Johnson & Johnson has made a breakthrough in the world of contact lenses by obtaining FDA approval for a drug-eluting contact lens. This development is great news for contact lens wearers who suffer from allergic eye itch. Now, medtech analysts at Needham & Co. have released a report that examines the contact lens market and the intraocular lens market, highlighting their potential for growth.
According to the report, both markets have attractive growth prospects due to their exposure to drivers that are somewhat insulated from pure volume growth. The analysts believe that a shift towards premium products could increase the growth rate of both markets beyond their historical mid-single digit rate.
The report also covers the coverage initiation of Alcon, Cooper Companies, RxSight, and STAAR Surgical by Needham & Co. analysts. These companies are expected to play a significant role in the growth of the market.
In terms of the contact lens market, the analysts note a shift towards premium lenses, which is expected to drive growth. This shift includes a move from monthly and two-week replacement lenses to daily lenses, as well as a transition from hydrogel to silicone hydrogel lenses. The analysts also highlight the potential for improving the conversion rate from trialing to permanent wearer and increasing retention rates among older wearers through advancements in multifocal contact lenses.
Staar Surgical has recently received FDA approval for its EVO/EVO+ Visian Implantable Collamer Lens, which is designed to correct myopia and myopia with astigmatism. Unlike other refractive error correction procedures that rely on laser technology, Staar’s implantable collamer lens can be implanted in people with more severe refractive errors.
Moving on to the intraocular lens (IOL) market, the analysts expect growth to be driven by premium lenses used in cataract surgeries. While the majority of IOL volume is currently monofocal, toric and advanced technology IOLs have improved in recent years. These premium lenses can be significantly more expensive than monofocal IOLs, providing a potential tailwind for market growth.
The analysts also mention Google Trends analytics, which indicate that cataract procedure volumes are trending better than orthopedic and cardiovascular procedures. This suggests further growth potential for the intraocular lens market.
The report estimates that the current value of the intraocular lens market is around $3 billion. Additionally, the analysts highlight RxSight’s differentiated intraocular lens system, which allows for tailored visual correction after the procedure. This system could be suitable for up to 20% of patients.
Alcon, on the other hand, has achieved a significant milestone with its AcrySof IQ PanOptix Trifocal Intraocular Lens, surpassing one million implants worldwide. This multifocal IOL provides clear vision at various distances and has proven to be highly effective.
Furthermore, Alcon has recently launched the Clareon family of IOLs in the United States. These IOLs use advanced materials to deliver consistent visual outcomes and exceptional clarity.
Overall, the report from Needham & Co. highlights the promising growth prospects of both the contact lens and intraocular lens markets. The shift towards premium products and advancements in technology are expected to drive this growth, benefiting both patients and companies in the medtech industry.