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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
____________________________________
FORM 10-Q
(Mark One)
☒QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 2023
OR
☐TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from         to         
    
Commission File Number: 001-39054
envistalogoa25.jpg
ENVISTA HOLDINGS CORPORATION
(Exact name of Registrant as specified in its charter)
Delaware83-2206728
(State or other jurisdiction of incorporation or organization)(I.R.S. Employer Identification Number)
200 S. Kraemer Blvd., Building E92821-6208
Brea,California
(Address of Principal Executive Offices)(Zip Code)
Registrant’s telephone number, including area code: 714-817-7000
Securities Registered Pursuant to Section 12(b) of the Act:
Title of each classTrading symbol(s)Name of each exchange on which registered
Common stock, $0.01 par valueNVSTNew York Stock Exchange
Indicate by check mark whether the Registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the Registrant was required to file such reports) and (2) has been subject to such filing requirements for the past 90 days.     Yes   ☒     No  ☐
Indicate by check mark whether the Registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the Registrant was required to submit such files).     Yes   ☒     No  ☐
Indicate by check mark whether the Registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
Large Accelerated Filer☒ Accelerated Filer☐
Non-accelerated Filer☐ Smaller Reporting company☐
Emerging Growth Company☐
If an emerging growth company, indicate by check mark if the Registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.  ☐
Indicate by check mark whether the Registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
Yes   ☐     No  ☒
The number of shares of common stock outstanding as of July 28, 2023, was 163,823,852.



TABLE OF CONTENTS
PART I. FINANCIAL INFORMATION
PAGE
Item 1.
Item 2.
Item 3.
Item 4.
PART II. OTHER INFORMATION
Item 1.
Item 1A.
Item 2.
Item 3.
Item 4.
Item 5.
Item 6.



PART I. FINANCIAL INFORMATION
Item 1. Financial Statements
ENVISTA HOLDINGS CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited)
($ in millions, except share amounts)
As of
June 30, 2023December 31, 2022
ASSETS
Current assets:
Cash and cash equivalents$651.7 $606.9 
     Trade accounts receivable, less allowance for credit losses of $16.3 and $16.2, respectively
415.2 393.5 
Inventories, net297.0 300.8 
Prepaid expenses and other current assets125.0 123.4 
Total current assets1,488.9 1,424.6 
Property, plant and equipment, net300.1 293.6 
Operating lease right-of-use assets129.6 131.8 
Other long-term assets151.7 153.7 
Goodwill3,493.8 3,496.6 
Other intangible assets, net1,043.1 1,086.7 
Total assets$6,607.2 $6,587.0 
LIABILITIES AND EQUITY
Current liabilities:
Short-term debt$511.5 $510.0 
Trade accounts payable176.8 228.3 
Accrued expenses and other liabilities434.0 471.4 
Operating lease liabilities28.5 27.0 
Total current liabilities1,150.8 1,236.7 
Operating lease liabilities116.8 121.4 
Other long-term liabilities153.0 151.3 
Long-term debt875.6 870.7 
Commitments and contingencies
Stockholders’ equity:
Preferred stock, $0.01 par value, 15.0 million shares authorized; no shares issued or outstanding at June 30, 2023 and December 31, 2022
— — 
Common stock - $0.01 par value, 500.0 million shares authorized; 164.5 million shares issued and 163.8 million shares outstanding at June 30, 2023; 163.7 million shares issued and 163.2 million shares outstanding at December 31, 2022
1.6 1.6 
Additional paid-in capital3,719.2 3,699.0 
Retained earnings827.1 731.4 
Accumulated other comprehensive loss(236.9)(225.1)
Total stockholders’ equity4,311.0 4,206.9 
Total liabilities and stockholders’ equity$6,607.2 $6,587.0 
See the accompanying Notes to the Condensed Consolidated Financial Statements.
1

ENVISTA HOLDINGS CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)
($ and shares in millions, except per share amounts)
 Three Months EndedSix Months Ended
 June 30, 2023July 1, 2022June 30, 2023July 1, 2022
Sales$662.4 $645.8 $1,289.6 $1,277.2 
Cost of sales283.8 276.0 548.3 533.3 
Gross profit378.6 369.8 741.3 743.9 
Operating expenses:
Selling, general and administrative272.9 279.5 539.0 537.7 
Research and development26.8 25.1 51.3 49.5 
Operating profit78.9 65.2 151.0 156.7 
Nonoperating income (expense):
Other income7.1 0.3 7.4 0.6 
Interest expense, net(17.4)(6.4)(34.1)(12.3)
Income before income taxes68.6 59.1 124.3 145.0 
Income tax expense 16.7 14.6 28.6 30.1 
Income from continuing operations, net of tax 51.9 44.5 95.7 114.9 
Income from discontinued operations, net of tax (Note 3)— 2.6 — 7.1 
Net income$51.9 $47.1 $95.7 $122.0 
Earnings per share:
Earnings from continuing operations - basic$0.32 $0.27 $0.58 $0.71 
Earnings from continuing operations - diluted$0.29 $0.25 $0.54 $0.64 
Earnings from discontinued operations - basic$— $0.02 $— $0.04 
Earnings from discontinued operations - diluted$— $0.01 $— $0.04 
Earnings - basic$0.32 $0.29 $0.58 $0.75 
Earnings - diluted$0.29 $0.26 $0.54 $0.68 
Average common stock and common equivalent shares outstanding:
Basic164.0 162.9 163.8 162.6 
Diluted176.3 178.5 176.9 179.2 
See the accompanying Notes to the Condensed Consolidated Financial Statements.
2

ENVISTA HOLDINGS CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Unaudited)
($ in millions)
Three Months EndedSix Months Ended
June 30, 2023July 1, 2022June 30, 2023July 1, 2022
Net income$51.9 $47.1 $95.7 $122.0 
Other comprehensive income (loss), net of income taxes:
Foreign currency translation adjustments(25.9)(72.9)(11.1)(132.5)
Cash flow hedge adjustments— 0.5 — 1.9 
Pension plan adjustments(0.4)(0.1)(0.7)(0.2)
Total other comprehensive loss, net of income taxes(26.3)(72.5)(11.8)(130.8)
Comprehensive income (loss)$25.6 $(25.4)$83.9 $(8.8)
See the accompanying Notes to the Condensed Consolidated Financial Statements.
3


ENVISTA HOLDINGS CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY (Unaudited)
 ($ in millions)
Six Months Ended June 30, 2023
Common StockAdditional Paid-in CapitalRetained EarningsAccumulated Other
Comprehensive Loss		Total
Equity
Balance, December 31, 2022$1.6 $3,699.0 $731.4 $(225.1)$4,206.9 
Common stock-based award activity— 13.8 — — 13.8 
Net income— — 43.8 — 43.8 
Other comprehensive income— — — 14.5 14.5 
Balance, March 31, 20231.6 3,712.8 775.2 (210.6)4,279.0 
Common stock-based award activity— 6.4 — — 6.4 
Net income— — 51.9 — 51.9 
Other comprehensive loss— — — (26.3)(26.3)
Balance, June 30, 2023$1.6 $3,719.2 $827.1 $(236.9)$4,311.0 

Six Months Ended July 1, 2022
Common StockAdditional Paid-in CapitalRetained EarningsAccumulated Other
Comprehensive Loss		Total
Envista
Equity		Noncontrolling Interests
Balance, December 31, 2021$1.6 $3,732.6 $466.9 $(143.5)$4,057.6 $0.4 
Cumulative effect of adjustment related to change in accounting principle. See Note 1— (77.8)21.4 — (56.4)— 
Balance, January 1, 20221.6 3,654.8 488.3 (143.5)4,001.2 0.4 
Change in noncontrolling interest— — — — — (0.4)
Common stock-based award activity— 13.1 — — 13.1 — 
Net income— — 74.9 — 74.9 — 
Other comprehensive loss— — — (58.3)(58.3)— 
Balance, April 1, 20221.6 3,667.9 563.2 (201.8)4,030.9 — 
Common stock-based award activity— 10.5 10.5 — 
Net income— 47.1 47.1 — 
Other comprehensive loss— (72.5)(72.5)— 
Balance, July 1, 2022$1.6 $3,678.4 $610.3 $(274.3)$4,016.0 $— 

See the accompanying Notes to the Condensed Consolidated Financial Statements.

4

ENVISTA HOLDINGS CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)
($ in millions)
 Six Months Ended
 June 30, 2023July 1, 2022
Cash flows from operating activities:
Net income $95.7 $122.0 
Noncash items:
Depreciation17.9 16.1 
Amortization52.0 50.3 
Allowance for credit losses3.2 3.6 
Stock-based compensation expense20.2 15.8 
Gain on sale of equity investment(6.9)— 
Gain on sale of property, plant and equipment— (1.1)
Gain on sale of KaVo treatment unit and instrument business— (8.9)
Restructuring charges0.8 3.8 
Impairment charges0.2 4.9 
Amortization of right-of-use assets13.1 11.2 
Amortization of debt discount and issuance costs2.1 2.0 
Change in trade accounts receivable(24.0)(56.6)
Change in inventories(3.9)(29.5)
Change in trade accounts payable(47.1)5.9 
Change in prepaid expenses and other assets(1.1)(17.4)
Change in accrued expenses and other liabilities(27.2)(80.9)
Change in operating lease liabilities(16.8)(15.5)
Net cash provided by operating activities78.2 25.7 
Cash flows from investing activities:
Payments for additions to property, plant and equipment(31.6)(31.9)
Proceeds from sale of equity investment10.7 — 
Acquisitions, net of cash acquired— (569.8)
Proceeds from sale of KaVo treatment unit and instrument business, net— 28.8 
All other investing activities, net(3.9)(13.6)
Net cash used in investing activities(24.8)(586.5)
Cash flows from financing activities:
Proceeds from stock option exercises5.9 15.4 
Tax withholding payment related to net settlement of equity awards(6.4)(8.1)
Proceeds from borrowings— 0.3 
5

Repayment of borrowings— (0.5)
All other financing activities1.6 — 
Net cash provided by financing activities1.1 7.1 
Effect of exchange rate changes on cash and cash equivalents(9.7)3.2 
Net change in cash and cash equivalents44.8 (550.5)
Beginning balance of cash and cash equivalents606.9 1,073.6 
Ending balance of cash and cash equivalents$651.7 $523.1 
Supplemental data:
Cash paid for interest$35.3 $13.8 
Cash paid for taxes$33.5 $52.6 
ROU assets obtained in exchange for operating lease obligations$12.1 $18.3 
See the accompanying Notes to the Condensed Consolidated Financial Statements.
6

ENVISTA HOLDINGS CORPORATION
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)
NOTE 1. BUSINESS AND BASIS OF PRESENTATION
Business Overview

The Company provides products that are used to diagnose, treat and prevent disease and ailments of the teeth, gums and supporting bone, as well as to improve the aesthetics of the human smile. The Company is a worldwide provider of a broad range of dental implants, orthodontic appliances, general dental consumables, equipment and services and is dedicated to driving technological innovations that help dental professionals improve clinical outcomes and enhance productivity.

The Company operates in two business segments: Specialty Products & Technologies and Equipment & Consumables.
The Company’s Specialty Products & Technologies segment primarily develops, manufactures and markets dental implant systems, including regenerative solutions, dental prosthetics and associated treatment software and technologies, as well as orthodontic bracket systems, aligners and lab products. The Company’s Equipment & Consumables segment primarily develops, manufactures and markets dental equipment and supplies used in dental offices, including digital imaging systems, software and other visualization/magnification systems; endodontic systems and related consumables; and restorative materials and instruments, rotary burs, impression materials, bonding agents and cements and infection prevention products.

Basis of Presentation
All revenues and costs as well as assets and liabilities directly associated with the business activity of the Company are included in the financial statements. All significant intercompany accounts and transactions between the businesses comprising the Company have been eliminated in the accompanying Condensed Consolidated Financial Statements.

The Condensed Consolidated Financial Statements included herein have been prepared by the Company without audit, pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). Certain information and footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles (“GAAP”) have been condensed or omitted pursuant to such rules and regulations; however, the Company believes that the disclosures are adequate to make the information presented not misleading. The accompanying Condensed Consolidated Financial Statements contain all adjustments (consisting of only normal recurring adjustments and reclassifications to conform to current year presentation) necessary to present fairly the financial position of the Company as of June 30, 2023 and December 31, 2022, and its results of operations for the three and six month periods ended June 30, 2023 and July 1, 2022 and cash flows for the six month periods ended June 30, 2023 and July 1, 2022. The information included in this Quarterly Report on Form 10-Q should be read in conjunction with the Company’s Consolidated Financial Statements and accompanying notes for the three years ended December 31, 2022, included in the Annual Report on Form 10-K filed by the Company with the SEC on February 16, 2023.

As discussed in Note 3, Discontinued Operations, on December 31, 2021, the Company sold substantially all of its KaVo dental treatment unit and instrument business (the "KaVo Treatment Unit and Instrument Business"), which was part of the Company’s Equipment and Consumables segment. However, the transfer of assets in certain countries was not executed and closed until 2022 (“Deferred Local Closing”). As a result, the financial results related to the Deferred Local Closing countries were reported as discontinued operations and all segment information and descriptions exclude the activity related to those countries for the three and six months ended July 1, 2022. As of December 31, 2022, all Deferred Local Closings were completed and therefore there is no discontinued operations activity reported for the three and six months ended June 30, 2023.

7

Risks and Uncertainties

The Company is subject to risks and uncertainties as a result of the novel coronavirus (“COVID-19”) pandemic.

The extent of the impact of the COVID-19 pandemic on the Company remains uncertain and difficult to predict because of the dynamic and evolving nature of the situation. The global impact of the outbreak continues to adversely affect many industries, and different geographies continue to reflect the effects of public health restrictions in various ways. The economic recovery following the impact of the COVID-19 pandemic is only partially underway and has been gradual, uneven and characterized by meaningful dispersion across sectors and regions with uncertainty regarding its ultimate length and trajectory. During the three and six months ended June 30, 2023, notwithstanding improvement in many markets in which the Company operates due to a return to more normalized business operations, certain markets continued to be adversely impacted by COVID-19.

In addition, Russia’s invasion of Ukraine and the global response to this invasion, including sanctions imposed by the U.S. and other countries, could have an adverse impact on the Company’s overall business, including impacting the Company’s ability to market and sell products in the affected regions, potentially heightening the risk of cyber security attacks, impacting its ability to enforce its intellectual property rights in Russia, creating disruptions in the global supply chain, and by potentially having an adverse impact on the global economy, financial markets, energy markets, currency rates and otherwise.

Accounting Standards Recently Adopted

In August 2020, the Financial Accounting Standards Board issued Accounting Standards Update 2020-06, “Debt – Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging – Contracts in Entity’s Own Equity (Subtopic 815 – 40),” (“ASU 2020-06”), which simplifies the accounting for certain financial instruments with characteristics of liabilities and equity, including convertible instruments and contracts on an entity’s own equity. ASU 2020-06 was effective for public entities for fiscal years beginning after December 15, 2021. On January 1, 2022, the Company adopted ASU 2020-06 using the modified retrospective adoption approach. The cumulative effect of the change was recognized as an adjustment to the opening balance of retained earnings at the date of adoption and resulted in a $75.0 million increase to the carrying value of the convertible notes due 2025, a decrease to additional paid-in capital of $77.8 million, a $21.4 million increase to retained earnings and an $18.6 million decrease to the related net deferred tax liability.

NOTE 2. ACQUISITIONS
The Company continually evaluates potential acquisitions that either strategically fit with the Company’s existing portfolio or expand the Company’s portfolio into new and attractive business areas. The Company has completed a number of acquisitions that have been accounted for as business combinations and have resulted in the recognition of goodwill in the Company’s Condensed Consolidated Financial Statements. Among other things, goodwill arises because the purchase prices for these businesses reflect a number of factors including the future earnings and cash flow potential of these businesses, the multiple to earnings, cash flow and other factors at which similar businesses have been purchased by other acquirers, the competitive nature of the processes by which the Company acquired the businesses, avoidance of the time and costs which would be required (and the associated risks that would be encountered) to enhance the Company’s existing product offerings to key target markets and enter into new and profitable businesses and the complementary strategic fit and resulting synergies these businesses bring to existing operations.

The Company makes an initial allocation of the purchase price at the date of acquisition based upon its understanding of the fair value of the acquired assets and assumed liabilities. The Company obtains this information during due diligence and through other sources. For those assets and liabilities that were accounted for on a preliminary basis, the Company may up to 12 months after closing, refine the estimates of fair value and more accurately allocate the purchase price. Only items that existed as of the acquisition date are considered for subsequent adjustment.

During the year ended December 31, 2022, the Company completed the following acquisitions which were accounted for under Accounting Standards Codification 805 Business Combinations using the acquisition method of accounting:

8

Osteogenics Biomedical Inc., Allotech LLC and OBI Biologics, Inc.
On July 5, 2022, the Company acquired all of the equity of Osteogenics Biomedical Inc., Allotech LLC and OBI Biologics, Inc. (together "Osteogenics") for total consideration of approximately $128.2 million, subject to certain customary adjustments as provided in the Equity Purchase Agreement dated May 17, 2022. Osteogenics develops innovative regenerative solutions for periodontists, oral and maxillofacial surgeons, and clinicians involved in implant dentistry throughout the world, and is part of the Company’s Specialty Products & Technologies segment.

Carestream Dental Technology Parent Limited’s Intraoral Scanner Business
On April 20, 2022, the Company completed the acquisition of Carestream Dental Technology Parent Limited’s (“Carestream Dental”) intraoral scanner business (the “Intraoral Scanner Business”) for total consideration of $580.3 million, including contingent consideration of $7.5 million, and subject to certain customary adjustments as provided in the Stock and Asset Purchase Agreement dated December 21, 2021 and as subsequently amended by the closing agreement dated as of April 20, 2022 (together, the “IOS Purchase Agreement”). The Intraoral Scanner Business manufactures, markets, sells, commercializes, distributes, services, trains, supports, and maintains operations of intraoral scanners and software, and is part of the Company’s Equipment & Consumables segment. The Company purchased the Intraoral Scanner Business through the acquisition of certain assets and the assumption of certain liabilities as well as the acquisition of all of the equity of certain subsidiaries of Carestream Dental.

The following table summarizes the fair values of the assets acquired and liabilities assumed as of the respective acquisition dates ($ in millions):

Osteogenics
July 5, 2022		Intraoral Scanner Business
April 20, 2022
Assets acquired:
   Cash$2.1 $2.7 
   Accounts receivable2.5 0.1 
   Inventories13.3 6.1 
   Intangible assets53.0 129.8 
   Property, plant and equipment— 0.3 
   Prepaids and Other Current Assets1.3 — 
   Goodwill77.3 373.1 
   Non-current deferred tax asset— 96.0 
   Operating lease right-of-use assets2.6 0.9 
   Other long-term assets4.9 0.2 
       Total assets acquired157.0 609.2 
Liabilities assumed:
   Accounts payable (4.1)(0.5)
   Accrued expenses and other liabilities (2.5)(27.9)
   Non-current deferred tax liability(14.3)— 
   Other long-term liabilities(5.8)— 
   Operating lease liabilities(2.1)(0.5)
       Total liabilities assumed(28.8)(28.9)
Total net assets acquired$128.2 $580.3 


The intangible assets acquired consist of trade name, developed technology, and customer relationships. The weighted average amortization period of the acquired intangible assets in the aggregate is 8 and 10 years for the Intraoral Scanner Business and Osteogenics, respectively.

9

The excess of the purchase price over the fair value assigned to the assets acquired and liabilities assumed represents the goodwill resulting from the acquisitions. Goodwill attributable to the acquisitions has been recorded as a non-current asset and is not amortized, but is subject to review at least on an annual basis for impairment. Goodwill recognized was primarily attributable to expected operating efficiencies and expansion opportunities in the businesses acquired. Goodwill is not deductible for income tax purposes. The pro forma impact of the acquisitions is not presented as the acquisitions were not considered material to the Company's Condensed Consolidated Financial Statements.

For the three and six months ended July 1, 2022, legal, accounting, and other professional service costs associated with acquisitions were $8.2 million and $10.7 million, respectively, and have been recorded as selling, general and administrative expense in the Condensed Consolidated Statements of Operations. For the three and six months ended June 30, 2023, there were no legal, accounting, and other professional service costs associated with acquisitions.

NOTE 3. DISCONTINUED OPERATIONS
On December 31, 2021, the Company sold substantially all of the KaVo Treatment Unit and Instrument Business (the “Divestiture”) to planmeca Verwaltungs Gmbh, Germany (“Planmeca”), pursuant to the master sale and purchase agreement (the “Purchase Agreement”) among the Company, Planmeca, and Planmeca Oy, as guarantor. However, the transfer of assets for Deferred Local Closing countries was not executed and closed until 2022. As of December 31, 2022, all Deferred Local Closings were completed and the Company received total net cash consideration of $386.4 million in accordance with the terms of the Purchase Agreement.

For the six months ended July 1, 2022, the Company recognized an earnout payment of $30.0 million. As all Deferred Local Closings were completed as of December 31, 2022, there are no discontinued operations reported for the three and six months ended June 30, 2023.

The operating results of the Divestiture for the three and six months ended July 1, 2022 are reflected in the Condensed Consolidated Statements of Operations within income from discontinued operations, net of tax as follows ($ in millions):

 Three Months EndedSix Months Ended
 July 1, 2022July 1, 2022
Sales$2.0 $8.9 
Cost of sales1.1 7.0 
Gross profit0.9 1.9 
Operating expenses:
Selling, general and administrative1.0 2.1 
Research and development— — 
Operating loss(0.1)(0.2)
Income tax expense— — 
Loss from discontinued operations(0.1)(0.2)
Gain on sale of discontinued operations, net of tax2.7 7.3 
Net income from discontinued operations$2.6 $7.1 


NOTE 4. CREDIT LOSSES

The allowance for credit losses is a valuation account deducted from accounts receivable to present the net amount expected to be collected. Accounts receivable are charged off against the allowance when management believes the uncollectibility of an accounts receivable balance is confirmed.

Management estimates the adequacy of the allowance by using relevant available information, from internal and external sources, relating to past events, current conditions and forecasts. Historical credit loss experience provides the basis for estimation of expected credit losses and is adjusted as necessary using the relevant information available. The allowance for credit losses is measured on a collective basis when similar risk characteristics exist. The Company has identified one portfolio segment based on the following risk characteristics: geographic regions, product lines, default rates and customer specific factors.
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The factors used by management in its credit loss analysis are inherently subject to uncertainty. If actual results are not consistent with management’s estimates and assumptions, the allowance for credit losses may be overstated or understated and a charge or credit to net income (loss) may be required.

The rollforward of the allowance for credit losses is summarized as follows ($ in millions):

Balance at December 31, 2022$16.2 
Foreign currency translation(0.2)
Provision for credit losses3.2 
Write-offs charged against the allowance(1.8)
Recoveries(1.1)
Balance at June 30, 2023$16.3 

NOTE 5. INVENTORIES
The classes of inventory are summarized as follows ($ in millions):
June 30, 2023December 31, 2022
Finished goods$229.5 $229.2 
Work in process22.2 23.9 
Raw materials102.2 103.4 
Reserve for inventory obsolescence(56.9)(55.7)
Total$297.0 $300.8 

NOTE 6. PROPERTY, PLANT AND EQUIPMENT
The classes of property, plant and equipment are summarized as follows ($ in millions):
June 30, 2023December 31, 2022
Land and improvements$10.0 $10.0 
Buildings and improvements158.3 154.5 
Machinery, equipment and other assets394.7 370.2 
Construction in progress63.8 71.2 
Gross property, plant and equipment626.8 605.9 
Less: accumulated depreciation(326.7)(312.3)
Property, plant and equipment, net$300.1 $293.6 

NOTE 7. GOODWILL
The following is a rollforward of the Company’s goodwill by segment ($ in millions):
Specialty Products & TechnologiesEquipment & ConsumablesTotal
Balance at December 31, 2022$2,047.8 $1,448.8 $3,496.6 
Foreign currency translation (7.8)5.0 (2.8)
Balance at June 30, 2023$2,040.0 $1,453.8 $3,493.8 

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NOTE 8. ACCRUED EXPENSES AND OTHER LIABILITIES
Accrued expenses and other liabilities were as follows ($ in millions):
June 30, 2023December 31, 2022
CurrentNoncurrentCurrentNoncurrent
Compensation and benefits$114.1 $21.1 $148.0 $17.5 
Sales and product allowances63.7 1.5 85.1 1.3 
Contract liabilities102.6 8.3 78.9 8.6 
Taxes, income and other37.8 65.8 42.1 68.6 
Restructuring-related employee severance, benefits and other11.1 — 18.9 — 
Pension benefits5.6 16.6 5.6 17.5 
Loss contingencies10.3 26.7 8.1 27.6 
Derivative financial instruments— 1.7 — — 
Other88.8 11.3 84.7 10.2 
Total$434.0 $153.0 $471.4 $151.3 

NOTE 9.  HEDGING TRANSACTIONS AND DERIVATIVE FINANCIAL INSTRUMENTS
The Company uses cross-currency swap derivative contracts to partially hedge its net investments in foreign operations against adverse movements in exchange rates between the U.S. dollar and the euro. The cross-currency swap derivative contracts are agreements to exchange fixed-rate payments in one currency for fixed-rate payments in another currency. On January 17, 2023, the Company entered into a two-year cross-currency swap derivative contract, with a notional value of $150.0 million, with respect to its $650.0 million senior term loan facility. This contract effectively converts a portion of the $650.0 million senior term loan facility to an obligation denominated in euros and partially offsets the impact of changes in currency rates on foreign currency denominated net investments. This instrument matures on January 17, 2025.

The Company also has foreign currency denominated long-term debt in the amount of €208.0 million. This senior euro term loan facility represents a partial hedge of the Company’s net investment in foreign operations against adverse movements in exchange rates between the U.S. dollar and the euro. The senior euro term loan facility is designated and qualifies as a non-derivative hedging instrument. The senior euro term loan facility matures in September 2024. Refer to Note 13 for further discussion of the senior euro term loan facility.

The change in the fair value of the cross-currency swap instrument and the foreign currency translation of the senior euro term loan facility are recorded in accumulated other comprehensive loss in equity, in the accompanying Condensed Consolidated Balance Sheets, partially offsetting the foreign currency translation adjustment of the Company’s related net investment that is also recorded in accumulated other comprehensive loss as reflected in Note 14.

The Company has also used interest rate swap derivative contracts to reduce its variability of cash flows related to interest payments with respect to its senior term and senior euro term loan facilities. The interest rate swap contracts exchanged interest payments based on variable rates for interest payments based on fixed rates. The changes in the fair value of these instruments were recorded in accumulated other comprehensive loss in equity (see Note 14). The interest income or expense from the cross-currency and interest rate swaps were recorded in interest expense, net in the Company’s Condensed Consolidated Statements of Operations consistent with the classification of interest expense attributable to the underlying debt. The Company did not have any outstanding interest rate swap contracts as of June 30, 2023.

The following table summarizes the notional values as of June 30, 2023 and July 1, 2022 and pretax impact of changes in the fair values of instruments designated as net investment and cash flow hedges in accumulated other comprehensive loss (“OCI”) for the three and six months ended June 30, 2023 and July 1, 2022 ($ in millions):
12

Three Months Ended
June 30, 2023		Three Months Ended
July 1, 2022
Notional AmountLoss Recognized in OCINotional AmountGain Recognized in OCI
Foreign currency denominated debt$227.0 $(1.5)$216.6 $13.1 
Foreign currency contracts150.0 (1.7)650.036.2
Interest rate contract— — 250.00.7
Total$377.0 $(3.2)$1,116.6 $50.0 
Six Months Ended
June 30, 2023		Six Months Ended
July 1, 2022
Notional AmountLoss Recognized in OCINotional AmountGain Recognized in OCI
Foreign currency denominated debt$227.0 $(4.3)$216.6 $19.9 
Foreign currency contracts150.0 (1.7)650.0 54.1 
Interest rate contracts— — 250.0 2.5 
Total$377.0 $(6.0)$1,116.6 $76.5 

The Company did not reclassify any deferred gains or losses related to net investment and cash flow hedges from accumulated other comprehensive loss to income during the three and six months ended June 30, 2023 and July 1, 2022. In addition, the Company did not have any ineffectiveness related to net investment and cash flow hedges and therefore did not reclassify any portion of the above net investment and cash flow hedges from accumulated other comprehensive loss into income during the three and six months ended June 30, 2023 and July 1, 2022. The cash inflows and outflows associated with the Company’s derivative contracts designated as net investment hedges are classified in investing activities in the accompanying Condensed Consolidated Statements of Cash Flows.

The Company’s derivative instruments, as well as its non-derivative debt instruments designated and qualifying as net investment hedges, were classified in the Company’s Condensed Consolidated Balance Sheets as follows ($ in millions):
June 30, 2023December 31, 2022
Derivative liabilities:
Other long-term liabilities$1.7 $— 
Nonderivative hedging instruments:
Long-term debt$227.0 $222.7 
Amounts related to the Company’s derivatives expected to be reclassified from accumulated other comprehensive loss to net income during the next 12 months are not significant.

