Dentsply Sirona Reports $880M Q1 Sales, 48.5% Gross Margin, Launches AI Diagnostic Tool
XRAY•Dentsply Sirona reported Q1 net sales of $880 million, GAAP gross margin of 48.5%, GAAP net loss per share of $0.05 and adjusted EPS of $0.27. The company launched FDA-cleared AI diagnostic aid Smart View-Detect and confirmed guidance for $3.5B–$3.6B net sales and $1.40–$1.50 EPS.
1. Q1 Financial Results
Dentsply Sirona reported net sales of $880 million in Q1, up 0.1% year-over-year, with GAAP gross margin of 48.5% versus 53.0% last year. The company incurred a GAAP net loss of $10 million, or $0.05 per share, and generated $0.27 adjusted EPS, down from $0.44 in Q1 2025.
2. Product Launches and Distribution Agreements
The company launched Smart View-Detect, the first FDA-cleared AI diagnostic aid for identifying periapical radiolucencies in CBCT scans, now CE-marked for Europe. It also installed its first CEREC system under a new Benco Dental distribution agreement, marking an early milestone in its connected solutions expansion.
3. Cash Flow and Liquidity
Operating cash flow reached $40 million, up from $7 million a year ago, driven by improved receivables collections. Free cash flow remained negative $12 million, and the company held $190 million in cash and equivalents while advancing debt reduction and working capital improvements.
4. 2026 Outlook
Management reiterated full-year guidance for $3.5–$3.6 billion in net sales and $1.40–$1.50 in adjusted EPS, reflecting confidence in its Return-to-Growth Action Plan despite external pressures. The company is prioritizing a new capital allocation strategy focused on reducing debt and managing liquidity.
