Envista Holdings Corp (NVST) presents a deeply negative liquidation posture as of April 3, 2026. Total reported assets of $5,578.0M are dominated by goodwill ($2,359.8M, 42% of total assets) and other intangibles ($633.0M), which carry zero recovery value under liquidation assumptions. Applying standard haircuts: cash $1,082.8M recovers at 100% ($1,082.8M); net AR $436.6M at 90-95% (~$415-415M); inventory $300.3M at 60% (~$180M); PP&E net $298.7M at 50-70% (~$149-209M); intangibles and goodwill $0. Estimated gross liquidation asset recovery approximates $1.85-1.95B against total liabilities of approximately $2,386.9M (current liabilities $786.6M plus long-term debt $1,439.1M plus operating lease liabilities noncurrent $111.4M plus pension/other noncurrent liabilities totaling approximately $239.5M plus accrued taxes noncurrent $34.9M plus contingency accruals $22.4M). This yields an estimated equity deficit of approximately $400-550M under liquidation, consistent with MFFAIS CLV of negative $1.25B (which applies more conservative haircuts). The liability stack is anchored by $1,439.1M in noncurrent long-term debt (primarily the 1.75% Convertible Senior Notes due 2028 and revolving credit facility), which stays at face value on wind-up. Operating lease obligations of $150.1M combined ($38.7M current plus $111.4M noncurrent) do not extinguish on liquidation. Pension and OPEB obligations of $43.6M face value ($5.1M current, $38.5M noncurrent) similarly remain. Contract liabilities of $212.2M (deferred revenue including $130.8M for clear aligner treatment plans with ongoing performance obligations) represent face-value obligations that would likely require cash settlement or become creditor claims. Since the prior filing (10-K for FY2025), notable changes include: goodwill increased $20.2M via the Versah acquisition ($54.4M cash consideration in Q1 2026), adding intangible-heavy assets that generate zero liquidation recovery; PP&E increased modestly from $296.8M to $298.7M (net); cash declined $128.9M from period-start reflecting $54.4M acquisition spend, $42.7M share repurchases, and near-zero operating cash flow ($-3.3M). The share count declined from approximately 168M to 162.9M via buybacks, concentrating remaining claims on an asset base that has deteriorated on a per-share liquidation basis. AOCI improved by $98M in the prior quarter (per AOCI note in filing) primarily on FX translation, but this is not a cash asset. The filing discusses valuation allowances against U.S. deferred tax assets related to interest expense carryforwards and NOLs in MD&A but these are not separately tagged as balance sheet line items in XBRL — their tax asset carrying values are embedded in OtherAssetsNoncurrent ($223.8M). Tariff exposure disclosed in MD&A as an increasing cost pressure with partial mitigation; not separately tagged in XBRL.
▼ Community Notes