Organogenesis Holdings Inc. Reports Third Quarter 2025 Financial Results, Posts Record Revenue and Raises 2025 Guidance

Core Insights - Organogenesis Holdings Inc. reported record revenue performance in Q3 2025, driven by strong execution and customer relationships, positioning the company well for future growth opportunities [3][4]. Financial Performance - Net product revenue for Q3 2025 was $150.5 million, a 31% increase from $115.2 million in Q3 2024, with Advanced Wound Care products contributing $141.5 million (up 31%) and Surgical & Sports Medicine products contributing $9.0 million (up 25%) [4][7]. - Gross profit for Q3 2025 was $114.2 million, representing 76% of net product revenue, compared to $88.4 million (77%) in Q3 2024, marking a 29% increase [5]. - Operating expenses for Q3 2025 were $130.1 million, up 19% from $108.9 million in Q3 2024, with significant increases in cost of goods sold and selling, general, and administrative expenses [6]. - Net income for Q3 2025 was $21.6 million ($0.11 per share), compared to $12.3 million ($0.09 per share) in Q3 2024, reflecting a $9.2 million increase [9]. - Adjusted EBITDA for Q3 2025 was $30.1 million, up from $13.4 million in Q3 2024, indicating strong operational performance [10]. Year-to-Date Results - For the nine months ended September 30, 2025, net product revenue was $338.0 million, down 5% from $355.4 million in the same period of 2024, primarily due to a 6% decrease in Advanced Wound Care products [11]. - Gross profit for the nine months was $250.4 million (74% of net product revenue), down from $270.7 million (76%) in the prior year [12]. - Operating expenses for the nine months decreased by 3% to $357.2 million compared to $366.9 million in 2024 [13]. - The company recorded a net loss of $6.7 million for the nine months, slightly improved from a loss of $6.8 million in the same period of 2024 [15]. Guidance and Future Outlook - The company updated its revenue guidance for the fiscal year 2025, expecting net product revenue between $500.0 million and $525.0 million, representing a year-over-year increase of 4% to 9% [20]. - The guidance includes expectations for Advanced Wound Care products to generate between $470.0 million and $490.0 million, and Surgical & Sports Medicine products to generate between $30.0 million and $35.0 million [20].