Emergent BioSolutions (EBS) 2026 年第三季財報電話會議：更新財測指引與更高的利潤率展望

Emergent BioSolutions (NYSE: EBS) 公布 2026 年第三季營收為 1.1 億美元，低於去年同期的 2.31 億美元，主因醫療對策 (MCM) 交付時間點轉移至其他期間。該公司更新了全年營收與調整後 EBITDA 展望，同時上調了調整後毛利率指引。

重點摘要

• 2026 年第三季營收為 1.1 億美元，落在公司先前指引的範圍內，相較之下 2025 年第三季為 2.31 億美元。
• 調整後 EBITDA 為負 500 萬美元，調整後毛利率為 28%，反映了營收認列時間點、產品組合以及商業部門的競爭壓力。
• 今年年初至今營收達 5 億美元，調整後 EBITDA 為 1.28 億美元（利潤率 25%），營業現金流為 1.22 億美元。
• Emergent 在本季末擁有 1.76 億美元現金、2.26 億美元總流動資金，並在回購 7,500 萬美元債券本金後，總債務為 5.14 億美元。
• 管理層目前預期 2026 全年營收為 6 億至 6.45 億美元，調整後 EBITDA 為 1.1 億至 1.4 億美元。
• 調整後毛利率指引上調至 45%–47%，較公司 8 月份的指引提高 300 個基點。

核心財務數據

業務與營運表現

第三季醫療對策 (MCM) 營收為 5,900 萬美元。業績包含一筆 2,400 萬美元的 CYFENDUS 合約修改，且在本季完成對美國政府的交付。Emergent 還完成了與 2026 年 3 月合約修改相關的大部分 TEMBEXA 錠劑交付。

該公司表示已執行完全部 6 項預期的美國政府合約修改。在國際方面，Emergent 在第三季於 13 個國家完成了 19 筆銷售。年初至今，國際銷售與產品訂單貢獻了 7,200 萬美元，占 MCM 營收的 22%。

由於納洛酮 (naloxone) 市場面臨價格和銷量壓力，商業營收有所下降。管理層表示，價格與 2026 年第二季相比相對穩定，且 NARCAN 保持了其在美國市場的領先地位。在加拿大政府新的多年期常規合約支持下，加拿大納洛酮銷售仍為強勁動力來源。

Emergent 繼續推廣 4 毫克的 NARCAN 鼻噴劑與 8 毫克的 KLOXXADO 鼻噴劑。管理層表示，隨著類鴉片藥物效力日益增強，第一線急救人員可能需要更高劑量的納洛酮，這兩種產品提供了不同的選擇。

公司 8 月的重組預計將產生約 4,000 萬美元的年化節省，初始效益將在 2026 年第四季顯現。若扣除 800 萬美元的重組費用，第三季 SG&A 與研發費用均低於去年同期。

Emergent 還表示 Canton 製造工廠重啟進度符合預期。其成長優先事項包括泛伊波拉治療計畫、潛在的泛流感疫苗機會，以及涉及 TEMBEXA、Ebanga 與 Raxibacumab 的相關工作。

管理層指引

管理層預計，由於剩餘國際交付與美國政府採購的時間點問題，全年 MCM 營收將低於 2025 年。部分交付可能會在第四季之後進行，並延至 2027 年初。

較高的毛利率展望反映了製造改進、產品組合，以及美國公共利益通路中 NARCAN 價格的穩定。管理層還計劃維持嚴格的營運費用控制。

風險與關注領域

• MCM 營收對美國政府採購與國際交付的時間點仍然敏感，這些交付可能在不同季度或財政年度之間推移。
• 納洛酮營收繼續面臨價格與銷量的競爭壓力，特別是在美國公共利益通路。
• 新的納洛酮競爭對手於 2026 年較早時獲得批准。管理層表示，這些競爭對手尚未對市場造成重大影響，但會持續監測。
• 全年營收區間部分取決於特定美國及國際 MCM 訂單是否能在 2026 年底或 2027 年初實現。
• 管理層特別提及，不斷演變的生物威脅以及人工智慧可能被濫用於製造新型病原體，是提高生物防禦準備重要性的因素。

