Align Technology (ALGN) Tops Q1 EPS by 47c, Revenues Beat; Offers FY21 Revenue Guidance Above Consensus

April 28, 2021 4:02 PM EDT

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Align Technology (NASDAQ: ALGN) reported Q1 EPS of $2.49, $0.47 better than the analyst estimate of $2.02. Revenue for the quarter came in at $894.8 million versus the consensus estimate of $818.16 million.

  • Q1 total revenues up 7.2% sequentially and 62.4% year-over-year to a record $894.8 million
  • Q1 diluted net income per share of $2.51; Q1 non-GAAP diluted net income per share of $2.49
  • Q1 operating income up 222.4% year-over-year to $225.4 million and operating margin of 25.2%
  • Q1 Clear Aligner revenues up 7.5% sequentially and 56.4% year-over-year to a record $753.3 million
  • Q1 Clear Aligner volume up 4.9% sequentially and 65.8% year-over-year to 595.8 thousand cases
  • Q1 Clear Aligner volume for teenage patients was 165.3 thousand cases, up 58.9% year-over-year
  • Q1 Imaging Systems and CAD/CAM Services revenues were up 5.8% sequentially and 104.0% year-over-year to a record $141.5 million
  • Cash and cash equivalents was $1.1 billion as of Q1’21 compared to $960.8 million as of Q4’20

Commenting on Align's Q1'21 results, Align Technology President and CEO Joe Hogan said, “I’m pleased to report another strong quarter with record revenues and volumes reflecting strong growth for both Invisalign Clear Aligners and iTero Systems and Services across products and customer channels worldwide. Q1 sequential Invisalign Clear Aligner growth was driven by strength in both adult and teen market segments, across products and customer channels especially in North America and the EMEA region, led by UKI, Germany and France. The year is off to a great start – and Q1 reflects increasing momentum from continued investments in our strategic initiatives. During the quarter we reached a significant milestone with our 10 millionth Invisalign patient, Gabriela Silva, who recently began treatment with Dr. Eunice Blind, an Invisalign-trained orthodontist in São Paulo, Brazil, one of our fastest growing country markets. It’s remarkable to think about the pace of growth and adoption that we are experiencing worldwide, especially when considering it took 10 years to achieve our one millionth Invisalign patient milestone. Now we are adding one million new Invisalign patients in less than six months. We are grateful to our doctor partners and their patients, and to our 20,000 employees around the world who have helped us reach this milestone.”


Align Technology sees FY2021 revenue of $3.7-3.9 billion, versus the consensus of $3.48 billion.

For 2021, Align provides the following guidance:

  • Net revenues in the range of $3.7 billion to $3.9 billion, up approximately 50% to 58% over full year 2020. Consistent with past years, we expect 2H 2021 revenue to make up more than half of the full year revenue and our 2H revenue to grow year-over-year around the mid-point of our long-term operating model target of 20% to 30%
  • GAAP operating margin in the range of 23.5% to 24.5%
    • Non-GAAP operating margin to be approximately 3 points higher than GAAP operating margin
  • In addition, during Q2'21 we expect to repurchase $100 million of our common stock through either open market repurchases or an accelerated stock repurchase agreement we intend to enter into on or prior to May 3, 2021. The repurchase is intended to complete the $600 million stock repurchase program announced on May 23, 2018

For earnings history and earnings-related data on Align Technology (ALGN) click here.

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