Henry Schein’s dental segment posted mixed results in Q1 2025, with merchandise and specialty categories growing while equipment sales fell.
Henry Schein’s dental business delivered mixed results in the first quarter of 2025, with modest growth in merchandise offset by a decline in equipment sales. Dental merchandise sales rose 0.4% in constant currency compared to the same period last year, and 0.9% when excluding personal protective equipment (PPE) and COVID-19 test kits. On a reported basis, sales declined 2.1%, impacted by unfavorable currency exchange.
“Monthly sales growth accelerated throughout the quarter after a slow start in January primarily as a result of weather-related events in the U.S.,” the company stated.
Global dental equipment sales declined 2.4% in constant currency and 4.5% on a reported basis. The company attributed this to a difficult year-over-year comparison due to the timing of sales deferred from late 2023 into early 2024. Adjusted for this shift, dental equipment sales were approximately flat year over year.
READ MORE: Henry Schein 2024 Financial Results Show Stable Dental Business Performance
Specialty and Technology Segments
Henry Schein’s global specialty products segment, which includes implants and biomaterials, grew 4.3% in constant currency and 2.0% on a reported basis. The company cited continued demand and acquisition-related growth.
Technology and value-added services revenue increased 3.4% in constant currency, driven by cloud-based practice management platforms such as Dentrix Ascend and Dentally, along with growth in revenue cycle management tools. These gains were partially offset by the phase-out of legacy software products.
Outlook and Strategic Priorities
The company reaffirmed its 2025 guidance, projecting non-GAAP diluted EPS of $4.80 to $4.94, total sales growth of 2% to 4%, and mid-single-digit growth in adjusted EBITDA.
“We are advancing our BOLD+1 Strategic Plan, which has been refreshed for 2025 to 2027, with our team focused on growing the distribution business through increasing operational efficiency and enhancing customer experience, growing our dental and medical specialty businesses and corporate brand products, and further developing our digital footprint and digital solutions,” said Stanley M. Bergman, Chairman and CEO.
Henry Schein also noted that it recorded $25 million in restructuring costs during the quarter and expects to reach the high end of its $75 million to $100 million annual savings goal by the end of the year.
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