Umer Raffat's questions to Bausch Health Companies Inc (BHC) leadership • Q2 2025
Question
In a follow-up, Umer Raffat of Evercore ISI sought to level-set expectations for the IRA's impact on XIFAXAN, asking if the 40-60% price reductions seen for other drugs were a reasonable benchmark.
Answer
CEO Thomas Appio reiterated the company's view that XIFAXAN should not have been selected for negotiation and that they are exploring levers to minimize the financial impact. CFO Jean-Jacques Charhon added that the final impact is contingent on the drug's classification (long-term vs. short-term monopoly) and that various strategies can be deployed to offset the effect once the new price is determined.