NOTE 10. FAIR VALUE MEASUREMENTS
Accounting standards define fair value based on an exit price model, establish a framework for measuring fair value where the Company’s assets and liabilities are required to be carried at fair value and provide for certain disclosures related to the valuation methods used within a valuation hierarchy as established within the accounting standards. This hierarchy prioritizes the inputs into three broad levels as follows: Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities; Level 2 inputs are quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets in markets that are not active, or other observable characteristics for the asset or liability, including interest rates, yield curves and credit risks, or inputs that are derived principally from, or corroborated by, observable market data through correlation; and Level 3 inputs are unobservable inputs based on the Company’s assumptions. A financial asset or liability’s classification within the hierarchy is determined based on the lowest level input that is significant to the fair value measurement in its entirety.
13

A summary of financial assets and liabilities that are measured at fair value on a recurring basis were as follows ($ in millions):
Quoted Prices in
Active Market
(Level 1)		Significant Other
Observable Inputs
(Level 2)		Significant
Unobservable
Inputs
(Level 3)		Total
June 30, 2023
Liabilities:
Cross-currency swap derivative contracts$— $1.7 $— $1.7 
Deferred compensation plans$— $19.4 $— $19.4 
Contingent consideration$— $— $6.0 $6.0 
December 31, 2022:
Liabilities:
Deferred compensation plans$— $15.8 $— $15.8 
Contingent consideration$— $— $6.0 $6.0 

Derivative Instruments
The cross-currency swap derivative contract was classified as Level 2 in the fair value hierarchy as it is measured using the income approach with the relevant, foreign currency current exchange rates and forward curves as inputs. Refer to Note 9 for additional information.

Deferred Compensation Plans
Certain management employees of the Company participate in nonqualified deferred compensation programs that permit such employees to defer a portion of their compensation, on a pretax basis. All amounts deferred under this plan are unfunded, unsecured obligations and are presented as a component of the Company’s compensation and benefits accrual included in accrued expenses in the accompanying Condensed Consolidated Balance Sheets (refer to Note 8). Participants may choose among alternative earnings rates for the amounts they defer, which are primarily based on investment options within the Company’s 401(k) program. Changes in the deferred compensation liability under these programs are recognized based on changes in the fair value of the participants’ accounts, which are based on the applicable earnings rates on investment options within the Company’s 401(k) program. Amounts voluntarily deferred by employees into the Company stock fund and amounts contributed to participant accounts by the Company are deemed invested in the Company’s common stock and future distributions of such contributions will be made solely in shares of Company common stock, and therefore are not reflected in the above amounts.
Contingent Consideration
Contingent consideration represents a cash hold back intended to be used for certain liabilities related to the Company’s acquisition of the Intraoral Scanner Business (as further discussed in Note 2). Contingent consideration was classified as Level 3 in the fair value hierarchy as the estimated fair value was measured using a probability weighted discounted cash flow model.
Fair Value of Financial Instruments
The carrying amounts and fair values of the Company’s financial instruments were as follows ($ in millions):
June 30, 2023December 31, 2022
 Carrying AmountFair ValueCarrying AmountFair Value
Liabilities:
Contingent consideration$6.0 $6.0 $6.0 $6.0 
Cross-currency swap derivative contracts$1.7 $1.7 $— $— 
Convertible senior notes due 2025$511.5 $868.4 $510.0 $873.0 
Long-term debt$875.6 $875.6 $870.7 $870.7 

14

The fair value of long-term debt approximates the carrying value as these borrowings are based on variable market rates. The fair value of the convertible senior notes due 2025 was determined based on the quoted bid price of the convertible senior notes in an over-the-counter market on June 30, 2023 and December 31, 2022. The convertible senior notes are considered as Level 2 of the fair value hierarchy. The fair values of cash and cash equivalents, which consist primarily of money market funds, time and demand deposits, trade accounts receivable, net and trade accounts payable approximate their carrying amounts due to the short-term maturities of these instruments.

NOTE 11. WARRANTY
The Company generally accrues estimated warranty costs at the time of sale. In general, manufactured products are warranted against defects in material and workmanship when properly used for their intended purpose, installed correctly and appropriately maintained. Warranty periods depend on the nature of the product and range from 90 days up to the life of the product. The amount of the accrued warranty liability is determined based on historical information such as past experience, product failure rates or number of units repaired, estimated cost of material and labor and in certain instances estimated property damage. The accrued warranty liability is reviewed on a quarterly basis and may be adjusted as additional information regarding expected warranty costs becomes known.
The following is a rollforward of the Company’s accrued warranty liability ($ in millions):
Balance at December 31, 2022$9.2 
Accruals for warranties issued during the year6.7 
Settlements made(6.5)
Effect of foreign currency translation0.1 
Balance at June 30, 2023$9.5 

NOTE 12. LITIGATION AND CONTINGENCIES
The Company records accruals for loss contingencies associated with legal matters when it is probable that a liability will be incurred, and the amount of the loss can be reasonably estimated.

For litigation matters that the Company has determined are both probable and can be reasonably estimated, the Company has accrued $37.0 million and $35.7 million as of June 30, 2023 and December 31, 2022, respectively, which are included in accrued liabilities in the Condensed Consolidated Balance Sheets. The Company has accrued for these matters and will continue to monitor each related legal issue and adjust accruals as might be warranted based on new information and further developments in accordance with ASC 450-20-25. Amounts accrued for legal contingencies often result from a complex series of judgments about future events and uncertainties that rely heavily on estimates and assumptions including timing of related payments. The ability to make such estimates and judgments can be affected by various factors including, among other things, whether damages sought in the proceedings are unsubstantiated or indeterminate; legal discovery has not commenced or is not complete; proceedings are in early stages; matters present legal uncertainties; there are significant facts in dispute; procedural or jurisdictional issues; the uncertainty and unpredictability of the number of potential claims; or there are numerous parties involved. To the extent adverse verdicts have been rendered against the Company, the Company does not record an accrual until a loss is determined to be probable and can be reasonably estimated. In the Company's opinion, based on its examination of these matters, its experience to date and discussions with counsel, the ultimate outcome of legal proceedings, net of liabilities accrued in the Company's Condensed Consolidated Balance Sheets, is not expected to have a material adverse effect on the Company's financial position. However, the resolution of, or increase in accruals for one or more of these matters in any reporting period may have a material adverse effect on the Company’s results of operations and cash flows for that period.



15

NOTE 13. DEBT AND CREDIT FACILITIES
The components of the Company’s debt were as follows, net of debt issuance costs ($ in millions):
June 30, 2023December 31, 2022
Senior term loan facility due 2024 (the “Term Loan”)
$648.8 $648.3 
Senior euro term loan facility due 2024 (the “Euro Term Loan”)226.8 222.4 
Convertible senior notes due 2025
511.5 510.0 
Total debt1,387.1 1,380.7 
Less: current portion(511.5)(510.0)
Long-term debt$875.6 $870.7 

Credit Facilities
The Company maintains a $650.0 million Term Loan and a €208.0 million Euro Term Loan. Additionally, the Company maintains a revolving credit facility (together with the Term Loan and the Euro Term Loan, the “Senior Credit Facilities”) with an aggregate available borrowing capacity of $750.0 million and a $20.0 million sublimit for the issuance of standby letters of credit that can be used for working capital and other general corporate purposes. The Company may request further increases to the revolving credit facility in an aggregate amount not to exceed $350.0 million. As of June 30, 2023 and December 31, 2022, there were no borrowings outstanding under the revolving credit facility. The Senior Credit Facilities mature on September 20, 2024.

Under the Senior Credit Facilities, borrowings bear interest as follows: (1) Eurocurrency Rate Loans (as defined in the Amended Credit Agreement) bear interest at a variable rate equal to the London inter-bank offered (“LIBOR”) rate plus a margin of between 0.785% and 1.625%, depending on the Company’s Consolidated Leverage Ratio (as defined in the Amended Credit Agreement) as of the last day of the immediately preceding fiscal quarter; and (2) Base Rate Loans (as defined in the Amended Credit Agreement) bear interest at a variable rate equal to (a) the highest of (i) the Federal funds rate (as published by the Federal Reserve Bank of New York from time to time) plus 0.50%, (ii) Bank of America’s “prime rate” as publicly announced from time to time and (iii) the Eurocurrency Rate (as defined in the Amended Credit Agreement) plus 1.0%, plus (b) a margin of between 0.00% and 0.625%, depending on the Company’s Consolidated Leverage Ratio as of the last day of the immediately preceding fiscal quarter. In no event will Eurocurrency Rate Loans or Base Rate Loans bear interest at a rate lower than 0.0%. In the event of LIBOR cessation, the Secured Overnight Financing Rate will be used as a replacement rate. In addition, the Company is required to pay a per annum facility fee of between 0.09% and 0.225% depending on the Company’s Consolidated Leverage Ratio as of the last day of the immediately preceding fiscal quarter and based on the aggregate commitments under the revolving credit facility, whether drawn or not.
The interest rates for borrowings under the Term Loan were 6.44% and 5.98% as of June 30, 2023 and December 31, 2022, respectively. The interest rates for borrowings under the Euro Term Loan were 4.49% and 3.28% as of June 30, 2023 and December 31, 2022, respectively. Interest is payable quarterly for both the Term and Euro Term Loans. The Company is required to maintain a Consolidated Leverage Ratio of 3.75 to 1.00 or less and includes a provision that the maximum Consolidated Leverage Ratio will be increased to 4.25 to 1.00 for the four consecutive full fiscal quarters immediately following the consummation of any acquisition by the Company or any subsidiary of the Company in which the purchase price exceeds $100.0 million. The Company is also required to maintain a Consolidated Interest Coverage Ratio (as defined in the Amended Credit Agreement) of at least 3.00 to 1.00. The Company is subject to customary representations, warranties, conditions precedent, events of default, indemnities and affirmative and negative covenants, including covenants that, among other things, limit or restrict the Company’s and/or the Company’s subsidiaries’ ability, subject to certain exceptions and qualifications, to incur liens or indebtedness, merge, consolidate or sell or otherwise transfer assets, make dividends or distributions, enter into transactions with the Company’s affiliates and use proceeds of the debt financing for other than permitted uses. Additionally, upon the occurrence and during the continuance of an event of default, the lenders may declare the outstanding advances and all other obligations immediately due and payable. The Company was in compliance with all of its debt covenants as of June 30, 2023.
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Convertible Senior Notes (the “Notes”)

On May 21, 2020, the Company issued the Notes due on June 1, 2025, unless earlier repurchased, redeemed or converted. The aggregate principal amount, which includes the initial purchasers’ exercise in full of their option to purchase an additional $67.5 million principal amount of the Notes, was $517.5 million. The net proceeds from the issuance, after deducting purchasers’ discounts and estimated offering expenses, were $502.6 million. The Company used part of the net proceeds to pay for the capped call transactions (“Capped Calls”) as further described below. The Notes accrue interest at a rate of 2.375% per annum, payable semi-annually in arrears on June 1 and December 1 of each year. The Notes have an initial conversion rate of 47.5862 shares of the Company’s common stock per $1,000 principal amount of Notes, which is equivalent to an initial conversion price of approximately $21.01 per share of the Company’s common stock and is subject to adjustment upon the occurrence of specified events. The Notes are governed by an indenture dated as of May 21, 2020 (the “Indenture”) between the Company and Wilmington Trust, National Association, as trustee. The Indenture does not contain any financial covenants or any restrictions on the payment of dividends, the incurrence of senior debt or other indebtedness or the issuance or repurchase of the Company’s securities by the Company.

The Notes are the Company’s senior, unsecured obligations and are (i) equal in right of payment with the Company’s existing and future senior, unsecured indebtedness; (ii) senior in right of payment to the Company’s existing and future indebtedness that is expressly subordinated to the Notes; (iii) effectively subordinated to the Company’s existing and future secured indebtedness, to the extent of the value of the collateral securing that indebtedness; and (iv) structurally subordinated to all existing and future indebtedness and other liabilities, including trade payables, and (to the extent the Company is not a holder thereof) preferred equity, if any, of the Company’s subsidiaries.

Holders of the Notes may convert their Notes at any time on or after December 2, 2024 until the close of business on the second scheduled trading day preceding the maturity date. Holders of the Notes will also have the right to convert the Notes prior to December 2, 2024, but only upon the occurrence of specified events. In December 2021, the Company made the irrevocable election to settle all Notes conversions through combination settlement, satisfying the principal amount outstanding with cash and any Notes conversion value in excess of the principal amount in cash, shares of the Company’s common stock or a combination of both. If a fundamental change occurs prior to the maturity date, holders of the Notes may require the Company to repurchase all or a portion of their Notes for cash at a repurchase price equal to 100.0% of the principal amount plus any accrued and unpaid interest. In addition, if specific corporate events occur prior to the maturity date, the Company would increase the conversion rate for a holder who elects to convert its Notes in connection with such an event in certain circumstances. As of June 30, 2023 and December 31, 2022, the stock price exceeded 130% of the conversion price of $21.01 in 20 days of the final 30 trading days ended June 30, 2023 and December 31, 2022, which satisfied one of the conditions permitting early conversion by holders of the Notes, therefore, the Notes are classified as short-term debt.

The Notes will be redeemable, in whole or in part, at the Company’s option at any time, and from time to time, on or after June 1, 2023 and on or before the 40th scheduled trading day immediately before the maturity date, at a cash redemption price equal to the principal amount of the Notes to be redeemed, plus accrued and unpaid interest, if any, to, but excluding the redemption date, but only if the last reported sale price per share of the Company’s common stock exceeds 130.0% of the conversion price on (i) each of at least 20 trading days, whether or not consecutive, during the 30 consecutive trading days ending on, and including, the trading day immediately before the date the Company sends the related redemption notice; and (ii) the trading day immediately before the date the Company sends such notice. In addition, calling any Note for redemption will constitute a “Make-Whole Fundamental Change” (as defined in the Indenture) with respect to that Note, in which case the conversion rate applicable to the conversion of that Note will be increased in certain circumstances if it is converted after it is called for redemption.

The following table sets forth total interest expense recognized related to the Notes ($ in millions):

Three Months EndedSix Months Ended
June 30, 2023July 1, 2022June 30, 2023July 1, 2022
Contractual interest expense
$3.0 $3.0 $6.1 $6.1 
Amortization of debt issuance costs
0.8 0.8 1.5 1.5 
Total interest expense
$3.8 $3.8 $7.6 $7.6 

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For the three and six months ended June 30, 2023 and July 1, 2022, the debt issuance costs were amortized using an annual effective interest rate of 3.0% to interest expense over the term of the Notes.

As of June 30, 2023 and December 31, 2022, the if-converted value of the Notes exceeded the outstanding principal amount by $315.8 million and $311.7 million, respectively.

Debt Issuance Costs

The remaining unamortized debt issuance costs for the Convertible Senior Notes, Term Loan and Euro Term Loan were as follows ($ in millions):
June 30, 2023December 31, 2022
Convertible Senior Notes$6.0 $7.5 
Term Loan1.2 1.7 
Euro Term Loan0.2 0.3 
$7.4 $9.5 

The above unamortized debt issuance costs have been netted against their respective aggregate principal amounts of the related debt and are being amortized to interest expense over the term of the respective debt.

Capped Call Transactions
In connection with the offering of the Notes, the Company entered into Capped Calls with certain counterparties. The Capped Calls each have an initial strike price of approximately $21.01 per share, subject to certain adjustments, which corresponds to the initial conversion price of the Notes. The Capped Calls have initial cap prices of $23.79 per share, subject to certain adjustments. The Capped Calls cover, subject to anti-dilution adjustments, 2.9 million shares of the Company's common stock. The Capped Calls are generally intended to reduce or offset the potential dilution from shares of common stock issued upon any conversion of the Notes with such reduction or offset, as the case may be, subject to a cap based on the cap price. As the Capped Call transactions are considered indexed to the Company's own stock and are considered equity classified, they are recorded in equity and are not accounted for as derivatives. The cost of $20.7 million incurred in connection with the Capped Calls was recorded as a reduction to additional paid-in capital.

NOTE 14. ACCUMULATED OTHER COMPREHENSIVE LOSS
The changes in accumulated other comprehensive loss by component are summarized below ($ in millions).
Foreign Currency Translation AdjustmentsUnrealized Pension CostsTotal Accumulated Other Comprehensive Loss
Three Months Ended June 30, 2023
Balance, March 31, 2023$(225.7)$15.1 $(210.6)
Other comprehensive loss before reclassifications:
Decrease (26.7)— (26.7)
Income tax impact0.8 — 0.8 
Other comprehensive loss before reclassifications, net of income taxes(25.9)— (25.9)
Amounts reclassified from accumulated other comprehensive loss:
Increase— (0.5)(0.5)
Income tax impact— 0.1 0.1 
Amounts reclassified from accumulated other comprehensive loss, net of income taxes— (0.4)(0.4)
Net current period other comprehensive loss, net of income taxes(25.9)(0.4)(26.3)
Balance, June 30, 2023$(251.6)$14.7 $(236.9)
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Foreign Currency Translation AdjustmentsUnrealized Loss on Cash Flow HedgesUnrealized Pension CostsTotal Accumulated Other Comprehensive Loss
Three Months Ended July 1, 2022
Balance, April 1, 2022$(199.2)$(0.3)$(2.3)$(201.8)
Other comprehensive (loss) income before reclassifications:
(Decrease) increase(60.4)0.7 — (59.7)
Income tax impact(12.5)(0.2)— (12.7)
Other comprehensive (loss) income before reclassifications, net of income taxes(72.9)0.5 — (72.4)
Amounts reclassified from accumulated other comprehensive loss:
Increase— — — — 
Income tax impact— — (0.1)(0.1)
Amounts reclassified from accumulated other comprehensive loss, net of income taxes— — (0.1)(0.1)
Net current period other comprehensive (loss) income, net of income taxes(72.9)0.5 (0.1)(72.5)
Balance, July 1, 2022$(272.1)$0.2 $(2.4)$(274.3)
Foreign Currency Translation AdjustmentsUnrealized Pension CostsTotal Accumulated Other Comprehensive Loss
Six Months Ended June 30, 2023
Balance, December 31, 2022$(240.5)$15.4 $(225.1)
Other comprehensive loss before reclassifications:
Decrease(12.6)— (12.6)
Income tax impact1.5 — 1.5 
Other comprehensive loss before reclassifications, net of income taxes(11.1)— (11.1)
Amounts reclassified from accumulated other comprehensive loss:
Increase— (0.9)(0.9)
Income tax impact— 0.2 0.2 
Amounts reclassified from accumulated other comprehensive loss, net of income taxes— (0.7)(0.7)
Net current period other comprehensive loss, net of income taxes(11.1)(0.7)(11.8)
Balance, June 30, 2023$(251.6)$14.7 $(236.9)
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Foreign Currency Translation AdjustmentsUnrealized Loss on Cash Flow HedgesUnrealized Pension CostsTotal Accumulated Other Comprehensive Loss
Six Months Ended July 1, 2022
Balance, December 31, 2021$(139.6)$(1.7)$(2.2)$(143.5)
Other comprehensive (loss) income before reclassifications:
(Decrease) increase(114.2)2.5 — (111.7)
Income tax impact(18.3)(0.6)— (18.9)
Other comprehensive (loss) income before reclassifications, net of income taxes(132.5)1.9 — (130.6)
Amounts reclassified from accumulated other comprehensive loss:
Increase— — (0.2)(0.2)
Income tax impact— — — — 
Amounts reclassified from accumulated other comprehensive loss, net of income taxes— — (0.2)(0.2)
Net current period other comprehensive (loss) income, net of income taxes(132.5)1.9 (0.2)(130.8)
Balance, July 1, 2022$(272.1)$0.2 $(2.4)$(274.3)


NOTE 15. REVENUE
The following table presents the Company’s revenues disaggregated by geographical region for the three and six months ended June 30, 2023 and July 1, 2022 ($ in millions). Sales taxes and other usage-based taxes collected from customers are excluded from revenues. The Company has historically defined emerging markets as developing markets of the world, which prior to the COVID-19 pandemic, experienced extended periods of accelerated growth in gross domestic product and infrastructure, to include Eastern Europe, the Middle East, Africa, Latin America and Asia (with the exception of Japan and Australia). The Company defines developed markets as all markets of the world that are not emerging markets.
Three Months Ended June 30, 2023Three Months Ended July 1, 2022
Specialty Products & TechnologiesEquipment & ConsumablesTotalSpecialty Products & TechnologiesEquipment & ConsumablesTotal
Geographical region:
North America$178.3 $162.1 $340.4 $179.5 $160.3 $339.8 
Western Europe114.6 30.3 144.9 100.5 29.4 129.9 
Other developed markets22.2 10.1 32.3 23.0 10.3 33.3 
Emerging markets101.9 42.9 144.8 104.7 38.1 142.8 
Total$417.0 $245.4 $662.4 $407.7 $238.1 $645.8 

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Six Months Ended June 30, 2023Six Months Ended July 1, 2022
Specialty Products & TechnologiesEquipment & ConsumablesTotalSpecialty Products & TechnologiesEquipment & ConsumablesTotal
Geographical region:
North America$363.6 $301.5 $665.1 $358.8 $316.6 $675.4 
Western Europe231.6 62.4 294.0 206.8 61.4 268.2 
Other developed markets46.2 18.7 64.9 47.4 20.6 68.0 
Emerging markets185.6 80.0 265.6 191.8 73.8 265.6 
Total$827.0 $462.6 $1,289.6 $804.8 $472.4 $1,277.2 

Remaining Performance Obligations
Remaining performance obligations include noncancelable purchase orders, extended warranty and service agreements and do not include revenue from contracts with customers with an original term of one year or less.

As of June 30, 2023, the aggregate amount of the transaction price allocated to remaining performance obligations was $73.1 million and the Company expects to recognize revenue on the majority of this amount over the next 12 months.
Contract Liabilities
The Company often receives cash payments from customers in advance of the Company’s performance resulting in contract liabilities. These contract liabilities are classified as either current or long-term in the Condensed Consolidated Balance Sheets based on the timing of when the Company expects to recognize revenue. As of June 30, 2023 and December 31, 2022, the contract liabilities were $110.9 million and $87.5 million, respectively, and are included within accrued expenses and other liabilities and other long-term liabilities in the accompanying Condensed Consolidated Balance Sheets. Revenue recognized during the six months ended June 30, 2023 and July 1, 2022 that was included in the contract liability balance at December 31, 2022 and December 31, 2021 was $53.2 million and $36.1 million, respectively.
Significant Customers
Sales to the Company’s largest customer were 12% of sales for both of the three months ended June 30, 2023 and July 1, 2022, and 11% of sales for both of the six months ended June 30, 2023 and July 1, 2022.
Seasonality
Based on historical experience, the Company generally has more sales in the second half of the calendar year than in the first half of the calendar year, with the first quarter typically having the lowest sales of the year. Based on historical customer buying patterns, the Company generally has more sales in the fourth quarter than in any other quarter of the year, driven in particular by capital spending in the Equipment & Consumables segment. As a result of this seasonality in sales, profitability in the Equipment & Consumables segment also tends to be higher in the second half of the year. There are no assurances that these historical trends will continue in the future.

NOTE 16. RESTRUCTURING ACTIVITIES AND RELATED IMPAIRMENTS
Restructuring Activities
The Company’s restructuring activities are undertaken as necessary to implement management’s strategy, streamline operations, take advantage of available capacity and resources, and ultimately achieve net cost reductions. These activities generally relate to the realignment of existing manufacturing capacity and closure of facilities and other exit or disposal activities, as it relates to executing the Company’s strategy, pursuant to significant restructuring programs.
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The related liability which is included in accrued liabilities in the Condensed Consolidated Balance Sheets is summarized below ($ in millions):
Employee Severance
and Related		Facility Exit
and Related		Total
Balance, December 31, 2022$18.2 $0.7 $18.9 
Costs incurred13.2 4.3 17.5 
Paid(21.2)(4.1)(25.3)
Balance, June 30, 2023$10.2 $0.9 $11.1 

Restructuring related charges by segment were as follows ($ in millions): 
Three Months EndedSix Months Ended
June 30, 2023July 1, 2022June 30, 2023July 1, 2022
Specialty Products & Technologies$6.2 $4.2 $7.8 $8.2 
Equipment & Consumables6.4 9.3 9.0 8.4 
Other1.0 1.3 1.1 1.9 
Total$13.6 $14.8 $17.9 $18.5 
Restructuring related charges were reflected in the following captions in the accompanying Condensed Consolidated Statements of Operations ($ in millions):
Three Months EndedSix Months Ended
June 30, 2023July 1, 2022June 30, 2023July 1, 2022
Cost of sales$4.8 $6.9 $6.3 $6.6 
Selling, general and administrative expenses8.8 7.9 11.6 11.9 
Total$13.6 $14.8 $17.9 $18.5 

NOTE 17. INCOME TAXES
The Company’s effective tax rates from continuing operations of 24.3% and 23.0% for the three and six months ended June 30, 2023, respectively, and 24.7% and 20.8% for the three and six months ended July 1, 2022, respectively, differ from the U.S. federal statutory rate of 21.0% primarily due to the Company’s geographical mix of earnings and discrete tax benefits.

On August 16, 2022, the U.S. enacted the Inflation Reduction Act of 2022, which, among other things, implemented a 15% minimum tax on book income of certain large corporations, a 1% excise tax on net stock repurchases, and several tax incentives to promote clean energy. Based on the Company’s current analysis of the provisions, this legislation did not have a material impact on its Condensed Consolidated Financial Statements as of or for the three and six months ended June 30, 2023.

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NOTE 18.  EARNINGS PER SHARE
Earnings per share is calculated by dividing the applicable income by the weighted average number of shares of common stock outstanding for the applicable period. Diluted earnings per share is computed based on the weighted average number of common shares outstanding plus the effect of dilutive potential shares outstanding during the period using the treasury stock method. Dilutive potential common shares include employee equity options, non-vested shares and similar instruments granted by the Company and the assumed conversion impact of the Notes. The Company will settle any Notes conversions through a combination settlement by satisfying the principal amount outstanding with cash and any Notes conversion value in excess of the principal amount in cash or shares of the Company’s common stock or any combination thereof. As such, the Company uses the treasury stock method for the assumed conversion of the Notes to compute the weighted average shares of common stock outstanding for diluted earnings per share. As the Company will settle the principal amount of the Notes in cash upon conversion, the Notes only have an impact on the Company's diluted earnings per share when the average share price of the Company’s common stock exceeds the conversion price of $21.01 per share in any applicable period. See the computation of earnings per share below for the dilutive impact of the Notes for the three and six months ended June 30, 2023 and July 1, 2022.

In connection with the offering of the Notes, the Company entered into Capped Calls (see further discussion in Note 13), which are intended to reduce or offset the potential dilution from shares of common stock issued upon conversion of the Notes. However, this impact is not included when calculating potentially dilutive shares since their effect is anti-dilutive. The Capped Calls will mitigate dilution from the conversion of the Notes up to the Company’s common stock price of $23.79. If the Notes are converted at a price higher than $23.79 per share, the Capped Calls will no longer mitigate dilution from the conversion of the Notes.

The table below presents the computation of basic and diluted earnings per share ($ and shares in millions, except per share amounts):
Three Months EndedSix Months Ended
June 30, 2023July 1, 2022June 30, 2023July 1, 2022
Numerator:
Income from continuing operations, net of tax$51.9 $44.5 $95.7 $114.9 
Income from discontinued operations, net of tax$— $2.6 $— $7.1 
Net income $51.9 $47.1 $95.7 $122.0 
Denominator:
Weighted-average common shares outstanding used in basic earnings per share164.0 162.9 163.8 162.6 
Incremental common shares from:
Assumed exercise of dilutive options and vesting of dilutive restricted stock units2.4 3.3 2.6 3.8 
Assumed conversion of the Notes9.9 12.3 10.5 12.8 
Weighted average common shares outstanding used in diluted earnings per share176.3 178.5 176.9 179.2 
Earnings per share:
Earnings from continuing operations - basic$0.32 $0.27 $0.58 $0.71 
Earnings from continuing operations - diluted$0.29 $0.25 $0.54 $0.64 
Earnings from discontinued operations - basic$— $0.02 $— $0.04 
Earnings from discontinued operations - diluted$— $0.01 $— $0.04 
Earnings - basic$0.32 $0.29 $0.58 $0.75 
Earnings - diluted$0.29 $0.26 $0.54 $0.68 

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The following table presents the number of outstanding securities not included in the computation of diluted income per share, because their effect was anti-dilutive (in millions):

Three Months EndedSix Months Ended
June 30, 2023July 1, 2022June 30, 2023July 1, 2022
Stock-based awards2.1 1.9 2.0 1.3 

NOTE 19. SEGMENT INFORMATION
The Company operates and reports its results in two separate business segments, the Specialty Products & Technologies and Equipment & Consumables segments. When determining the reportable segments, the Company aggregated operating segments based on their similar economic and operating characteristics. Operating profit represents total revenues less operating expenses, excluding nonoperating income (expense), interest expense and income taxes. Operating profit amounts in the Other segment consist of unallocated corporate costs and other costs not considered part of management’s evaluation of reportable segment operating performance. The identifiable assets by segment are those used in each segment’s operations. Inter-segment amounts are not significant and are eliminated to arrive at consolidated totals.

The Company’s Specialty Products & Technologies products primarily include implants, regenerative products, prosthetics, orthodontic brackets, aligners and lab products. The Company’s Equipment & Consumables products primarily include traditional consumables such as bonding agents and cements, impression materials, infection prevention products and restorative products, while the Company’s equipment products primarily include digital imaging systems, software and other visualization and magnification systems.

