  • Diversified products: $315 million, down 5 percent, mostly attributable to the loss of exclusivity for a number of products
  • Ortho Dermatalogics: $138 million, down 1 percent, with lower volumes due to loss of exclusivity for ElidelZovirax and Solodyn mostly offset by 31-percent revenue growth in the global Solta business

Looking ahead:

Bausch Health currently anticipates full-year revenue in the range of $8.35 billion to $8.55 billion, from prior guidance of between $8.3 billion and $8.5 billion. The company also expects adjusted earnings of $3.4 billion to $3.55 billion, versus its prior forecast in the range of $3.35 billion to $3.5 billion.

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