Organon & Co. (OGN) 10-Q 3 May 24 2024 Q1 Quarterly report Financial data

Cover

Cover - shares	3 Months Ended
	Mar. 31, 2024	Apr. 26, 2024
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Mar. 31, 2024
Document Transition Report	false
Entity File Number	001-40235
Entity Registrant Name	Organon & Co.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	46-4838035
Entity Address, Address Line One	30 Hudson Street, Floor 33
Entity Address, City or Town	Jersey City,
Entity Address, State or Province	NJ
Entity Address, Postal Zip Code	07302
City Area Code	(551)
Local Phone Number	430-6900
Title of 12(b) Security	Common Stock ($0.01 par value)
Trading Symbol	OGN
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		257,170,727
Entity Central Index Key	0001821825
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2024
Document Fiscal Period Focus	Q1

Condensed Consolidated Statemen

Condensed Consolidated Statements of Income - USD ($) shares in Thousands, $ in Millions	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Income Statement [Abstract]
Revenues	$ 1,622	$ 1,538
Costs, Expenses and Other
Cost of sales	665	580
Selling, general and administrative	431	435
Research and development	112	129
Acquired in-process research and development and milestones	15	8
Restructuring costs	23	4
Interest expense	131	132
Exchange losses	6	9
Other expense, net	3	6
Total, costs expenses and other	1,386	1,303
Income Before Income Taxes	236	235
Taxes on income	35	58
Net Income	$ 201	$ 177
Earnings per Share:
Basic (in dollars per share)	$ 0.78	$ 0.70
Diluted (in dollars per share)	$ 0.78	$ 0.69
Weighted Average Shares Outstanding:
Basic (in shares)	255,695	254,392
Diluted (in shares)	258,362	256,170

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Statement of Comprehensive Income [Abstract]
Net income	$ 201	$ 177
Other Comprehensive (Loss) Income, Net of Taxes:
Benefit plan net gain and prior service credit, net of amortization	1	0
Cumulative translation adjustment	(37)	30
Other comprehensive income (loss)	(36)	30
Comprehensive income	$ 165	$ 207

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Millions	Mar. 31, 2024	Dec. 31, 2023
Current Assets:
Cash and cash equivalents	$ 575	$ 693
Accounts receivable (net of allowance for doubtful accounts of $11 in 2024 and $9 in 2023)	1,547	1,744
Inventories (excludes inventories of $101 in 2024 and $110 in 2023 classified in Other assets)	1,263	1,315
Other current assets	811	756
Total Current Assets	4,196	4,508
Property, plant and equipment, net	1,180	1,183
Goodwill	4,603	4,603
Intangibles, net	718	533
Other assets	1,194	1,231
Total Assets	11,891	12,058
Current Liabilities:
Current portion of long-term debt	9	9
Trade accounts payable	955	1,314
Accrued and other current liabilities	1,385	1,389
Income taxes payable	196	206
Total Current Liabilities	2,545	2,918
Long-term debt	8,705	8,751
Deferred income taxes	44	47
Other noncurrent liabilities	549	412
Total Liabilities	11,843	12,128
Contingencies (Note 15)
Organon & Co. Stockholders’ Equity (Deficit):
Common stock, $0.01 par value Authorized - 500,000 Issued and outstanding - 255,847 in 2024 and 255,626 in 2023	3	3
Additional paid-in capital	49	25
Retained earnings	573	443
Accumulated other comprehensive loss	(577)	(541)
Total Stockholders’ Equity (Deficit)	48	(70)
Total Liabilities and Stockholders’ Equity (Deficit)	$ 11,891	$ 12,058

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions	Mar. 31, 2024	Dec. 31, 2023
Statement of Financial Position [Abstract]
Allowance for doubtful accounts	$ 11	$ 9
Inventories classified in other assets	$ 101	$ 110
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, authorized (in shares)	500,000,000	500,000,000
Common stock, issued (in shares)	255,847,000	255,626,000
Common stock, outstanding (in shares)	255,847,000	255,626,000

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Stockholders' Equity (Deficit) - USD ($) $ in Millions	Total	Common Stock	Additional Paid-In Capital	Retained Earnings and (Accumulated Deficit)	Accumulated Other Comprehensive Loss
Beginning balance (in shares) at Dec. 31, 2022		254,370,000
Beginning balance at Dec. 31, 2022	$ (892)	$ 3	$ 0	$ (331)	$ (564)
Stockholders' Equity [Roll Forward]
Net income	177			177
Other comprehensive income,(loss) net of taxes	30				30
Cash dividends declared on common stock ($0.28 per share)	(73)			(73)
Stock-based compensation plans and other (in shares)		62,000
Stock-based compensation plans and other	21			21
Ending balance (in shares) at Mar. 31, 2023		254,432,000
Ending balance at Mar. 31, 2023	(737)	$ 3	0	(206)	(534)
Beginning balance (in shares) at Dec. 31, 2023		255,626,000
Beginning balance at Dec. 31, 2023	(70)	$ 3	25	443	(541)
Stockholders' Equity [Roll Forward]
Net income	201			201
Other comprehensive income,(loss) net of taxes	(36)				(36)
Cash dividends declared on common stock ($0.28 per share)	(71)			(71)
Stock-based compensation plans and other (in shares)		221,000
Stock-based compensation plans and other	24		24
Ending balance (in shares) at Mar. 31, 2024		255,847,000
Ending balance at Mar. 31, 2024	$ 48	$ 3	$ 49	$ 573	$ (577)

Condensed Consolidated Statem_4

Condensed Consolidated Statements of Stockholders' Equity (Deficit) (Parenthetical) - $ / shares	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Statement of Stockholders' Equity [Abstract]
Common stock dividends declared (in dollars per share)	$ 0.28	$ 0.28

Condensed Consolidated Statem_5

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Cash Flows from Operating Activities
Net income	$ 201	$ 177
Adjustments to reconcile net income to net cash flows provided by operating activities:
Depreciation	32	28
Amortization	33	29
Acquired in-process research and development and milestones	15	8
Deferred income taxes	5	3
Stock-based compensation	26	22
Unrealized foreign exchange (gain) loss	(18)	2
Other	5	8
Net changes in assets and liabilities
Accounts receivable	163	39
Inventories	19	(38)
Other current assets	(57)	(3)
Trade accounts payable	(349)	(139)
Accrued and other current liabilities	(15)	(47)
Income taxes payable	(6)	6
Other	22	19
Net Cash Flows Provided by Operating Activities	76	114
Cash Flows from Investing Activities
Capital expenditures	(46)	(46)
Acquired in-process research and development and milestones	0	(8)
Purchase of product rights and asset acquisition, net of cash acquired	(50)	0
Net Cash Flows Used in Investing Activities	(96)	(54)
Cash Flows from Financing Activities
Repayments of debt	(2)	(252)
Employee withholding taxes related to stock-based awards	(2)	(1)
Dividend payments	(70)	(73)
Net Cash Flows Used in Financing Activities	(74)	(326)
Effect of Exchange Rate Changes on Cash and Cash Equivalents	(24)	19
Net Decrease in Cash and Cash Equivalents	(118)	(247)
Cash and Cash Equivalents, Beginning of Period	693	706
Cash and Cash Equivalents, End of Period	$ 575	$ 459

Background and Nature of Operat

Background and Nature of Operations	3 Months Ended
	Mar. 31, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Background and Nature of Operations	Background and Nature of Operations Organon & Co. (“Organon” or the “Company”) is a global health care company with a focus on improving the health of women throughout their lives. Organon develops and delivers innovative health solutions through a portfolio of prescription therapies and medical devices within women’s health, biosimilars and established brands (the “Organon Products”). Organon has a portfolio of more than 60 medicines and products across a range of therapeutic areas. The Company sells these products through various channels including drug wholesalers and retailers, hospitals, government agencies and managed health care providers such as health maintenance organizations, pharmacy benefit managers and other institutions. The Company operates six manufacturing facilities, which are located in Belgium, Brazil, Indonesia, Mexico, the Netherlands and the United Kingdom. Unless otherwise indicated, trademarks appearing in italics throughout this document are trademarks of, or are used under license by, the Organon group of companies. The Company’s operations include the following product portfolios: • Women’s Health : Organon’s women’s health products are sold by prescription primarily in two therapeutic areas, contraception, with key brands such as Nexplanon® (etonogestrel implant) (sold as Implanon NXT ™ in some countries outside the United States) and NuvaRing® (etonogestrel / ethinyl estradiol vaginal ring), and fertility, with key brands such as Follistim AQ® (follitropin beta injection) (marketed in most countries outside the United States as Puregon ™). Nexplanon is a long-acting reversible contraceptive, which is a class of contraceptives that is recognized as one of the most effective types of hormonal contraception available to patients with a low long-term average cost. Other women’s health products include the Jada ® System, which is intended to provide control and treatment of abnormal postpartum uterine bleeding or hemorrhage when conservative management is warranted, and a license from Daré Biosciences for the global commercial rights to Xaciato ® (clindamycin phosphate vaginal gel, 2%), an FDA-approved medication for the treatment of bacterial vaginosis (“BV”) in females 12 years of age and older. In October 2023, Xaciato was launched in the United States. • Biosimilars : Organon’s current portfolio spans across immunology and oncology treatments. Organon’s oncology biosimilars; Ontruzant® (trastuzumab-dttb) and Aybintio TM 1 (bevacizumab), have been launched in more than 20 countries and Organon’s immunology biosimilars; Brenzys TM 1 (etarnarcept), Renflexi s ® (infliximab-abda) and Hadlima TM (adalimumab-bwwd), have been launched in five countries. All five biosimilars in Organon’s portfolio have launched in Canada, and three biosimilars: Ontruzant , Renflexis and Hadlima have launched in the United States. • Established Brands : Organon has a portfolio of established brands, which generally are beyond market exclusivity, including leading brands in cardiovascular, respiratory, dermatology and non-opioid pain management. A number of Organon’s established brands lost exclusivity years ago and have faced generic competition for some time.