分析師問答重點

在納洛酮需求方面，管理層表示類鴉片藥物過量致死仍是推動擴大 NARCAN 使用需求的主要因素。管理層也提及兩黨政府的支持以及類鴉片藥物相關訴訟和解金，是未來十年持續獲得資金的潛在來源。

關於天花防疫準備，管理層將 ACAM2000 描述為政府戰備庫存中重要的單劑量疫苗。Emergent 將 ACAM2000 與 TEMBEXA 搭配定位，同時提供疫苗與治療選項。

被問及延遲的 MCM 訂單時，管理層表示，由於與美國、加拿大及其他政府客戶維持定期討論，能見度依然相當良好。然而，某些訂單的時間點仍不確定，並可能決定營收落入 2026 年指引範圍的上端或下端。

法說會完整逐字稿

完整財報電話會議逐字稿

管理層陳述

Operator

Hello, everyone. Thank you for joining us, and welcome to the Emergent BioSolutions Third Quarter 2026 Earnings Call. [Operator Instructions] I will now hand the conference over to Frank Vargo, VP and Treasurer. Frank, please go ahead.

Frank Vargo

Good afternoon, everyone, and thank you for joining us as Emergent discusses its operational and financial results for the third quarter of 2026. As is customary, today's call is open to all participants, is being recorded and is copyrighted by Emergent BioSolutions.

In addition to today's press release, a slide presentation accompanying this webcast is available to all webcast participants.

Turning to Slide 2. During today's call, Emergent may make projections and other forward-looking statements related to business, future events, prospects or future performance. These forward-looking statements are based on our current intentions, beliefs and expectations regarding future events.

Any forward-looking statements speak only as of the date of this conference call, and except as required by law, Emergent does not undertake to update any forward-looking statements to reflect new information, events or circumstances. Investors should consider this cautionary statement as well as the risk factors identified in Emergent's periodic reports filed with the SEC when evaluating these forward-looking statements.

During today's call, Emergent may also discuss certain non-GAAP financial measures that include adjustments to GAAP figures to provide additional transparency regarding the company's operating performance. Please refer to the tables included in today's press release.

Turning to Slide 3. The agenda for today's call includes remarks from Joe Papa, President and Chief Executive Officer, who will provide an update on the company's transformation plan, business performance and key highlights. Rich Lindahl, EVP and Chief Financial Officer, will then review the third quarter 2026 financial results and provide an update on full year 2026 guidance.

Joe Papa will conclude with a discussion of the company's key catalysts for growth, followed by a question-and-answer session. Finally, for the benefit of those who may be listening to the replay of this webcast, this call is held and recorded on November 2, 2026. Since that time, Emergent may have made announcements related to topics discussed during today's call.

With that, I will now turn the call over to Joe Papa. Joe?

Joseph Papa

Hello, everyone, and thank you for joining us to discuss Emergent's third quarter 2026 financial results. This is Joe Papa, President and Chief Executive Officer of Emergent. And I'm joined today by Rich Lindahl, our Chief Financial Officer. This afternoon, I will share an update on our multiyear transformation plan, the actions we implemented during the quarter to strengthen the business and the progress we are making across our diversified medical countermeasure and naloxone portfolios.

Rich will then review our third quarter financial results and our outlook for the remainder of 2026. I will close with the growth catalysts and priorities that will guide us as we finish the year. Then we'll open up the call for Q&A.

Before we begin, though, I want to acknowledge an important milestone. This November marks 20 years since Emergent's initial public offering in November 2006. As we reflect on that anniversary, our mission to protect and save lives remains our foundation. We are focused on building upon that legacy as we advance our transformation and position Emergent for the future.

