Henry Schein Inc. (NYSE:HSIC) on Tuesday reported its fourth quarter adjusted earnings of $1.34, up from $1.19 a year ago, beating the consensus of $1.30.
Sales totaled $3.44 billion, surpassing the consensus estimate of $3.35 billion. Net sales increased 7.7% compared with the fourth quarter of 2024 and reflect 4.9% internal sales growth, 0.9% sales growth from acquisitions, and a 1.9% increase resulting from foreign currency exchange.
Segment Performance
Global Distribution and Value-Added Services sales rose 7.0% to $2.89 billion in the fourth quarter, up 5.2% on a constant-currency basis from the year-ago period.
Global Specialty Products sales increased 14.6% to $422 million, or 11.1% in constant currency, driven by strong dental implant demand and solid growth in endodontics.
Global Technology sales climbed 8.4% to $173 million, up 7.6% in constant currency from the fourth quarter of 2024, reflecting accelerated adoption of cloud-based software and revenue from newly launched solutions.
Management Commentary
“Our fourth-quarter sales reflect continuing momentum resulting in the highest sales growth in 15 quarters. We are pleased with the sales results across all our businesses, particularly our global equipment, specialty products, and technology businesses. This drove our strong fourth-quarter earnings, which exceeded the increased 2025 financial guidance we provided in our third-quarter earnings release,” said Stanley Bergman, Chairman of the Board and CEO of Henry Schein.
“The growth we have achieved, especially over the second half of 2025, demonstrates the effective execution of our 2025-2027 BOLD+1 strategic plan, and positions us well for the future,” commented Bergman.
Guidance
“Our 2026 financial guidance underscores sustained growth through continued strong execution of these strategies,” added Bergman.
Henry Schein expects fiscal 2026 adjusted earnings of $5.23-$5.37 per share compared to the consensus of $5.30.
The company sees 2026 sales of $13.58 billion-$13.84 billion compared to the consensus of $13.53 billion, reflecting a year-over-year growth of 3% to 5% from fiscal 2025 sales of $13.18 billion.
2026 adjusted EBITDA is expected to grow in mid-single digits compared with 2025.
Analyst View
William Blair on Tuesday wrote, “Strength in the specialty segment is an encouraging sign, both for Henry Schein’s ability to drive higher margin mix and also for dental end-markets, since the specialty portfolio has a high exposure to out-of-pocket procedures like dental implants.”
Analyst Brandon Vazquez also added, “Initial 2026 guidance is in line with or slightly ahead of the Street, which should be another encouraging sign of stability and improving results.”
Vazquez wrote that, altogether, the first read on the quarter is that this is a positive step in the right direction with improving end-markets and execution on key segments like specialty products.
HSIC Price Action: Henry Schein shares were up 5.01% at $83.57 at the time of publication on Tuesday. The stock is trading at a new 52-week high, according to Benzinga Pro data.
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