SAN DIEGO–(BUSINESS WIRE)–Shareholder rights law firm Robbins LLP is investigating Dentsply Sirona Inc. (NASDAQ: XRAY) and its officers and directors to determine whether they breached their fiduciary duties and violated securities laws movables. Dentsply designs, develops, manufactures, distributes and sells various dental products and technologies for professional dental markets worldwide.
If you would like more information about our investigation into the misconduct of Dentsply Sirona Inc., click here.
What this case is about: Dentsply Sirona Inc. (XRAY) at Risk of Losing NASDAQ Listing Eligibility
On May 12, 2022, NASDAQ notified Dentsply that its failure to file its most recent quarterly report with the Securities Exchange Commission (“SEC”) violated NASDAQ’s listing rules and could result in its delisting from the market.
On May 10, 2022, the Company announced its preliminary financial results for the first quarter of 2022. Among other things, the Company announced that first quarter net sales decreased 6.1% to $965 million from $1,027 million in the first quarter of 2021. Additionally, net income for the first quarter of 2022 was $65 million, or $0.30 per diluted share, compared to $117 million, or $0.53 per diluted share in the first quarter of 2021. Additionally, adjusted earnings per diluted share decreased to $0.52 from $0.72 in the first quarter of 2021.
Also on May 10, 2022, Dentsply notified the SEC that it could not file its 10Q on time because its board of directors was investigating possible financial reporting violations regarding sales incentives offered to distributors, who represent most of its business in the United States. The company’s NT-10Q said, “The audit committee’s investigation focuses on the company’s use of incentives to sell products to distributors during the third and fourth quarters of 2021 and whether those incentives have been properly considered and whether the impact of such sales has been properly disclosed in the Company’s periodic reports filed with the Securities and Exchange Commission (“SEC”). The Audit Committee is also investigating allegations that certain former and current executives have directed the Company to use these incentives and other actions to achieve executive compensation targets in 2021.”
The investigation, which began in March, led to the firing of the company’s CEO on April 19, 2022 and the resignation of former Dentsply chief financial officer Jorge Gomez, who left Dentsply on May 6 to become chief executive. financial officer of Moderna, Inc. on May 9 and resigned on May 10.
Next steps: If you own stock in Dentsply Sirona Inc. (XRAY), you have legal options. Contact us for more information.
All representation is done on a contingent fee basis. Shareholders do not pay any fees or expenses.
Contact us for more information:
Shareholder Information Form
About Robbins LLP: A recognized leader in shareholder rights litigation, the attorneys and staff of Robbins LLP are dedicated to helping shareholders recoup losses, improving corporate governance structures and holding corporate executives responsible for their wrongdoings since 2002. To be notified if a class action lawsuit against Dentsply Sirona Inc. settles or to receive free alerts when corporate executives commit wrongdoing, sign up today at StockWatch.
Lawyer advertisement. Past results do not guarantee a similar outcome.