DENTSPLY SIRONA (XRAY) Q4 2025 earnings summary

Executive summary

• Q4 2025 net sales rose 6.2% year-over-year to $961 million, with constant currency growth of 2.5%.

• Full-year 2025 net sales declined 3.0% to $3.68 billion, with a 4.3% drop in constant currency, impacted by Byte and distributor order shifts.

• Adjusted EBITDA margin for FY 2025 improved to 18.1%, up 150 bps year-over-year, driven by lower SG&A/OpEx.

• Major organizational changes included a new board committee, three new independent directors, and a restructuring program to streamline operations and fund growth initiatives.

• Announced a 24-month transformation plan anchored in five pillars: customer focus, sustainable growth, performance empowerment, organizational scaling, and financial strength.

Financial highlights

• Q4 2025 adjusted EBITDA was $135 million (+5.3% YoY), margin at 14.1%; adjusted EPS was $0.27 (+4.9% YoY); gross profit pressured by tariffs and mix.

• Q4 2025 reported net loss of ($146) million, mainly due to $144 million in goodwill and intangible impairments.

• FY 2025 adjusted EPS was $1.60, down 4.6% year-over-year, with $0.13 from Byte and a higher tax rate.

• Operating cash flow for FY 2025 was $235 million, free cash flow $104 million, both down significantly from 2024.

• Cash and cash equivalents at year-end 2025 were $326 million.

Outlook and guidance

• FY 2026 net sales expected between $3.5–$3.6 billion, reflecting -3% to -1% operational growth, excluding Byte and dealer inventory model changes.

• Adjusted EPS guidance for 2026 is $1.40–$1.50, reflecting increased investments in innovation, education, and commercial initiatives.

• Sequential sales momentum anticipated in the second half of 2026, with U.S. business targeted to return to growth by Q4.

• Outlook reflects current expectations regarding tariffs and trade policies.