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Align Technology ALGN Systems and Services — Cost of net revenues

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Clear Aligner
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Other financials

Income statement

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Revenue$1.1B+4.3%
Gross profit$757.4M+7.0%
Operating income$154.0M-5.5%
Net income$108.3M-13.1%
EPS (diluted)$1.51-12.2%

Balance sheet

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Cash & equivalents$1.1B+22.3%
Total debt$120.8M-1.8%
Total equity$4.2B+8.2%
Total assets$6.4B+3.2%

Cash flow

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Operating cash flow$192.8M+49.8%
CapEx$35.7M+66.0%
Free cash flow$157.1M+46.6%

Valuation

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Market cap$12.52B+26.2%
Enterprise value$11.54B+26.2%
P/E30.3×+7.6×
P/S+0.5×

Profitability

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Gross margin68%-1.7pp
Operating margin13.2%-1.9pp
Net margin10%-1.0pp
FCF margin15.3%-0.6pp

Returns & leverage

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Return on equity10.2%-1.3pp
Debt / equity0.0×
Current ratio1.4×+0.2×

Where this comes from

Reported directly by Align Technology in its filing.

Tagged under the XBRL concept us-gaap:CostOfRevenue.

The source filing: Align Technology’s 10-Q, filed August 5, 2026.

Filed
Aug 5, 2026, 4:08 PM EDT
Fiscal quarter
Q2 FY2026
Calendar quarter
Q2 2026
Accession
0001097149-26-000060
Line itemThree Months Ended June 30, 2026Three Months Ended June 30, 2025Six Months Ended June 30, 2026Six Months Ended June 30, 2025
Total net revenues$1,056,192$1,012,449$2,096,279$1,991,711
Cost of net revenues1
Clear Aligner$249,370$240,811$492,525$475,565
Systems and Services49,39263,521109,737127,921
Total cost of net revenues$298,762$304,332$602,262$603,486
Gross profit
Clear Aligner$621,504$563,806$1,234,373$1,125,895
Systems and Services135,926144,311259,644262,330

Item 1. Financial Statements (Unaudited):

FAQ

What is Align Technology's systems and services — cost of net revenues?
Align Technology (ALGN) reported systems and services — cost of net revenues of $49.39M in Q2 2026.
How has Align Technology's systems and services — cost of net revenues changed year-over-year?
Align Technology's systems and services — cost of net revenues decreased by 22.2% year-over-year, from $63.52M to $49.39M.
What is the long-term trend for Align Technology's systems and services — cost of net revenues?
Over 3 years (2022 to 2025), Align Technology's systems and services — cost of net revenues has grown at a 1.1% compound annual growth rate (CAGR), from $256.45M to $265.06M.
What does systems and services — cost of net revenues mean?
Includes the direct costs associated with producing and delivering the systems and services sold by the segment, such as materials, labor, and overhead. This metric is essential for calculating the segment's gross margin and operational efficiency.

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