ORION CORPORATION
FINANCIAL STATEMENT RELEASE 1–12/2025
12 FEBRUARY 2026 at 12:00 EET
Orion Group Financial Statement Release January–December 2025
October–December 2025 Highlights
- Net sales totalled EUR 695.3 (October–December 2024: 434.4) million
- Operating profit was EUR 328.1 (92.7) million
- Basic earnings per share were EUR 1.85 (0.52)
- Cash flow from operating activities per share was EUR 0.58 (0.63)
- The outlook for 2026 (provided on 14 January 2026): Net sales are estimated to be EUR 1,900 million to EUR 2,100 million. Operating profit is estimated to be EUR 550 million to EUR 750 million.
January–December 2025 Highlights
- Net sales totalled EUR 1,889.5 (January–December 2024: 1,542.4) million
- Operating profit was EUR 631.6 (416.6) million
- Basic earnings per share were EUR 3.56 (2.35)
- Cash flow from operating activities per share was EUR 2.25 (2.09)
- The Board of Directors proposes a dividend of EUR 1.80 (1.64) to be paid for 2025. The dividend is proposed to be paid in two instalments.
Key figures
| 10–12/25 | 10–12/24 | Change % | 1–12/25 | 1–12/24 | Change % | |
| Net sales, EUR million | 695.3 | 434.4 | +60.1% | 1,889.5 | 1,542.4 | +22.5% |
| EBITDA, EUR million | 343.0 | 147.1 | > 100 % | 688.3 | 509.4 | +35.1% |
| % of net sales | 49.3% | 33.9% | 36.4% | 33.0% | ||
| Operating profit, EUR million | 328.1 | 92.7 | > 100 % | 631.6 | 416.6 | +51.6% |
| % of net sales | 47.2% | 21.3% | 33.4% | 27.0% | ||
| Profit before taxes, EUR million | 327.0 | 91.7 | > 100 % | 627.8 | 413.1 | +52.0% |
| % of net sales | 47.0% | 21.1% | 33.2% | 26.8% | ||
| Profit for the period, EUR million | 260.5 | 73.4 | > 100 % | 500.3 | 329.9 | +51.7% |
| % of net sales | 37.5% | 16.9% | 26.5% | 21.4% | ||
| Research and development expenses, EUR million | 70.6 | 62.5 | +13.0% | 210.4 | 179.6 | +17.2% |
| % of net sales | 10.2% | 14.4% | 11.1% | 11.6% | ||
| Capital expenditure excluding acquired in business combination, EUR million | 28.3 | 29.8 | -5.2% | 112.9 | 86.1 | +31.0% |
| % of net sales | 4.1% | 6.9% | 6.0% | 5.6% | ||
| Acquired in business combination, net of cash, EUR million | 4.0 | > 100 % | ||||
| Interest-bearing net liabilities, EUR million | 144.4 | 121.7 | +18.7% | |||
| Basic earnings per share, EUR | 1.85 | 0.52 | > 100 % | 3.56 | 2.35 | +51.5% |
| Cash flow from operating activities per share, EUR | 0.58 | 0.63 | -7.5% | 2.25 | 2.09 | 7.8% |
| Equity ratio, % | 64.1% | 61.9% | ||||
| Gearing, % | 11.2% | 12.1% | ||||
| Return on capital employed (before taxes), % | 43.8% | 34.9% | ||||
| Return on equity (after taxes), % | 43.7% | 34.8% | ||||
| Average number of personnel during the period | 4,003 | 3,712 | +7.8% |
President and CEO Liisa Hurme:
Another strong quarter, a great closure to a successful year 2025
"In October–December 2025, our net sales increased by 60.1 percent to EUR 695.3 (434.4) million and operating profit increased more than threefold to EUR 328.1 (92.7) million. Underlying business developed very favourably and in addition the growth both in net sales and especially in operating profit was boosted by the EUR 180 million Nubeqa milestone. Excluding all milestones, our net sales increased by 18.5 percent to EUR 514.0 (433.9) million, and operating profit by 59.2 percent to EUR 146.8 (92.3) million.
