Healthcare products maker Organon beats Q3 profit estimates, cuts FY forecast

Organon & Co.

10/11/2025 12:39

Overview

Organon Q3 revenue of $1.602 bln beats analyst expectations, up 1% yr/yr

Adjusted EPS for Q3 beats consensus at $1.01

Company lowers full-year 2025 revenue and adjusted EBITDA margin guidance

Outlook

Organon lowers full-year 2025 revenue guidance to $6.200 bln - $6.250 bln

Company revises full-year 2025 adjusted EBITDA margin guidance to ~31.0%

Result Drivers

BIOSIMILARS GROWTH - Biosimilars revenue increased 19% driven by Hadlima and favorable timing of an international tender for Ontruzant

WOMEN'S HEALTH DECLINE - Women's Health revenue declined 3% due to lower demand for Nexplanon in the U.S., offset partially by growth in other products

ESTABLISHED BRANDS CHALLENGES - Established Brands revenue faced declines due to loss of exclusivity and pricing pressures in the respiratory portfolio

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Beat
$1.60 bln
$1.57 bln (5 Analysts)
Q3 Adjusted EPS
Beat
$1.01
$0.94 (6 Analysts)
Q3 EPS
$0.61
Q3 Adjusted Net Income
Beat
$263 mln
$245.27 mln (5 Analysts)
Q3 Net Income
$160 mln
Q3 Adjusted EBITDA
Beat
$518 mln
$472 mln (3 Analysts)
Q3 Gross Margin
53.50%
Q3 Adjusted EBITDA Margin
32.30%


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 3 "hold" and 4 "sell" or "strong sell"

The average consensus recommendation for the pharmaceuticals peer group is "buy."

Wall Street's median 12-month price target for Organon & Co is $10.50, about 35.4% above its November 7 closing price of $6.78

The stock recently traded at 2 times the next 12-month earnings vs. a P/E of 2 three months ago

Press Release: ID:nBwSFLbba

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)