Dentsply Sirona Pricing Spineometer: 3 of 5 Vertebrae

Dentsply Sirona, a manufacturer of professional dental products and technologies, had a challenging FY 2025. Revenue fell 3% to $3.7 billion, and operating profits excluding goodwill restructuring costs fell 180% to negative $150 million compared to last year.

A review of Dentsply Sirona’s 26 February 2026 earnings call and associated annual report provided insight regarding the importance of pricing on performance.

FACTS FROM EARNINGS CALL AND ANNUAL REPORT

Key members of the executive team at Dentsply Sirona are relatively newly appointed. Daniel Scavilla, CEO, joined in August of 2025. Aldo Denti, CCO, joined in October 2025. Both came from Johnson & Johnson, where they would have been engaged with a Vice President of Pricing. The current CFO, John Fortson, joined in July 2026. Aldo

Daniel T. Scavilla demonstrated a clear agenda for addressing the performance at Dentsply Sirona, stating, “We will strengthen execution and deliver sustained profitable growth. This is not a short-term reset. It is a focused transformation built on going deeper, moving faster, and being bolder. The plan is anchored in five pillars. First, customer-centric mindset: placing the customer at the center of every decision to improve experience, service, and loyalty. Second, reigniting sustainable growth: sharpening our portfolio focus and accelerating innovation in the markets where we can win. Third, empowering performance: driving accountability, productivity, and commercial excellence across the organization. Fourth, scaling the organization: simplifying how we operate to increase speed and efficiency. Fifth, financial strength: strengthening margins, optimizing capital allocation, and enhancing cash generation to support shareholder returns.

His inclusion of commercial excellence, accountability, and strengthening margins fit well with the Value-Based Pricing mindset of leading CEOs, in which executives demand the company manage prices to capture its fair share of the value delivered to customers, with discipline and predictability, and aligned with market conditions.

Dentsply Sirona operates in four segments. Connected Technology Solutions (28.2% of revenue) delivers dental technology and equipment products including those in the computer-aided design (CAD) and computer-aided manufacturing (CAM) categories. Essential Dental Solutions (39.9% of revenue) delivers consumables and small equipment used by dental professionals. Orthodontic and Implant Solutions (23.1% of revenue) delivers implants, dentures, and orthodontic solutions. Wellspect Healthcare (8.8% of revenue) provides solutions for urinary and bowel management.

VALUE-BASED PRICING FRAMEWORK IMPLIED PRICING REQUIREMENTS

Of the 14,000 employees at Dentsply Sirona, industry benchmarks suggest 8 to 40 professionals would be dedicated to managing pricing decisions. Considering its business and market environment, our recommendation is to position the pricing team at the middle of this industry benchmark, with between 16 and 32 pricing professionals.

1. Dentsply Sirona serves a large number of customers both directly and through distribution channels. The U.S. alone is reported to have 135,000 dental offices. The density of their market impacts how prices are set, managed, and negotiated.
2. Dentsply Sirona serves customers globally, which would also impact the method by which prices are set, managed, and negotiated in different geographies.
3. Dentsply Sirona operates in four business segments, which also impacts the complexity of price management and therefore increases the recommended size of the price management team.
4. Dentsply Sirona spends 4% of its revenue on research and development. Their annual report states that they compete on quality, performance, safety, ease of use, as well as price. Most of their new offerings should be priced using Economic Value to Customer methodologies, an analysis of the differential financial benefits in time savings, cost reduction, or revenue impact on customers. Some of these most promising new offerings, those with a larger revenue impact within a specific geography, further deserve to be priced using conjoint analysis, which measures the tradeoffs customers will make and their willingness to pay for the additional benefits of the offering.
5. Two-thirds of Dentsply Sirona sales are through distributors. Two distributors, Henry Schein and Patterson Companies, account for roughly 20% of sales. Other sales are direct to customers. Commercial policy and negotiated price outcomes with distributors and customers with varying buying power are likely to lead to price variations. Improving clarity in commercial policy, such that rebates and discounts are tied to performance and clear market segmentation, and reducing uncertainty in price capture through the deployment of Narrow AI, which can deliver Expert, Target, and Walkaway price outcomes, would greatly align with Daniel T. Scavilla’s goals of improving commercial excellence, accountability, and margins.
6. Dentsply Sirona is a global provider with significant operations in North America, Europe, and Latin America, Asia Pacific, and Africa. Each market geography is suspected to require different price points and commercial policy. This would greatly increase the need for pricing professionals at Dentsply Sirona, along with demand for a global price leadership team to drive best-practice sharing and methodology standardization.
7. Macroeconomic conditions directly impact Dentsply Sirona’s fortunes. Much of dentistry is economically classified as a normal good, where demand increases as incomes increase. Some of dentistry is economically classified as a luxury good, where demand increases faster than incomes increase. This implies that fortunes at Dentsply Sirona are highly dependent on economic conditions. Increasing incomes improve Dentsply Sirona outcomes. Turmoil, conflict, and uncertainty harm Dentsply Sirona outcomes. Their annual report notes the negative impact on performance related to conflict in the Middle East, changes in import and export trade policies, and general uncertainty. At times, an economist would be useful for managing a price response to demand shocks.
8. Dentsply Sirona reports annual price increases with its distribution relationships. While in stable economic environments, annual price increases may suffice. In unstable environments, where input costs increase suddenly, this practice would lag inflation. Some of their offerings may benefit from index-based pricing rather than flat unit pricing.
9. Currently, Dentsply Sirona has multiple ERP systems. While there is mention of moving to a global ERP system, such a change will take time. In the meantime, pricing technology deployment will be challenging at Dentsply Sirona, and more manual processes would be required.
10. Some factors reduce price pressure at Dentsply Sirona. (A) It operates in highly regulated markets, thus decreasing competition. (B) Aging, the desire for aesthetic dentistry, and the need for improved office and workflow efficiency among dental practices all increase end demand.

OBSERVED PRICING CAPABILITY

Research into Dentsply Sirona investment in pricing yielded conflicting results.

1. The price management team size, excluding transfer pricing, appears to be at the lower end of the recommended team size.
2. Roles include analysts, manager, and leader. No director or vice president of price management was identified.
3. Responsibilities include analytics, promotion management, contract management, operations, and strategy.
4. Pricing professionals were identifiable across North America, Europe, and Latin America. They were not identified in Asia Pacific or Africa.

Given the importance and capabilities of pricing at Dentsply Sirona, as indicated in financial reports and management statements, we have reached the following conclusion as of July 2026.

Dentsply Sirona Pricing Spineometer: 3 out of 5 Vertebrae. Senior executives at Dentsply Sirona appear aware of the importance of price management maturity and have the foundations of a strong price management team. Still, the lack of senior roles and the uncertainty regarding global price management cohesion implies a strong opportunity for improvement.

XRAY (Dentsply Sirona Inc.) fell slightly from 12.73 the day prior to their earnings call to 12.21 one week later. FY 2026 revenue of $3.7 billion with a -4.1% operating margin and a P/E ratio near -4.

For FY 2025, a 1% improvement in price would yield a 24.5% improvement in operating profits and a 5.9% improvement in market capitalization, holding all else constant at Dentsply Sirona