MALVERN, PA — Endo, Inc. (OTCQX: NDOI) announced its financial results for the first quarter ended March 31, 2025, highlighting solid growth in the Branded Pharmaceuticals segment and the reaffirmation of full-year guidance as the company executes on its transformation strategy.
Key metrics reveal total revenues of $393 million for the quarter, a 6% decrease compared to the same period in 2024, which reported $420 million. The decline reflects competitive pressures across segments, particularly Sterile Injectables and Generic Pharmaceuticals, partially offset by growth in Branded Pharmaceuticals. Net loss for the quarter improved to $129 million, compared to $154 million in the first quarter of 2024, primarily due to decreased restructuring expenses.
Adjusted EBITDA stood at $99 million, down from $146 million year-over-year, driven by reduced gross margins, segment mix changes, and investments in Sterile Injectables. Adjusted net income fell to $24 million, compared to $131 million in Q1 2024.
The Branded Pharmaceuticals segment posted revenues of $209 million, a 4% increase from $201 million in the prior-year quarter. XIAFLEX®, which continues to drive growth, delivered $121 million in revenue, up 7% from the previous year, fueled by increased demand.
Performance in the Sterile Injectables segment saw revenues drop to $71 million from $98 million in the first quarter of 2024, attributed to competitive dynamics in products such as VASOSTRICT® and ADRENALIN® vials. However, the company made advances in its pipeline with three regulatory submissions and growing adoption of its ADRENALIN® ready-to-use premixed bags.
The Generic Pharmaceuticals segment experienced a 4% decline in revenue, totaling $99 million compared to $103 million in the prior-year period, amid competitive pressures. Lidocaine patch 5% emerged as a bright spot, delivering a 16% revenue increase. Meanwhile, International Pharmaceuticals revenue decreased to $13 million as a result of an expired license agreement.
Endo reaffirmed its full-year 2025 guidance with projected revenues between $1,775 million and $1,860 million and adjusted EBITDA ranging from $620 million to $650 million.
The company’s strategic initiatives remain on track. The pending combination with Mallinckrodt, announced in March, aims to create a scaled, diversified pharmaceutical leader. The transaction, expected to close in the second half of 2025, highlights plans for future business separation. Endo also plans to divest its International Pharmaceuticals business, with the deal expected to close by mid-2025.
“As we advance Endo’s transformation with two major transactions announced in March, the Company remains focused on executing our growth drivers, as evidenced by strong XIAFLEX® performance in our Branded Pharmaceuticals business and the advancement of our Sterile Injectables pipeline,” said Scott Hirsch, Interim CEO. “As a result of our first-quarter results, which met internal expectations across all segments, we are reaffirming our full-year 2025 earnings guidance.”
With $370 million in unrestricted cash as of March 31, 2025, Endo remains positioned to pursue its strategic priorities while navigating competitive industry dynamics.
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