“Organogenesis Holdings showcases strong momentum with a 31% year-over-year revenue surge in Q3 2025, no outstanding debt, and strategic investments in manufacturing and product pipelines, enabling effective execution of expansion initiatives amid a competitive regenerative medicine landscape.”
Organogenesis Holdings operates as a prominent player in the regenerative medicine sector, focusing on bioactive and acellular biomaterials that address advanced wound care, surgical procedures, and sports medicine applications. Its portfolio includes established products like Apligraf for chronic wounds, NuShield for tissue protection, and ReNu for musculoskeletal conditions, serving a diverse customer base across hospitals, clinics, and ambulatory surgical centers.
Recent Financial Performance
The company’s third quarter of 2025 marked a significant turnaround, with net product revenue reaching $150.5 million, reflecting a 31% increase from $115.2 million in the same period of 2024. This growth was primarily driven by the Advanced Wound Care segment, which contributed $141.5 million, up 31% year-over-year, while the Surgical & Sports Medicine segment added $9.0 million, a 25% rise. Gross profit stood at $114.2 million, or 76% of net product revenue, compared to $88.4 million or 77% previously.
Net income for Q3 2025 climbed to $21.6 million, an improvement of $9.2 million from $12.3 million in Q3 2024. Adjusted net income was $23.2 million, up from $12.9 million, and adjusted EBITDA surged to $30.1 million from $13.4 million. Operating income also advanced to $20.7 million, more than tripling the prior year’s $6.2 million.
However, year-to-date figures through September 2025 reveal a more nuanced picture, with net product revenue at $338.0 million, down 5% from $355.4 million in 2024. This decline stems largely from a 6% drop in Advanced Wound Care to $314.1 million, offset by a 17% gain in Surgical & Sports Medicine to $23.9 million. Year-to-date net loss was $6.7 million, nearly flat compared to $6.8 million previously, while adjusted EBITDA fell to $14.0 million from $31.6 million, influenced by higher impairment and write-down expenses in the prior period.
In contrast, Q2 2025 was challenging, with net product revenue dropping 23% to $100.8 million from $130.2 million in Q2 2024. The Advanced Wound Care segment saw a 25% decline to $92.7 million, though Surgical & Sports Medicine grew 16% to $8.1 million. Net loss improved to $9.4 million from $17.0 million, but adjusted EBITDA shifted to a $3.6 million loss from a $15.6 million gain.
| FinancialMetric | Q32025 | Q32024 | %Change | YTD2025 | YTD2024 | %Change |
|---|---|---|---|---|---|---|
| NetProductRevenue($M) | 150.5 | 115.2 | +31% | 338.0 | 355.4 | -5% |
| AdvancedWoundCare($M) | 141.5 | 108.0 | +31% | 314.1 | 335.1 | -6% |
| Surgical&SportsMedicine($M) | 9.0 | 7.2 | +25% | 23.9 | 20.3 | +17% |
| GrossProfit($M) | 114.2 | 88.4 | +29% | 250.4 | 270.7 | -8% |
| NetIncome/Loss($M) | 21.6 | 12.3 | +75% | (6.7) | (6.8) | +1% |
| AdjustedEBITDA($M) | 30.1 | 13.4 | +125% | 14.0 | 31.6 | -56% |
As of September 30, 2025, the balance sheet remains solid, with cash, cash equivalents, and restricted cash totaling $64.4 million, down from $136.2 million at year-end 2024 due to operational investments. Total assets grew to $509.8 million from $497.9 million, while total liabilities increased to $123.8 million from $112.6 million. Notably, the company carries no outstanding debt, providing flexibility for capital allocation. Stockholders’ equity was $255.1 million, slightly lower than $262.9 million, reflecting ongoing share activities. Accounts receivable rose to $168.8 million from $109.9 million, indicating stronger sales momentum, and inventories expanded to $39.6 million from $26.2 million to support anticipated demand.
The stock trades around $3.92 per share, with a 52-week range of $2.61 to $7.08, and average daily volume exceeding 900,000 shares, suggesting moderate liquidity in a volatile biotech market.
Growth Strategies and Initiatives
Organogenesis has outlined ambitious plans to scale operations and penetrate new markets. A key pillar is the expansion of manufacturing capacity through a $100 million multi-year investment in a new 122,000-square-foot biomanufacturing facility in Smithfield, Rhode Island. Announced in May 2025 and secured via a long-term lease in late 2024, this site will enhance production lines, research and development, and logistics capabilities. The facility is expected to create over 200 jobs and bolster supply chain resilience, directly supporting the ramp-up of existing products and future innovations in regenerative therapies.