XRAY

DENTSPLY SIRONA Inc. XRAY topped second-quarter 2026 earnings and revenue expectations while keeping its full-year outlook intact. The results showed better cash generation and selected margin gains, but they did not mark a broad recovery in dental demand. The post-earnings question is whether those improvements can outweigh falling sales, tariff pressure and continued weakness in equipment, orthodontics and implants. Wellspect Healthcare remained the clearest growth offset. Adjusted earnings of 52 cents per share beat the Zacks Consensus Estimate of 36 cents by 44.4%. Revenues of $898 million topped the consensus estimate by 1.6%. That beat came despite revenues falling 4.1% year over year as reported and 6.3% at constant currency. Weakness across three dental segments and the absence of Byte kept the quarter from signaling a broad sales recovery. DENTSPLY SIRONA Inc. revenue-quarterly | DENTSPLY SIRONA Inc. Quote Wellspect Healthcare revenues rose 7.1% to $86 million, supported by new product launches. Connected Technology Solutions fell 1.5%, Essential Dental Solutions declined 2.7% and Orthodontic and Implant Solutions dropped 13.2%. The wider dental market is mixed. Align Technology, Inc. ALGN reported 8.2% growth in second-quarter clear-aligner revenues, but its Imaging Systems and computer-aided design and manufacturing services revenues fell 10.8%. Envista Holdings Corporation NVST reported 5.0% core sales growth, showing that industry demand is uneven rather than uniformly weak. Adjusted gross margin improved 50 basis points to 56.4%, while adjusted EBITDA margin increased 20 basis points to 21.3%. Tariff refunds helped both measures. Adjusted operating margin, however, contracted 240 basis points to 15.8%. Lower volumes, unfavorable mix, tariff costs and higher selling, general and administrative expenses and increased research and development spending continued to limit operating leverage. Second-quarter free cash flow increased to $55 million from $16 million a year earlier. First-half operating cash flow rose to $139 million from $55 million, aided by tariff refunds and better management of inventory and accounts payable. Cash and cash equivalents stood at $239 million at June 30, down from $326 million at Dec. 31, 2025. The net debt-to-EBITDA ratio was 3.2, keeping balance-sheet flexibility and debt reduction important to the turnaround. DENTSPLY SIRONA Inc. cash-from-operations-quarterly | DENTSPLY SIRONA Inc. Quote Dentsply Sirona maintained its 2026 net sales outlook of $3.5 billion to $3.6 billion and adjusted earnings guidance of $1.40-$1.50 per share. Benefits from tariff refunds are excluded from the adjusted earnings outlook. Maintaining guidance gives investors a clear second-half benchmark. A more durable recovery still depends on better equipment demand, stabilization in SureSmile and implants and improved conversion from the company’s expanded dealer network and commercial investments. The quarter supports a measured view rather than a clean turnaround call. Better cash flow and some margin improvement are constructive, but sales contraction, tariffs and execution risk remain meaningful. XRAY currently carries a Zacks Rank #3 (Hold), with a Value Score of A, Growth Score of B, Momentum Score of F and VGM Score of B. The Value Score of A, Growth Score of B and VGM Score of B point to relatively favorable value, growth and blended characteristics, while the Momentum Score of F signals weak near-term momentum. Combined with a Hold rank, the setup remains balanced. While Envista Holdings sports a Zacks Rank #1 (Strong Buy), Align Technology carries a Zacks Rank of 3.You can see the complete list of today’s Zacks #1 Rank stocks here. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report DENTSPLY SIRONA Inc. (XRAY) : Free Stock Analysis Report Align Technology, Inc. (ALGN) : Free Stock Analysis Report Envista Holdings Corporation (NVST) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Align Technology ALGN is dealing with a new U.K. tax issue in 2026. A July Upper Tribunal decision overturned the prior value-added tax exemption for clear aligners, adding a fresh earnings and pricing variable. The ruling arrives as international Clear Aligner demand remains healthy but foreign exchange, softer retail demand and scanner mix continue to complicate the margin picture. Align recorded an estimated $37.5 million liability, including interest, after the U.K. Upper Tribunal reversed the earlier VAT-exemption ruling. The charge makes the dispute an immediate earnings matter rather than a legal issue with only future consequences. The accrual also contributed to higher second-quarter operating expenses. Those expenses rose 10.7% year over year to $603.4 million, with the U.K. VAT accrual and higher employee compensation among the main drivers. In the past year, ALHC shares have risen 25.1% compared with the industry’s 21.5% growth. Image Source: Zacks Investment Research From Sept. 7, 2026, Align plans to charge 20% VAT on applicable U.K. Invisalign aligners and Vivera retainers while keeping list prices unchanged. That changes the economics of an established product line without changing published list prices. The development adds another pricing variable in the U.K. Align already expects 2026 Clear Aligner average selling prices to be flat to slightly down from 2025, reflecting broader mix pressure across countries and products. Per the Zacks Consensus Estimate, the company’s 2026 revenues are pegged at $4.17 billion, indicating 3.3% year over year growth. Image Source: Zacks Investment Research Align plans to appeal the tribunal decision, so the final financial outcome remains unresolved. The $37.5 million liability is already recorded, but the longer-term cost and operating consequences will depend on how the appeal process develops. That distinction matters for investors. The current accrual is visible in 2026 results, while the durability of the VAT treatment remains uncertain and could continue to influence how Align manages the U.K. business. Foreign exchange was already weighing on profitability before the VAT issue became more prominent. In the second quarter, currency movements reduced gross margin by about 0.8 percentage points and operating margin by about 1.4 points year over year. The broader dental market provides useful context. DENTSPLY SIRONA Inc. XRAY manufactures professional dental products and technologies across equipment, consumables and specialty products. Henry Schein, Inc. HSIC supplies office-based dental practitioners with merchandise, equipment and technology solutions, making both relevant industry reference points even though Align’s VAT dispute is company-specific. International Clear Aligner growth remains a counterweight. Second-quarter volume increased at double-digit rates in both EMEA and APAC, while Latin America delivered record second-quarter shipments. That geographic momentum supports Align’s broader 2026 volume outlook. Management now expects Clear Aligner volume growth of approximately 6%, leaving investors to weigh expanding international demand against the incremental cost and uncertainty concentrated in the U.K. The VAT ruling has already created a measurable charge, while the appeal leaves the longer-term impact unsettled. For 2026, the issue adds to currency and mix pressures rather than standing alone as the only driver of Align’s earnings outlook. ALGN currently carries a Zacks Rank #3 (Hold), with a Value Score of B, Growth Score of B, VGM Score of B and Momentum Score of F. The B scores are favorable within the Style Score framework, but the F Momentum Score signals weak timing support. That combination is consistent with monitoring the appeal and operating impact rather than treating the VAT ruling by itself as a decisive bullish or bearish catalyst. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Align Technology, Inc. (ALGN) : Free Stock Analysis Report DENTSPLY SIRONA Inc. (XRAY) : Free Stock Analysis Report Henry Schein, Inc. (HSIC) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Dentsply Sirona’s second quarter results were met with a negative market reaction, as shares declined following revenue and non-GAAP earnings that exceeded Wall Street expectations. Management attributed the year-on-year revenue decline primarily to lower sales volumes in key product segments and regions, especially in the Americas and EMEA, and highlighted ongoing challenges in capital equipment demand and inventory reduction by distributor partners. CEO Daniel Scavilla described the company’s current phase as a “turnaround,” noting that while some parts of the business are stabilizing, improvement remains uneven across segments and geographies. The impact of tariff refunds also influenced quarterly profitability, but underlying operational momentum was mixed. Is now the time to buy XRAY? Find out in our full research report (it’s free). Revenue: $898 million vs analyst estimates of $892.6 million (4.1% year-on-year decline, 0.6% beat) Adjusted EPS: $0.52 vs analyst estimates of $0.35 (50.1% beat) Adjusted EBITDA: $190 million vs analyst estimates of $146.8 million (21.2% margin, 29.4% beat) The company reconfirmed its revenue guidance for the full year of $3.55 billion at the midpoint Management reiterated its full-year Adjusted EPS guidance of $1.45 at the midpoint Operating Margin: 9.1%, up from -13.7% in the same quarter last year Market Capitalization: $2.27 billion While we enjoy listening to the management’s commentary, our favorite part of earnings calls is the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. Elizabeth Anderson (Evercore ISI) asked about the readiness of the executive team and the timing for EPS improvement; CEO Daniel Scavilla stressed that while the team is now complete, most benefits from recent hires and dealer additions will be seen in the fourth quarter and next year. Allen Lutz (Bank of America) sought specifics on which parts of the return-to-growth plan are showing the most promise; Scavilla highlighted increased clinician engagement and positive feedback from education programs, but noted that tangible P&L impact is expected to build gradually. Dylan Finley (Leerink Partners) inquired about the effect of tariff refunds on guidance and the run-rate for tariffs in COGS; Scavilla clarified that refunds were not embedded in guidance and that ongoing tariff costs are treated separately from operational results. Anton (BMO, for Vic Chopra) questioned U.S. commercial team buildout and whether productivity gains are factored into guidance; Scavilla indicated that while recent hires and training will drive efficiency, most impact will be realized in 2027 rather than this year. Lilia-Celine Lozada (JPMorgan) asked about the drivers behind softness in the OIS segment and the influence of macro trends; Scavilla attributed OIS weakness to the impact of Byte and U.S.-specific factors, reiterating that broader macroeconomic pressures are being absorbed for now. Looking forward, our analyst team will watch (1) the pace at which new dealer partnerships and salesforce investments translate into higher sales, particularly in the U.S. and APAC, (2) stabilization of inventory levels at European distributors and any rebound in capital equipment demand, and (3) the progress of digital platform adoption and regulatory milestones for new product launches. Execution in these areas will be critical to Dentsply Sirona’s turnaround trajectory. Dentsply Sirona currently trades at $11.51, down from $13.17 just before the earnings. Is the company at an inflection point that warrants a buy or sell? See for yourself in our full research report (it’s free for active Edge members). ALSO WORTH WATCHING: Top 5 Momentum Stocks. The best time to own a great stock is when the market is finally noticing it. These aren’t just high-quality businesses. Something is happening with them right now. Elite fundamentals meet near-term momentum — both boxes checked at the same time. Find out which stocks our AI platform is flagging this week. See this week’s Strong Momentum stocks — FREE. Get Our Strong Momentum Stocks for Free HERE. Stocks that have made our list include now familiar names such as Nvidia (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+1,154% between June 2020 and June 2025). Find your next big winner with StockStory today.