All of our largest business divisions continued the strong performance we have seen throughout the year. The Innovative Medicines business division more than doubled its net sales in Q4 thanks to the EUR 180 milestone and Nubeqa® sales. Nubeqa® has consistently exceeded expectations, and now we estimate that Orion's annual Nubeqa® net sales have the potential to exceed EUR 1 billion by the end of the current decade.
Also the Branded Products, and the Generics and Consumer Health business divisions remained on a solid growth path. Both divisions have strong, high-quality portfolios, which developed well as a whole. The Animal Health business division’s sales continued on a good level.
On the R&D front, our clinical development pipeline progressed further with the initiation of a phase 2 trial of ODM-212, which is a TEAD inhibitor, in December. This first trial focuses on rare cancers but we see a lot of potential with ODM-212 and its mode of action in various indications. Thus, we aim to expand the phase 2 program during 2026. Also, as planned, our partner Tenax initiated a second phase 3 trial with levosimendan for pulmonary hypertension in heart failure with preserved ejection fraction.
Overall, Orion delivered a very strong performance in 2025, with solid financial results and clear progress in executing our strategy. We took a significant step forward in strengthening our biologics R&D by establishing an R&D center in Cambridge, England. We have also strengthened our US unit with key recruitments and moved our office from New York to Boston, which is a leading biotech hub.
Due to Nubeqa’s strong performance and outlook, we gave financial outlook for 2026 already in January. We are expecting another very strong year, during which we will continue our determined work to build well-being and Orion’s future.”
Proposal by the Board of Directors of Orion Corporation to the Annual General Meeting 2026 on the resolution on the use of the profit shown on the Balance Sheet and the distribution of dividend
Orion Corporation’s distributable funds at 31 December 2025 are EUR 853,045,368.34, of which the profit for the financial year is EUR 482,748,629.26. The Board of Directors proposes to the Annual General Meeting of Orion Corporation to be held on 24 March 2026 that a dividend of EUR 1.80 per share be paid on the basis of the Balance Sheet confirmed for the financial year that ended on 31 December 2025. No dividend shall be paid on treasury shares held by the Company on the record date for dividend payment.
According to the proposal, the dividend would be paid in two instalments. The first instalment of EUR 0.90 per share would be paid to a shareholder who is on the record date for the payment of the dividend, 26 March 2026, registered in the Company’s shareholders’ register maintained by Euroclear Finland Oy. The Board of Directors proposes that the first instalment would be paid on 2 April 2026. The second instalment of EUR 0.90 per share would be paid to a shareholder who is on the record date for the payment of the dividend, 20 October 2026, registered in the Company’s shareholders’ register maintained by Euroclear Finland Oy. The Board of Directors proposes that the second instalment would be paid on 27 October 2026.
The Board of Directors proposes that the Annual General Meeting would authorise the Board of Directors to resolve, if necessary, on a new record date for payment and payment date for the second instalment of the dividend in case of changes in the rules of Euroclear Finland Oy or the regulations regarding the Finnish book-entry system or if other rules binding the Company so require.
In addition, the Board of Directors proposes to the Annual General Meeting that EUR 500,000 of the Company’s distributable funds be donated to medical research and other purposes of public interest as decided by the Board of Directors. Any remaining distributable funds would be allocated to retained earnings.
There have been no material changes in the Company’s financial position since the end of the financial year. The liquidity of the Company is good and, in the opinion of the Board of Directors, the proposed profit distribution would not compromise the liquidity of the Company.
Outlook for 2026 (provided on 14 January 2026)
Net sales are estimated to be EUR 1,900 million to EUR 2,100 million.
Operating profit is estimated to be EUR 550 million to EUR 750 million.
Basis for outlook
Collaboration agreements with other pharmaceutical companies are an integral part of Orion’s business model. Agreements often include payments recorded in net sales and operating profit that vary greatly from year to year. Forecasting the timing and amount of these payments is difficult. In some cases, they are conditional on terms such as R&D outcomes which are not known until studies have been completed, the progress of R&D projects or the attainment of specified sales levels. Regarding possible new contracts under negotiation, neither the outcome nor the schedule of contract negotiations is generally known before the final signing of the agreement.
In 2025, Orion booked one material milestone of EUR 180 million. The outlook for 2026 does not include any material milestone payments.