Basis of Presentation

Basis of Presentation	3 Months Ended
	Mar. 31, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	Basis of Presentation The accompanying unaudited financial statements have been prepared in accordance with U.S. Generally Accepted Accounting Principles (“GAAP”) and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, certain information and disclosures required by GAAP for complete consolidated financial statements are not included herein. The results of operations of any interim period are not necessarily indicative of the results of operations for the full year. In the Company’s opinion, all adjustments necessary for a fair statement of these interim statements have been included and are of a normal and recurring nature. All intercompany transactions and accounts within Organon have been eliminated. These interim statements should be read in conjunction with the audited financial statements and notes thereto included in Organon’s Annual Report on Form 10-K for the year ended December 31, 2023. Use of Estimates The presentation of these Condensed Consolidated Financial Statements and accompanying notes in conformity with GAAP require management to make estimates and assumptions that affect the amounts reported, as further described in the Annual Report on Form 10-K for the year ended December 31, 2023. Accordingly, actual results could differ materially from management’s estimates and assumptions. Recently Issued Accounting Standards Not Yet Adopted In December 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2023-09, Improvements to Income Tax Disclosures , which requires disaggregated information about a reporting entity’s effective tax rate reconciliation as well as information on income taxes paid. The standard is intended to benefit investors by providing more detailed income tax disclosures that would be useful in making capital allocation decisions. The amendments in this ASU are effective for annual periods beginning on January 1, 2025, and should be applied on a prospective basis with the option to apply the standard retrospectively. Early adoption is permitted. This ASU will have no impact on the Company’s consolidated financial condition or results of operations. The Company is currently evaluating the impact to its income tax disclosures. In November 2023, the FASB issued ASU No. 2023-07, Improvements to Reportable Segment Disclosure s, which improves reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses. In addition, the amendments enhance interim disclosure requirements, clarify circumstances in which an entity can disclose multiple segment measures of profit or loss, provide new segment disclosure requirements for entities with a single reportable segment, and contain other disclosure requirements. The purpose of the amendments is to enable investors to better understand an entity’s overall performance and assess potential future cash flows. The amendments in this ASU are effective for annual periods beginning on January 1, 2024 and interim periods beginning on January 1, 2025, and should be applied on a retrospective basis for all periods presented. This ASU will have no impact on the Company’s consolidated financial condition or results of operations. The Company is currently evaluating the impact to its segment disclosures. Recent Securities and Exchange Commission (“SEC”) Final Rules Not Yet Adopted In March 2024, the SEC adopted final rules under SEC Release No. 33-11275, The Enhancement and Standardization of Climate-Related Disclosures for Investors , which requires registrants to provide certain climate-related information in their registration statements and annual reports. The rules require information about a registrant's climate-related risks that are reasonably likely to have a material impact on its business, results of operations, or financial condition. The required information about climate-related risks will also include disclosure of a registrant's greenhouse gas emissions. In addition, the rules will require registrants to present certain climate-related financial metrics in their audited financial statements. These requirements are effective for the Company in various fiscal years, starting with its fiscal year beginning January 1, 2025. However, the climate rule is currently stayed which could potentially impact the effective date. Disclosures will be required prospectively, with information for prior periods required only to the extent it was previously disclosed in an SEC filing. The Company is currently evaluating the impact of these final rules on its consolidated financial statements and disclosures.

Acquisitions and Licensing Arra

Acquisitions and Licensing Arrangements	3 Months Ended
	Mar. 31, 2024
Business Combination and Asset Acquisition [Abstract]
Acquisitions and Licensing Arrangements	Acquisitions and Licensing Arrangements Eli Lilly (“Lilly”) In December 2023, Organon announced an agreement with Lilly to become the sole distributor and promoter of the migraine medicines Emgality ® (galcanezumab) and Rayvow ™ (lasmiditan) in Europe. Lilly will remain the marketing authorization holder and will manufacture the products for sale. Under the terms of the agreement, Organon paid an upfront payment of $50 million, upon closing of the transaction in January 2024, and will recognize sales-based milestones when the achievement is probable. In the first quarter of 2024, the Company recognized an intangible asset of $220 million, comprised of the $50 million upfront payment and $170 million of sales-based milestones that were deemed probable. The intangible asset will be amortized over 10 years. As of March 31, 2024, Organon accrued $20 million in Accrued and Other current liabilities and $150 million in Other noncurrent liabilities related to the probable sales-based milestones. Shanghai Henlius Biotech, Inc. (“Henlius”) During the three months ended March 31, 2024, research and development milestones related to the Henlius agreement were determined to be probable of being achieved and the Company expensed $15 million in Acquired in-process research and development and milestones

Earnings per Share (_EPS_)

Earnings per Share (“EPS”)	3 Months Ended
	Mar. 31, 2024
Earnings Per Share [Abstract]
Earnings per Share (“EPS”)	Earnings per Share (“EPS”) The calculations of basic and diluted EPS are as follows: Three Months Ended ($ in millions and shares in thousands, except per share amounts) 2024 2023 Net income $ 201 $ 177 Basic weighted average number of shares outstanding 255,695 254,392 Stock awards and equity units (share equivalent) 2,667 1,778 Diluted weighted average common shares outstanding 258,362 256,170 EPS: Basic $ 0.78 $ 0.70 Diluted $ 0.78 $ 0.69 Anti-dilutive shares excluded from the calculation of EPS 9,027 6,495

Product and Geographic Informat

Product and Geographic Information	3 Months Ended
	Mar. 31, 2024
Segment Reporting [Abstract]
Product and Geographic Information	Product and Geographic Information The Company’s operations include the following product portfolios, which constitute one operating segment engaged in developing and delivering innovative health solutions through its portfolio of prescription therapies and medical devices within women’s health, biosimilars and established brands. Revenues of the Company’s products were as follows: Three Months Ended March 31, 2024 2023 ($ in millions) U.S. Int’l Total U.S. Int’l Total Women’s Health Nexplanon/Implanon NXT $ 153 $ 67 $ 220 $ 114 $ 52 $ 165 Follistim AQ 11 35 46 26 29 55 NuvaRing (1) 16 22 38 25 24 49 Ganirelix Acetate Injection 6 23 29 6 23 30 Marvelon/Mercilon — 33 33 — 37 37 Jada 13 — 13 7 — 7 Other Women’s Health ( 1) (2) 15 28 43 9 28 38 Biosimilars Renflexis 55 14 69 55 7 62 Ontruzant 8 31 39 13 8 21 Brenzys — 24 24 — 19 19 Aybintio — 8 8 — 10 10 Hadlima 22 8 30 — 5 5 Established Brands Cardiovascular Zetia (1) 2 82 84 2 87 89 Vytorin 1 27 28 2 28 29 Atozet — 132 132 — 128 128 Rosuzet — 16 16 — 18 18 Cozaar/Hyzaar 3 65 67 2 83 85 Other Cardiovascular (1) (2) — 37 38 1 34 35 Respiratory Singulair 2 95 98 3 117 120 Nasonex (1) — 77 77 — 71 71 Dulera 43 13 56 38 8 46 Clarinex 1 36 37 1 39 39 Other Respiratory (1) (2) 7 3 9 12 3 15 Non-Opioid Pain, Bone and Dermatology Arcoxia — 75 75 — 71 71 Fosamax 1 38 40 — 37 38 Diprospan — 29 29 — 14 14 Other Non-Opioid Pain, Bone and Dermatology (1) 5 68 72 4 59 63 Other Proscar — 26 26 — 27 27 Propecia 2 21 23 2 31 33 Other (1) (4) 5 89 94 4 76 80 Other (3) — 29 29 — 39 39 Revenues $ 371 $ 1,251 $ 1,622 $ 326 $ 1,212 $ 1,538 Totals may not foot due to rounding. Trademarks appearing above in italics are trademarks of, or are used under license by, the Organon group of companies. (1) Sales of the authorized generic versions of NuvaRing, Zetia and Nasonex were previously included in other and have been reclassified to their respective brand name product. (2) Includes sales of products not listed separately. Revenues from Jada were previously reported as part of Other Women’s Health. Revenue from an arrangement for the sale of generic etonogestrel/ethinyl estradiol vaginal ring is included in Other Women’s Health. (3) Includes manufacturing sales to third parties. (4) Includes revenues from the migraine medicines Emgality and Rayvow. Revenues by geographic area where derived are as follows: Three Months Ended ($ in millions) 2024 2023 Europe and Canada $ 450 $ 400 United States 371 326 Asia Pacific and Japan 287 324 China 206 225 Latin America, Middle East, Russia, and Africa 274 214 Other (1) 34 49 Revenues $ 1,622 $ 1,538 (1) Primarily reflects manufacturing sales to third parties.

Stock-Based Compensation Plans

Stock-Based Compensation Plans	3 Months Ended
	Mar. 31, 2024
Share-Based Payment Arrangement [Abstract]
Stock-Based Compensation Plans	Stock-Based Compensation Plans The Company grants stock option awards, performance share units (“PSUs”) and restricted share units (“RSUs”) pursuant to its 2021 Incentive Stock Plan. The PSU awards are based on the following performance factors: • total stockholder return of the Company relative to an index of peer companies specified in the awards; and • the results of cumulative free cash flow and revenue metrics of the Company. Stock-based compensation expenses incurred by the Company were as follows: Three Months Ended ($ in millions) 2024 2023 Stock-based compensation expense recognized in: Cost of sales $ 4 $ 4 Selling, general and administrative 18 15 Research and development 4 3 Total $ 26 $ 22 Income tax benefits $ 5 $ 5 The fair value of options granted was determined using the following assumptions: Three Months Ended March 31, 2024 2023 Expected dividend yield 6.00 % 4.82 % Risk-free interest rate 4.12 3.56 Expected volatility 41.02 42.30 Expected life (years) 5.89 5.89 A summary of the equity award transactions for the three months ended March 31, 2024 is as follows: Stock Options RSU’s PSU’s (shares in thousands) Shares Weighted average exercise price Weighted average grant date fair value Shares Weighted average grant date fair value Shares Weighted average grant date fair value Outstanding as of January 1, 2024 5,758 $ 32.20 $ 8.51 7,511 $ 25.05 1,122 $ 30.16 Granted 1,503 18.80 4.59 4,676 18.80 734 21.91 Vested/Exercised — — — (2,417) 28.37 — — Forfeited/Cancelled (204) 29.34 8.27 (153) 23.84 (74) 27.08 Outstanding as of March 31, 2024 7,057 $ 29.43 $ 7.68 9,617 $ 19.50 1,782 $ 26.89 The following table summarizes information about equity awards outstanding that are vested and expected to vest and equity awards outstanding that are exercisable as of March 31, 2024: Equity Awards Vested and Expected to Vest Equity Awards That are Exercisable (awards in thousands; aggregate intrinsic value in millions) Awards Weighted Average Exercise Price Aggregate Intrinsic Value Remaining Term (in years) Awards Weighted Average Exercise Price Aggregate Intrinsic Value Remaining Term (in years) Stock Options 6,829 $ 29.47 $ — 7.23 3,841 $ 32.86 $ — 5.82 RSU’s 8,737 181 2.35 PSU’s 1,302 28 2.09 The amount of unrecognized compensation costs as of March 31, 2024 was $227 million, which will be recognized in operating expense ratably over the weighted average vesting period of 2.31 years.