Image source: The Motley Fool. Thursday, Aug. 6, 2026 at 4:30 p.m. ET Investor Relations - Wade Moody President and Chief Executive Officer - Daniel T. Scavilla Executive Vice President and Chief Financial Officer - John C. Fortson Operator: Good day. Thank you for standing by. Welcome to Dentsply Sirona's Q2 26 Earnings Conference Call. At this time, all participants are in a listen-only mode. After the speakers' presentation, there will be a question and answer session. To ask a question during the session, you will need to press *11 on your telephone. You will then hear an automated message advising your hand is raised. To withdraw your question, please press *11 again. Please be advised that today's conference is being recorded. I would now like to hand the conference over to your first speaker today, Wade Moody, Investor Relations. Please go ahead. Wade Moody: Thank you, operator, and good afternoon, everyone. Welcome to the Dentsply Sirona second quarter 26 earnings call. Joining me for today's call are Daniel T. Scavilla, President and Chief Executive Officer and John C. Fortson, Executive Vice President and Chief Financial Officer. I would like to remind you that an earnings press release and slide presentation related to the call are available on the Investors section of our website at www.dentsplysirona.com. Before we begin, please take a moment to read the forward looking statements in our earnings press release. During today's call, we may make certain forward looking statements that reflect our current views about future performance and financial results. We base these statements and certain assumptions and expectations on future events that are subject to risks and uncertainties. Our most recently filed form 10 k and any updated information in subsequent form 10 q or other SEC filings list some of the most important risk factors that could cause actual results to differ from our predictions. On today's call, our remarks will be based on non GAAP financial results. We believe that non GAAP financial measures offer investors valuable additional insights into our business' financial performance, enable the comparison of financial results between periods where certain items may vary independently of business performance and enhance transparency regarding key metrics utilized by management in operating our business. Please refer to our press release for the reconciliation between GAAP and non GAAP results. Comparisons provided are to the prior year quarter unless otherwise noted. A webcast replay of today's call will be available on the Investors section of the company's website following the call. And with that, I will now turn the call over to Dane. Daniel T. Scavilla: Thanks, Wade, and good afternoon, everyone. Before we discuss the quarter, I would like to welcome John C. Fortson to his first earnings call as Executive Vice President and Chief Financial Officer, Dentsply Sirona. John joined us on July 20th, and we are excited to have him on board. He is a proven finance and business leader who is worked closely with CEOs boards through periods of transformation strengthening operations, allocating capital with discipline, and creating long term shareholder value. Having served both as a public company CFO and CEO, his experience is well aligned both with where Dentsply Sirona is today and where we are headed in the future. I am glad he is on our team. I would also like to thank Mike Pomeroy for his leadership as interim CFO. I sincerely appreciate his contributions. With that, I will turn the call over to John to review our second quarter 26 financial results. John C. Fortson: Thanks, Dane, and good afternoon, everyone. First off, I would like to say it is a privilege to join Dentsply Sirona. Having followed the company for many years, I am familiar with the strength of the portfolio and energized by the opportunity to help restore the business to its full potential. What ultimately drew me here was the clear commitment from the board and the leadership team to execute the disciplined turnaround. There is a strong focus on operational excellence and long term value creation. Although I have only been with the company for a few weeks, I am hitting the ground running and ready to execute the return to growth action plan with the team. Let's move to Q2 results on Slide 4. Our second quarter 26 revenue was $898 million representing a decrease of 4.1% as reported or 6.3% on a constant currency basis. Adjusting for the impact from Byte, and the planned dealer inventory reduction of approximately $8 million in the quarter, revenue declined 3.6% on a constant currency basis. Adjusted EBITDA margins were approximately flat year over year with the benefit from $44 million in tariff refunds offset by a decline in gross profit driven by lower volumes, sales mix, incremental tariff impacts. OpEx was up $12 million year over year, including an FX headwind of approximately $8 million. A decrease in G&A was offset by investments made into sales, marketing and R&D as was planned in support of the return to growth action plan. Adjusted EPS in the second quarter was flat versus last year at $0.52. The tariff refunds translated into a positive $0.17 per share impact. Operating cash flow in the quarter was $99 million compared to $48 million in the prior year quarter. The year over year increase is primarily attributable to the receipt of the tariff refunds in addition to improvements in working capital with better management of accounts payable and inventory. We continue to remain diligent on improving our working capital. This will be a key focus area of mine going forward. In the second quarter, we opportunistically repurchased 1.3 million shares at an average price below $10 per share. This represents the first time Dentsply Sirona has repurchased shares since the third quarter of 24. We finished the quarter with cash and cash equivalents of $239 million and our Q2 net debt to EBITDA ratio was 3.2x. Consistent with where we ended Q1 of this year. We continue to prioritize debt reduction. Now let us turn to Q2 segment performance on Slide 5. Starting with the CTS segment, sales were $239 million an as reported decline of 1.5%. Equipment and instruments revenue was $137 million, flat year over year with declines in treatment centers. This was partially offset by growth in imaging equipment, particularly in EMEA where we saw increased demand for our OTHOBOOS line of imaging products. CADCAM revenue was $102 million, down mid single digits driven by lower volumes in The Americas and unfavorable price mix in EMEA. Partially offset by double digit growth in APAC. EMEA saw a slight softening of demand for select areas of capital equipment as providers preferred some investment decisions due to uncertainties from the Middle East conflict. Turning to EDS, which includes endo, resto, and preventative products, sales of $376 million declined 2.7% as reported. Primarily driven by lower volumes in The Americas and EMEA. As we shared in Q1, the impact of inventory changes for our EDS products held by our distributor partners in the EMEA region had a negative impact on results. We saw a sequential improvement in Q2 as we obtained greater visibility into the dynamics within various markets and distributors across the region. Overall, sellout in the region was in the low single digits. Consistent with expectations for dental consumables. The sell in is lower year over year as certain distributors reduce their inventory levels. We do not believe this reduction in wholesale inventory is a demand-driven. Moving to OIS, revenue of $197 million declined 13.2% as reported. When adjusting for the year over year impact from Byte, OIS declined 5.7% as reported, consistent with last quarter. IPS revenue of $157 million declined mid single digits, driven by lower volumes of premium implants in The Americas and APAC. EMEA implants grew mid single digits as reported led by improved performance for MIS, our value implant brand. For Ortho, SureSmile revenue of $40 million declined double digits primarily attributable to the Americas region. Wrapping up with Wellspect Healthcare, revenue of $86 million increased 7.1% as reported. Driven by the continued strength of new product sales and execution by the business. Partially offset by lower inventory levels in the U.S. market. Let's move to Slide 6 to discuss our outlook for 2026. We are maintaining our 2026 outlook for net sales of $3.5 billion to $3.6 billion and adjusted EPS in the range of $1.40 to $1.50 This EPS range excludes the benefit from tariff refunds and impact of incremental tariffs. Our decision to maintain our outlook is based on expectations as of today including our current expectation regarding tariffs and trade policies. Looking to the third quarter of 26, we expect revenue to decline sequentially due to normal seasonality. As we continue to execute our return to growth priorities, we also expect Q3 earnings to be below Q2 26 levels. Excluding the $0.17 benefit from tariff refunds. We remain committed to investing in our sales force, clinical education programs, and R&D. With the benefit of these investments expected to become increasingly visible beginning in Q4. With that, I will turn the call back to Dane. Daniel T. Scavilla: Thanks, John. As we wrap up the second quarter since beginning our 24 month return to growth action plan, our priorities have not changed. Focused on putting customers at the center of every decision, improving execution, investing where we see the greatest opportunity for long term growth and strengthening the financial foundation of the company. We are making progress, but this is still a turnaround. Some parts of the business are improving faster than others, and there is still a lot of work ahead. As John mentioned, we expect more of the improvement weighted towards the fourth quarter given investment timing and macroeconomic conditions. What gives me confidence is that we are beginning to see evidence that the work we are doing is gaining traction. Everything starts with the customer. Over the last 6 months, we have been rebuilding how we engage with our customers. We are investing in clinical education, strengthening our commercial organization expanding customer access through our dealer network, and making it easier to do business with Dentsply Sirona. In the second quarter, clinical education was at the forefront We brought together more than 1 thousand clinicians at our Global Implant Summit hosted endo KOLs at our 26 Endodontic Forum, and convened leading experts across restorative, multidisciplinary dentistry to help shape the next generation of clinical solutions. These opportunities enable us to learn directly from clinicians strengthen relationships, and ensure our innovation pipeline reflects what customers need most. At the same time, we are investing in our own commercial capabilities, Every US implant sales rep recently completed the most comprehensive implant certification program we have ever delivered. Our most experienced team members told us they have learned more in those 4 days than they had in years. This initiative is not only encouraging, but also just the start of an ongoing investment in education. We are also seeing momentum internationally In APAC, we are expanding education programs. Advancing implant sales training, and seeing continued adoption of our connected technology solutions including double digit growth in milling systems. On the digital side, DS Core continues to gain traction, During the quarter, 4 European DSO groups began to implement the platform, reinforcing the value of an integrated digital workflow that connects diagnosis, treatment planning, and clinical execution. We have also continued to strengthen our US distribution footprint by growing our dealer network. During the quarter, we announced the expansion of our partnership with Atlanta Dental and Nashville Dental, and we advanced our long standing relationship with Medline Sinclair in Canada. These partnerships are important building blocks for sustainable commercial growth extending our reach and giving more customers access to our connected technology portfolio. Wellspect continues to perform exceptionally well. The business delivered another strong quarter supported by new product launches, geographic expansion, and continued adoption of our newest products. that is a good example of what consistent execution looks like and we intend to apply those same principles across the areas of the company. Okay. We also established a small group of strategic advisory board to provide guidance on Wellspect long term priorities, innovation and growth opportunities. Execution also means improving how we operate internally. We are simplifying the organization, enforcing accountability, standardizing processes, embedding lean operating principles in AI to eliminate routine work, and accelerate decision making so our teams can spend more time serving customers and bring innovation to market faster. Financial discipline, remains equally important. We are improving cash generation, strengthening the balance sheet, and continuing to deploy capital in a disciplined way. As John previously mentioned, we repurchased 1.3 million shares for approximately $12 million using a portion of the tariff refund proceeds. Consistent with the capital allocation framework we introduced earlier this year. We continue balancing investments in innovation commercial capabilities and shareholder returns to support long term value creation. 