Orion Oyj

Q2 net sales were EUR 522 million, up 25% year over year. Q2 operating profit was EUR 177 million, up 69%, with a 34% operating margin; EPS was EUR 1. For H1, net sales were EUR 939 million, up 22%, operating profit was EUR 291 million, up almost 60%, with a 31% operating margin; EPS was EUR 1.64. Orion raised its full-year outlook, increasing the lower end of guidance by EUR 50 million to net sales of EUR 2 billion to EUR 2.1 billion and EBIT of EUR 650 million to EUR 750 million. Management said the outlook upgrade reflects strong first-half momentum, especially in Nubeqa, and expects that momentum to continue in H2. They also said Q3 Nubeqa tablet deliveries should be lower than Q2 because of the maintenance break, while Q4 is typically back to normal levels.

Liisa Hurme framed the quarter as broadly strong, saying net sales growth accelerated and profitability improved in Q2. She emphasized that the main drivers were Nubeqa royalties and product sales, plus an excellent Branded Products quarter, and highlighted R&D progress, especially ODM-212. Her tone was confident but measured, repeatedly noting that quarterly timing can vary, particularly for Nubeqa tablet shipments and royalties.

René Lindell said the guidance upgrade came from strong first-half performance and the expectation that Nubeqa momentum will continue in H2, making the prior lower-end target less likely. On profitability, he pointed to the mix effect from rapidly growing Nubeqa royalties as the main gross margin driver, while other business gross margins were described as stable. He also said tariffs on innovative pharma from Europe are assumed from the last quarter of this year or beginning of October, with a small impact this year and a larger effect next year if implemented; R&D spending should continue rising but not as a big step change each quarter.

Analysts focused heavily on Nubeqa: management said the big tablet delivery jump was timing-related, with shipments often bunched around manufacturing campaigns and the summer maintenance break, so one quarter is not a clean proxy for future sales. On royalties, management confirmed the maximum royalty tier was reached in Q2 but would not disclose the rate. Questions also covered Divigel growth, where Liisa said some upside may reflect stock-outs in competing hormone replacement therapies, ODM-212 strategy, where Orion said it is not looking for a partner and plans to develop it through phase III itself, and tariffs, where CFO said any impact should be small this year but bigger next year. In webcast follow-up, management also said U.S. expansion is underway in Boston, but hiring is still limited to single individuals and not a material near-term cost step-up.