Valeant Pharmaceuticals, the Canadian-based company that took over Bausch + Lomb five years ago with a total investment of $8.3 billion, will change its name next month to Bausch Health Companies, with a new corporate brand identity, new imagery, a new website and a new stock market ticker, BHC.
The move comes after the divestiture of more than a dozen businesses in the last two years, following the appointment of Joseph C. Papa as chairman and chief executive of Valeant in May 2016, in an effort to turn around the company. In announcing the changes, Papa said the group wanted to build upon the notions of “innovation, fortitude and dedication to patient health” that characterized the work of John Jacob Bausch since he opened an optical retail shop in Rochester, New York, in 1853, partnering two years later with another German immigrant, Henry Lomb.
Meanwhile, Valeant reported better-than-expected results for the first quarter ended on March 31, leading to improved projections for the full financial year. Total revenues declined by 5.4 percent to $1,995 million in the quarter as compared to the same period one year earlier, but they were up on an organic basis for the first time since 2015, driven by branded RX and the Bausch + Lomb/International segment.
That segment posted a sales decline of 3 percent to $1,103 million, with a drop of 8 percent in local currencies, but it grew by 2 percent excluding divestitures and a foreign exchange gain. In particular, the company said its vision care business raised its sales by 15 percent overall and by 9 percent on an organic basis.
Nevertheless, Valeant reported a net loss of $2.69 billion for the quarter, compared with a net profit of $628 million in the year-ago period, due primarily to goodwill impairment charges. On an adjusted basis, net earnings went up by 14 percent to $312 million.