Organogenesis Holdings Inc. Reports Second Quarter 2025 Financial Results

Core Viewpoint - Organogenesis Holdings Inc. reported a significant decline in net product revenue for the second quarter of 2025, primarily due to a decrease in Advanced Wound Care products, while Surgical & Sports Medicine products showed growth. The company anticipates policy changes in 2026 that could stabilize the industry and create new opportunities for patient care [3][4][5]. Financial Results Summary Second Quarter 2025 - Net product revenue was $100.8 million, down from $130.2 million in Q2 2024, representing a decrease of 23% [5][9]. - Advanced Wound Care revenue decreased by 25% to $92.7 million, while Surgical & Sports Medicine revenue increased by 16% to $8.1 million [4][5]. - The net loss for Q2 2025 was $9.4 million, an improvement from a net loss of $17.0 million in Q2 2024 [9][10]. - Adjusted net loss was $7.5 million, compared to an adjusted net income of $0.2 million in Q2 2024 [5][9]. - Adjusted EBITDA loss was $3.6 million, down from an adjusted EBITDA income of $15.6 million in Q2 2024 [5][9]. First Half 2025 - Net product revenue for the first half of 2025 was $187.5 million, a decrease of 22% from $240.2 million in the same period of 2024 [11][12]. - Advanced Wound Care revenue for the first half decreased by 24% to $172.6 million, while Surgical & Sports Medicine revenue increased by 13% to $14.8 million [11][12]. - The net loss for the first half was $28.2 million, compared to a net loss of $19.1 million in the first half of 2024 [15][16]. - Adjusted net loss for the first half was $20.9 million, compared to an adjusted net loss of $1.2 million in the same period of 2024 [15][16]. - Adjusted EBITDA loss was $16.2 million, a significant decline from adjusted EBITDA income of $18.2 million in the first half of 2024 [16]. Operating Expenses - Operating expenses for Q2 2025 were $113.6 million, down 21% from $144.1 million in Q2 2024 [7][8]. - R&D expenses decreased by 33% to $10.4 million in Q2 2025 [7]. - Selling, general, and administrative expenses were $73.8 million, a decrease of 4% from $76.5 million in Q2 2024 [7]. Cash Position - As of June 30, 2025, the company had $73.7 million in cash and cash equivalents, down from $136.2 million at the end of 2024 [10][17]. Fiscal Year 2025 Guidance - The company expects net product revenue for 2025 to be between $480.0 million and $510.0 million, with Advanced Wound Care revenue projected between $450.0 million and $475.0 million [19]. - Surgical & Sports Medicine revenue is expected to be between $30.0 million and $35.0 million [19]. - The company anticipates a net income (loss) between $(6.4) million and $16.4 million for the year [19].