Restructuring

Restructuring	3 Months Ended
	Mar. 31, 2024
Restructuring and Related Activities [Abstract]
Restructuring	Restructuring In the first quarter of 2024, Organon implemented additional restructuring activities related to the ongoing optimization of its internal operations by reducing headcount, primarily in the Research and Development function. In the fourth quarter of 2023, Organon implemented restructuring activities related to the ongoing optimization of its internal operations by reducing headcount in certain markets and functions. As a result of these combined activities, the Company’s headcount will be reduced by approximately 5% by the end of 2024. Organon expects the remaining severance payments associated with the restructuring activities to be paid over the next twelve months. The following is a summary of changes in severance liabilities related to the restructuring activities included within Accrued and other current liabilities : March 31, 2024 December 31, 2023 Beginning balance $ 61 $ 20 Severance & severance related costs 23 62 Cash payments and other (27) (21) Ending Balance $ 57 $ 61

Taxes on Income

Taxes on Income	3 Months Ended
	Mar. 31, 2024
Income Tax Disclosure [Abstract]
Taxes on Income	Taxes on Income The effective income tax rates were 14.7% and 24.6% for the three months ended March 31, 2024 and 2023. These effective income tax rates reflect the beneficial impact of foreign earnings, offset by the impact of U.S. inclusions under the Global Intangible Low-Taxed Income regime and a partial valuation allowance recorded against non-deductible U.S. interest expense. The 2024 year-to-date effective tax rate favorable impact is primarily attributable to the favorable closure of two non-U.S. tax audits. Effective January 1, 2024, multiple jurisdictions, most notably, a majority of the European Union member states, implemented the Organization for Economic Co-operation and Development’s (“OECD”) Pillar 2 global corporate minimum tax rate of 15% on companies with revenues of at least €750 million. The Company has evaluated the effect of this for the first quarter of 2024 and does not expect a material impact.

Inventories

Inventories	3 Months Ended
	Mar. 31, 2024
Inventory Disclosure [Abstract]
Inventories	Inventories Inventories consisted of: ($ in millions) March 31, 2024 December 31, 2023 Finished goods $ 435 $ 566 Raw materials 189 110 Work in process 673 684 Supplies 70 65 Total (approximates current cost) $ 1,367 $ 1,425 Decrease to last in, first out (“LIFO”) costs (3) — $ 1,364 $ 1,425 Recognized as: Inventories $ 1,263 $ 1,315 Other assets 101 110 Inventories valued under the LIFO method 135 105 Amounts recognized as Other assets

Financial Instruments

Financial Instruments	3 Months Ended
	Mar. 31, 2024
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Financial Instruments	Financial Instruments Foreign Currency Risk Management The Company has a balance sheet risk management and a net investment hedging program to mitigate against volatility of changes in foreign exchange rates. The Company uses a balance sheet risk management program to partially mitigate the exposure of net monetary assets of its subsidiaries that are denominated in a currency other than a subsidiary’s functional currency from the effects of volatility in foreign exchange. In these instances, Organon principally utilizes forward exchange contracts to partially offset the effects of exchange on exposures denominated in developed country currencies, primarily the euro, Swiss franc, and Japanese yen. For exposures in developing country currencies, the Company enters into forward contracts to partially offset the effects of exchange on exposures when it is deemed economical to do so based on a cost-benefit analysis that considers the magnitude of the exposure, the volatility of the exchange rate and the cost of the hedging instrument. Monetary assets and liabilities denominated in a currency other than the functional currency of a given subsidiary are remeasured at spot rates in effect on the balance sheet date with the effects of changes in spot rates reported in Exchange losses The forward contracts are not designated as hedges and are marked to market through Exchange losses Accordingly, fair value changes in the forward contracts help mitigate the changes in the value of the remeasured assets and liabilities attributable to changes in foreign currency exchange rates, except to the extent of the spot-forward differences. These differences are not significant due to the short-term nature of the contracts, which typically have average maturities at inception of less than one year. The notional amount of forward contracts was $1.2 billion and $1.4 billion as of March 31, 2024 and December 31, 2023, respectively. The cash flows and the related gains and losses from these contracts are reported as operating activities in the Condensed Consolidated Statements of Cash Flows. The Company measures fair value based on the prices that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value measurements are based on a three-tier hierarchy that prioritizes the inputs used to measure fair value. These tiers include Level 1, defined as observable inputs such as quoted prices in active markets; Level 2, defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and Level 3, defined as unobservable inputs for which little or no market data exists, therefore requiring an entity to develop its own assumptions. The following financial instruments were recorded at their estimated fair value. The recurring fair value measurement of the assets and liabilities were as follows: ($ in millions) Fair Value Measurement Level March 31, 2024 December 31, 2023 Forward contracts in Other current assets 2 $ 7 $ 9 Forward contracts in Accrued and other current liabilities 2 8 16 Foreign exchange risk is also managed through the use of economic hedges on foreign currency balances. See Note 11 “Long-Term Debt” for additional details. €1.979 billion in the aggregate of both the euro-denominated term loan (€729 million) and the 2.875% euro-denominated secured notes (€1.25 billion) has been designated and is effective as an economic hedge of the net investment in euro-denominated subsidiaries. Foreign currency gain (loss) due to spot rate fluctuations on the euro-denominated debt instruments included in foreign currency translation adjustments resulting from hedge designation were as follows: Three Months Ended ($ in millions) 2024 2023 Foreign currency gain (loss) in Other comprehensive income $ 49 $ (42) The Condensed Consolidated Statements of Income include the impact of net losses of Organon’s derivative financial instruments: Three Months Ended ($ in millions) 2024 2023 Derivative (gain) loss in Exchange losses $ (1) $ — Concentrations of Credit Risk Organon has established accounts receivable factoring agreements with financial institutions in certain countries to sell accounts receivable. Under these agreements, Organon factored $51 million and $66 million of accounts receivable as of March 31, 2024 and December 31, 2023, respectively, which reduced outstanding accounts receivable. The cash received from the financial institutions is reported within operating activities in the Condensed Consolidated Statements of Cash Flows.

Long-Term Debt

Long-Term Debt	3 Months Ended
	Mar. 31, 2024
Debt Disclosure [Abstract]
Long-Term Debt	Long-Term Debt The following is a summary of Organon’s total debt: ($ in millions) March 31, 2024 December 31, 2023 Term Loan B Facility: SOFR plus 300 bps plus SOFR adjustment term loan due 2028 $ 2,543 $ 2,543 EURIBOR plus 300 bps euro-denominated term loan due 2028 (€729 million in 2024 and €731 million in 2023) 789 809 4.125% secured notes due 2028 2,100 2,100 2.875% euro-denominated secured notes due 2028 (€1.25 billion) 1,353 1,384 5.125% notes due 2031 2,000 2,000 Other borrowings 8 8 Other (discounts and debt issuance costs) (79) (84) Total principal long-term debt $ 8,714 $ 8,760 Less: Current portion of long-term debt 9 9 Total Long-term debt, net of current portion $ 8,705 $ 8,751 The nature and terms of Organon’s long-term debt are described in detail in Note 16. “Long-Term Debt and Leases” in the 2023 Annual Report on Form 10-K for the year ended December 31, 2023. Long-term debt was recorded at the carrying amount. The estimated fair value of long-term debt (including current portion) is as follows: ($ in millions) March 31, 2024 December 31, 2023 Long-term debt $ 8,316 $ 8,253 Fair value was estimated using inputs other than quoted prices in active markets for identical assets and liabilities that are observable either directly or indirectly for substantially the full term of the asset or liability and would be considered Level 2 in the fair value hierarchy. The Company made interest payments related to its debt instruments of $69 million for the three months ended March 31, 2024. The average maturity of the Company’s long-term debt as of March 31, 2024 is approximately 4.7 years and the weighted-average interest rate on total borrowings as of March 31, 2024 is 5.7%. The schedule of principal payments required on long-term debt for the next five years and thereafter is as follows: ($ in millions) 2024 $ 7 2025 9 2026 9 2027 9 2028 6,755 Thereafter 2,004 The Senior Credit Agreement contains customary financial covenants, including a total leverage ratio covenant, which measures the ratio of (i) consolidated total debt to (ii) consolidated earnings before interest, taxes, depreciation and amortization, and subject to other adjustments, that must meet certain defined limits which are tested on a quarterly basis. In addition, the Senior Credit Agreement contains covenants that limit, among other things, Organon’s ability to prepay, redeem or repurchase its subordinated and junior lien debt, incur additional debt, make acquisitions, merge with other entities, pay dividends or distributions, redeem, or repurchase equity interests, and create or become subject to liens. As of March 31, 2024, the Company is in compliance with all financial covenants and no default or event of default has occurred.

Accumulated Other Comprehensive

Accumulated Other Comprehensive Income (Loss)	3 Months Ended
	Mar. 31, 2024
Equity [Abstract]
Accumulated Other Comprehensive Income (Loss)	Accumulated Other Comprehensive Income (Loss) Changes in Accumulated other comprehensive income (loss) by component are as follows: ($ in millions) Employee Cumulative Accumulated Other Comprehensive Loss Balance at January 1, 2023, net of taxes $ 10 $ (574) $ (564) Other comprehensive income, pretax — 30 30 Tax — — — Other comprehensive income, net of taxes — 30 30 Balance at March 31, 2023, net of taxes $ 10 $ (544) $ (534) Balance at January 1, 2024, net of taxes $ (15) $ (526) $ (541) Other comprehensive income (loss), pretax 1 (37) (36) Tax — — — Other comprehensive income (loss), net of taxes 1 (37) (36) Balance at March 31, 2024, net of taxes $ (14) $ (563) $ (577)

Samsung Collaboration

Samsung Collaboration	3 Months Ended
	Mar. 31, 2024
Revenue from Contract with Customer [Abstract]
Samsung Collaboration	Samsung Collaboration The Company has an agreement with Samsung Bioepis Co., Ltd. (“Samsung Bioepis”) to develop and commercialize multiple pre-specified biosimilar candidates, which have since launched and are part of the Company's product portfolio. Under the agreement, Samsung Bioepis is responsible for preclinical and clinical development, process development and manufacturing, clinical trials and registration of product candidates, and the Company has an exclusive license for worldwide commercialization with certain geographic exceptions specified on a product-by-product basis. The Company's access rights to each product under the agreement last for 10 years from each product's launch date on a market-by-market basis. Gross profits are shared equally in all markets with the exception of certain markets in Brazil where gross profits are shared 65% to Samsung Bioepis and 35% to the Company. Since the Company is the principal on sales transactions with third parties, the Company recognizes sales, cost of sales and selling, general and administrative expenses on a gross basis. Generally, profit sharing adjustments are recorded either to Cost of sales (after commercialization) or Selling, general and administrative expenses (prior to commercialization). Samsung Bioepis is eligible for additional payments associated with pre-specified clinical and regulatory milestones. As of March 31, 2024, potential future regulatory milestone payments of $25 million remain under the agreement. Summarized information related to this collaboration is as follows: Three Months Ended ($ in millions) 2024 2023 Sales $ 170 $ 116 Cost of sales 110 84 Selling, general and administrative 22 18 ($ in millions) March 31, 2024 December 31, 2023 Receivables from Samsung included in Other current assets $ 9 $ — Payables to Samsung included in Trade accounts payable 87 104

