Align Technology Inc · Q1 2023 earnings

Briefing

Delivered revenue and EPS ahead of expectations, with total Invisalign® patients treated surpassing 15 million globally.

Align Technology reported Q1 2023 financial results with total revenues of $943.1 million, a sequential increase of 4.6%, and diluted net income per share of $1.14, and non-GAAP diluted net income per share of $1.82.

• Q1'23 total revenues of $943.1 million, increased 4.6% sequentially, and diluted net income per share of $1.14, non-GAAP diluted net income per share of $1.82
• Q1'23 revenues were favorably impacted by foreign exchange of approximately $25.8 million sequentially and unfavorably impacted by approximately $34.9 million year-over-year
• Q1'23 operating income of $133.5 million and operating margin of 14.2%, non-GAAP operating margin of 18.5%
• Q1'23 Clear Aligner revenues of $789.8 million, increased 7.9% sequentially, and Clear Aligner volume of 575.4 thousand cases, decreased 1.4% sequentially

Headline financials

Revenue & EPS history

For Q2'23, Align anticipates Clear Aligner volume and ASP to be up sequentially and Systems and Services revenue to be up sequentially. Q2’23 revenues are expected to be in the range of $980 million to $1,000 million. The company expects Q2'23 GAAP and Non-GAAP gross margin to be flat to slightly up from Q1’23, and Q2’23 GAAP and Non-GAAP operating margin to be up by approximately 1 point sequentially.