CHARLOTTE, N.C., Nov. 05, 2020 (GLOBE NEWSWIRE) -- DENTSPLY SIRONA Inc. (Nasdaq: XRAY), The Dental Solutions Company, today announced its financial results for the three months ended September 30, 2020.
Don Casey, CEO commented: “Our third quarter results reflect a recovery in global dental markets, the actions we took to address pandemic related challenges, and the ongoing structural changes designed to improve our performance over the long-term. While we saw an encouraging improvement in business trends during the quarter, the outlook remains uncertain as a second wave of the pandemic impacts various countries around the world. We remain focused on delivering on our strategic imperatives to drive growth and innovation, while taking appropriate actions to manage our costs in the uncertain environment.”
Segment Results
Technologies & Equipment Segment
Third quarter 2020 sales were $504 million, down 5.7% versus prior year. Currency increased sales by 1.9%, while divestitures and discontinued products positively impacted sales by 0.9%. On an organic basis, net sales declined by 8.5%. Healthcare had positive organic growth, Equipment & Instruments sales were flat, offset by declines in Digital Dentistry.
Consumables Segment
Third quarter 2020 sales were $391 million, down 8.6% as compared to the prior year quarter. Foreign currency favorably impacted sales by 0.6%, while divestitures and discontinued products increased sales growth by 0.1%. On an organic basis, consumables sales declined by 9.3% as compared to prior year. The decline in organic sales was driven by the Rest of World and Europe, partially offset by increased U.S. sales. All product groups declined compared to prior year, with Laboratory sales being the most impacted category.
Cash Flow and Liquidity
Operating cash flow in the third quarter of 2020 was $207 million, as compared to $159 million in the third quarter of 2019. The increase in cash flow was driven by the higher level of earnings and continued effective working capital management. In the third quarter, the Company paid $21 million in dividends, bringing a total of $205 million returned to shareholders in the first nine months of 2020. At September 30, 2020, the Company had $1.3 billion of cash available on its balance sheet.
Fiscal Year 2020 Outlook
As a result of the uncertainty around the duration of the COVID-19 pandemic and its impact on the business, the Company continues to not provide 2020 guidance.
Recent Announcements & Additional Highlights
Introduced Axeos™ 2D and 3D Imaging System
The Axeos imaging system has a large 3D Field of View for ortho, implant, maxillofacial surgery and upper airway analysis. Axeos is equipped with a direct conversion sensor and Dentsply Sirona’s Sidexis 4 imaging software and is compatible with a wide variety of Practice Management Systems and planning software.
Appointed New Board Member
Recently, the Company announced that Clyde R. Hosein had been appointed to its Board of Directors, increasing the size of its Board from eleven to twelve members. Mr. Hosein brings deep experience in the management of high-tech companies and a strong track record of financial and operational execution to the Board.
About Dentsply Sirona
Dentsply Sirona is the world’s largest manufacturer of professional dental products and technologies, with a 133-year history of innovation and service to the dental industry and patients worldwide. Dentsply Sirona develops, manufactures, and markets a comprehensive solutions offering including dental equipment and dental consumable products under a strong portfolio of world class brands. The Company also manufactures and markets healthcare consumable products. As The Dental Solutions Company, Dentsply Sirona’s products provide innovative, high-quality and effective solutions to advance patient care and deliver better, safer and faster dentistry. The Company’s shares of common stock are listed in the United States on Nasdaq under the symbol XRAY. Visit www.dentsplysirona.com for more information about Dentsply Sirona and its products.