Third-Party Arrangements

Third-Party Arrangements	3 Months Ended
	Mar. 31, 2024
Related Party Transactions [Abstract]
Third-Party Arrangements	Third-Party Arrangements On June 2, 2021, Organon and Merck & Co. (“Merck”) entered into a Separation and Distribution Agreement (the “Separation and Distribution Agreement”). Pursuant to the Separation and Distribution Agreement, Merck agreed to spin off the Organon Products into Organon, a new, publicly-traded company (the “Separation”). The Separation was completed pursuant to the Separation and Distribution Agreement and other agreements with Merck related to the Separation, including, but not limited to a tax matters agreement, an employee matters agreement, Interim Operating Model Agreements (the “IOM Agreements”), manufacturing and supply agreements, intellectual property license agreements, certain regulatory agreements and a transition services agreement (the “TSA”). As of March 31, 2024, only one jurisdiction remains under an IOM Agreement. Under the manufacturing and supply agreements, the Company manufactures certain products for Merck, or its applicable affiliate, and Merck manufactures certain products for the Company, or its applicable affiliate. For details on the rights and responsibilities of the parties under the agreements, refer to Note 19 “Third-Party Arrangements and Related Party Disclosures” to the audited Consolidated Financial Statements in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023. The amounts due under such agreements were: ($ in millions) March 31, 2024 December 31, 2023 Due from Merck in Accounts receivable $ 176 $ 583 Due to Merck in Accounts payable 428 619 Sales and cost of sales resulting from the manufacturing and supply agreements with Merck were: Three Months Ended ($ in millions) 2024 2023 Sales $ 29 $ 30 Cost of sales 27 28

Contingencies

Contingencies	3 Months Ended
	Mar. 31, 2024
Commitments and Contingencies Disclosure [Abstract]
Contingencies	Contingencies Organon is involved in various claims and legal proceedings of a nature considered normal to its business, including product liability, intellectual property, and commercial litigation, as well as certain additional matters including governmental and environmental matters. Organon records accruals for contingencies when it is probable that a liability has been incurred and the amount can be reasonably estimated. These accruals are adjusted periodically as assessments change or additional information becomes available. Individually significant contingent losses are accrued when probable and reasonably estimable. Legal defense costs expected to be incurred in connection with a loss contingency are accrued when probable and reasonably estimable. Given the nature of the litigation discussed in this note and the complexities involved in these matters, Organon is unable to reasonably estimate a possible loss or range of possible loss for such matters until Organon knows, among other factors, (i) what claims, if any, will survive dispositive motion practice, (ii) the extent of the claims, including the size of any potential class, particularly when damages are not specified or are indeterminate, (iii) how the discovery process will affect the litigation, (iv) the settlement posture of the other parties to the litigation, and (v) any other factors that may have a material effect on the litigation. Organon’s decision to obtain insurance coverage is dependent on market conditions, including cost and availability, existing at the time such decisions are made. Organon has evaluated its risks and has determined that the cost of obtaining product liability insurance outweighs the likely benefits of the coverage that is available and, as such, has no insurance for most product liabilities. Reference is made below to certain litigation in which Merck, but not Organon, is named as a defendant. Pursuant to the Separation and Distribution Agreement, Organon is required to indemnify Merck for liabilities relating to, arising from, or resulting from such litigation. Product Liability Litigation Fosamax Merck is a defendant in product liability lawsuits in the United States involving Fosamax® (alendronate sodium) (the “Fosamax Litigation”). As of March 31, 2024, approximately 3,125 cases comprising the Fosamax Litigation are pending against Merck in either federal or state court. Plaintiffs in the vast majority of these cases generally allege that they sustained femur fractures and/or other bone injuries (“Femur Fractures”) in association with the use of Fosamax . All federal cases involving allegations of Femur Fractures have been or will be transferred to a multidistrict litigation in the District of New Jersey (“Femur Fracture MDL”). In the only bellwether case tried to date in the Femur Fracture MDL, Glynn v. Merck , the jury returned a verdict in Merck’s favor. In addition, in June 2013, the Femur Fracture MDL court granted Merck’s motion for judgment as a matter of law in the Glynn case and held that the plaintiff’s failure to warn claim was preempted by federal law. In August 2013, the Femur Fracture MDL court entered an order requiring plaintiffs in the Femur Fracture MDL to show cause why those cases asserting claims for a femur fracture injury that took place prior to September 14, 2010, should not be dismissed based on the court’s preemption decision in the Glynn case. Pursuant to the show cause order, in March 2014, the Femur Fracture MDL court dismissed with prejudice approximately 650 cases on preemption grounds. Plaintiffs in approximately 515 of those cases appealed that decision to the U.S. Court of Appeals for the Third Circuit (“Third Circuit”). In March 2017, the Third Circuit issued a decision reversing the Femur Fracture MDL court’s preemption ruling and remanding the appealed cases back to the Femur Fracture MDL court. In May 2019, the U.S. Supreme Court decided that the Third Circuit had incorrectly concluded that the issue of preemption should be resolved by a jury, and accordingly vacated the judgment of the Third Circuit and remanded the proceedings back to the Third Circuit to address the issue in a manner consistent with the Supreme Court’s opinion. In November 2019, the Third Circuit remanded the cases back to the District Court in order to allow that court to determine in the first instance whether the plaintiffs’ state law claims are preempted by federal law under the standards described by the Supreme Court in its opinion. On March 23, 2022, the District Court granted Merck’s motion and ruled that plaintiffs’ failure to warn claims are preempted as a matter of law to the extent they assert that Merck should have added a Warning or Precaution regarding atypical femur fractures prior to October 2010. On July 11, 2022, the District Court entered an Order to Show Cause as to why the Court should not dismiss either with prejudice or conditionally all of plaintiffs’ claims that are not dependent on the preempted failure to warn claims. On November 18, 2022, as a result of the Order to Show Cause, the District Court entered a Final Judgment resulting in the dismissal with prejudice of all plaintiffs in the MDL. On December 16, 2022, those plaintiffs filed their Notice of Appeal to the Third Circuit challenging the District Court’s preemption ruling. 974 of the 975 cases previously pending in the Femur Fracture MDL have either been dismissed or are on appeal to the Third Circuit. Plaintiff’s motion to remand one case back to its transferor court is pending. The appeal to the Third Circuit has been fully briefed and oral arguments occurred on March 5, 2024. As of March 31, 2024, approximately 1,870 cases alleging Femur Fractures have been filed in New Jersey state court and are pending in Middlesex County. The parties selected an initial group of cases to be reviewed through fact discovery, and Merck continues to select additional cases to be reviewed. As of March 31, 2024, approximately 275 cases alleging Femur Fractures have been filed and are pending in California state court. All of the Femur Fracture cases filed in California state court have been consolidated before a single judge in Orange County, California. Additionally, there are four Femur Fracture cases pending in other state courts. Discovery is presently stayed in the Femur Fracture MDL and in the state court in California. Nexplanon/Implanon Merck is a defendant in lawsuits brought by individuals relating to the use of Nexplanon and Implanon™ (etonogestrel implant). There are two filed product liability actions involving Implanon , both of which are pending in the Northern District of Ohio as well as 56 unfiled cases involving Implanon alleging similar injuries, all of which have been tolled under a written tolling agreement. As of March 31, 2024, Merck had 20 cases pending outside the United States, of which 12 relate to Implanon and eight relate to Nexplanon . Governmental Proceedings From time to time, Organon’s subsidiaries may receive inquiries and may be the subject of preliminary investigation activities from competition and/or other governmental authorities, including in markets outside the United States. These authorities may include regulators, administrative authorities, and law enforcement and other similar officials, and these preliminary investigation activities may include site visits, formal or informal requests or demands for documents or materials, inquiries or interviews and similar matters. Certain of these preliminary inquiries or activities may lead to the commencement of formal proceedings. Should those proceedings be determined adversely to Organon, monetary fines and/or remedial undertakings may be required. Subject to certain exceptions specified in the Separation and Distribution Agreement, Organon assumed liability for all pending and threatened legal matters related to products transferred from Merck to Organon in connection with the spinoff, including competition investigations resulting from enforcement activity concerning Merck’s conduct involving Organon’s products. Organon could be obligated to indemnify Merck for fines or penalties, or a portion thereof, resulting from such investigations. Patent Litigation From time to time, generic manufacturers of pharmaceutical products file Abbreviated New Drug Applications with the FDA seeking to market generic forms of Organon’s products prior to the expiration of relevant patents owned by Organon. To protect its patent rights, Organon may file patent infringement lawsuits against such generic companies. Similar lawsuits defending Organon’s patent rights may exist in other countries. Organon intends to vigorously defend its patents, which it believes are valid, against infringement by companies attempting to market products prior to the expiration of such patents. As with any litigation, there can be no assurance of the outcomes, which, if adverse, could result in significantly shortened periods of exclusivity for these products, potential payment of damages and legal fees, and, with respect to products acquired through acquisitions, potentially significant intangible asset impairment charges. Nexplanon In June 2017, Microspherix LLC (“Microspherix”) sued Organon in the U.S. District Court for the District of New Jersey asserting that the manufacturing, use, sale and importation of Nexplanon infringed several of Microspherix’s patents that claim radio-opaque, implantable drug delivery devices. Microspherix claimed damages from September 2014 until the patents expired in May 2021. Organon brought Inter Partes Review proceedings in the United States Patent and Trademark Office (“USPTO”) and successfully stayed the district court action. The USPTO invalidated some, but not all, of the claims asserted against Organon. Organon appealed the decisions that found claims valid, and the Court of Appeals for the Federal Circuit affirmed the USPTO’s decisions. A claim construction hearing was held on March 2, 2022, and a claim construction order issued on February 27, 2023. This case was scheduled for trial before a jury in Camden, New Jersey starting on October 16, 2023. On October 13, 2023, the parties informed the district court that an agreement in principle of the key terms of a settlement was reached. In December 2023, the parties executed the settlement agreement and the district court dismissed the case. In December 2023, Organon made its first payment of $35 million and has reserved $45 million to cover the remainder of the settlement. Other Litigation In addition to the matters described above, there are various other pending legal proceedings involving Organon, principally product liability and intellectual property lawsuits. While it is not feasible to predict the outcome of such proceedings, in the opinion of Organon as of March 31, 2024, either the likelihood of loss is remote or any reasonably possible loss associated with the resolution of such proceedings is not expected to be material to Organon’s financial condition, results of operations or cash flows either individually or in the aggregate. Legal Defense Reserves Legal defense costs expected to be incurred in connection with a loss contingency are accrued when probable and reasonably estimable. Some of the significant factors considered in the review of these legal defense reserves are as follows: the actual costs incurred by Organon; the development of Organon’s legal defense strategy and structure in light of the scope of its litigation; the number of cases being brought against Organon; and the costs and outcomes of completed trials and the most current information regarding anticipated timing, progression, and related costs of pre-trial activities and trials in the associated litigation. The legal defense reserve as of March 31, 2024 and December 31, 2023 was $19 million and $20 million, respectively, and represented Organon’s best estimate of the minimum amount of defense costs to be incurred in connection with its outstanding litigation; however, events such as additional trials and other events that could arise in the course of its litigation could affect the ultimate amount of legal defense costs to be incurred by Organon. Organon will continue to monitor its legal defense costs and review the adequacy of the associated reserves and may determine to increase the reserves at any time in the future if, based upon the factors set forth, it believes it would be appropriate to do so.

