Slide 1: Q1 2025 Financial Results
Q1 2025 Financial Results Align Technology, Inc. April 30, 2025 ©2025 Align Technology Inc. All rights reserved.
Slide 2: Safe Harbor and Forward-Looking Statements
Safe Harbor and Forward-Looking Statements This presentation, including the tables below, contains forward-looking statements, including statements of beliefs and expectations regarding our ability to successfully control our business and operations and pursue our strategic growth drivers, our expec
Slide 3: About Non-GAAP Financial Measures
About Non-GAAP Financial Measures • To supplement our consolidated financial statements, which are prepared and presented in accordance with generally accepted accounting principles in the United States ("GAAP"), we may provide investors with certain non-GAAP financial measures which may include con
Slide 4: Conference Call Details
Q1 2025 Conference Call Details Conference Call Speakers: Contacts • Joe Hogan, President and CEO Website: http://investor.aligntech.com • John Morici, CFO Email: investorinfo@aligntech.com • Shirley Stacy, VP, Finance, Investor Relations and Corporate Tel: (602) 742-2000 Communications Corporate an
Slide 5: ©2025 Align Technology Inc. All rights reserved.
©2025 Align Technology Inc. All rights reserved.
Slide 6: Making clear aligner treatment available for everyone through doctors
Making clear aligner treatment available for EVERYONE through DOCTORS ©2025, Align Technology Inc. All rights reserved.
Slide 7: Focused Execution: Strategic Growth Drivers
INTERNATIONAL PATIENT ORTHODONTIST GP DENTIST EXPANSION DEMAND UTILIZATION TREATMENT Focused Execution STRATEGIC GROWTH DRIVERS ©2025, Align Technology Inc. All rights reserved.
Slide 8: Enormous Opportunity
ENORMOUS OPPORTUNITY 600M Consumer Opportunity 15M teens 22M Annual ortho starts 7M adults ©2025, Align Technology Inc. All rights reserved.
Slide 9: 600M potential patients through 2M+ doctors
600M POTENTIAL PATIENTS through +2M DOCTORS with an iTero scanner at EVERY CHAIR ©2025, Align Technology Inc. All rights reserved.
Slide 10: ©2025 Align Technology Inc. All rights reserved.
©2025 Align Technology Inc. All rights reserved.
Slide 11: CEO Opening Commentary
Q1 2025 CEO Opening Commentary We are pleased to report first quarter revenues, operating margin, and earnings in line with our outlook. Fiscal 2025 is off to a good start with Q1 Clear Aligner volumes up both sequentially and year-over-year, reflecting strength in both the teens and adult patient s
Slide 12: Highlights
Q1 2025 Highlights ©2025, ©2025 AlignAlign Technology Technology Inc. All Inc. rightsAllreserved. rights reserved. 12
Slide 13: Revenues and Operating Margin
Q1 2025 Revenues and Operating Margin TOTAL REVENUES TOTAL SYSTEMS AND SERVICES REVENUES TOTAL CLEAR ALIGNER REVENUES GAAP OPERATING PROFIT / OPERATING MARGIN Q1’25 Q1’25 Q1’25 Q1’25 $979.3M $182.4M $796.8M $131.1M | 13.4% Q/Q (1.6)% Y/Y (1.8)% Q/Q (9.2)% Y/Y +1.2% Q/Q +0.3% Y/Y (2.5)% Q/Q (1.1)% pt
Slide 14: Clear Aligner segment
Q1 2025 Clear Aligner segment WW CLEAR ALIGNER METRICS WW Clear Aligner Shipments +6.2% Y/Y +2.2% Q/Q (#K) 628.7 642.3 605.1 Q1'24 Q4'24 Q1'25 Total Utilization* Powered by nearly 30 years of experience and now more than 20 million* patients worldwide, the Invisalign® System leverages more data, ins
Slide 15: The Invisalign System: latest innovations
The Invisalign® System: latest innovations Invisalign® Palatal Expander System Invisalign® System with mandibular advancement featuring occlusal blocks During the quarter, we continued to commercialize the Invisalign® Palatal Expander System with This month, we announced the commercial availability
Slide 16: Invisalign Smiles
INVISALIGN® SMILES Invisalign patients treated including ~20.1M* +5.8M* Teens & Kids ©2025, ©2025 AlignAlign Technology Technology Inc. All Inc. rightsAllreserved. rights reserved. *As of Q1’25
Slide 17: 5.8M Teens and Kids treated with the Invisalign System
+5.8M Teens and Kids treated with the Invisalign® System, to date • In the teen and growing kids’ segment, approximately 226K teens and kids started treatment with Invisalign clear aligners during the first quarter, an increase of 4.5% q/q, and an increase of 13.3% y/y, reflecting growth across regi