I'd also like to take a moment to recognize Rich. After 17 years as a public company CFO, of which approximately 9 years were spent at Emergent, Rich has decided to retire effective December 31, 2026. Frank Vargo, our Vice President and Treasurer, will assume the role of Interim CFO on January 1, 2027. To support a seamless transition, Rich will continue to serve as a Senior Executive Adviser through March 31, 2027.

Rich has been a trusted partner to me, our Board and our leadership team. He has helped guide Emergent through periods of significant change, strengthen our financial discipline and played an important role in the progress we have made to position the company for the future.

He's also built a very strong and highly talented finance and IT organization. We are fortunate to have an experienced leader as Frank, who knows our business, understands our priorities and will provide continuity and disciplined financial stewardship during this transition.

On behalf of the Board and our colleagues, I want to thank Rich for his leadership, his commitment to Emergent's mission and his dedication to our people. I'll now begin the presentation on Slide 4. For more than 25 years, Emergent has prepared for and responded to complex public health threats. Our mission remains clear: to protect and save lives. That mission is especially important in a world where biological threats are evolving, geopolitical uncertainty is elevated and advances in technology, including artificial intelligence can create both new opportunities and new risks.

We continue to believe that Emergent is the leader in biodefense preparedness and naloxone serving patients, customers and government partners around the world.

Turning to Slide 6. Against that backdrop, our multiyear transformation plan continues to guide our business and strategic decisions. We are focused on improving operating performance, aligning our cost structure, strengthening the balance sheet, advancing growth opportunities where Emergent has differentiated capabilities and maintaining a strong commitment to patient safety, quality and compliance.

Let's move to Slide 8. After an exceptional better-than-expected second quarter performance of $234 million in revenue, our third quarter results were consistent with expectations with $110 million in revenue within our guidance range. This brings our year-to-date revenue to $500 million.

Additional highlights from the quarter include our overall profitability and cash generation support investment in growth. Year-to-date, adjusted EBITDA reached $128 million, a 25% margin with $122 million in operating cash flow. Cash stood at $176 million with $226 million in liquidity.

Financial discipline remains a priority for us. We repurchased $75 million in bond principal and continued cost prioritization is occurring. Our MCM business delivered solid performance. We executed a $24 million contract modification for CYFENDUS, made deliveries to the U.S. government by the close of quarter 3.

We also completed a TEMBEXA tablet delivery from a contract modification awarded in March of this year. Internationally, we completed product sales to more than 13 countries in the third quarter, which demonstrates the diversification of our MCM business and the importance of biodefense preparedness internationally around the world.

Naloxone remains central to community preparedness to maintain our U.S. market-leading position, while we continue to be competitive in the market to ensure customers have access to both NARCAN Nasal Spray and KLOXXADO Nasal Spray when needed.

Our growth initiatives are progressing. Importantly, we are taking a disciplined approach when it comes to the evaluation and pursuit of certain business development opportunities. The Canton manufacturing facility restart milestones remain on track, and we are proud to celebrate this restart with the local Commonwealth officials.

Finally, we are progressing the pan-Ebola therapy program and AI partnerships for clinical development work. We have a handful of other AI and machine learning platforms that we are engaging for pipeline and growth opportunities.

We plan to advance this critical work while remaining focused on patient safety, quality and compliance.

Turning to Slide 9. I'd like to highlight the recent reports on the rising threat of AI and bio terrorism, national security and the role Emergent can play in collaboration with other companies on potentially addressing such risk. In August, we issued a call to cross-collaborate with AI leaders including Anthropic and OpenAI on key areas like threat detection and to develop a preparedness framework. We expect to continue these efforts and be a potential partner on AI bioterrorism, AI bioterrorism prevention efforts today and into the future.

On Slide 10, let's take a look at our MCM results. Through the great efforts of our MCM team, we secured $59 million in revenue in the third quarter, which was driven by an executed $24 million CYFENDUS contract modification. The product was delivered to the U.S. government within the quarter, while the team also completed the majority of the TEMBEXA tablet delivery from a March 2026 contract modification with the U.S. government.