Pay vs Performance Disclosure

Pay vs Performance Disclosure - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Pay vs Performance Disclosure
Net income	$ 201	$ 177

Insider Trading Arrangements

Insider Trading Arrangements	3 Months Ended
	Mar. 31, 2024
Trading Arrangements, by Individual
Rule 10b5-1 Arrangement Adopted	false
Non-Rule 10b5-1 Arrangement Adopted	false
Rule 10b5-1 Arrangement Terminated	false
Non-Rule 10b5-1 Arrangement Terminated	false

Basis of Presentation (Policies

Basis of Presentation (Policies)	3 Months Ended
	Mar. 31, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Accounting	The accompanying unaudited financial statements have been prepared in accordance with U.S. Generally Accepted Accounting Principles (“GAAP”) and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, certain information and disclosures required by GAAP for complete consolidated financial statements are not included herein. The results of operations of any interim period are not necessarily indicative of the results of operations for the full year. In the Company’s opinion, all adjustments necessary for a fair statement of these interim statements have been included and are of a normal and recurring nature. All intercompany transactions and accounts within Organon have been eliminated. These interim statements should be read in conjunction with the audited financial statements and notes thereto included in Organon’s Annual Report on Form 10-K for the year ended December 31, 2023.
Use of Estimates	Use of Estimates The presentation of these Condensed Consolidated Financial Statements and accompanying notes in conformity with GAAP require management to make estimates and assumptions that affect the amounts reported, as further described in the Annual Report on Form 10-K for the year ended December 31, 2023. Accordingly, actual results could differ materially from management’s estimates and assumptions.
Recently Issued Accounting Standards Not Yet Adopted	Recently Issued Accounting Standards Not Yet Adopted In December 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2023-09, Improvements to Income Tax Disclosures , which requires disaggregated information about a reporting entity’s effective tax rate reconciliation as well as information on income taxes paid. The standard is intended to benefit investors by providing more detailed income tax disclosures that would be useful in making capital allocation decisions. The amendments in this ASU are effective for annual periods beginning on January 1, 2025, and should be applied on a prospective basis with the option to apply the standard retrospectively. Early adoption is permitted. This ASU will have no impact on the Company’s consolidated financial condition or results of operations. The Company is currently evaluating the impact to its income tax disclosures. In November 2023, the FASB issued ASU No. 2023-07, Improvements to Reportable Segment Disclosure s, which improves reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses. In addition, the amendments enhance interim disclosure requirements, clarify circumstances in which an entity can disclose multiple segment measures of profit or loss, provide new segment disclosure requirements for entities with a single reportable segment, and contain other disclosure requirements. The purpose of the amendments is to enable investors to better understand an entity’s overall performance and assess potential future cash flows. The amendments in this ASU are effective for annual periods beginning on January 1, 2024 and interim periods beginning on January 1, 2025, and should be applied on a retrospective basis for all periods presented. This ASU will have no impact on the Company’s consolidated financial condition or results of operations. The Company is currently evaluating the impact to its segment disclosures. Recent Securities and Exchange Commission (“SEC”) Final Rules Not Yet Adopted In March 2024, the SEC adopted final rules under SEC Release No. 33-11275, The Enhancement and Standardization of Climate-Related Disclosures for Investors , which requires registrants to provide certain climate-related information in their registration statements and annual reports. The rules require information about a registrant's climate-related risks that are reasonably likely to have a material impact on its business, results of operations, or financial condition. The required information about climate-related risks will also include disclosure of a registrant's greenhouse gas emissions. In addition, the rules will require registrants to present certain climate-related financial metrics in their audited financial statements. These requirements are effective for the Company in various fiscal years, starting with its fiscal year beginning January 1, 2025. However, the climate rule is currently stayed which could potentially impact the effective date. Disclosures will be required prospectively, with information for prior periods required only to the extent it was previously disclosed in an SEC filing. The Company is currently evaluating the impact of these final rules on its consolidated financial statements and disclosures.

Earnings per Share (_EPS_) (Tab

Earnings per Share (“EPS”) (Tables)	3 Months Ended
	Mar. 31, 2024
Earnings Per Share [Abstract]
Schedule of Basic and Diluted Earnings Per Common Share	The calculations of basic and diluted EPS are as follows: Three Months Ended ($ in millions and shares in thousands, except per share amounts) 2024 2023 Net income $ 201 $ 177 Basic weighted average number of shares outstanding 255,695 254,392 Stock awards and equity units (share equivalent) 2,667 1,778 Diluted weighted average common shares outstanding 258,362 256,170 EPS: Basic $ 0.78 $ 0.70 Diluted $ 0.78 $ 0.69 Anti-dilutive shares excluded from the calculation of EPS 9,027 6,495

Product and Geographic Inform_2

Product and Geographic Information (Tables)	3 Months Ended
	Mar. 31, 2024
Segment Reporting [Abstract]
Schedule of Sales of Company's Products	Revenues of the Company’s products were as follows: Three Months Ended March 31, 2024 2023 ($ in millions) U.S. Int’l Total U.S. Int’l Total Women’s Health Nexplanon/Implanon NXT $ 153 $ 67 $ 220 $ 114 $ 52 $ 165 Follistim AQ 11 35 46 26 29 55 NuvaRing (1) 16 22 38 25 24 49 Ganirelix Acetate Injection 6 23 29 6 23 30 Marvelon/Mercilon — 33 33 — 37 37 Jada 13 — 13 7 — 7 Other Women’s Health ( 1) (2) 15 28 43 9 28 38 Biosimilars Renflexis 55 14 69 55 7 62 Ontruzant 8 31 39 13 8 21 Brenzys — 24 24 — 19 19 Aybintio — 8 8 — 10 10 Hadlima 22 8 30 — 5 5 Established Brands Cardiovascular Zetia (1) 2 82 84 2 87 89 Vytorin 1 27 28 2 28 29 Atozet — 132 132 — 128 128 Rosuzet — 16 16 — 18 18 Cozaar/Hyzaar 3 65 67 2 83 85 Other Cardiovascular (1) (2) — 37 38 1 34 35 Respiratory Singulair 2 95 98 3 117 120 Nasonex (1) — 77 77 — 71 71 Dulera 43 13 56 38 8 46 Clarinex 1 36 37 1 39 39 Other Respiratory (1) (2) 7 3 9 12 3 15 Non-Opioid Pain, Bone and Dermatology Arcoxia — 75 75 — 71 71 Fosamax 1 38 40 — 37 38 Diprospan — 29 29 — 14 14 Other Non-Opioid Pain, Bone and Dermatology (1) 5 68 72 4 59 63 Other Proscar — 26 26 — 27 27 Propecia 2 21 23 2 31 33 Other (1) (4) 5 89 94 4 76 80 Other (3) — 29 29 — 39 39 Revenues $ 371 $ 1,251 $ 1,622 $ 326 $ 1,212 $ 1,538 Totals may not foot due to rounding. Trademarks appearing above in italics are trademarks of, or are used under license by, the Organon group of companies. (1) Sales of the authorized generic versions of NuvaRing, Zetia and Nasonex were previously included in other and have been reclassified to their respective brand name product. (2) Includes sales of products not listed separately. Revenues from Jada were previously reported as part of Other Women’s Health. Revenue from an arrangement for the sale of generic etonogestrel/ethinyl estradiol vaginal ring is included in Other Women’s Health. (3) Includes manufacturing sales to third parties. (4) Includes revenues from the migraine medicines Emgality and Rayvow.
Schedule of Consolidated Revenues by Geographic Area	Revenues by geographic area where derived are as follows: Three Months Ended ($ in millions) 2024 2023 Europe and Canada $ 450 $ 400 United States 371 326 Asia Pacific and Japan 287 324 China 206 225 Latin America, Middle East, Russia, and Africa 274 214 Other (1) 34 49 Revenues $ 1,622 $ 1,538 (1) Primarily reflects manufacturing sales to third parties.

Stock-Based Compensation Plans

Stock-Based Compensation Plans (Tables)	3 Months Ended
	Mar. 31, 2024
Share-Based Payment Arrangement [Abstract]
Schedule of Stock-based Compensation Expenses	Stock-based compensation expenses incurred by the Company were as follows: Three Months Ended ($ in millions) 2024 2023 Stock-based compensation expense recognized in: Cost of sales $ 4 $ 4 Selling, general and administrative 18 15 Research and development 4 3 Total $ 26 $ 22 Income tax benefits $ 5 $ 5
Schedule of Stock Option Valuation Assumptions	The fair value of options granted was determined using the following assumptions: Three Months Ended March 31, 2024 2023 Expected dividend yield 6.00 % 4.82 % Risk-free interest rate 4.12 3.56 Expected volatility 41.02 42.30 Expected life (years) 5.89 5.89
Schedule of Equity Award Transactions	A summary of the equity award transactions for the three months ended March 31, 2024 is as follows: Stock Options RSU’s PSU’s (shares in thousands) Shares Weighted average exercise price Weighted average grant date fair value Shares Weighted average grant date fair value Shares Weighted average grant date fair value Outstanding as of January 1, 2024 5,758 $ 32.20 $ 8.51 7,511 $ 25.05 1,122 $ 30.16 Granted 1,503 18.80 4.59 4,676 18.80 734 21.91 Vested/Exercised — — — (2,417) 28.37 — — Forfeited/Cancelled (204) 29.34 8.27 (153) 23.84 (74) 27.08 Outstanding as of March 31, 2024 7,057 $ 29.43 $ 7.68 9,617 $ 19.50 1,782 $ 26.89
Schedule of Equity Awards Outstanding	The following table summarizes information about equity awards outstanding that are vested and expected to vest and equity awards outstanding that are exercisable as of March 31, 2024: Equity Awards Vested and Expected to Vest Equity Awards That are Exercisable (awards in thousands; aggregate intrinsic value in millions) Awards Weighted Average Exercise Price Aggregate Intrinsic Value Remaining Term (in years) Awards Weighted Average Exercise Price Aggregate Intrinsic Value Remaining Term (in years) Stock Options 6,829 $ 29.47 $ — 7.23 3,841 $ 32.86 $ — 5.82 RSU’s 8,737 181 2.35 PSU’s 1,302 28 2.09

Restructuring (Tables)

Restructuring (Tables)	3 Months Ended
	Mar. 31, 2024
Restructuring and Related Activities [Abstract]
Schedule of Accrued and Other Current Liabilities	The following is a summary of changes in severance liabilities related to the restructuring activities included within Accrued and other current liabilities : March 31, 2024 December 31, 2023 Beginning balance $ 61 $ 20 Severance & severance related costs 23 62 Cash payments and other (27) (21) Ending Balance $ 57 $ 61

Inventories (Tables)

Inventories (Tables)	3 Months Ended
	Mar. 31, 2024
Inventory Disclosure [Abstract]
Schedule of Inventory	Inventories consisted of: ($ in millions) March 31, 2024 December 31, 2023 Finished goods $ 435 $ 566 Raw materials 189 110 Work in process 673 684 Supplies 70 65 Total (approximates current cost) $ 1,367 $ 1,425 Decrease to last in, first out (“LIFO”) costs (3) — $ 1,364 $ 1,425 Recognized as: Inventories $ 1,263 $ 1,315 Other assets 101 110 Inventories valued under the LIFO method 135 105
Schedule of Inventory, Noncurrent	Inventories consisted of: ($ in millions) March 31, 2024 December 31, 2023 Finished goods $ 435 $ 566 Raw materials 189 110 Work in process 673 684 Supplies 70 65 Total (approximates current cost) $ 1,367 $ 1,425 Decrease to last in, first out (“LIFO”) costs (3) — $ 1,364 $ 1,425 Recognized as: Inventories $ 1,263 $ 1,315 Other assets 101 110 Inventories valued under the LIFO method 135 105

