Difluprednate is a potent corticosteroid prodrug that, upon topical ocular administration, is rapidly converted to its active metabolite, difluoroprednisolone, in ocular tissues. It binds to glucocorticoid receptors in the cytoplasm, modulating gene expression to suppress the inflammatory response. This results in inhibition of multiple inflammatory mediators, including cytokines, prostaglandins, and leukotrienes, leading to reduced vascular permeability, edema, and leukocyte infiltration, thus alleviating inflammation and associated pain in the eye.