To date, we executed all 6 anticipated U.S. government contract modifications. On the international side, we supplied a diverse mix of MCM to 13 different countries and closed 19 sales during the quarter. International sales and product orders contributed $72 million of revenue, representing 22% of year-to-date MCM revenue.

Preparedness very important across the U.S. and Canada. Our focus remains increasing on access to overdose reversal medications with over-the-counter NARCAN continuing the standard of care and KLOXXADO 8-milligram offering another important option. In the U.S., we continue supporting states, law enforcement and harm reduction organizations as well as retail partners and workplaces on increasing access and the availability for vulnerable populations.

We continue seeing strong growth of NARCAN across Canada. And the government of Canada recently executed standing offer, which creates a multiyear pathway for NARCAN. To this end, we're complementing access with public awareness through our Ready to Rescue campaign and college educational engagement.

These are important efforts to help increase access, awareness and the availability of NARCAN and KLOXXADO to save lives. Let me now hand the call over to Rich. Following Rich's comments, I'll spend some time elaborating on our business outlook and growth catalysts. Rich?

Richard Lindahl

Thank you, Joe. Good afternoon, everyone, and thank you for joining us today. Our third quarter results reflect continued execution against our transformation priorities. Revenue was within our guidance range. We maintained disciplined control of operating expenses, and we continue to generate strong cash flow while taking decisive actions to align our cost structure with current business realities.

In August, we implemented restructuring actions across the organization to improve efficiency and better align resources with our strategic priorities. We continue to expect these actions to generate approximately $40 million of annualized savings, the initial impact becoming evident in the fourth quarter of 2026. We also continued to strengthen the balance sheet. During the quarter, we repurchased $75 million aggregate principal amount of our unsecured bonds for $68 million of cash.

Together with the April term loan refinancing and strong operating cash generation, this action further reduced gross debt while net leverage remained stable.

Turning to Slide 13. Third quarter revenue was $110 million, within our prior guidance range compared with $231 million in the third quarter of 2025. The year-over-year comparison was primarily influenced by the timing of MCM deliveries. As a reminder, our strong second quarter 2026 results reflected accelerated deliveries, which now skews the third quarter's comparison to the prior year.

At the same time, this factor also drove robust receivable collections and cash flow from operations in the third quarter of 2026. Adjusted EBITDA was negative $5 million, and adjusted gross margin was 28%. Our profitability in the quarter was influenced by the timing of revenue, product mix and the competitive market dynamics in the Commercial segment. SG&A and R&D operating expenses were $56 million, including $8 million of restructuring costs compared with $52 million in the third quarter of 2025.

Excluding those restructuring costs, SG&A and R&D operating expenses were lower year-over-year, demonstrating effective cost management. Moving to Slide 14. MCM revenue declined year-over-year, primarily due to the timing of U.S. government product deliveries.

Commercial revenue also declined as the naloxone market is experiencing competitive pricing and volume pressure. The performance of naloxone was consistent with our prior outlook and pricing compared to Q2 2026 was relatively stable. Bioservices and contracts and grants revenue remained a smaller component of the overall mix.

Turning to Slide 15. Year-to-date revenue was $500 million, in line with our expectations. Adjusted EBITDA was $128 million, representing a 25% margin. Adjusted gross margin was 49%, reflecting our continued focus on operating efficiency even in light of product mix. Year-to-date operating expenses were $167 million, including $8 million of restructuring costs compared with $176 million in the prior year period.

Moving to Slide 16. The year-to-date revenue comparison reflects the impact of the large onetime international MCM order in 2025. Commercial revenue trends incorporate reduced naloxone pricing and volume in the U.S. public interest channel, partially offset by strength in our Canadian naloxone business.

Overall, portfolio continues to benefit from our strong ongoing collaborative engagement with U.S. and international government customers and from our established market-leading position in naloxone.

