DENTSPLY SIRONA (XRAY) Morgan Stanley 22nd Annual Global Healthcare Conference summary

Product innovation and launches

• Primescan 2, a cloud-native, wireless intraoral scanner, launched globally, offering hardware independence, portability, and enhanced patient engagement in digital workflows.

• Positioned in the mid-tier price segment, Primescan 2 complements the existing scanner portfolio and is expected to drive further market penetration.

• The device integrates with DS Core and supports workflows from basic digital to advanced CEREC, enabling customer scalability.

• X-Smart Pro+ was also highlighted as a recent addition to the endodontic portfolio, with strong customer feedback.

• Five 510(k) clearances achieved in the US this year, reflecting a robust innovation pipeline.

Strategic focus and operational improvements

• Emphasis on simplifying systems and processes to unlock talent and improve execution.

• Integration of Dentsply and Sirona is ongoing, with ERP consolidation underway; first UK go-live in August, US to follow by year-end.

• $19 million in R&D reallocated to key areas like ortho, DS Core, and digital, supporting innovation and growth.

• Network optimization and SKU rationalization are progressing, with site and distribution center closures contributing to cost savings.

• Targeting $80–$100 million in savings through transformation, with a portion reinvested in growth and innovation initiatives.

Financial targets and guidance

• Long-term EPS target of $3 by 2026, with two-thirds of the bridge to target driven by internal levers such as SKU reduction and network optimization.

• 2024 guidance assumes organic growth of negative one to flat, with Primescan 2 factored in and FX and regulatory headwinds noted.

• Adjusted EBITDA margin for 2024 expected to exceed 18%, with stronger performance anticipated in the second half, especially in implants.