Bausch + Lomb (BLCO) 1 Nov 232023 Q3 Earnings call transcript

Good morning, and welcome to the Bausch + Lomb Third Quarter 2023 Earnings Call. [Operator Instructions] Please note, this event is being recorded. I would now like to turn the conference over to George Gadkowski, Vice President of Investor Relations and Business Insights. Please go ahead.

Thank you. welcome third and results XXXX everyone, call. conference morning, to quarter our financial Good call and are Mr. today's on Participating Chairman Chief Officer, Executive Brent Officer, Financial Saunders, and Mr. Chief Sam Eldessouky.

presentation a In will call on the of live to under available replay webcast, website Relations addition today's this this be slide Investor and our conference a of copy section.

at begin, presentation you information. legend forward-looking ask ratios. that beginning today take the I moment the We information. like read contains non-GAAP remind to presentation contains would we financial our contains Before you measures our to a as and that of important presentation would forward-looking it This

For more presentation our website. Non-GAAP to presentation. reconciliations refer information can be posted please on the about the measures ratios, found X to the and Slide of in these appendix

guidance required is guidance the not not law generally that, of the effective call policy is disclosure. to public unless Brent. in update to over it's It through or Finally, guidance presentation my With quarter turn as by our pleasure following this other only. today than affirm broadly to disseminated update to and until the financial

Thank the a George, how be X continue And drive that will the highlights I'll providing going start things Sam and from themes guidance, us with everyone, financials thank by joining I'm you, define for for does expect profitable to and the growth on going deeper today. share remainder dive which after updates quarter. you, forward. we'll start to familiar I'll beyond. of XXXX and quarter, we

years spectrum we be brands we the our strength XXX-year of growing that company. above enter We're excited as launch of emerging about in history and most one to of XXXX, are thanks health. or the at revenue which active the will we eye First, cover our of expect the entire trajectory established market,

further the opportunity training, in leadership of comes that dry the area. than our a at into Bringing reality. prescription estimated reinvigorating time equipping we're with with our eye XX% no market suffering disease portfolio treated MIEBO crucial Look market the salesforce Dry population product. portfolio from U.S. outsized XIIDRA Eye brand potential to Disease need product and is not turn and and a tools, to our the powerhouse Second, they as

competitive we're facility our line multiyear and turning chain we a and addressing Chain global on Finally, focused Lynchburg for challenges our into We're is Officer the distribution and Chief faced. new the scale upgrades a supply manufacturing advantage. our nearing to on finish Operations Supply establishing blueprint footprint

the we but lift, call company journey on As fundamentally Rewiring to clear this I'm our when will I. change progress is of proud first growth in operate. introduced roadmap Phase my accelerate ongoing earnings is no the multiyear I made this how May, that a easy

arrival has world critically, And by which digital on representatives strategically deeper. XX,XXX Lomb respective this on to + have largely been team, But colleagues capabilities, we year, sales since much maximizing matters remade making back around we're for leadership goes improve our top. from most. to our what Our flattening has the the completed my earlier rethinking organization entirely we almost easier work process how life From efficiency. of who see potential to in buy-in investing want focusing Bausch the approximately

in Performance holistic of XX% revenue in X constant currency on performance. products solid with our basis, we key driven MIEBO basis. early year-over-year That which like focus franchises, had while our the offset will is high-margin on obviously like LUMIFY being high-growth, products. brands a and the which VYZULTA, growth, manufacturers fourth helping in how offerings with of on for growth quarter issues help consumer We contract and IOL Dynamics expectations XIIDRA. opportunity. While to strength. change process, improve constant premium a X% year-over-year pharmaceutical continues the across already speaks saw surgical beyond is currency up operate a to from changing represent growth mature revenue quarter Promoted exceed another non-promoted

Sam, terms like things turning in in work our to his to XIIDRA acknowledge biggest over the one favorable securing for history. the team's I'd Before of transaction, financing

in Our focus, and turns Sam? his particular, to now deleveraging.

you, and Brent, Thank good morning everyone.

comments as be will on currency last a most in constant expressed begin, our we call, Before noted on today growth I earnings focused of basis. my

offering, milestones this we products achieved committed the eye acquisition. saw closing with quarter a early, in the XIIDRA X% and the remains but company to with opportunity of demand new reflects Total now revenue the product reported launch on strategic a to results the we billion more which our in disease a and launching for with financial of in be believe focus X% investing of Turning we In category. the to our is business have on us to growth combined forward strong on across growth currency leading prior third our X, significant give to franchises. OTC revenue on Slide quarter, products, We're key of executing in major position a growth. quarter, we basis to strong, we and strategy these our Market compared drive basis constant and as the still the It year. $X.XXX look XXXX. continues the MIEBO X XXXX dry

remains made remains to progress. have solid progress work more we there in we in recognize the a quarter done. be is and While healthy, fully work Supply market demand

Volatility confident we products to $XX implementing headwinds discuss in U.S. point in foreign the of revenue will have are led take including business steps improvements, our $XX third mix, and will strength we of dollar, basis. fully I to reach a currency As our demand the further, on to currency million consistent supply meet mitigating to EBITDA the can it adjusted but a and million are approximately to quarter. we seen where time approximately

our continues last on the saw geographic and results as as footprint sizable we currency impact mix. by currency headwinds year, our the While driven be are not to

