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REVENUE RECOGNITION
9 Months Ended
Sep. 30, 2025
Revenue from Contract with Customer [Abstract]  
REVENUE RECOGNITION REVENUE RECOGNITION
Revenues are derived primarily from the sale of dental equipment and dental and healthcare consumable products. Revenues are measured as the amount of consideration the Company expects to receive in exchange for transferring goods or providing services.
Net sales disaggregated by product category were as follows:
Three Months Ended September 30,Nine Months Ended September 30,
(in millions)2025202420252024
Equipment & Instruments$148 $138 $418 $402 
CAD/CAM111 131 319 367 
Connected Technology Solutions259 269 $737 $769 
Essential Dental Solutions357 369 $1,097 $1,108 
Orthodontics53 83 $175 $276 
Implants & Prosthetics152 158 473 512 
Orthodontic and Implant Solutions205 241 $648 $788 
Wellspect Healthcare83 72 $237 $223 
Total net sales$904 $951 $2,719 $2,888 

Net sales disaggregated by geographic region were as follows:
Three Months Ended September 30,Nine Months Ended September 30,
(in millions)2025202420252024
United States$291 $374 $886 $1,089 
Europe382 347 1,148 1,110 
Rest of World231 230 685 689 
Total net sales$904 $951 $2,719 $2,888 

Contract Assets and Liabilities

The Company does not typically have contract assets in the normal course of its business. Contract liabilities, which represent billings in excess of revenue recognized, are primarily related to deferred revenue associated with loyalty points earned but not yet redeemed by customers under the Company’s loyalty point program and advanced billings for customer orthodontic aligner treatments where the performance obligation has not yet been satisfied. The Company recorded deferred revenue of $88 million and $34 million in Accrued liabilities and Other noncurrent liabilities, respectively, in the Consolidated Balance Sheets at September 30, 2025. The Company recorded deferred revenue of $95 million and $49 million in Accrued liabilities and Other noncurrent liabilities, respectively, in the Consolidated Balance Sheets at December 31, 2024. During the three and nine months ended September 30, 2025, the Company recognized approximately $30 million and $88 million of net sales, respectively, which were previously deferred as of December 31, 2024. During the three and nine months ended September 30, 2024, the Company recognized approximately $14 million and $77 million of net sales, respectively, which were previously deferred as of December 31, 2023. The Company expects to recognize most of the remaining deferred revenue in net sales within the next twelve months.

Allowance for Doubtful Accounts

Accounts and notes receivable-trade, net are stated net of allowances for doubtful accounts and trade discounts, which were $12 million at September 30, 2025 and $14 million at December 31, 2024. For the three and nine months ended September 30, 2025 and 2024, changes to the provision for doubtful accounts, including write-offs of accounts receivable that were previously reserved, were not significant. Changes to this provision are included in Selling, general, and administrative expenses in the Consolidated Statements of Operations.