OGN FY 2018 Earnings Report — Organon & Co. Revenue & Financial Results | Market Cap Arena

Organon & Co.OGN

FY 2018 Earnings

Reported December 31, 2018

Quarter Comparison

Revenue

Operating Income

Gross Margin

Net Margin

EPS (Diluted)

Free Cash Flow

Metric	FY 2018	Prior Q	FY 2017	QoQ Change	YoY Change
Revenue	$9.8B	—	$10.5B	—	-6.9%
Op. Income	$2.7B	—	$3.3B	—	-17.3%
Gross Margin	52.0%	—	56.3%	—	-4.3pp
Net Margin	22.0%	—	17.2%	—	4.9pp
EPS (Diluted)	$8.51	—	$7.11	—	19.7%
Free Cash Flow	$3.6B	—	$3.3B	—	7.6%

Revenue Flow

Item	Amount
REVENUE	$9.8B
Cost of Revenue	$4.7B
GROSS PROFIT	$5.1B
R&D Expenses	$365M
Selling & Marketing	$322M
General & Administrative	$1.7B
SG&A Expenses	$2.0B
Other Expenses	$0
Operating Expenses	$2.4B
Cost & Expenses	$7.1B
OPERATING INCOME	$2.7B
Interest Income	$0
Interest Expense	$0
Other Income/Expenses	$23M
INCOME BEFORE TAX	$2.7B
Income Tax Expense	$576M
Net Income from Continuing Ops	$2.2B
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$2.2B
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$2.2B
D&A	$1.7B
EBIT	$2.7B
EBITDA	$4.4B
EPS	$9
EPS Diluted	$9

Income Statement

Item	Amount
REVENUE	$9.8B
Cost of Revenue	$4.7B
GROSS PROFIT	$5.1B
R&D Expenses	$365M
Selling & Marketing	$322M
General & Administrative	$1.7B
SG&A Expenses	$2.0B
Other Expenses	$0
Operating Expenses	$2.4B
Cost & Expenses	$7.1B
OPERATING INCOME	$2.7B
Interest Income	$0
Interest Expense	$0
Other Income/Expenses	$23M
INCOME BEFORE TAX	$2.7B
Income Tax Expense	$576M
Net Income from Continuing Ops	$2.2B
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$2.2B
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$2.2B
D&A	$1.7B
EBIT	$2.7B
EBITDA	$4.4B
EPS	$9
EPS Diluted	$9

Cash Flow Statement

Item	Amount
Net Income	$2.2B
Depreciation & Amortization	$1.7B
Stock-Based Compensation	$56M
Deferred Income Tax	$37M
Other Non-Cash Items	-$58M
Change in Working Capital	-$174M
OPERATING CASH FLOW	$3.7B
Capital Expenditure	-$101M
Acquisitions (Net)	$32M
Purchases of Investments	$0
Sales/Maturities of Investments	$0
Other Investing Activities	$32M
NET CASH FROM INVESTING	-$69M
Net Debt Issuance	$59M
Common Stock Repurchased	$0
Common Dividends Paid	$0
Other Financing Activities	-$4.2B
NET CASH FROM FINANCING	-$4.2B
FREE CASH FLOW	$3.6B
Net Change in Cash	-$527M

Balance Sheet

Item	Amount
Cash & Equivalents	$244M
Short-Term Investments	$0
Net Receivables	$1.6B
Inventory	$994M
Other Current Assets	$883M
TOTAL CURRENT ASSETS	$3.7B
PP&E (Net)	$651M
Goodwill	$4.6B
Intangible Assets	$812M
Long-Term Investments	$0
Tax Assets	$0
Other Non-Current Assets	$714M
TOTAL NON-CURRENT ASSETS	$6.8B
TOTAL ASSETS	$10.5B
Account Payables	$289M
Short-Term Debt	$115M
Deferred Revenue	$322M
Other Current Liabilities	$6M
TOTAL CURRENT LIABILITIES	$1.5B
Long-Term Debt	$34M
Deferred Revenue NC	$0
Deferred Tax Liabilities	$149M
Other Non-Current Liabilities	$2.6B
TOTAL NON-CURRENT LIABILITIES	$2.6B
TOTAL LIABILITIES	$4.1B
Common Stock	$7.3B
Additional Paid-In Capital	$0
Retained Earnings	$0
Treasury Stock	$0
Accum. Other Comp. Income	-$908M
Other Equity	$0
TOTAL STOCKHOLDERS' EQUITY	$6.3B
Minority Interest	$0
TOTAL EQUITY	$6.3B
TOTAL LIABILITIES & EQUITY	$10.5B
Total Debt	$149M
Net Debt	-$95M