ZimVie Inc. (NASDAQ:ZIMV) Q3 2023 Earnings Call Transcript

Matt Miksic : That’s great. And then just finally on dental. Any sense of how much — maybe — I apologize if you answered this in your last — in the question around dental, but just elements of seasonality that either came into play in Q3 or may come into play in Q4 and any sense of whether that’s a market that’s stabilizing or potential for improving just some color as to which way the wins of growth are blowing in the dental market in a moment.

Vafa Jamali : Sure. So particular to us, just — I’ll start and Rich will have some further color on it. We are happy with the new customer acquisition that we have. So we’re doing really well with DSOs, and we’re doing really well with newer non-implant customers that are starting to do implants. So that’s very, very positive for us. I would say that we did experience seasonality in Q3, and there is a softness in the U.S. market that is not evident in Asia Pacific or in EMEA. But we do feel that which is probably adding a little bit of conservatism to how we see Q4 working out.

Richard Heppenstall : Yes. Matt, this is Rich. Good to talk to you again. Yes, just to expand on what Vafa said, we’ve — Q3 in the dental business is always our weakest quarter, and a lot of it is because of summer vacations. And obviously, a large portion of our business, almost half of it actually is U.S. and of course, Europe has their vacations. And so that being said, we did call out at the end of our second quarter call that we did see a little bit higher seasonality than normal. The dental business put up 105.3%, I believe, for the quarter, which was actually a little bit better than what our expectations were, maybe $1 million or so given better than our expectations. And so we have seen seasonality, but the positioning of the dental business and our commercial execution, frankly, continues to perform well, particularly OUS, which is where we thought the seasonality was going to come from.

And so we actually kind of combat that seasonality without performance in those regions.

Matt Miksic : Well, that’s great. Congrats on that, and I look forward to hearing more about how things progress through the end of the year.

Vafa Jamali : Thank you, Matt.

Richard Heppenstall : Yes. Thanks, Matt.

Operator: I’m showing no further questions at this time. So this does conclude the question-and-answer session. Thank you, everyone, for your participation.

Vafa Jamali : Thank you very much.

Operator: Okay. You may now disconnect.