On Slide 17, we highlight our rigorous balance sheet management. We ended the quarter with $176 million of cash and $226 million of total liquidity.

Year-to-date operating cash flow was $122 million as our focus on working capital management produced very strong conversion from year-to-date adjusted EBITDA of $128 million. Following our $75 million bond repurchase, gross debt was $514 million at September 30, 2026, compared with $693 million a year ago.

Net debt was $339 million compared with $448 million, and net leverage remained stable at 2.4x trailing 12-month adjusted EBITDA compared with 1.9x a year ago.

Transitioning to Slide 18, the progress on our balance sheet is even more evident when viewed over the course of the turnaround. Through the third quarter of 2026, we generated $352 million of cumulative operating cash flow.

Gross debt declined by $354 million or 41% from year-end 2023, while net debt has declined by $418 million or 55%, reflecting the net positive impact of our strategic asset divestitures. Over the same period, net leverage decreased from approximately 16x to approximately 2.4x.

Turning to Slide 19. Our capital allocation priorities remain balanced. We continue to support international MCM growth initiatives, invest in internal R&D programs, including the approximately $50 million Ebanga milestone payment made earlier this year and maintain focus on business development opportunities.

At the same time, we refinanced our term loan, repurchased $75 million of unsecured bond principal and repurchased 2 million shares year-to-date for $18.1 million. We ended the quarter with $37.3 million remaining under the share repurchase authorization.

Turning to Slide 20. We're updating our full year 2026 guidance. We now expect total revenues of $600 million to $645 million, reflecting our current outlook for both the MCM and Commercial segments. In our medical countermeasure business, we now expect full year revenues to decline versus the prior year based on the timing of remaining international MCM deliveries and U.S. government procurement as we close out 2026.

Our ongoing dialogue with the U.S. government and allied nations continues to indicate strong demand. However, the timing of certain deliveries may fall outside the fourth quarter.

In our Commercial segment, which is primarily driven by NARCAN, we continue to hold the leading market position. Year-to-date performance is in line with our expectations, though we're currently tracking towards the lower end of our 20% to 25% range of revenue reduction versus 2025.

At the same time, we're raising our adjusted gross margin guidance to a range of 45% to 47%, a 300 basis point improvement versus our August guidance. This reflects our continued focus on operational improvements across our manufacturing network, the impact of product mix and recent stabilization of NARCAN pricing in the U.S. public interest channel.

Finally, we now expect adjusted EBITDA of $110 million to $140 million, with the upper end of the range consistent with the midpoint of our prior guidance. This update primarily reflects our revenue outlook, while we continue to maintain disciplined control of operating expenses as we execute our turnaround.

In summary, third quarter revenue was within our guidance range. Year-to-date adjusted EBITDA was $128 million, and we generated $122 million of operating cash flow through September.

We maintained a strong cash position, stay focused on expense management and took meaningful restructuring actions to improve our cost structure and prepare the business for the future. We also continue to strengthen the balance sheet through proactive debt management.

The repurchase of our unsecured bonds, together with the April refinancing and sustained cash generation, reduced gross debt further while preserving stable net leverage and ample liquidity.

We will continue to allocate capital thoughtfully across debt reduction, targeted investments in growth and shareholder returns while maintaining our commitment to patient safety, quality and compliance.

With that, I'll turn the call back to Joe to discuss our business outlook and growth catalysts before we move to Q&A. Joe?

Joseph Papa

Thank you, Rich. Turning to Slide 22. I'd like to briefly touch on the key catalysts we believe can enable growth in 2026 and beyond. Our growth organization is focused on programs where Emergent has differentiated expertise, clear mission alignment and the potential to create sustainable value.

This includes advancing our pan-Ebola therapeutic program, evaluating a pan-flu vaccine opportunity, progressing work related on TEMBEXA, Ebanga and Raxibacumab and selectively validating external opportunities that fit our capabilities and financial criteria.

