Financial Data and Key Metrics Changes - The first quarter results showed a 4% constant currency revenue decline year-over-year, primarily due to the loss of exclusivity of Atozed in Europe [20] - Adjusted gross margin was 61.7%, down from 62.1% in the same quarter last year, reflecting unfavorable pricing impacts [25] - Adjusted EBITDA margin for the first quarter was 32%, about 150 basis points better than expected [26] - Free cash flow before one-time costs was $146 million, an improvement from the prior year [27] Business Line Data and Key Metrics Changes - The women's health franchise grew 12% excluding exchange, driven by Nexplanon, which was up 14% [10] - Fertility products experienced nearly 26% global growth, with U.S. sales increasing by 70% [12] - Jada grew 20% in the quarter, with significant adoption among major birthing hospitals [13] - Biosimilars showed mixed results, with HEDLEMA growing 57% while Ontrazont and REMFLEXIS continued to decline [14] Market Data and Key Metrics Changes - Approximately 75% of revenue is generated outside the U.S., with Europe and Canada contributing about 25% and China about 13% [7] - The U.S. market is primarily supplied by European manufacturing, with limited exposure to tariffs in 2025 [6][9] Company Strategy and Development Direction - The company is focusing on deleveraging, aiming for a net leverage ratio below four by year-end 2025 [5][30] - A strategic shift has been made to redirect dividend funds towards debt reduction, allowing for nearly $200 million in potential savings [5] - The company plans to pursue business development opportunities while maintaining lower leverage [6] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving revenue targets for VITAMA, citing strong market signals and positive feedback from healthcare providers [43] - The macroeconomic environment remains uncertain, but the company has limited exposure to current tariff policies [6][66] - Future growth is expected to be driven by the successful launch of new products and ongoing operational efficiency improvements [39] Other Important Information - The company anticipates $200 million in annual savings from restructuring initiatives [5] - Onetime costs related to the spin-off are expected to be zero in 2025, with a focus on improving operating expense efficiency [27][28] Q&A Session Summary Question: Confidence in VITAMA sales target and access issues - Management is confident in reaching the $150 million sales target for VITAMA due to strong market uptake and effective managed care strategies [43] Question: Priorities regarding deleveraging and business development - The focus is currently on deleveraging, with future opportunities for business development as leverage decreases [46] Question: Future business development deal frequency and size - The company has a broad definition of women's health and is open to various deal sizes, focusing on those that align with strategic goals [53] Question: Capital allocation and share buyback considerations - Share buybacks are currently a lower priority compared to managing leverage and growth opportunities [68] Question: Impact of tariffs on future operations - The company has minimal exposure to tariffs in 2025 and is well-positioned to navigate potential future changes [66][76] Question: Nexplanon generic competition and FDA issues - Management is confident in the strength of Nexplanon's patents and the regulatory challenges faced by potential generic competitors [85][90]

Financial Data and Key Metrics Changes - The first quarter results showed a 4% constant currency revenue decline year over year, primarily due to the loss of exclusivity of Atozed in Europe [21] - Adjusted gross margin was 61.7%, down from 62.1% in the same quarter last year, reflecting unfavorable pricing impacts [25] - Adjusted EBITDA margin for the first quarter was 32%, about 150 basis points better than expected [27] - Free cash flow before one-time costs was $146 million, an improvement from the prior year [28] Business Line Data and Key Metrics Changes - The women's health franchise grew 12% excluding exchange, driven by Nexplanon, which was up 14% [10] - Fertility business grew nearly 26% globally, with U.S. growth of 70% [12] - Jada grew 20% in the quarter, with significant adoption in U.S. birthing hospitals [13] - Biosimilars showed mixed results, with HEDLEMA growing 57% while Ontrazont and REMFLEXIS continued to decline [14] Market Data and Key Metrics Changes - Revenue composition: approximately 75% from outside the U.S., with Europe and Canada contributing about 25% and China about 13% [7] - The U.S. market is primarily supplied by European manufacturing, with limited exposure to current tariff policies [6][9] Company Strategy and Development Direction - The company is focusing on deleveraging, aiming for a net leverage ratio below four by year-end 2025 [5][31] - A shift in capital allocation priorities has been made to increase retention ratio and support business development opportunities [39] - The company plans to continue pursuing compelling business development opportunities while maintaining lower leverage [6] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving revenue targets for VITAMA, citing strong market feedback and access initiatives [43] - The macroeconomic environment remains uncertain, but the company has limited exposure to current tariff policies [6][64] - Management emphasized the importance of deleveraging in response to investor concerns about leverage in a volatile market [72] Other Important Information - The company has reset its dividend payout to redirect funds towards debt reduction, allowing for nearly $200 million in prospective dividend payments to be used for deleveraging [5] - The restructuring initiatives are expected to yield approximately $200 million in annual savings [4] Q&A Session Summary Question: Confidence in VITAMA sales target and access issues - Management is confident in achieving the sales target due to strong market signals and effective access strategies [43][44] Question: Priorities regarding deleveraging and business development - The focus is currently on deleveraging, with business development opportunities being considered as leverage improves [46] Question: Capital allocation and share buybacks - Share buybacks are a lower priority compared to managing leverage and growth, especially while leverage remains above four times [66] Question: Nexplanon generic threat and FDA status - Management is confident in the strength of Nexplanon's patent and the regulatory challenges faced by potential generics [82][87] Question: Breakdown of anticipated one-time costs for 2025 - Estimated one-time costs include $150 million for manufacturing separation and $200 million for restructuring initiatives [80]

