Abstract
Dentsply Sirona will report fourth-quarter and full-year 2025 results on February 26, 2026 Post Market; this preview outlines market expectations for revenue, EPS, margin dynamics, and segment performance, and frames key debates for the quarter.Market Forecast
Consensus for Dentsply Sirona’s current quarter points to revenue of 927.08 million, up 0.71% year over year, with forecast adjusted EPS of $0.28, down 35.13% year over year; estimated EBIT is 101.61 million, down 16.64% year over year. The company’s revenue base is centered on Basic Dental Solutions at 357.00 million last quarter, with Connected Technology Solutions at 259.00 million seen as the near-term lever for mix and margin improvements. Connected Technology Solutions, at 259.00 million last quarter, stands out as the most promising segment for incremental upside from equipment and software attachment.Last Quarter Review
In the latest reported quarter, Dentsply Sirona delivered revenue of 904.00 million (down 4.94% year over year), a gross profit margin of 48.78%, a GAAP net loss attributable to the parent company of 427.00 million, a net profit margin of -47.23%, and adjusted EPS of $0.37 (down 26.00% year over year). The quarter-on-quarter change in net profit was -848.89%, reflecting the swing to a sizable GAAP loss and highlighting the sensitivity of the income statement to one-off and execution factors. Management rolled out a “return to growth” program targeting enhanced customer experience, optimization of the U.S. business, employee enablement, and operational efficiency to stabilize revenues and margins. The revenue mix remained broad: Basic Dental Solutions generated 357.00 million, Connected Technology Solutions 259.00 million, Orthodontics and Implants Solutions 205.00 million, and Wellspect Healthcare 83.00 million.Current Quarter Outlook (with major analytical insights)
Core Revenue Drivers in Basic Dental Solutions
Basic Dental Solutions is the largest contributor to Dentsply Sirona’s revenue base at 357.00 million last quarter, and its performance in the current quarter will influence the headline revenue trajectory. The key drivers here are volume normalization in recurring consumables, price discipline, and the cadence of product refreshes that help maintain reorder rates across clinics. After the prior quarter’s overall revenue decline of 4.94% year over year, evidence of stabilization in consumable runs could support the forecast increase of 0.71% year over year in total revenue. From a margin perspective, Basic Dental Solutions typically carries a robust contribution margin; incremental efficiencies from supply-chain execution and manufacturing throughput can lift gross margin above last quarter’s 48.78% baseline if volumes recover. The company’s “return to growth” focus on customer experience and U.S. market optimization matters in this segment because service levels, distribution reliability, and practitioner engagement are key to sustaining consumable pull-through. Watch for commentary indicating better fill rates and shorter lead times, as this would suggest a healthier consumables order book and more resilient quarterly revenue.Digital and Connected Technology: Most Promising Near-Term Upside
Connected Technology Solutions, at 259.00 million last quarter, is positioned as the most promising lever for the current quarter because it combines equipment sales with software and service attachment, allowing for mix-driven margin improvement. The near-term thesis rests on upgrading cycles for imaging, CAD/CAM, and chair-side solutions, which can trigger high-value placements and follow-on software subscriptions; stronger attachment rates tend to lift gross margin and EBIT quality even if unit volumes are steady. The market expects EBIT of 101.61 million (down 16.64% year over year), but connected technologies offer an offset if the company executes on backlog conversion, conversion of trial users into paying subscribers, and tight discount management on equipment bundles. This segment’s outlook is also sensitive to operational execution: the “return to growth” program’s emphasis on operational efficiency is relevant for installation timelines, training, and post-sale service capacity, all of which affect recognition, customer satisfaction, and renewal propensity. If management reports improving conversion in software attach, more disciplined discounting, and steady upgrades in key geographies, the revenue estimate of 927.08 million could prove conservative, and the gross margin could trend up from last quarter’s mark as mix shifts toward higher-value digital solutions.Key Stock Price Catalysts: Margin Trajectory, EPS Quality, and Strategy Execution
Investors will focus on margin trajectory and EPS quality this quarter, given the outsized GAAP loss of 427.00 million and the net margin of -47.23% last quarter. The forecast adjusted EPS of $0.28 implies a year-over-year decline of 35.13%, which places scrutiny on both cost initiatives and segment mix improvements for earnings support. Any signs of normalized operating expenses, better manufacturing yields, and lower freight or logistics friction can underpin sequential improvements without relying on aggressive pricing. The most visible catalysts include: mix shift toward Connected Technology Solutions; steady consumables replenishment in Basic Dental Solutions; and higher utilization in Orthodontics and Implants Solutions where case starts govern product pull-through. Strategically, management’s “return to growth” elements—customer experience upgrades, U.S. commercial optimization, employee enablement, and efficiency lifts—should tie to concrete KPIs such as order-to-delivery cycle times, service response metrics, and commercial productivity. Clear progress here can elevate investor confidence in achieving the modest 0.71% revenue growth target and in protecting gross margin above last quarter’s 48.78% baseline. The lower EBIT expectation (101.61 million) emphasizes that cost control and revenue mix will be decisive for EPS quality; updates indicating lower restructuring intensity or smaller one-time impacts would help reconcile GAAP and adjusted results and reduce volatility in reported earnings.Orthodontics, Implants, and Wellspect: Secondary Contributors with Execution Levers
