A global dental products company that makes the implants, clear aligners, and imaging gear dentists and orthodontists use every day, with brands like Nobel Biocare, Ormco, Kerr, and Spark aligners sold in more than 130 countries. Born in 2019 as a spinoff of Danaher Corporation's dental business, its name combines Latin roots meaning "to be within" and "a view," a nod to looking ahead — and its logo's concentric circles are meant to suggest endless collaborative possibilities.
Envista Q2 FY2026 operating income rose 73.4% to $80.3M, aided by $12.6M in tariff refunds.
rebounded sharply, helped by a one-time tariff refund. rose 7.1% to $730.5 million and expanded 1.5 points to 55.7%, driven by volume growth and the $12.6 million recorded in cost of sales. The core business grew 5.0%, but the refund masks the underlying margin trajectory as tariff costs persist.
Key takeaways
rose 73.4% to $80.3 million, with expanding 4.2 points to 11.0%, primarily due to a $12.6 million recorded in cost of sales.
increased 7.1% to $730.5 million, with core sales up 5.0% on 3.2% volume growth and 1.8% higher pricing, as both developed and emerging markets grew roughly 5%.
expanded 1.5 points to 55.7%, aided by the tariff refunds, which partially offset higher product costs from increased volume.
Section summaries
Management's Discussion and Analysis
Envista Q2 FY2026 sales rose 7.1% to $730.5M, with core sales up 5.0% and operating profit surging 73.4% on tariff refunds and volume growth.
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Total sales grew 7.1% to $730.5M, driven by 3.2% volume and 1.8% price increases; core sales rose 5.0% with developed markets up 4.9% and emerging markets up 4.7%.
expanded 150 to 55.7%, aided by $12.6M in IEEPA tariff refunds recorded in cost of sales, partially offsetting higher product costs from increased volume.
Specialty Products & Technologies sales rose 5.8% and improved 2.6 points to 12.8%, driven by the tariff refunds and higher sales, partly offset by commercial investments.
Equipment & Consumables sales grew 9.5% and expanded 2.5 points to 17.7% on volume and price gains, partially offset by restructuring costs.
increased to $115.9 million from $89.0 million a year earlier, driven by higher and favorable timing.
What changed
Q1 2026 reversed from a $3.3M use to a $115.9M generation in Q2, as incentive compensation timing normalized.
Specialty Products & Technologies rose to 12.8% from 10.2% in Q1 2026, aided by the $12.6M tariff refund, confirming the prior quarter's level was not solely dependent on aligner timing.
Equipment & Consumables expanded to 17.7% from 18.9% in Q1 2026, as volume and price gains were partially offset by restructuring costs.
The $12.6M recorded in cost of sales provided a one-time benefit to , partially offsetting the tariff cost impact flagged in prior quarters.
What to watch
Q3 2026 ex-refund to see if the underlying 55.7% level holds without the $12.6M tariff benefit.
Q3 2026 Specialty Products & Technologies after the 12.8% level to confirm demand sustains without the refund.
Q3 2026 Equipment & Consumables core sales after the 8.5% Q2 increase to confirm growth trajectory.
Further tariff cost impact on given the stated partial offset in Q2 2026.
Specialty Products & Technologies sales rose 5.8% (core +3.1%) and improved 260 to 12.8%, primarily from tariff refunds and higher sales, partly offset by commercial investments.
Equipment & Consumables sales grew 9.5% (core +8.5%) and jumped 250 to 17.7%, driven by volume and price gains, partially offset by restructuring costs and commercial investments.
increased to $115.9M from $89.0M, driven by higher and favorable timing; investing outflows rose to $83.2M mainly due to the Versah acquisition.
The company repurchased $101.2M in stock during H1 2026 under expanded programs and holds $1.13B in cash, with $854.3M held outside the U.S.
Quantitative and Qualitative Disclosures About Market Risk
We are exposed to market risk from changes in interest rates, foreign currency exchange rates and commodity prices as well as credit risk, each of which could impact our consolidated financial statements. We generally address our exposure to these risks through our normal operat…
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We are exposed to market risk from changes in interest rates, foreign currency exchange rates and commodity prices as well as credit risk, each of which could impact our consolidated financial statements. We generally address our exposure to these risks through our normal operating activities. Please refer to quantitative and qualitative disclosures about market risk in “Management’s Discussion and Analysis of Financial Condition and Results of Operations—Qualitative and Quantitative Disclosures About Market Risk,” in our 2025 10-K.
During the three and six months ended July 3, 2026, we used foreign currency forward and call option contracts to hedge our foreign currency risk associated with certain foreign denominated balance sheet transactions. These foreign currency forwards and call option contracts are not designated as a hedge for accounting purposes and therefore the changes in the fair value of these instruments are recognized immediately in earnings. As of July 3, 2026, the Company had outstanding foreign currency forward contracts with an aggregate notional amount of $90.2 million. Any realized and unrealized gain (losses) related to forward contracts and call options partially offset the corresponding gains (losses) related to the underlying foreign denominated balance sheet transactions.
For additional information on hedging transactions and derivative financial instruments, please refer to Note 9 to our Condensed Consolidated Financial Statements in this Quarterly Report on Form 10-Q. Other than as set forth herein, there have been no material changes in our primary market risk exposures or how those exposures are managed from the information disclosed in our 2025 10-K.
There have been no material changes to legal proceedings from our 2025 10-K. For additional information regarding legal proceedings, refer to “Management’s Discussion and Analysis of Financial Condition and Results of Operations—Legal Proceedings” in our 2025 10-K.
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There have been no material changes to legal proceedings from our 2025 10-K. For additional information regarding legal proceedings, refer to “Management’s Discussion and Analysis of Financial Condition and Results of Operations—Legal Proceedings” in our 2025 10-K.
You should carefully consider the factors discussed in Part I, “Item 1A. Risk Factors” in our 2025 10-K and in Part II, “Item 1A. Risk Factors” in our Quarterly Report on Form 10-Q for the quarter ended April 3, 2026 (“Q1 10-Q”), which could materially affect our business, finan…
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You should carefully consider the factors discussed in Part I, “Item 1A. Risk Factors” in our 2025 10-K and in Part II, “Item 1A. Risk Factors” in our Quarterly Report on Form 10-Q for the quarter ended April 3, 2026 (“Q1 10-Q”), which could materially affect our business, financial position, or future results of operations. The risks described in our 2025 10-K and Q1 10-Q, are not the only risks we face. Additional risks and uncertainties not currently known to us or that we currently deem to be immaterial also may materially adversely affect our business, financial position, or future results of operations.