Santa Ana-based Advanced Medical Optics Inc. on Tuesday recalled 2.9 million bottles of its Complete MoisturePlus contact lens solution after harmful bacteria were found in some units sold in Japan. The company's shares fell 8.9%.
The voluntary recall is a precaution against eye infections caused by water-borne bacteria that infiltrated a plant in China, Advanced Medical said. The recall mainly covers bottles sold in Asia, where fewer than 10 complaints have been filed about the nonsterile solution, a company spokeswoman said. No problems have been reported in the U.S., which gets most of its shipments from a plant in Spain.
Advanced Medical said profit and revenue this year and next would be lower than expected after inventory reductions and costs to recall stock and sanitize the plant. Analysts, saying the company may also face longer-term issues, cited the precedent of Bausch & Lomb Inc., whose profit plunged after its lens cleaner was linked to a potentially blinding fungal infection.
"We expect an impact to other parts of the Advanced Medical business that management has not included in its numbers," Marc Goodman, an analyst at Credit Suisse in New York, wrote in a note to clients.