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Mar 31, 2020

Dentsply Sirona Q1 2020 Earnings Report

Dentsply Sirona's financial performance was impacted by the COVID-19 pandemic, resulting in lower sales and profitability.

Key Takeaways

Dentsply Sirona reported a decrease in net sales and a significant operating loss for Q1 2020, primarily due to the impact of the COVID-19 pandemic. While the beginning of the quarter showed solid revenue growth, the pandemic led to reduced demand and a goodwill impairment charge. The company is focusing on cost containment and strategic initiatives to navigate the disruption.

Net sales decreased by 7.6% to $874.3 million, with organic sales declining by 4.3%.

Reported operating loss was $124.8 million, with a negative operating margin of 14.3%.

Non-GAAP EPS was $0.43, compared to a loss of $0.63 on a reported basis.

The company had available liquidity of approximately $1.3 billion.

Total Revenue
$874M
Previous year: $946M
-7.6%
EPS
$0.43
Previous year: $0.49
-12.2%
Gross Profit
$468M
Previous year: $500M
-6.4%
Cash and Equivalents
$236M
Previous year: $225M
+4.7%
Total Assets
$8.06B
Previous year: $8.6B
-6.3%

Dentsply Sirona

Dentsply Sirona

Forward Guidance

Due to the uncertainty surrounding the COVID-19 pandemic and its impact on the business, the Company previously withdrew its 2020 guidance.