On December 31, 2021, the Company sold substantially all of its KaVo Treatment Unit and Instrument Business, which was part of the Company’s Equipment & Consumables segment. As a result, the financial results of the KaVo Treatment Unit and Instrument Business for the three and six months ended July 1, 2022, were reported as discontinued operations and all segment information and descriptions exclude the KaVo Treatment Unit and Instrument Business. As of December 31, 2022, all activities related to the sale of the KaVo Treatment Unit and Instrument Business were completed and therefore there are no discontinued operations reported for the three and six months ended June 30, 2023. Refer to Note 3 for more information on the Company’s discontinued operations.
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Segment related information is shown below ($ in millions):
Three Months EndedSix Months Ended
June 30, 2023July 1, 2022June 30, 2023July 1, 2022
Sales:
Specialty Products & Technologies$417.0 $407.7 $827.0 $804.8 
Equipment & Consumables245.4 238.1 462.6 472.4 
Total$662.4 $645.8 $1,289.6 $1,277.2 
Operating profit and reconciliation to income before taxes from continuing operations:
Specialty Products & Technologies$55.7 $74.0 $126.8 $144.3 
Equipment & Consumables48.4 30.2 80.9 75.7 
Other(25.2)(39.0)(56.7)(63.3)
Operating profit78.9 65.2 151.0 156.7 
Nonoperating income (expense):
   Other income7.1 0.3 7.4 0.6 
   Interest expense, net(17.4)(6.4)(34.1)(12.3)
Income before taxes from continuing operations$68.6 $59.1 $124.3 $145.0 
Identifiable assets:June 30, 2023December 31, 2022
Specialty Products & Technologies$3,438.2 $3,475.7 
Equipment & Consumables2,473.5 2,455.3 
Other695.5 656.0 
Total$6,607.2 $6,587.0 
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Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations
The following discussion and analysis of our financial condition and results of operations should be read in conjunction with other information, including our Condensed Consolidated Financial Statements and related notes included in Part I, Item 1, Financial Information, of this Quarterly Report on Form 10-Q, our consolidated financial statements appearing in our Annual Report on Form 10-K for the year ended December 31, 2022 (the “2022 10-K”), and Part II, Item 1A, Risk Factors, of this Quarterly Report on Form 10-Q. Unless the context otherwise requires, all references herein to the “Company,” “we,” “us” or “our,” or similar terms, refer to Envista Holdings Corporation and its consolidated subsidiaries.

Certain statements included or incorporated by reference in this Quarterly Report are “forward-looking statements” within the meaning of the U.S. federal securities laws. All statements other than historical factual information are forward-looking statements, including without limitation statements regarding: the potential impacts of the COVID-19 pandemic on our business, financial condition, and results of operations; projections of revenue, expenses, profit, profit margins, tax rates, tax provisions, cash flows, pension and benefit obligations and funding requirements, our liquidity position or other projected financial measures; management’s plans and strategies for future operations, including statements relating to anticipated operating performance, cost reductions, restructuring activities, new product and service developments, competitive strengths or market position, acquisitions and the integration thereof, divestitures, spin-offs, split-offs or other distributions, strategic opportunities, securities offerings, stock repurchases, dividends and executive compensation; growth, declines and other trends in markets we sell into; future regulatory approvals and the timing thereof; outstanding claims, legal proceedings, tax audits and assessments and other contingent liabilities; future foreign currency exchange rates and fluctuations in those rates; the anticipated timing of any of the foregoing; assumptions underlying any of the foregoing; and any other statements that address events or developments that Envista intends or believes will or may occur in the future. Terminology such as “believe,” “anticipate,” “should,” “could,” “intend,” “will,” “plan,” “expect,” “estimate,” “project,” “target,” “may,” “possible,” “potential,” “forecast” and “positioned” and similar references to future periods are intended to identify forward-looking statements, although not all forward-looking statements are accompanied by such words. Forward-looking statements are based on assumptions and assessments made by our management in light of their experience and perceptions of historical trends, current conditions, expected future developments and other factors they believe to be appropriate. These forward-looking statements are subject to a number of risks and uncertainties, including but not limited to, the following: the conditions in the U.S. and global economy, the impact of inflation and increasing interest rates, international economic, political, legal, compliance and business factors, the markets served by us and the financial markets, the impact of the COVID-19 pandemic, the impact of our debt obligations on our operations and liquidity, developments and uncertainties in trade policies and regulations, contractions or growth rates and cyclicality of markets we serve, risks relating to product manufacturing, commodity costs and surcharges, our ability to adjust purchases and manufacturing capacity to reflect market conditions, reliance on sole or limited sources of supply, disruptions relating to war, terrorism, climate change, widespread protests and civil unrest, man-made and natural disasters, public health issues and other events, security breaches or other disruptions of our information technology systems or violations of data privacy laws, fluctuations in inventory of our distributors and customers, loss of a key distributor, our relationships with and the performance of our channel partners, competition, our ability to develop and successfully market new products and services, our ability to attract, develop and retain our key personnel, the potential for improper conduct by our employees, agents or business partners, our compliance with applicable laws and regulations (including regulations relating to medical devices and the health care industry), the results of our clinical trials and perceptions thereof, penalties associated with any off-label marketing of our products, modifications to our products that require new marketing clearances or authorizations, our ability to effectively address cost reductions and other changes in the health care industry, our ability to successfully identify and consummate appropriate acquisitions and strategic investments, our ability to integrate the businesses we acquire and achieve the anticipated benefits of such acquisitions, contingent liabilities relating to acquisitions, investments and divestitures, our ability to adequately protect our intellectual property, the impact of our restructuring activities on our ability to grow, risks relating to currency exchange rates, changes in tax laws applicable to multinational companies, litigation and other contingent liabilities including intellectual property and environmental, health and safety matters, risks relating to product, service or software defects, the impact of regulation on demand for our products and services, and labor matters, and other risks and uncertainties set forth under “Item 1A. Risk Factors” in the 2022 10-K and this Quarterly Report on Form 10-Q.

Forward-looking statements are not guarantees of future performance and actual results may differ materially from the results, developments and business decisions contemplated by our forward-looking statements. Accordingly, you should not place undue reliance on any such forward-looking statements. Forward-looking statements contained herein speak only as of the date of this Quarterly Report. Except to the extent required by applicable law, we do not assume any obligation to update or revise any forward-looking statement, whether as a result of new information, future events and developments or otherwise.

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BASIS OF PRESENTATION
The accompanying Condensed Consolidated Financial Statements present our historical financial position, results of operations, changes in stockholders’ equity and cash flows in accordance with GAAP.
Sale of the KaVo Treatment Unit and Instrument Business
On December 31, 2021, we sold substantially all of the KaVo Treatment Unit and Instrument Business (the “Divestiture”) to planmeca Verwaltungs Gmbh, Germany (“Planmeca”), pursuant to the master sale and purchase agreement (the “Purchase Agreement”) among us, Planmeca, and Planmeca Oy, as guarantor. However, the transfer of assets in certain countries was not executed and closed until 2022 (“Deferred Local Closing”). As of December 31, 2022, all Deferred Local Closings were completed and we received total net cash consideration of $386.4 million in accordance with the terms of the Purchase Agreement.

The Divestiture was part of our strategy to structurally improve our long-term margins and represented a strategic shift with a major effect on our operations and financial results as described in ASC 205-20. The sale met the criteria to be accounted for as a discontinued operation and therefore, we applied discontinued operations treatment for the Divestiture as required by ASC 205-20. In accordance with ASC 205-20, we have reported the financial results of the Divestiture as discontinued operations in our Condensed Consolidated Statements of Operations and have excluded the KaVo Treatment Unit and Instrument Business from all segment information and descriptions for the three and six months ended July 1, 2022. Our Condensed Consolidated Statements of Cash Flows include the financial results of the KaVo Treatment Unit and Instrument Business for the six months ended July 1, 2022. As all Deferred Local Closings were completed as of December 31, 2022, there are no discontinued operations reported for the three and six months ended June 30, 2023.

OVERVIEW
General
We provide products that are used to diagnose, treat and prevent disease and ailments of the teeth, gums and supporting bone, as well as to improve the aesthetics of the human smile. We help our customers deliver the best possible patient care through industry-leading solutions, technologies, and services. With leading brand names, innovative technology and significant market positions, we are a leading worldwide provider of a broad range of solutions to support implant-based tooth replacements, orthodontic treatments, digital imaging and diagnostics, as well as general dental consumables, equipment and services, and are dedicated to driving technological innovations that help dental professionals improve clinical outcomes and enhance productivity. Our research and development, manufacturing, sales, distribution, service and administrative facilities are located in more than 30 countries across North America, Asia, Europe, the Middle East and Latin America.

We operate in two business segments: Specialty Products & Technologies and Equipment & Consumables. Our Specialty Products & Technologies segment develops, manufactures and markets products primarily related to dental implant systems, including regenerative solutions, dental prosthetics and associated treatment software and technologies, as well as orthodontic bracket systems, aligners and lab products. Our Equipment & Consumables segment develops, manufactures and markets products primarily related to dental equipment and supplies used in dental offices, including digital imaging systems, software and other visualization/magnification systems; endodontic systems and related consumables; and restorative materials and instruments, rotary burs, impression materials, bonding agents and cements and infection prevention products.
For the three and six months ended June 30, 2023, sales derived from customers outside of the United States were 52.7% and 52.5%, respectively, compared to both the three and six months ended July 1, 2022, of 51.3%. As a global provider of dental consumables, equipment and services, our operations are affected by worldwide, regional and industry-specific economic and political factors. Given the broad range of dental products, software and services provided and geographies served, we do not use any indices other than general economic trends to predict our overall outlook. Our individual businesses monitor key competitors and customers, including to the extent possible their sales, to gauge relative performance and the outlook for the future.
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As a result of our geographic and product line diversity, we face a variety of opportunities and challenges, including rapid technological development in most of our served markets, the expansion and evolution of opportunities in emerging markets, trends and costs associated with a global labor force, consolidation of our competitors and increasing regulation. We operate in a highly competitive business environment in most markets, and our long-term growth and profitability will depend in particular on our ability to expand our business in emerging geographies and market segments, identify, consummate and integrate appropriate acquisitions, develop innovative and differentiated new products and services, expand and improve the effectiveness of our sales force, continue to reduce costs and improve operating efficiency and quality and effectively address the demands of an increasingly regulated global environment. We are making significant investments to address the rapid pace of technological change in our served markets and to globalize our manufacturing, research and development and customer-facing resources (particularly in emerging markets and our dental implant business) in order to be responsive to our customers throughout the world and improve the efficiency of our operations.

Key Trends and Conditions Affecting Our Results of Operations
There have been no material changes to the key trends and conditions affecting our results of operations that were disclosed in our 2022 10-K, except as follows:

Foreign Currency Exchange Rates
On a period-over-period basis, currency exchange rates negatively impacted reported sales by 1.2% and 1.4% for the three and six months ended June 30, 2023, respectively, compared to the comparable period of 2022, primarily due to the strength of the U.S. dollar against most major currencies. Any future strengthening of the U.S. dollar against major currencies would negatively impact our sales and results of operations for the remainder of the year, and any weakening of the U.S. dollar against major currencies would positively impact our sales and results of operations for the remainder of the year.

General Economic Conditions

In addition to industry-specific factors, we, like other businesses, face challenges related to global economic conditions, including rising inflation, increasing interest rates, fluctuating foreign currency exchange rates, slowing economic growth, and continuing supply chain disruptions. Dental costs are largely out-of-pocket for the consumer and thus utilization rates can vary significantly depending on economic growth. While many of our products are considered necessary by patients regardless of the economic environment, certain products and services that support discretionary dental procedures may be more susceptible to changes in economic conditions.

Pricing Controls

Certain countries, as well as some private payors, control the price of health care products, directly or indirectly, through reimbursement, payment, pricing or coverage limitations, tying reimbursement to outcomes or (in the case of governmental entities) compulsory licensing. For example, China has implemented volume-based procurement policies, a series of centralized reforms instituted in China on both a national and regional basis that has resulted in significant price cuts for medical and dental consumables.

Russia-Ukraine Conflict
Russia’s invasion of Ukraine and the global response to this invasion, including sanctions imposed by the U.S. and other countries, could have an adverse impact on our business, including our ability to market and sell products in the affected regions, potentially heightening our risk of cyber security attacks, impacting our ability to enforce our intellectual property rights in Russia, creating disruptions in the global supply chain, and potentially having an adverse impact on the global economy, financial markets, energy markets, currency rates and otherwise. While we are experiencing some volatility in sales from this region, Russia’s invasion of Ukraine did not have a material impact on our overall financial position or results of operations as of and for the three and six months ended June 30, 2023 and July 1, 2022.

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COVID-19

The extent of the impact of the COVID-19 pandemic on our business remains uncertain and difficult to predict because of the dynamic and evolving nature of the situation. The global impact of the outbreak continues to adversely affect many industries, and different geographies continue to reflect the effects of public health restrictions in various ways. The economic recovery following the impact of the COVID-19 pandemic is only partially underway and has been gradual, uneven and characterized by meaningful dispersion across sectors and regions with uncertainty regarding its ultimate length and trajectory. During the three and six months ended June 30, 2023, notwithstanding improvement in many markets in which we operate due to a return to more normalized business operations, certain markets continued to be adversely impacted by COVID-19.

For additional information on certain risks to our business, please refer to the “Item 1A. Risk Factors” section of our 2022 10-K.

Acquisitions
Our growth strategy contemplates future acquisitions and we continually evaluate potential acquisitions that either strategically fit with our existing portfolio or expand our portfolio into new and attractive business areas. Our operations and results can be affected by the rate and extent to which appropriate acquisition opportunities are available, acquired businesses are effectively integrated and anticipated synergies or cost savings are achieved. During the fiscal year 2022, we completed two acquisitions.

On July 5, 2022, we acquired all of the equity of Osteogenics for total consideration of approximately $128.2 million, subject to certain customary adjustments as provided in the Equity Purchase Agreement dated May 17, 2022. Osteogenics develops innovative regenerative solutions for periodontists, oral and maxillofacial surgeons, and clinicians involved in implant dentistry throughout the world, and is part of our Specialty Products & Technologies segment.

On April 20, 2022, we completed our acquisition of Carestream Dental’s Intraoral Scanner Business for total consideration of approximately $580.3 million, including contingent consideration of $7.5 million, and subject to certain customary adjustments as provided in the IOS Purchase Agreement. The Intraoral Scanner Business manufactures, markets, sells, commercializes, distributes, services, trains, supports, and maintains operations of intraoral scanners and software, and is part of our Equipment & Consumables segment. We purchased the Intraoral Scanner Business through the acquisition of certain assets and the assumption of certain liabilities as well as the acquisition of all of the equity of certain subsidiaries of Carestream Dental.

Envista Business Systems
Throughout this discussion, references to sales volume refer to the impact of both price and unit sales and references to productivity improvements generally refer to improved cost-efficiencies resulting from the ongoing application of Envista Business Systems (“EBS”). We believe our deep-rooted commitment to EBS helps drive our market leadership and differentiates us in the dental products industry. EBS encompasses not only lean tools and processes, but also methods for driving growth, innovation and leadership. Within the EBS framework, we pursue a number of ongoing strategic initiatives relating to streamlining business operations, portfolio simplification, reduction of costs, redeployment of resources, customer insight generation, product development and commercialization, efficient sourcing, and improvement in manufacturing and back-office support, all with a focus on continually improving quality, delivery, cost, growth and innovation.
Non-GAAP Measures
In order to establish period-to-period comparability, we include the non-GAAP measure of core sales in this report. References to the non-GAAP measure of core sales (also referred to as core revenues or sales/revenues from existing businesses) refer to sales calculated according to GAAP, but excluding:
•sales from acquired businesses for one year from the acquisition date;
•sales from discontinued products; and
•the impact of currency translation.
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We exclude sales from acquired businesses in order to provide accurate year over year comparisons. Sales from discontinued products includes major brands or major products that we have made the decision to discontinue as part of a portfolio restructuring. Discontinued brands or products consist of those which we (1) are no longer manufacturing, (2) are no longer investing in the research or development of, and (3) expect to discontinue all significant sales of within one year from the decision date to discontinue. The portion of sales attributable to discontinued brands or products is calculated as the net decline of the applicable discontinued brand or product from period-to-period. We exclude sales from discontinued products because discontinued products do not have a continuing contribution to operations and management believes that excluding such items provides investors with a means of evaluating our on-going operations and facilitates comparisons to our peers.
The portion of sales attributable to currency translation is calculated as the difference between:
•the period-to-period change in sales; and
•the period-to-period change in sales after applying current period foreign exchange rates to the prior year period.
Core sales growth should be considered in addition to, and not as a replacement for or superior to, sales, and may not be comparable to similarly titled measures reported by other companies. We believe that reporting the non-GAAP financial measure of core sales growth provides useful information to investors by helping identify underlying growth trends in our on-going business and facilitating comparisons of our sales performance with our performance in prior and future periods and to our peers. We also use core sales growth to measure our operating and financial performance. We exclude the effect of currency translation from core sales because currency translation is not under our control, is subject to volatility and can obscure underlying business trends.
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RESULTS OF OPERATIONS
All comparisons, variances, increases or decreases discussed below are for the three and six months ended June 30, 2023, compared to the three and six months ended July 1, 2022.
Three Months Ended
($ in millions)June 30, 2023July 1, 2022% Change
Sales$662.4 100.0%$645.8 100.0%2.6 %
Cost of sales283.8 42.8%276.0 42.7%2.8 %
Gross profit378.6 57.2%369.8 57.3%2.4 %
Operating costs:
Selling, general and administrative (“SG&A”) expenses272.9 41.2%279.5 43.3%(2.4)%
Research and development (“R&D”) expenses26.8 4.0%25.1 3.9%6.8 %
Operating profit78.9 11.9%65.2 10.1%21.0 %
Nonoperating income (expense):
Other income7.1 1.1%0.3 —%NM
Interest expense, net(17.4)(2.6)%(6.4)(1.0)%171.9 %
Income before income taxes68.6 10.4%59.1 9.2%16.1 %
Income tax expense 16.7 2.5%14.6 2.3%14.4 %
Income from continuing operations51.9 7.8%44.5 6.9%16.6 %
Income from discontinued operations, net of tax— —%2.6 0.4%(100.0)%
Net income $51.9 7.8%$47.1 7.3%10.2 %
Effective tax rate from continuing operations24.3 %24.7 %
Six Months Ended
($ in millions)June 30, 2023July 1, 2022% Change
Sales$1,289.6 100.0%$1,277.2 100.0%1.0 %
Cost of sales548.3 42.5%533.3 41.8%2.8 %
Gross profit741.3 57.5%743.9 58.2%(0.3)%
Operating costs:
SG&A expenses539.0 41.8%537.7 42.1%0.2 %
R&D expenses51.3 4.0%49.5 3.9%3.6 %
Operating profit151.0 11.7%156.7 12.3%(3.6)%
Nonoperating income (expense):
Other income7.4 0.6%0.6 —%NM
Interest expense, net(34.1)(2.6)%(12.3)(1.0)%177.2 %
Income before income taxes124.3 9.6%145.0 11.4%(14.3)%
Income tax expense 28.6 2.2%30.1 2.4%(5.0)%
Income from continuing operations95.7 7.4%114.9 9.0%(16.7)%
Income from discontinued operations, net of tax— —%7.1 0.6%(100.0)%
Net income $95.7 7.4%$122.0 9.6%(21.6)%
Effective tax rate from continuing operations23.0 %20.8 %
Non-meaningful percentage change related to year-to-year comparisons are designated as NM.
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GAAP Reconciliation
Sales and Core Sales Growth
% Change Three Month Period Ended June 30, 2023 vs. Comparable 2022 Period% Change Six Month Period Ended June 30, 2023 vs. Comparable 2022 Period
Total sales growth (GAAP)2.6 %1.0 %
Plus the impact of:
Acquisition(1.7)%(2.5)%
Currency exchange rates 1.2 %1.4 %
Core sales growth (non-GAAP)2.1 %(0.1)%
Sales and core sales growth for the three months ended June 30, 2023 increased 2.6% and 2.1%, respectively, compared to the comparable period in 2022. An increase in sales volume positively impacted sales growth by 2.7% on a period-over-period basis, offset by a decrease in sales price of 0.6%. Sales in developed markets increased due to growth in Western Europe, partially offset by a decrease in North America. Sales in emerging markets increased primarily due to Eastern Europe.
Sales growth for the six months ended June 30, 2023 increased by 1.0% while core sales growth decreased by 0.1%, for the comparable period in 2022. A sales price decrease of 0.1% negatively impacted sales growth and sales volume remained flat on a period-over-period basis. Sales in developed markets decreased primarily due to North America, partially offset by an increase in Western Europe. Sales in emerging markets increased due to Eastern Europe, partially offset by a decrease in China.
COST OF SALES AND GROSS PROFIT MARGIN
Three Months EndedSix Months Ended
($ in millions)June 30, 2023July 1, 2022June 30, 2023July 1, 2022
Cost of sales283.8 276.0 548.3 533.3 
Gross profit margin57.2 %57.3 %57.5 %58.2 %
The increase in cost of sales during the three and six months ended June 30, 2023 as compared to the comparable periods in 2022, was primarily due to increased sales, unfavorable product mix and the impact of higher costs due to inflation.
Gross profit margin percentages during the three and six months ended June 30, 2023 decreased compared to the comparable periods in 2022. For the three months ended June 30, 2023, the slight decrease was primarily due to unfavorable product mix and higher costs due to inflation, offset by an increase in volume and the period-over-period savings associated with productivity improvements. For the six months ended June 30, 2023, the decrease was primarily due to unfavorable product mix and higher costs due to inflation, partially offset by period-over-period savings associated with productivity improvements.
OPERATING EXPENSES
Three Months EndedSix Months Ended
($ in millions)June 30, 2023July 1, 2022June 30, 2023July 1, 2022
Selling, general and administrative expenses$272.9 $279.5 $539.0 $537.7 
Research and development expenses$26.8 $25.1 $51.3 $49.5 
SG&A as a % of sales41.2 %43.3 %41.8 %42.1 %
R&D as a % of sales4.0 %3.9 %4.0 %3.9 %
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SG&A expenses as a percentage of sales for the three and six months ended June 30, 2023 decreased as compared to the comparable periods of 2022. For the three months ended June 30, 2023, the decrease was primarily due to increased sales volume combined with lower acquisition related and sales and marketing expenses. For the six months ended June 30, 2023, the decrease was primarily due to lower acquisition related expenses combined with lower sales and marketing expenses.
R&D expenses as a percentage of sales for the three and six months ended June 30, 2023, were consistent with the comparable period in 2022.
OTHER INCOME (EXPENSE), NET
The increase in Other income (expense), net for both the three and six months ended June 30, 2023 is primarily due to a $6.9 million gain on the sale of an equity investment.

INTEREST COSTS AND FINANCING
Interest costs were $17.4 million and $6.4 million for the three months ended June 30, 2023 and July 1, 2022, respectively, and $34.1 million and $12.3 million for the six months ended June 30, 2023 and July 1, 2022, respectively. The increase in interest costs for the three and six months ended June 30, 2023 as compared to the comparable periods of 2022 was due primarily to higher interest rates on our variable rate Term Loan and Euro Term Loan borrowings.

INCOME TAXES
Three Months EndedSix Months Ended
June 30, 2023July 1, 2022June 30, 2023July 1, 2022
Effective tax rate from continuing operations24.3 %24.7 %23.0 %20.8 %

Our effective tax rate from continuing operations of 24.3% and 23.0% for the three and six months ended June 30, 2023, respectively, differed from the comparable periods in 2022 primarily due to the Company’s geographical mix of earnings and a decrease in certain discrete tax benefits.

On August 16, 2022, the U.S. enacted the Inflation Reduction Act of 2022, which, among other things, implemented a 15% minimum tax on book income of certain large corporations, a 1% excise tax on net stock repurchases, and several tax incentives to promote clean energy. Based on our current analysis of the provisions, this legislation did not have a material impact on our Condensed Consolidated Financial Statements as of or for the three and six months ended June 30, 2023.

RESULTS OF OPERATIONS - BUSINESS SEGMENTS
Specialty Products & Technologies
Our Specialty Products & Technologies segment primarily develops, manufactures and markets dental implant systems, including regenerative solutions, dental prosthetics and associated treatment software and technologies, as well as orthodontic bracket systems, aligners and lab products.
Specialty Products & Technologies Selected Financial Data
Three Months EndedSix Months Ended
($ in millions)June 30, 2023July 1, 2022June 30, 2023July 1, 2022
Sales$417.0 $407.7 $827.0 $804.8 
Operating profit$55.7 $74.0 $126.8 $144.3 
Operating profit as a % of sales13.4 %18.2 %15.3 %17.9 %
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Sales and Core Sales Growth
% Change Three Month Period Ended June 30, 2023 vs. Comparable 2022 Period% Change Six Month Period Ended June 30, 2023 vs. Comparable 2022 Period
Total sales growth (GAAP)2.3 %2.8 %
Plus the impact of:
Acquisitions(2.1)%(2.1)%
Currency exchange rates 1.5 %1.7 %
Core sales growth (non-GAAP)1.7 %2.4 %
Sales
Sales and core sales growth for the three months ended June 30, 2023 increased 2.3% and 1.7%, respectively, compared to the comparable period in 2022. Sales increased by 2.1% due to higher volume on a period-over-period basis, offset by a decrease in sales price of 0.4%. Sales in developed markets increased primarily due to growth in Western Europe, partially offset by a decrease in North America. Sales in emerging markets increased primarily due to Eastern Europe, partially offset by a decrease in Russia.
Sales and core sales growth for the six months ended June 30, 2023 increased 2.8% and 2.4%, respectively, compared to the comparable period in 2022. Sales increased by 2.9% due to higher volume on a period-over-period basis, slightly offset by a decrease in sales price of 0.5%. Sales in developed markets increased primarily due to growth in Western Europe, partially offset by a decrease in North America. Sales in emerging markets increased primarily due to Eastern Europe, partially offset by decreases in China and Russia.
Additionally, sales for the three and six months ended June 30, 2023 were also positively impacted by the acquisition of Osteogenics.
Operating Profit

Operating profit margin was 13.4% for the three months ended June 30, 2023, as compared to an operating profit margin of 18.2% for the comparable period of 2022. Operating profit margin was 15.3% for the six months ended June 30, 2023, as compared to an operating profit margin of 17.9% for the comparable period of 2022. The decrease in operating profit margin for both the three and six month periods was primarily due to unfavorable product mix, investments in our long-term growth initiatives, and the impact of inflation, partially offset by an increase in sales volume and by period-over-period savings associated with productivity improvements.
EQUIPMENT & CONSUMABLES
Our Equipment & Consumables segment primarily develops, manufactures and markets dental equipment and supplies used in dental offices, including digital imaging systems, software and other visualization/magnification systems; endodontic systems and related consumables; restorative materials and instruments, rotary burs, impression materials, bonding agents and cements and infection prevention products.
Equipment & Consumables Selected Financial Data
Three Months EndedSix Months Ended
($ in millions)June 30, 2023July 1, 2022June 30, 2023July 1, 2022
Sales$245.4 $238.1 $462.6 $472.4 
Operating profit$48.4 30.2 $80.9 $75.7 
Operating profit as a % of sales19.7 %12.7 %17.5 %16.0 %
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Sales and Core Sales Growth
% Change Three Month Period Ended June 30, 2023 vs. Comparable 2022 Period% Change Six Month Period Ended June 30, 2023 vs. Comparable 2022 Period
Total sales growth (GAAP)3.1 %(2.1)%
Plus the impact of:
Acquisition(1.0)%(3.1)%
Currency exchange rates 0.8 %0.8 %
Core sales growth (non-GAAP)2.9 %(4.4)%
Sales
Sales and core sales growth for the three months ended June 30, 2023 increased 3.1% and 2.9%, respectively, compared to the comparable period in 2022. Sales growth increased by 3.7% due to higher volume on a period-over-period basis, offset by a decrease in sales price of 0.8%. Sales increased for the three months ended June 30, 2023 primarily due to emerging markets.
Sales and core sales growth for the six months ended June 30, 2023 decreased 2.1% and 4.4%, respectively, compared to the comparable period in 2022. A decrease in sales volume negatively impacted sales growth by 5.1% on a period-over-period basis, offset by an increase in sales price of 0.7%. Sales decreased in developed markets primarily in North America and Western Europe, while sales increased in emerging markets.
Sales for the three and six months ended June 30, 2023 were positively impacted by the acquisition of our Intraoral Scanner Business.
Operating Profit
Operating profit margin was 19.7% for the three months ended June 30, 2023, as compared to an operating profit margin of 12.7% for the comparable period of 2022. The increase in operating profit margin for the three months ended June 30, 2023 was primarily due to higher sales volume, period-over-period savings associated with productivity improvements, decreased amortization of intangible assets, and lower restructuring costs, partially offset by the impact of incremental material price cost due in part to inflation.
Operating profit margin was 17.5% for the six months ended June 30, 2023, as compared to an operating profit margin of 16.0% for the comparable period of 2022. The increase in operating profit margin for the six months ended June 30, 2023 was primarily due to favorable sales price and period-over-period savings associated with productivity improvements, partially offset by lower sales volume and the impact of higher costs due to inflation.
LIQUIDITY AND CAPITAL RESOURCES
We assess our liquidity in terms of our ability to generate cash to fund our operating and investing activities. We continue to generate substantial cash from operating activities and believe that our operating cash flow and other sources of liquidity are sufficient to allow us to manage our capital structure on a short-term and long-term basis and continue investing in existing businesses and consummating strategic acquisitions.
Following is an overview of our cash flows and liquidity, which includes the cash flows of the KaVo Treatment Unit and Instrument Business for the six months ended July 1, 2022.
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Overview of Cash Flows and Liquidity
 Six Months Ended
 June 30, 2023July 1, 2022
Net cash provided by operating activities$78.2 $25.7 
Payments for additions to property, plant and equipment$(31.6)$(31.9)
Proceeds from sale of equity investment10.7 — 
Acquisitions, net of cash acquired— (569.8)
Proceeds from sale of KaVo treatment unit and instrument business— 28.8 
All other investing activities, net(3.9)(13.6)
Net cash used in investing activities$(24.8)$(586.5)
Proceeds from stock option exercises$5.9 $15.4 
Tax withholding payment related to net settlement of equity awards(6.4)(8.1)
Proceeds from borrowings— 0.3 
Repayment of borrowings— (0.5)
All other financing activities1.6 — 
Net cash provided by financing activities$1.1 $7.1 

Operating Activities
Cash flows from operating activities can fluctuate significantly from period-to-period due to working capital needs and the timing of payments for income taxes, restructuring activities, pension funding and other items impacting reported cash flows.