6 months into the return to growth action plan, I believe we are going deeper moving faster, taking bolder steps to improve our business. We are recalibrating customer relationships. We are strengthening our commercial organization. We are expanding access to our products. We are simplifying the company, and we are creating a stronger financial foundation. The path will not be linear, but we are seeing encouraging signs that our actions are beginning to translate into improved execution stronger customer engagement. Thank you to our employees around the world for their continued hard work and dedication to our customers. I continue to believe the potential for Dentsply Sirona has never been greater. And we have at our fingertips everything we need to achieve our plan. With that, let me turn the call over to the operator so we can start the Q&A session. Operator: Thank you. a question and answer session. Thank you. As mentioned, at this time, we will conduct As a reminder, to ask a question, you will need to press *11 on your telephone and wait for your name to be announced. Please limit to 1 question and if you wish, a follow-up. To withdraw your question, please press *11 again. Please stand by while we compile our Q and A roster. Your first question comes from the line of Elizabeth Anderson with Evercore ISI. Your line is now open. Elizabeth Anderson: Hi, guys. Good afternoon, and thanks so much for the question. I guess my first question is, John, maybe you could talk a little bit about, why Dentsply Sirona was the right next step on your career and also, do you guys now think you have the full team in place to go forward with what you need to do to help get the company on the right footing? And can you also, maybe as my follow-up, talk through like how you see the drivers that increased EPS from 3Q to 4Q like you were just laying out, John? Thank you very much. John C. Fortson: Sure. Sure. I will start. Dane can talk a little bit about the team. But I followed this company for a long time. I have been in the Carolinas really for 15+ years. And have followed the story I really feel like the board and the current leadership team under Dane are ready to do what needs to be done to take this company to the next level. Right? I feel having studied for a number of months, the return to growth action plan and in conversations with Dane and the other leaders, I feel like they have the right plan at the right time, and I am pretty excited about being here. You know, I look at the prioritizations. They are pretty straightforward. We return to growth we maximize profitability, and we maximize cash generation. And I think we have the opportunity to do all 3. Thanks. Daniel T. Scavilla: And I will take the rest of that, Elizabeth. We have a great executive committee, my direct reports. If you look through it, a vast amount of that was rebuilt, and those that remained were really strong base to go from. So I feel very bullish about that team. The rate of engagement we have around the world when it comes to our directors up as well continues to impress me. And so to answer the question, yeah. We have what we need. To make the changes that we need to make. I feel very strong about that. As far as the progression and heaviness perhaps in the fourth quarter. Given the turnaround and very similar to what we may have spoken to in the past, a lot of that really banks on the fact of when you are reorganizing the company, and you have some of the timing of when those, structural changes take place, you will see it bear more in the fourth quarter than you would previous as we go do that In addition, if you remember, we have added a lot of the dealers in the first or second quarter. I always mentioned it is about 9 months before you can really produce there to sell capital. And so you are bringing them onboard, training them, getting their reps out there, building a pipeline, then closing. And so while we are positive, seeing positive results of who we brought on, I think that will be heavier in the fourth quarter than perhaps what we have seen in the first or second. Super helpful. Thank you. Welcome, John. John C. Fortson: Thank you. Operator: Thank you. Your next question comes from the line of Allen Lutz with Bank of America. Your line is now open. Allen Lutz: Good afternoon, and thanks for taking the question. Really a follow-up on my question from last quarter around the return-to-growth action plan here. Dane, you talked about a lot of the same things that you talked about last quarter. Some new distribution partners, which you executed against in the quarter. You gave the example on investing in clinical education, and R&D continues to trend up nicely. Would love to get a sense in terms of where you are most excited. You sort of answered it a little bit with the last question around maybe some of the contributions from dealers coming in the fourth quarter. But would love to get a sense of the parts of the return-to-growth action plan as you go through it. Now you are 6 months in. Love to get a sense where you are most excited and what you think the first part of that is to hit the P&L. Thanks. Daniel T. Scavilla: Thanks, Alan. I appreciate that question. Honestly, what I am most excited about is the level of engagement we have with our dentists and seeing that accelerate at different levels of the company, I want to say it is a reengagement and the feedback that I have been getting from different folks that how happy they are with the dentists themselves coming back on the clinical education programs or the interaction with executives. Or even some of the events that we have held or attended they see our recommitment into that. And I have been getting a lot of good feedback from them, which is encouraging to me because as we say and have said, it is all about the customer first. And if we are going to turn this around, it is about supporting the customer first and foremost and then earning the right to grow and take share from there. And so that excites me. Honestly, with John joining the team and really filling out and already strong executive council that I have, that is the second thing that is exciting to me and you are right. I love the partnership expansion in The US with the dealers. And I think that is still yet to prove out more in the second half of the year, but all 3 of those rank up for me. Great. Thank you. Thank you. Operator: Your next question comes from the line of Michael Cherny with Leerink Partners. Your line is now open. Dylan Finley: Thanks for taking the question. This is Dylan Finley on for Mike. Just wanted to start briefly on the tariff refund. Just a clarification point. Was that refund assumption embedded in the initial guide? And does the maintenance of the guide account for the contribution of that refund. And then secondly here, if you could just broadly comment on your quarterly run rate into COGS, what you are seeing today with the 21 twos and now the 301s, you know, where do you see your quarterly spend on tariffs from here? Daniel T. Scavilla: So Dylan, I will answer that. So the first thing is we did not build a refund into our initial guidance. That was something that we decided not to do because it was uncertain when it would occur or what it would be. And so that is in addition As we maintain our base guidance, as John called out, we are saying we are not changing that. And certainly, in addition, we would layer in some semblance of the tariffs that we are calling out earlier. In that section. So it is something totally unrelated to the operations of the business and done. We do not disclose the rate of tariffs per quarter, so that would be something I will refrain from answering. Very helpful. Thank you. Dylan Finley: And then as a brief follow-up here, you know, you guys showed some nice gross margin improvement. If I am just looking and backing up the tariffs. But on SG&A, in the past, you talked about reduction in targeted annual savings. Any updated thoughts on the magnitude of that in timing of when we should see some improvement in SG&A? Thanks. Daniel T. Scavilla: it is a little bit, Dylan, of a couple of things. it is sort of a put and take here. We are reorganizing a lot of our company, whether it be through headcount or indirect spending, But I am also redeploying that into increasing the field, increasing clinical education, increasing rep education, accelerating innovation. And so it is not an anticipated drop through to the bottom line so much as repositioning for long term growth that is occurring. Great. Thank you. Operator: Kathy, do we have Vic on the line? Pardon me. Yes. Vikramjeet Chopra with BMO. Your line is now open. Anton: Hi, Dane and John. it is Anton on for Vic. Thanks for taking our questions. Maybe first, I will start on the commercial U. S. Commercial expansion. Dane, you have repeatedly said the U.S. business recovery as your top priority. And have been taking clear steps in building out the US commercial team with senior leadership and competitive hires. And I would be curious to hear where we stand in the US commercial team build out. You have all the people you need or are there more seats to fill? And does the guide contemplate accelerating productivity from these hires? Throughout the year? Or is that more of a 2027 phenomenon? Daniel T. Scavilla: Yeah. Thanks, Anton. First, I would say I will probably never have as many people as I need because there is no answer to that. I want to add as many reps in the field representing us as we can. That said, what we did do in the first quarter was make a significant verticalization of our commercial organization under the team and they did a great job. And those folks that lead those verticals are dental experts, with a lot of competitive experience as you referred to, and it is there. We are, again, retraining the reps that we have recertifying them, and then to your point, expanding them both from new hires and competitive hires I really do think those efficiencies, while they will continue to sequentially through the quarters as you get through Q2 to Q3 to Q4, think are going to be more impactful next year. Because a lot of that training, a lot of that clinical edge clinical education, and then just getting everybody into those moves that they need to do into the field, I think, will be more of a next year impact. But I am happy with the progress being made with that team. that is that is really great to hear. Anton: And maybe 1 more follow-up. On China. Last night, 1 of your peers shared some updated perspectives on the China environment and VBP timing. I mean, can we get your perspectives here as well. Like, what is your latest thinking on China VBP 2.0 in 2026? And how do we think about the impact for Dentsply? Daniel T. Scavilla: Yeah. Again, great question. You know, it moves, as you know, it is been delayed. it is been cast out there. So I am probably gonna line up with the timing. I know that it was pushed off several months from China that way. We do not have a significant impact baked into that for this year nor do I expect 1. China is an area of significant long term growth for us right now. And it is 1 that we are keeping our eye on of how best to approach But at this point, I would tell you that it is smaller and that we have our eyes on how to make that bigger over time And the VBP is simply just 1 step along the way for us to really get into that market. Thanks so much again. Thank you. Operator: Your next question comes from the line of Jonathan Block with Stifel. Your line is now open. Joe Federico: Hey, everyone. This is Joe Federico on for Jonathan. Thanks for taking the question. Maybe just to zoom in on implants a little bit. Is there any further detail you can provide on the performance in the quarter? I think you said EMEA was mid single digits led by value, but maybe any other color between value and premium? How did the U.S. perform? And then just how do you view the market growth there in the quarter and then in 3Q to date? Thanks. Daniel T. Scavilla: Yes. We tend not to break it down by products things like that in a lot of detail. What I would tell you is that our value products in EMEA had a very strong quarter. there is a lot of cadence there that we are doing. In The US, simply part of the turnaround, we lag behind that. We have incredible products. As I just said, we have recertified our team to give them more to go out and worry about workflow and dentist needs, as opposed to just selling a single product. And so it is still a continued investment in our turnaround plan focused primarily on The US, still investing obviously in EMEA and Asia Pac, But I would say that when you look at the competitors, we are lagging behind, and we need to change that We have got the right products. We have the right approach. We have to execute and get up to market and beyond. Thank you. Thank you. Operator: Your next question comes from the line of Michael Sarcone with Jefferies. Your line is now open. Michael Sarcone: Hey, good afternoon, and thanks for taking the question. 