Bausch Health's (BHC) total prescriptions in Q1 were likely to be negatively impacted by the company's exit from the US federal drug pricing programs in October 2025, RBC Capital Markets said in a Monday note.
Prescriptions of the 550-miiligram formulation of the company's top-selling Xifaxan, used to treat gastrointestinal conditions, dropped 6.2% in Q1 year over year after a 1.1% decline in Q4, RBC analysts said. They expect volume losses to be partially offset by improved net pricing and revised their Xifaxan revenue forecast to $480 million from $487 million.
The company's Q1 revenue is projected at $2.43 billion, compared with the consensus of $2.41 billion, according to the note.
Investors are likely to focus on the ongoing litigation involving Xifaxan's patent; Bausch Health's plan to monetize the Bausch + Lomb (BLCO) asset after the genericization of Xifaxan, expected in January 2028; and a growth rebound for its Solta Medical aesthetics business, the analysts said.
Bausch Health is expected to report Q1 financial results after market-close on Wednesday.
RBC maintained the company's stock rating at sector-perform and lowered the price target to $9 from $10.
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