Alcon, the eye care business
Alcon, the eye care segment of Novartis (NVS), researches, develops, manufactures, and markets eye care products in more than 180 countries worldwide. The business is now divided into two subsegments—surgical and vision care. The Ophthalmic Pharmaceuticals business was transferred to the Pharmaceuticals segment (now Innovative Medicines) on April 1, 2016.
Analysts expect Alcon’s 1Q17 revenues to fall due to lower equipment sales in the surgical franchise and lower sales in contact lens products in the vision care franchise.
Global surgical sales for Alcon have seen lower equipment sales for LenSx technology in Asia and the United States in recent quarters. The strong performance of cataract consumables is expected to partially offset the fall in revenues for 1Q17.
Global sales of vision care products have seen a falling trend due to the continued market shift of consumers to daily disposable lenses, thus affecting sales of contact lens care products. That’s substantially offsetting the growth and continued uptake for Dailies Total1, AirOptix Colors, Dailies AquaComfort Plus toric and multifocal products. Analysts’ estimates show a fall in revenues for the vision care franchise in 1Q17.
Overall, 1Q17 revenues for Alcon are estimated to fall. The rise in revenues for products with positive growth and a strong base of installed surgical equipment will be offset by lower surgical sales and fewer vision care products.
Ophthalmic pharmaceuticals products, including Patanol, were transferred from Alcon to the Innovative Medicines segment in 2Q16.
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