2 for me. I guess, can you just give us an update on or elaborate more on capital equipment demand? I think you mentioned some uncertainties in Europe related to Mideast tensions, so maybe give us a kind of around-the-world view. And then just second, I will throw it out here now is Dane, you talked about, the salesforce ramping. How are you thinking about growth in implants as we look to 2027? Thanks. Daniel T. Scavilla: Hey. So what we are saying with us in the capital itself and as you know, it is seasonal. In EMEA, because we are 1 of the leaders in dental, the rural regions are a little bit bigger for us and perhaps our competitors. And we are seeing delays that have occurred there. We are not gonna call it out. We are not gonna call it down at this point. Our eyes are on it. it is an unknown ability when that resolves or when they will pick up. But that really was just it. It is that we are just seeing some delays in there because of the uncertainty of that situation. Do we think that can clear through in Q3 or 4? We hope so for the sake of the people there. But eyes on it for that 1. that is really kind of the thing that is going there. On the Salesforce itself and the productivity and the lift that would occur for implants into 27. I am gonna refrain for now. Gotta go focus on this year and the turnaround to finish that, and we will be giving guidance more as we get into the early part of next year along those lines. Got it. Thanks, Dane. Thank you. Operator: Your next question comes from the line of Lilia-Celine Lozada with JPMorgan. Your line is now open. Lilia-Celine Lozada: Great. So much for taking the question. Following up on, the prior question about implants, when I look at the results across the segments, 1 area that was really softer this quarter was OIS. I am hoping you can unpack that a little bit To what extent was that a function of headwinds from a weaker consumer environment given the price point and more elective nature of the procedures, or was there something else at play? Daniel T. Scavilla: Yeah. Thanks, Lilia. I appreciate that. What I think is a couple of things with OIS in particular, Lilia-Celine, remember that you have that bite impact that is occurring and John called out the impact of that. We still carry that through of a significant part that is really it. I think what we have seen particularly on SureSmile Is More Of A U. S. Impact and I think it is more about us again looking at the turnaround as we enter back to orthodontist and we hire that sales force we modernize the software and go. So, you know, the Byte removal is still something carrying. I think that SureSmile U.S. is that next 1 that is out there. The rest of it, I was happy with. I think that is really in OIS, the 2 main impacts. Great. that is helpful. Lilia-Celine Lozada: And then I just want to make sure I am understanding some of the comments you all made on macro. It sounded like you did see some pockets of lower demand due to the macro environment. Think the messaging prior was that the ebbs and flows in the market do not really impact much just given all of the operational improvement you are making. So I just wanna make sure I get the message clear on that. what is the latest that you are hearing on macro, and how much does that impact you in 2020? Thanks so much. Daniel T. Scavilla: it is a great question, Lilia. Let me expand on that too just for clarity. So thanks for pulling it out. In the past, and I will stick to this, I have said that we should not count on a market up or down to drive our growth. We have many things we have to do ourselves. And whether the market's up or down, we have to improve and grow. So that was the latter part of your I will stick with that. When I was calling out the macroeconomics, it really is about keeping our eye on the Middle East and the tension in the world that is out there, not just because it is somewhat disruptive to us from a procedure or capital, it is also the increased freight. We have to date seen impacts, and we have absorbed those impacts I anticipate that to settle down and go back to a normal rate. And so I have not backed off the return to growth investments. In Salesforce, ClinEd, or innovation. And my point is if those pressures remain high, there is a point in the future that I may choose not to absorb it. And adjust accordingly on the bottom line. I do not see it yet, I am just dropping it as a hint. that is really what I meant by that statement. Very helpful. Thank you. Thank you. Operator: Your next question comes from the line of Jeff Johnson with R. W. Baird. Your line is now open. Jeff: Thank you. Good afternoon, guys. I wanted to start on EDS if I could. You pointed the volume declines, both EMEA and in The Americas. Know, any way you can qualitatively help us understand which of those might have been better or worse, I guess, how to play 1 off the other, number 1. And distributor changes in Europe, maybe, the answer is that was the worst side of my question. But just any clarity there, number 1. And number 2, you know, I think in the past, you have been pretty clear you do not think you have room at this point to increase price on the EDS side. We have kind of picked up maybe in our channel conversations with some of your smaller and other dealers in The US that you did push some price here recently on the consumable side. Any truth to that? Did that have any impact in the quarter or in your go forward thinking? Daniel T. Scavilla: Yeah. You got it, So let me kind of get after the first 1. So in EDS in particular, most of the pressure remains in Europe. I will tell you, we have actually seen some of our bigger dealers make significant orders in the second quarter that were positive and double digit growth. There are 4 other dealers. Actually, most of them are private equity owned. And we are seeing them take historic inventory levels from about 12 or more weeks down to possibly 8 weeks When we talk to them, that is what we are seeing. We do not know if it is a factor of them coming into private equity or if not. But that is really what we have been talking about is we are seeing the sell through occur. We feel positive as to those activities that are occurring. It is multiple dealers, not 1. in Europe. And that is the thing I do wanna make sure folks understand. And that is really kind of coming out into the restorative and endodontics side more than anything else. I think in The US, there are different things we need to do with our portfolio or pricing or positioning. To be more competitive. And I think, again, as we educate the team and refocus in endodontics in particular, but also pay attention to restorative, there is opportunity there Some of our investment and accelerated investment in R&D is going to give us more opportunity to go provide that and capture it. So that is really the flavor between those 2 areas. Pricing, you know, there is always a price tweak here or there. We have not taken anything significant in pricing. Would tell you, you are hearing it through the channels We have not implemented anything out there. It could very well be just cleaning up price, shifting SKUs, some level of mix that might be impacting that. But really had no price or no price increase since September 2025. Okay. Thank you. Operator: Your next question comes from the line of Kevin Caliendo with UBS. Your line is now open. Kevin Caliendo: Hey, guys. Thank you for taking my question. Just want to sort of understand what is embedded in the current guide from the market perspective. Like, what do you expect the markets to do over the second half of the year, and how do you feel you are gonna do against that? Meaning, do you feel like you are gonna be in line with the market, lose share, or gain share against that? that is my first question, just sort of what is the expectation for the handful of end markets that are most important to you. And then the comment about distributor inventories was interesting. Just given the new distributor relationships that you have, were you saying that broadly speaking, inventory levels are lower or on a same store basis? Because I was wondering if, like, you signed a new distributor relationship would you be putting some inventory to them as well? I am just trying to understand what that meant or how to think about that. Daniel T. Scavilla: Okay. Well, let's start with that last 1. We will go backwards with that. So keep in mind when we are signing up the US dealers, they are for capital expansion. And so we are not actually having them buy capital and hold it. We are actually working with them you know, to move that differently. So you would not see a lift that way. My previous comment from the previous questions was focused on dealers for the EDS models that are out there. And to your point, if we were to open up a new dealer there, they would inventory, we would see that, but we have not done that. that is really what I am thinking that way. And Kevin, you had the first part of the question. I just need you to kind of go through it again because I think I did slip my mind. I was just I am just wondering how to think about what you are expecting in terms of the overall market. Their market Thank you. How we think you are gonna do relative to that. That what is embedded in the guidance? Like, are you gonna be along with the markets? Are you gonna gain share, lose share? How should we think about it in the various segments? Again, it is what you are what is embedded. Yeah. Oh, yeah. So a couple of things here. I think when you hear the reports out from competitors about the market stabilization, I agree with them. I think that is there. We can all pick a number, but I will pick 1 and say about 3% growth would be out there. However, what is embedded in our guidance is very different. We are calling out a turnaround, and we are trying to go from negative into flat into growth over time. that is not something we would achieve within the 12 months of 2026. And so our guidance was really more about the execution of clinical programs rep education, and going out the execution. And what I had said in the past is I think we would have negative Q1, negative Q2, I am thinking somewhat more favorable, not positive, but little more favorable or less loss. In Q3. And I am looking in The US to exit the year with a plus sign. And that is really where we are getting. I think getting more into market and market dynamics for us will be more of a 2027. As we execute the return to growth plan. that is super, super helpful. Thanks so much. Thank you. Operator: Your next question comes from the line of Steven Valiquette with Mizuho Securities. Your line is now open. Steven Valiquette: Hi. Thanks. Yeah. it is Steven Valiquette from Mizuho. With some ongoing discussion this quarter among digital equipment manufacturers, customers seeing customers continue to move to lower price points on intraoral scanners. We heard more about some movement to leasing arrangements for digital equipment instead of straight sales, at least from some manufacturers? Was just curious to get your updated thoughts on competitive landscape in iOS, but is there any inflection on leasing versus purchasing for higher priced items from your perspective also just remind us on your own philosophy on leasing options for practitioners for your own digital equipment offerings. Thanks. Daniel T. Scavilla: Okay. it is a great question, Steven. So a couple of thoughts here. I think you always offer many options on the customer if they want to buy it outright, if they want to do it over time, if they wish to do it through a lease. All of those are valid things that we are open to do and have been doing as well. I think you are right. There is a growth of lower cost intraoral scanners. And there is a quality that also gains with them over time. And so while I do think there is always room for premium in the future, you need to show the flexibility of how to get it into the customer hands. And quite frankly, I think you also need to have the offerings at different levels depending on what the customer wants. It is something we are looking at. Those options are things that we have in place. And I think, really, for me, for next-gen intraoral scanners, we need to look at high end, mid and also low. And that is something that is in part of our innovation program. Okay. that is very helpful. Thanks. Thank you. Operator: Your next question comes from the line of Erin Wilson Wright with Morgan Stanley. Your line is now open. Erin Wilson Wright: A couple of couple of modeling questions. 1, just on the organic constant top line growth. I think you gave total revenue growth, but did you give a true underlying kind of organic metric that you are anticipating? Or what are you anticipating in terms of the second half there? And just remind us what is embedded from a currency perspective. And then on a tariff refund, I guess, does the guidance then reflect share buybacks associated with the tariff refund or future buyback? I just want to be clear in terms of what is embedded in terms of the EPS number and not, especially when it comes to, like, share buybacks. Daniel T. Scavilla: Yeah. So what we saw, Aaron, in the beginning of the year is a very strong FX rate that we still would taper down over the quarters. That $3.5 billion to $3.6 billion for us is just what we expect to hit for this year. I do not really have the exact amounts that are broken out. We did not provide anything between constant currency or as reported. We are just getting into those ranges knowing the currencies that we anticipate for this year. The favorableness of the first quarter would diminish in second, and we think neutralize or possibly even at the end of the year kind of negative out. So say that is not going to be a big driver for us along those lines with it. Again, the tariffs, were calling out the fact that we are not changing the base and we are just dropping the tariffs eventually, out there for modeling purposes. that is really what we were trying to do is just distinguish them out. We are obviously looking to not have that as a measure year on year because it is such an oddity. it is gotta be off on side when we talk about Q2 of next year. Okay. Thanks. Erin Wilson Wright: And then you spoke about some of the distributor relationships you inked a deal with Medline with their Sinclair offering in Canada. I guess, how is that relationship different or unique, or how should we think about that opportunity And then just overall, the North America distributor relationships, how are those progressing? Thanks. Daniel T. Scavilla: You got it. So in Canada, it is just great because, again, it is it is Sinclair is a great business to get into. We do a lot with them already. it is an expansion of what we have. But expansion on the capital side, which we did not have And so they have already got the natural reach and feet on the streets to actually get our products in front of more customers in a faster pace in Canada, which is a very strong market for us. And actually been an area of growth that I think if it continues, we will call out a bit more in future calls with it. And I think on The US side, what I have seen in particular without calling out names are 2 of the new dealers that have grown double digits So far. But again, I am I am I am a little cautious. I wanna get through Q3 maybe start looking at that in Q4. But for a few that I have added on, I am really happy with what I am seeing with their growth. They are smaller numbers, and do not drive the overall business, but they are smaller numbers today. And they will grow and become significant over time. And that is really what I am I am looking at. K. Thank you. Thank you. Operator: Your next question comes from the line of Daniel Grosslight with Citi. Your line is now open. Daniel Grosslight: On CTS in the Americas, I think we were down around nearly 10% constant currency. You just help us understand whether this is