Net cash provided by operating activities was $78.2 million during the six months ended June 30, 2023, as compared to net cash provided by operating activities of $25.7 million for the comparable period of 2022, primarily due to lower overall net cash payments during the six months ended June 30, 2023.

Investing Activities
Cash flows relating to investing activities consist primarily of cash used for capital expenditures and acquisitions. Capital expenditures are made primarily for increasing capacity, replacing equipment, supporting new product development and improving information technology systems.

Net cash used in investing activities was $24.8 million for the six months ended June 30, 2023, as compared to net cash used in investing activities of $586.5 million for the comparable period in 2022, primarily due to the prior year period reflecting cash paid with respect to the Intraoral Scanner Business acquisition and the earnout from the sale of the KaVo Treatment Unit and Instruments Business, offset by the proceeds received in the current quarter related to the sale of an equity investment.

Financing Activities and Indebtedness
Cash flows relating to financing activities consist primarily of cash flows associated with debt borrowings and the issuance of common stock.

Net cash provided by finance activities was $1.1 million for the six months ended June 30, 2023 compared to net cash provided by financing activities of $7.1 million for the comparable period of 2022 primarily due to a reduction in cash flows associated with the issuance of common stock.

For a description of our outstanding debt as of June 30, 2023, refer to Note 13 to our Condensed Consolidated Financial Statements in this Quarterly Report on Form 10-Q.

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We intend to satisfy any short-term liquidity needs that are not met through operating cash flow and available cash primarily through our revolving credit facility.

Cash and Cash Requirements

As of June 30, 2023, we held $651.7 million of cash and cash equivalents that were held on deposit with financial institutions. Of this amount, $152.4 million was held within the United States and $499.3 million was held outside of the United States. We will continue to have cash requirements to support working capital needs, capital expenditures and acquisitions, pay interest and service debt, pay taxes and any related interest or penalties, fund our restructuring activities as required and support other business needs. We generally intend to use available cash, internally generated funds and our revolving credit facility to meet these cash requirements, but in the event that additional liquidity is required, particularly in connection with acquisitions, we may need to enter into new credit facilities or access the capital markets. We may also access the capital markets from time to time to take advantage of favorable interest rate environments or other market conditions. However, there is no guarantee that we will be able to obtain alternative sources of financing on commercially reasonable terms or at all. See “Item 1A. Risk Factors—Risks Related to Our Business” in our 2022 10-K.

Generally, cash and cash equivalents held in these financial institutions may be withdrawn or redeemed at face value, and therefore minimal credit risk exists with respect to them. Nonetheless, deposits with these financial institutions exceed the Federal Deposit Insurance Corporation (FDIC) insurance limits or similar limits in foreign jurisdictions, to the extent such deposits are even insured in such foreign jurisdictions. While we monitor on a systematic basis the cash and cash equivalent balances in the operating accounts and adjust the balances as appropriate, these balances could be impacted if one or more of the financial institutions with which we deposit our funds fails or is subject to other adverse conditions in the financial or credit markets. To date, we have experienced no loss of principal or lack of access to our invested cash or cash equivalents; however, we can provide no assurance that access to our cash and cash equivalents will not be affected if the financial institutions where we hold our cash and cash equivalents fail.

While repatriation of some cash held outside the United States may be restricted by local laws, most of our foreign cash could be repatriated to the United States. Following enactment of the Tax Cut and Jobs Act of 2017 (“TCJA”) and the associated transition tax, in general, repatriation of cash to the United States can be completed with no incremental U.S. tax; however, repatriation of cash could subject us to non-U.S. jurisdictional taxes on distributions. The cash that our non-U.S. subsidiaries hold for indefinite reinvestment is generally used to finance foreign operations and investments, including acquisitions. The income taxes, if any, applicable to such earnings including basis differences in our foreign subsidiaries are not readily determinable.

As of June 30, 2023, we believe that we have sufficient sources of liquidity to satisfy our cash needs over the next 12 months and beyond, including our cash needs in the United States.

There were no material changes to our contractual obligations during the three and six months ended June 30, 2023.

Off-Balance Sheet Arrangements

There were no material changes to the Company’s off-balance sheet arrangements described in the 2022 10-K that would have a material impact on the Company’s Condensed Consolidated Financial Statements.
Debt Financing Transactions

For a description of our outstanding debt as of June 30, 2023, refer to Note 13 to our Condensed Consolidated Financial Statements in this Quarterly Report on Form 10-Q.

CRITICAL ACCOUNTING ESTIMATES

There were no material changes to our critical accounting estimates described in the 2022 10-K that have had a material impact on our Condensed Consolidated Financial Statements.

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The extent of the impact of the COVID-19 pandemic on our business is highly uncertain and difficult to predict. If actual results are not consistent with management’s estimates and assumptions used for valuation allowances, contingencies, potential impairments, revenue recognition and income taxes, the related account balances may be overstated or understated and a charge or credit to net income may be required.

Item 3. Quantitative and Qualitative Disclosures about Market Risk

Quantitative and qualitative disclosures about market risk appear in “Management’s Discussion and Analysis of Financial Condition and Results of Operations—Qualitative and Quantitative Disclosures About Market Risk,” in our 2022 10-K. There were no material changes to this information reported in our 2022 10-K during the quarter ended June 30, 2023.

Item 4. Controls and Procedures

Evaluation of Disclosure Controls and Procedures

Our management, with the participation of our President and Chief Executive Officer, and Senior Vice President and Chief Financial Officer, has evaluated the effectiveness of our disclosure controls and procedures (as such term is defined in Rules 13a-15(e) and 15d-15(e) under the Exchange Act), as of the end of the period covered by this report. Based on such evaluation, our President and Chief Executive Officer, and Senior Vice President and Chief Financial Officer, have concluded that, as of the end of such period, our disclosure controls and procedures were effective.

Changes in Internal Control over Financial Reporting

There were no changes in our internal control over financial reporting (as defined in Rules 13a-15(f) and 15d-15(f) under the Exchange Act) that occurred during the quarter ended June 30, 2023 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.
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PART II. Other Information
Item 1. Legal Proceedings

There have been no material changes to legal proceedings from our 2022 10-K. For additional information regarding legal proceedings, refer to “Management’s Discussion and Analysis of Financial Condition and Results of Operations—Legal Proceedings” in our 2022 10-K.

Item 1A. Risk Factors

There have been no material changes from the risk factors disclosed in Part I, “Item 1A. Risk Factors,” of our 2022 Form 10-
K. You should carefully consider the factors discussed in Part I, “Item 1A. Risk Factors” in our 2022 10-K, which could materially affect our business, financial position, or future results of operations. The risks described in our 2022 10-K, are not the only risks we face. Additional risks and uncertainties not currently known to us or that we currently deem to be immaterial also may materially adversely affect our business, financial position, or future results of operations.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

None.

Item 3. Defaults Upon Senior Securities

None.

Item 4. Mine Safety Disclosures

Not applicable.

Item 5. Other Information

(c)    During the quarter ended June 30, 2023, none of the Company’s directors or officers adopted or terminated a “Rule 10b5-1 trading arrangement” or “non-Rule 10b5-1 trading arrangement,” as such terms are defined in Item 408(a) of Regulation S‑K.

39

Item 6. Exhibits

EXHIBIT INDEX
Exhibit
Number		Description
3.1
3.2
10.1*
31.1
31.2
32.1
101.INSXBRL Instance Document - the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document.
101.SCHXBRL Taxonomy Extension Schema Document
101.CALXBRL Taxonomy Extension Calculation Linkbase Document
101.DEFXBRL Taxonomy Extension Definition Linkbase Document
101.LABXBRL Taxonomy Extension Label Linkbase Document
101.PREXBRL Taxonomy Extension Presentation Linkbase Document
104Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101)
*Indicates management contract or compensatory plan, contract or arrangement.
40

SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

ENVISTA HOLDINGS CORPORATION
Date: August 2, 2023
By:/s/ Howard H. Yu
Howard H. Yu
Senior Vice President and Chief Financial Officer (Principal Financial and Accounting Officer)

41

Exhibit 10.1


SEPARATION AGREEMENT AND GENERAL RELEASE

    This Separation Agreement and General Release (“Agreement”) is entered into between Jean- Claude Kyrillos (“Employee” or “you”), a resident of the State of California, and DH Dental Employment Services LLC (“the Company”).

1.    Separation of Employment. Your last day of employment is June 30, 2023 (“Termination Date”). Regardless of whether you sign this Agreement, you will receive all wages to which you are entitled through your Termination Date. Group medical, dental, vision and prescription drug benefits, and group and dependent life insurance coverage for which you are eligible just before the termination date will continue through the end of the calendar month in which the Termination Date occurs. All other benefits, including but not limited to any accrual of or eligibility for Accident Death & Dismemberment, vacation, sick leave, holiday pay, and any other employee benefits and privileges, including short-term and long-term disability, Flexible Spending Accounts and 401k contributions shall cease on your Termination Date, and any vested benefit shall be governed by the terms of the applicable benefit plan. You may elect continued coverage at your sole expense for medical, dental, vision, and prescription drug benefits (collectively “group health coverage”) pursuant to the federal Consolidated Omnibus Budget Reconciliation Act (“COBRA”) and you will receive COBRA information under separate cover.
2.    Severance Benefits. If you sign and do not revoke this Agreement, after the Effective Date you will receive, in accordance with the terms of the Envista Holdings Corporation Severance and Change In Control Plan (the “Plan”):
a.    Severance Pay in the total gross amount of $892,500, less applicable taxes and withholdings, which represents the equivalent of 12 months of your base salary plus your annual bonus target amount, payable in installments administered on the Company’s normal payroll dates over a 12-month period;
b.    A lump sum payment in the total gross amount of $183,750, representing your pro-rated ICP for 2023 calculated at 100% for the Company Financial Factor and 100% for the Personal Performance Factor. This lump sum ICP payment shall be subject to standard withholding and payroll deductions and the Company will issue an IRS Form W-2 to you reflecting this payment.
c.    A lump sum payment equal to the amount the Company would have otherwise contributed toward your group health, prescription, vision and dental coverage premiums as an active employee for 12 months, in the total amount of $19,313.32, less applicable taxes and withholdings. The company will issue an IRS Form W-2 to you reflecting this payment.
If you become reemployed by the Company or Released Parties (as defined below), Severance Pay will cease and you will be required to reimburse the applicable portion of COBRA coverage lump sum, pursuant to the terms of the Plan. If you breach the Confidentiality, Non-Disparagement, or Continuing Obligations provisions of this Agreement, Severance Pay will cease and you will be required to repay all Severance Pay and COBRA lump sum paid to you, except for two hundred dollars ($200.00).

    1     

3.     Release. You, on behalf of yourself and your representatives, heirs, successors and assigns, release and forever discharge the Company and its parents, subsidiaries, any of its present or past affiliates, plus its and their present and former shareholders, officers, directors, members, agents, employees, attorneys, insurers, employee benefit plans and their administrators, successors, and assigns (collectively, “Released Parties”) from all claims and liabilities of every kind – whether known or unknown to you now – which you may now have or have ever had up through the date you sign this Agreement. This release includes, but is not limited to, all claims under any federal, state, or local law, regulation or legal cause of action (collectively, “Released Claims”) arising out of your employment with the Company or the termination of that employment. This means you give up all claims and rights related to: pay, compensation, or benefits including bonuses, commissions, equity, expenses, incentives, insurance, paid/unpaid leave, profit sharing, or separation pay/benefits; compensatory, emotional or mental distress damages, punitive or liquidated damages, attorney fees, costs, interest or penalties; violation of express or implied employment contracts, covenants, promises or duties, intellectual property or other proprietary rights; unlawful or tortious conduct such as assault or battery; background check violations; defamation; detrimental reliance; fiduciary breach; fraud; indemnification; intentional or negligent infliction of emotional distress; interference with contractual or other legal rights; invasion of privacy; loss of consortium; misrepresentation; negligence (including negligent hiring, retention, or supervision); personal injury; promissory estoppel; public policy violation; retaliatory discharge; safety violations; posting or records-related violations; wrongful discharge; or other federal, state or local statutory or common law matters; discrimination, harassment or retaliation based on age (including Age Discrimination in Employment Act or “ADEA” claims), benefit entitlement, citizenship, color, concerted activity, disability, ethnicity, gender, gender identity and expression, genetic information, immigration status, income source, jury duty, leave rights, military status, national origin, parental status, protected off-duty conduct, race, religion, retaliation, sexual orientation, union activity, veteran status, whistleblower activity (including Sarbanes-Oxley, Dodd-Frank and False Claims Act claims), other legally protected status or activity; or any allegation that payment under this Agreement was affected by any such discrimination, harassment or retaliation; and any participation in any class or collective action against any Released Party.

Nothing in this Release section or anything else in this Agreement limits or otherwise affects: claims for workers’ or unemployment compensation; claims that arise after you sign this Agreement; claims to enforce this Agreement; and any other claims that cannot lawfully be waived. Nothing in this Agreement limits your right to: file a charge with, provide information (including testimony) to, or participate in an investigation or proceeding conducted by any federal, state or local government agency; report possible violations of any law or regulation to any such agency; make other disclosures protected under whistleblower provisions of any law or regulation; or file or disclose any facts necessary to receive unemployment insurance, Medicaid, or other public benefits to which you are entitled. Regardless of the above, you expressly waive all rights to recover money or other individual relief in connection with any administrative or court action related in any way to any claim covered by this section, whether brought by you or on your behalf. However, you may recover money properly awarded by the U.S. Securities and Exchange Commission as a reward for providing information to that agency.

3.1.    State Law Release and Exclusion Provisions.

General. Nothing in any part of this Agreement limits your rights to make an otherwise disparaging statement in good faith to: communicate with a law enforcement officer or government regulator; respond to a lawfully served judicial, grand jury, or other lawful subpoena; testify in a judicial or administrative proceeding; confer with your attorney for purposes of obtaining legal advice; respond to lawful discovery; prosecute or defend a civil
    2     

action under the contract; or exercise federally protected statutory rights such as those guaranteed under the National Labor Relations Act or the Civil Rights Act of 1964.

California. Because you reside or last worked for the Company in California, you expressly waive the protection of Section 1542 of the California Civil Code, which states that: “A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS THAT THE CREDITOR OR RELEASING PARTY  DOES NOT KNOW OR SUSPECT TO EXIST IN HIS OR HER FAVOR AT THE TIME OF EXECUTING THE RELEASE THAT, IF KNOWN BY HIM OR HER, WOULD HAVE MATERIALLY AFFECTED HIS OR HER SETTLEMENT WITH THE DEBTOR OR RELEASED PARTY”. In addition, nothing in any part of this agreement prevents you from discussing or disclosing information about unlawful acts in the workplace, such as harassment or discrimination or any other conduct that you have reason to believe is unlawful. You acknowledge this Agreement is voluntary, deliberate, and informed, provides consideration of value to you, and you have been given notice and an opportunity to retain an attorney or are represented by an attorney. You therefore acknowledge that this Agreement is a voluntary severance agreement as that term has been defined under California law.
4.    Representations and Promise Not To Sue. You represent that: a) you have not filed nor caused to be filed any lawsuits or arbitrations against any Released Party in any forum; b) you have been paid all compensation owed for all hours worked; c) you have received all leave and leave benefits and protections for which you were eligible under any law; and d) you have not suffered any on-the-job injury for which you have not already filed a claim. Your further agree never to sue any Released Party for any reason covered by the General Release in Section 3 above. If you sue a Released Party in violation of this Agreement: (i) you shall be required to pay that Released Party’s reasonable attorney fees and other litigation costs incurred in defending against your suit; or alternatively (ii) the Company can require you to return all but two hundred dollars ($200.00) of the money and benefits provided to you under this agreement. In that event, the Company shall be excused from any remaining obligations that exist solely because of this Agreement.
5.    Confidentiality. This Agreement is confidential. You agree never to disclose its contents to anyone except: (i) as may be required by law; and (ii) to your spouse, attorney and/or tax and financial advisors, but only if they first agree to keep this information confidential. If you are compelled by subpoena or judicial order to disclose any contents of this Agreement, then before such disclosure you will immediately provide the Company a copy of the subpoena or judicial order, by overnight delivery and e-mail, to: Wendy Kushner, Vice President and Assistant General Counsel, Labor & Employment, 200 S. Kraemer Blvd, Brea, CA 92821, wendy.kushner@envistaco.com. You will allow the Company seven business days to intervene before responding to the order or subpoena.
6.    Non-disparagement. Subject to the limitations in the Release and any applicable State Law Release and Exclusion provisions, you will not orally or in writing disparage the Company, or its officers, directors, or employees in any way likely to harm their business, business reputation, or personal reputation, subject to applicable protections in this Agreement. However, you may respond accurately and fully to any inquiry or request for information when required by legal process. The Company agrees that it will not, and will instruct its Board of Directors and the members of executive management (and use commercially reasonable efforts to ensure compliance with such instruction) to not, make any oral or written communication (including on social media) that is intended to disparage, or has the effect of disparaging Employee.



    3     

7.    Time to Consult, Consider. You are being advised to consult with an attorney before signing this Agreement. You may consider this Agreement for twenty-one (21) days before signing. You may sign the agreement at any time within the 21-day period but in no event earlier than your Termination Date.

8.     Right to Revoke. Consistent with applicable law, if you are age 40 or over, if you wish you may revoke this Agreement within seven (7) days after signing. (If you work or reside in Minnesota, consistent with applicable law, you may revoke fifteen (15) days after signing, regardless of your age). To revoke, you must send a written notice of revocation within the applicable 7- or 15-day time period to Wendy Kushner at wendy.kushner@envistaco.com. If you revoke, you will not receive any severance pay. If you do not revoke, this Agreement will be enforceable the day after the applicable 7- day revocation period expires (the “Effective Date”).

9.    Integration and Continuing Obligations. You acknowledge and reaffirm your continuing post-termination obligations under any non-disclosure, confidentiality, intellectual property, non-solicitation and/or noncompetition agreement you previously signed pertaining to the Company’s interests. Those obligations are hereby incorporated and made part of this Agreement, and are to be read together and in conformity with the following continuing obligations, which together along with the rest of this Agreement constitute the entire agreement between the Parties and supersedes any other agreements and understandings about your employment or the termination of your employment:
a.    You agree you had access to a variety of trade secret and/or confidential and proprietary information relating to the Company’s business and/or other information which has not been made available to the general public (“Confidential Information”). You acknowledge and agree that such Confidential Information is Company property and you shall not, directly or indirectly, use or disclose it for your own or a third party’s benefit. Notwithstanding the above and any other continuing post-termination obligations that apply to you, pursuant to the federal Defend Trade Secrets Act, you cannot be held criminally or civilly liable under any federal or state trade secret law for disclosing a trade secret if that disclosure is made: (i) in confidence to a federal, state or local government official, either directly or indirectly, or to any attorney, and for the sole purpose of reporting or investigating a suspected violation of law; or (ii) in a complaint or other document filed in a lawsuit or similar proceeding, provided that filing is made under seal.
b.    You also agree that for twelve (12) months after your Termination Date, you will not, directly or indirectly, attempt to hire, engage the services of, or employ in any manner any person who was an executive, management, sales and marketing, operations, research and development, or information technology employee or contractor of the Company or Released Parties in the six months preceding your Termination Date and who possesses or had access to Confidential Information. As a California employee, you shall not either directly or indirectly use Envista trade secrets or confidential information to solicit, induce, recruit or encourage any of Envista employees or consultants to terminate their relationship with Envista, or attempt to solicit, induce, recruit, encourage or take away, hire, or otherwise engage the services of employees or consultants of Envista, either for yourself or for any other person or entity.
10.    Governing Law. This Agreement shall be governed by and construed in accordance with the law of the state where you resided while providing services to the Company, unless federal law governs.
    4     

11.    Return of Company Property and Cancellation of Accounts. You represent that you have returned (or you will before receiving any separation pay) all Company property in your possession or control, including any documents or confidential information (originals, hard copy, and electronic versions, such as emails, files, presentations, records and reports), laptop or other computer and all peripherals, cellular phone, and other business equipment, work product, and software. You further confirm that you have cancelled any accounts for your benefit in the Company’s name, including but not limited to credit cards and cellular phone accounts. You also agree to reconcile promptly any outstanding expense accounts and timely submit any final reimbursement requests.
12.    Future Cooperation. You agree to cooperate with the Company and to respond to reasonable inquiries and requests for information by the Company, with reasonable notice, in connection with any legal matters in which you are involved or may become involved relating to matters arising during your employment with the Company. Your agreement to cooperate and provide responses shall not be construed as requiring you to provide anything other than truthful information, regardless of whether it is favorable or unfavorable to the Company, nor as creating any employment relationship between you and the Company.
13.    IRC §409A. Each of the payments of severance and continued medical benefits (if any) are designated as separate payments for purposes of IRC §409A. Any such payments which are not exempt from IRC §409A shall be paid in the time and form as set forth in this Agreement and no person shall have the right or ability to later change the time and form of payment. Notwithstanding the preceding, if IRC §409A requires, payments under this Agreement which are not exempt and which are to be made during the first six months following your termination shall be withheld and the amount of the payments withheld shall be paid in a lump sum, without interest, during the seventh month following your termination. You and not the Company are responsible for any tax penalties that may be imposed on you as a result of IRC §409 A.
14.    Electronic Transmissions. If you received this document electronically through an e-signature application, you may review and sign this Agreement digitally within twenty-one (21) days. If you received an email or hard-copy of this Agreement without an e-signature application, you can sign and send it back to the Company through e-mail (pdf scan), or by U.S. mail, within 21 days, to your HR Business Partner, Vicki Perry at vicki.perry@envistaco.com.
15.     Knowing and Voluntary Release. You agree that you are signing this Agreement voluntarily and of your own free will and not because of any threats or duress. You affirm that no promises or agreements of any kind (other than those in this Agreement) have been made to or with you by any person or entity that would cause you to sign this Agreement. You have had an opportunity to review the terms of this Agreement with an attorney of your choice. You agree that you have carefully read this Agreement and understand its contents, freely and voluntarily assent to all terms and conditions contained in this Agreement, sign your name of your own free will, and intend to be legally bound by this Agreement

EMPLOYEE

COMPANY


Sign: /s/ Jean-Claude Kyrillos
Sign: /s/ Faez Kaabi
Print: Jean-Claude KyrillosPrint: Faez Kaabi
Date: 07/01/2023
Date: 07/05/2023

    5     

Exhibit 31.1

CERTIFICATION OF CHIEF EXECUTIVE OFFICER
PURSUANT TO
EXCHANGE ACT RULES 13a-14(a) AND 15d-14(a),
AS ADOPTED PURSUANT TO
SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, Amir Aghdaei, certify that:
1.
I have reviewed this Quarterly Report on Form 10-Q of Envista Holdings Corporation;
2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
4.The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
5.The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):
(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
Date: August 2, 2023
/s/ Amir Aghdaei
                                Amir Aghdaei
President and Chief Executive Officer



Exhibit 31.2

CERTIFICATION OF CHIEF FINANCIAL OFFICER
PURSUANT TO
EXCHANGE ACT RULES 13a-14(a) AND 15d-14(a),
AS ADOPTED PURSUANT TO
SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, Howard H. Yu, certify that:
1.
I have reviewed this Quarterly Report on Form 10-Q of Envista Holdings Corporation;
2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
4.The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
5.The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):
(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
Date: August 2, 2023
/s/ Howard H. Yu
                                Howard H. Yu
Senior Vice President and Chief Financial Officer (Principal Financial and Accounting Officer)



Exhibit 32.1

CERTIFICATIONS OF CHIEF EXECUTIVE OFFICER AND CHIEF FINANCIAL OFFICER
PURSUANT TO
18 U.S.C. SECTION 1350,
AS ADOPTED PURSUANT TO
SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002
I, Amir Aghdaei, certify pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that the Quarterly Report on Form 10-Q of Envista Holdings Corporation for the period ended June 30, 2023, fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934 and that information contained in such Quarterly Report on Form 10-Q fairly presents, in all material respects, the financial condition and results of operations of Envista Holdings Corporation as of and for the periods presented in the Report.
Date: August 2, 2023
/s/ Amir Aghdaei
Amir Aghdaei
President and Chief Executive Officer
I, Howard H. Yu, certify pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that the Quarterly Report on Form 10-Q of Envista Holdings Corporation for the period ended June 30, 2023, fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934 and that information contained in such Quarterly Report on Form 10-Q fairly presents, in all material respects, the financial condition and results of operations of Envista Holdings Corporation as of and for the periods presented in the Report.
Date: August 2, 2023
/s/ Howard H. Yu
Howard H. Yu
Senior Vice President and Chief Financial Officer (Principal Financial and Accounting Officer)