China on X% was constant relative quarter. the to a strong down in currency basis comps Our prior year business

second in of the second China the As in the a saw after year's half a reminder, quarter. last market XXXX recovery in shutdown

and As the over return XXXX in time. we stop growth year-to-date we consistent our go constant been that business progression, stable Notably, to currency growth will in China remain lap X%. confident has and China

consumer PreserVision revenue basis basis, leader into million grew let's has LUMIFY, of reached the expand of XX% by basis, Artelac dry plus LUMIFY the the revenue by perform results well demonstrate both is revenue category. XX% segments. contact $XXX our to the Now grew approximately consumer led by to the in Eye on $XX by Revenue in discuss international on of portfolios. portfolio franchises. market our Artelac a eye by by each The Eye franchise, and by business grew U.S. growth continues currency constant XX% the it ability record driven share a quarter. the quarter. our and constant Vision helped of continued consumer and to one growth approximately in LUMIFY the XX% currency eye the The our be is lens a quarter, currency the million in we Care of our the The grew expand and Eye from in million eye In of in a AMD increased X% to has to drive a in X% market and on compared continuing share currency prior constant constant year continues has its brand Vitamins the Illuminations ACUSorb to equity. organic beauty substantial U.S., PreserVision globally launched on consumer where leverage In in the launch LUMIFY revenue continued the platform achieved with business, and portfolio. brands and XX% momentum quarter Vitamins and a basis. leading the has franchise market XX% expand has with market. Artelac of brand PreserVision strong $XX Ocuvite, growth. dry third the to the in built

portfolio our on grew care X% currency a Finally, constant lens basis.

continued consumer to in We strong have see business. our demand

by key third continue Reported Our in from and family multifocal in with the U.S. We recently constant franchises the launch on business, We've in rolled grew X% also quarter. in maintain lenses product of quarter. the the out Daily saw the our investing SiHy China. launches. SiHy Daily strategy to the we currency growth the recently In the is our expanded lens Daily revenue in focus XX% SiHy

continue Daily We the SiHy see strong in category. to demand

As by our Brent was discussed, negatively portfolio revenue distribution in the Lynchburg facility. disruptions impacted lens at

the and an in reach of expect order quarter, we made QX have XXXX. Lynchburg at to in progress processing optimized We level

down was of X% and SofLens impact quarter. On our value-oriented currency the in the X% growth lens in brand revenue constant global basis, constant by up grew ULTRA currency quarter. a the was Biotrue daily disruptions, Excluding XX%. the X%,

an our largest revenue constant driven the currency third X% in portfolio, constant million, to on segment, Surgical constant on currency mainly by currency a now increase on a of declined quarter Moving a $XXX packs. grew consumables basis. Cataract X% business, basis, by The was Implantables by surgical X% the category basis.

and portfolio in XX% quarter. in up premium IOL Our expand continues was the currency to constant

partner product As impacted issued our in IOL our strong IOL growth by earlier by ICUX this portfolio which I the mentioned be the quarter. year, in third last quarter, the hold premium offset continues standard to our

our impact lens. of We anticipate of We're the grew Aspire enVista remainder constant implantables on the currency. have our expanding the year. impact the announced portfolio implantables recently launch and portfolio Excluding focused ICUX, in to XX% ICUX the of

continue future launches and the lenses. soft enVista enVista Envy expect enVista expand to to platform V We trifocal with the the of

in margin constant end as these basis, from system of we sales. versus of number 'XX see future especially on Stellaris QX We a as has important expansion. to area an product invest in business Surgical to mainly premium by launches this the the Revenue launches was drive driven equipment XX% XXXX, scheduled a Our market. new currency up behind intend

our to strong multiple to continue and supply see taking to customers. improve consistently supply measures, including ability sources. surgical spot securing of our our mitigating in to we're implementing components products business, strategic and steps We various market buying We're demand

volatile lead supply supply remainder cost that a to through inventory progress pressure buildup of continue we anticipate will year, we of and and will As constraints to margins. the of higher the that on remain

Lastly, up revenue currency in basis, VYZULTA segment by the grew of which X%. XX%. on currency the million, U.S. in quarter TRxs constant $XXX in with Pharma growth the a constant represents XX% was

business, mature also pharma our growth non-promoted international We brands saw offset impact U.S. by in supply the in on

which early and the MIEBO more. feedback for are eye to professionals MIEBO. to have success. pleased launched in to we We strong, performance the investments the XX launch, to committed care have XX MIEBO recently quarter, and position we're The been about to over invest continuing made next Brent talk will from months In

one portfolio. XIIDRA excited the closing earlier to Our year. acquisition XIIDRA the and for of MIEBO date at in was of This estimate we're initial closed end of September, together our bring and than the end