primarily being driven by CapEx deferral just given the macro the rate environment? Are you seeing any kind of competitive displacement in CADCAM and imaging, particularly from lower ASP type of offerings. Daniel T. Scavilla: Yeah, you are welcome. We are not seeing a huge bleed out competitively at this point. We think it is a little more timing. As you know, capital is always bumpy and so I think that is what we are going to attribute it to. To your point, it is mostly in the CADCAM area that we called out. But I would say at this point, I am not seeing anything that would take me off task. I do not feel like we are at a competitive disadvantage with this. I think it is just a matter of closing out deals that are in the pipeline. Daniel Grosslight: Got it. Okay. And just an accounting question on the tariff impact or the tariff benefit this quarter. I think I heard this, but I just wanted to double check. That full $44 million hit the P&L. So if I were to normalize for that, I would just subtract 44 million from gross profit and adjusted EBITDA, or is there some other dynamic I am not accounting for there? John C. Fortson: You are exactly right. Okay. Great. Thank you. Thank you. Operator: Your next question comes from the line of Michael Petusky with Barrington Research. Your line is now open. Michael Petusky: Good evening. Dane, I guess, you sort of called out the formula for winning the Wellspect is doing. And obviously, that has something to do with new product launches and innovation in their space. And you obviously come out of, you know, a space where innovation was a huge key to winning. And I am just curious, the R&D the incremental R&D spend you guys are doing right now. what is the what is the mandate? Is it taking bigger swings? Is it Is it hitting more singles? And I guess just in terms of time frame for impact, I mean, is there anything likely to actually impact the work you are doing now impact mid- to late 2027? Is 2028 or 2029 more of the time frame? Daniel T. Scavilla: You got it, Michael. So with Wellspect, to your point, we went back and then returned to growth action plan, and we have invested in them in several different ways to actually fuel the ability to get the products out and penetrate the markets. And they are responding well And, you know, that to me is 1 of those ones where, you can actually fund it by itself and allow it to grow. And so, you know, I look at it as completely separate organization. We just consolidate down for reporting. But the point is, they continue to perform and, you know, again, even their pipeline is rich for other products and going out that way. On the dental side, the innovation and the increase in innovation that we had done this year was really intended to accelerate things. And so as you know, DS Core is a platform. And putting more functionality into the digital dentistry flow like implants on core or ortho on Core, 2 examples, the incremental money should move those forward meaningfully. Now I have to get FDA approval, so I do think goal is to have it done in late 2027. But it is about when we file and get approval. Certainly, in 2028 would be the thing. And had we not done that, that would have been further out by at least a year. So there are main things that are out there. In addition, given the size and the importance of EDS, we have put more products and more functions therein. And so we are looking to make sure that stays fresh and we remain a leader and we invest in it. That answer your question. it is a mixed bag of home runs and singles like you have to do with everything. It cannot all be big risk or too small risk. And so it is a blend. it is also both organic and inorganic opportunities for us to look and exploit and grow faster. So it really kind of depends on the products and the opportunities that really is up and down between those. Okay. Great. Yeah. Michael Petusky: Can I just sneak 1 quick 1 in? I think this is a quick 1? Obviously, historically, outside of the U.S., Germany has always been a key market. And I do not think I have heard you talk about that tonight or possibly even last quarter. Can you just give an update on what you guys are seeing in Germany? Across the board? Thanks. Daniel T. Scavilla: Yeah. No. I did not call it out, but I would just tell you it is probably more my style than anything else. I have got nothing that I am worried about with Germany. I was just focusing more, as you know, US is top priority. How we fund EMEA is out there and then, you know, make sure we get Asia Pac to grow. You are correct. it is still 1 of our top markets. it is doing okay. And not gonna be driving a large amount of growth. I think it is moving around market pace right now. But it really was not anything for me to call out with what we are trying to put out message-wise. Gotcha. Thank you. Thank you. Operator: Your next question comes from the line of Joseph Downing with Jason Bednar from PSC. Your line is now open. Joseph Downing: Hey, guys. Thanks for taking the question. On for Jason today. I will keep it to 1. But, Dane, when you look at the segment break it looks pretty different depending on the geography this quarter. You have CTS down high-singles in the Americas but up double-digits in APAC. While OIS fell in The Americas and was held closer to flat in EMEA. Just curious, like, how do you run 1 return-to-growth playbook when each unit's soft points sit in different geography, and then which of these regions within each segment gets kind of first dibs on resources here? Just trying to think of how you are thinking about that. Thanks. Daniel T. Scavilla: Yeah. it is it is a fantastic question. Thanks for asking it. So listen. Everything matters, but U.S. is top priority returning to growth. We have made that clear. And in that, you know, getting implants and CTS up on its feet through the dealer expansions with the education we have spoken about, is critical while maintaining the lead in EDS. And so that US itself is fairly focused in and going. When it comes into EMEA, in that leadership team, we have made sure they are funded. But again, they do not need as much of a return to growth plan. that is really about addressing the EDS dealer inventories and driving through. I think they are in good shape. And again, different will be Asia Pac and how you get into China, how you continue to expand in Australia and Japan. So the good news is they all fit into a same model of customer first, innovative products by listening to the customer, clinical education investments, and strong reps that do workflow. That applies globally. Then you just put it at different points along where they are in their maturity curves. Great. Thanks so much. Thank you. Operator: Your next question comes from the line of Brandon Vazquez with Morningstar. Your line is now open. Brandon Vazquez: Hey, Greg. Thanks for taking the question. Hey, Dane. I recall you kind of highlighting investing beyond education, especially in implantology as 1 of the main sources for return to growth. Guess, kind of as you sit today, and when assessing the ROI on that front. How do you feel on that? And then do you feel like the long term picture has improved, or trying to stay neutralized? Any thoughts there would be helpful. Daniel T. Scavilla: Yeah. You got it. So the thing with clinical education is it is all from investing. What I mean by that is spend it this year. You might see in Q4 some uptake, but it is really about getting the cadence throughout the multiple years by gaining users who are aware of your products and use them continuously. And so you can run through it, but it is really a main fiber of all the it is really something that really works well within this market. it is really about making sure the general specialist, the referrals all work together and they are educated. So that money, I know, is well spent. I have seen what happens when you trim it down. And so, you know, getting it back on track and then getting above market is key that way. I would say that I am pretty happy with where we are with that. 1 thing as well with the Q3 in particular, and we talked about where that was going. Will be a bolus of investment occurring there without the revenue coming up to that. That will come in later quarters. So, you know, you are gonna see the return to health plan not pay attention and quite frankly care about quarterly outcomes. it is about spending the money at the right time for sustained long term growth. Great. Brandon Vazquez: that is helpful. And then just 1 more. I wanted to double-click on the CTS. You know, CTS and APAC has now had kind of 2 quarters of sequential improvements. And I am curious if there is anything specific going on in the region that we are not seeing in other categories within the region. Is there any, like, 1 timers or big inventory stocking, or do you feel like the market condition has, I guess, improved a little bit in the next or since the beginning of the year. Daniel T. Scavilla: I want to make sure I heard you. You were talking about APAC? Is that what your question was? Yeah. CTS. CTS. Yeah. You know what? it is really about a program put in place. I am not gonna explain the program here, but it is really an execution we did in 2 of the key markets that is working very well. We designed it in, honestly, the fourth quarter of last year. Began executing it as you just kind of called out in Q1. We are seeing very positive uptake with what it is we are doing there. And it is applicable throughout the world, but we are actually trying it right now within certain markets in Asia Pac. Great. Thanks. Thank you. Operator: This concludes the question and answer session. Thank you for your participation in today's conference. This concludes the program. And you may now disconnect. Before you buy stock in Dentsply Sirona, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Dentsply Sirona wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $400,209!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,375,393!* Now, it’s worth noting Stock Advisor’s total average return is 964% — a market-crushing outperformance compared to 215% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors. See the 10 stocks » *Stock Advisor returns as of August 14, 2026. This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Dentsply Sirona (XRAY) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Management is six months into a 24-month 'return to growth' action plan, focusing on customer re-engagement, commercial verticalization, and operational simplification. Revenue declines were attributed to the strategic exit from the Byte business, planned dealer inventory reductions, and lower volumes in The Americas and EMEA. Performance in EMEA was impacted by a softening of capital equipment demand as providers deferred investment decisions due to uncertainties stemming from the Middle East conflict. The EDS segment faced headwinds from European distributors reducing inventory levels from 12 weeks down to approximately 8 weeks, which management views as a structural inventory shift rather than a demand-driven decline. Strategic investments are being funneled into clinical education and sales force recertification, particularly in the U.S. implant business, to transition from product-selling to workflow-based solutions. APAC demonstrated strength with double-digit growth in milling systems and connected technology, driven by specific execution programs initiated in late 2024. Operational excellence initiatives include embedding lean principles and AI to eliminate routine work and accelerate decision-making across the organization. The company maintained its 2026 revenue and EPS guidance, assuming that the benefits of commercial investments and dealer expansions will become increasingly visible in Q4. Q3 2026 is expected to see sequential revenue and earnings declines due to normal seasonality and a 'bolus' of planned investments in clinical education and R&D. Management anticipates the U.S. business will exit 2026 with positive growth, though full market-level performance is not expected until 2027 as the turnaround matures. Guidance assumes a stabilization of global dental markets at approximately 3% growth, though Dentsply Sirona's results will remain decoupled from market rates during the turnaround phase. Future innovation spend is targeted at accelerating DS Core functionality and refreshing the EDS portfolio, with significant product impacts expected in the 2027-2028 timeframe. A $44 million tariff refund provided a $0.17 per share benefit in Q2, which management has excluded from their core operational guidance to maintain transparency. The company resumed share repurchases for the first time since Q3 2024, utilizing a portion of the tariff refund proceeds for opportunistic buybacks. Management flagged potential future risks from increased freight costs and geopolitical tensions; while currently absorbed, these may necessitate future bottom-line adjustments if they persist. The net debt to EBITDA ratio remained stable at 3.2x, with a continued strategic priority placed on debt reduction and working capital improvement. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Improvement is weighted toward Q4 due to the timing of structural organizational changes and the ramp-up period for new dealer partnerships. Management noted it typically takes about 9 months for new dealer reps to become productive in selling capital equipment. Management does not expect a significant impact from VBP 2.0 in 2026 due to timing delays in China. China is viewed as a significant long-term growth opportunity, with VBP seen as just one step in expanding market access. Management acknowledged the growth of lower-cost intraoral scanners and the need for a multi-tiered innovation strategy. Future R&D will focus on providing high-end, mid-range, and low-end offerings to ensure flexibility for different customer segments. The inventory reduction in Europe is concentrated among a few private equity-owned dealers rather than a market-wide trend. Sell-through remains positive at low-single digits, confirming that the wholesale decline is not reflective of end-user demand.

