Alcon Shares Drop on Revised 2025 Outlook and Tariff Impact
By Anastasiia Kozlova
(Reuters) -Swiss eye care group Alcon's shares fell sharply on Wednesday after the company revised its 2025 outlook to reflect the impact of U.S. tariffs and as it reported first-quarter results below estimates.
Late on Tuesday, Alcon raised its 2025 sales forecast to between $10.4 and $10.5 billion on FX tailwinds, up from its earlier projection of $10.2 to $10.4 billion, but lowered its core operating margin outlook to 20–21%, down from the 21–22% expected in February.
Alcon's shares were down 9.4% at 0708 GMT, on track for their worst day since March 2020.
"This outlook incorporates a gross tariff impact of approximately $80 million, which is expected to pressure cost of net sales," the company said in a statement, adding that it planned to fully offset the impact through operational measures and currency effects.
Some analysts had expected Alcon to maintain its guidance or even upgrade it.
Alcon's shares had dropped about 15% early April, reacting to President Donald Trump's tariff announcement and the subsequent response from China.
The company, which produces contact lenses, dry eye drops, gels and other related products, also reported quarterly revenue of $2.45 billion, slightly below analysts' average forecast of $2.51 billion, based on LSEG data.
It reported net income of $350 million, missing market expectations of $377.7 million.
(Reporting by Anastasiia Kozlova in Gdansk. Editing by Jane Merriman)