v3.23.2
Cover Page - shares
 6 Months Ended
Jun. 30, 2023
Jul. 28, 2023
Cover [Abstract]    
Document Type 10-Q  
Document Quarterly Report true  
Document Period End Date Jun. 30, 2023  
Document Transition Report false  
Entity File Number 001-39054  
Entity Registrant Name ENVISTA HOLDINGS CORPORATION  
Entity Incorporation, State or Country Code DE  
Entity Tax Identification Number 83-2206728  
Entity Address, Address Line One 200 S. Kraemer Blvd., Building E  
Entity Address, City or Town Brea,  
Entity Address, State or Province CA  
Entity Address, Postal Zip Code 92821-6208  
City Area Code 714  
Local Phone Number 817-7000  
Title of 12(b) Security Common stock, $0.01 par value  
Trading Symbol NVST  
Security Exchange Name NYSE  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Large Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Shell Company false  
Entity Common Stock, Shares Outstanding   163,823,852
Amendment Flag false  
Current Fiscal Year End Date --12-31  
Document Fiscal Year Focus 2023  
Document Fiscal Period Focus Q2  
Entity Central Index Key 0001757073  
v3.23.2
Condensed Consolidated Balance Sheets (unaudited) - USD ($)
$ in Millions
Jun. 30, 2023
Dec. 31, 2022
Current assets:    
Cash and cash equivalents $ 651.7 $ 606.9
Trade accounts receivable, less allowance for credit losses of $16.3 and $16.2, respectively 415.2 393.5
Inventories, net 297.0 300.8
Prepaid expenses and other current assets 125.0 123.4
Total current assets 1,488.9 1,424.6
Property, plant and equipment, net 300.1 293.6
Operating lease right-of-use assets 129.6 131.8
Other long-term assets 151.7 153.7
Goodwill 3,493.8 3,496.6
Other intangible assets, net 1,043.1 1,086.7
Total assets 6,607.2 6,587.0
Current liabilities:    
Short-term debt 511.5 510.0
Trade accounts payable 176.8 228.3
Accrued expenses and other liabilities 434.0 471.4
Operating lease liabilities 28.5 27.0
Total current liabilities 1,150.8 1,236.7
Operating lease liabilities 116.8 121.4
Other long-term liabilities 153.0 151.3
Long-term debt 875.6 870.7
Commitments and contingencies
Stockholders’ equity:    
Preferred stock, $0.01 par value, 15.0 million shares authorized; no shares issued or outstanding at June 30, 2023 and December 31, 2022 0.0 0.0
Common stock - $0.01 par value, 500.0 million shares authorized; 164.5 million shares issued and 163.8 million shares outstanding at June 30, 2023; 163.7 million shares issued and 163.2 million shares outstanding at December 31, 2022 1.6 1.6
Additional paid-in capital 3,719.2 3,699.0
Retained earnings 827.1 731.4
Accumulated other comprehensive loss (236.9) (225.1)
Total stockholders’ equity 4,311.0 4,206.9
Total liabilities and stockholders’ equity $ 6,607.2 $ 6,587.0
v3.23.2
Condensed Consolidated Balance Sheets (unaudited) (Parenthetical) - USD ($)
$ in Millions
Jun. 30, 2023
Dec. 31, 2022
Statement of Financial Position [Abstract]    
Allowance for credit losses $ 16.3 $ 16.2
Preferred stock, par value (in USD per share) $ 0.01 $ 0.01
Preferred shares authorized (in shares) 15,000,000 15,000,000
Preferred shares issued (in shares) 0 0
Preferred shares outstanding (in shares) 0 0
Common stock, par value (in USD per share) $ 0.01 $ 0.01
Common stock, shares authorized (in shares) 500,000,000 500,000,000
Common stock, shares issued (in shares) 164,500,000 163,700,000
Common stock, shares outstanding (in shares) 163,800,000 163,200,000
v3.23.2
Condensed Consolidated Statements of Operations (unaudited) - USD ($)
shares in Millions, $ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2023
Jul. 01, 2022
Jun. 30, 2023
Jul. 01, 2022
Income Statement [Abstract]        
Sales $ 662.4 $ 645.8 $ 1,289.6 $ 1,277.2
Cost of sales 283.8 276.0 548.3 533.3
Gross profit 378.6 369.8 741.3 743.9
Operating expenses:        
Selling, general and administrative 272.9 279.5 539.0 537.7
Research and development 26.8 25.1 51.3 49.5
Operating profit 78.9 65.2 151.0 156.7
Nonoperating income (expense):        
Other income 7.1 0.3 7.4 0.6
Interest expense, net (17.4) (6.4) (34.1) (12.3)
Income before income taxes 68.6 59.1 124.3 145.0
Income tax expense 16.7 14.6 28.6 30.1
Income from continuing operations, net of tax 51.9 44.5 95.7 114.9
Income from discontinued operations, net of tax (Note 3) 0.0 2.6 0.0 7.1
Net income $ 51.9 $ 47.1 $ 95.7 $ 122.0
Earnings per share:        
Earnings from continuing operations - basic (in USD per share) $ 0.32 $ 0.27 $ 0.58 $ 0.71
Earnings from continuing operations - diluted (in USD per share) 0.29 0.25 0.54 0.64
Earnings (loss) from discontinued operations - basic (in USD per share) 0 0.02 0 0.04
Earnings (loss) from discontinued operations - diluted (in USD per share) 0 0.01 0 0.04
Earnings - basic (in USD per share) 0.32 0.29 0.58 0.75
Earnings - diluted (in USD per share) $ 0.29 $ 0.26 $ 0.54 $ 0.68
Average common stock and common equivalent shares outstanding:        
Basic (in shares) 164.0 162.9 163.8 162.6
Diluted (in shares) 176.3 178.5 176.9 179.2
v3.23.2
Condensed Consolidated Statements of Comprehensive Income (Loss) (unaudited) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2023
Jul. 01, 2022
Jun. 30, 2023
Jul. 01, 2022
Statement of Comprehensive Income [Abstract]        
Net income $ 51.9 $ 47.1 $ 95.7 $ 122.0
Other comprehensive income (loss), net of income taxes:        
Foreign currency translation adjustments (25.9) (72.9) (11.1) (132.5)
Cash flow hedge adjustments 0.0 0.5 0.0 1.9
Pension plan adjustments (0.4) (0.1) (0.7) (0.2)
Total other comprehensive loss, net of income taxes (26.3) (72.5) (11.8) (130.8)
Comprehensive income (loss) $ 25.6 $ (25.4) $ 83.9 $ (8.8)
v3.23.2
Condensed Consolidated Statements of Changes in Stockholders' Equity (unaudited) - USD ($)
$ in Millions
Total
Total Equity
Total Equity
Adjustment
Total Equity
Adjusted balance
Common Stock
Common Stock
Adjusted balance
Additional Paid-in Capital
Additional Paid-in Capital
Adjustment
Additional Paid-in Capital
Adjusted balance
Retained Earnings
Retained Earnings
Adjustment
Retained Earnings
Adjusted balance
Accumulated Other Comprehensive Loss
Accumulated Other Comprehensive Loss
Adjusted balance
Noncontrolling Interests
Noncontrolling Interests
Adjusted balance
Balance, beginning of period at Dec. 31, 2021   $ 4,057.6 $ (56.4) $ 4,001.2 $ 1.6 $ 1.6 $ 3,732.6 $ (77.8) $ 3,654.8 $ 466.9 $ 21.4 $ 488.3 $ (143.5) $ (143.5) $ 0.4 $ 0.4
Increase (Decrease) in Stockholders' Equity [Roll Forward]                                
Common stock-based award activity   13.1         13.1                  
Net income   74.9               74.9            
Other comprehensive loss   (58.3)                     (58.3)      
Change in noncontrolling interest                             (0.4)  
Balance, end of period at Apr. 01, 2022   4,030.9     1.6   3,667.9     563.2     (201.8)   0.0  
Balance, beginning of period at Dec. 31, 2021   4,057.6 $ (56.4) $ 4,001.2 1.6 $ 1.6 3,732.6 $ (77.8) $ 3,654.8 466.9 $ 21.4 $ 488.3 (143.5) $ (143.5) 0.4 $ 0.4
Increase (Decrease) in Stockholders' Equity [Roll Forward]                                
Net income $ 122.0                              
Other comprehensive loss (130.8)                       (130.8)      
Balance, end of period at Jul. 01, 2022   4,016.0     1.6   3,678.4     610.3     (274.3)   0.0  
Balance, beginning of period at Apr. 01, 2022   4,030.9     1.6   3,667.9     563.2     (201.8)   0.0  
Increase (Decrease) in Stockholders' Equity [Roll Forward]                                
Common stock-based award activity   10.5         10.5                  
Net income 47.1 47.1               47.1            
Other comprehensive loss (72.5) (72.5)                     (72.5)      
Balance, end of period at Jul. 01, 2022   4,016.0     1.6   3,678.4     610.3     (274.3)   $ 0.0  
Balance, beginning of period at Dec. 31, 2022 4,206.9 4,206.9     1.6   3,699.0     731.4     (225.1)      
Increase (Decrease) in Stockholders' Equity [Roll Forward]                                
Common stock-based award activity   13.8         13.8                  
Net income   43.8               43.8            
Other comprehensive loss   14.5                     14.5      
Balance, end of period at Mar. 31, 2023   4,279.0     1.6   3,712.8     775.2     (210.6)      
Balance, beginning of period at Dec. 31, 2022 4,206.9 4,206.9     1.6   3,699.0     731.4     (225.1)      
Increase (Decrease) in Stockholders' Equity [Roll Forward]                                
Net income 95.7                              
Other comprehensive loss (11.8)                       (11.8)      
Balance, end of period at Jun. 30, 2023 4,311.0 4,311.0     1.6   3,719.2     827.1     (236.9)      
Balance, beginning of period at Mar. 31, 2023   4,279.0     1.6   3,712.8     775.2     (210.6)      
Increase (Decrease) in Stockholders' Equity [Roll Forward]                                
Common stock-based award activity   6.4         6.4                  
Net income 51.9 51.9               51.9            
Other comprehensive loss (26.3) (26.3)                     (26.3)      
Balance, end of period at Jun. 30, 2023 $ 4,311.0 $ 4,311.0     $ 1.6   $ 3,719.2     $ 827.1     $ (236.9)      
v3.23.2
Condensed Consolidated Statements of Cash Flows (unaudited) - USD ($)
$ in Millions
 6 Months Ended
Jun. 30, 2023
Jul. 01, 2022
Cash flows from operating activities:    
Net income $ 95.7 $ 122.0
Noncash items:    
Depreciation 17.9 16.1
Amortization 52.0 50.3
Allowance for credit losses 3.2 3.6
Stock-based compensation expense 20.2 15.8
Gain on sale of equity investment (6.9) 0.0
Gain on sale of property, plant and equipment 0.0 (1.1)
Gain on sale of KaVo treatment unit and instrument business 0.0 (8.9)
Restructuring charges 0.8 3.8
Impairment charges 0.2 4.9
Amortization of right-of-use assets 13.1 11.2
Amortization of debt discount and issuance costs 2.1 2.0
Change in trade accounts receivable (24.0) (56.6)
Change in inventories (3.9) (29.5)
Change in trade accounts payable (47.1) 5.9
Change in prepaid expenses and other assets (1.1) (17.4)
Change in accrued expenses and other liabilities (27.2) (80.9)
Change in operating lease liabilities (16.8) (15.5)
Net cash provided by operating activities 78.2 25.7
Cash flows from investing activities:    
Payments for additions to property, plant and equipment (31.6) (31.9)
Proceeds from sale of equity investment 10.7 0.0
Acquisitions, net of cash acquired 0.0 (569.8)
Proceeds from sale of KaVo treatment unit and instrument business, net 0.0 28.8
All other investing activities, net (3.9) (13.6)
Net cash used in investing activities (24.8) (586.5)
Cash flows from financing activities:    
Proceeds from stock option exercises 5.9 15.4
Tax withholding payment related to net settlement of equity awards (6.4) (8.1)
Proceeds from borrowings 0.0 0.3
Repayment of borrowings 0.0 (0.5)
All other financing activities 1.6 0.0
Net cash provided by financing activities 1.1 7.1
Effect of exchange rate changes on cash and cash equivalents (9.7) 3.2
Net change in cash and cash equivalents 44.8 (550.5)
Beginning balance of cash and cash equivalents 606.9 1,073.6
Ending balance of cash and cash equivalents 651.7 523.1
Supplemental data:    
Cash paid for interest 35.3 13.8
Cash paid for taxes 33.5 52.6
ROU assets obtained in exchange for operating lease obligations $ 12.1 $ 18.3
v3.23.2
Business And Basis Of Presentation
 6 Months Ended
Jun. 30, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Business and Basis of Presentation BUSINESS AND BASIS OF PRESENTATION
Business Overview

The Company provides products that are used to diagnose, treat and prevent disease and ailments of the teeth, gums and supporting bone, as well as to improve the aesthetics of the human smile. The Company is a worldwide provider of a broad range of dental implants, orthodontic appliances, general dental consumables, equipment and services and is dedicated to driving technological innovations that help dental professionals improve clinical outcomes and enhance productivity.

The Company operates in two business segments: Specialty Products & Technologies and Equipment & Consumables.
The Company’s Specialty Products & Technologies segment primarily develops, manufactures and markets dental implant systems, including regenerative solutions, dental prosthetics and associated treatment software and technologies, as well as orthodontic bracket systems, aligners and lab products. The Company’s Equipment & Consumables segment primarily develops, manufactures and markets dental equipment and supplies used in dental offices, including digital imaging systems, software and other visualization/magnification systems; endodontic systems and related consumables; and restorative materials and instruments, rotary burs, impression materials, bonding agents and cements and infection prevention products.

Basis of Presentation
All revenues and costs as well as assets and liabilities directly associated with the business activity of the Company are included in the financial statements. All significant intercompany accounts and transactions between the businesses comprising the Company have been eliminated in the accompanying Condensed Consolidated Financial Statements.

The Condensed Consolidated Financial Statements included herein have been prepared by the Company without audit, pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). Certain information and footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles (“GAAP”) have been condensed or omitted pursuant to such rules and regulations; however, the Company believes that the disclosures are adequate to make the information presented not misleading. The accompanying Condensed Consolidated Financial Statements contain all adjustments (consisting of only normal recurring adjustments and reclassifications to conform to current year presentation) necessary to present fairly the financial position of the Company as of June 30, 2023 and December 31, 2022, and its results of operations for the three and six month periods ended June 30, 2023 and July 1, 2022 and cash flows for the six month periods ended June 30, 2023 and July 1, 2022. The information included in this Quarterly Report on Form 10-Q should be read in conjunction with the Company’s Consolidated Financial Statements and accompanying notes for the three years ended December 31, 2022, included in the Annual Report on Form 10-K filed by the Company with the SEC on February 16, 2023.

As discussed in Note 3, Discontinued Operations, on December 31, 2021, the Company sold substantially all of its KaVo dental treatment unit and instrument business (the "KaVo Treatment Unit and Instrument Business"), which was part of the Company’s Equipment and Consumables segment. However, the transfer of assets in certain countries was not executed and closed until 2022 (“Deferred Local Closing”). As a result, the financial results related to the Deferred Local Closing countries were reported as discontinued operations and all segment information and descriptions exclude the activity related to those countries for the three and six months ended July 1, 2022. As of December 31, 2022, all Deferred Local Closings were completed and therefore there is no discontinued operations activity reported for the three and six months ended June 30, 2023.
Risks and Uncertainties

The Company is subject to risks and uncertainties as a result of the novel coronavirus (“COVID-19”) pandemic.

The extent of the impact of the COVID-19 pandemic on the Company remains uncertain and difficult to predict because of the dynamic and evolving nature of the situation. The global impact of the outbreak continues to adversely affect many industries, and different geographies continue to reflect the effects of public health restrictions in various ways. The economic recovery following the impact of the COVID-19 pandemic is only partially underway and has been gradual, uneven and characterized by meaningful dispersion across sectors and regions with uncertainty regarding its ultimate length and trajectory. During the three and six months ended June 30, 2023, notwithstanding improvement in many markets in which the Company operates due to a return to more normalized business operations, certain markets continued to be adversely impacted by COVID-19.

In addition, Russia’s invasion of Ukraine and the global response to this invasion, including sanctions imposed by the U.S. and other countries, could have an adverse impact on the Company’s overall business, including impacting the Company’s ability to market and sell products in the affected regions, potentially heightening the risk of cyber security attacks, impacting its ability to enforce its intellectual property rights in Russia, creating disruptions in the global supply chain, and by potentially having an adverse impact on the global economy, financial markets, energy markets, currency rates and otherwise.

Accounting Standards Recently Adopted
In August 2020, the Financial Accounting Standards Board issued Accounting Standards Update 2020-06, “Debt – Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging – Contracts in Entity’s Own Equity (Subtopic 815 – 40),” (“ASU 2020-06”), which simplifies the accounting for certain financial instruments with characteristics of liabilities and equity, including convertible instruments and contracts on an entity’s own equity. ASU 2020-06 was effective for public entities for fiscal years beginning after December 15, 2021. On January 1, 2022, the Company adopted ASU 2020-06 using the modified retrospective adoption approach. The cumulative effect of the change was recognized as an adjustment to the opening balance of retained earnings at the date of adoption and resulted in a $75.0 million increase to the carrying value of the convertible notes due 2025, a decrease to additional paid-in capital of $77.8 million, a $21.4 million increase to retained earnings and an $18.6 million decrease to the related net deferred tax liability.
v3.23.2
Acquisitions
 6 Months Ended
Jun. 30, 2023
Business Combination and Asset Acquisition [Abstract]  
Acquisitions ACQUISITIONS
The Company continually evaluates potential acquisitions that either strategically fit with the Company’s existing portfolio or expand the Company’s portfolio into new and attractive business areas. The Company has completed a number of acquisitions that have been accounted for as business combinations and have resulted in the recognition of goodwill in the Company’s Condensed Consolidated Financial Statements. Among other things, goodwill arises because the purchase prices for these businesses reflect a number of factors including the future earnings and cash flow potential of these businesses, the multiple to earnings, cash flow and other factors at which similar businesses have been purchased by other acquirers, the competitive nature of the processes by which the Company acquired the businesses, avoidance of the time and costs which would be required (and the associated risks that would be encountered) to enhance the Company’s existing product offerings to key target markets and enter into new and profitable businesses and the complementary strategic fit and resulting synergies these businesses bring to existing operations.

The Company makes an initial allocation of the purchase price at the date of acquisition based upon its understanding of the fair value of the acquired assets and assumed liabilities. The Company obtains this information during due diligence and through other sources. For those assets and liabilities that were accounted for on a preliminary basis, the Company may up to 12 months after closing, refine the estimates of fair value and more accurately allocate the purchase price. Only items that existed as of the acquisition date are considered for subsequent adjustment.

During the year ended December 31, 2022, the Company completed the following acquisitions which were accounted for under Accounting Standards Codification 805 Business Combinations using the acquisition method of accounting:
Osteogenics Biomedical Inc., Allotech LLC and OBI Biologics, Inc.
On July 5, 2022, the Company acquired all of the equity of Osteogenics Biomedical Inc., Allotech LLC and OBI Biologics, Inc. (together "Osteogenics") for total consideration of approximately $128.2 million, subject to certain customary adjustments as provided in the Equity Purchase Agreement dated May 17, 2022. Osteogenics develops innovative regenerative solutions for periodontists, oral and maxillofacial surgeons, and clinicians involved in implant dentistry throughout the world, and is part of the Company’s Specialty Products & Technologies segment.

Carestream Dental Technology Parent Limited’s Intraoral Scanner Business
On April 20, 2022, the Company completed the acquisition of Carestream Dental Technology Parent Limited’s (“Carestream Dental”) intraoral scanner business (the “Intraoral Scanner Business”) for total consideration of $580.3 million, including contingent consideration of $7.5 million, and subject to certain customary adjustments as provided in the Stock and Asset Purchase Agreement dated December 21, 2021 and as subsequently amended by the closing agreement dated as of April 20, 2022 (together, the “IOS Purchase Agreement”). The Intraoral Scanner Business manufactures, markets, sells, commercializes, distributes, services, trains, supports, and maintains operations of intraoral scanners and software, and is part of the Company’s Equipment & Consumables segment. The Company purchased the Intraoral Scanner Business through the acquisition of certain assets and the assumption of certain liabilities as well as the acquisition of all of the equity of certain subsidiaries of Carestream Dental.

The following table summarizes the fair values of the assets acquired and liabilities assumed as of the respective acquisition dates ($ in millions):

Osteogenics
July 5, 2022		Intraoral Scanner Business
April 20, 2022
Assets acquired:
   Cash$2.1 $2.7 
   Accounts receivable2.5 0.1 
   Inventories13.3 6.1 
   Intangible assets53.0 129.8 
   Property, plant and equipment— 0.3 
   Prepaids and Other Current Assets1.3 — 
   Goodwill77.3 373.1 
   Non-current deferred tax asset— 96.0 
   Operating lease right-of-use assets2.6 0.9 
   Other long-term assets4.9 0.2 
       Total assets acquired157.0 609.2 
Liabilities assumed:
   Accounts payable (4.1)(0.5)
   Accrued expenses and other liabilities (2.5)(27.9)
   Non-current deferred tax liability(14.3)— 
   Other long-term liabilities(5.8)— 
   Operating lease liabilities(2.1)(0.5)
       Total liabilities assumed(28.8)(28.9)
Total net assets acquired$128.2 $580.3 


The intangible assets acquired consist of trade name, developed technology, and customer relationships. The weighted average amortization period of the acquired intangible assets in the aggregate is 8 and 10 years for the Intraoral Scanner Business and Osteogenics, respectively.
The excess of the purchase price over the fair value assigned to the assets acquired and liabilities assumed represents the goodwill resulting from the acquisitions. Goodwill attributable to the acquisitions has been recorded as a non-current asset and is not amortized, but is subject to review at least on an annual basis for impairment. Goodwill recognized was primarily attributable to expected operating efficiencies and expansion opportunities in the businesses acquired. Goodwill is not deductible for income tax purposes. The pro forma impact of the acquisitions is not presented as the acquisitions were not considered material to the Company's Condensed Consolidated Financial Statements.

For the three and six months ended July 1, 2022, legal, accounting, and other professional service costs associated with acquisitions were $8.2 million and $10.7 million, respectively, and have been recorded as selling, general and administrative expense in the Condensed Consolidated Statements of Operations. For the three and six months ended June 30, 2023, there were no legal, accounting, and other professional service costs associated with acquisitions.
v3.23.2
Discontinued Operations
 6 Months Ended
Jun. 30, 2023
Discontinued Operations and Disposal Groups [Abstract]  
Discontinued Operations DISCONTINUED OPERATIONS
On December 31, 2021, the Company sold substantially all of the KaVo Treatment Unit and Instrument Business (the “Divestiture”) to planmeca Verwaltungs Gmbh, Germany (“Planmeca”), pursuant to the master sale and purchase agreement (the “Purchase Agreement”) among the Company, Planmeca, and Planmeca Oy, as guarantor. However, the transfer of assets for Deferred Local Closing countries was not executed and closed until 2022. As of December 31, 2022, all Deferred Local Closings were completed and the Company received total net cash consideration of $386.4 million in accordance with the terms of the Purchase Agreement.

For the six months ended July 1, 2022, the Company recognized an earnout payment of $30.0 million. As all Deferred Local Closings were completed as of December 31, 2022, there are no discontinued operations reported for the three and six months ended June 30, 2023.

The operating results of the Divestiture for the three and six months ended July 1, 2022 are reflected in the Condensed Consolidated Statements of Operations within income from discontinued operations, net of tax as follows ($ in millions):

 Three Months EndedSix Months Ended
 July 1, 2022July 1, 2022
Sales$2.0 $8.9 
Cost of sales1.1 7.0 
Gross profit0.9 1.9 
Operating expenses:
Selling, general and administrative1.0 2.1 
Research and development— — 
Operating loss(0.1)(0.2)
Income tax expense— — 
Loss from discontinued operations(0.1)(0.2)
Gain on sale of discontinued operations, net of tax2.7 7.3 
Net income from discontinued operations$2.6 $7.1 
v3.23.2
Credit Losses
 6 Months Ended
Jun. 30, 2023
Credit Loss [Abstract]  
Credit Losses CREDIT LOSSES
The allowance for credit losses is a valuation account deducted from accounts receivable to present the net amount expected to be collected. Accounts receivable are charged off against the allowance when management believes the uncollectibility of an accounts receivable balance is confirmed.

Management estimates the adequacy of the allowance by using relevant available information, from internal and external sources, relating to past events, current conditions and forecasts. Historical credit loss experience provides the basis for estimation of expected credit losses and is adjusted as necessary using the relevant information available. The allowance for credit losses is measured on a collective basis when similar risk characteristics exist. The Company has identified one portfolio segment based on the following risk characteristics: geographic regions, product lines, default rates and customer specific factors.
The factors used by management in its credit loss analysis are inherently subject to uncertainty. If actual results are not consistent with management’s estimates and assumptions, the allowance for credit losses may be overstated or understated and a charge or credit to net income (loss) may be required.

The rollforward of the allowance for credit losses is summarized as follows ($ in millions):

Balance at December 31, 2022$16.2 
Foreign currency translation(0.2)
Provision for credit losses3.2 
Write-offs charged against the allowance(1.8)
Recoveries(1.1)
Balance at June 30, 2023$16.3 
v3.23.2
Inventories
 6 Months Ended
Jun. 30, 2023
Inventory Disclosure [Abstract]  
Inventories INVENTORIES
The classes of inventory are summarized as follows ($ in millions):
June 30, 2023December 31, 2022
Finished goods$229.5 $229.2 
Work in process22.2 23.9 
Raw materials102.2 103.4 
Reserve for inventory obsolescence(56.9)(55.7)
Total$297.0 $300.8 
v3.23.2
Property, Plant And Equipment
 6 Months Ended
Jun. 30, 2023
Property, Plant and Equipment [Abstract]  
Property, Plant And Equipment PROPERTY, PLANT AND EQUIPMENT
The classes of property, plant and equipment are summarized as follows ($ in millions):
June 30, 2023December 31, 2022
Land and improvements$10.0 $10.0 
Buildings and improvements158.3 154.5 
Machinery, equipment and other assets394.7 370.2 
Construction in progress63.8 71.2 
Gross property, plant and equipment626.8 605.9 
Less: accumulated depreciation(326.7)(312.3)
Property, plant and equipment, net$300.1 $293.6 
v3.23.2
Goodwill
 6 Months Ended
Jun. 30, 2023
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill GOODWILL
The following is a rollforward of the Company’s goodwill by segment ($ in millions):
Specialty Products & TechnologiesEquipment & ConsumablesTotal
Balance at December 31, 2022$2,047.8 $1,448.8 $3,496.6 
Foreign currency translation (7.8)5.0 (2.8)
Balance at June 30, 2023$2,040.0 $1,453.8 $3,493.8 
v3.23.2
Accrued Expenses And Other Liabilities
 6 Months Ended
Jun. 30, 2023
Accrued expenses and other [Abstract]  
Accrued Expenses and Other Liabilities ACCRUED EXPENSES AND OTHER LIABILITIES
Accrued expenses and other liabilities were as follows ($ in millions):
June 30, 2023December 31, 2022
CurrentNoncurrentCurrentNoncurrent
Compensation and benefits$114.1 $21.1 $148.0 $17.5 
Sales and product allowances63.7 1.5 85.1 1.3 
Contract liabilities102.6 8.3 78.9 8.6 
Taxes, income and other37.8 65.8 42.1 68.6 
Restructuring-related employee severance, benefits and other11.1 — 18.9 — 
Pension benefits5.6 16.6 5.6 17.5 
Loss contingencies10.3 26.7 8.1 27.6 
Derivative financial instruments— 1.7 — — 
Other88.8 11.3 84.7 10.2 
Total$434.0 $153.0 $471.4 $151.3 
v3.23.2
Hedging Transactions And Derivative Financial Instruments
 6 Months Ended
Jun. 30, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Hedging Transactions and Derivative Financial Instruments HEDGING TRANSACTIONS AND DERIVATIVE FINANCIAL INSTRUMENTS
The Company uses cross-currency swap derivative contracts to partially hedge its net investments in foreign operations against adverse movements in exchange rates between the U.S. dollar and the euro. The cross-currency swap derivative contracts are agreements to exchange fixed-rate payments in one currency for fixed-rate payments in another currency. On January 17, 2023, the Company entered into a two-year cross-currency swap derivative contract, with a notional value of $150.0 million, with respect to its $650.0 million senior term loan facility. This contract effectively converts a portion of the $650.0 million senior term loan facility to an obligation denominated in euros and partially offsets the impact of changes in currency rates on foreign currency denominated net investments. This instrument matures on January 17, 2025.

The Company also has foreign currency denominated long-term debt in the amount of €208.0 million. This senior euro term loan facility represents a partial hedge of the Company’s net investment in foreign operations against adverse movements in exchange rates between the U.S. dollar and the euro. The senior euro term loan facility is designated and qualifies as a non-derivative hedging instrument. The senior euro term loan facility matures in September 2024. Refer to Note 13 for further discussion of the senior euro term loan facility.

The change in the fair value of the cross-currency swap instrument and the foreign currency translation of the senior euro term loan facility are recorded in accumulated other comprehensive loss in equity, in the accompanying Condensed Consolidated Balance Sheets, partially offsetting the foreign currency translation adjustment of the Company’s related net investment that is also recorded in accumulated other comprehensive loss as reflected in Note 14.

The Company has also used interest rate swap derivative contracts to reduce its variability of cash flows related to interest payments with respect to its senior term and senior euro term loan facilities. The interest rate swap contracts exchanged interest payments based on variable rates for interest payments based on fixed rates. The changes in the fair value of these instruments were recorded in accumulated other comprehensive loss in equity (see Note 14). The interest income or expense from the cross-currency and interest rate swaps were recorded in interest expense, net in the Company’s Condensed Consolidated Statements of Operations consistent with the classification of interest expense attributable to the underlying debt. The Company did not have any outstanding interest rate swap contracts as of June 30, 2023.

The following table summarizes the notional values as of June 30, 2023 and July 1, 2022 and pretax impact of changes in the fair values of instruments designated as net investment and cash flow hedges in accumulated other comprehensive loss (“OCI”) for the three and six months ended June 30, 2023 and July 1, 2022 ($ in millions):
Three Months Ended
June 30, 2023		Three Months Ended
July 1, 2022
Notional AmountLoss Recognized in OCINotional AmountGain Recognized in OCI
Foreign currency denominated debt$227.0 $(1.5)$216.6 $13.1 
Foreign currency contracts150.0 (1.7)650.036.2
Interest rate contract— — 250.00.7
Total$377.0 $(3.2)$1,116.6 $50.0 
Six Months Ended
June 30, 2023		Six Months Ended
July 1, 2022
Notional AmountLoss Recognized in OCINotional AmountGain Recognized in OCI
Foreign currency denominated debt$227.0 $(4.3)$216.6 $19.9 
Foreign currency contracts150.0 (1.7)650.0 54.1 
Interest rate contracts— — 250.0 2.5 
Total$377.0 $(6.0)$1,116.6 $76.5 

The Company did not reclassify any deferred gains or losses related to net investment and cash flow hedges from accumulated other comprehensive loss to income during the three and six months ended June 30, 2023 and July 1, 2022. In addition, the Company did not have any ineffectiveness related to net investment and cash flow hedges and therefore did not reclassify any portion of the above net investment and cash flow hedges from accumulated other comprehensive loss into income during the three and six months ended June 30, 2023 and July 1, 2022. The cash inflows and outflows associated with the Company’s derivative contracts designated as net investment hedges are classified in investing activities in the accompanying Condensed Consolidated Statements of Cash Flows.

The Company’s derivative instruments, as well as its non-derivative debt instruments designated and qualifying as net investment hedges, were classified in the Company’s Condensed Consolidated Balance Sheets as follows ($ in millions):
June 30, 2023December 31, 2022
Derivative liabilities:
Other long-term liabilities$1.7 $— 
Nonderivative hedging instruments:
Long-term debt$227.0 $222.7 
Amounts related to the Company’s derivatives expected to be reclassified from accumulated other comprehensive loss to net income during the next 12 months are not significant.
v3.23.2
Fair Value Measurements
 6 Months Ended
Jun. 30, 2023
Fair Value Disclosures [Abstract]  
Fair Value Measurements FAIR VALUE MEASUREMENTS Accounting standards define fair value based on an exit price model, establish a framework for measuring fair value where the Company’s assets and liabilities are required to be carried at fair value and provide for certain disclosures related to the valuation methods used within a valuation hierarchy as established within the accounting standards. This hierarchy prioritizes the inputs into three broad levels as follows: Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities; Level 2 inputs are quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets in markets that are not active, or other observable characteristics for the asset or liability, including interest rates, yield curves and credit risks, or inputs that are derived principally from, or corroborated by, observable market data through correlation; and Level 3 inputs are unobservable inputs based on the Company’s assumptions. A financial asset or liability’s classification within the hierarchy is determined based on the lowest level input that is significant to the fair value measurement in its entirety.
A summary of financial assets and liabilities that are measured at fair value on a recurring basis were as follows ($ in millions):
Quoted Prices in
Active Market
(Level 1)		Significant Other
Observable Inputs
(Level 2)		Significant
Unobservable
Inputs
(Level 3)		Total
June 30, 2023
Liabilities:
Cross-currency swap derivative contracts$— $1.7 $— $1.7 
Deferred compensation plans$— $19.4 $— $19.4 
Contingent consideration$— $— $6.0 $6.0 
December 31, 2022:
Liabilities:
Deferred compensation plans$— $15.8 $— $15.8 
Contingent consideration$— $— $6.0 $6.0 

Derivative Instruments
The cross-currency swap derivative contract was classified as Level 2 in the fair value hierarchy as it is measured using the income approach with the relevant, foreign currency current exchange rates and forward curves as inputs. Refer to Note 9 for additional information.