Milestone payments received by Orion in 2021–2025
| Year | 2021 | 2022 | 2023 | 2024 | 2025 |
| EUR million | 3 | 234 | 32 | 134 | 183 |
The outlook does not include income, expenses or other impacts related to any future material product or company acquisition or divestment.
Net sales
The outlook assumes that the Nubeqa® royalties and product sales booked by Orion will increase clearly in 2026. Orion’s assumption is based on forecasts received from its partner Bayer. However, it is difficult to predict the exact level of product sales and royalties of a strongly growing product for the whole year. In addition, some risk of tariff impact in the US is included in the outlook range.
The Branded Products business division is estimated to grow in 2026. Growth is anticipated to be driven by the Respiratory therapy area and the Easyhaler® product portfolio, but also other therapy areas and products are expected to grow. The Animal Health business division is anticipated to grow slightly, with growth coming from various products. The net sales of the Generics and Consumer Health business division are estimated to be at a similar level or slightly higher than in 2025.
Operating profit
The underlying operating profit growth, i.e. excluding material milestones, is expected to be driven by increasing net sales and especially Nubeqa® royalties. However, it is difficult to predict the exact level of royalties of a strongly growing product for the whole year. Any variance from the predicted level can have a notable impact on Orion’s operating profit. Also, the mechanism by which each quarter’s product deliveries are always fully deducted from the next quarter’s royalty payments causes fluctuation in operating profit. Even though this impact on operating profit is only temporary, the timing of product deliveries may have notable impact on Orion’s operating profit in one calendar year. Significant part of Orion’s Nubeqa® income is coming from the United States and thus changes in the US dollar exchange rate cause fluctuations in Orion’s operating profit.
Research and development costs, and in particular their timing, can also cause fluctuations in operating profit. Although the future costs of research and development projects are known quite well in advance, there are uncertainties about their timing. The start of projects may be delayed, and projects may progress faster or slower than expected. Projects may also have to be terminated, in which case the anticipated costs will not be fully realised. Orion estimates that R&D costs in 2026 will increase from 2025.
Sales and marketing expenses are expected to increase in 2026. Expenses are increased by additional investments in the sale of the current product portfolio, and Nubeqa® royalty payable as per an agreement with Endo Pharmaceuticals.
Capital expenditure
The Group’s total capital expenditure in 2026 is not expected to have any significant changes compared to 2025. The estimate of capital expenditure does not include any investments related to any future material product or company acquisition.
Near-term risks and uncertainties
Orion is exposed to risks that may arise from its operations or changes in the operating environment. The most significant risk factors described below can potentially have an adverse effect on Orion’s business operations, financial position or financial results. Other risks, which are currently either unknown or considered immaterial to Orion may, however, become material in the future.
Orion’s own production and other operations are exposed to risks that may materially disrupt their operations or even interrupt them at least temporarily. Such risks include, for example, accidents, damages, natural disasters, strikes, employee illness, conflicts, terrorism, cyber-attacks, hybrid influence, disruption of information or communication systems, disruption of energy supply, and disruption of supply and logistics chains. Orion’s production and business operations are dependent on global supply and logistics chains, the inaction of which may lead to low availability of finished products and raw materials, starting materials, semi-finished products, supplies, equipment and spare parts needed in production.
Sales of individual products and also Orion’s sales in individual markets may vary, for example depending on the extent to which the ever-tougher price and other competition prevailing in pharmaceutical markets in recent years will specifically focus on Orion’s products. Changes in pharmaceutical or other regulation in individual markets or more broadly, for example at EU level, may affect the sales and profitability of Orion’s products. Changes in overall market demand may also have negative impact on sales. New tariffs or other possible customs duties on Orion’s products may negatively affect the sales and profitability of Orion’s products. The details of the US pharmaceutical tariffs, their implementation and their impact on Orion still remain unclear.
Product deliveries to key partners are based on timetables that are jointly agreed in advance. Nevertheless, they can change, for example as a consequence of decisions concerning adjustments of stock levels. In addition, changes in market prices and exchange rates affect the value of deliveries.
