BLCOBausch + Lomb Corporation
Is the business good?
A genuinely good business: earnings fully cash-backed (1.8×) and margins widening.
Operating profit is fully backed by cash. Conversion is worsening vs a year ago.
Positive operating leverage, operating profit is growing faster than sales, so margins widen as the business scales.
Where this answer is blind. The F-score rewards improvement, so an already-elite company can score mid-pack.
How good a business is BLCO?
Bausch + Lomb Corporation earns 2.3% on the capital it employs against a 9.0% cost of capital, so growth costs more than it returns.
Return on invested capital · cost of capital 9.0% · 6.7 points below what the capital costs: growth destroys value
- Operating margin
- 6.1%
Operating margin · Medical Instruments & Supplies median 6.9% · 12 months to Q2 2026
- Cash conversion
- 1.79×
Cash conversion · 6.54× a year ago · operating cash flow covers the operating profit after tax
- Share count, year on year
- +0.96%
Share count, year on year · flat: no meaningful dilution
| Year | Operating margin |
|---|---|
| FY2020 | 7.6% |
| FY2021 | 8.7% |
| FY2022 | 5.5% |
| FY2023 | 3.1% |
| FY2024 | 3.4% |
| FY2025 | 2.2% |
Details›
- Operating margin12 months to Q2 2026
- 6.1%
- Net margin12 months to Q2 2026
- −3.2%
- Free cash flow margin
- 2.6%
- R&D as % of revenue
- 7.6%
- Revenue, trailing twelve months
- $5.32B
- Free cash flow, trailing twelve months
- $137M
- Net income, trailing twelve months
- −$171M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 2.3%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.
Customers and suppliers
Who buys from BLCO and who it buys from, as the companies report it.
- MCKMcKesson Corporation10%
Share of revenue · FY2025 10-K
- CAHCardinal Health10%
Share of revenue · FY2025 10-K
- Two largest US and canada wholesaler customers15%
Combined share of revenue · FY2025 10-K
None disclosed.
A company has to disclose every customer behind 10% or more of its revenue. Each share comes from the latest annual report of the company that states it and shows on both companies’ pages; BLCO’s own figures are from its FY2025 10-K. Smaller customers and suppliers go unreported.
Medical Instruments & Supplies
Ranks #8 of 20 by RyuScore