XRAY - Dentsply Sirona stock dips after revising annual outlook

2023-11-02 14:36:49 ET

Dentsply Sirona ( NASDAQ: XRAY ) shares fell over 7% Thursday after the dental products firm cut its outlook for full year, citing Q3 results and recent developments in the macroeconomic environment.

The revised 2023 outlook includes anticipated organic sales growth of ~1%, with net sales in the range of $3.90B to $3.94B ($3.98B to $4.02B previously) and adjusted EPS of $1.80 to $1.85 ($1.92 to $2.02 previously).

Analysts project an EPS of $1.98 and $4.01B revenue for the year.

Challenging external environment negatively impacted top-line performance in the third quarter, with net sales of $947M remaining flat year-over-year.

Segment Results: Net sales in Connected Technology Solutions and Essential Dental Solutions were down 3.8% and 0.3% respectively. Orthodontic and Implant Solutions and Wellspect Healthcare showed 2.2% and 9.9% sales growth respectively.

A 10% organic sales growth in global aligners business, 20% growth in China, and double-digit growth in U.S. CAD/CAM business were some of the bright spots for the quarter.

The company generated adjusted earnings per diluted share of $0.49, a 20% improvement from prior year quarter. The growth was attributed to cost reductions, which led to adjusted EBITDA margin expansion and a lower tax rate.

More on Dentsply Sirona

• DENTSPLY SIRONA, Inc. (XRAY) Q3 2023 Earnings Call Transcript
• Dentsply Sirona: 8% Return On Capital Deployed, Economic Losses, Reiterate Hold Thesis
• Dentsply Sirona Non-GAAP EPS of $0.49 beats by $0.01, revenue of $947M misses by $28.2M
• Dentsply Sirona Q3 2023 Earnings Preview
• Seeking Alpha’s Quant Rating on Dentsply Sirona

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