Slide 18: Invisalign Brand Consumer Marketing
Q1 2025 Invisalign® Brand Consumer Marketing AMERICAS EMEA APAC 23.2M 5.8B 12.1M 2.5B 23.3M 7.6B Website Visitors impressions Website Visitors impressions Website Visitors impressions Social media and influencer marketing Real stories. Real patients. Real stories. Real patients shared Teen, Adult an
Slide 19: Consumer Demand Creation and Digital Tools
Q1 2025 Consumer Demand Creation and Digital Tools Invisalign® is the most trusted brand in the Orthodontic industry globally and it is important we continue to create demand for Invisalign clear aligners, especially given macro-economic pressures on doctors and their patients. The underlying market
Slide 20: iTero intraoral scanners
iTero intraoral scanners Accelerating digital practice transformation The iTero scanner is at the front end of digital dentistry. Today, we have over 100K iTero scanners sold or roughly half of the intraoral scanning market globally. We have a scanner portfolio that consists of value to premium prod
Slide 21: Systems and Services segment
Q1 2025 Systems and Services segment IMAGING SYSTEMS AND CAD/CAM SERVICES ($M) Systems and Services Revenues +1.2% Y/Y (9.2)% Q/Q $200.9 $180.2 $182.4 Q1'24 Q4'24 Q1'25 CAD/CAM and Services revenues represent 49.8%* of our Systems and Services business. ©2025 Align Technology Inc. All rights reserve
Slide 22: Next generation iTero Lumina Intraoral scanner and Lumina Pro
Next generation iTero Lumina Intraoral scanner and New iTero Lumina Pro Dental Imaging System In Q1, we launched the new restorative capabilities in our next- generation iTero Lumina intraoral scanner and the new iTero Lumina Pro dental imaging system with iTero NIRI technology to enable efficient r
Slide 23: exocad Highlights
Q1 2025 exocad Highlights exocad presented numerous new products, services and features at the International Dental Show (IDS) in At IDS, exocad also unveiled its new marketing campaign, launched TruDesign Design Services, and Cologne, Germany celebrated 15 years of excellence in digital dentistry W
Slide 24: Financial Review
Q1 2025 Financial Review ©2025, ©2025 AlignAlign Technology Technology Inc. All Inc. rightsAllreserved. rights reserved. 24
Slide 25: Trended Revenues and Volumes
Q1 2025 Trended Revenues and Volumes Q1’25 NET REVENUES Q1’25 CLEAR ALIGNER CASE VOLUME (1.8)% Y/Y +6.2% Y/Y (1.6)% Q/Q $M +2.2% Q/Q $997.4 $1,028.5 (#K) $977.9 $995.2 $979.3 $180.2 $196.8 $200.9 $191.0 $182.4 642.7 617.2 628.7 642.3 605.1 $817.3 $831.7 $786.8 $794.3 $796.8 Q1'24 Q2'24 Q3'24 Q4'24 Q
Slide 26: Financial Summary Commentary
Q1 2025 Financial Summary Commentary • Q1'25 Total revenues of $979.3M, (1.6)% Q/Q and (1.8)% Y/Y • Q/Q, Q1'25 revenues were unfavorably impacted by FX of ~$21.4M or ~2.1%* • Y/Y, Q1'25 revenues were unfavorably impacted by FX of ~$31.1M or ~3.1%* • Q1'25 Clear Aligners revenues of $796.8M, +0.3% Q/
Slide 27: Trended GAAP Gross Margins
Q1 2025 Trended GAAP Gross Margins (0.5)% Y/Y • Overall, Q1'25 gross margin was 69.5%, (0.6) pts Q/Q and (0.5) pts Y/Y (0.6)% Q/Q • Q/Q, Q1’25 total gross margin was negatively impacted by FX by ~0.7 pts* • Y/Y, Q1’25 total gross margin was negatively impacted by FX by ~0.9 pts* • Q1'25 non-GAAP gro
Slide 28: Trended GAAP Operating Expense
Q1 2025 Trended GAAP Operating Expense +1.0% Y/Y • Q1'25 Operating expenses were $549.0M, (0.7)% Q/Q and +1.0% Y/Y $M (0.7)% Q/Q • Q/Q, Q1'25 operating expenses $(3.8)M, primarily due to lower restructuring and other non-recurring charges in Q1, which were partially offset by consumer marketing spen
Slide 29: Trended GAAP Operating Margin and Earnings Per Share
Q1 2025 Trended GAAP Operating Margin and Earnings Per Share • Q1'25 Operating income of $131.1M resulting in a Q1'25 operating margin of 13.4%, (1.1) pts Q/Q and (2.1) pts Y/Y • Q1’25 Operating margin was negatively impacted from FX by ~1.1 pts Q/Q and negatively (2.1)% Y/Y impacted by ~1.4 pts Y/Y
Slide 30: Trended Quarterly Financials