Deferred Compensation Plans
Certain management employees of the Company participate in nonqualified deferred compensation programs that permit such employees to defer a portion of their compensation, on a pretax basis. All amounts deferred under this plan are unfunded, unsecured obligations and are presented as a component of the Company’s compensation and benefits accrual included in accrued expenses in the accompanying Condensed Consolidated Balance Sheets (refer to Note 8). Participants may choose among alternative earnings rates for the amounts they defer, which are primarily based on investment options within the Company’s 401(k) program. Changes in the deferred compensation liability under these programs are recognized based on changes in the fair value of the participants’ accounts, which are based on the applicable earnings rates on investment options within the Company’s 401(k) program. Amounts voluntarily deferred by employees into the Company stock fund and amounts contributed to participant accounts by the Company are deemed invested in the Company’s common stock and future distributions of such contributions will be made solely in shares of Company common stock, and therefore are not reflected in the above amounts.
Contingent Consideration
Contingent consideration represents a cash hold back intended to be used for certain liabilities related to the Company’s acquisition of the Intraoral Scanner Business (as further discussed in Note 2). Contingent consideration was classified as Level 3 in the fair value hierarchy as the estimated fair value was measured using a probability weighted discounted cash flow model.
Fair Value of Financial Instruments
The carrying amounts and fair values of the Company’s financial instruments were as follows ($ in millions):
June 30, 2023December 31, 2022
 Carrying AmountFair ValueCarrying AmountFair Value
Liabilities:
Contingent consideration$6.0 $6.0 $6.0 $6.0 
Cross-currency swap derivative contracts$1.7 $1.7 $— $— 
Convertible senior notes due 2025$511.5 $868.4 $510.0 $873.0 
Long-term debt$875.6 $875.6 $870.7 $870.7 
The fair value of long-term debt approximates the carrying value as these borrowings are based on variable market rates. The fair value of the convertible senior notes due 2025 was determined based on the quoted bid price of the convertible senior notes in an over-the-counter market on June 30, 2023 and December 31, 2022. The convertible senior notes are considered as Level 2 of the fair value hierarchy. The fair values of cash and cash equivalents, which consist primarily of money market funds, time and demand deposits, trade accounts receivable, net and trade accounts payable approximate their carrying amounts due to the short-term maturities of these instruments.
v3.23.2
Warranty
 6 Months Ended
Jun. 30, 2023
Commitments and Contingencies Disclosure [Abstract]  
Warranty WARRANTY
The Company generally accrues estimated warranty costs at the time of sale. In general, manufactured products are warranted against defects in material and workmanship when properly used for their intended purpose, installed correctly and appropriately maintained. Warranty periods depend on the nature of the product and range from 90 days up to the life of the product. The amount of the accrued warranty liability is determined based on historical information such as past experience, product failure rates or number of units repaired, estimated cost of material and labor and in certain instances estimated property damage. The accrued warranty liability is reviewed on a quarterly basis and may be adjusted as additional information regarding expected warranty costs becomes known.
The following is a rollforward of the Company’s accrued warranty liability ($ in millions):
Balance at December 31, 2022$9.2 
Accruals for warranties issued during the year6.7 
Settlements made(6.5)
Effect of foreign currency translation0.1 
Balance at June 30, 2023$9.5 
v3.23.2
Litigation And Contingencies
 6 Months Ended
Jun. 30, 2023
Commitments and Contingencies Disclosure [Abstract]  
Litigation And Contingencies LITIGATION AND CONTINGENCIES
The Company records accruals for loss contingencies associated with legal matters when it is probable that a liability will be incurred, and the amount of the loss can be reasonably estimated.

For litigation matters that the Company has determined are both probable and can be reasonably estimated, the Company has accrued $37.0 million and $35.7 million as of June 30, 2023 and December 31, 2022, respectively, which are included in accrued liabilities in the Condensed Consolidated Balance Sheets. The Company has accrued for these matters and will continue to monitor each related legal issue and adjust accruals as might be warranted based on new information and further developments in accordance with ASC 450-20-25. Amounts accrued for legal contingencies often result from a complex series of judgments about future events and uncertainties that rely heavily on estimates and assumptions including timing of related payments. The ability to make such estimates and judgments can be affected by various factors including, among other things, whether damages sought in the proceedings are unsubstantiated or indeterminate; legal discovery has not commenced or is not complete; proceedings are in early stages; matters present legal uncertainties; there are significant facts in dispute; procedural or jurisdictional issues; the uncertainty and unpredictability of the number of potential claims; or there are numerous parties involved. To the extent adverse verdicts have been rendered against the Company, the Company does not record an accrual until a loss is determined to be probable and can be reasonably estimated. In the Company's opinion, based on its examination of these matters, its experience to date and discussions with counsel, the ultimate outcome of legal proceedings, net of liabilities accrued in the Company's Condensed Consolidated Balance Sheets, is not expected to have a material adverse effect on the Company's financial position. However, the resolution of, or increase in accruals for one or more of these matters in any reporting period may have a material adverse effect on the Company’s results of operations and cash flows for that period.
v3.23.2
Debt And Credit Facilities
 6 Months Ended
Jun. 30, 2023
Debt Disclosure [Abstract]  
Debt And Credit Facilities DEBT AND CREDIT FACILITIES
The components of the Company’s debt were as follows, net of debt issuance costs ($ in millions):
June 30, 2023December 31, 2022
Senior term loan facility due 2024 (the “Term Loan”)
$648.8 $648.3 
Senior euro term loan facility due 2024 (the “Euro Term Loan”)226.8 222.4 
Convertible senior notes due 2025
511.5 510.0 
Total debt1,387.1 1,380.7 
Less: current portion(511.5)(510.0)
Long-term debt$875.6 $870.7 

Credit Facilities
The Company maintains a $650.0 million Term Loan and a €208.0 million Euro Term Loan. Additionally, the Company maintains a revolving credit facility (together with the Term Loan and the Euro Term Loan, the “Senior Credit Facilities”) with an aggregate available borrowing capacity of $750.0 million and a $20.0 million sublimit for the issuance of standby letters of credit that can be used for working capital and other general corporate purposes. The Company may request further increases to the revolving credit facility in an aggregate amount not to exceed $350.0 million. As of June 30, 2023 and December 31, 2022, there were no borrowings outstanding under the revolving credit facility. The Senior Credit Facilities mature on September 20, 2024.

Under the Senior Credit Facilities, borrowings bear interest as follows: (1) Eurocurrency Rate Loans (as defined in the Amended Credit Agreement) bear interest at a variable rate equal to the London inter-bank offered (“LIBOR”) rate plus a margin of between 0.785% and 1.625%, depending on the Company’s Consolidated Leverage Ratio (as defined in the Amended Credit Agreement) as of the last day of the immediately preceding fiscal quarter; and (2) Base Rate Loans (as defined in the Amended Credit Agreement) bear interest at a variable rate equal to (a) the highest of (i) the Federal funds rate (as published by the Federal Reserve Bank of New York from time to time) plus 0.50%, (ii) Bank of America’s “prime rate” as publicly announced from time to time and (iii) the Eurocurrency Rate (as defined in the Amended Credit Agreement) plus 1.0%, plus (b) a margin of between 0.00% and 0.625%, depending on the Company’s Consolidated Leverage Ratio as of the last day of the immediately preceding fiscal quarter. In no event will Eurocurrency Rate Loans or Base Rate Loans bear interest at a rate lower than 0.0%. In the event of LIBOR cessation, the Secured Overnight Financing Rate will be used as a replacement rate. In addition, the Company is required to pay a per annum facility fee of between 0.09% and 0.225% depending on the Company’s Consolidated Leverage Ratio as of the last day of the immediately preceding fiscal quarter and based on the aggregate commitments under the revolving credit facility, whether drawn or not.
The interest rates for borrowings under the Term Loan were 6.44% and 5.98% as of June 30, 2023 and December 31, 2022, respectively. The interest rates for borrowings under the Euro Term Loan were 4.49% and 3.28% as of June 30, 2023 and December 31, 2022, respectively. Interest is payable quarterly for both the Term and Euro Term Loans. The Company is required to maintain a Consolidated Leverage Ratio of 3.75 to 1.00 or less and includes a provision that the maximum Consolidated Leverage Ratio will be increased to 4.25 to 1.00 for the four consecutive full fiscal quarters immediately following the consummation of any acquisition by the Company or any subsidiary of the Company in which the purchase price exceeds $100.0 million. The Company is also required to maintain a Consolidated Interest Coverage Ratio (as defined in the Amended Credit Agreement) of at least 3.00 to 1.00. The Company is subject to customary representations, warranties, conditions precedent, events of default, indemnities and affirmative and negative covenants, including covenants that, among other things, limit or restrict the Company’s and/or the Company’s subsidiaries’ ability, subject to certain exceptions and qualifications, to incur liens or indebtedness, merge, consolidate or sell or otherwise transfer assets, make dividends or distributions, enter into transactions with the Company’s affiliates and use proceeds of the debt financing for other than permitted uses. Additionally, upon the occurrence and during the continuance of an event of default, the lenders may declare the outstanding advances and all other obligations immediately due and payable. The Company was in compliance with all of its debt covenants as of June 30, 2023.
Convertible Senior Notes (the “Notes”)

On May 21, 2020, the Company issued the Notes due on June 1, 2025, unless earlier repurchased, redeemed or converted. The aggregate principal amount, which includes the initial purchasers’ exercise in full of their option to purchase an additional $67.5 million principal amount of the Notes, was $517.5 million. The net proceeds from the issuance, after deducting purchasers’ discounts and estimated offering expenses, were $502.6 million. The Company used part of the net proceeds to pay for the capped call transactions (“Capped Calls”) as further described below. The Notes accrue interest at a rate of 2.375% per annum, payable semi-annually in arrears on June 1 and December 1 of each year. The Notes have an initial conversion rate of 47.5862 shares of the Company’s common stock per $1,000 principal amount of Notes, which is equivalent to an initial conversion price of approximately $21.01 per share of the Company’s common stock and is subject to adjustment upon the occurrence of specified events. The Notes are governed by an indenture dated as of May 21, 2020 (the “Indenture”) between the Company and Wilmington Trust, National Association, as trustee. The Indenture does not contain any financial covenants or any restrictions on the payment of dividends, the incurrence of senior debt or other indebtedness or the issuance or repurchase of the Company’s securities by the Company.

The Notes are the Company’s senior, unsecured obligations and are (i) equal in right of payment with the Company’s existing and future senior, unsecured indebtedness; (ii) senior in right of payment to the Company’s existing and future indebtedness that is expressly subordinated to the Notes; (iii) effectively subordinated to the Company’s existing and future secured indebtedness, to the extent of the value of the collateral securing that indebtedness; and (iv) structurally subordinated to all existing and future indebtedness and other liabilities, including trade payables, and (to the extent the Company is not a holder thereof) preferred equity, if any, of the Company’s subsidiaries.

Holders of the Notes may convert their Notes at any time on or after December 2, 2024 until the close of business on the second scheduled trading day preceding the maturity date. Holders of the Notes will also have the right to convert the Notes prior to December 2, 2024, but only upon the occurrence of specified events. In December 2021, the Company made the irrevocable election to settle all Notes conversions through combination settlement, satisfying the principal amount outstanding with cash and any Notes conversion value in excess of the principal amount in cash, shares of the Company’s common stock or a combination of both. If a fundamental change occurs prior to the maturity date, holders of the Notes may require the Company to repurchase all or a portion of their Notes for cash at a repurchase price equal to 100.0% of the principal amount plus any accrued and unpaid interest. In addition, if specific corporate events occur prior to the maturity date, the Company would increase the conversion rate for a holder who elects to convert its Notes in connection with such an event in certain circumstances. As of June 30, 2023 and December 31, 2022, the stock price exceeded 130% of the conversion price of $21.01 in 20 days of the final 30 trading days ended June 30, 2023 and December 31, 2022, which satisfied one of the conditions permitting early conversion by holders of the Notes, therefore, the Notes are classified as short-term debt.

The Notes will be redeemable, in whole or in part, at the Company’s option at any time, and from time to time, on or after June 1, 2023 and on or before the 40th scheduled trading day immediately before the maturity date, at a cash redemption price equal to the principal amount of the Notes to be redeemed, plus accrued and unpaid interest, if any, to, but excluding the redemption date, but only if the last reported sale price per share of the Company’s common stock exceeds 130.0% of the conversion price on (i) each of at least 20 trading days, whether or not consecutive, during the 30 consecutive trading days ending on, and including, the trading day immediately before the date the Company sends the related redemption notice; and (ii) the trading day immediately before the date the Company sends such notice. In addition, calling any Note for redemption will constitute a “Make-Whole Fundamental Change” (as defined in the Indenture) with respect to that Note, in which case the conversion rate applicable to the conversion of that Note will be increased in certain circumstances if it is converted after it is called for redemption.

The following table sets forth total interest expense recognized related to the Notes ($ in millions):

Three Months EndedSix Months Ended
June 30, 2023July 1, 2022June 30, 2023July 1, 2022
Contractual interest expense
$3.0 $3.0 $6.1 $6.1 
Amortization of debt issuance costs
0.8 0.8 1.5 1.5 
Total interest expense
$3.8 $3.8 $7.6 $7.6 
For the three and six months ended June 30, 2023 and July 1, 2022, the debt issuance costs were amortized using an annual effective interest rate of 3.0% to interest expense over the term of the Notes.

As of June 30, 2023 and December 31, 2022, the if-converted value of the Notes exceeded the outstanding principal amount by $315.8 million and $311.7 million, respectively.

Debt Issuance Costs

The remaining unamortized debt issuance costs for the Convertible Senior Notes, Term Loan and Euro Term Loan were as follows ($ in millions):
June 30, 2023December 31, 2022
Convertible Senior Notes$6.0 $7.5 
Term Loan1.2 1.7 
Euro Term Loan0.2 0.3 
$7.4 $9.5 

The above unamortized debt issuance costs have been netted against their respective aggregate principal amounts of the related debt and are being amortized to interest expense over the term of the respective debt.

Capped Call Transactions
In connection with the offering of the Notes, the Company entered into Capped Calls with certain counterparties. The Capped Calls each have an initial strike price of approximately $21.01 per share, subject to certain adjustments, which corresponds to the initial conversion price of the Notes. The Capped Calls have initial cap prices of $23.79 per share, subject to certain adjustments. The Capped Calls cover, subject to anti-dilution adjustments, 2.9 million shares of the Company's common stock. The Capped Calls are generally intended to reduce or offset the potential dilution from shares of common stock issued upon any conversion of the Notes with such reduction or offset, as the case may be, subject to a cap based on the cap price. As the Capped Call transactions are considered indexed to the Company's own stock and are considered equity classified, they are recorded in equity and are not accounted for as derivatives. The cost of $20.7 million incurred in connection with the Capped Calls was recorded as a reduction to additional paid-in capital.
v3.23.2
Accumulated Other Comprehensive Loss
 6 Months Ended
Jun. 30, 2023
Equity [Abstract]  
Accumulated Other Comprehensive Loss ACCUMULATED OTHER COMPREHENSIVE LOSS
The changes in accumulated other comprehensive loss by component are summarized below ($ in millions).
Foreign Currency Translation AdjustmentsUnrealized Pension CostsTotal Accumulated Other Comprehensive Loss
Three Months Ended June 30, 2023
Balance, March 31, 2023$(225.7)$15.1 $(210.6)
Other comprehensive loss before reclassifications:
Decrease (26.7)— (26.7)
Income tax impact0.8 — 0.8 
Other comprehensive loss before reclassifications, net of income taxes(25.9)— (25.9)
Amounts reclassified from accumulated other comprehensive loss:
Increase— (0.5)(0.5)
Income tax impact— 0.1 0.1 
Amounts reclassified from accumulated other comprehensive loss, net of income taxes— (0.4)(0.4)
Net current period other comprehensive loss, net of income taxes(25.9)(0.4)(26.3)
Balance, June 30, 2023$(251.6)$14.7 $(236.9)
Foreign Currency Translation AdjustmentsUnrealized Loss on Cash Flow HedgesUnrealized Pension CostsTotal Accumulated Other Comprehensive Loss
Three Months Ended July 1, 2022
Balance, April 1, 2022$(199.2)$(0.3)$(2.3)$(201.8)
Other comprehensive (loss) income before reclassifications:
(Decrease) increase(60.4)0.7 — (59.7)
Income tax impact(12.5)(0.2)— (12.7)
Other comprehensive (loss) income before reclassifications, net of income taxes(72.9)0.5 — (72.4)
Amounts reclassified from accumulated other comprehensive loss:
Increase— — — — 
Income tax impact— — (0.1)(0.1)
Amounts reclassified from accumulated other comprehensive loss, net of income taxes— — (0.1)(0.1)
Net current period other comprehensive (loss) income, net of income taxes(72.9)0.5 (0.1)(72.5)
Balance, July 1, 2022$(272.1)$0.2 $(2.4)$(274.3)
Foreign Currency Translation AdjustmentsUnrealized Pension CostsTotal Accumulated Other Comprehensive Loss
Six Months Ended June 30, 2023
Balance, December 31, 2022$(240.5)$15.4 $(225.1)
Other comprehensive loss before reclassifications:
Decrease(12.6)— (12.6)
Income tax impact1.5 — 1.5 
Other comprehensive loss before reclassifications, net of income taxes(11.1)— (11.1)
Amounts reclassified from accumulated other comprehensive loss:
Increase— (0.9)(0.9)
Income tax impact— 0.2 0.2 
Amounts reclassified from accumulated other comprehensive loss, net of income taxes— (0.7)(0.7)
Net current period other comprehensive loss, net of income taxes(11.1)(0.7)(11.8)
Balance, June 30, 2023$(251.6)$14.7 $(236.9)
Foreign Currency Translation AdjustmentsUnrealized Loss on Cash Flow HedgesUnrealized Pension CostsTotal Accumulated Other Comprehensive Loss
Six Months Ended July 1, 2022
Balance, December 31, 2021$(139.6)$(1.7)$(2.2)$(143.5)
Other comprehensive (loss) income before reclassifications:
(Decrease) increase(114.2)2.5 — (111.7)
Income tax impact(18.3)(0.6)— (18.9)
Other comprehensive (loss) income before reclassifications, net of income taxes(132.5)1.9 — (130.6)
Amounts reclassified from accumulated other comprehensive loss:
Increase— — (0.2)(0.2)
Income tax impact— — — — 
Amounts reclassified from accumulated other comprehensive loss, net of income taxes— — (0.2)(0.2)
Net current period other comprehensive (loss) income, net of income taxes(132.5)1.9 (0.2)(130.8)
Balance, July 1, 2022$(272.1)$0.2 $(2.4)$(274.3)
v3.23.2
Revenue
 6 Months Ended
Jun. 30, 2023
Revenue from Contract with Customer [Abstract]  
Revenue REVENUE
The following table presents the Company’s revenues disaggregated by geographical region for the three and six months ended June 30, 2023 and July 1, 2022 ($ in millions). Sales taxes and other usage-based taxes collected from customers are excluded from revenues. The Company has historically defined emerging markets as developing markets of the world, which prior to the COVID-19 pandemic, experienced extended periods of accelerated growth in gross domestic product and infrastructure, to include Eastern Europe, the Middle East, Africa, Latin America and Asia (with the exception of Japan and Australia). The Company defines developed markets as all markets of the world that are not emerging markets.
Three Months Ended June 30, 2023Three Months Ended July 1, 2022
Specialty Products & TechnologiesEquipment & ConsumablesTotalSpecialty Products & TechnologiesEquipment & ConsumablesTotal
Geographical region:
North America$178.3 $162.1 $340.4 $179.5 $160.3 $339.8 
Western Europe114.6 30.3 144.9 100.5 29.4 129.9 
Other developed markets22.2 10.1 32.3 23.0 10.3 33.3 
Emerging markets101.9 42.9 144.8 104.7 38.1 142.8 
Total$417.0 $245.4 $662.4 $407.7 $238.1 $645.8 
Six Months Ended June 30, 2023Six Months Ended July 1, 2022
Specialty Products & TechnologiesEquipment & ConsumablesTotalSpecialty Products & TechnologiesEquipment & ConsumablesTotal
Geographical region:
North America$363.6 $301.5 $665.1 $358.8 $316.6 $675.4 
Western Europe231.6 62.4 294.0 206.8 61.4 268.2 
Other developed markets46.2 18.7 64.9 47.4 20.6 68.0 
Emerging markets185.6 80.0 265.6 191.8 73.8 265.6 
Total$827.0 $462.6 $1,289.6 $804.8 $472.4 $1,277.2 

Remaining Performance Obligations
Remaining performance obligations include noncancelable purchase orders, extended warranty and service agreements and do not include revenue from contracts with customers with an original term of one year or less.

As of June 30, 2023, the aggregate amount of the transaction price allocated to remaining performance obligations was $73.1 million and the Company expects to recognize revenue on the majority of this amount over the next 12 months.
Contract Liabilities
The Company often receives cash payments from customers in advance of the Company’s performance resulting in contract liabilities. These contract liabilities are classified as either current or long-term in the Condensed Consolidated Balance Sheets based on the timing of when the Company expects to recognize revenue. As of June 30, 2023 and December 31, 2022, the contract liabilities were $110.9 million and $87.5 million, respectively, and are included within accrued expenses and other liabilities and other long-term liabilities in the accompanying Condensed Consolidated Balance Sheets. Revenue recognized during the six months ended June 30, 2023 and July 1, 2022 that was included in the contract liability balance at December 31, 2022 and December 31, 2021 was $53.2 million and $36.1 million, respectively.
Significant Customers
Sales to the Company’s largest customer were 12% of sales for both of the three months ended June 30, 2023 and July 1, 2022, and 11% of sales for both of the six months ended June 30, 2023 and July 1, 2022.
Seasonality
Based on historical experience, the Company generally has more sales in the second half of the calendar year than in the first half of the calendar year, with the first quarter typically having the lowest sales of the year. Based on historical customer buying patterns, the Company generally has more sales in the fourth quarter than in any other quarter of the year, driven in particular by capital spending in the Equipment & Consumables segment. As a result of this seasonality in sales, profitability in the Equipment & Consumables segment also tends to be higher in the second half of the year. There are no assurances that these historical trends will continue in the future.
v3.23.2
Restructuring Activities And Related Impairments
 6 Months Ended
Jun. 30, 2023
Restructuring and Related Activities [Abstract]  
Restructuring Activities And Related Impairments RESTRUCTURING ACTIVITIES AND RELATED IMPAIRMENTS
Restructuring Activities
The Company’s restructuring activities are undertaken as necessary to implement management’s strategy, streamline operations, take advantage of available capacity and resources, and ultimately achieve net cost reductions. These activities generally relate to the realignment of existing manufacturing capacity and closure of facilities and other exit or disposal activities, as it relates to executing the Company’s strategy, pursuant to significant restructuring programs.
The related liability which is included in accrued liabilities in the Condensed Consolidated Balance Sheets is summarized below ($ in millions):
Employee Severance
and Related		Facility Exit
and Related		Total
Balance, December 31, 2022$18.2 $0.7 $18.9 
Costs incurred13.2 4.3 17.5 
Paid(21.2)(4.1)(25.3)
Balance, June 30, 2023$10.2 $0.9 $11.1 

Restructuring related charges by segment were as follows ($ in millions): 
Three Months EndedSix Months Ended
June 30, 2023July 1, 2022June 30, 2023July 1, 2022
Specialty Products & Technologies$6.2 $4.2 $7.8 $8.2 
Equipment & Consumables6.4 9.3 9.0 8.4 
Other1.0 1.3 1.1 1.9 
Total$13.6 $14.8 $17.9 $18.5 
Restructuring related charges were reflected in the following captions in the accompanying Condensed Consolidated Statements of Operations ($ in millions):
Three Months EndedSix Months Ended
June 30, 2023July 1, 2022June 30, 2023July 1, 2022
Cost of sales$4.8 $6.9 $6.3 $6.6 
Selling, general and administrative expenses8.8 7.9 11.6 11.9 
Total$13.6 $14.8 $17.9 $18.5 
v3.23.2
Income Taxes
 6 Months Ended
Jun. 30, 2023
Income Tax Disclosure [Abstract]  
Income Taxes INCOME TAXES
The Company’s effective tax rates from continuing operations of 24.3% and 23.0% for the three and six months ended June 30, 2023, respectively, and 24.7% and 20.8% for the three and six months ended July 1, 2022, respectively, differ from the U.S. federal statutory rate of 21.0% primarily due to the Company’s geographical mix of earnings and discrete tax benefits.

On August 16, 2022, the U.S. enacted the Inflation Reduction Act of 2022, which, among other things, implemented a 15% minimum tax on book income of certain large corporations, a 1% excise tax on net stock repurchases, and several tax incentives to promote clean energy. Based on the Company’s current analysis of the provisions, this legislation did not have a material impact on its Condensed Consolidated Financial Statements as of or for the three and six months ended June 30, 2023.
v3.23.2
Earnings Per Share
 6 Months Ended
Jun. 30, 2023
Earnings Per Share [Abstract]  
Earnings Per Share EARNINGS PER SHARE
Earnings per share is calculated by dividing the applicable income by the weighted average number of shares of common stock outstanding for the applicable period. Diluted earnings per share is computed based on the weighted average number of common shares outstanding plus the effect of dilutive potential shares outstanding during the period using the treasury stock method. Dilutive potential common shares include employee equity options, non-vested shares and similar instruments granted by the Company and the assumed conversion impact of the Notes. The Company will settle any Notes conversions through a combination settlement by satisfying the principal amount outstanding with cash and any Notes conversion value in excess of the principal amount in cash or shares of the Company’s common stock or any combination thereof. As such, the Company uses the treasury stock method for the assumed conversion of the Notes to compute the weighted average shares of common stock outstanding for diluted earnings per share. As the Company will settle the principal amount of the Notes in cash upon conversion, the Notes only have an impact on the Company's diluted earnings per share when the average share price of the Company’s common stock exceeds the conversion price of $21.01 per share in any applicable period. See the computation of earnings per share below for the dilutive impact of the Notes for the three and six months ended June 30, 2023 and July 1, 2022.

In connection with the offering of the Notes, the Company entered into Capped Calls (see further discussion in Note 13), which are intended to reduce or offset the potential dilution from shares of common stock issued upon conversion of the Notes. However, this impact is not included when calculating potentially dilutive shares since their effect is anti-dilutive. The Capped Calls will mitigate dilution from the conversion of the Notes up to the Company’s common stock price of $23.79. If the Notes are converted at a price higher than $23.79 per share, the Capped Calls will no longer mitigate dilution from the conversion of the Notes.

The table below presents the computation of basic and diluted earnings per share ($ and shares in millions, except per share amounts):
Three Months EndedSix Months Ended
June 30, 2023July 1, 2022June 30, 2023July 1, 2022
Numerator:
Income from continuing operations, net of tax$51.9 $44.5 $95.7 $114.9 
Income from discontinued operations, net of tax$— $2.6 $— $7.1 
Net income $51.9 $47.1 $95.7 $122.0 
Denominator:
Weighted-average common shares outstanding used in basic earnings per share164.0 162.9 163.8 162.6 
Incremental common shares from:
Assumed exercise of dilutive options and vesting of dilutive restricted stock units2.4 3.3 2.6 3.8 
Assumed conversion of the Notes9.9 12.3 10.5 12.8 
Weighted average common shares outstanding used in diluted earnings per share176.3 178.5 176.9 179.2 
Earnings per share:
Earnings from continuing operations - basic$0.32 $0.27 $0.58 $0.71 
Earnings from continuing operations - diluted$0.29 $0.25 $0.54 $0.64 
Earnings from discontinued operations - basic$— $0.02 $— $0.04 
Earnings from discontinued operations - diluted$— $0.01 $— $0.04 
Earnings - basic$0.32 $0.29 $0.58 $0.75 
Earnings - diluted$0.29 $0.26 $0.54 $0.68 
The following table presents the number of outstanding securities not included in the computation of diluted income per share, because their effect was anti-dilutive (in millions):

Three Months EndedSix Months Ended
June 30, 2023July 1, 2022June 30, 2023July 1, 2022
Stock-based awards2.1 1.9 2.0 1.3 
v3.23.2
Segment Information
 6 Months Ended
Jun. 30, 2023
Segment Reporting [Abstract]  
Segment Information SEGMENT INFORMATION
The Company operates and reports its results in two separate business segments, the Specialty Products & Technologies and Equipment & Consumables segments. When determining the reportable segments, the Company aggregated operating segments based on their similar economic and operating characteristics. Operating profit represents total revenues less operating expenses, excluding nonoperating income (expense), interest expense and income taxes. Operating profit amounts in the Other segment consist of unallocated corporate costs and other costs not considered part of management’s evaluation of reportable segment operating performance. The identifiable assets by segment are those used in each segment’s operations. Inter-segment amounts are not significant and are eliminated to arrive at consolidated totals.

The Company’s Specialty Products & Technologies products primarily include implants, regenerative products, prosthetics, orthodontic brackets, aligners and lab products. The Company’s Equipment & Consumables products primarily include traditional consumables such as bonding agents and cements, impression materials, infection prevention products and restorative products, while the Company’s equipment products primarily include digital imaging systems, software and other visualization and magnification systems.

