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

Bausch + Lomb (NYSE:BLCO) issued its quarterly earnings results on Wednesday. The company reported $0.34 earnings per share for the quarter, topping analysts’ consensus estimates of $0.21 by $0.13, FiscalAI reports. The company had revenue of $1.38 billion during the quarter, compared to the consensus estimate of $1.37 billion. Bausch + Lomb had a negative net margin of 3.21% and a positive return on equity of 4.14%. The firm’s quarterly revenue was up 7.3% on a year-over-year basis. During the same quarter in the prior year, the firm posted $0.18 EPS.

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 1.4%

BLCO stock traded up $0.29 on Thursday, reaching $20.69. The company’s stock had a trading volume of 1,783,417 shares, compared to its average volume of 458,267. The company has a debt-to-equity ratio of 0.79, a quick ratio of 1.02 and a current ratio of 1.55. The business has a fifty day simple moving average of $17.24 and a two-hundred day simple moving average of $16.66. The firm has a market cap of $7.40 billion, a PE ratio of -43.16, a PEG ratio of 0.55 and a beta of 0.56. Bausch + Lomb has a 12-month low of $14.44 and a 12-month high of $21.36.

Bausch + Lomb News Summary

Here are the key news stories impacting Bausch + Lomb this week:

• Positive Sentiment: Q3 results exceeded expectations: Adjusted earnings were $0.34 per share, well above the $0.21 consensus estimate and up from $0.18 a year earlier. Revenue rose 7.3% year over year to approximately $1.38 billion, slightly exceeding estimates. Bausch + Lomb Surpasses Q3 Earnings and Revenue Estimates
• Positive Sentiment: Management raised 2026 guidance: Bausch + Lomb now expects revenue of $5.450 billion to $5.550 billion and adjusted EBITDA of $1.090 billion to $1.140 billion, citing continued momentum from its Vision ’27 strategy and strong eye-care growth. Bausch + Lomb Raises 2026 Guidance
• Positive Sentiment: Profitability improved: The company swung to a quarterly profit on an adjusted basis, with results benefiting from broad growth across its eye-care portfolio. The earnings beat and higher outlook support the recent upward move in BLCO.
• Neutral Sentiment: Analysts remain cautious despite higher targets: Deutsche Bank raised its price target to $20 from $16 but maintained a Hold rating, while Wells Fargo lifted its target to $19 from $18 and kept an Equal Weight rating. Both targets remain below the stock’s recent trading level, limiting the immediate bullish impact. Deutsche Bank Price Target Update
• Negative Sentiment: Valuation and execution risks remain: The company continues to report a negative net margin, and the average analyst stance remains cautious. Investors may also expect continued execution against the upgraded guidance before assigning further upside to the shares.

Insider Buying and Selling

In related news, CAO Frederick Munsch sold 52,900 shares of the stock in a transaction dated Monday, August 10th. The shares were 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 of the company’s stock, valued at approximately $769,044.18. This represents a 53.58% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director Eschenbach Andrew C. Von sold 12,500 shares of Bausch + Lomb stock in a transaction dated Thursday, August 6th. The stock was sold at an average price of $16.50, for a total transaction of $206,250.00. Following the completion of the transaction, the director directly owned 69,792 shares of the company’s stock, valued at $1,151,568. This trade represents a 15.19% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders sold 71,459 shares of company stock valued at $1,194,370. 1.45% of the stock is currently owned by company insiders.

Wall Street Analysts Forecast Growth

A number of analysts have weighed in on the stock. HC Wainwright reissued a “buy” rating and set a $21.00 target price on shares of Bausch + Lomb in a research report on Friday, August 28th. Weiss Ratings upgraded shares of Bausch + Lomb from a “sell (e+)” rating to a “sell (d-)” rating in a research note on Friday, August 21st. Leerink Partners initiated coverage on shares of Bausch + Lomb in a research report on Wednesday, September 9th. They set an “outperform” rating and a $24.00 target price on the stock. Wells Fargo & Company upped their price objective on Bausch + Lomb from $18.00 to $19.00 and gave the company an “equal weight” rating in a research note on Thursday. Finally, Needham & Company LLC reiterated a “hold” rating on shares of Bausch + Lomb in a research note on Tuesday, September 15th. One analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating, seven have given a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, Bausch + Lomb currently has a consensus rating of “Hold” and a consensus price target of $19.85.

About Bausch + Lomb

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.