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Bausch + Lomb Corporation (NYSE: BLCO) is doubling down on its pipeline. On Monday, the company said it's pushing two first-in-class eye drugs into advanced clinical testing, following encouraging data from recent human trials.
Both programs target big unmet needs: dry eye disease and ocular surface pain. Together, they carry an estimated peak sales potential of more than $2 billion.
The first candidate is a dual-action eye drop that combines the active ingredients from XIIDRA and MIEBO into a single twice-daily therapy. The idea is to get the benefits of both drugs in one bottle, with less of each.
In a Phase 2 trial with 443 patients, the combo missed its Day 29 primary endpoint for superior corneal staining reduction compared to lifitegrast alone. But here's the twist: it hit a statistically significant reduction at Day 15 (p=0.0007), where 41.6% of patients showed marked improvement versus 18.8% on lifitegrast alone.
The candidate uses over 50% less lifitegrast volume than XIIDRA and half the dosing frequency of MIEBO, while maintaining a safety profile consistent with both established drugs. That's a compelling pitch for patients who might struggle with the current regimens.
Bausch + Lomb plans to move this into Phase 3 studies, using the FDA-accepted Day 15 primary endpoint. The asset is projected to bring in up to $700 million in peak sales.
The second candidate, BL1332, is a novel TRPV1 antagonist targeting ocular surface pain. In a Phase 1b trial, it met its primary endpoint.
Treated eyes saw a 5.5-point drop in pain intensity just five seconds after a capsaicin challenge, compared to vehicle (p<0.0001). Even better, 68.2% of treated eyes achieved complete pain resolution, with no reports of severe pain.
Bausch + Lomb is now evaluating BL1332 in a Phase 2 post-surgical study, with topline data expected in the coming months. Management sees peak sales potential of $1.4 billion for this asset, and expects both drugs to drive growth past 2028.
On July 29, Bausch + Lomb reported second-quarter adjusted earnings of 16 cents per share, beating the 15-cent estimate. Sales came in at $1.394 billion, also topping the $1.369 billion estimate.
The company raised its 2026 sales outlook to $5.44 billion to $5.54 billion, up from the previous $5.42 billion to $5.52 billion range. The midpoint sits above the $5.468 billion consensus estimate.
Shares were up 1.04% at $17.50 during premarket trading on Tuesday.
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