Find winning stocks in any market cycle. Join 7 million investors using Simply Wall St's investing ideas for FREE. DENTSPLY SIRONA (XRAY) is in focus after reporting second quarter 2026 earnings on 6 August, alongside reaffirmed full year net sales guidance and an update on long running share repurchases. The company reported quarterly sales of US$898 million compared with US$936 million a year earlier. Net income for the quarter was US$37 million compared with a net loss of US$45 million in the prior year period, with basic and diluted earnings per share from continuing operations at US$0.18 versus a basic and diluted loss per share of US$0.22. For the first six months of 2026, DENTSPLY SIRONA recorded sales of US$1,778 million compared with US$1,815 million a year ago. Net income for the period was US$27 million compared with a net loss of US$25 million, while basic and diluted earnings per share from continuing operations were US$0.14 compared with a basic and diluted loss per share of US$0.13. See our latest analysis for DENTSPLY SIRONA. Against this earnings backdrop, DENTSPLY SIRONA’s share price has pulled back in the very short term, with a 1 day share price return of a 4.43% decline following the results and a 7 day share price return of a 4.15% decline. The 30 day and 90 day share price returns of 8.04% and 19.73%, respectively, together with a year to date share price return of 16.86%, point to improving momentum, even as the 1 year total shareholder return of 2.31% and 5 year total shareholder return of a 75.16% decline keep the longer term picture more mixed. If you are weighing DENTSPLY SIRONA’s update against other healthcare ideas, it can help to broaden your watchlist with 42 healthcare AI stocks. DENTSPLY SIRONA has just delivered a profitable quarter after a long share price slide, then slipped again on the results. Does that recent pullback already offer a reasonable entry, or does it still make sense to wait? DENTSPLY SIRONA’s most followed narrative currently anchors fair value at $13.40 against a last close of $13.17. That small gap rests on some very specific long term assumptions. Read the complete narrative. Read the complete narrative. Want to understand why a company with recent losses still earns a premium to its last close? The fair value hinges on firmer margins, steadier revenues, and a profit profile that looks very different to today. The story is in how quickly that shift is expected to play out and what kind of earnings multiple it could support. Result: Fair Value of $13.40 (UNDERVALUED) Have a read of the narrative in full and understand what's behind the forecasts. However, the DENTSPLY SIRONA narrative still depends on reversing ongoing sales softness and managing higher tariff and competitive pressures that could keep margins under strain. Find out about the key risks to this DENTSPLY SIRONA narrative. The mixed sentiment around DENTSPLY SIRONA makes this a good moment to act quickly and review the underlying data yourself rather than rely on headlines. To see what optimistic investors are focusing on, take a closer look at the 3 key rewards. If DENTSPLY SIRONA is on your radar, this is a good moment to widen your net and line up a few other quality ideas before the next move. Target potential upside with companies that look mispriced and back it up with solid fundamentals by scanning 49 high quality undervalued stocks. Strengthen your income stream by reviewing stocks that combine higher yields with resilience through the 8 dividend fortresses. Protect your downside by focusing on businesses with steadier profiles using the 78 resilient stocks with low risk scores. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include XRAY. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

Dentsply International (XRAY) reported $898 million in revenue for the quarter ended June 2026, representing a year-over-year decline of 4.1%. EPS of $0.52 for the same period compares to $0.52 a year ago. The reported revenue compares to the Zacks Consensus Estimate of $883.85 million, representing a surprise of +1.6%. The company delivered an EPS surprise of +44.44%, with the consensus EPS estimate being $0.36. While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health. Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance. Here is how Dentsply performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: Net sales- United States: $316 million versus the two-analyst average estimate of $342 million. The reported number represents a year-over-year change of +7.9%. Net sales- APAC: $130 million versus $139.13 million estimated by two analysts on average. Net sales- EMEA: $452 million compared to the $409.17 million average estimate based on two analysts. The reported number represents a change of +11.9% year over year. Net sales- Essential Dental Solutions: $376 million compared to the $365.83 million average estimate based on four analysts. The reported number represents a change of -2.8% year over year. Net sales- Orthodontic and Implant Solutions: $197 million versus the four-analyst average estimate of $206.09 million. The reported number represents a year-over-year change of -12.8%. Net sales- Connected Technology Solutions: $239 million compared to the $227.33 million average estimate based on four analysts. The reported number represents a change of -1.7% year over year. Net sales- Wellspect Healthcare: $86 million versus $84.34 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +7.5% change. Net sales- Orthodontic and Implant Solutions- Implants & Prosthetics: $157 million versus the two-analyst average estimate of $149.62 million. The reported number represents a year-over-year change of -3.7%. Net sales- Connected Technology Solutions- CAD/CAM: $102 million versus $99.67 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a -4.7% change. Net sales- Connected Technology Solutions- Equipment & Instruments: $137 million versus $124.96 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +0.7% change. Net sales- Orthodontic and Implant Solutions- Orthodontics: $40 million versus $52.41 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a -36.5% change. Adjusted Operating Income- Connected Technology Solutions: $-2 million versus $13.12 million estimated by two analysts on average. View all Key Company Metrics for Dentsply here>>> Shares of Dentsply have returned +10.8% over the past month versus the Zacks S&P 500 composite's +2.3% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report DENTSPLY SIRONA Inc. (XRAY) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Interested in DENTSPLY SIRONA Inc.? Here are five stocks we like better. Q2 revenue declined: DENTSPLY SIRONA reported revenue of $898 million, down 4.1% year over year, while adjusted EPS held flat at $0.52. Results benefited from a $44 million tariff refund, which added $0.17 per share. Performance varied by segment: Orthodontic and Implant Solutions revenue fell 13.2%, while Connected Technology Solutions and Essential Dental Solutions also declined; Wellspect Healthcare grew 7.1%. Lower volumes and European distributor inventory reductions weighed on results. Full-year guidance was maintained: Management reaffirmed 2026 sales guidance of $3.5 billion to $3.6 billion and adjusted EPS of $1.40 to $1.50, but expects seasonal weakness in Q3 and more visible benefits from turnaround investments beginning in Q4. Dentsply Stock is Repricing Itself DENTSPLY SIRONA (NASDAQ:XRAY) reported second-quarter 2026 revenue of $898 million, down 4.1% on a reported basis and 6.3% on a constant-currency basis, as the dental products company continued its turnaround plan amid lower volumes in several businesses and distributor inventory reductions in Europe. Excluding the impact from Byte and an approximately $8 million planned reduction in dealer inventory, constant-currency revenue declined 3.6%, Executive Vice President and Chief Financial Officer John Fortson said on the company’s earnings call. Fortson, who joined Dentsply Sirona on July 20, made his first appearance on the company’s quarterly call. → Meta’s Earnings Drop Shows Wall Street Wants More Than Ad Growth Adjusted earnings per share were flat year over year at $0.52. The result included a $0.17-per-share benefit from $44 million in tariff refunds. Adjusted EBITDA margin was approximately flat, as the refunds offset lower gross profit tied to reduced volume, product mix and incremental tariffs. Operating cash flow increased to $99 million from $48 million a year earlier, driven primarily by the tariff refunds and improvements in working capital management, including accounts payable and inventory. Dentsply Sirona ended the quarter with $239 million of cash and cash equivalents and a net debt-to-EBITDA ratio of 3.2 times, unchanged from the first quarter. → 4 Oil and Gas ETF Plays as Prices Stay Sky-High The company repurchased 1.3 million shares during the quarter at an average price below $10 per share, representing approximately $12 million of repurchases. Fortson said it was Dentsply Sirona’s first share repurchase since the third quarter of 2024, while adding that debt reduction remains a priority. Operating expenses rose $12 million year over year, including an approximately $8 million foreign-exchange headwind. Lower general and administrative spending was offset by planned investments in sales, marketing and research and development under the company’s 24-month Return-to-Growth action plan. Connected Technology Solutions: Sales totaled $239 million, down 1.5% as reported. Equipment and instruments revenue was flat, with treatment-center declines partly offset by imaging growth, particularly for Orthophos products in Europe, the Middle East and Africa. CAD/CAM revenue declined by the mid-single digits, reflecting lower Americas volumes and unfavorable price mix in EMEA, partly offset by double-digit growth in Asia-Pacific. Essential Dental Solutions: Sales were $376 million, down 2.7% as reported, primarily due to lower volumes in the Americas and EMEA. The company said certain European distributors reduced inventory levels, affecting sell-in results, though it said regional sell-out grew at a low-single-digit rate and did not view inventory reductions as demand-driven. Orthodontic and Implant Solutions: Revenue fell 13.2% as reported to $197 million. Excluding Byte’s year-over-year impact, the segment declined 5.7%, consistent with the prior quarter. Implant sales declined by the mid-single digits, with lower premium implant volumes in the Americas and Asia-Pacific partly offset by mid-single-digit implant growth in EMEA, led by the MIS value implant brand. SureSmile revenue of $40 million declined by double digits, primarily in the Americas. Wellspect Healthcare: Revenue increased 7.1% as reported to $86 million, supported by new-product sales, geographic expansion and adoption of newer offerings, partly offset by lower U.S. inventory levels. → Sandisk Just Delivered a Blowout Quarter—Here's Why the Stock Is Falling Chief Executive Officer Dan Scavilla said some providers in EMEA deferred capital-equipment investment decisions amid uncertainty related to the Middle East conflict. He also cited increased freight costs associated with the regional disruption, though he said the company has absorbed those costs to date and has not reduced planned investment in sales, clinical education or innovation. Dentsply Sirona maintained its 2026 outlook for net sales of $3.5 billion to $3.6 billion and adjusted EPS of $1.40 to $1.50. The EPS range excludes both tariff refunds and the effect of incremental tariffs. Management said the original outlook did not assume tariff refunds. The company expects third-quarter revenue to decline sequentially because of normal seasonality. It also expects third-quarter