Orthodontics and Implants Solutions at 205.00 million and Wellspect Healthcare at 83.00 million last quarter round out the portfolio with differentiated demand drivers. The Orthodontics and Implants line is tied to procedural volumes and practice-level capacity, suggesting potential for steady normalization if scheduling patterns improve and case starts remain resilient; this can lift unit throughput across implants and clear aligners, contributing to steadier quarterly revenue. Wellspect Healthcare, while smaller at 83.00 million, offers diversification with demand characteristics distinct from dental equipment and consumables; consistent operational execution and reliable supply can make Wellspect a stabilizer in quarters where equipment bookings fluctuate. The broader implication for the current quarter is that robust execution across these lines—on pricing discipline, supply continuity, and targeted commercial initiatives—can reduce revenue variance and support EBIT despite the down 16.64% year-over-year forecast. If management outlines measurable efficiencies and better coordination across these businesses in the conference call, it could provide added confidence in the near-term earnings trajectory and reinforce the path toward margin restoration.Revenue Mix, Cash Generation, and Guidance Watchpoints
With revenue estimated at 927.08 million and adjusted EPS at $0.28, the guidance update will be closely read for signals on mix and cash generation. Mix matters because higher-value placements in Connected Technology Solutions and steady consumables reorders in Basic Dental Solutions can lift gross margin above last quarter’s 48.78% without outsized price actions. Cash generation—driven by working capital discipline, inventory normalization, and prudent capital expenditures—will also be a key narrative point following the prior quarter’s GAAP loss; evidence of improved cash conversion can strengthen investor confidence in the sustainability of EPS even if topline growth is only 0.71% year over year. The intersection of operational efficiency and commercial optimization—two pillars in the “return to growth” plan—will determine whether Dentsply Sirona can offset the forecast EBIT pressure and demonstrate momentum into the next fiscal period. Investors should expect detailed commentary on backlog, attach rates, and expense normalization because these variables explain how the company navigates the anticipated down 16.64% year-over-year EBIT and still supports an earnings profile consistent with internal objectives.What to Listen For on February 26, 2026
On the call, the most informative updates will include: clarity on one-time items and how they affected the 427.00 million GAAP net loss; specifics on cost actions and expected timeline for OPEX normalization; and tangible KPIs tied to the “return to growth” program, particularly in U.S. market optimization. Segment detail will be essential—equipment bookings, software attach rates, consumable reorder trends, and implant case starts—because these data points translate directly into the revenue estimate of 927.08 million and margin expectations. A thoughtful reconciliation between GAAP and adjusted metrics will help investors gauge EPS quality and minimize uncertainty from non-recurring factors. Finally, any commentary on inventory levels, lead times, and service capability enhancements will be important signals for sustaining revenue in Basic Dental Solutions and enabling higher-margin outcomes in Connected Technology Solutions through better installation and post-sale support.Analyst Opinions
Bullish opinions outweigh bearish ones among directional calls over the past six months, with 100% bullish versus 0% bearish, supported primarily by Buy ratings from notable institutions. UBS has maintained a Buy rating with a price target of $16, reflecting confidence that incremental operational improvements and a more disciplined commercial approach can sustain the projected 0.71% revenue growth and help bridge the gap between GAAP and adjusted earnings. William Blair has reaffirmed a Buy rating, signaling belief in the company’s ability to execute on its “return to growth” priorities—improved customer experience, U.S. optimization, employee enablement, and operational efficiency—which together can stabilize consumables demand and improve the mix by lifting digital and software contribution. From a near-term perspective, these bullish views hinge on three pillars: evidence of demand normalization in consumables within Basic Dental Solutions; a visible uptick in bookings and software attachment in Connected Technology Solutions; and credible cost control resulting in a cleaner translation of revenue into EBIT and adjusted EPS, despite the forecast EBIT decline of 16.64% year over year and EPS decline of 35.13% year over year.Institutional confidence also reflects the segment breakdown of last quarter’s 904.00 million revenue—357.00 million from Basic Dental Solutions, 259.00 million from Connected Technology Solutions, 205.00 million from Orthodontics and Implants Solutions, and 83.00 million from Wellspect Healthcare—providing a diversified foundation for incremental recovery. With the GAAP net loss of 427.00 million and net margin of -47.23% last quarter serving as a low base, a modest revenue uptick in the current quarter and better operational execution could produce a visible improvement in margin trajectory and adjusted EPS quality even if absolute EPS is $0.28. The bullish camp will be validated if management demonstrates concrete progress on order fulfillment, reduced installation cycles, and tighter discount controls on equipment bundles, which can translate into more resilient gross margin against the prior 48.78% level and provide momentum into subsequent quarters. In sum, the majority view expects Dentsply Sirona’s initiatives and execution to underpin stabilization and gradual improvement, aligning with consensus revenue of 927.08 million and enhancing investor confidence as the company navigates through the near-term earnings challenges.
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