Bausch Health Companies (TSX: BHC)(NYSE: BHC) is a global company whose mission is to improve people’s lives with healthcare products. The company develops, manufactures, and markets, primarily in the therapeutic areas of eye-health, gastroenterology (GI) and dermatology, a broad range of branded pharmaceuticals, generic pharmaceuticals, over-the-counter (OTC) products, and medical devices. These are marketed directly or indirectly in approximately 100 countries.
The company’s portfolio of products falls into four operating and reportable segments. The Bausch and Lomb segment focuses on vision care, surgical, and consumer and ophthalmology products. The Salix segment consists of sales of GI products. The ortho-dermatologics segment consists of sales of dermatological products and global sales of Solta medical aesthetic devices. The diversified products segment consists of sales of pharmaceutical products in the areas of neurology and certain other therapeutic classes, and dentistry products.
Global vision care business
The company’s Bausch and Lomb segment includes a global eye-health business and an international medical prescription business. The global Bausch and Lomb eye-health business includes the global vision care, surgical, and consumer and ophthalmology prescription products, which, in aggregate, accounted for approximately 41%, 42%, and 43% of the company’s revenues for 2020, 2019, and 2018, respectively.
Bausch’s international prescription business includes sales in Canada, Europe, Asia, Australia, Latin America, Africa, and the Middle East of branded pharmaceutical products, branded generic pharmaceutical products and OTC products, which, in aggregate, accounted for approximately 14%, 13%, and 13% of the company’s revenues for 2020, 2019, and 2018, respectively.
Fast-growing eye-health market
Bausch’s global Bausch and Lomb business is a fully integrated eye-health business, which is critical to maintaining and developing the company’s position in the global eye-health market. As a fully integrated eye-health business with a 165-year legacy, Bausch and Lomb has an established line of contact lenses, intraocular lenses, and other medical devices, surgical systems and devices, vitamin and mineral supplements, lens care products, prescription eye-medications, and other consumer products that position the company to compete in all areas of the eye-health market.
As part of the company’s global Bausch and Lomb business strategy, Bausch continually looks for key trends in the eye-health market to meet changing patient needs and identify areas for investment and growth. For instance, one of the trends the company sees is the increasing rate of myopia and, importantly, myopia as a potential risk factor for glaucoma, macular degeneration, and retinal detachment.
Exciting product development
Research indicates an increased demand for new eye-health products that address conditions brought on by factors, such as increased screen time, lack of outdoor activities, and academic pressures, as well as conditions brought on by an aging population. To supplement the well-established Bausch and Lomb product lines, the company continues to identify new products tailored to address key trends, which it develops internally to generate organic growth.
Bausch also licenses selective molecules and technology to leverage the company’s own research expertise through product development. Recent product launches include daily disposable contact lenses, lenses for eye redness treatment, pressure lowering eye drop for patients with angle glaucoma, and vitamins to protect the eye from stressors such as sunlight and blue light emitted from digital devices.
