Shares in Dentsply Sirona (NSDQ:XRAY) have risen today after the dental device maker met expectations on Wall Street with its 4th quarter and full fiscal year 2016 earnings results.
The York, Penn.-based company posted profits of $107 million, or 46¢ per share, on sales of $996.5 million for the 3 months ended Dec. 31, for bottom-line growth of 82.6% on sales growth of 48.5% compared with the same period last year.
After adjusting to exclude 1-time items, earnings per share were 67¢, 2¢ ahead of consensus on The Street where analysts were looking for sales of $1.01 billion, which the company just fell short of.
For the full year, Dentsply Sirona posted profits of $429.9 million, or $1.94 per share on sales of $3.7 billion. That equates to bottom-line growth of 71.1% while sales grew 40% compared with 2015.
Adjusted to exclude 1-time items, earnings per share were $2.78, ahead of the consensus on the street. Revenues fell inline as well, with The Street looking for $3.7 billion.
“In 2016 we completed our historic merger to create Dentsply Sirona, The Dental Solutions company. Our integration is on track and our ability to deliver on strategic objectives and capture synergies enabled us to overcome dealer inventory reduction in the fourth quarter related to a change in distribution strategy in North America. We accelerated growth in the fourth quarter, led by Dental and Healthcare Consumables growth of 3.5% and finished at the upper end of our guidance range with adjusted EPS of $2.78. 2017 will be a pivotal year for Dentsply Sirona as we move from integration to transformation. In North America, we are re-defining and broadening our go to market strategy. While the transition will create a headwind in the 1st half of the year, the new strategy will expand our access to the market and accelerate the adoption of our technologies in the second half of the year and beyond. At the International Dental Show, we will showcase over fifty innovations and new products that will shape the industry for years to come. In addition to the continuing integration benefits and the short-term headwind from implementation of our go to market strategy in North America, our guidance for 2017 also reflects the negative impacts of foreign exchange and share count associated with the merger. Based on these factors, we are establishing guidance for 2017 non-GAAP earnings within the range of $2.80 to $2.90 per diluted share, with earnings growth significantly stronger in the back half of the year,” CEO Jeffrey Slovin said in a prepared release.
The company adjusted its guidance for the upcoming fiscal year 2017, expecting to see adjusted earnings per share between $2.80 and $2.90.
Shares in Dentsply have gently risen today, up 2.2% to trade at $62.07 as of 1:20 p.m. EST.