Exhibit 99.1 (614) 314-8094 Kate Vossen (732) 675-8448 Media Contacts: Karissa Peer Investor Contacts: Jennifer Halchak (201) 275-2711 Renee McKnight (551) 204-6129 Organon Reports Results for the First Quarter Ended March 31, 2025 Company af irms full year 2025 financial guidance, resets dividend payout to strengthen capital structure 1 · Guidance ranges for full year 2025 revenue and Adjusted EBITDA margin are affirmed; company expects to generate over $900 million of free cash flow before one-time costs ...

Core Insights - Analysts expect Organon (OGN) to report quarterly earnings of $0.92 per share, reflecting a year-over-year decline of 24.6% and revenues of $1.54 billion, down 4.9% from the previous year [1] - There has been a downward revision of 1.7% in the consensus EPS estimate over the last 30 days, indicating a reconsideration of initial forecasts by analysts [1][2] Revenue Estimates - Revenue from Women's Health for Nexplanon/Implanon NXT is projected at $236.63 million, showing a year-over-year increase of 7.6% [4] - The consensus estimate for Biosimilars Total revenue is $153.47 million, indicating a decline of 9.7% from the year-ago quarter [4] - Revenue for Women's Health from NuvaRing is estimated at $25.26 million, reflecting a significant decrease of 33.5% year-over-year [4] - Revenue from Women's Health for Follistim AQ is expected to be $55.48 million, marking a year-over-year increase of 20.6% [5] - U.S. revenue for Nexplanon/Implanon NXT is projected at $165.06 million, indicating a growth of 7.9% from the previous year [5] - Geographic Revenue from the U.S. is expected to reach $407.08 million, suggesting a year-over-year increase of 9.7% [6] - Revenue from Women's Health for U.S. NuvaRing is forecasted at $8.12 million, indicating a substantial decline of 49.2% from the year-ago quarter [6] - Revenue from Women's Health for U.S. Follistim AQ is estimated at $18.97 million, reflecting a significant increase of 72.4% year-over-year [6] - Revenue from Established Brands in the U.S. for Respiratory- Other is projected at $7.68 million, indicating a year-over-year increase of 9.8% [7] - Geographic Revenue from Other International is expected to be $25.18 million, reflecting a decline of 13.2% from the prior-year quarter [7] - Revenue from Established Brands International for Non-Opioid Pain, Bone and Dermatology- Other is estimated at $68.21 million, suggesting a slight increase of 0.3% year-over-year [8] - Revenue from Established Brands International for Non-Opioid Pain, Bone and Dermatology- Diprospan is projected at $30.94 million, indicating a year-over-year increase of 6.7% [8] Stock Performance - Over the past month, Organon shares have declined by 15.9%, compared to a 4.3% decline in the Zacks S&P 500 composite [8]

Organon (OGN) closed at $12.20 in the latest trading session, marking a +0.66% move from the prior day. The stock trailed the S&P 500, which registered a daily gain of 0.74%. Elsewhere, the Dow gained 0.05%, while the tech-heavy Nasdaq added 1.26%.The pharmaceutical company's shares have seen a decrease of 16.76% over the last month, not keeping up with the Medical sector's loss of 7.7% and the S&P 500's loss of 4.77%.Investors will be eagerly watching for the performance of Organon in its upcoming earnings ...

Group 1 - Organon closed at $11.30, marking a +1.07% move from the prior day, outperforming the S&P 500 which gained 0.79% [1] - Over the last month, Organon's shares decreased by 26.98%, while the Medical sector lost 8.97% and the S&P 500 lost 3.56% [1] Group 2 - The upcoming earnings release is projected to show earnings per share (EPS) of $0.92, reflecting a 24.59% decrease from the same quarter last year, with revenue estimated at $1.54 billion, indicating a 4.97% decline [2] - For the entire fiscal year, earnings are predicted to be $3.79 per share and revenue at $6.27 billion, showing changes of -7.79% and -2.14% respectively from the previous year [3] Group 3 - Recent shifts in analyst projections for Organon are important as they indicate changing near-term business trends, with upward revisions reflecting analysts' positivity towards the company's operations [4] - Estimate revisions are correlated with near-term share price momentum, and the Zacks Rank system incorporates these changes to provide a practical rating [5] Group 4 - Organon currently holds a Zacks Rank of 3 (Hold), with a Forward P/E ratio of 2.95, which is a discount compared to the industry's average Forward P/E of 14.97 [6] - The PEG ratio for Organon is 1.24, matching the average PEG ratio of the Medical Services industry [7] Group 5 - The Medical Services industry holds a Zacks Industry Rank of 71, placing it in the top 29% of over 250 industries, indicating strong performance potential [7][8]

