Financial research concept

Digital Orthodontics Constant-Currency Gross Margin

measures Align Technology gross margin after removing the company's disclosed foreign-exchange impact.

By Lee BaileyPublished Oct 2, 2026

Research context

See what supports this page, how current it is, and where comparable or historical context is available.

Research date: Oct 2, 2026Use the dated article and cited sources for the definition, examples, and stated limitations.
Operating-model context: 10 connected conceptsPart of the reviewed Digital Orthodontics Platform Economics; issuer definitions remain distinct where disclosed.
Company examples: 1 reviewed companyRelationships reflect supported examples, not a normalized cross-company KPI ranking.

The metric is issuer-defined and non-GAAP
FX explains part of the reported margin difference
Part of the Digital Orthodontics Platform Economics
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Digital orthodontics constant-currency gross margin measures Align Technology gross margin after excluding the disclosed effect of foreign-exchange rate movements on net revenue and cost of net revenue.

Align reported a 72.5% year-over-year constant-currency gross margin for the second quarter of 2026, compared with a 71.7% GAAP gross margin.

The metric is issuer-defined and non-GAAP

Align defines constant-currency gross profit and gross margin through a specific translation methodology.

That measure should not be substituted automatically for similarly named peer metrics.

FX explains part of the reported margin difference

Align disclosed a year-over-year gross-margin constant-currency impact of about 0.8 percentage points.

Read it with GAAP gross margin and non-GAAP operating margin.

Primary source: Align Technology Q2 2026 earnings release filed with the SEC.

Part of the Digital Orthodontics Platform Economics

Connects Align Technology Clear Aligner revenue and case-volume growth, Systems & Services monetization, foreign-exchange effects, and reported versus adjusted margin conversion.

Browse the full operating model in Company Analysis →

Where this concept fits

Gross and operating margin conversionCurrent relationship
GAAP gross margin, constant-currency gross margin, GAAP operating margin, and non-GAAP operating margin show reported profitability, currency effects, and management's disclosed adjusted view.
Constant-Currency Gross MarginCurrent conceptGAAP Gross Margin GAAP Operating Margin Non-GAAP Operating Margin
Treatment volume and revenue
Clear Aligner case-volume growth measures physical treatment shipments while Clear Aligner revenue growth and total revenue growth show how volume, ASP, product mix, geography, and other factors convert into reported sales.
Clear Aligner Case Growth Clear Aligner Revenue Growth Total Revenue Growth
Platform monetization and currency
Systems & Services revenue captures scanner and CAD/CAM monetization under purchase, lease, and rental models, while total and Clear Aligner FX impacts separate currency translation from underlying operating activity.
Clear Aligner Revenue FX Impact Systems & Services Revenue Growth Total Revenue FX Impact

Clear Aligner Case Growth
Clear Aligner Revenue FX Impact
Clear Aligner Revenue Growth
Constant-Currency Gross MarginCurrent concept
GAAP Gross Margin
GAAP Operating Margin
Non-GAAP Operating Margin
Systems & Services Revenue Growth
Total Revenue FX Impact
Total Revenue Growth

See It in Company Research

These companies are examples of how the concept is reported or discussed in public filings. Definitions can differ by issuer; these links open company research rather than a normalized metric comparison.

ALGNOpen operating-model research →10 of 10 reviewed concepts in Digital Orthodontics Platform EconomicsGross and operating margin conversion4 of 4 bridge concepts supportedContinue through this bridge:GAAP Gross Margin GAAP Operating Margin Non-GAAP Operating Margin

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Compare gross-margin conversion after Align's issuer-defined foreign-exchange adjustment.

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