Key currencies that carry an exchange rate risk for Orion are the US dollar, the Swedish krona and the Polish zloty. Other significant currencies are the Danish krone and the Norwegian krone. However, the overall effect of the risk arising from currencies of European countries will be abated by the fact that Orion has organisations of its own in most European countries, which means that in addition to sales income there are also costs in these currencies.
The current geopolitical conflicts and unrest, and other challenges in the global supply and logistics chains of pharmaceuticals have increased the already elevated risk of supply disruptions. The possible rise of raw material prices and other supply chain costs deteriorates the profitability of Orion’s products, since in the pharmaceutical industry it is very difficult to pass on cost increases to the prices of own products, especially prescription medicines, particularly in Europe. If high cost inflation occurs, it will pose a risk to Orion’s profitability.
Authorities and key customers in different countries carry out regular and detailed inspections of drug development and manufacturing at Orion’s sites. Any remedial actions that may be required may at least temporarily have effects that decrease delivery reliability and increase costs. Orion’s product range also contains products manufactured by other pharmaceutical companies and products that Orion manufactures on its own but for which other companies supply active pharmaceutical or other ingredients and components or parts (among these the Easyhaler® products). Possible problems related to the delivery reliability or quality of the products of those manufacturers may cause a risk to Orion’s delivery reliability. The single-channel system used for pharmaceuticals distribution in Finland, in which Orion’s products have been delivered to customers through only one wholesaler, may also cause risks to delivery reliability.
Research projects always entail uncertainty factors that may either increase or decrease estimated costs. Although the future costs of research and development projects are known quite well in advance, there are uncertainties about their timing. The start of projects may be delayed, and projects may progress faster or slower than expected having an impact on predicted costs within an individual year. Projects may also have to be terminated, in which case the anticipated costs will not be fully realised.
Collaboration arrangements are an important component of Orion’s business model. Possible collaboration and licensing agreements related to these arrangements also often include payments to be recorded in net sales that may materially affect Orion’s financial results. The payments may be subject to conditions relating to the progress of research projects or sales or to new contracts to be signed, and whether these conditions or contracts materialise and what their timing is, will always entail uncertainties. The upfront and milestone payments paid by Orion to its collaborators, which are recorded as investments in intangible assets in balance sheet, include write-down risk that may be realised if, for example, a collaborative research project fails or otherwise has to be discontinued.
Webcast and Conference Call
A webcast and a conference call for analysts, investors and media representatives will be held on Thursday, 12 February 2026 at 14.00 EET.
A link to the live webcast is available on Orion's website at www.orionpharma.com/investors. A recording of the event will be available on the website later the same day.
Conference call can be joined by registering through the following link: https://events.inderes.com/orion/q4-2025/dial-in.
Phone numbers and the conference ID to access the conference will be provided after the registration. In case you would like to ask a question during the conference, please dial *5 on your telephone keypad to enter the question queue.
Questions can also be presented in writing through the question form of the webcast.
Upcoming events
| Annual General Meeting planned to be held | Tuesday 24 March 2026 |
| Interim Report January–March 2026 | Thursday 23 April 2026 |
| Half-Year Financial Report January–June 2026 | Friday 17 July 2026 |
| Interim Report January–September 2026 | Wednesday 28 October 2026 |
The Financial Statements and the Report by the Board of Directors for 2025 will be published on the Company’s website at the latest in week 10/2026.
Espoo, 12 February 2026
Board of Directors of Orion Corporation
For additional information about the report:
Tuukka Hirvonen, Head of Investor Relations, tel. +358 10 426 2721 or +358 50 966 2721
Publisher:
Orion Corporation
Orion is a globally operating Nordic pharmaceutical company – a builder of well-being for over a hundred years. We develop, manufacture and market human and veterinary pharmaceuticals and active pharmaceutical ingredients. Orion has an extensive portfolio of proprietary and generic medicines and consumer health products. The core therapy areas of our pharmaceutical R&D are oncology and pain. Proprietary products developed by Orion are used to treat cancer, neurological diseases and respiratory diseases, among others. In 2025 Orion’s net sales amounted to EUR 1,890 million and the company employs about 4,000 professionals worldwide, dedicated to building well-being. Orion’s A and B shares are listed on Nasdaq Helsinki.
Attachment