Financial Instruments (Tables)

Financial Instruments (Tables)	3 Months Ended
	Mar. 31, 2024
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of Financial Instruments Recorded at Estimated Fair Value	The following financial instruments were recorded at their estimated fair value. The recurring fair value measurement of the assets and liabilities were as follows: ($ in millions) Fair Value Measurement Level March 31, 2024 December 31, 2023 Forward contracts in Other current assets 2 $ 7 $ 9 Forward contracts in Accrued and other current liabilities 2 8 16
Schedule of Long-term Debt Instruments	Foreign currency gain (loss) due to spot rate fluctuations on the euro-denominated debt instruments included in foreign currency translation adjustments resulting from hedge designation were as follows: Three Months Ended ($ in millions) 2024 2023 Foreign currency gain (loss) in Other comprehensive income $ 49 $ (42)
Schedule of (Gain) Loss on Derivative Instruments	The Condensed Consolidated Statements of Income include the impact of net losses of Organon’s derivative financial instruments: Three Months Ended ($ in millions) 2024 2023 Derivative (gain) loss in Exchange losses $ (1) $ —

Long-Term Debt (Tables)

Long-Term Debt (Tables)	3 Months Ended
	Mar. 31, 2024
Debt Disclosure [Abstract]
Schedule of Long-term Debt Instruments	The following is a summary of Organon’s total debt: ($ in millions) March 31, 2024 December 31, 2023 Term Loan B Facility: SOFR plus 300 bps plus SOFR adjustment term loan due 2028 $ 2,543 $ 2,543 EURIBOR plus 300 bps euro-denominated term loan due 2028 (€729 million in 2024 and €731 million in 2023) 789 809 4.125% secured notes due 2028 2,100 2,100 2.875% euro-denominated secured notes due 2028 (€1.25 billion) 1,353 1,384 5.125% notes due 2031 2,000 2,000 Other borrowings 8 8 Other (discounts and debt issuance costs) (79) (84) Total principal long-term debt $ 8,714 $ 8,760 Less: Current portion of long-term debt 9 9 Total Long-term debt, net of current portion $ 8,705 $ 8,751
Schedule of Carrying Values and Estimated Fair Values of Debt Instruments	Long-term debt was recorded at the carrying amount. The estimated fair value of long-term debt (including current portion) is as follows: ($ in millions) March 31, 2024 December 31, 2023 Long-term debt $ 8,316 $ 8,253
Schedule of Maturities on Long-term Debt	The schedule of principal payments required on long-term debt for the next five years and thereafter is as follows: ($ in millions) 2024 $ 7 2025 9 2026 9 2027 9 2028 6,755 Thereafter 2,004

Accumulated Other Comprehensi_2

Accumulated Other Comprehensive Income (Loss) (Tables)	3 Months Ended
	Mar. 31, 2024
Equity [Abstract]
Schedule of Changes in Accumulated Other Comprehensive Income (Loss) by Component	Changes in Accumulated other comprehensive income (loss) by component are as follows: ($ in millions) Employee Cumulative Accumulated Other Comprehensive Loss Balance at January 1, 2023, net of taxes $ 10 $ (574) $ (564) Other comprehensive income, pretax — 30 30 Tax — — — Other comprehensive income, net of taxes — 30 30 Balance at March 31, 2023, net of taxes $ 10 $ (544) $ (534) Balance at January 1, 2024, net of taxes $ (15) $ (526) $ (541) Other comprehensive income (loss), pretax 1 (37) (36) Tax — — — Other comprehensive income (loss), net of taxes 1 (37) (36) Balance at March 31, 2024, net of taxes $ (14) $ (563) $ (577)

Samsung Collaboration (Tables)

Samsung Collaboration (Tables)	3 Months Ended
	Mar. 31, 2024
Revenue from Contract with Customer [Abstract]
Schedule of Information Related to Collaboration	Summarized information related to this collaboration is as follows: Three Months Ended ($ in millions) 2024 2023 Sales $ 170 $ 116 Cost of sales 110 84 Selling, general and administrative 22 18 ($ in millions) March 31, 2024 December 31, 2023 Receivables from Samsung included in Other current assets $ 9 $ — Payables to Samsung included in Trade accounts payable 87 104

Third-Party Arrangements (Table

Third-Party Arrangements (Tables)	3 Months Ended
	Mar. 31, 2024
Related Party Transactions [Abstract]
Schedule of Related Party Transactions	The amounts due under such agreements were: ($ in millions) March 31, 2024 December 31, 2023 Due from Merck in Accounts receivable $ 176 $ 583 Due to Merck in Accounts payable 428 619 Sales and cost of sales resulting from the manufacturing and supply agreements with Merck were: Three Months Ended ($ in millions) 2024 2023 Sales $ 29 $ 30 Cost of sales 27 28

Background and Nature of Oper_2

Background and Nature of Operations (Details)	Mar. 31, 2024 country manufacturingFacility medicineAndProduct product
Product Information [Line Items]
Number of medicines and products | medicineAndProduct	60
Number of manufacturing facilities | manufacturingFacility	6
CANADA
Product Information [Line Items]
Number of biosimilar products | product	5
U.S.
Product Information [Line Items]
Number of biosimilar products | product	3
Oncology Biosimilar
Product Information [Line Items]
Number of countries product sold in | country	20
Immunology Biosimilar
Product Information [Line Items]
Number of countries product sold in | country	5

Acquisitions and Licensing Ar_2

Acquisitions and Licensing Arrangements (Details) - USD ($) $ in Millions	1 Months Ended	3 Months Ended
	Dec. 31, 2023	Mar. 31, 2024	Jan. 31, 2024
Lilly
Asset Acquisition [Line Items]
Upfront payments			$ 50
Lilly | Product Rights
Asset Acquisition [Line Items]
Intangible assets acquired		$ 220
Contractual upfront payments		50
Research and development		170
Expected useful life	10 years
Accrued liabilities		20
Noncurrent liability		150
Shanghai Henlius Biotech, Inc. | Collaborative Arrangement, Transaction with Party to Collaborative Arrangement
Asset Acquisition [Line Items]
Research and development		$ 15

Earnings per Share (_EPS_) (Det

Earnings per Share (“EPS”) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Net income	$ 201	$ 177
Basic weighted average number of shares outstanding (in shares)	255,695	254,392
Stock awards and equity units (share equivalent) (in shares)	2,667	1,778
Diluted weighted average common shares outstanding (in shares)	258,362	256,170
EPS:
Basic (in dollars per share)	$ 0.78	$ 0.70
Diluted (in dollars per share)	$ 0.78	$ 0.69
Share-based Compensation Plans
EPS:
Anti-dilutive shares excluded from the calculation of EPS (in shares)	9,027	6,495

Earnings per Share (_EPS_) - Na

Earnings per Share (“EPS”) - Narrative (Details) - shares shares in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Earnings Per Share [Abstract]
Basic (in shares)	255,695	254,392

Product and Geographic Inform_3

Product and Geographic Information - Narrative (Details)	3 Months Ended
	Mar. 31, 2024 segment
Segment Reporting [Abstract]
Number of operating segments	1

