Orion Oyj

Latest Results (15.05.2026):

Orion Oyj — Q1 2026: Orion reported a strong Q1 2026 with net sales up 17.8% to EUR 417.7 million and operating profit up 47.3% to EUR 114.8 million, driven largely by higher Nubeqa® sales and royalties. Basic earnings per share were EUR 0.64. Cash flow from operations weakened (EUR 37.0m; cash flow per share EUR 0.26) because working capital and tax payments related to an earlier Nubeqa® milestone affected timing. The company specified its 2026 outlook, narrowing guidance to EUR 1,950–2,100m in net sales and EUR 600–750m in operating profit, and reported progress in oncology R&D including a TEAD inhibitor trial and an FDA orphan designation.

Key financials (Q1 2026)

Net sales: EUR 417.7m (+17.8% v Q1 2025). Operating profit: EUR 114.8m (+47.3%). EBITDA: EUR 130.4m (31.2% of sales). Basic EPS: EUR 0.64 (+47%). R&D spend: EUR 48.3m (11.6% of sales). Capex (excl. acquisitions): EUR 17.8m.

Sales and royalties

Royalties rose to EUR 95.5m (from EUR 54.7m). Nubeqa® net contribution was EUR 144.9m (+58.4%). Top ten products accounted for EUR 252.0m (60.3% of Q1 sales). All business divisions grew: Innovative Medicines led, Branded Products (Easyhaler®—budesonide-formoterol) grew, Generics & Consumer Health stable with faster consumer health growth, Animal Health and Fermion in line with expectations.

Cash flow & balance sheet

Cash flow from operating activities fell to EUR 37.0m (‑52% y/y) mainly due to increased working capital and tax payments tied to a prior Nubeqa® milestone; the related cash inflow will be seen later (expected Q2). Cash & equivalents: EUR 199.3m. Interest-bearing liabilities: EUR 330.3m; interest‑bearing net liabilities ~EUR 131.0m. Gearing 11.7%, equity ratio 54.1%.

Outlook for 2026 (specified)

Updated guidance (23 Apr 2026): net sales EUR 1,950–2,100m and operating profit EUR 600–750m. The update narrows the lower end of prior ranges. Guidance excludes any material milestone receipts; company expects Nubeqa® royalties and product sales to grow but flags timing uncertainty and some US tariff risk.

R&D and pipeline

Clinical progress: ODM‑212 (TEAD inhibitor) advanced — TEADCO Phase 1b/2 (combination in selected solid tumours) initiated after the quarter (April) and ODM‑212 received FDA orphan drug designation in mesothelioma. Ongoing collaborations include opevesostat (MSD) and levosimendan (Tenax). Orion continues multiple oncology and other clinical projects.

Corporate actions & governance

Management: Berkeley Vincent appointed EVP, Innovative Medicines (effective 8 Apr 2026). AGM decisions: dividend EUR 1.80/share (two instalments), Board composition updated and authorised share buybacks and share‑issue authorisations; Remuneration Report adopted.

Risks and near‑term drivers

Key sensitivities: heavy reliance on Nubeqa® royalties (timing and USD exchange‑rate impact), supply‑chain and production risks, R&D timing and milestone uncertainty, and pricing/competition and regulatory changes in key markets. Sales & marketing investments are expected to increase in 2026.

Other operational notes

Average headcount Q1: 4,107 (vs 3,928). Q1 capex EUR 17.8m. Company noted that cash taxes paid in Q1 related to a EUR 180m milestone recognised in 2025 P&L reduced operating cash flow in Q1, with the actual milestone cash effect expected in Q2 2026.