Dentsply Sirona (NASDAQ:XRAY) reported second-quarter earnings on Thursday that beat analyst forecasts, delivering adjusted earnings per share of $0.52, above the consensus estimate of $0.50. The dental equipment maker posted revenue of $936 million, slightly exceeding the projected $933.63 million, even as total sales declined compared to the same period last year.
Shares rose 0.88% in after-hours trading following the announcement.
Net sales fell 4.9% year-over-year, or 6.7% on a constant currency basis. The company noted a 3.2% negative impact from Byte sales. U.S. revenue weakened significantly, dropping 18.3%, while European sales increased 4.3% on a reported basis but were down 0.4% in constant currency terms.
Investors reacted positively to the company’s ability to top expectations amid difficult market conditions.
“I see tremendous opportunity at Dentsply Sirona and I am looking forward to digging in with the team to increase our customer-centric focus and to direct investments in areas that will generate sustainable growth,” said Dan Scavilla, who took over as CEO on August 1, 2025.
The company recorded a GAAP net loss of $0.22 per share, primarily due to non-cash charges related to goodwill and intangible asset impairments totaling $214 million net of tax, or $1.07 per share. These impairments were mainly linked to tariffs and reduced volumes in implants, prosthetics, and equipment.
Despite the revenue pressures, Dentsply Sirona improved its adjusted gross margin to 55.9%, up from 55.3% in the prior year’s quarter. Adjusted EBITDA margin also expanded sharply to 21.1%, compared to 17.5% last year.
“While top-line results were down in the quarter, we were pleased to continue to deliver margin expansion,” said Matt Garth, Chief Financial Officer.
The company reaffirmed its 2025 full-year outlook, forecasting revenue between $3.6 billion and $3.7 billion, representing a 2% to 4% decline on a constant currency basis, with adjusted EPS expected between $1.80 and $2.00.
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