XIIDRA We expect successfully transition year believe as We the our a for into our relaunch remainder continue be integrate it period to to portfolio. of investment the the step our and in we XIIDRA of efforts and XIIDRA business important eye XIIDRA XIIDRA's is dry MIEBO together leadership with The in full transforms the an in our Pharma potential. disease. us acquisition unlocking of provide

we core gross basis revenues balanced Now margin revenue. up some points Slide favorable, was a of inventory Product XXXX. by the $XX in quarter, is Adjusted mix reflects in of was improvement QX key In surgical margin driven driven growth to or by million margin through XX higher of walk gross for The approximately by have items for the was the X. on higher our line costs which This covered of the in business. third R&D me gross that non-GAAP each the mix invested the X% compared consumer let XX.X%, we our pressure on factors. business. segments,

launches the third in quarter launch. including and investing in spend this XXXX. the We're MIEBO investments year our key product remainder committed behind of in Our in the to products, reflects our

million. of Third quarter million disruptions currency adjusted headwinds $X was legible negatively by EBITDA was of It and related $XXX million. $XX impacted approximately

growing to was excluding cost quarter operations sales. was was million currency, quarter year. the The commitment for cash year the interest our is EBITDA $XX million. from of CapEx strategic run and of for and $XX inventory $XX rate tax in compared X% onetime launches was which line million, $XXX for It with cash the the mainly in $XX adjusted surgical includes impact quarter to financing million rate adjusted in upfront in approximately of EPS a the approximately Adjusted Year-to-date, the quarter capital Adjusted new million, the expense last was full to related from third flow grew a $X.XX. XIIDRA working third also X%, expectation XXXX. related support the includes to investment operations Excluding an flow business. acquisition. build Net

part million at quarter. path billion months. we financing and and transaction, we notes. of the As consists billion term next that over asset, end in of raised believe a This highly $X.X loan a XIIDRA of is XIIDRA the the de-levering $X.X secured the cash to a $XXX XX we have generative

the on Turning $X.XXX of a from for to million Based billion. headwinds basis approximately million approximately quarter, range raising for We're a rates, XIIDRA to XX.X%, Slide revenue now of billion $XX $XX points XXXX XXXX expect full previous fourth XXX of X.X% to which million previous estimate. XX. an about we to revenue to unfavorable In revenue. year, $XX increase million our to to exchange our a guidance generate of rate current This expect currency the constant currency on guidance. on growth from have of guidance impact $X.XXX our which we negative represents is reflects our $XX

EBITDA $XX approximately range offset Our reflecting XXX-basis constant about from from million. adjusted XX to $XX raise guidance points of for This of includes million, $XXX performance currency XXXX from basis estimate, $XX headwinds our approximately is $XX the our of year full strong which of our unfavorable previous to We're million by currency contribution million, million of the contribution XIIDRA revenue million. consideration a in basis XXX $XXX with remainder base guidance business. points points the the XIIDRA, the takes raise or increasing into

approximately While the related Also, which year-to-date. to our remains balancing in transition includes impact in the launches required we're million Lynchburg, EBITDA including the XIIDRA, with the MIEBO, supply to relaunch investments adjusted market been healthy, performance and the demand and the negative in our has guidance integrate chain. progress $XX work

adjusted approximately XXXX gross points margin basis our XX.X%. XX by increase expect We to to

approximately terms and In in the to increase investments financing R&D key other The revenue be in acquisition. year. of we approximately interest anticipate underlying be the for to to expense reflects recent million XIIDRA interest assumptions the the the our $XXX expense guidance, of related X% full

expected approximately year be $XXX tax is and roughly adjusted Our is rate X% CapEx million. full to

that focused on the are models that our impacted and of results you a As XXXX year. be full between the timing will of reminder, next IPO. the keep I XXXX mind in comparability for by year for recognize XXXX your many May currently updating

some initial considerations Looking XXXX. for forward, provide I want to

XXXX We and of to of remain history. our expect launch care the the eye in mid-single company's fundamentals active to about the We market be strong growth one be anticipate the overall most digits. to years market

launch to the in across including of expect our fast-growing entire high-margin, products We market. portfolio, areas

contribution in our holistic excited recent strengthen the with dry to our under the launch to expect also leadership disease and We approach opportunity MIEBO year We're XIIDRA full our eye eye about dry and of XIIDRA. market the from treatment. ownership disease

potential to XIIDRA we have has the once be believe growth asset. launch, we a previously we As mentioned, mid-single-digit

the have of the We our invest including performance recognizing improvement, also base and for margin by our to business MIEBO. XIIDRA of all launches, to an the driven addition opportunity need while in of expect

done. take few the such by weeks. our the be supply will As the key the TRx we related as invest in efforts encouraged there's a spot be invest product our to relaunch margin we as us progress investments. trends strengthen, and challenges anticipate XIIDRA relaunch I the throughout priority, contribution benefit will the to we launches. the past increase chain XIIDRA to period, supply believe some mentioned on of base To to we to our during it will to for to business, term. recognize more the are remain a work will but earlier, we we year. factor to continue is short be In that buying, The priority our full in see margins mitigation Pressure clear, recent we continue and expect in But time our

to While start. off great still MIEBO a is early,

trajectory. estimate will end current need This on as We performance our in months Based coming investment and to the maximize estimate, we of million and year. we monitor approach the MIEBO approximately continue the it update to of monitor is rates, XXXX. strong evaluate revenue the to performance will $XXX we and to this over headwinds currency accelerate the current

our results, LOE to PROLENSA to anticipate XXXX bring for on to expect this material impact We brand have the product R&D market. full and advance our our new revenue. we to XXXX. $XX expect the continue will don't to million QX be in as see occur investments do to pipeline expect year PROLENSA of focus in We the LOE estimate but a be a year. approximately we in in products We impact We

rate be Our is XX%. tax expected to approximately

it to OECD's previously in impact in into Canada and tax expectation, estimate the this Pillar and in of EU countries implemented consideration expected rules, an minimum be our with XXXX. line As is mentioned, the are certain which takes of X

