Henry Schein (HSIC) 2025 Conference May 14, 2025 01:00 PM ET Speaker0 Welcome to day two of the BofA Healthcare Conference. My name is Alan Lutz. I run Healthcare Tech and Distribution here at BofA. We are very excited to welcome Henry Schein. We have CFO Ron South. Ron, thank you for joining us. Speaker1 Thank you, Al. Speaker0 I wanted to start talking about recent dental trends that you're seeing in the market. So if we go back to the call from, I believe, last week, talked about January, some weather re ...

Core Viewpoint - The Zacks Medical - Dental Supplies industry is experiencing strong demand driven by patient preferences for convenient care and policy initiatives to enhance access to dental health services, with a positive outlook bolstered by a recent U.S.-China trade deal [1][2]. Industry Overview - The global dental industry encompasses companies that design, develop, manufacture, and market dental products, including consumables and laboratory products, with a recovery in sales following pandemic disruptions [3]. - The dental care sector is guided by recommendations from the American Dental Association and the CDC, with patient volumes increasing steadily despite COVID-19 uncertainties [4]. Major Trends - The aging population in the U.S. is a significant driver for the dental equipment market, with 55.8 million people aged 65 and above in 2020, leading to increased dental issues [5]. - There is a growing demand for aesthetic and cosmetic dentistry, influenced by media and current trends, which is contributing to the growth of the dental equipment market [6]. - Technological advancements, including digital imaging and AI integration, are enhancing the accuracy and effectiveness of dental treatments [7][8]. - Emerging markets, particularly in Asia-Pacific and the GCC region, are driving growth due to rising disposable incomes and increased awareness of oral health [8]. U.S.-China Trade Deal - The recent trade deal includes a temporary 90-day reduction in tariffs, significantly easing trade tensions and lowering import costs for medical supplies, which is expected to benefit the U.S. medical supplies industry [9]. Industry Performance - The Zacks Medical Dental Supplies industry has outperformed its sector but underperformed the S&P 500 over the past year, with a collective decline of 4.1% compared to a 16.3% decline in the Zacks Medical sector [12]. Current Valuation - The industry is currently trading at a forward P/E of 16.2X, equal to the sector's valuation but lower than the S&P 500's 20.7X, with historical trading ranges between 15.7X and 21X over the past five years [15]. Company Highlights - **Cardinal Health (CAH)**: The company is witnessing strong demand for its services and is expected to benefit from the trade deal, which reduces tariff-related costs. CAH anticipates adjusted EPS in the range of $8.05-$8.15 for fiscal 2025, with double-digit growth expected in fiscal 2026 [18][20][21]. - **Labcorp (LH)**: The company is focused on becoming a preferred development lab, with expected revenue growth of 6.7-8% for 2025. The reduced tariffs will aid in operational efficiency and cost management [24][27][28]. - **Align Technology (ALGN)**: The company is positioned to drive digital innovation in dentistry and expects revenue growth of 3.9% for 2025, benefiting from reduced tariffs on imported components [31][35][36].

A Global Dental Leader May 2025 1 Forward-Looking Statements and Non-GAAP Measures Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995 This presentation contains forward-looking statements within the meaning of federal securities laws, including, among others, any statements about our expectations, plans, intentions, strategies, or prospects. We generally use the words "may," "will," "expects," "believes," "anticipates," "plans," "estimates," "projects," "assumes," "guides," "ta ...

Company Performance - McKesson reported quarterly earnings of $10.12 per share, exceeding the Zacks Consensus Estimate of $9.81 per share, and up from $6.18 per share a year ago, representing an earnings surprise of 3.16% [1] - The company posted revenues of $90.82 billion for the quarter ended March 2025, which missed the Zacks Consensus Estimate by 3.08%, compared to $76.36 billion in the same quarter last year [2] - Over the last four quarters, McKesson has surpassed consensus EPS estimates three times and topped consensus revenue estimates only once [2] Stock Performance - McKesson shares have increased approximately 26.8% since the beginning of the year, while the S&P 500 has declined by 4.3% [3] - The current Zacks Rank for McKesson is 3 (Hold), indicating that the shares are expected to perform in line with the market in the near future [6] Future Outlook - The consensus EPS estimate for the upcoming quarter is $8.33 on revenues of $93.61 billion, and for the current fiscal year, it is $36.58 on revenues of $399.57 billion [7] - The outlook for the Medical - Dental Supplies industry, where McKesson operates, is currently in the top 34% of over 250 Zacks industries, suggesting a favorable environment for stock performance [8]

Solventum (SOLV) Q1 2025 Earnings Call May 08, 2025 04:30 PM ET Company Participants Amy Wakeham - Senior Vice President of Investor Relations & External Finance CommunicationsBryan Hanson - CEOWayde McMillan - Chief Financial OfficerPatrick Wood - Managing DirectorDavid Roman - Managing DirectorTravis Steed - Managing Director - Equity Research Conference Call Participants Rick Wise - AnalystJason Bednar - Senior Research AnalystNone - AnalystSteven Valiquette - MD & Senior Equity Research Analyst - Coveri ...

