Organogenesis (ORGO) Q3 2026 earnings summary

Executive summary

• Q3 net product revenue fell 70% YoY to $45.5M, while rising 6% QoQ; market-share gains and improved product utilization supported sequential growth.

• Management said the market had bottomed but recovery remained measured, with excess inventory and clinician uncertainty still weighing on demand.

Financial highlights

• Q3 revenue was $45.5M versus $150.9M; 9M revenue was $124.5M versus $338.6M.

• Q3 gross profit was $23.6M versus $114.2M; gross margin was 52% versus 76%.

• Q3 operating loss was $29.5M versus operating income of $20.7M; net loss was $29.6M versus net income of $21.6M, or $(0.25) per share.

• Q3 Adjusted EBITDA was $(22.4)M versus $30.1M; 9M Adjusted EBITDA was $(104.9)M versus $14.0M.

• 9M net loss was $179.1M, or $1.47 per share, versus $6.7M; adjusted net loss was $162.1M versus adjusted net income of $2.3M.

Outlook and guidance

• FY 2026 revenue guidance is $179.4M–$200.0M, a 65%–68% YoY decline; assumptions include Advanced Wound Care of $151M–$171M, Surgical & Sports Medicine of $26M–$27M, and $1.9M grant income.

• Q4 revenue is expected to remain significantly lower YoY, with sequential improvement at a measured pace; the expected H2 YoY decline is 68%–74%.

• Guidance assumes sequential quarterly adjusted EBITDA improvement; H2 loss is expected to decline by more than 60% at the low end and more than 80% at the high end versus H1, with positive Q4 adjusted EBITDA at the high end.

• Expected 2026 cost reductions from restructuring and other actions total ~$45M, including ~$32M of restructuring-related reductions.

• Norwood remediation is expected to finish by September 30, 2027; Amnuvx’s PDUFA target date is expected to extend beyond April 24, 2027. Dermagraft relaunch timing is not projected.