SWITZERLAND: Swiss-American eye care company Alcon has raised its profitability outlook for 2026 after reporting stronger-than-expected second-quarter results and significantly reducing its projected tariff-related costs, reflecting improved business performance and anticipated government refunds.
The company now expects the annual impact of tariffs to range between $40 million and $90 million, down sharply from its previous estimate of $100 million to $150 million. The revised forecast includes an expected $60 million refund from the US government, easing pressure on operating costs. The United States remains Alcon’s largest market, accounting for 45% of net sales during the first half of the year, while most of its manufacturing operations are also based there.
Stronger Sales Drive Improved Earnings Guidance
Alcon reported second-quarter net sales of $2.78 billion, up from $2.58 billion a year earlier, slightly exceeding analysts’ expectations and reinforcing confidence in the company’s growth trajectory.
Reflecting the stronger performance, the company increased its forecast for core operating profit margin growth to 90–190 basis points, compared with its earlier guidance of 70–170 basis points. It also raised its outlook for core diluted earnings per share, now expecting 12–15% growth in 2026, marking the second upward revision this year after previously forecasting 10–13% growth.
The upgraded guidance underscores resilient demand for Alcon’s eye care products and improved operational efficiency, positioning the company for stronger profitability despite ongoing global trade uncertainties.