NYSE$OGN

Organon & Co. · Q1 2022 earnings

Q1 2022 earnings · · Investor relations

Briefing

Organon's first quarter results for 2022 showed revenue growth and improved profitability.

Organon reported a solid start to the year with a 4% increase in total net revenue, reaching $1,567 million. The company saw growth in Biosimilars and Established Brands, while Women's Health experienced a slight decline. Adjusted EBITDA margin improved to 41.3%.

  • Total net revenue increased by 4% as-reported and 8% ex-FX compared to Q1 2021.
  • Women's Health declined 5% as-reported and 3% ex-FX, impacted by Nuvaring and Nexplanon.
  • Biosimilars revenue grew 22% as-reported and 25% ex-FX, driven by Renflexis and Ontruzant.
  • Established Brands revenue increased 10% as-reported and 15% ex-FX, benefiting from demand fluctuations and volume growth.

Headline financials

Total Revenue

$1.57B

Previous: $1.51B+4.1%
EPS (adj)

$1.65

Previous: $1.58+4.4%
Gross Margin

64.2%

No prior period
Non-GAAP Adjusted Gross Margin

66.5%

Previous: 62.2%+6.9%
Adjusted EBITDA Margin

41.3%

Previous: 37.6%+9.8%
Capital Expenditures

-$33M

Previous: $38M-186.8%
Free Cash Flow

$315M

Previous: $399M-21.1%
Net Income

$348M

Previous: $399M-12.8%
Operating Income

$539M

Previous: $465M+15.9%
Gross Profit

$1.01B

Previous: $915M+9.9%
Cash & Equivalents

$694M

Previous: $141M+392.2%
Total Assets

$10.6B

Previous: $9.64B+9.9%
Stock-Based Comp

$15M

Previous: $11M+36.4%

Revenue & EPS history

Organon · Revenue · Quarterly

$1.57B

Q1 2022+4.1%vs Q1 2021
Beat estimate in 6 of 10 quarters(60%)
ActualEstimate

Revenue by segment

Organon · $1.57B total across 4 segments · Q1 2022

  • Established Brands
    $1B+9.6%
  • Women's Health
    $401M-5.0%
  • Biosimilars
    $128M+21.9%
  • Other
    $36M-2.7%

Forward guidance

Organon affirmed the full year 2022 financial guidance previously provided on February 17, 2022, which is presented on a non-GAAP basis.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2022

Historical avgQ1 2022

-0.9%

Avg return

Earnings day

-1.6%

Avg return

5 days after

-4.8%

Avg return

30 days after

40%

10 / 25 earnings

Positive

+14.4%

Q4 2023

Best reaction

-26.9%

Q1 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.6%+0.1%+0.1%
Q4 2025-8.2%-5.3%-17.4%
Q3 2025+14.0%+11.1%+5.9%
Q1 2025-26.9%-29.4%-28.7%
Q4 2024+11.0%+5.3%+4.1%
Q3 2024+0.8%-8.2%-11.5%
Q2 2024-5.6%-0.2%+5.8%
Q1 2024+4.1%+8.3%+13.3%
Q4 2023+14.4%+13.0%+11.7%
Q3 2023-9.2%-15.3%-21.5%
Q2 2023+6.2%+6.2%-10.7%
Q1 2023-7.1%-12.4%-18.5%
Q4 2022-11.1%-7.6%-25.9%
Q3 2022-6.1%-9.1%+3.0%
Q2 2022-3.3%-3.6%-12.5%
Q1 2022+4.8%+4.7%+12.0%
Q4 2019+0.8%-0.3%-4.9%
Q4 2021-0.7%-1.0%-3.5%
Q3 2020-3.9%-5.1%-17.2%
Q3 2021-8.0%-8.4%-21.5%
Q2 2020+3.4%-2.9%-1.4%
Q2 2021+14.3%+18.2%+13.2%
Q4 2020-1.5%+0.7%+1.6%
Q1 2020-1.5%+0.7%+1.6%
Q1 2021-1.5%+0.7%+1.6%

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