Organon

Q1 FY2026 EarningsQ2 FY26 results were mixed, with revenue of $1,558M slightly beating the $1,556M consensus (+0.12%) while normalized EPS of $0.40 significantly missed the $1.07 estimate (-62.62%). The profitability miss was primarily driven by a sharp rise in effective tax rate to 41.3% vs. 28.25% expected and restructuring costs of $31M. While biosimilars grew (Hadlima +59% YoY), the core contraception franchise Nexplanon declined 4% due to reinsertion delays following a label change, although the pending $14.00 per share cash acquisition by Sun Pharma remains the primary valuation anchor.