Turning to Slide 23. Our near-term pipeline and current asset strategy is focused on maximizing the value of programs where Emergent has a differentiated experience, clear mission alignment and the potential to support sustainable growth. And moving to our summary and close on Slide 24. Our third quarter results reflect continued execution across the business and the delivery of our U.S. government partner order.

As we look at the remainder of 2026, our priorities are clear. First, stay focused on our mission to protect and save lives while prioritizing growth, quality and our people every day. Second, deliver for our government and public health customers by meeting commitments, pursuing additional U.S. and international opportunities and strengthening domestic preparedness capabilities.

Third, effectively compete in naloxone by protecting our leadership position, responding competitively to pricing and procurement dynamics and expanding access through different offerings and configurations. And fourth, advance focused growth programs through our integrated growth organization with clear decision points and disciplined capital allocation.

We have made meaningful progress, but we also recognize there is much work to do ahead of us. We're entering the final month of 2026 with a leaner operating model, a more focused growth agenda, stronger financial discipline and a portfolio that addresses some of the most consequential public health threats facing communities around the world. With that, I look forward to your questions. And operator, could you please open the line for any questions.

Operator

[Operator Instructions] Your first question comes from the line of Ram Selvaraju with H.C. Wainwright.

分析師問答

Raghuram Selvaraju

I was just wondering if you could provide us with some additional granularity regarding the underlying market dynamics in the NARCAN market segment, particularly as this pertains to the current state of the competitive landscape as well as drivers of underlying market demand, particularly with respect to, as I think you alluded to during your prepared remarks, the presence of increasingly potent opioid analogs sort of next generation beyond fentanyl.

And I was also wondering if you could comment on current broad-spectrum international demand for smallpox vaccine products, particularly in light of the recent awards that have been announced for MVA-BN and if you think that this may point to increasing demand overall, both within the U.S. and ex U.S. for your smallpox vaccine product?

Joseph Papa

Okay, thank you for the question. We got quite a bit there, and I'll try to make sure I get all pieces of it. But if I leave any out, please come back to me on it. So basically, the market dynamic on NARCAN, it remains good in the sense that there are still way too many people dying from opioid overdose.

So there's still significant demand opportunity for opioid overdose medications. We've got to bring down that death rate. It's come down a lot, but we believe there's still much more we can do, and we want to make sure we continue to increase access for NARCAN because we believe that's what saves lives.

When you have somebody who overdoses, if NARCAN is available, you can save that life. So we need to just continue to make NARCAN more available, and we're doing everything we can, but that's the biggest issue out there.

Number two, funding. The area of funding continues to be an important issue. It's, we believe, a bipartisan supported opportunity that we see both on the congressional Republican and congressional Democrats. There is support for what people believe NARCAN can do to help save lives, making sure the product is available.

Beyond that, on the funding side, we also know that there's a number of legal class action settlements by big pharma companies that distributed opioids. Those funds are available and will be available over the next 10 years. We think that's going to help on the funding side to continue to make products like NARCAN, therapeutic products available and funded so that patients can get access when they need it.

And of course, because, first and foremost, we made NARCAN over-the-counter in 2023, we think that's a big part of making it more accessible because it's over the counter. So those are the issues we face. We did see during -- earlier in the year, some new competitors get approval in the naloxone space.

But at this time, they have not made a major impact on the market, but we continue to monitor that, and we're keeping a close eye on it. And what's important, as we sit here today, NARCAN still has a market-leading position, and we think that's an important differentiator for us because patients and the family member caregivers all know the NARCAN brand name and also the way that we distribute it to make it more accessible.

So those are the issues that we see in the marketplace on the demand side. As it relates to stronger drugs, there's no doubt about that. It's true, whether it be the fentanyl, the carfentanil, some of the other products that are out there. We want to make sure that, once again, NARCAN is available. And for us, it's just making sure NARCAN is going to work, but at times, you may need a higher, more potent product, and we have KLOXXADO.