earnings to be below second-quarter levels when excluding the $0.17 tariff-refund benefit. Management expects the benefits from increased spending on its sales force, clinical education and R&D to become more visible beginning in the fourth quarter. Scavilla said the company’s recovery remains a turnaround rather than a linear improvement. He said Dentsply Sirona is prioritizing the U.S. market, where it has reorganized its commercial structure, expanded its dealer network and retrained implant sales representatives. The company recently expanded partnerships with Atlanta Dental and Nashville Dental in the U.S. and Medline Sinclair in Canada. Management said newly added capital-equipment dealers require time for training, pipeline development and sales execution, with a more meaningful contribution expected in the fourth quarter. Scavilla also said the company expects to exit the year with positive growth in the U.S., while broader participation in market growth is expected to be more of a 2027 development. On innovation, Scavilla said incremental R&D investment is intended to accelerate digital dentistry capabilities on the DS Core platform, including implant and orthodontic workflows. He said some initiatives could reach the market in late 2027, subject to regulatory approvals, with broader impact potentially extending into 2028. Dentsply Sirona Inc (NASDAQ: XRAY) is a leading global manufacturer of professional dental products and technologies. The company, formed through the merger of Dentsply International and Sirona Dental Systems in February 2016, brings together a long heritage of innovation in dental care. Headquartered in Charlotte, North Carolina, Dentsply Sirona develops and markets a comprehensive range of dental consumables, laboratory products, and advanced imaging and CAD/CAM systems. The company's product portfolio spans preventive, restorative, orthodontic, endodontic and surgical care. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "DENTSPLY SIRONA Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

DENTSPLY SIRONA Inc. XRAY reported second-quarter 2026 adjusted earnings per share (EPS) of 52 cents, down 1.6% year over year on an actual-value basis. The bottom line beat the Zacks Consensus Estimate of 36 cents by 44.4%. GAAP EPS in the quarter was 18 cents against loss per share of 22 cents in the prior-year quarter. Revenues declined 4.1% reportedly to $898 million and 6.3% at constant currency (cc). The metric, however, beat the Zacks Consensus Estimate by 1.6%. Weakness across three dental segments weighed on sales, partly offset by Wellspect Healthcare growth and a 1.8% negative impact from Byte. Shares of XRAY declined 1.9% in yesterday’s after-market trading. The stock has gained 15.2% year to date compared with the industry’s 4.8% increase. The S&P 500 Index has increased 12.7% in the same period. Image Source: Zacks Investment Research DENTSPLY SIRONA generates revenues under four segments — Connected Technology Solutions, Essential Dental Solutions, Orthodontic and Implant Solutions, and Wellspect Healthcare. Connected Technology Solutions revenues totaled $239 million, down 1.5% year over year and 3.8% at constant currency. Lower CAD/CAM volumes in the Americas and unfavorable price mix in EMEA weighed on results, partly offset by double-digit APAC growth. Equipment and Instruments also faced lower Treatment Center volumes. Our projection was $218 million for the metric. Essential Dental Solutions generated $376 million in revenues, down 2.7% reportedly and 5% at cc. Our projection was $367.8 million for the metric. Orthodontic and Implant Solutions sales declined 13.2% to $197 million, reflecting an $18 million Byte headwind and lower orthodontic and implant volumes. Our projection was $211.2 million for the metric. Wellspect Healthcare was the bright spot, with revenues rising 7.1% to $86 million, supported by new product launches. Our projection was $87.8 million for the metric. Beginning first-quarter 2026, DENTSPLY SIRONA started reporting under new regional segments — North and South America as Americas, Europe, the Middle East, and Africa (“EMEA”) and Asia Pacific (“APAC”). The company used to report under US, Europe and Rest of World geographic segments. Americas revenues fell 10.7% as reported and 11.6% at cc. EMEA sales edged up 0.2% on a reported basis but declined 3.6% at cc. APAC revenues slipped 1% as reported and 1.2% at cc. Adjusted gross profit was $506 million compared with $523 million a year earlier. Still, adjusted gross margin improved 50 bps to 56.4%. The quarter benefited from tariff refunds, though lower volumes, unfavorable mix and tariff costs pressured gross profit. We had projected an adjusted gross margin of 53.7% for the second quarter. Selling, general and administrative expenses increased 6.4% year over year to $364 million, while research and development expenses rose 21.6% to $45 million. Adjusted operating profit totaled $142 million, reflecting a 16.5% decrease from the prior-year quarter’s level. The adjusted operating margin contracted 240 bps to 15.8%.  We had projected an adjusted operating margin of 12.8% for the second quarter. Adjusted EBITDA declined 3.3% to $190 million. Adjusted EBITDA margin expanded 20 basis points (bps) to 21.3%. XRAY ended June with $239 million in cash and cash equivalents, down from $326 million in the first quarter. Cumulative net cash provided by operating activities at the end of the second quarter of 2026 was $139 million compared with $55 million in the prior-year period. The improvement primarily reflected approximately $44 million of tariff refunds and better inventory and accounts-payable management. Free cash flow during the second quarter increased to $55 million from $16 million. During the quarter, the company repurchased 1.3 million common shares for roughly $12 million, advancing its capital-allocation efforts while maintaining its focus on working-capital improvement. DENTSPLY SIRONA has a consistent dividend-paying history, with its five-year annualized dividend growth being 9.5%. DENTSPLY SIRONA maintained its 2026 net sales outlook of $3.5 billion to $3.6 billion and adjusted EPS guidance of $1.40-$1.50. The expected benefits from tariff refunds are not included in the adjusted earnings outlook. The Zacks Consensus Estimate for sales and adjusted EPS is currently pegged at $3.58 billion and $1.42, respectively. The company continued to execute its Return-to-Growth Action Plan, focusing on strengthening distributor relationships, realigning sales teams, and reinvesting in the business. It also expanded its partnership with Medline Sinclair in Canada, marking the sixth enhancement to its distribution network announced in 2026. Additionally, John Fortson assumed the role of executive vice president and chief financial officer in July 2026. DENTSPLY SIRONA Inc. price-consensus-eps-surprise-chart | DENTSPLY SIRONA Inc. Quote DENTSPLY SIRONA currently carries a Zacks Rank #3 (Hold). Some better-ranked stocks from the broader medical space are West Pharmaceutical WST, The Cooper Companies COO and Cardinal Health CAH, each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. West Pharmaceutical reported second-quarter 2026 adjusted earnings per share (EPS) of $2.37, which beat the Zacks Consensus Estimate by 13.9%. Revenues of $872.3 million surpassed the Zacks Consensus Estimate by 4.2%. West Pharmaceutical has an estimated long-term earnings growth rate of 16%. WST’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 17.40%. The Cooper Companies reported a second-quarter fiscal 2026 adjusted EPS of $1.21, which beat the Zacks Consensus Estimate by 10.00%. Revenues of $1.08 billion beat the Zacks Consensus Estimate by 2.6%. The Cooper Companies has an estimated long-term earnings growth rate of 8.3%. COO’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 5.80%. Cardinal Health reported a third-quarter fiscal 2026 adjusted EPS of $3.17, which beat the Zacks Consensus Estimate by 13.2%. Revenues of $60.94 billion missed the Zacks Consensus Estimate by 2.3%. Cardinal Health has an estimated long-term earnings growth rate of 17%. CAH’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 10.27%. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report DENTSPLY SIRONA Inc. (XRAY) : Free Stock Analysis Report Cardinal Health, Inc. (CAH) : Free Stock Analysis Report The Cooper Companies, Inc. (COO) : Free Stock Analysis Report West Pharmaceutical Services, Inc. (WST) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Dentsply International (XRAY) came out with quarterly earnings of $0.52 per share, beating the Zacks Consensus Estimate of $0.36 per share. This compares to earnings of $0.52 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +44.44%. A quarter ago, it was expected that this dental products manufacturer would post earnings of $0.28 per share when it actually produced earnings of $0.27, delivering a surprise of -3.57%. Over the last four quarters, the company has surpassed consensus EPS estimates just once. Dentsply, which belongs to the Zacks Medical - Dental Supplies industry, posted revenues of $898 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 1.60%. This compares to year-ago revenues of $936 million. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Dentsply shares have added about 20.6% since the beginning of the year versus the S&P 500's gain of 12.8%. While Dentsply has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Dentsply was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.37 on $866.96 million in revenues for the coming quarter and $1.42 on $3.58 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Medical - Dental Supplies is currently in the top 15% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Another stock from the same industry, Pro-Dex, Inc. (PDEX), has yet to report results for the quarter ended June 2026. This company is expected to post quarterly earnings of $0.67 per share in its upcoming report, which represents a year-over-year change of +86.1%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Pro-Dex, Inc.'s revenues are expected to be $19.2 million, up 9.8% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report DENTSPLY SIRONA Inc. (XRAY) : Free Stock Analysis Report Pro-Dex, Inc. (PDEX) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