XXXX interest due rate variable the and related to the of debt. We increase XIIDRA expect to financing in incremental portion debt our expense rate higher interest for environment a to

As we at growth continue new and in continue portfolio turn And now margin leverage above expansion. I'll launch momentum opportunity Brent. have the to we our deliver and an back market longer-term to the for platform call products, or current our to

performance it I introduce to true like to spend I'd our some by being about time I'd quarter chain, supply second but our QX, Thanks, drive where and more for descriptor growth. practicality. when we same as to to Sam. The a third progress. comes holds talking Months ago, are described investing defined like

to thousands going when nearly addressing We've your capital than problem. X,XXX where components. been industry X a comes our a addressing and for no a pushing fix operation thousands taken door, supply if to bringing taking to approach inputs. just that has investments it consistent Lynchburg the equipment don't working improving you're understanding question throwing reins potential. he We has years. systematically success distribution smoothly have a any XX who past your to of veteran chain significant the has than is money and further practical up have supply in right. size, components products thoughtful it He a Instead, this that With made it some facilities a respected when of it's realize creating and staged that you for on systems by to and no complex will at out we going with those patience There's supply supply than We to of years. with improve practical component chain. and dependability not run the not is and existing the Bigger surgical and million picture, keep quick global comes over surgical and of full demand more manufacturing more for $XXX new started just are availability. Being requires network issues our chain in issues, making relies Look toward on do products. we're game expanding a plan

returns What's Two the driving In prescription input volume. success. Let's launch a as since turn employees, just our to events one MIEBO. impressive. of product source MIEBO, pride truly one a the our that We'll things. mid-September that launch are and uptake? of of rise shows the performance in when for it the to quarter comes of launch steady of a case TRx biggest serious early

attended both I recognize they're their for them and team. was promise They by and kickoff making meeting immediately do what selling, to it force. MIEBO MIEBO, commercially. easier sales medically our jobs. early we're of believe September the in the in the First, They impressed and

have owner, there shared solely Why We targets new a orientation, weeks at patients need It's to Second, medicine X category. are in acquisition brought Lomb, by mission-critical for a have of dedicated by we onboarded dry we represents XIIDRA that team in hit real went over from equity product MIEBO differentiated and option if to of excitement biggest they're the evaporation. that a them team our eye among we a the what our for a on among running, all, ground professionals. was ends gives part eye revenue. central us to to Most, deemed medication a the a because Recent it's we met a prescribing tear X-X but we just of they punch. health. investment felt with existing believe in market the MIEBO brought not importance Because make disease. the been MIEBO brand to increasing to selling own for clear eye in by Physicians that sales treatment thrilled from priority dry never The and and its XIIDRA lack the that leverage does was now. as ago. is representing it care I + former Enthusiasm and infrastructure rebirth for millions suffering eye matter? strategy. company the XIIDRA wasn't XIIDRA of XIIDRA's reinvigorated. portfolio significant a opportunity formidable that Bausch time When salesforce have its

our As become eye our disease physicians. approximately holistically complementary acquisition prescription raising products million the to offer XX disease. we first not distinct when Americans are that means made these announced more staggering of dry for a target It starts and medication? medications do treat both How with able we XIIDRA, fully and disease currently consumers unmet Being awareness can primary for option the from need. disease elements dry of eye on address clear suffering

impressive the the rely will the heavily most eye be category dry combined the we'll health. For in eye one latter, in and salesforce a that on largest of

include Surgical, continue high-margin and outperform. debuting sold this This tell selling who Apthera doesn't It's that you year, have to we I I see IOLs that Illuminations understand exponential After pharmaceuticals people Highlights for can to impress medications Bausch soft more a revenue. areas enVista XIIDRA prescription supply incredible other with of We've of focused right months much make past Daily the that IC-X planned I success and we example handful to contact category. thought. opportunity our potential. because U.S., following. product our In Aspire significant it a quickly to look global built and built quarters, mean capitalizing perfect with Ongoing other brand them. excellence single why in loyal launched through premium on chain. more with than quarter our just can on be it's to impressive. opportunity expanded need upcoming is ago in growth. many LUMIFY scale. offerings In getting fair that to SiHy account of I for are Eye the us. a a earlier + of to highlighting improving that words, weeks Getting X/X beyond. those third we're slide but you enVista revenue of the the on While a growth revenue launches more roughly of MIEBO X means emerging time launch spent for a we initially amount saw few business which from any and key over Lomb may even short. XX% for than LUMIFY, on us With less we're familiar, an returned important more in, nearly year-over-year. continues even a our has continues a products businesses everything company extensions force The XXXX the full I lens transformative horizon, so and on across

that when evolve plan official shape let's and open embraced continues in is a up and products, We rekindling Operator, Henry people,, Bausch lasting line Friday value industry Lomb founding the company redefine we spirit the We're to a grow. the have This process. start-up legacy. XXX-year build to as and John our mentality the anniversary questions. entrepreneurial of to the an that for and create

The very Wood Stanley. Patrick question Instructions] first comes much. you Thank Morgan [Operator of from

of I'm how the for how the little about term very are rather days, given I at know you're getting how from the through but typically kinds feel it you're feeling question. I the coming MIEBO curious I'll and keep given drill the that about was that little curious prescription treated early think you a $XXX down million just you the to term. the love opportunity launch. trends Thank Amazing. how really bit to being numbers, think very launch. patients bit, much longer you but it's stage I'd this feedback, to a longer docs one. Thanks. taking than it's into a see it

Yes. Great. a question. focus of Thanks, our Obviously, Great is of big mine Patrick. teams. MIEBO

then to reporting even real issues be you'll were perhaps more outside guys reporting and I will Everything, issues. MIEBO And it's for being I IQVIA, much As data, early I'll feel to want early from I think the great hearing to meaning hearing but you is already. data. than than strong. ECPs, We're knock it's to pretty reaction, great What caution the starting see early on high, get some doing what better at XIIDRA Francisco. think when data. of overstate a But we're and we going the the but is better -- Ophthalmology expectations refills suffice few of days, the so said, IQVIA. and well, of weeks actually market it better of as ECPs, that. me programming I'm days, going But XX, least in wood, from feedback. doing you the you I and physicians given really, lot But see a at to is significantly were be a We're of IQVIA don't seeing and the November market events months is They're much are. say, weekend want response. doing going that update this underreported. several it's said, everything we enthusiasm. again, expectations in there patient good where have The thinks and early fact, incredibly team to data. Academy feel in being San really doing job. than they're when doing an in or about world incredible I'm look the data confident or American to There

question is of Your Biegelsen next Wells coming from Fargo. Larry

a to for in get on One here. X nice on Congrats here. margins I'll print Sam year. try next

If from you margin margin Does one had that talked our I this point follow-up. I expansion. some about plus sum still hold? all underlying And Brent XIIDRA at conference, XXX-basis benefit think up,

going only brand, investment to the brand get to market XIIDRA There it that level of early not year level element the be to will have part dry investment. back re-recognize very eye again to right addition of gain We also expect morning, 'XX, going expectation we're look be allocate thinking do we've what Good to investment need this hands. XIIDRA and here. about into a of is XIIDRA. behind talked in value our now from that and see sort an we with this And of promotion and that our of But the of improvements and in in you and to into allow our that's 'XX. starting is into to like of QX to Brent at in 'XX XIIDRA. balance done the you especially previously going but and forward level sort margin responsive and we've step about talked and general, would the next of and business of factors the Larry. of also the make that. this When about able couple would you how we need base to XIIDRA be we expectation from investment One

still game and see read to And long us. want We're years. make 'XX about here, be It's but able excited is and for thinking thinking would future we investment to able so to be That's critical to I encouraged. growth to But trend for behind able also we're very we're is not in see we've going Again, a I that that about We're MIEBO. with which we need longer. do X-year the be and of MIEBO trend I as will will solid terms about incremental this bit little positive a couple about, seeing but think little that very thinking it's to weeks not very part, would for to to to seen to couple the be beyond. a the will investment datapoints that datapoints more be a a other talk think more we're bit a able we this accelerate continue into the 'XX, early, you to MIEBO positive. in accelerate be just need brand. decision, see only it for 'XX, and what us us last The early from about decision of be

That's helpful.

on gave your prescription could annualizing today think the you. $XXX sales it on 'XX? for the MIEBO, QX follow-up us data Do expectation be And so year. implies $XXX it's million in million for you one $XX What's that and declined million guidance, at another revenue. XX% XX% the implies it XIIDRA 'XX? product sales a in at next you year the over The Just XIIDRA, MIEBO decline, here guidance gave Thank you already. midpoint. in

weeks. that. can and have think them I'll stabilization picture. And is performance of the clearly very as Sam accurate the data, starting spent motivated. I is going essentially but about super sales in. the just I remarks, in to of and the that we're then we trends, the is roughly X that's number in and ago do first in here was be second And not so their into maybe XX% that a think which Look, in QX There to us. again, distorted with I in about Clearly, recharging exclusivity not it X, that. we And X stand that sales his excited Jersey. some to early time really Super XX reenergizing years see then are mentioned quarter script brand. brand they think New picture Sam team joined charges it Novartis with them. Novartis took We're an and some actually behind fourth is I were probably was of super had quarter in brand. I the of stabilizing. so And underinvested brand, quarter about going here the given team, team, weeks excited that important. have hands, start, true Yes, and accounting there, for Novartis We've and and the came that jump for over to saw

guidance some trying for to look you next, this? you to I We'll just want at you But we're 'XX, certainly think for 'XX, giving direction. were sales course. due give we when for not in add to provide anything that Sam, else

Yes.

make as the invest sure remarks we want we Larry, made think far, think, I we've the based behind we brand. to XIIDRA thus on about

probably be as about I remarks balances been XIIDRA. think prepared was, made the in think once XIIDRA around asset, growth it of and call it it out, our I still will mid-single-digit a comment my sort that's thinking we

from coming of Jefferies. is question Young next Your Li

hear very consumers a capacity on I in that industry? of U.S. little and Is consumer. favorable lenses, or a extending lot Daily thoughts there you down bit All the SiHy strong bit adoption pivoting for trading little trends still And the seeing on happening Maybe to than But a health are demand any the might wanted of XXXX? contact growth. very to any the high-level wear? seem signs their more

consumer Yes. seeing in that. business, the of products. out that business. drive or Great our lenses consumer we're from in any our you don't perhaps our we not data question, fact, thank of pullback be for see what consumer some the in was you And Whether and businesses consumption exactly Across in interesting strong consumer. globally, asked,

consumer and still in that active. shows is U.S., the that datapoint frankly Another globally, pretty the

a third saw look healthy consumer we you data, when in fact, U.S. most at drive quarter, of GDP so in the In consumer. GDP think I the the growth

U.S., up we're X%, in SiHy exact the XX% was growth Sam Our around quarter. us the I think healthy lens seeing X%. number. business really can market was in give the trend. Daily about But the

But think there be been just to We this itself good consistent need And the a and have that a product our starting we portfolio. I quarter, into issues basis. more it's a customers think to finally solving I on is ship move market to have we're and overall, big, just It's being growing. robust. good and able to distribution is to ship spot. able

consumer on about helpful. the you X% lenses year-to-date tiered the minus for what I tracking? guess the health of What's macroeconomic campaign in was you on near follow-up, all business right, Chinese consumer of different your X%. wondering to China And but cities? I high What the comment consumption the in I read due my business, view All lens the more some headlines. color contact guess in ground Are can It's you're percent the currently. anticorruption for There's that single-digit there comps, doesn't it's if noticeable much, as great. on tough the and background. a mean also We term? bit the are closely indicators maybe contact little seeing Very your business. differences

great Yes. It's a question.

back in First, I'd the massive and just at talk, opportunity take a look It's China. step market. a

tremendous other into a a Unlike have share, competitors into launch. We market to Daily there with pretty more China. happened bring It started strong. And in to is getting the that quarter We think multifocal take SiHy perhaps still and modalities to that just market one have we're just really the ago. a opportunity share has grow our our growing of market. I opportunity

I The other in our ago. team that thing not was there long over is China.

I but team. China. quite in I'm was in China. how lot model a B+L good they strong stood with excited impressive. And really entrepreneurial impressed about We'll that fact, see strong spirit. of a works work quarter, DTC really very up have colleagues they We a out, this by a was did the that

cities we still consumer Tier at in resilient, I X, in they're little strong. think look resilient the the perhaps the less China, when X but or versus X a

consumer again, strong. on in our versus participating we're a any opportunity to X And to the be think within in opportunity add? We're is have X going focused I think Tier to we grow clearly the market. I cities. color macroenvironment want less the this the and massive Sam, is market where you'd

Yes.

year-to-date with probably more think at Year-to-date, when constant year, when you quarter. meaningful this at think that any I -- currency. specific we're about the X% you look I than it's looking think data,

a shut not sort of year, we If really first was you've you seen the had down, remember are much proxy. comps the half good last so pretty

quarter down to last constant example, and coming growth a in we For of just just happened sort so shutdown. a minus quarter the reported that that with last year reflecting XX% people flows out stronger a rebound of this comp currency X% China,

of will look that For a this year-to-date on probably year, I will China encourage you data, more meaningful. to more probably be

coming is Bank America. Craig of Bijou question next from Your of Instructions] [Operator

If start your XX%. deal. margin to strong at the I or XIIDRA Congrats EBITDA XIIDRA guidance is for wanted on I guidance follow-up your a with for a year question to on quarter the Larry's EBITDA. look XIIDRA the closing and down implied and

is, that 'XX? Given point? on your think you jumping what how want about we Or investment I XIIDRA, comments to is in upon that about we off XX% that? throughout think a can understand Should should throughout, sequentially margin improve else

should My expect to as you think about forward. XXXX, that baseline. expect to QX, as as meet our into commentary XIIDRA, starting will the progressing quarters and XX% a we about on now of you highlighting expand morning, I the start as that as continue a of margin to you QX When XX% would think couple get it to to go terms just Good be be a you XX% for of fact the Craig. in that will we're was into XXXX. we That do level able investment expectations. take go phasing will in

ask That's than impact a think as was QX. I you Got revenue QX? should just to to it in Sam. QX. QX facility. more Lynchburg looked about I less helpful, in follow-up, in appreciate it. QX then the to And in revenue on wanted that normalization any It even was how the to like and a we back EBITDA But wanted be and comments your understand, expect impact

actually that guidance Lynchburg and that to quarter coming about I you optimization When we million year-to-date. it's QX Craig, level the is can full more into believe next making next any provided. roughly of what but to think but see QX, into of that We that to already be as some on get impact, that's QX, will talked for expect having But that coming are talk reaching be have that from we of that do in. getting as that progress, a about expecting $XX facility factored -- all looking our this we or the comment million tell into early ranges we think, to of we EBITDA. about I of put to we we will that's the we I able guidance 'XX, we year, guidance too year. that we're that with about will and that impact our observed And be level made you this to upgrades $XX Year-to-date, updated we're the showing

Your next Wuensch Joanne from is coming Citi. from question

on to question and in them understand the a want Rx you the is, market you if FDA put before both and I But that for create if question opportunity lay you're really how need I certain tougher were about. might Obviously, think drops. MIEBO. on to that in curious of that the about somewhat going any warned I'm press, etc. nice have a comp. layering but for my wasn't Two, was grew upfront, And quarter. this XIIDRA you. against Thank that out onetime I I to headwinds, list, there the X% Bausch off then and second portfolio make eye is view sure

The had which VYZULTA, quarter, on the the up track what Rx Yes, products we in the anchored which the growth is We promoted sure. key the think was saw With was XX% have X%, that in X in constraints quarter. quarter. I I growth there respect products, good did non-promoted metric sales in and older the focus supply to by team quarter.

But when would XIIDRA change think quarter out, the those dynamics next will reporting X% there have pharma took you and the in I and up we the X%. around dramatically have the been versus MIEBO in If there.

we've a there. of outside But in bit. think more XIIDRA I you. Hopefully, that a that puts going about we to only clarifies for look LOE, talked and takeouts, Joanne. year, and quite I MIEBO that's that and puts you the in as And that, next there's takes with PROLENSA than think have

and specific kind any think recall, FDA the doesn't of underscores present supply. importance But in On the itself it I and it quality opportunity of control of in manufacturing for us.

supply. retailers absolute other what ECPs, there products. mentioned shelf lot products, is for space it the products the it or And take as and shelf be being high-quality us from of Blink commitment in to products reset competitors to high-quality whether I the shows happen and result will companies these is a extent an a think us of supply more provide some perhaps that is opportunity, in this off our focus any And our SKUs on or whether it alternatives. these to their drops category, of shelf. lastly, be of give off I've or the LUMIFY coming these a I staying all, hard All our make sterile think in with as how promotion the branded our in there's seen and it environment

opportunity, think underscoring I of small importance So more high-quality but supply. importantly, the

Thank you much. very

coming Evercore is from from Kumar Vijay question ISI. next Your

first X Brent, Maybe, revenues here. for on questions. one you had I

fiscal Some recessionary strength. impact And helpful. in on fiscal comments upon lost 'XX? think consumer here Lynchburg should they disruption, business did revenue should made come fiscal you the you 'XX? about revenues, of your think The were environment? consumer they, in can Are 'XX I touch back quantify in a How you we

I the time. quarter, we've made think particularly a of Lynchburg in Lynchburg, on month fourth or ship, X. progress On lot this And to starting is Yes. domestically, the in last quarter,

The ones lenses quarter. lost. to lost. revenues with We a bit but international in of roughly so improvement got Lynchburg, a more fair, It's in have need more fourth revenue provide. all who got million making we some orders, we're big fit the in other it's but the be Clearly, fit And progress. 'XX the in close. less little that's impact. hiccups we patients And or still lenses, $XX to getting with The all, time -- couldn't pretty optimization are versus revenue we're get we're out

for our come will There We products. good is demand back.

create unfortunate thoughtful shoots of fourth we're now what supply green happening. the We consumer about getting the consumers. operations. a would a But product that why the the stop and And treating return the talk leadership a day, I products it's seeing clearly, end -- will consumer a eyes you that to the don't our our there in saw strategic that's practically we situation recession. consumer have and some We're need in line, in and recessionary impact. patients think is matters at most at environment, see robust recession, about your was for that, business, seeing end how quarter. be an people that's as sounds. thoughtful and continuously to to of if we global their in The actually Because right -- and I of feel would that a as business day, if we But

data in some Not that potential track that have our consumer world, in we of some of example, have see think lower-cost think we anywhere of eyes. from somewhat protection for being Perhaps. see some treating and as but don't won't well. the in have businesses we your don't tough just we our down providers business thing Joanne, We But as trade price on said, down? we immunity quality talked with we That eye do that I as I of that. Would a don't issues. from It's a recession. that. in the people it, the to about see of drops any an any trade a

on Helpful one comments, for Understood. margins Brent. the here. Sam, you

million it on on support revenue incremental EBITDA? there's the 'XX? we fiscal of be $XXX versus that thinking Where were product it to we I Should where as think investments incremental launches. ago? What's that similar to some here months Should you was drop like the impact. down X headwind mentioned FX sounds new be

first. I'll think we as be you something end about the a as today. let we're proxy on this to we giving best currency, I'll you update and I'm how will the me would and the give update will as to of stand. what have Probably I'll the the you provide on -- the is I sort thinking currency come seen truly currency take of we It's use right? this rates sort the hard based and about that it to call 'XX flow-through guidance $XXX year, give today in million predict we've to But currency full of Vijay, of you the back of flow-through. directional as direction can for a 'XX of

the up terms parts. I I'll X In into break investment, launches, the it of think

that as want We will the recall. into slide very is And in That's us. are say, and we'll think Brent an company's a coming early all trend that largest our incremental brand. will asset it as come able seeing want the to accelerate growth? us, I see showed it. to I history game think we're guidance be think the be XXXX. of to we that This to the for to and it's Again, that be launches right MIEBO, the as that we positive. data continue. definitely in encouraging it's about year and we resources called think think XXXX. year long launches and that continues, a sure to we make because will shows number have the that When going behind behind a have we MIEBO decision out and we specifically we it's And we large to on about spend for investment invest in very will do I a dedicate give able trend large for of have single a you to update I that full have dollars decision more it

to of big long portfolio Perhaps term. another said That for those launches MIEBO have negative product investment in with mix the launches about across XIIDRA 'XX. successful way, improving being that. margins in other are is opportunity and thoughtful higher-margin said, be we we Being lead us do to making impacts the Many margins. in in an What a to and investment the want those 'XX. really that

Could and pausing MIEBO? at look than picture we're understand improvement, when We it but said, comes the based improvement, We're MIEBO, million to and we in to on do. you'll more going to XX, and do we're the we early and based margin what see data and IQVIA margin faster? for want we're $XXX sales? we out data, on data-driven you'll we on why and it make clearer going we get peak steepen what When to a curve we sustainable, to saying, KPIs, on see improvement see absolutely with being but November That to more there seeing you'll could Could want long be committed investments make are decisions. want we're committed term. margin be

And so would that that's make decisions. the balancing we these act normally in

next RBC Doug from is Capital coming Miehm Markets. The question from

Two seems bit question soon do questions. delineate importance the of with a little to respect the Number you to market? And of believe with to within We've but what greater how then mid-single-digit that to And to resonating launches, a long expect of to to we in other to detail. my can LUMIFY. do profile? products maybe XIIDRA, had company people? Brent, that you has one, number the second could LUMIFY success the pipeline with the come be growth now, going get it's just drug given how

were that -- finally to home. It XIIDRA but not happened It's them. force this eye become X reps they to our an sales drug. product, neglect company. as our and company that's care really And ago, it's XIIDRA, most, company Sure. owner's in becomes a would severely. more versus a the at. came motivating it over the And in most happen we did said among afterthought that's important weeks happened most hands, in They if arguably important the they field highly what is assumed prior I it a dedicated bit

eye category incredibly and is the RESTASIS to We promotion had and and The remember is expanded was would the increased side market go on didn't. grew RESTASIS I both would sell XIIDRA to it of that XIIDRA adapt through Allergan, because Many The launch growth dry thought and at I market and from the And at brands out time. sensitive. decline, that. beyond. other launched, we into RESTASIS. I XIIDRA the saw tremendous promotionally thing I point know when the

I sets think well that us. up for dynamic

We opportunity work the strong the And to with really to We punch X-X a whichever XIIDRA with untreated will have disease they to a wounded, do the share roughly and MIEBO. opportunity. XIIDRA That to have treat have have an the with a very ECP And voice really being aspect patients between XIIDRA of said, community disease we for drive of more holistically. treatment. MIEBO. better Huge XX little a comes option little neglected. in in of million treat a

restoring --I fourth that expect date to As I give to in the through. half think of you'll is I really to it you and I earlier, 'XX said I'm that stabilization the happen is 'XX. see back quarter do but about exact will about growth. growth think that happen, can't come start do I very confident.

With so the talking see continue you'll we're brand year. of 'XX I to think record right and the now, in right his consumer really really XX% compared keep the think team, have about. launch just launch of LUMIFY, growth. prior growth I million great Eye the in right -- launch said to we Sam and drive to we retail to in Record another performance, have remarks, setup, $XX revenue the quarter, Illuminations, Right first that in now the the execute. exciting in see as quarter, what market, we

face my first I looks world of lot look start And and area the in have promotion and product. know product. for of aesthetics keep we're You'll the OTC I think trends campaign a to and can make experience JUVEDERM your And that LUMIFY don't product that that just going other consumer your when the and advertising in, quarter beautiful. breaking a brands up to is we now eye but on an record beauty your in it. because the still to investing best keep importance less with position top putting around where drug us, need interestingly, opportunity like behind to But as have we that a and to the see I going in more we BOTOX the beautiful. growth, look as from there a regimen. in make We're really beautiful, facial is through having aesthetics days an know are LUMIFY And the market. important just eyes I more you real part past. of surround We're products.

formulation. We and then in well have looking combinations improvements we're the as some next, preservative-free at the as coming

we We nice pipeline, and a have as long-term a this investment. view

was think last our I question, one or have we that more?

the to appears that question-and-answer No, of the be session. end

keeping committed Thank on to to focusing to everyone another testament Yes. accelerate joining remain thanks to was as us world growth. We driving to very Operator. on morning. progress And execution for our focused forward for our and excited you, teams driving we joining future. certainly our Well, Thanks the this The updated quarter and again, look roadmap we us. great you for growth. around

for concluded. very has Thank conference much, everyone. Thank you presentation. you attending now today's The

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