We think that's the other avenue that the caregivers, first responders will pursue is having both the 4-milligram Naloxone, NARCAN, which is the gold standard, but also have the 8-milligram KLOXXADO. So we want to continue to make sure both drugs are available whatever the first responders need to help patients with.

The second question was -- I'm sorry, remind me of smallpox, what was your question again? The international side...

Raghuram Selvaraju

Yes, it was related to international demand, especially as when we look at recent orders that have been placed for MVA-BN, what implications this may have for ongoing underlying demand for ACAM2000.

Joseph Papa

So ACAM, we feel once again, it's a gold standard. The predecessor product to ACAM was a product that essentially eradicated smallpox around the world. So ACAM still has a very important position. It's a single-dose requirement. It's been used around the world.

So we think ACAM still is a very important product there. Our expectation is that the countries are going to continue to think about what's needed for their own stockpiles. We've been working very closely with governments around the world as well as the U.S. [indiscernible].

And the good news is that ACAM is an important product to help them be prepared for whatever the issues are. In addition to ACAM, we also do and spend a lot of time on TEMBEXA, a therapeutic so that we have the TEMBEXA along with ACAM as a portfolio of products for both for the vaccine side, but also for the therapeutic side, if indeed needed. Personal opinion is that there's a lot of concern that companies will use AI to create new pathogens.

The bad actors that may use the AI to create new pathogens, something like smallpox would be probably one of the things they think about because of the simplicity that they could potentially work on looking at how they can weaponize smallpox and make smallpox even more concerning for people.

So we want to make sure we're prepared as we think about what could happen in the future and how we work with AI companies to be prepared for whatever the circumstances that the bad actors could come forward with. Thank you for your question.

Operator

Your next question comes from the line of Jessica Fye with JPMorgan.

Unknown Analyst

This is [ Dawn ] for Jess. Can you give more specific visibility into when the MCM orders that slipped out of 3Q are expected to land? Is this 4Q catch-up the 2027 push out? Or is it still unscheduled?

Joseph Papa

Sure. I'm going to start, but Rich, you want to add to it. I think what you're really asking is our visibility for the fourth quarter and what we're expecting for this year and then some parts of it obviously extends to 2027. I think that's what you're asking. I think we've got -- right now, we work very closely with the U.S. government to ensure that we understand their needs.

We have regular ongoing meetings with the government to make sure we understand what their needs are, but also the needs of the Canadian government, other governments around the world. We continue to work very closely with to ensure we understand their needs and expectations.

And we have back and forth to make sure that both sides, whether it's us as a supplier or them as customers, will get what they need to make sure that we work on the needs of the stockpile. But there's very good back and forth in conversations with them. I think we have reasonable good visibility into that.

Yes, sometimes orders do slip from quarter-to-quarter depending on specifics. But for the most part, I think we've got pretty good visibility into the program. And as we said, what's great about the third quarter results is that we shipped to 13 countries in the third quarter, which is another important part of the diversification that we've been striving for to ensure that we certainly have a very strong physician with the U.S. government, but having the additional countries around the world gives us that diversification, which we think is very helpful for us in terms of smoothing out the revenue over time.

Richard Lindahl

Yes. I think the other thing I'd add is that we've provided a range, obviously, of revenue guidance for the full year. And that's the things that are driving that range to one end or the other are the potential for some orders internationally as well as with the U.S. government to materialize this year or in the early part of next year. And then also, there's a range of variability around the ultimate kind of where the naloxone revenues land in the year. So that's what's implied by the range of revenue.

Operator

There are no further questions at this time. I will now turn the call back to Joe Papa for closing remarks.

Joseph Papa

Well, thank you, everyone, for joining today. We very much appreciate the questions as well. We look forward to continuing to work with you and answering your questions, but we appreciate very much your time today. Thank you, everyone. Have a great day.

Operator

This concludes today's call. Thank you for attending. You may now disconnect.