07.27.10
29. Dentsply International
$2.2 Billion
KEY EXECUTIVES:
Bret W. Wise, Board Chairman and CEO
Christopher T. Clark, President and Chief Operating Officer
William R. Jellison, Sr. VP and Chief Financial Officer
James G. Mosch, Executive VP
Robert J. Size, Senior VP
Albert J. Sterkenburg, Senior VP
Brian M. Addison, VP, Secretary and General Counsel
NO. OF EMPLOYEES: 9,300
GLOBAL HEADQUARTERS: York, Pa.
Executives at Dentsply International Inc. call it “the upside of down.” The down, of course, was last year’s contraction of the global dental market—the first in recent memory—which led to lower demand for dental products, and ultimately, lower sales. The upside—at least to Dentsply bigwigs, anyway—was the opportunities created by the worldwide economic downturn.
“The [economic] conditions created opportunities for companies with a strong long-term focus, flexible management and adaptable cost structures. At Dentsply, we embraced this opportunity and created a balanced approach—reducing costs in a targeted manner, and continuing to make key investments to facilitate future growth,” Chairman and CEO Bret W. Wise and President and Chief Operating Officer Christopher T. Clark told shareholders in a letter within the company’s 2009 annual report.
“We gained global market share, strengthened the balance sheet and enhanced shareholder value in a very challenging market,” the pair continued. “Our strong cash flow and strong financial position will allow us to take full advantage of Dentsply’s tremendous upside potential and accelerate growth as worldwide markets rebound.”
Despite flat sales and decreases in both gross profit and net income last year, Dentsply positioned itself well (financially) to take advantage of a market rebound—if such a rebound indeed occurs. Operating income grew 0.2 percent (barely measurable, but an increase, nonetheless) to $381 million, while the company’s equity jumped 15 percent to $1.9 billion. Total assets broke the $3 billion barrier, rising 9 percent in 2009 (year ended Dec. 31) compared with 2008. Dentsply also reduced spending by 26 percent and increased its cash flows from operating activities to $362.4 million, an 8 percent rise compared with the $336 million in cash flows the company reported in 2008.
Dentsply’s cost-containing measures and investment strategies kept it fairly well-insulated against last year’s the contraction in the dental market. Total sales, excluding precious metal content (various precious metals are used to make the company’s implants, and the cost is included in the total price of the item) essentially was the same as last year’s record of $2 billion. Diluted earnings per share measured on a non-GAAP (Generally Accepted Accounting Principles) basis—excluding restructuring charges and other related items—came to $1.84, down just 2.1 percent compared to 2008’s record performance. Net income, meanwhile, fell 3 percent to $274.2 million.
Recent acquisitions contributed 4.5 percent to the year’s results, more than double the effect mergers had on 2008 sales. Executives said the company’s partnerships with dental material provider Zhermack SpA in Badia Polesine, Italy, and Belgian-based Materialise Dental, as well as the acquisition of Belgian-based ES Healthcare added $89 million to 2009 sales. “Acquisitions continue to be an important component of our growth strategy, and we intend to remain active in shaping the consolidation of the dental industry,” the company’s 2009 annual report stated.
Dentsply experienced sales increases in all parts of the world except the United States. Executives attributed the overall 0.9 percent decrease in U.S. revenue to lower sales of dental laboratory and non-dental products. European sales rose 4 percent, while sales in all other regions climbed 4.6 percent on strong demand for dental consumable devices and specialty products.
$2.2 Billion
KEY EXECUTIVES:
Bret W. Wise, Board Chairman and CEO
Christopher T. Clark, President and Chief Operating Officer
William R. Jellison, Sr. VP and Chief Financial Officer
James G. Mosch, Executive VP
Robert J. Size, Senior VP
Albert J. Sterkenburg, Senior VP
Brian M. Addison, VP, Secretary and General Counsel
NO. OF EMPLOYEES: 9,300
GLOBAL HEADQUARTERS: York, Pa.
Executives at Dentsply International Inc. call it “the upside of down.” The down, of course, was last year’s contraction of the global dental market—the first in recent memory—which led to lower demand for dental products, and ultimately, lower sales. The upside—at least to Dentsply bigwigs, anyway—was the opportunities created by the worldwide economic downturn.
“The [economic] conditions created opportunities for companies with a strong long-term focus, flexible management and adaptable cost structures. At Dentsply, we embraced this opportunity and created a balanced approach—reducing costs in a targeted manner, and continuing to make key investments to facilitate future growth,” Chairman and CEO Bret W. Wise and President and Chief Operating Officer Christopher T. Clark told shareholders in a letter within the company’s 2009 annual report.
“We gained global market share, strengthened the balance sheet and enhanced shareholder value in a very challenging market,” the pair continued. “Our strong cash flow and strong financial position will allow us to take full advantage of Dentsply’s tremendous upside potential and accelerate growth as worldwide markets rebound.”
Despite flat sales and decreases in both gross profit and net income last year, Dentsply positioned itself well (financially) to take advantage of a market rebound—if such a rebound indeed occurs. Operating income grew 0.2 percent (barely measurable, but an increase, nonetheless) to $381 million, while the company’s equity jumped 15 percent to $1.9 billion. Total assets broke the $3 billion barrier, rising 9 percent in 2009 (year ended Dec. 31) compared with 2008. Dentsply also reduced spending by 26 percent and increased its cash flows from operating activities to $362.4 million, an 8 percent rise compared with the $336 million in cash flows the company reported in 2008.
Dentsply’s cost-containing measures and investment strategies kept it fairly well-insulated against last year’s the contraction in the dental market. Total sales, excluding precious metal content (various precious metals are used to make the company’s implants, and the cost is included in the total price of the item) essentially was the same as last year’s record of $2 billion. Diluted earnings per share measured on a non-GAAP (Generally Accepted Accounting Principles) basis—excluding restructuring charges and other related items—came to $1.84, down just 2.1 percent compared to 2008’s record performance. Net income, meanwhile, fell 3 percent to $274.2 million.
Recent acquisitions contributed 4.5 percent to the year’s results, more than double the effect mergers had on 2008 sales. Executives said the company’s partnerships with dental material provider Zhermack SpA in Badia Polesine, Italy, and Belgian-based Materialise Dental, as well as the acquisition of Belgian-based ES Healthcare added $89 million to 2009 sales. “Acquisitions continue to be an important component of our growth strategy, and we intend to remain active in shaping the consolidation of the dental industry,” the company’s 2009 annual report stated.
Dentsply experienced sales increases in all parts of the world except the United States. Executives attributed the overall 0.9 percent decrease in U.S. revenue to lower sales of dental laboratory and non-dental products. European sales rose 4 percent, while sales in all other regions climbed 4.6 percent on strong demand for dental consumable devices and specialty products.