Financial Data and Key Metrics Changes - The company reported first quarter sales of $2.1 billion, reflecting a 4.3% increase on an organic basis and a 2.6% increase on a reported basis [25] - Adjusted earnings per share (EPS) for the quarter was $1.34, exceeding expectations [31] - Gross margins were 55.6% of sales, slightly ahead of expectations but down 260 basis points compared to the prior year [29] Business Segment Data and Key Metrics Changes - The MedSurg segment generated $1.2 billion in sales, an increase of 6% on an organic basis, driven by strong performance in Infection Prevention and Surgical Solutions [27] - The Dental Solutions segment reported $328 million in revenue, a 0.4% increase on an organic basis, benefiting from new product launches despite market challenges [28] - The Health Information Systems (HIS) segment contributed $329 million in revenue, a 3.9% organic growth, supported by strong customer retention [28] - The Purification and Filtration segment delivered $242 million in sales, a 2.2% organic growth, led by bioprocessing filtration [28] Market Data and Key Metrics Changes - The company experienced a favorable foreign exchange impact, with currency now estimated to have a neutral effect on sales growth for the year, compared to a previous estimate of a 150 basis point headwind [34] - The overall market volumes remain challenged, particularly in the Dental segment, but the company is seeing resilience in its core restorative areas [28][84] Company Strategy and Development Direction - The company is committed to investing in key areas to support sustainable growth and margin improvement, focusing on five growth driver areas [12][21] - The ongoing separation process is on track, with over 30% of transition service agreements exited and significant progress in ERP deployments planned for the year [24] - The company anticipates completing the divestiture of the Purification and Filtration business by the end of 2025, which will allow for tuck-in M&A opportunities [19][21] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the headwinds from tariffs but expressed confidence in managing these challenges through mitigation strategies and strong business momentum [8][34] - The company raised its full-year organic sales growth guidance to a range of 1.5% to 2.5%, reflecting positive volume-driven performance across business segments [32] - Management emphasized the importance of delivering for customers and maintaining focus on long-term value creation despite short-term challenges [11][38] Other Important Information - The company has made cumulative repayments of $400 million on its $1.5 billion prepayable term loans, ending the quarter with $534 million in cash and equivalents [31] - Free cash flow for Q1 declined by $80 million, consistent with expectations due to planned payments and one-time separation costs [31] Q&A Session Summary Question: Confidence in underlying growth rate - Management expressed confidence in the 2.5% underlying growth rate, attributing it to strong commercial execution and analytics from distributor partners [40][42] Question: Quarterly cadence and impact of tariffs - Management clarified that tariffs primarily impact the bottom line, with expectations for most order timing impacts to be realized in Q3 [48][49] Question: Top line drivers in MedSurg - Management highlighted improvements in commercial execution and new product launches as key drivers for growth in the MedSurg segment [60][62] Question: Tariff impact and mitigation efforts - Management discussed ongoing mitigation strategies, including optimizing inventory and exploring selective pricing strategies to offset tariff impacts [68][72] Question: Performance in Dental segment relative to market - Management indicated that the Dental segment performed well relative to the market, supported by new product innovations [84]

ZimVie (ZIMV) Q1 2025 Earnings Call May 08, 2025 04:30 PM ET Speaker0 Good afternoon, and welcome to ZIMVY's First Quarter twenty twenty five Earnings Conference Call. Currently, all participants are in a listen only mode. We will be facilitating a question and answer session towards the end of today's call. As a reminder, this call is being recorded for replay purposes. I would now like to turn the call over to Webb Campbell from Gilmartin Group for today's introductory disclosures. Speaker1 Thank you all ...

Net Sales from Continuing Operations of $112.0 millionNet Loss from Continuing Operations of $(2.6) million; Net Loss margin of (2.3)% Adjusted EBITDA[1] from Continuing Operations of $17.6 million; Adjusted EBITDA[1] margin of 15.7%GAAP diluted EPS from Continuing Operations of $(0.09) and adjusted diluted EPS[1] from Continuing Operations of $0.27 PALM BEACH GARDENS, Fla., May 08, 2025 (GLOBE NEWSWIRE) -- ZimVie Inc. (Nasdaq: ZIMV), a global life sciences leader in the dental market, today reported financ ...

Dentsply Sirona Inc. XRAY stock surged about 15% Thursday, and was on track for the biggest single-day advance since 2019 after posting earnings that topped estimates.The company reported first-quarter 2025 adjusted earnings per share of 43 cents, beating the street view of 30 cents.Dentsply Sirona reported sales of $879 million on Thursday, beating the consensus of $854.75 million.First quarter net sales decreased 7.7% (organic sales decreased 4.4%) compared to the first quarter of 2024. Foreign currency c ...

Dentsply International (XRAY) reported $879 million in revenue for the quarter ended March 2025, representing a year-over-year decline of 7.8%. EPS of $0.43 for the same period compares to $0.42 a year ago.The reported revenue represents a surprise of +3.22% over the Zacks Consensus Estimate of $851.55 million. With the consensus EPS estimate being $0.29, the EPS surprise was +48.28%.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to ...