Product and Geographic Inform_4

Product and Geographic Information - Sales of Company's Products (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Revenue from External Customer [Line Items]
Revenues	$ 1,622	$ 1,538
Nexplanon/Implanon NXT
Revenue from External Customer [Line Items]
Revenues	220	165
Follistim AQ
Revenue from External Customer [Line Items]
Revenues	46	55
NuvaRing
Revenue from External Customer [Line Items]
Revenues	38	49
Ganirelix Acetate Injection
Revenue from External Customer [Line Items]
Revenues	29	30
Marvelon/Mercilon
Revenue from External Customer [Line Items]
Revenues	33	37
Jada
Revenue from External Customer [Line Items]
Revenues	13	7
Other Women's Health
Revenue from External Customer [Line Items]
Revenues	43	38
Renflexis
Revenue from External Customer [Line Items]
Revenues	69	62
Ontruzant
Revenue from External Customer [Line Items]
Revenues	39	21
Brenzys
Revenue from External Customer [Line Items]
Revenues	24	19
Aybintio
Revenue from External Customer [Line Items]
Revenues	8	10
Hadlima
Revenue from External Customer [Line Items]
Revenues	30	5
Zetia
Revenue from External Customer [Line Items]
Revenues	84	89
Vytorin
Revenue from External Customer [Line Items]
Revenues	28	29
Atozet
Revenue from External Customer [Line Items]
Revenues	132	128
Rosuzet
Revenue from External Customer [Line Items]
Revenues	16	18
Cozaar/Hyzaar
Revenue from External Customer [Line Items]
Revenues	67	85
Other Cardiovascular
Revenue from External Customer [Line Items]
Revenues	38	35
Singulair
Revenue from External Customer [Line Items]
Revenues	98	120
Nasonex
Revenue from External Customer [Line Items]
Revenues	77	71
Dulera
Revenue from External Customer [Line Items]
Revenues	56	46
Clarinex
Revenue from External Customer [Line Items]
Revenues	37	39
Other Respiratory
Revenue from External Customer [Line Items]
Revenues	9	15
Arcoxia
Revenue from External Customer [Line Items]
Revenues	75	71
Fosamax
Revenue from External Customer [Line Items]
Revenues	40	38
Diprospan
Revenue from External Customer [Line Items]
Revenues	29	14
Other Non-Opiod Pain, Bone and Dermatology
Revenue from External Customer [Line Items]
Revenues	72	63
Proscar
Revenue from External Customer [Line Items]
Revenues	26	27
Propecia
Revenue from External Customer [Line Items]
Revenues	23	33
Other
Revenue from External Customer [Line Items]
Revenues	94	80
Other
Revenue from External Customer [Line Items]
Revenues	29	39
U.S.
Revenue from External Customer [Line Items]
Revenues	371	326
U.S. | Nexplanon/Implanon NXT
Revenue from External Customer [Line Items]
Revenues	153	114
U.S. | Follistim AQ
Revenue from External Customer [Line Items]
Revenues	11	26
U.S. | NuvaRing
Revenue from External Customer [Line Items]
Revenues	16	25
U.S. | Ganirelix Acetate Injection
Revenue from External Customer [Line Items]
Revenues	6	6
U.S. | Marvelon/Mercilon
Revenue from External Customer [Line Items]
Revenues	0	0
U.S. | Jada
Revenue from External Customer [Line Items]
Revenues	13	7
U.S. | Other Women's Health
Revenue from External Customer [Line Items]
Revenues	15	9
U.S. | Renflexis
Revenue from External Customer [Line Items]
Revenues	55	55
U.S. | Ontruzant
Revenue from External Customer [Line Items]
Revenues	8	13
U.S. | Brenzys
Revenue from External Customer [Line Items]
Revenues	0	0
U.S. | Aybintio
Revenue from External Customer [Line Items]
Revenues	0	0
U.S. | Hadlima
Revenue from External Customer [Line Items]
Revenues	22	0
U.S. | Zetia
Revenue from External Customer [Line Items]
Revenues	2	2
U.S. | Vytorin
Revenue from External Customer [Line Items]
Revenues	1	2
U.S. | Atozet
Revenue from External Customer [Line Items]
Revenues	0	0
U.S. | Rosuzet
Revenue from External Customer [Line Items]
Revenues	0	0
U.S. | Cozaar/Hyzaar
Revenue from External Customer [Line Items]
Revenues	3	2
U.S. | Other Cardiovascular
Revenue from External Customer [Line Items]
Revenues	0	1
U.S. | Singulair
Revenue from External Customer [Line Items]
Revenues	2	3
U.S. | Nasonex
Revenue from External Customer [Line Items]
Revenues	0	0
U.S. | Dulera
Revenue from External Customer [Line Items]
Revenues	43	38
U.S. | Clarinex
Revenue from External Customer [Line Items]
Revenues	1	1
U.S. | Other Respiratory
Revenue from External Customer [Line Items]
Revenues	7	12
U.S. | Arcoxia
Revenue from External Customer [Line Items]
Revenues	0	0
U.S. | Fosamax
Revenue from External Customer [Line Items]
Revenues	1	0
U.S. | Diprospan
Revenue from External Customer [Line Items]
Revenues	0	0
U.S. | Other Non-Opiod Pain, Bone and Dermatology
Revenue from External Customer [Line Items]
Revenues	5	4
U.S. | Proscar
Revenue from External Customer [Line Items]
Revenues	0	0
U.S. | Propecia
Revenue from External Customer [Line Items]
Revenues	2	2
U.S. | Other
Revenue from External Customer [Line Items]
Revenues	5	4
U.S. | Other
Revenue from External Customer [Line Items]
Revenues	0	0
Int’l
Revenue from External Customer [Line Items]
Revenues	1,251	1,212
Int’l | Nexplanon/Implanon NXT
Revenue from External Customer [Line Items]
Revenues	67	52
Int’l | Follistim AQ
Revenue from External Customer [Line Items]
Revenues	35	29
Int’l | NuvaRing
Revenue from External Customer [Line Items]
Revenues	22	24
Int’l | Ganirelix Acetate Injection
Revenue from External Customer [Line Items]
Revenues	23	23
Int’l | Marvelon/Mercilon
Revenue from External Customer [Line Items]
Revenues	33	37
Int’l | Jada
Revenue from External Customer [Line Items]
Revenues	0	0
Int’l | Other Women's Health
Revenue from External Customer [Line Items]
Revenues	28	28
Int’l | Renflexis
Revenue from External Customer [Line Items]
Revenues	14	7
Int’l | Ontruzant
Revenue from External Customer [Line Items]
Revenues	31	8
Int’l | Brenzys
Revenue from External Customer [Line Items]
Revenues	24	19
Int’l | Aybintio
Revenue from External Customer [Line Items]
Revenues	8	10
Int’l | Hadlima
Revenue from External Customer [Line Items]
Revenues	8	5
Int’l | Zetia
Revenue from External Customer [Line Items]
Revenues	82	87
Int’l | Vytorin
Revenue from External Customer [Line Items]
Revenues	27	28
Int’l | Atozet
Revenue from External Customer [Line Items]
Revenues	132	128
Int’l | Rosuzet
Revenue from External Customer [Line Items]
Revenues	16	18
Int’l | Cozaar/Hyzaar
Revenue from External Customer [Line Items]
Revenues	65	83
Int’l | Other Cardiovascular
Revenue from External Customer [Line Items]
Revenues	37	34
Int’l | Singulair
Revenue from External Customer [Line Items]
Revenues	95	117
Int’l | Nasonex
Revenue from External Customer [Line Items]
Revenues	77	71
Int’l | Dulera
Revenue from External Customer [Line Items]
Revenues	13	8
Int’l | Clarinex
Revenue from External Customer [Line Items]
Revenues	36	39
Int’l | Other Respiratory
Revenue from External Customer [Line Items]
Revenues	3	3
Int’l | Arcoxia
Revenue from External Customer [Line Items]
Revenues	75	71
Int’l | Fosamax
Revenue from External Customer [Line Items]
Revenues	38	37
Int’l | Diprospan
Revenue from External Customer [Line Items]
Revenues	29	14
Int’l | Other Non-Opiod Pain, Bone and Dermatology
Revenue from External Customer [Line Items]
Revenues	68	59
Int’l | Proscar
Revenue from External Customer [Line Items]
Revenues	26	27
Int’l | Propecia
Revenue from External Customer [Line Items]
Revenues	21	31
Int’l | Other
Revenue from External Customer [Line Items]
Revenues	89	76
Int’l | Other
Revenue from External Customer [Line Items]
Revenues	$ 29	$ 39

Product and Geographic Inform_5

Product and Geographic Information - Revenues by Geographic Area (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Revenue from External Customer [Line Items]
Revenues	$ 1,622	$ 1,538
Europe and Canada
Revenue from External Customer [Line Items]
Revenues	450	400
United States
Revenue from External Customer [Line Items]
Revenues	371	326
Asia Pacific and Japan
Revenue from External Customer [Line Items]
Revenues	287	324
China
Revenue from External Customer [Line Items]
Revenues	206	225
Latin America, Middle East, Russia, and Africa
Revenue from External Customer [Line Items]
Revenues	274	214
Other
Revenue from External Customer [Line Items]
Revenues	$ 34	$ 49

Stock-Based Compensation Plan_2

Stock-Based Compensation Plans - Stock-based Compensation Expenses (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation expense	$ 26	$ 22
Income tax benefits	5	5
Cost of sales
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation expense	4	4
Selling, general and administrative
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation expense	18	15
Research and development
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation expense	$ 4	$ 3

Stock-Based Compensation Plan_3

Stock-Based Compensation Plans - Stock Option Valuation Assumptions (Details)	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Share-Based Payment Arrangement [Abstract]
Expected dividend yield	6%	4.82%
Risk-free interest rate	4.12%	3.56%
Expected volatility	41.02%	42.30%
Expected life (years)	5 years 10 months 20 days	5 years 10 months 20 days

Stock-Based Compensation Plan_4

Stock-Based Compensation Plans - Equity Award Transactions (Details) shares in Thousands	3 Months Ended
	Mar. 31, 2024 $ / shares shares
Stock Options
Outstanding, beginning balance (in shares) | shares	5,758,000
Granted (in shares) | shares	1,503,000
Vested/Exercised (in shares) | shares	0
Forfeited/Cancelled (in shares) | shares	(204,000)
Outstanding, ending balance (in shares) | shares	7,057,000
Weighted average exercise price
Outstanding, beginning balance (in dollars per share)	$ 32.20
Granted (in dollars per share)	18.80
Vested/Exercised (in dollars per share)	0
Forfeited/Cancelled (in dollars per share)	29.34
Outstanding, ending balance (in dollars per share)	29.43
Weighted average grant date fair value
Outstanding, beginning balance (in dollars per share)	8.51
Granted (in dollars per share)	4.59
Vested/Exercised (in dollars per share)	0
Forfeited/Cancelled (in dollars per share)	8.27
Outstanding, ending balance (in dollars per share)	$ 7.68
RSU’s
Shares
Outstanding, beginning balance (in shares) | shares	7,511,000
Granted (in shares) | shares	4,676,000
Vested/Exercised (in shares) | shares	(2,417,000)
Forfeited/Cancelled (in shares) | shares	(153,000)
Outstanding, ending balance (in shares) | shares	9,617,000
Weighted average grant date fair value
Outstanding, beginning balance (in dollars per share)	$ 25.05
Granted (in dollars per share)	18.80
Vested/Exercised (in dollars per share)	28.37
Forfeited/Cancelled (in dollars per share)	23.84
Outstanding, ending balance (in dollars per share)	$ 19.50
PSU’s
Shares
Outstanding, beginning balance (in shares) | shares	1,122,000
Granted (in shares) | shares	734,000
Vested/Exercised (in shares) | shares	0
Forfeited/Cancelled (in shares) | shares	(74,000)
Outstanding, ending balance (in shares) | shares	1,782,000
Weighted average grant date fair value
Outstanding, beginning balance (in dollars per share)	$ 30.16
Granted (in dollars per share)	21.91
Vested/Exercised (in dollars per share)	0
Forfeited/Cancelled (in dollars per share)	27.08
Outstanding, ending balance (in dollars per share)	$ 26.89

Stock-Based Compensation Plan_5

Stock-Based Compensation Plans - Equity Awards Outstanding (Details) $ / shares in Units, $ in Millions	3 Months Ended
	Mar. 31, 2024 USD ($) $ / shares shares
Equity Awards Vested and Expected to Vest
Stock Options, Awards (in shares) | shares	6,829,000,000
Stock Options, Weighted Average Exercise Price (in dollars per share) | $ / shares	$ 29.47
Stock Options, Aggregate Intrinsic Value | $	$ 0
Stock Options, Remaining Term (in years)	7 years 2 months 23 days
Equity Awards That are Exercisable
Stock Options, Awards (in shares) | shares	3,841,000,000
Stock Options, Weighted Average Exercise Price (in dollars per share) | $ / shares	$ 32.86
Stock Options, Aggregate Intrinsic Value | $	$ 0
Stock Options, Remaining Term	5 years 9 months 25 days
RSU’s
Equity Awards Vested and Expected to Vest
Restricted stock, Awards (in shares) | shares	8,737,000,000
Restricted Stock, Aggregate Intrinsic Value | $	$ 181
Restricted Stock, Remaining Term	2 years 4 months 6 days
PSU’s
Equity Awards Vested and Expected to Vest
Restricted stock, Awards (in shares) | shares	1,302,000,000
Restricted Stock, Aggregate Intrinsic Value | $	$ 28
Restricted Stock, Remaining Term	2 years 1 month 2 days

Stock-Based Compensation Plan_6

Stock-Based Compensation Plans - Narrative (Details) $ in Millions	3 Months Ended
	Mar. 31, 2024 USD ($)
Share-Based Payment Arrangement [Abstract]
Amount of unrecognized compensation costs	$ 227
Amount of unrecognized compensation costs period for recognition	2 years 3 months 21 days

Restructuring - Narrative (Deta

Restructuring - Narrative (Details)	Mar. 31, 2024
Restructuring and Related Activities [Abstract]
Headcount reductions, percent	5%

Restructuring - Schedule of Acc

Restructuring - Schedule of Accrued and Other Current Liabilities (Details) - USD ($) $ in Millions	3 Months Ended	12 Months Ended
	Mar. 31, 2024	Dec. 31, 2023
Restructuring Reserve [Roll Forward]
Beginning balance	$ 61	$ 20
Severance & severance related costs	23	62
Cash payments and other	(27)	(21)
Ending balance	$ 57	$ 61

