Organon & Co
XMUN:7XP

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Organon & Co
XMUN:7XP
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Price: 6.048 EUR 2.2%
Market Cap: 1.6B EUR

Organon & Co
Investor Relations

In the corporate realm of healthcare, Organon & Co. emerged as a dedicated player with a mission to address vital needs in women's health. Born from a spin-off of Merck & Co.'s women's health, biosimilars, and established brands business in 2021, Organon positions itself at the heart of a neglected niche ripe with opportunity. The company's vision is clear: to enhance the health and well-being of women at every stage of life. Organon leverages its legacy of trusted brands while simultaneously developing new and innovative solutions that cater to female-specific health concerns. Through its robust portfolio of medicines and products, Organon focuses on conditions that resonate deeply with women's health issues, from contraception and fertility to postpartum recovery. As a biopharmaceutical company, it prides itself on combining a blend of established and emerging solutions to create sustainable value.

Organon’s business model capitalizes on its diverse range of offerings, employing a three-pronged strategy. The women's health segment is a significant focus, providing products that are central in addressing previously unmet needs. Meanwhile, the biosimilars segment expands the company's reach, offering affordable alternatives to more costly biologic treatments, which is increasingly crucial in today's price-sensitive healthcare environment. Lastly, the established brands division comprises a portfolio of mature pharmaceutical products that continue to generate stable revenue, thanks partly to their enduring trust among healthcare professionals. This multifaceted approach ensures Organon isn't merely reliant on new product development but can also maximize value from existing assets. The synergy across these divisions allows Organon to not only meet current market demands but also anticipate future health trends, making it a dynamic entity in the global healthcare landscape.

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Last Earnings Call
Fiscal Period
Q3 2025
Call Date
Nov 10, 2025
AI Summary
Q3 2025

Revenue Miss: Organon lowered its full-year 2025 revenue guidance to $6.2–$6.25 billion, down from a previous range, representing a nominal decline of up to 3.2%.

Nexplanon Investigation: The internal probe into improper U.S. wholesaler sales practices for Nexplanon is complete, with remediation underway and minimal financial impact; no broader product issues were found.

Nexplanon Headwinds: U.S. Nexplanon sales face significant policy and funding pressures, with global sales expected to be down low single digits for 2025 and flat in 2026.

Respiratory Weakness: The respiratory portfolio continues to decline due to competition, price pressures, and lower demand, with softness expected to persist into next year.

Jada Divestiture: Organon is selling the Jada system for $440 million (plus contingents) to accelerate deleveraging, marking a shift towards focusing on core assets.

Cost Savings & Deleveraging: Management continues to prioritize cost reduction and lowering leverage, aiming for net leverage below 4x and further debt repayment with asset sale proceeds.

CEO Transition: A search for a permanent CEO is underway after recent leadership changes, but no strategic overhaul is planned until the new CEO is in place.

Pipeline & BD Constraints: Future business development is focused on later-stage or marketed assets due to balance sheet limits, with R&D spend kept disciplined.

Key Financials
Revenue
$1.6 billion
Adjusted EBITDA
$518 million
Adjusted EBITDA Margin
32.3%
Adjusted Gross Margin
60.3%
SG&A as Percentage of Sales
25.4% year-to-date
Free Cash Flow (Before Onetime Costs)
$813 million year-to-date
Restructuring & Manufacturing Separation Costs
$244 million year-to-date
Net Leverage
4.2x as of September 30
Interest Expense
$510 million (2025 estimate)
Tax Rate
22.5% to 24.5% (2025 estimate)
Depreciation
$135 million (2025 estimate)
Nexplanon Sales
$223 million globally in Q3
Vtama Revenue
$34 million in Q3, $89 million year-to-date
Hadlima Growth
Up 63% ex-FX year-to-date through September
Volume Growth
4.5% growth in Q3
LOE (Loss of Exclusivity) Impact
$50 million in Q3
FX Impact on Revenue
$40 million favorable in Q3 (200 bps tailwind)
Earnings Call Recording
Other Earnings Calls

Management

Mr. Matthew M. Walsh C.F.A.
Executive VP & CFO
No Bio Available
Mr. Kirke Weaver
Executive VP, General Counsel & Corporate Secretary
No Bio Available
Ms. Susanne Gabriele Fiedler
Executive VP & Chief Commercial Officer
No Bio Available
Mr. Joseph T. Morrissey Jr.
Executive VP and Head of Manufacturing & Supply
No Bio Available
Ms. Rachel A. Stahler
Executive VP & Chief Information Officer
No Bio Available
Ms. Jennifer Halchak
Head of Investor Relations
No Bio Available
Ms. Susan O'Neal
Chief Ethics & Compliance Officer
No Bio Available
Ms. Rebecca Lowell Edwards
Chief Communications Officer
No Bio Available
Mr. Daniel Karp
Executive Vice President of Corporate Development
No Bio Available
Mr. Aaron Falcione
Executive VP & Chief Human Resources Officer
No Bio Available

Contacts

Address
NEW JERSEY
Jersey City
30 Hudson Street, Fl 33
Contacts
+15514306000.0
www.organon.com