-=Bausch Health (BHC) reported earnings on Tue 7 Aug 2018 (b/o)

Bausch Health beats by $0.13, beats on revs; reaffirms FY18 revs guidance, raises Adj-EBITDA outlook 

• Reports Q2 (Jun) earnings of $0.93 per share, excluding non-recurring items, $0.13 better thanthe Capital IQ Consensus of $0.80; revenues fell 4.7% year/year to $2.13 bln vs the $2.06 bln Capital IQ Consensus. GAAP EPS was ($2.49) vs. the GAAP EPS estimate for ($1.28)
• Adjusted EBITDA (non-GAAP) was $868 million for the second quarter of 2018, as compared to $951 million for the second quarter of 2017, a decrease of $83 million. Adjusted EBITDA (non-GAAP) in the second quarter of 2018 reflects the impact of 2017 divestitures of approximately $70 million, transactional foreign exchange and other of $51 million, the impact of the loss of exclusivity of certain products of $59 million and favorable translational foreign exchange of $10 million.
• Co updates guidancefor FY18, continues to see FY18 revs of $8.15-8.35 bln vs. $8.29 bln Capital IQ Consensus Estimate; sees Adj-EBITDA of $3.2-3.35 bln (Prior $3.15-3.3 bln)

Bausch Health Cos. Inc. (BHC),   the renamed Valeant Pharmaceuticals International Inc., said Tuesday it swung to a loss of $873 million, or $2.49 a share, in the second quarter, wider than the loss of $38 million, or 11 cents a share, posted in the year-earlier period. The loss was mostly due to an increase in the company's operating loss that was due to an asset impairment associated with the loss of exclusivity of a certain product, an increase in amortization of intangible assets and a decrease in product contribution following divestitures and discontinuations. Revenue fell to $2.128 billion from $2.233 billion. The FactSet consensus was for EPS of 80 cents and revenue of $2.063 billion. The company said it realigned into four reporting segments in the quarter, namely Bausch and Lomb/International, its eye treatments; Salix, its gastroenterology business; Ortho Dermatologics; and diversified products. It also made moves to pay down debt, extending the maturity date of its revolving credit facility, replacing Term B loans, modifying facility covenants, lowering interest rates, issuing $750 million of 8.500% unsecured senior notes due 2028 and redeeming about $2 billion of unsecured senior notes. The company said it still expects full-year revenue of $8.15 billion to $8.35 billion. Shares were up 2.9% premarket and have gained 8.8% in 2018, while the S&P 500 (SPX) has gained 6.6%.