Trended Quarterly Financials GAAP Operating Expense ($M) Gross Margin % Operating Margin % & Diluted EPS $543.7 $575.6 $519.5 $552.8 $549.0 70.0% 70.3% 69.7% 70.0% 69.5% 15.5% 14.3% 16.6% 14.5% 13.4% Q1'24 Q2'24 Q3'24 Q4'24 Q1'25 Q1'24 Q2'24 Q3'24 Q4'24 Q1'25 Q1'24 Q2'24 Q3'24 Q4'24 Q1'25 Diluted Ea
Slide 31: Clear Aligner Revenue Per Case Shipment
Q1 2025 Clear Aligner Revenue Per Case Shipment Clear Aligner Revenue Per Case Shipment $1,400 $1,300 $1,200 $1,100 $1,000 $900 Q1'23 Q2'23 Q3'23 Q4'23 Q1'24 Q2'24 Q3'24 Q4'24 Q1'25 Worldwide ASP $1,335 $1,335 $1,320 $1,320 $1,350 $1,295 $1,275 $1,265 $1,240 • Average Selling Price (“ASP”): Clear al
Slide 32: Balance Sheet, Cash Flow & Stock
Balance Sheet, Cash Flow & Stock • As of March 31, 2025, cash and cash equivalents were $873.0M, down Q/Q Q1’24 Q4’24 Q1’25 $170.9M, and up $7.2M y/y. Of our $873.M balance, $133.1M was held in the ($ in millions except for DSO) U.S. and $739.9M was held by our international entities • During Q1'25,
Slide 33: Closing Comments
Closing Comments ©2025, ©2025 AlignAlign Technology Technology Inc. All Inc. rightsAllreserved. rights reserved. 33
Slide 34: Business Trends Commentary
Business Trends Commentary Before we turn to our Q2 and fiscal 2025 outlook, we’d like to provide the following comments remarks regarding the UK VAT and US tariffs as of April 30. UK VAT Update as of April 30, 2025: • As previously disclosed in our Q4’24 earnings release and conference call, we ant
Slide 35: Fiscal 2025 Business Outlook
Fiscal 2025 Business Outlook Assuming no circumstances occur beyond our control, such as foreign exchange, macroeconomic conditions, and changes to currently known tariffs that could impact our business: Q2’25: • We expect Q2’25 worldwide revenues to be in the range of $1,050M to $1,070M, up sequent
Slide 36: Q1'25 Earnings Call CEO Closing Commentary
Q1’25 Earnings Call CEO Closing Commentary We’re pleased with the results of our first quarter – the strength of the clear aligner business, including return to stability in the U.S., and the response to our recent innovations such as the Invisalign® Palatal Expander System and iTero Lumina. All of
Slide 37: Appendix
Appendix ©2025, ©2025 AlignAlign Technology Technology Inc. All Inc. rightsAllreserved. rights reserved. 37
Slide 38: GAAP to Non-GAAP Reconciliation: Constant Currency Net Revenues
Unaudited GAAP to Non- GAAP Reconciliation Constant Currency Net Revenues Note: 1) We define constant currency net revenues as total net revenues excluding the effect of foreign exchange rate movements and use it to determine the percentage for the constant currency impact on net revenues on a seque
Slide 39: GAAP to Non-GAAP Reconciliation: Constant Currency Gross Profit and Margin
Unaudited GAAP to Non- GAAP Reconciliation Constant Currency Gross Profit and Gross Margin Note: 1) We define constant currency gross margin as constant currency gross profit as a percentage of constant currency net revenues. Gross margin constant currency impact is the increase or decrease in const
Slide 40: GAAP to Non-GAAP Reconciliation: Constant Currency Income from Operations
Unaudited GAAP to Non- GAAP Reconciliation Constant Currency Income from Operations and Operating Margin Notes: 1) We define constant currency income from operations as GAAP income from operations excluding the effect of foreign exchange rate movements for GAAP net revenues and operating expenses on
Slide 41: GAAP to Non-GAAP Reconciliation: Financial Measures Other Than Constant Currency
Unaudited GAAP to Non- GAAP Reconciliation Financial Measures Other Than Constant Currency Notes: (1) Amortization of intangible assets related to certain acquisitions. (2) During the fourth quarters of 2023 and 2024, we initiated a restructuring plan to reduce headcount and increase efficiencies ac
Slide 42: Q2 2025 and Fiscal 2025 Outlook – GAAP to Non-GAAP Reconciliation
Q2 2025 and Fiscal 2025 Outlook – GAAP to Non-GAAP Reconciliation Notes: (1) Amortization of intangible assets related to certain acquisitions. (2) Restructuring charges primarily related to severance. (3) Legal settlement loss from Q1’25. ©2025 Align Technology Inc. All rights reserved.
Slide 43: ©2025 Align Technology Inc. All rights reserved.
©2025 Align Technology Inc. All rights reserved.