Align Sees 2026 Revenue of $4.11 Billion to $4.13 Billion as Growth Slows
Key Facts
Align Technology expects global revenue of $4.11 billion to $4.13 billion in fiscal 2026, according to its third-quarter results statement, putting the company’s performance under investor scrutiny after limited growth in overall revenue. Revenue was $1.0148 billion in the third quarter, up 1.9% year over year, but down 3.9% from the previous quarter. The company said demand in the dental and orthodontic segments was affected by continued weakness in discretionary consumer spending on healthcare. It also cited weak equipment investment and said its fourth-quarter outlook reflects the market conditions it is seeing. The guidance therefore combines year-over-year business growth with pressure on demand and spending.
Clear aligners were the company’s strongest business in the third quarter, generating revenue of $839.3 million, up 4.2% from the same period a year earlier. Case volume rose 6.6% year over year to 690.6 thousand, indicating that case numbers in the segment grew faster than revenue. By contrast, revenue from imaging systems and computer-aided design and manufacturing services fell 7.6% year over year to $175.5 million. The divergence highlights the differing performance of clear aligners and the related imaging systems and services. The results came as the company described the healthcare spending environment as weaker.
Net income was $135 million in the third quarter of 2026, compared with $56.8 million in the same quarter of 2025. Diluted earnings per share rose to $1.90 from $0.78. The comparison shows improvement in net income and earnings per share alongside limited year-over-year growth in overall revenue. It does not change the fact that revenue fell sequentially, while demand in the sector remained affected by weak discretionary consumer spending. These figures put revenue trends and the business mix at the center of investors’ assessment of the company’s annual outlook.
The company plans to begin a pilot in the United States for the Invisalign Sports Guard, a sports mouthguard it makes through direct 3D printing based on a digital scan from an iTero device. Align said it sees an opportunity for the product in the sports mouthguard market. The pilot is part of an expansion of digital scanning and printing technologies into a new product category, but remains an initial trial. The company did not provide a projected revenue figure for the product in its reported results. The announcement therefore concerns testing the product in the U.S. market, not a proven financial contribution to current guidance.
As part of the leadership transition, Jennifer Davis will join the company on November 2 as incoming chief executive and a member of the board, before taking over as chief executive on December 31, 2026. She will succeed Joseph M. Hogan, who has served as president and chief executive since 2015. Reuters via Investing.com reported that Hogan will retire from the board after the conclusion of its strategy meeting on June 16, 2027. The transition has two clear milestones: Davis’s arrival in November and her assumption of the role at the end of December. Hogan will remain on the board until his scheduled retirement the following June.
In the market, Align shares rose 1.1% during regular trading on October 28 to $153.62, before falling 0.4% in after-hours trading to $153, according to Investing.com. EL7 data showed the stock closed at $153.62 on October 28, compared with $151.95 on October 27. These prices place the session and subsequent trading in the context of the results announcement, without by themselves establishing that the announcement caused the move. For the coming period, Align expects global revenue of $1.00 billion to $1.02 billion in the fourth quarter. It also expects the average selling price of clear aligners to decline by about 1% year over year during the quarter.
Management said it will provide its full 2027 outlook when it reports fourth-quarter results, after completing a review of strategy and its operating model led by Davis. The timing links the next outlook to the completion of the review led by the incoming chief executive. Until then, the published guidance includes a fourth-quarter revenue range, along with an expected year-over-year decline of about 1% in the average selling price of clear aligners. The company has set its current-year revenue range at $4.11 billion to $4.13 billion. Fourth-quarter results will be the point at which management announces its full framework for 2027.