XRAY Stock Declines on Q3 Earnings Miss & Lower 2025 EPS View

Core Insights - DENTSPLY SIRONA Inc. reported a significant decline in adjusted earnings per share (EPS) for Q3 2025, falling 26.5% year over year to 37 cents, missing the Zacks Consensus Estimate by 17.8% [1][7] - The company's revenues for the quarter were $904 million, down 4.9% year over year, but slightly above the Zacks Consensus Estimate by 0.3% [2][7] Revenue Performance - Revenues from the Connected Technology Solutions segment were $259 million, down 3.9% year over year [4] - Essential Dental Solutions segment revenues totaled $357 million, down 3.4% year over year [5] - Orthodontic and Implant Solutions segment revenues were $205 million, down 15% year over year [8] - Wellspect Healthcare segment revenues increased to $83 million, up 15.6% year over year [8] - U.S. revenues decreased by 22.2% year over year to $291 million, while European revenues increased by 9.9% to $382 million [9][10] Margin Analysis - Adjusted gross profit declined 9.9% year over year to $475 million, with an adjusted gross margin contraction of 270 basis points to 52.6% [11] - Adjusted operating profit fell 12.5% year over year to $119 million, with an adjusted operating margin of 13.2% [12] Financial Update - The company ended Q3 2025 with cash and cash equivalents of $363 million and total debt of $2.39 billion [13] - Cumulative net cash provided by operating activities was $134 million, down from $374 million in the prior-year period [13] Guidance - DENTSPLY SIRONA reiterated its 2025 sales outlook, estimating reported sales between $3.60 billion and $3.70 billion [15] - The adjusted EPS outlook for 2025 was lowered to approximately $1.60 from a previous range of $1.80-$2.00 [16]