On December 31, 2021, the Company sold substantially all of its KaVo Treatment Unit and Instrument Business, which was part of the Company’s Equipment & Consumables segment. As a result, the financial results of the KaVo Treatment Unit and Instrument Business for the three and six months ended July 1, 2022, were reported as discontinued operations and all segment information and descriptions exclude the KaVo Treatment Unit and Instrument Business. As of December 31, 2022, all activities related to the sale of the KaVo Treatment Unit and Instrument Business were completed and therefore there are no discontinued operations reported for the three and six months ended June 30, 2023. Refer to Note 3 for more information on the Company’s discontinued operations.
Segment related information is shown below ($ in millions):
Three Months EndedSix Months Ended
June 30, 2023July 1, 2022June 30, 2023July 1, 2022
Sales:
Specialty Products & Technologies$417.0 $407.7 $827.0 $804.8 
Equipment & Consumables245.4 238.1 462.6 472.4 
Total$662.4 $645.8 $1,289.6 $1,277.2 
Operating profit and reconciliation to income before taxes from continuing operations:
Specialty Products & Technologies$55.7 $74.0 $126.8 $144.3 
Equipment & Consumables48.4 30.2 80.9 75.7 
Other(25.2)(39.0)(56.7)(63.3)
Operating profit78.9 65.2 151.0 156.7 
Nonoperating income (expense):
   Other income7.1 0.3 7.4 0.6 
   Interest expense, net(17.4)(6.4)(34.1)(12.3)
Income before taxes from continuing operations$68.6 $59.1 $124.3 $145.0 
Identifiable assets:June 30, 2023December 31, 2022
Specialty Products & Technologies$3,438.2 $3,475.7 
Equipment & Consumables2,473.5 2,455.3 
Other695.5 656.0 
Total$6,607.2 $6,587.0 
v3.23.2
Pay vs Performance Disclosure - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2023
Jul. 01, 2022
Jun. 30, 2023
Jul. 01, 2022
Pay vs Performance Disclosure        
Net Income (Loss) $ 51.9 $ 47.1 $ 95.7 $ 122.0
v3.23.2
Insider Trading Arrangements
 3 Months Ended
Jun. 30, 2023
Trading Arrangements, by Individual  
Rule 10b5-1 Arrangement Adopted false
Non-Rule 10b5-1 Arrangement Adopted false
Rule 10b5-1 Arrangement Terminated false
Non-Rule 10b5-1 Arrangement Terminated false
v3.23.2
Business And Basis Or Presentation (Policies)
 6 Months Ended
Jun. 30, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Accounting Principles
Basis of Presentation
All revenues and costs as well as assets and liabilities directly associated with the business activity of the Company are included in the financial statements. All significant intercompany accounts and transactions between the businesses comprising the Company have been eliminated in the accompanying Condensed Consolidated Financial Statements.

The Condensed Consolidated Financial Statements included herein have been prepared by the Company without audit, pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). Certain information and footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles (“GAAP”) have been condensed or omitted pursuant to such rules and regulations; however, the Company believes that the disclosures are adequate to make the information presented not misleading. The accompanying Condensed Consolidated Financial Statements contain all adjustments (consisting of only normal recurring adjustments and reclassifications to conform to current year presentation) necessary to present fairly the financial position of the Company as of June 30, 2023 and December 31, 2022, and its results of operations for the three and six month periods ended June 30, 2023 and July 1, 2022 and cash flows for the six month periods ended June 30, 2023 and July 1, 2022. The information included in this Quarterly Report on Form 10-Q should be read in conjunction with the Company’s Consolidated Financial Statements and accompanying notes for the three years ended December 31, 2022, included in the Annual Report on Form 10-K filed by the Company with the SEC on February 16, 2023.

As discussed in Note 3, Discontinued Operations, on December 31, 2021, the Company sold substantially all of its KaVo dental treatment unit and instrument business (the "KaVo Treatment Unit and Instrument Business"), which was part of the Company’s Equipment and Consumables segment. However, the transfer of assets in certain countries was not executed and closed until 2022 (“Deferred Local Closing”). As a result, the financial results related to the Deferred Local Closing countries were reported as discontinued operations and all segment information and descriptions exclude the activity related to those countries for the three and six months ended July 1, 2022. As of December 31, 2022, all Deferred Local Closings were completed and therefore there is no discontinued operations activity reported for the three and six months ended June 30, 2023.
Accounting Standards Recently Adopted Accounting Standards Recently AdoptedIn August 2020, the Financial Accounting Standards Board issued Accounting Standards Update 2020-06, “Debt – Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging – Contracts in Entity’s Own Equity (Subtopic 815 – 40),” (“ASU 2020-06”), which simplifies the accounting for certain financial instruments with characteristics of liabilities and equity, including convertible instruments and contracts on an entity’s own equity. ASU 2020-06 was effective for public entities for fiscal years beginning after December 15, 2021. On January 1, 2022, the Company adopted ASU 2020-06 using the modified retrospective adoption approach. The cumulative effect of the change was recognized as an adjustment to the opening balance of retained earnings at the date of adoption and resulted in a $75.0 million increase to the carrying value of the convertible notes due 2025, a decrease to additional paid-in capital of $77.8 million, a $21.4 million increase to retained earnings and an $18.6 million decrease to the related net deferred tax liability.
v3.23.2
Acquisitions (Tables)
 6 Months Ended
Jun. 30, 2023
Business Combination and Asset Acquisition [Abstract]  
Fair Values of Assets Acquired and Liabilities Assumed
The following table summarizes the fair values of the assets acquired and liabilities assumed as of the respective acquisition dates ($ in millions):

Osteogenics
July 5, 2022		Intraoral Scanner Business
April 20, 2022
Assets acquired:
   Cash$2.1 $2.7 
   Accounts receivable2.5 0.1 
   Inventories13.3 6.1 
   Intangible assets53.0 129.8 
   Property, plant and equipment— 0.3 
   Prepaids and Other Current Assets1.3 — 
   Goodwill77.3 373.1 
   Non-current deferred tax asset— 96.0 
   Operating lease right-of-use assets2.6 0.9 
   Other long-term assets4.9 0.2 
       Total assets acquired157.0 609.2 
Liabilities assumed:
   Accounts payable (4.1)(0.5)
   Accrued expenses and other liabilities (2.5)(27.9)
   Non-current deferred tax liability(14.3)— 
   Other long-term liabilities(5.8)— 
   Operating lease liabilities(2.1)(0.5)
       Total liabilities assumed(28.8)(28.9)
Total net assets acquired$128.2 $580.3 
v3.23.2
Discontinued Operations (Tables)
 6 Months Ended
Jun. 30, 2023
Discontinued Operations and Disposal Groups [Abstract]  
Schedule of Discontinued Operations
The operating results of the Divestiture for the three and six months ended July 1, 2022 are reflected in the Condensed Consolidated Statements of Operations within income from discontinued operations, net of tax as follows ($ in millions):

 Three Months EndedSix Months Ended
 July 1, 2022July 1, 2022
Sales$2.0 $8.9 
Cost of sales1.1 7.0 
Gross profit0.9 1.9 
Operating expenses:
Selling, general and administrative1.0 2.1 
Research and development— — 
Operating loss(0.1)(0.2)
Income tax expense— — 
Loss from discontinued operations(0.1)(0.2)
Gain on sale of discontinued operations, net of tax2.7 7.3 
Net income from discontinued operations$2.6 $7.1 
v3.23.2
Credit Losses (Tables)
 6 Months Ended
Jun. 30, 2023
Credit Loss [Abstract]  
Allowance for Credit Loss
The rollforward of the allowance for credit losses is summarized as follows ($ in millions):

Balance at December 31, 2022$16.2 
Foreign currency translation(0.2)
Provision for credit losses3.2 
Write-offs charged against the allowance(1.8)
Recoveries(1.1)
Balance at June 30, 2023$16.3 
v3.23.2
Inventories (Tables)
 6 Months Ended
Jun. 30, 2023
Inventory Disclosure [Abstract]  
Schedule of Inventory
The classes of inventory are summarized as follows ($ in millions):
June 30, 2023December 31, 2022
Finished goods$229.5 $229.2 
Work in process22.2 23.9 
Raw materials102.2 103.4 
Reserve for inventory obsolescence(56.9)(55.7)
Total$297.0 $300.8 
v3.23.2
Property, Plant And Equipment (Tables)
 6 Months Ended
Jun. 30, 2023
Property, Plant and Equipment [Abstract]  
Schedule of Property, Plant and Equipment
The classes of property, plant and equipment are summarized as follows ($ in millions):
June 30, 2023December 31, 2022
Land and improvements$10.0 $10.0 
Buildings and improvements158.3 154.5 
Machinery, equipment and other assets394.7 370.2 
Construction in progress63.8 71.2 
Gross property, plant and equipment626.8 605.9 
Less: accumulated depreciation(326.7)(312.3)
Property, plant and equipment, net$300.1 $293.6 
v3.23.2
Goodwill (Tables)
 6 Months Ended
Jun. 30, 2023
Goodwill and Intangible Assets Disclosure [Abstract]  
Rollforward and Carrying Value Of Goodwill
The following is a rollforward of the Company’s goodwill by segment ($ in millions):
Specialty Products & TechnologiesEquipment & ConsumablesTotal
Balance at December 31, 2022$2,047.8 $1,448.8 $3,496.6 
Foreign currency translation (7.8)5.0 (2.8)
Balance at June 30, 2023$2,040.0 $1,453.8 $3,493.8 
v3.23.2
Accrued Expenses And Other Liabilities (Tables)
 6 Months Ended
Jun. 30, 2023
Accrued expenses and other [Abstract]  
The components of accrued expenses and other liabilities
Accrued expenses and other liabilities were as follows ($ in millions):
June 30, 2023December 31, 2022
CurrentNoncurrentCurrentNoncurrent
Compensation and benefits$114.1 $21.1 $148.0 $17.5 
Sales and product allowances63.7 1.5 85.1 1.3 
Contract liabilities102.6 8.3 78.9 8.6 
Taxes, income and other37.8 65.8 42.1 68.6 
Restructuring-related employee severance, benefits and other11.1 — 18.9 — 
Pension benefits5.6 16.6 5.6 17.5 
Loss contingencies10.3 26.7 8.1 27.6 
Derivative financial instruments— 1.7 — — 
Other88.8 11.3 84.7 10.2 
Total$434.0 $153.0 $471.4 $151.3 
v3.23.2
Hedging Transactions And Derivative Financial Instruments (Tables)
 6 Months Ended
Jun. 30, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative instruments, gain (loss) The following table summarizes the notional values as of June 30, 2023 and July 1, 2022 and pretax impact of changes in the fair values of instruments designated as net investment and cash flow hedges in accumulated other comprehensive loss (“OCI”) for the three and six months ended June 30, 2023 and July 1, 2022 ($ in millions):
Three Months Ended
June 30, 2023		Three Months Ended
July 1, 2022
Notional AmountLoss Recognized in OCINotional AmountGain Recognized in OCI
Foreign currency denominated debt$227.0 $(1.5)$216.6 $13.1 
Foreign currency contracts150.0 (1.7)650.036.2
Interest rate contract— — 250.00.7
Total$377.0 $(3.2)$1,116.6 $50.0 
Six Months Ended
June 30, 2023		Six Months Ended
July 1, 2022
Notional AmountLoss Recognized in OCINotional AmountGain Recognized in OCI
Foreign currency denominated debt$227.0 $(4.3)$216.6 $19.9 
Foreign currency contracts150.0 (1.7)650.0 54.1 
Interest rate contracts— — 250.0 2.5 
Total$377.0 $(6.0)$1,116.6 $76.5 
Schedule of notional amounts of outstanding derivative positions The following table summarizes the notional values as of June 30, 2023 and July 1, 2022 and pretax impact of changes in the fair values of instruments designated as net investment and cash flow hedges in accumulated other comprehensive loss (“OCI”) for the three and six months ended June 30, 2023 and July 1, 2022 ($ in millions):
Three Months Ended
June 30, 2023		Three Months Ended
July 1, 2022
Notional AmountLoss Recognized in OCINotional AmountGain Recognized in OCI
Foreign currency denominated debt$227.0 $(1.5)$216.6 $13.1 
Foreign currency contracts150.0 (1.7)650.036.2
Interest rate contract— — 250.00.7
Total$377.0 $(3.2)$1,116.6 $50.0 
Six Months Ended
June 30, 2023		Six Months Ended
July 1, 2022
Notional AmountLoss Recognized in OCINotional AmountGain Recognized in OCI
Foreign currency denominated debt$227.0 $(4.3)$216.6 $19.9 
Foreign currency contracts150.0 (1.7)650.0 54.1 
Interest rate contracts— — 250.0 2.5 
Total$377.0 $(6.0)$1,116.6 $76.5 
Schedule of derivative instruments in statement of financial position, fair value
The Company’s derivative instruments, as well as its non-derivative debt instruments designated and qualifying as net investment hedges, were classified in the Company’s Condensed Consolidated Balance Sheets as follows ($ in millions):
June 30, 2023December 31, 2022
Derivative liabilities:
Other long-term liabilities$1.7 $— 
Nonderivative hedging instruments:
Long-term debt$227.0 $222.7 
v3.23.2
Fair Value Measurements (Tables)
 6 Months Ended
Jun. 30, 2023
Fair Value Disclosures [Abstract]  
Schedule of financial assets and liabilities at carrying and fair value
A summary of financial assets and liabilities that are measured at fair value on a recurring basis were as follows ($ in millions):
Quoted Prices in
Active Market
(Level 1)		Significant Other
Observable Inputs
(Level 2)		Significant
Unobservable
Inputs
(Level 3)		Total
June 30, 2023
Liabilities:
Cross-currency swap derivative contracts$— $1.7 $— $1.7 
Deferred compensation plans$— $19.4 $— $19.4 
Contingent consideration$— $— $6.0 $6.0 
December 31, 2022:
Liabilities:
Deferred compensation plans$— $15.8 $— $15.8 
Contingent consideration$— $— $6.0 $6.0 
The carrying amounts and fair values of the Company’s financial instruments were as follows ($ in millions):
June 30, 2023December 31, 2022
 Carrying AmountFair ValueCarrying AmountFair Value
Liabilities:
Contingent consideration$6.0 $6.0 $6.0 $6.0 
Cross-currency swap derivative contracts$1.7 $1.7 $— $— 
Convertible senior notes due 2025$511.5 $868.4 $510.0 $873.0 
Long-term debt$875.6 $875.6 $870.7 $870.7 
v3.23.2
Warranty (Tables)
 6 Months Ended
Jun. 30, 2023
Commitments and Contingencies Disclosure [Abstract]  
Warranty accrual
The following is a rollforward of the Company’s accrued warranty liability ($ in millions):
Balance at December 31, 2022$9.2 
Accruals for warranties issued during the year6.7 
Settlements made(6.5)
Effect of foreign currency translation0.1 
Balance at June 30, 2023$9.5 
v3.23.2
Debt And Credit Facilities (Tables)
 6 Months Ended
Jun. 30, 2023
Debt Disclosure [Abstract]  
Components of debt
The components of the Company’s debt were as follows, net of debt issuance costs ($ in millions):
June 30, 2023December 31, 2022
Senior term loan facility due 2024 (the “Term Loan”)
$648.8 $648.3 
Senior euro term loan facility due 2024 (the “Euro Term Loan”)226.8 222.4 
Convertible senior notes due 2025
511.5 510.0 
Total debt1,387.1 1,380.7 
Less: current portion(511.5)(510.0)
Long-term debt$875.6 $870.7 
Components of note interest expense
The following table sets forth total interest expense recognized related to the Notes ($ in millions):

Three Months EndedSix Months Ended
June 30, 2023July 1, 2022June 30, 2023July 1, 2022
Contractual interest expense
$3.0 $3.0 $6.1 $6.1 
Amortization of debt issuance costs
0.8 0.8 1.5 1.5 
Total interest expense
$3.8 $3.8 $7.6 $7.6 
Components of unamortized debt discount and issuance costs The remaining unamortized debt issuance costs for the Convertible Senior Notes, Term Loan and Euro Term Loan were as follows ($ in millions):
June 30, 2023December 31, 2022
Convertible Senior Notes$6.0 $7.5 
Term Loan1.2 1.7 
Euro Term Loan0.2 0.3 
$7.4 $9.5 
v3.23.2
Accumulated Other Comprehensive Loss (Tables)
 6 Months Ended
Jun. 30, 2023
Equity [Abstract]  
Schedule of accumulated other comprehensive income (loss)
The changes in accumulated other comprehensive loss by component are summarized below ($ in millions).
Foreign Currency Translation AdjustmentsUnrealized Pension CostsTotal Accumulated Other Comprehensive Loss
Three Months Ended June 30, 2023
Balance, March 31, 2023$(225.7)$15.1 $(210.6)
Other comprehensive loss before reclassifications:
Decrease (26.7)— (26.7)
Income tax impact0.8 — 0.8 
Other comprehensive loss before reclassifications, net of income taxes(25.9)— (25.9)
Amounts reclassified from accumulated other comprehensive loss:
Increase— (0.5)(0.5)
Income tax impact— 0.1 0.1 
Amounts reclassified from accumulated other comprehensive loss, net of income taxes— (0.4)(0.4)
Net current period other comprehensive loss, net of income taxes(25.9)(0.4)(26.3)
Balance, June 30, 2023$(251.6)$14.7 $(236.9)
Foreign Currency Translation AdjustmentsUnrealized Loss on Cash Flow HedgesUnrealized Pension CostsTotal Accumulated Other Comprehensive Loss
Three Months Ended July 1, 2022
Balance, April 1, 2022$(199.2)$(0.3)$(2.3)$(201.8)
Other comprehensive (loss) income before reclassifications:
(Decrease) increase(60.4)0.7 — (59.7)
Income tax impact(12.5)(0.2)— (12.7)
Other comprehensive (loss) income before reclassifications, net of income taxes(72.9)0.5 — (72.4)
Amounts reclassified from accumulated other comprehensive loss:
Increase— — — — 
Income tax impact— — (0.1)(0.1)
Amounts reclassified from accumulated other comprehensive loss, net of income taxes— — (0.1)(0.1)
Net current period other comprehensive (loss) income, net of income taxes(72.9)0.5 (0.1)(72.5)
Balance, July 1, 2022$(272.1)$0.2 $(2.4)$(274.3)
Foreign Currency Translation AdjustmentsUnrealized Pension CostsTotal Accumulated Other Comprehensive Loss
Six Months Ended June 30, 2023
Balance, December 31, 2022$(240.5)$15.4 $(225.1)
Other comprehensive loss before reclassifications:
Decrease(12.6)— (12.6)
Income tax impact1.5 — 1.5 
Other comprehensive loss before reclassifications, net of income taxes(11.1)— (11.1)
Amounts reclassified from accumulated other comprehensive loss:
Increase— (0.9)(0.9)
Income tax impact— 0.2 0.2 
Amounts reclassified from accumulated other comprehensive loss, net of income taxes— (0.7)(0.7)
Net current period other comprehensive loss, net of income taxes(11.1)(0.7)(11.8)
Balance, June 30, 2023$(251.6)$14.7 $(236.9)
Foreign Currency Translation AdjustmentsUnrealized Loss on Cash Flow HedgesUnrealized Pension CostsTotal Accumulated Other Comprehensive Loss
Six Months Ended July 1, 2022
Balance, December 31, 2021$(139.6)$(1.7)$(2.2)$(143.5)
Other comprehensive (loss) income before reclassifications:
(Decrease) increase(114.2)2.5 — (111.7)
Income tax impact(18.3)(0.6)— (18.9)
Other comprehensive (loss) income before reclassifications, net of income taxes(132.5)1.9 — (130.6)
Amounts reclassified from accumulated other comprehensive loss:
Increase— — (0.2)(0.2)
Income tax impact— — — — 
Amounts reclassified from accumulated other comprehensive loss, net of income taxes— — (0.2)(0.2)
Net current period other comprehensive (loss) income, net of income taxes(132.5)1.9 (0.2)(130.8)
Balance, July 1, 2022$(272.1)$0.2 $(2.4)$(274.3)
v3.23.2
Revenue (Tables)
 6 Months Ended
Jun. 30, 2023
Revenue from Contract with Customer [Abstract]  
Schedule of disaggregation of revenue by geographical region and type
The following table presents the Company’s revenues disaggregated by geographical region for the three and six months ended June 30, 2023 and July 1, 2022 ($ in millions). Sales taxes and other usage-based taxes collected from customers are excluded from revenues. The Company has historically defined emerging markets as developing markets of the world, which prior to the COVID-19 pandemic, experienced extended periods of accelerated growth in gross domestic product and infrastructure, to include Eastern Europe, the Middle East, Africa, Latin America and Asia (with the exception of Japan and Australia). The Company defines developed markets as all markets of the world that are not emerging markets.
Three Months Ended June 30, 2023Three Months Ended July 1, 2022
Specialty Products & TechnologiesEquipment & ConsumablesTotalSpecialty Products & TechnologiesEquipment & ConsumablesTotal
Geographical region:
North America$178.3 $162.1 $340.4 $179.5 $160.3 $339.8 
Western Europe114.6 30.3 144.9 100.5 29.4 129.9 
Other developed markets22.2 10.1 32.3 23.0 10.3 33.3 
Emerging markets101.9 42.9 144.8 104.7 38.1 142.8 
Total$417.0 $245.4 $662.4 $407.7 $238.1 $645.8 
Six Months Ended June 30, 2023Six Months Ended July 1, 2022
Specialty Products & TechnologiesEquipment & ConsumablesTotalSpecialty Products & TechnologiesEquipment & ConsumablesTotal
Geographical region:
North America$363.6 $301.5 $665.1 $358.8 $316.6 $675.4 
Western Europe231.6 62.4 294.0 206.8 61.4 268.2 
Other developed markets46.2 18.7 64.9 47.4 20.6 68.0 
Emerging markets185.6 80.0 265.6 191.8 73.8 265.6 
Total$827.0 $462.6 $1,289.6 $804.8 $472.4 $1,277.2 
v3.23.2
Restructuring Activities And Related Impairments (Tables)
 6 Months Ended
Jun. 30, 2023
Restructuring and Related Activities [Abstract]  
Restructuring and related costs
The related liability which is included in accrued liabilities in the Condensed Consolidated Balance Sheets is summarized below ($ in millions):
Employee Severance
and Related		Facility Exit
and Related		Total
Balance, December 31, 2022$18.2 $0.7 $18.9 
Costs incurred13.2 4.3 17.5 
Paid(21.2)(4.1)(25.3)
Balance, June 30, 2023$10.2 $0.9 $11.1 
Schedule of restructuring reserve by type of cost
Restructuring related charges by segment were as follows ($ in millions): 
Three Months EndedSix Months Ended
June 30, 2023July 1, 2022June 30, 2023July 1, 2022
Specialty Products & Technologies$6.2 $4.2 $7.8 $8.2 
Equipment & Consumables6.4 9.3 9.0 8.4 
Other1.0 1.3 1.1 1.9 
Total$13.6 $14.8 $17.9 $18.5 
Restructuring related charges were reflected in the following captions in the accompanying Condensed Consolidated Statements of Operations ($ in millions):
Three Months EndedSix Months Ended
June 30, 2023July 1, 2022June 30, 2023July 1, 2022
Cost of sales$4.8 $6.9 $6.3 $6.6 
Selling, general and administrative expenses8.8 7.9 11.6 11.9 
Total$13.6 $14.8 $17.9 $18.5 
v3.23.2
Earnings Per Share (Tables)
 6 Months Ended
Jun. 30, 2023
Earnings Per Share [Abstract]  
Schedule of earnings per share, basic and diluted
The table below presents the computation of basic and diluted earnings per share ($ and shares in millions, except per share amounts):
Three Months EndedSix Months Ended
June 30, 2023July 1, 2022June 30, 2023July 1, 2022
Numerator:
Income from continuing operations, net of tax$51.9 $44.5 $95.7 $114.9 
Income from discontinued operations, net of tax$— $2.6 $— $7.1 
Net income $51.9 $47.1 $95.7 $122.0 
Denominator:
Weighted-average common shares outstanding used in basic earnings per share164.0 162.9 163.8 162.6 
Incremental common shares from:
Assumed exercise of dilutive options and vesting of dilutive restricted stock units2.4 3.3 2.6 3.8 
Assumed conversion of the Notes9.9 12.3 10.5 12.8 
Weighted average common shares outstanding used in diluted earnings per share176.3 178.5 176.9 179.2 
Earnings per share:
Earnings from continuing operations - basic$0.32 $0.27 $0.58 $0.71 
Earnings from continuing operations - diluted$0.29 $0.25 $0.54 $0.64 
Earnings from discontinued operations - basic$— $0.02 $— $0.04 
Earnings from discontinued operations - diluted$— $0.01 $— $0.04 
Earnings - basic$0.32 $0.29 $0.58 $0.75 
Earnings - diluted$0.29 $0.26 $0.54 $0.68 
Schedule of antidilutive securities excluded from computation of earnings per share
The following table presents the number of outstanding securities not included in the computation of diluted income per share, because their effect was anti-dilutive (in millions):