Company Overview - Organon (OGN) shares increased by 8.5% to close at $12.64, following a period of 25.3% loss over the past four weeks, indicating a significant rebound in trading volume [1][2] - The stock surge is attributed to a broader market recovery after the Trump administration announced a temporary halt on reciprocal tariffs, as well as positive sentiment regarding Organon's acquisition of regulatory and commercial rights for TOFIDENCE, the first approved tocilizumab biosimilar for intravenous infusion [2] Earnings Expectations - Organon is projected to report quarterly earnings of $0.92 per share, reflecting a year-over-year decline of 24.6%, with expected revenues of $1.54 billion, down 5% from the previous year [3] - The consensus EPS estimate for Organon has remained unchanged over the last 30 days, suggesting that stock price movements may not sustain without trends in earnings estimate revisions [4] Industry Context - Organon is part of the Zacks Medical Services industry, which includes other companies like Medpace (MEDP), whose stock also saw a 9.1% increase but has returned -14.9% over the past month [4] - Medpace's consensus EPS estimate has decreased by 0.8% to $3.05, representing a year-over-year change of -4.7%, and it also holds a Zacks Rank of 3 (Hold) [5]

If you are looking for a stock that has a solid history of beating earnings estimates and is in a good position to maintain the trend in its next quarterly report, you should consider Organon (OGN) . This company, which is in the Zacks Medical Services industry, shows potential for another earnings beat.This pharmaceutical company has an established record of topping earnings estimates, especially when looking at the previous two reports. The company boasts an average surprise for the past two quarters of 3 ...

Company Performance - Organon (OGN) closed at $14.56, down 1.02% from the previous day, underperforming the S&P 500, which fell 0.33% [1] - Over the past month, Organon shares declined by 4.97%, worse than the Medical sector's loss of 3.24% and the S&P 500's loss of 4.03% [1] Upcoming Earnings - Analysts expect Organon to report earnings of $0.92 per share, reflecting a year-over-year decline of 24.59% [2] - Revenue is forecasted to be $1.54 billion, indicating a 4.97% decline compared to the same quarter last year [2] Fiscal Year Estimates - For the fiscal year, earnings are projected at $3.79 per share and revenue at $6.27 billion, representing declines of 7.79% and 2.14% respectively from the prior year [3] - Recent changes in analyst estimates may indicate the company's near-term business trends and overall health [3] Valuation Metrics - Organon has a Forward P/E ratio of 3.88, significantly lower than the industry average of 16.08 [6] - The PEG ratio for Organon is 1.63, compared to the Medical Services industry's average PEG ratio of 1.46 [6] Industry Ranking - The Medical Services industry, part of the Medical sector, holds a Zacks Industry Rank of 71, placing it in the top 29% of over 250 industries [7] - Strong industry rankings correlate with better stock performance, with top-rated industries outperforming lower-rated ones by a factor of 2 to 1 [7]

Company Performance - Organon (OGN) closed at $15.39, reflecting a -1.35% change from the previous session, underperforming the S&P 500's daily gain of 0.08% [1] - Over the last month, Organon's shares decreased by 0.57%, which is better than the Medical sector's loss of 1.03% and the S&P 500's loss of 7.33% [1] Upcoming Financial Results - Organon is expected to report an EPS of $0.92, down 24.59% from the prior-year quarter, with projected net sales of $1.54 billion, down 4.97% from the year-ago period [2] - For the full year, analysts expect earnings of $3.79 per share and revenue of $6.27 billion, marking changes of -7.79% and -2.14% respectively from last year [3] Analyst Forecasts and Valuation - Recent revisions to analyst forecasts for Organon are important as they reflect short-term business trends, with positive revisions indicating optimism about the company's outlook [4] - The Zacks Rank system, which incorporates estimate changes, currently ranks Organon at 3 (Hold), with a Forward P/E ratio of 4.12, indicating a discount compared to the industry's Forward P/E of 16.32 [6] - Organon's PEG ratio is 1.73, compared to the Medical Services industry's average PEG ratio of 1.43 [7] Industry Context - The Medical Services industry, part of the Medical sector, has a Zacks Industry Rank of 75, placing it in the top 30% of over 250 industries [7] - Research indicates that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [8]