Alcon (SIX/NYSE:ALC) posted Street-beating second quarter results but lowered its 2022 guidance amid a challenging macroeconomic environment.
The Geneva-based eye care tech giant announced yesterday evening that it earned $148 million, or 30¢ per share, off $2.22 billion in sales during the quarter ended June 30, 2022, for a bottom-line decline of 2% and a top-line gain of 5%.
Second-quarter core earnings were 63¢ per diluted share, 8¢ ahead of The Street, where analysts expected core earnings of 55¢ per share on revenue of $2.199 billion.
“We see strong demand for our innovative products by doctors, patients and consumers around the world. This, coupled with ongoing recovery across international markets, drove another quarter of strong sales growth,” Alcon CEO David Endicott said in a news release.
“Looking forward, we expect the macroeconomic environment, particularly foreign exchange, to remain challenging for the rest of the year. Despite these headwinds, our focus will continue to be on executing new product launches, advancing our robust pipeline and driving profitability through operating leverage.”
Alcon decreased its 2022 sales outlook to $8.6 to $8.8 billion from the previous $8.7 to $8.9 billion range. Projected core earnings per share are now expected to be $2.20 to $2.30, down from the previous $2.35 to $2.45 guidance.
David Saxon of Needham & Co. estimated that Alcon gained 20 basis points of contact lens market share year-over-year. “We believe ALC can see above-peer EPS growth over the next few years, and we reiterate our Buy rating,” he said.
Investors reacted by sending ALC shares down more than 4% to $71.97 apiece on the New York Stock Exchange this morning. MassDevice‘s MedTech 100 Index, which includes stocks of the world’s largest medical device companies, was mostly unchanged.