Three Months EndedSix Months Ended
June 30, 2023July 1, 2022June 30, 2023July 1, 2022
Stock-based awards2.1 1.9 2.0 1.3 
v3.23.2
Segment Information (Tables)
 6 Months Ended
Jun. 30, 2023
Segment Reporting [Abstract]  
Segment results
Segment related information is shown below ($ in millions):
Three Months EndedSix Months Ended
June 30, 2023July 1, 2022June 30, 2023July 1, 2022
Sales:
Specialty Products & Technologies$417.0 $407.7 $827.0 $804.8 
Equipment & Consumables245.4 238.1 462.6 472.4 
Total$662.4 $645.8 $1,289.6 $1,277.2 
Operating profit and reconciliation to income before taxes from continuing operations:
Specialty Products & Technologies$55.7 $74.0 $126.8 $144.3 
Equipment & Consumables48.4 30.2 80.9 75.7 
Other(25.2)(39.0)(56.7)(63.3)
Operating profit78.9 65.2 151.0 156.7 
Nonoperating income (expense):
   Other income7.1 0.3 7.4 0.6 
   Interest expense, net(17.4)(6.4)(34.1)(12.3)
Income before taxes from continuing operations$68.6 $59.1 $124.3 $145.0 
Identifiable assets:June 30, 2023December 31, 2022
Specialty Products & Technologies$3,438.2 $3,475.7 
Equipment & Consumables2,473.5 2,455.3 
Other695.5 656.0 
Total$6,607.2 $6,587.0 
v3.23.2
Business And Basis Of Presentation - Narrative (Details)
$ in Millions
 6 Months Ended
Jun. 30, 2023
USD ($)
segment
Mar. 31, 2023
USD ($)
Dec. 31, 2022
USD ($)
Jul. 01, 2022
USD ($)
Apr. 01, 2022
USD ($)
Dec. 31, 2021
USD ($)
New Accounting Pronouncements or Change in Accounting Principle [Line Items]            
Number of business segments (in segments) | segment 2          
Long-term debt $ 1,387.1   $ 1,380.7      
Increase (decrease) in stockholders' equity 4,311.0   4,206.9      
Additional Paid-in Capital            
New Accounting Pronouncements or Change in Accounting Principle [Line Items]            
Increase (decrease) in stockholders' equity 3,719.2 $ 3,712.8 3,699.0 $ 3,678.4 $ 3,667.9 $ 3,732.6
Retained Earnings            
New Accounting Pronouncements or Change in Accounting Principle [Line Items]            
Increase (decrease) in stockholders' equity $ 827.1 $ 775.2 $ 731.4 $ 610.3 $ 563.2 466.9
Adjustment            
New Accounting Pronouncements or Change in Accounting Principle [Line Items]            
Net deferred tax liability           18.6
Adjustment | Additional Paid-in Capital            
New Accounting Pronouncements or Change in Accounting Principle [Line Items]            
Increase (decrease) in stockholders' equity           (77.8)
Adjustment | Retained Earnings            
New Accounting Pronouncements or Change in Accounting Principle [Line Items]            
Increase (decrease) in stockholders' equity           21.4
Adjustment | Convertible Debt            
New Accounting Pronouncements or Change in Accounting Principle [Line Items]            
Long-term debt           $ 75.0
v3.23.2
Acquisitions - Narrative (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 05, 2022
Apr. 20, 2022
Jul. 01, 2022
Jun. 30, 2023
Jul. 01, 2022
Dec. 31, 2022
Business Acquisition [Line Items]            
Contingent consideration       $ 6,000   $ 6,000
Osteogenics Biomedical Inc            
Business Acquisition [Line Items]            
Consideration transferred $ 128,200          
Weighted-average useful life of acquired intangible assets       10 years    
Carestream Dental Technology            
Business Acquisition [Line Items]            
Consideration transferred   $ 580,300        
Contingent consideration   $ 7,500        
Weighted-average useful life of acquired intangible assets       8 years    
Acquisition costs     $ 8,200   $ 10,700  
v3.23.2
Acquisitions - Fair Values of Assets Acquired and Liabilities Assumed (Details) - USD ($)
$ in Millions
Jun. 30, 2023
Dec. 31, 2022
Jul. 05, 2022
Apr. 20, 2022
Assets acquired:        
Goodwill $ 3,493.8 $ 3,496.6    
Osteogenics Biomedical Inc        
Assets acquired:        
Cash     $ 2.1  
Accounts receivable     2.5  
Inventories     13.3  
Intangible assets     53.0  
Property, plant and equipment     0.0  
Prepaids and Other Current Assets     1.3  
Goodwill     77.3  
Non-current deferred tax asset     0.0  
Operating lease right-of-use assets     2.6  
Other long-term assets     4.9  
Total assets acquired     157.0  
Liabilities assumed:        
Accounts payable     (4.1)  
Accrued expenses and other liabilities     (2.5)  
Non-current deferred tax liability     (14.3)  
Other long-term liabilities     (5.8)  
Operating lease liabilities     (2.1)  
Total liabilities assumed     (28.8)  
Total net assets acquired     $ 128.2  
Carestream Dental Technology        
Assets acquired:        
Cash       $ 2.7
Accounts receivable       0.1
Inventories       6.1
Intangible assets       129.8
Property, plant and equipment       0.3
Prepaids and Other Current Assets       0.0
Goodwill       373.1
Non-current deferred tax asset       96.0
Operating lease right-of-use assets       0.9
Other long-term assets       0.2
Total assets acquired       609.2
Liabilities assumed:        
Accounts payable       (0.5)
Accrued expenses and other liabilities       (27.9)
Non-current deferred tax liability       0.0
Other long-term liabilities       0.0
Operating lease liabilities       (0.5)
Total liabilities assumed       (28.9)
Total net assets acquired       $ 580.3
v3.23.2
Discontinued Operations - Narrative (Details) - Discontinued operations disposed of by sale - Plamenca - USD ($)
$ in Millions
 6 Months Ended
Jul. 01, 2022
Dec. 31, 2021
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]    
Consideration   $ 386.4
Proceeds from sale of KaVo treatment unit and instrument business, net $ 30.0  
v3.23.2
Discontinued Operations - Schedule of Discontinued Operations (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2023
Jul. 01, 2022
Jun. 30, 2023
Jul. 01, 2022
Operating expenses:        
Income from discontinued operations, net of tax $ 0.0 $ 2.6 $ 0.0 $ 7.1
Discontinued operations disposed of by sale | Plamenca        
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]        
Sales   2.0   8.9
Cost of sales   1.1   7.0
Gross profit   0.9   1.9
Operating expenses:        
Selling, general and administrative   1.0   2.1
Research and development   0.0   0.0
Operating loss   (0.1)   (0.2)
Income tax expense   0.0   0.0
Loss from discontinued operations   (0.1)   (0.2)
Gain on sale of discontinued operations, net of tax   2.7   7.3
Net income from discontinued operations   $ 2.6   $ 7.1
v3.23.2
Credit Losses - Narrative (Details)
 6 Months Ended
Jun. 30, 2023
segment
Credit Loss [Abstract]  
Number of portfolio segments (in segments) 1
v3.23.2
Credit Losses - Allowance for Credit Losses (Details)
$ in Millions
 6 Months Ended
Jun. 30, 2023
USD ($)
Accounts Receivable, Allowance for Credit Loss [Roll Forward]  
Beginning balance $ 16.2
Foreign currency translation (0.2)
Provision for credit losses 3.2
Write-offs charged against the allowance (1.8)
Recoveries (1.1)
Ending balance $ 16.3
v3.23.2
Inventories - Summary (Details) - USD ($)
$ in Millions
Jun. 30, 2023
Dec. 31, 2022
Inventory Disclosure [Abstract]    
Finished goods $ 229.5 $ 229.2
Work in process 22.2 23.9
Raw materials 102.2 103.4
Reserve for inventory obsolescence (56.9) (55.7)
Total $ 297.0 $ 300.8
v3.23.2
Property, Plant And Equipment (Details) - USD ($)
$ in Millions
Jun. 30, 2023
Dec. 31, 2022
Property, Plant and Equipment [Line Items]    
Gross property, plant and equipment $ 626.8 $ 605.9
Less: accumulated depreciation (326.7) (312.3)
Property, plant and equipment, net 300.1 293.6
Land and improvements    
Property, Plant and Equipment [Line Items]    
Gross property, plant and equipment 10.0 10.0
Buildings and improvements    
Property, Plant and Equipment [Line Items]    
Gross property, plant and equipment 158.3 154.5
Machinery, equipment and other assets    
Property, Plant and Equipment [Line Items]    
Gross property, plant and equipment 394.7 370.2
Construction in progress    
Property, Plant and Equipment [Line Items]    
Gross property, plant and equipment $ 63.8 $ 71.2
v3.23.2
Goodwill - Rollforward and Carrying Value of Goodwill (Details)
$ in Millions
 6 Months Ended
Jun. 30, 2023
USD ($)
Goodwill [Roll Forward]  
Beginning balance $ 3,496.6
Foreign currency translation (2.8)
Ending balance 3,493.8
Specialty Products & Technologies  
Goodwill [Roll Forward]  
Beginning balance 2,047.8
Foreign currency translation (7.8)
Ending balance 2,040.0
Equipment & Consumables  
Goodwill [Roll Forward]  
Beginning balance 1,448.8
Foreign currency translation 5.0
Ending balance $ 1,453.8
v3.23.2
Accrued Expenses And Other Liabilities - Summary (Details) - USD ($)
$ in Millions
Jun. 30, 2023
Dec. 31, 2022
Current    
Compensation and benefits $ 114.1 $ 148.0
Sales and product allowances 63.7 85.1
Contract liabilities 102.6 78.9
Taxes, income and other 37.8 42.1
Restructuring-related employee severance, benefits and other 11.1 18.9
Pension benefits 5.6 5.6
Loss contingencies 10.3 8.1
Derivative financial instruments 0.0 0.0
Other 88.8 84.7
Total 434.0 471.4
Noncurrent    
Compensation and benefits 21.1 17.5
Sales and product allowances 1.5 1.3
Contract liabilities 8.3 8.6
Taxes, income and other 65.8 68.6
Restructuring-related employee severance, benefits and other 0.0 0.0
Pension benefits 16.6 17.5
Loss contingencies 26.7 27.6
Derivative financial instruments 1.7 0.0
Other 11.3 10.2
Total $ 153.0 $ 151.3
v3.23.2
Hedging Transactions And Derivative Financial Instruments - Narrative (Details)
 3 Months Ended 6 Months Ended
Jan. 17, 2023
USD ($)
Jun. 30, 2023
USD ($)
Jul. 01, 2022
USD ($)
Jun. 30, 2023
USD ($)
Jul. 01, 2022
USD ($)
Jun. 30, 2023
EUR (€)
Dec. 31, 2022
USD ($)
Sep. 20, 2019
USD ($)
Sep. 20, 2019
EUR (€)
Derivative [Line Items]                  
Derivative notional amount   $ 377,000,000.0 $ 1,116,600,000 $ 377,000,000.0 $ 1,116,600,000        
Total debt   1,387,100,000   1,387,100,000     $ 1,380,700,000    
Amounts reclassified from accumulated other comprehensive loss, net of income taxes   0 0 0 0        
Amount reclassified from AOCI into income   0 $ 0 0 $ 0        
Cross-currency swap derivative contracts                  
Derivative [Line Items]                  
Derivative, term 2 years                
Derivative notional amount $ 150,000,000                
US term loan due 2024                  
Derivative [Line Items]                  
Total debt   648,800,000   648,800,000     648,300,000 $ 650,000,000  
Term loan               $ 650,000,000  
Euro term loan due 2024                  
Derivative [Line Items]                  
Total debt   $ 226,800,000   $ 226,800,000     $ 222,400,000    
Term loan | €           € 208,000,000.0     € 208,000,000
v3.23.2
Hedging Transactions And Derivative Financial Instruments - Summary of Notional Values and Pretax Impact in Fair Values of Net Investment Hedges (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2023
Jul. 01, 2022
Jun. 30, 2023
Jul. 01, 2022
Derivative Instruments, Gain (Loss) [Line Items]        
Notional Amount $ 377.0 $ 1,116.6 $ 377.0 $ 1,116.6
Gain (loss) recognized in OCI (3.2) 50.0 (6.0) 76.5
Interest rate contracts        
Derivative Instruments, Gain (Loss) [Line Items]        
Notional Amount 0.0   0.0  
Net investment hedging | Foreign currency denominated debt        
Derivative Instruments, Gain (Loss) [Line Items]        
Notional Amount 227.0 216.6 227.0 216.6
Gain (loss) recognized in OCI (1.5) 13.1 (4.3) 19.9
Net investment hedging | Foreign currency contracts        
Derivative Instruments, Gain (Loss) [Line Items]        
Notional Amount 150.0 650.0 150.0 650.0
Gain (loss) recognized in OCI (1.7) 36.2 (1.7) 54.1
Net investment hedging | Interest rate contracts        
Derivative Instruments, Gain (Loss) [Line Items]        
Notional Amount 0.0 250.0 0.0 250.0
Gain (loss) recognized in OCI $ 0.0 $ 0.7 $ 0.0 $ 2.5
v3.23.2
Hedging Transactions And Derivative Financial Instruments - Derivative and Nonderivative Debt Instruments (Details) - USD ($)
$ in Millions
Jun. 30, 2023
Dec. 31, 2022
Derivatives, Fair Value [Line Items]    
Other long-term liabilities $ 1.7 $ 0.0
Derivative Liability, Statement of Financial Position [Extensible Enumeration] Other long-term liabilities  
Long-term debt    
Derivatives, Fair Value [Line Items]    
Long-term debt $ 227.0 $ 222.7
v3.23.2
Fair Value Measurements - Financial Assets and Liabilities Carried at Fair Value (Details) - USD ($)
$ in Millions
Jun. 30, 2023
Dec. 31, 2022
Liabilities:    
Cross-currency swap derivative contracts $ 1.7 $ 0.0
Deferred compensation plans 19.4 15.8
Contingent consideration 6.0 6.0
Quoted Prices in Active Market (Level 1)    
Liabilities:    
Deferred compensation plans 0.0 0.0
Contingent consideration 0.0 0.0
Significant Other Observable Inputs (Level 2)    
Liabilities:    
Deferred compensation plans 19.4 15.8
Contingent consideration 0.0 0.0
Significant Unobservable Inputs (Level 3)    
Liabilities:    
Deferred compensation plans 0.0 0.0
Contingent consideration 6.0 $ 6.0
Cross-currency swap derivative contracts    
Liabilities:    
Cross-currency swap derivative contracts 1.7  
Cross-currency swap derivative contracts | Quoted Prices in Active Market (Level 1)    
Liabilities:    
Cross-currency swap derivative contracts 0.0  
Cross-currency swap derivative contracts | Significant Other Observable Inputs (Level 2)    
Liabilities:    
Cross-currency swap derivative contracts 1.7  
Cross-currency swap derivative contracts | Significant Unobservable Inputs (Level 3)    
Liabilities:    
Cross-currency swap derivative contracts $ 0.0  
v3.23.2
Fair Value Measurements - Fair Value of Financial Instruments (Details) - USD ($)
$ in Millions
Jun. 30, 2023
Dec. 31, 2022
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Contingent consideration $ 6.0 $ 6.0
Cross-currency swap derivative contracts 1.7 0.0
Carrying Amount    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Contingent consideration 6.0 6.0
Convertible senior notes due 2025 511.5 510.0
Long-term debt 875.6 870.7
Fair Value    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Contingent consideration 6.0 6.0
Convertible senior notes due 2025 868.4 873.0
Long-term debt 875.6 870.7
Cross-currency swap derivative contracts    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cross-currency swap derivative contracts 1.7  
Cross-currency swap derivative contracts | Carrying Amount    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cross-currency swap derivative contracts 1.7 0.0
Cross-currency swap derivative contracts | Fair Value    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cross-currency swap derivative contracts $ 1.7 $ 0.0
v3.23.2
Warranty - Narrative (Details)
 6 Months Ended
Jun. 30, 2023
Commitments and Contingencies Disclosure [Abstract]  
Product warranty period 90 days
v3.23.2
Warranty - Warranty Accrual (Details)
$ in Millions
 6 Months Ended
Jun. 30, 2023
USD ($)
Movement in Standard and Extended Product Warranty, Increase (Decrease) [Roll Forward]  
Beginning balance $ 9.2
Accruals for warranties issued during the year 6.7
Settlements made (6.5)
Effect of foreign currency translation 0.1
Ending balance $ 9.5
v3.23.2
Litigation And Contingencies - Narrative (Details) - USD ($)
$ in Millions
Jun. 30, 2023
Dec. 31, 2022
Commitments and Contingencies Disclosure [Abstract]    
Accrual for legal matters $ 37.0 $ 35.7
v3.23.2
Debt And Credit Facilities - Components Of Debt (Details) - USD ($)
$ in Millions
Jun. 30, 2023
Dec. 31, 2022
Sep. 20, 2019
Debt Instrument [Line Items]      
Total debt $ 1,387.1 $ 1,380.7  
Less: current portion (511.5) (510.0)  
Long-term debt 875.6 870.7  
US term loan due 2024      
Debt Instrument [Line Items]      
Total debt 648.8 648.3 $ 650.0
Euro term loan due 2024      
Debt Instrument [Line Items]      
Total debt 226.8 222.4  
Convertible Debt | Convertible Senior Notes      
Debt Instrument [Line Items]      
Total debt $ 511.5 $ 510.0  
v3.23.2
Debt And Credit Facilities - Narrative (Details)
$ / shares in Units, shares in Millions
 6 Months Ended 12 Months Ended
May 21, 2020
USD ($)
tradingDay
$ / shares
shares
Jun. 30, 2023
USD ($)
tradingDay
$ / shares
Dec. 31, 2022
USD ($)
tradingDay
$ / shares
Jun. 30, 2023
EUR (€)
Jul. 01, 2022
Sep. 20, 2019
USD ($)
Sep. 20, 2019
EUR (€)
Debt Instrument [Line Items]              
Long-term debt   $ 1,387,100,000 $ 1,380,700,000        
Rate in excess of Federal funds rate   0.0050   0.0050      
Rate in excess of Eurocurrency rate   0.010   0.010      
Leverage ratio   3.75   3.75      
Contingency provision on the ratio of indebtedness to net capital   4.25   4.25      
Contingency provision, purchase price in excess of $100 million   $ 100,000,000.0          
Interest coverage ratio (at least)   3.00   3.00      
Conversion price (in USD per share) | $ / shares   $ 21.01 $ 21.01        
Conversion ratio   0.0475862          
US term loan due 2024              
Debt Instrument [Line Items]              
Long-term debt   $ 648,800,000 $ 648,300,000     $ 650,000,000  
Term loan           $ 650,000,000  
Loan facility interest rates   6.44% 5.98%        
Euro term loan due 2024              
Debt Instrument [Line Items]              
Long-term debt   $ 226,800,000 $ 222,400,000        
Term loan | €       € 208,000,000.0     € 208,000,000
Loan facility interest rates   4.49% 3.28%        
Revolving Credit Facility              
Debt Instrument [Line Items]              
Revolving credit facility maximum borrowing capacity   $ 750,000,000          
Increase limit of revolving credit facility   350,000,000          
Line of credit facility, outstanding borrowings   0 $ 0        
Revolving Credit Facility | Standby letters of credit              
Debt Instrument [Line Items]              
Revolving credit facility maximum borrowing capacity   $ 20,000,000          
Minimum              
Debt Instrument [Line Items]              
Facility fee   0.09%          
Maximum              
Debt Instrument [Line Items]              
Facility fee   0.225%          
LIBOR | Minimum | Credit facility              
Debt Instrument [Line Items]              
Margin spread of variable interest rate   0.785%          
LIBOR | Maximum | Credit facility              
Debt Instrument [Line Items]              
Margin spread of variable interest rate   1.625%          
Base Rate | Minimum              
Debt Instrument [Line Items]              
Margin spread of variable interest rate   0.00%          
Base Rate | Maximum              
Debt Instrument [Line Items]              
Margin spread of variable interest rate   0.625%          
Convertible Debt | 2.375% convertible senior notes over allotment option              
Debt Instrument [Line Items]              
Term loan $ 67,500,000            
Convertible Debt | 2.375% convertible senior notes              
Debt Instrument [Line Items]              
Long-term debt   $ 511,500,000 $ 510,000,000.0        
Term loan 517,500,000            
Proceeds from issuance of convertible senior notes $ 502,600,000            
Interest rate 2.375%            
Conversion price (in USD per share) | $ / shares $ 21.01            
Redemption price 100.00%            
Threshold percentage of stock price trigger 130.00% 130.00% 130.00%        
Convertible debt, trading days (in trading days) | tradingDay 20 20 20        
Convertible debt, consecutive trading days (in trading days) | tradingDay 30 30 30        
Effective interest rate   3.00%   3.00% 3.00%    
If-converted value in excess of principal   $ 315,800,000 $ 311,700,000        
Convertible Debt | 2.375% convertible senior notes, capped calls              
Debt Instrument [Line Items]              
Conversion price (in USD per share) | $ / shares $ 23.79            
Convertible debt, stock price trigger (in USD per share) | $ / shares $ 21.01            
Convertible debt, capped calls (in shares) | shares 2.9            
Convertible debt expense, capped calls $ 20,700,000            
v3.23.2
Debt And Credit Facilities - Interest Expense (Details) - Convertible Debt - 2.375% convertible senior notes - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2023
Jul. 01, 2022
Jun. 30, 2023
Jul. 01, 2022
Debt Instrument [Line Items]        
Contractual interest expense $ 3.0 $ 3.0 $ 6.1 $ 6.1
Amortization of debt issuance costs 0.8 0.8 1.5 1.5
Total interest expense $ 3.8 $ 3.8 $ 7.6 $ 7.6
v3.23.2
Debt And Credit Facilities - Unamortized Debt Issuance Costs (Details) - USD ($)
$ in Millions
Jun. 30, 2023
Dec. 31, 2022
Debt Instrument [Line Items]    
Debt issuance costs $ 7.4 $ 9.5
Convertible Senior Notes | Convertible Debt    
Debt Instrument [Line Items]    
Debt issuance costs 6.0 7.5
Term Loan    
Debt Instrument [Line Items]    
Debt issuance costs 1.2 1.7
Euro Term Loan    
Debt Instrument [Line Items]    
Debt issuance costs $ 0.2 $ 0.3
v3.23.2
Accumulated Other Comprehensive Loss - Rollforward (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2023
Mar. 31, 2023
Jul. 01, 2022
Apr. 01, 2022
Jun. 30, 2023
Jul. 01, 2022
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]            
Balance, beginning of period   $ 4,206.9     $ 4,206.9  
Total other comprehensive loss, net of income taxes $ (26.3)   $ (72.5)   (11.8) $ (130.8)
Balance, end of period 4,311.0       4,311.0  
Accumulated Other Comprehensive Loss            
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]            
Balance, beginning of period (210.6) (225.1) (201.8) $ (143.5) (225.1) (143.5)
Decrease (26.7)   (59.7)   (12.6) (111.7)
Income tax impact 0.8   (12.7)   1.5 (18.9)
Other comprehensive (loss) income before reclassifications, net of income taxes (25.9)   (72.4)   (11.1) (130.6)
Increase (0.5)   0.0   (0.9) (0.2)
Income tax impact 0.1   (0.1)   0.2 0.0
Amounts reclassified from accumulated other comprehensive loss, net of income taxes (0.4)   (0.1)   (0.7) (0.2)
Total other comprehensive loss, net of income taxes (26.3) 14.5 (72.5) (58.3) (11.8) (130.8)
Balance, end of period (236.9) (210.6) (274.3) (201.8) (236.9) (274.3)
Foreign Currency Translation Adjustments            
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]            
Balance, beginning of period (225.7) (240.5) (199.2) (139.6) (240.5) (139.6)
Decrease (26.7)   (60.4)   (12.6) (114.2)
Income tax impact 0.8   (12.5)   1.5 (18.3)
Other comprehensive (loss) income before reclassifications, net of income taxes (25.9)   (72.9)   (11.1) (132.5)
Increase 0.0   0.0   0.0 0.0
Income tax impact 0.0   0.0   0.0 0.0
Amounts reclassified from accumulated other comprehensive loss, net of income taxes 0.0   0.0   0.0 0.0
Total other comprehensive loss, net of income taxes (25.9)   (72.9)   (11.1) (132.5)
Balance, end of period (251.6) (225.7) (272.1) (199.2) (251.6) (272.1)
Unrealized Gain (Loss) on Cash Flow Hedges            
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]            
Balance, beginning of period     (0.3) (1.7)   (1.7)
Decrease     0.7     2.5
Income tax impact     (0.2)     (0.6)
Other comprehensive (loss) income before reclassifications, net of income taxes     0.5     1.9
Increase     0.0     0.0
Income tax impact     0.0     0.0
Amounts reclassified from accumulated other comprehensive loss, net of income taxes     0.0     0.0
Total other comprehensive loss, net of income taxes     0.5     1.9
Balance, end of period     0.2 (0.3)   0.2
Unrealized Pension Costs            
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]            
Balance, beginning of period 15.1 15.4 (2.3) (2.2) 15.4 (2.2)
Decrease 0.0   0.0   0.0 0.0
Income tax impact 0.0   0.0   0.0 0.0
Other comprehensive (loss) income before reclassifications, net of income taxes 0.0   0.0   0.0 0.0
Increase (0.5)   0.0   (0.9) (0.2)
Income tax impact 0.1   (0.1)   0.2 0.0
Amounts reclassified from accumulated other comprehensive loss, net of income taxes (0.4)   (0.1)   (0.7) (0.2)
Total other comprehensive loss, net of income taxes (0.4)   (0.1)   (0.7) (0.2)
Balance, end of period $ 14.7 $ 15.1 $ (2.4) $ (2.3) $ 14.7 $ (2.4)
v3.23.2
Revenue - Disaggregation by Revenue Type and Geographical Region (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2023
Jul. 01, 2022
Jun. 30, 2023
Jul. 01, 2022
Disaggregation of Revenue [Line Items]        
Sales $ 662.4 $ 645.8 $ 1,289.6 $ 1,277.2
North America        
Disaggregation of Revenue [Line Items]        
Sales 340.4 339.8 665.1 675.4
Western Europe        
Disaggregation of Revenue [Line Items]        
Sales 144.9 129.9 294.0 268.2
Other developed markets        
Disaggregation of Revenue [Line Items]        
Sales 32.3 33.3 64.9 68.0
Emerging markets        
Disaggregation of Revenue [Line Items]        
Sales 144.8 142.8 265.6 265.6
Specialty Products & Technologies        
Disaggregation of Revenue [Line Items]        
Sales 417.0 407.7 827.0 804.8
Specialty Products & Technologies | North America        
Disaggregation of Revenue [Line Items]        
Sales 178.3 179.5 363.6 358.8
Specialty Products & Technologies | Western Europe        
Disaggregation of Revenue [Line Items]        
Sales 114.6 100.5 231.6 206.8
Specialty Products & Technologies | Other developed markets        
Disaggregation of Revenue [Line Items]        
Sales 22.2 23.0 46.2 47.4
Specialty Products & Technologies | Emerging markets        
Disaggregation of Revenue [Line Items]        
Sales 101.9 104.7 185.6 191.8
Equipment & Consumables        
Disaggregation of Revenue [Line Items]        
Sales 245.4 238.1 462.6 472.4
Equipment & Consumables | North America        
Disaggregation of Revenue [Line Items]        
Sales 162.1 160.3 301.5 316.6
Equipment & Consumables | Western Europe        
Disaggregation of Revenue [Line Items]        
Sales 30.3 29.4 62.4 61.4
Equipment & Consumables | Other developed markets        
Disaggregation of Revenue [Line Items]        
Sales 10.1 10.3 18.7 20.6
Equipment & Consumables | Emerging markets        
Disaggregation of Revenue [Line Items]        
Sales $ 42.9 $ 38.1 $ 80.0 $ 73.8
v3.23.2
Revenue - Remaining Performance Obligations (Details)
$ in Millions
Jun. 30, 2023
USD ($)
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]  
Remaining performance obligation $ 73.1
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-07-01  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]  
Expected timing of satisfaction 12 months
v3.23.2
Revenue - Narrative (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2023
Jul. 01, 2022
Jun. 30, 2023
Jul. 01, 2022
Dec. 31, 2022
Disaggregation of Revenue [Line Items]          
Contract liability $ 110.9   $ 110.9   $ 87.5
Revenue recognized     $ 53.2 $ 36.1  
Revenue Benchmark | Customer Concentration Risk | Largest customer          
Disaggregation of Revenue [Line Items]          
Concentration risk percentage 12.00% 12.00% 11.00% 11.00%  
v3.23.2
Restructuring Activities And Related Impairments - Schedule Of Restructuring And Related Costs (Details)
$ in Millions
 6 Months Ended
Jun. 30, 2023
USD ($)
Restructuring Reserve [Roll Forward]  
Balance at beginning of year $ 18.9
Costs incurred 17.5
Paid (25.3)
Balance at end of year 11.1
Employee Severance and Related  
Restructuring Reserve [Roll Forward]  
Balance at beginning of year 18.2
Costs incurred 13.2
Paid (21.2)
Balance at end of year 10.2
Facility Exit and Related  
Restructuring Reserve [Roll Forward]  
Balance at beginning of year 0.7
Costs incurred 4.3
Paid (4.1)
Balance at end of year $ 0.9
v3.23.2
Restructuring Activities And Related Impairments - Schedule Of Restructuring And Other Related Charges By Segment (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2023
Jul. 01, 2022
Jun. 30, 2023
Jul. 01, 2022
Restructuring Cost and Reserve [Line Items]        
Costs incurred $ 13.6 $ 14.8 $ 17.9 $ 18.5
Specialty Products & Technologies        
Restructuring Cost and Reserve [Line Items]        
Costs incurred 6.2 4.2 7.8 8.2
Equipment & Consumables        
Restructuring Cost and Reserve [Line Items]        
Costs incurred 6.4 9.3 9.0 8.4
Other        
Restructuring Cost and Reserve [Line Items]        
Costs incurred $ 1.0 $ 1.3 $ 1.1 $ 1.9
v3.23.2
Restructuring Activities And Related Impairments - Schedule Of Restructuring Reserve By Type Of Cost (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2023
Jul. 01, 2022
Jun. 30, 2023
Jul. 01, 2022
Restructuring Cost and Reserve [Line Items]        
Costs incurred $ 13.6 $ 14.8 $ 17.9 $ 18.5
Cost of sales        
Restructuring Cost and Reserve [Line Items]        
Costs incurred 4.8 6.9 6.3 6.6
Selling, general and administrative expenses        
Restructuring Cost and Reserve [Line Items]        
Costs incurred $ 8.8 $ 7.9 $ 11.6 $ 11.9
v3.23.2
Income Taxes - Narrative (Details)
 3 Months Ended 6 Months Ended
Jun. 30, 2023
Jul. 01, 2022
Jun. 30, 2023
Jul. 01, 2022
Income Tax Disclosure [Abstract]        
Effective tax rate 24.30% 24.70% 23.00% 20.80%
v3.23.2
Earnings Per Share - Narrative (Details) - $ / shares
Jun. 30, 2023
Dec. 31, 2022
May 21, 2020
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items]      
Conversion price (in USD per share) $ 21.01 $ 21.01  
2.375% convertible senior notes | Convertible Debt      
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items]      
Conversion price (in USD per share)     $ 21.01
Dilution threshold (in USD per share) $ 23.79    
v3.23.2
Earnings Per Share - Components of Basic and Diluted Earnings per Share (Details) - USD ($)
$ / shares in Units, shares in Millions, $ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2023
Jul. 01, 2022
Jun. 30, 2023
Jul. 01, 2022
Numerator:        
Income from continuing operations, net of tax $ 51.9 $ 44.5 $ 95.7 $ 114.9
Income from discontinued operations, net of tax 0.0 2.6 0.0 7.1
Net income $ 51.9 $ 47.1 $ 95.7 $ 122.0
Denominator:        
Weighted-average common shares outstanding used in basic earnings per share (in shares) 164.0 162.9 163.8 162.6
Assumed exercise of dilutive options and vesting of dilutive restricted stock units (in shares) 2.4 3.3 2.6 3.8
Assumed conversion of the Notes (in shares) 9.9 12.3 10.5 12.8
Weighted average common shares outstanding used in diluted earnings (loss) per share (in shares) 176.3 178.5 176.9 179.2
Earnings per share:        
Earnings from continuing operations - basic (in USD per share) $ 0.32 $ 0.27 $ 0.58 $ 0.71
Earnings from continuing operations - diluted (in USD per share) 0.29 0.25 0.54 0.64
Earnings (loss) from discontinued operations - basic (in USD per share) 0 0.02 0 0.04
Earnings (loss) from discontinued operations - diluted (in USD per share) 0 0.01 0 0.04
Earnings - basic (in USD per share) 0.32 0.29 0.58 0.75
Earnings - diluted (in USD per share) $ 0.29 $ 0.26 $ 0.54 $ 0.68
v3.23.2
Earnings Per Share - Securities Not Included in the Computation of Diluted Loss Income per Share (Details) - shares
shares in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2023
Jul. 01, 2022
Jun. 30, 2023
Jul. 01, 2022
Stock-based awards        
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]        
Antidilutive securities excluded from computation of diluted (loss) income per share (in shares) 2.1 1.9 2.0 1.3
v3.23.2
Segment Information - Narrative (Details)
 6 Months Ended
Jun. 30, 2023
segment
Segment Reporting [Abstract]  
Number of reportable segments (in segments) 2
Number of operating segments (in segments) 2
v3.23.2
Segment Information - Segment Results (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2023
Jul. 01, 2022
Jun. 30, 2023
Jul. 01, 2022
Dec. 31, 2022
Segment Reporting Information [Line Items]          
Sales $ 662.4 $ 645.8 $ 1,289.6 $ 1,277.2  
Operating profit (loss) 78.9 65.2 151.0 156.7  
Other income 7.1 0.3 7.4 0.6  
Interest expense, net (17.4) (6.4) (34.1) (12.3)  
Income before income taxes 68.6 59.1 124.3 145.0  
Identifiable assets 6,607.2   6,607.2   $ 6,587.0
Other          
Segment Reporting Information [Line Items]          
Operating profit (loss) (25.2) (39.0) (56.7) (63.3)  
Identifiable assets 695.5   695.5   656.0
Specialty Products & Technologies          
Segment Reporting Information [Line Items]          
Sales 417.0 407.7 827.0 804.8  
Specialty Products & Technologies | Operating segments          
Segment Reporting Information [Line Items]          
Sales 417.0 407.7 827.0 804.8  
Operating profit (loss) 55.7 74.0 126.8 144.3  
Identifiable assets 3,438.2   3,438.2   3,475.7
Equipment & Consumables          
Segment Reporting Information [Line Items]          
Sales 245.4 238.1 462.6 472.4  
Equipment & Consumables | Operating segments          
Segment Reporting Information [Line Items]          
Sales 245.4 238.1 462.6 472.4  
Operating profit (loss) 48.4 $ 30.2 80.9 $ 75.7  
Identifiable assets $ 2,473.5   $ 2,473.5   $ 2,455.3
v3.23.2
Label Element Value
Accounting Standards Update [Extensible Enumeration] us-gaap_AccountingStandardsUpdateExtensibleList Accounting Standards Update 2020-06 [Member]
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