News Summary Reported net sales of $898 million Delivered GAAP gross margin of 54.9%, GAAP diluted earnings per share of $0.18 Achieved adjusted gross margin of 56.4%, adjusted EBITDA margin of 21.3%, adjusted EPS of $0.52 Announced expanded partnership with Medline Sinclair, broadening access to Connected Technology Solutions portfolio across Canada Repurchased 1.3 million shares of common stock during the quarter Reiterates 2026 outlook for net sales and adjusted EPS CHARLOTTE, N.C., Aug. 06, 2026 (GLOBE NEWSWIRE) -- DENTSPLY SIRONA Inc. ("Dentsply Sirona" or the "Company") (Nasdaq: XRAY) today announced its financial results for the second quarter of 2026. "2026 continues to be a year of decisive action as we execute our Return-to-Growth Action Plan," said Dan Scavilla, President and Chief Executive Officer of Dentsply Sirona. "We are making meaningful progress in our highest priority areas, including strengthening and expanding our distributor relationships, realigning our sales teams, and reinvesting in the business. Our second quarter results were in line with expectations and we continue to strengthen the financial foundation of the company. As our work gains traction, we remain focused on executing our strategy with discipline to drive sustained, profitable growth." Q2 2026 Summary Results (Reported) Q2 2026 Summary Results (Non-GAAP) NM - not meaningfulPercentages are based on actual values and may not reconcile due to rounding.[1] Weighted-average shares outstanding used to calculate diluted loss per share for the second quarter of 2025 excludes potential dilutive common shares. Q2 2026 Results by Region and Segment (Reported and Non-GAAP)(in millions, except percentages) Cash Flow and Liquidity Operating cash flow in the second quarter of 2026 was $99 million, compared to $48 million in the second quarter of 2025, primarily due to the receipt of approximately $44 million in tariff refunds and improved management of inventory and accounts payable. Free cash flow, a Non-GAAP measure, in the second quarter of 2026 was $55 million compared to $16 million in the second quarter of 2025. The Company repurchased 1.3 million shares of its common stock for a total of approximately $12 million in the second quarter of 2026. The Company had $239 million of cash and cash equivalents as of June 30, 2026. 2026 Outlook The Company is maintaining its 2026 outlook for net sales in the range of $3.5 billion to $3.6 billion and adjusted EPS in the range of $1.40 to $1.50. The benefits of refunds for tariffs are not included in the outlook for 2026 adjusted EPS. We are unable to present a quantitative reconciliation of our expected earnings per diluted share to expected adjusted earnings per diluted share as we are unable to predict with reasonable certainty and without unreasonable effort, items which may include, but are not limited to, restructuring charges, transformation-related costs, impairment charges, certain tax adjustments, and other significant items. The financial impact of these items is uncertain and is dependent on various factors, including timing, and could be material to our Consolidated Statements of Operations. Conference Call/Webcast InformationDentsply Sirona's management team will host an investor conference call and live webcast on August 6, 2026, at 4:30 p.m. ET. The live webcast and a presentation related to the call will be available on the Investors section of the Company's website at https://investor.dentsplysirona.com. For those planning to participate on the call, please register at https://register-conf.media-server.com/register/BIa20adbc738174810a6f4b3ce44466cfa. A webcast replay of the conference call will be available on the Investors section of the Company's website following the call. About Dentsply SironaDentsply Sirona is the world's largest diversified manufacturer of professional dental products and technologies, with over a century of innovation and service to the dental industry and patients worldwide. Dentsply Sirona develops, manufactures, and markets a comprehensive solutions offering, including dental and oral health products as well as other consumable medical devices under a strong portfolio of world-class brands. Dentsply Sirona's innovative products provide high-quality, effective and connected solutions to advance patient care and deliver better and safer dental care. Dentsply Sirona is headquartered in Charlotte, North Carolina. The Company's shares are listed in the United States on Nasdaq under the symbol XRAY. Visit www.dentsplysirona.com for more information about Dentsply Sirona and its products. Contact Information:Investors:Wade MoodySenior Manager, Investor [email protected] Press:Marion Par-WeixlbergerVice President, Public Relations, Corporate Communications & [email protected] Forward-Looking Statements and Associated Risks All statements in this Press Release that do not directly and exclusively relate to historical facts constitute "forward-looking statements." Such statements are subject to numerous assumptions, risks, uncertainties and other factors that could cause actual results to differ materially from those described in such statements, many of which are outside of our control, including those described in Part I, Item 1A, "Risk Factors" of the Company's most recent Annual Report on Form 10-K, Part II, Item 1A, "Risk Factors" of the Company's Quarterly Reports on Form 10-Q for any subsequent fiscal quarters, and any updating information or other factors which may be described in the Company's other filings with the Securities and Exchange Commission (the "SEC"). No assurance can be given that any expectation, belief, goal or plan set forth in any forward-looking statement can or will be achieved, and readers are cautioned not to place undue reliance on such statements which speak only as of the date they are made. We do not undertake any obligation to update or release any revisions to any forward-looking statement or to report any events or circumstances after the date of this Press Release or to reflect the occurrence of unanticipated events. Investors should understand it is not possible to predict or identify all such factors or risks. As such, you should not consider the risks identified in the Company's SEC filings to be a complete discussion of all potential risks or uncertainties associated with an investment in the Company. DENTSPLY SIRONA INC. AND SUBSIDIARIESCONSOLIDATED STATEMENTS OF OPERATIONS(in millions, except per share amounts)(unaudited) DENTSPLY SIRONA INC. AND SUBSIDIARIESCONDENSED CONSOLIDATED BALANCE SHEETS(in millions, except share and per share amounts)(unaudited) DENTSPLY SIRONA INC. AND SUBSIDIARIESCONSOLIDATED STATEMENTS OF CASH FLOWS(in millions)(unaudited) Supplemental Information – Reconciliation of GAAP to Non-GAAP Financial Measures We supplement the reporting of our financial information determined under accounting principles generally accepted in the United States ("GAAP") with certain non-GAAP financial measures, including percentage sales growth in constant currency; adjusted gross profit; adjusted gross profit as a percent of net sales ("Adjusted Gross Margin"); adjusted operating income; adjusted operating income as a percent of net sales ("Adjusted Operating Margin"); adjusted earnings before interest expense, income taxes, depreciation and amortization ("Adjusted EBITDA"); Adjusted EBITDA as a percent of net sales ("Adjusted EBITDA Margin"); adjusted net income (loss); adjusted earnings (loss) per diluted share ("Adjusted EPS"); and Free Cash Flow. These non-GAAP financial measures are used by the Company to measure its performance and management believes these non-GAAP financial measures provide meaningful information to assist investors and shareholders in understanding our financial results and assessing our prospects for future performance. Management believes percentage sales growth in constant currency and the other adjusted measures described above are important indicators of our operations because they exclude items that may not be indicative of or are unrelated to our core operating results and provide a baseline for analyzing trends in our underlying businesses. Management uses these non-GAAP financial measures for reviewing the operating results of reportable business segments and analyzing potential future business trends in connection with our budget process and bases certain management incentive compensation on these non-GAAP financial measures. The Company has defined the non-GAAP measures used by management as follows: Constant Currency: reported net sales adjusted for the impact of foreign currency changes, which is calculated by translating current period net sales using the comparable period's foreign currency exchange rates. Adjusted Operating Income and Margin: Adjusted operating income is computed by excluding the following items from operating income (loss) as reported in accordance with US GAAP. Adjusted operating margin is calculated by dividing adjusted operating income by net sales. Adjusted Gross Profit and Margin: gross profit excluding the impact of any of the above adjustments that affect either net sales or cost of sales.  Adjusted gross margin is calculated by dividing adjusted gross profit by net sales. Adjusted Net Income (Loss): net income (loss) as reported in accordance with US GAAP, adjusted to exclude the items identified above and the related income tax impacts of those items, as well as the tax effects of certain significant and discrete tax adjustments, including benefits and provisions related to changes in realization of deferred tax assets and tax credit carryforwards, as well as other events that affect comparability and are not core to our underlying operational performance. Adjusted EBITDA and Margin: in addition to the adjustments described above in arriving at adjusted net income, adjusted EBITDA is computed by further excluding any remaining interest expense, net, income tax expense, depreciation and amortization.  Adjusted EBITDA margin is calculated by dividing adjusted EBITDA by net sales. Adjusted Earnings (Loss) Per Diluted Share: computed by dividing adjusted earnings (loss) attributable to Dentsply Sirona stockholders by the diluted weighted average number of common shares outstanding. Free Cash Flow: net cash provided by operating activities minus capital expenditures during the same period. Because non-GAAP financial measures are not standardized, it may not be possible to compare these financial measures with other companies' non-GAAP financial measures having the same or similar names. These adjusted financial measures should not be considered in isolation or as a substitute for the most directly comparable GAAP financial measures. These non-GAAP financial measures are an additional way of viewing aspects of our operations that, when viewed with our GAAP results and the reconciliations to corresponding GAAP financial measures below, provide a more complete understanding of our business. We strongly encourage investors and shareholders to review our financial statements and publicly-filed reports in their entirety and not to rely on any single financial measure. The following reconciles the non-GAAP financial measures discussed above with the most directly comparable GAAP financial measures. The weighted-average diluted shares outstanding used in the calculation of adjusted net earnings per diluted share are the same as those used in the calculation of reported net earnings per diluted share for the respective period. The weighted-average diluted shares outstanding used in the calculation of adjusted net loss per diluted share excludes potential dilutive common shares. DENTSPLY SIRONA INC. AND SUBSIDIARIES(in millions, except per share amounts and percentages)(unaudited) Beginning in fiscal year 2026, the Company updated its definition of Adjusted Net Income (Loss), a non-GAAP financial measure, to include adjustments for certain significant and discrete tax items, including benefits and provisions related to changes in the realization of deferred tax assets and tax credit carryforwards, as well as other tax‑related items that affect comparability and are not considered part of the Company's core operational performance. Prior-period information below has been updated to conform to current period presentation. A reconciliation of selected items as reported in the Condensed Consolidated Statements of Operations to adjusted Non-GAAP financial statements items are as follows: Percentages are based on actual values and may not reconcile due to rounding. Percentages are based on actual values and may not reconcile due to rounding. DENTSPLY SIRONA INC. AND SUBSIDIARIES(in millions, except per share amounts and percentages)(unaudited) Reconciliations of reported net income (loss) attributable to Dentsply Sirona to adjusted EBITDA and margin are as follows: (1) Excludes those depreciation-related amounts which were included as part of the business combination-related adjustments and Restructuring-related charges and other costs.Percentages are based on actual values and may not reconcile due to rounding. A reconciliation of free cash flow for the three months ended June 30, 2026 and 2025 is as follows: