- Organon & Co's OGN Q3 sales reached $1.54 billion, a decrease of 4% Y/Y (up 3% on constant currency), beating the consensus of $1.52 billion.
- Women's Health increased 19% and 23% ex-FX. Nexplanon (etonogestrel implant) grew 34% ex-FX, primarily driven by favorable pricing, demand uptake in the U.S., and volume growth outside the U.S.
- Continued demand for the company's fertility offerings also contributed to growth in the quarter.
- Biosimilars revenue declined 7% (4% ex-FX) primarily driven by the timing of a tender for Ontruzant (trastuzumab-dttb) in Brazil in 2021, as well as competitive pressures in Europe.
- The adjusted gross margin improved to 67.1% from 64.9%. The company reported an adjusted EBITDA of $546 million, down 11%.
- The adjusted EPS declined 16% to $1.32, better than the consensus of $1.10.
- Guidance: Organon narrowed FY22 sales guidance to $6.1-$6.2 billion from $6.1-$6.3 billion compared to the consensus of $6.18 billion.
- The company narrowed and raised the adjusted margin EBITDA to 33.5%-34.5% from 32%-34%.
- Price Action: OGN shares are up 4.01% at $26.97 on the last check Thursday.
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