Taxes on Income - Narrative (De

Taxes on Income - Narrative (Details)	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Income Tax Disclosure [Abstract]
Effective income tax rate	14.70%	24.60%

Inventories (Details)

Inventories (Details) - USD ($) $ in Millions	Mar. 31, 2024	Dec. 31, 2023
Inventory Disclosure [Abstract]
Finished goods	$ 435	$ 566
Raw materials	189	110
Work in process	673	684
Supplies	70	65
Total (approximates current cost)	1,367	1,425
Decrease to last in, first out (“LIFO”) costs	(3)	0
Inventory	1,364	1,425
Recognized as:
Inventories	1,263	1,315
Other assets	101	110
Inventories valued under the LIFO method	$ 135	$ 105

Financial Instruments - Narrati

Financial Instruments - Narrative (Details) € in Millions, $ in Millions	Mar. 31, 2024 USD ($)	Mar. 31, 2024 EUR (€)	Dec. 31, 2023 USD ($)
Derivative Instruments, Gain (Loss) [Line Items]
Accounts receivables factored | $	$ 51		$ 66
Euro Denominated Term Loan | Senior Notes
Derivative Instruments, Gain (Loss) [Line Items]
Face amount of debt		€ 1,979
Term Loan B Facility | Senior Notes
Derivative Instruments, Gain (Loss) [Line Items]
Face amount of debt		729
2.875% Senior Secured Notes Due 2028 | Senior Notes | Organon Finance 1 LLC
Derivative Instruments, Gain (Loss) [Line Items]
Face amount of debt		€ 1,250
Foreign Exchange Forward
Derivative Instruments, Gain (Loss) [Line Items]
Notional amount | $	$ 1,200		$ 1,400

Financial Instruments - Schedul

Financial Instruments - Schedule of Financial Instruments Recorded at Estimated Fair Value (Details) - Level 2 - USD ($) $ in Millions	Mar. 31, 2024	Dec. 31, 2023
Derivative Instruments, Gain (Loss) [Line Items]
Forward contracts in Other current assets	$ 7	$ 9
Forward contracts in Accrued and other current liabilities	$ 8	$ 16

Financial Instruments - Sched_2

Financial Instruments - Schedule of Long-term Debt Instruments (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Gain Statement of Income or Comprehensive Income [Extensible Enumeration]	Foreign currency gain (loss) in Other comprehensive income	Foreign currency gain (loss) in Other comprehensive income
Foreign currency gain (loss) in Other comprehensive income	$ (1)	$ 0
Euro Denominated Term Loan | Senior Notes
Derivative Instruments, Gain (Loss) [Line Items]
Foreign currency gain (loss) in Other comprehensive income	$ 49	$ (42)

Financial Instruments - Sched_3

Financial Instruments - Schedule of (Gain) Loss on Derivative Instruments (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative (gain) loss in Exchange losses	$ (1)	$ 0
Derivative, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration]	Gain (Loss), Foreign Currency Transaction, before Tax	Gain (Loss), Foreign Currency Transaction, before Tax

Long-Term Debt - Schedule of Lo

Long-Term Debt - Schedule of Long-term Debt Instruments (Details) € in Millions, $ in Millions	3 Months Ended
	Mar. 31, 2024 USD ($)	Mar. 31, 2024 EUR (€)	Dec. 31, 2023 USD ($)	Dec. 31, 2023 EUR (€)
Debt Instrument [Line Items]
Other (discounts and debt issuance costs)	$ (79)		$ (84)
Total principal long-term debt	8,714		8,760
Less: Current portion of long-term debt	9		9
Total Long-term debt, net of current portion	8,705		8,751
Notes Payable, Other Payables
Debt Instrument [Line Items]
Long-term debt	8		8
Term Loan B Facility | Senior Notes
Debt Instrument [Line Items]
Long-term debt	$ 2,543		2,543
Term Loan B Facility | Senior Notes | Secured Overnight Financing Rate (SOFR)
Debt Instrument [Line Items]
Spread on variable rate	3%
Euro Denominated Term Loan B | Senior Notes
Debt Instrument [Line Items]
Long-term debt	$ 789		809
Face amount of debt | €		€ 729		€ 731
Euro Denominated Term Loan B | Senior Notes | Euro Interbank Offered Rate
Debt Instrument [Line Items]
Spread on variable rate	3%
4.125% Senior Secured Notes Due 2028 | Senior Notes
Debt Instrument [Line Items]
Long-term debt	$ 2,100		2,100
4.125% Senior Secured Notes Due 2028 | Senior Notes | Organon Finance 1 LLC
Debt Instrument [Line Items]
Stated interest rate	4.125%	4.125%
2.875% Senior Secured Notes Due 2028 | Senior Notes
Debt Instrument [Line Items]
Long-term debt	$ 1,353		1,384
2.875% Senior Secured Notes Due 2028 | Senior Notes | Organon Finance 1 LLC
Debt Instrument [Line Items]
Face amount of debt | €		€ 1,250
Stated interest rate	2.875%	2.875%
5.125% Senior Unsecured Notes Due 2031 | Senior Notes
Debt Instrument [Line Items]
Long-term debt	$ 2,000		$ 2,000
5.125% Senior Unsecured Notes Due 2031 | Senior Notes | Organon Finance 1 LLC
Debt Instrument [Line Items]
Stated interest rate	5.125%	5.125%

Long-Term Debt - Schedule of Ca

Long-Term Debt - Schedule of Carrying Values and Estimated Fair Values of Debt Instruments (Details) - USD ($) $ in Millions	Mar. 31, 2024	Dec. 31, 2023
Debt Disclosure [Abstract]
Long-term debt	$ 8,316	$ 8,253

Long-Term Debt - Narrative (Det

Long-Term Debt - Narrative (Details) $ in Millions	3 Months Ended
	Mar. 31, 2024 USD ($)
Debt Disclosure [Abstract]
Debt instrument interest payments	$ 69
Average maturity of long-term debt	4 years 8 months 12 days
Weighted-average interest rate of debt	5.70%

Long-Term Debt - Schedule of Ma

Long-Term Debt - Schedule of Maturities on Long-term Debt (Details) $ in Millions	Mar. 31, 2024 USD ($)
Debt Disclosure [Abstract]
2024	$ 7
2025	9
2026	9
2027	9
2028	6,755
Thereafter	$ 2,004

Accumulated Other Comprehensi_3

Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Accumulated Other Comprehensive Income (Loss) [Roll Forward]
Beginning balance	$ (70)	$ (892)
Other comprehensive income (loss), pretax	(36)	30
Tax	0	0
Other comprehensive income (loss), net of taxes	(36)	30
Ending balance	48	(737)
Accumulated Other Comprehensive Loss
Accumulated Other Comprehensive Income (Loss) [Roll Forward]
Beginning balance	(541)	(564)
Ending balance	(577)	(534)
Employee Benefit Plans
Accumulated Other Comprehensive Income (Loss) [Roll Forward]
Beginning balance	(15)	10
Other comprehensive income (loss), pretax	1	0
Tax	0	0
Other comprehensive income (loss), net of taxes	1	0
Ending balance	(14)	10
Cumulative Translation Adjustment
Accumulated Other Comprehensive Income (Loss) [Roll Forward]
Beginning balance	(526)	(574)
Other comprehensive income (loss), pretax	(37)	30
Tax	0	0
Other comprehensive income (loss), net of taxes	(37)	30
Ending balance	$ (563)	$ (544)

Samsung Collaboration - Narrati

Samsung Collaboration - Narrative (Details) $ in Millions	3 Months Ended
	Mar. 31, 2024 USD ($)
Brazil
Disaggregation of Revenue [Line Items]
Gross profit sharing arrangement percentage	35%
Samsung Bioepis
Disaggregation of Revenue [Line Items]
Collaboration agreement period	10 years
Potential future regulatory milestone payments	$ 25
Samsung Bioepis | Brazil
Disaggregation of Revenue [Line Items]
Gross profit sharing arrangement percentage	65%

Samsung Collaboration - Schedul

Samsung Collaboration - Schedule of Information Related to Collaboration (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Dec. 31, 2023
Disaggregation of Revenue [Line Items]
Sales	$ 1,622	$ 1,538
Cost of sales	665	580
Selling, general and administrative	431	435
Receivables from Samsung included in Other current assets	1,547		$ 1,744
Payables to Samsung included in Trade accounts payable	955		1,314
Samsung Bioepis
Disaggregation of Revenue [Line Items]
Sales	170	116
Cost of sales	110	84
Selling, general and administrative	22	$ 18
Receivables from Samsung included in Other current assets	9		0
Payables to Samsung included in Trade accounts payable	$ 87		$ 104

Third-Party Arrangements - Amou

Third-Party Arrangements - Amount Due (Details) - USD ($) $ in Millions	Mar. 31, 2024	Dec. 31, 2023
Related Party Transaction [Line Items]
Due from Merck in Accounts receivable	$ 1,547	$ 1,744
Due to Merck in Accounts payable	955	1,314
Related Party
Related Party Transaction [Line Items]
Due from Merck in Accounts receivable	176	583
Due to Merck in Accounts payable	$ 428	$ 619

Third-Party Arrangements - Sale

Third-Party Arrangements - Sales and Cost of Sales Resulting from the Manufacturing and Supply Agreements (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Related Party Transaction [Line Items]
Sales	$ 1,622	$ 1,538
Cost of sales	665	580
Related Party
Related Party Transaction [Line Items]
Sales	29	30
Cost of sales	$ 27	$ 28

Contingencies (Details)

Contingencies (Details) $ in Millions	1 Months Ended
	Dec. 31, 2023 USD ($)	Mar. 31, 2014 case	Mar. 31, 2024 USD ($) case	Oct. 13, 2023 USD ($)	Dec. 16, 2022 case	Dec. 15, 2022 case
Loss Contingencies [Line Items]
Amount of legal defense reserves | $	$ 20		$ 19
Fosamax
Loss Contingencies [Line Items]
Number of pending claims			3,125
Fosamax | Femur Fracture Litigation | Federal
Loss Contingencies [Line Items]
Number of pending claims					974	975
Number of claims dismissed		650
Number of claims on appeal		515
Fosamax | Femur Fracture Litigation | New Jersey State Court
Loss Contingencies [Line Items]
Number of pending claims			1,870
Fosamax | Femur Fracture Litigation | California State Court
Loss Contingencies [Line Items]
Number of pending claims			275
Fosamax | Femur Fracture Litigation | Other State Courts
Loss Contingencies [Line Items]
Number of pending claims			4
Implanon | Int’l
Loss Contingencies [Line Items]
Number of pending claims			12
Implanon | Northern District of Ohio
Loss Contingencies [Line Items]
Number of pending claims			2
Number of unfiled claims			56
Nexplanon/Implanon NXT | Int’l
Loss Contingencies [Line Items]
Number of pending claims			20
Nexplanon
Loss Contingencies [Line Items]
Payments for settlements | $	$ 35
Accrued loss contingencies | $				$ 45
Nexplanon | Int’l
Loss Contingencies [Line Items]
Number of pending claims			8