Stanley M. Bergman
Chairman Of The Board And Chief Executive Officer at Henry Schein
Thank you very much, Steven. We believe Henry Schein's leadership positions in the global Dental and Medical distribution businesses serve as an excellent foundation to continue to expand our wide range of value-added solutions and services as well as our specialty products for practitioners, including self-manufactured products. We are focused on gross profit growth, outpacing operating expense growth over the long term, as we expand our mix of high-margin products and leverage efficiencies across our business, in part through One Schein and One Distribution strategies. These strategies were discussed in the last call and happy to discuss them further on this call. We believe we remain on the path to achieving our increased long-term profitability goals. In fact, we are very pleased with the performance of the business all around. We do expect to build on our track record of continued EPS growth, compounded EPS growth, with our 103rd quarter as a public company.
In fact, looking at results for 2020, our high-margin businesses, which are comprised of Technology and Value-Added Services and the dental specialties businesses, represented approximately 12% of worldwide sales. It's already contributed over 1/3 of our GAAP and non-GAAP operating income. When looking at the components of our high-margin businesses, Technology and Value-Added Services, including Henry Schein One, comprised about 5% of worldwide sales in 2020 and approximately 15% of worldwide operating income. On the dental specialty side, this comprised about 7% of worldwide sales in 2020, along with approximately 20% of worldwide operating income. Let's go a little bit deeper into the dental distribution business. We delivered excellent dental revenue growth during the second quarter, driven by sales of both consumable merchandise and equipment and, more specifically, consumable merchandise sales in North America. And our international markets experienced double-digit growth compared with 2019.
So both in North America and our international markets, we experienced double-digit growth, internal growth during 2019. Steven discussed the state of supply challenges for the U.S. traditional dental equipment business. We expect lead times to eventually normalize and would like to stress that it is important to take a look at our equipment business over a few quarters and not one specific quarter. So for example, in the North American market, our dental equipment local currency in the first quarter was 17.4% growth. So it is important to look at the dental equipment growth over a couple of quarters. And we remain very optimistic and actually enthusiastic about our dental business, the equipment business, in the United States, in Canada, that's our North American business as well as globally. What we hear and we continue to hear from dentists is that practice revenues are improving and practitioners plan to invest in technology solutions that promote more accurate diagnoses and treatment planning and, of course, workflow efficiency.
As noted in both North America and, to some extent, internationally, we are seeing stronger sales of stand-alone digital scanners versus the full chairside systems as dentists and dental laboratories are carefully managing capital equipment purchases while still committing to investing in digital dentistry. I encourage investors to remain focused on the long-term prospects, in fact, even the medium-term prospects and trends that we believe will come from advancement of the digitalization of dentistry. So let's take a brief look at our dental specialties businesses, a category which now has sales annualized at over $900 million. As Steven noted, total global specialty -- dental specialties performed extremely well with double-digit internal sales growth versus 2019 as we further penetrate these key dental specialty markets, both domestically and internationally. We also had a number of key strategic developments in each of our dental specialty product categories during the second quarter.
Our implant and oral surgery businesses, which of course, include bone regeneration,products, implants and bone regeneration products is the largest of our global dental specialty businesses, and we continue to deliver new solutions as we seek to increase share in key dental markets. For instance, in the U.S., we recently launched our progressive Camlog implants with multiunit prosthetics addressing the full-arch market. We also expect to introduce our Fusion implant solution to enhance our offering for the value price segment to the implant market. This complements our line of Medentis value implants which have been very successful, particularly in the DACH region. Our implant strategy is focused on providing a broad set of solutions to address various customer pricing requirements while providing high-quality clinical solutions. We believe we're in a unique spot of providing value. In other words, the price quality equation works well for dentists in many parts of the world, specifically in the U.S. and in Europe, a particular focus in the DACH region, but now also gaining a foothold in Asia as well.
Each of these enhancements is underpinned by our investment in differentiated technologies for high-value, high-quality implant treatment. By the end of the year, we also plan to launch a new line of next-generation bone tissue augmentation material. So -- let me just now turn to the endodontic business, where growth in the second quarter was driven by a strong performance overall, but specifically with large accounts and sales in the international markets. Our core file and bioceramic portfolio continues to be well received globally, with particular strength in North America and Europe. In the orthodontic market, we are pleased with our Reveal Clear Aligner progress as we continue to enhance our platform and expand internationally. Today, we offer aligner solutions in 26 countries and continue to broaden reach with the recent launches in France, Poland, Ireland, Italy and Spain. We are providing customers with flexibility in their choice of integrated solutions. Reveal integrates with both three Shape and Planmeca scanners and soon with the Dentsply Sirona scanners.
Looking ahead to enhancements in our clear aligner development. We are preparing to launch an update to our Studio Pro software in the U.S., which will bring advanced treatment planning and visualization tools that help dentists effectively scan and treat patients, with a launch internationally in 2022. We are currently expanding our DDX practice to lab workflow platform with integration between Ortho2 and our Dentrix practice management Software that will stream Reveal Clear Aligner integration and enhance practice efficiency. We also expect this integration will be available for our Dentrix Ascend cloud-based software solution by the end of the year. In addition, this summer, we will begin supplementing our manufacturing of aligners with the new North American manufacturing facility to ensure even faster delivery times to dentists in the United States. And we are also working with Henry Schein One and DentalPlans.com to expand promotion of Reveal Clear Aligners to patients.
The DentalPlans' direct-to-consumer platform is quite effective. Our global dental specialties businesses are seeing continued strength in high-acuity procedures across many of our key markets in addition to traditional oral care procedures. Let me now turn to the Technology and Value-Added Services business. Sales continued to improve from early days of the pandemic when patient traffic was hardest hit. During the quarter, Henry Schein One, the largest contributor to sales in this business reported a record-high quarterly revenue. In particular, we saw solid growth across the board with the Dentrix Enterprise, Dentrix Ascend, Demandforce, DentalPlans.com solutions. We are focused on migration to the cloud and our cloud-based solutions to create flexibility and scalable services. In the second quarter of 2021, we recorded solid growth in the adoption of Dentrix Ascend, our cloud offering, versus the second quarter of 2020 and quite a bit compared to 2019 second quarter, too. In fact, sales of Ascend increased faster than traditional Dentrix sales when compared with both periods.
We continue to invest in analytics and patient marketing solutions to drive practice efficiency and patient engagement, and we continue to enhance our revenue cycle management capabilities. A key priority for Henry Schein One is to tightly integrate solutions so that practices have a unified solution suite and can simplify customer relations with Henry Schein. We are seeing that our customers have expanded the use of Henry Schein One patient engagement and communication technologies. Let me reflect on our recently announced acquisitions related to expanding our integrated Value-Added Services offering. We are extremely excited about the prospects of our eAssist, Jarvis Analytics and Dentally businesses. eAssist Dental Solutions is a developer of key leading virtual dental billing outsourced services that will advance our mission to offer best-in-breed solutions to help dental practices operate more efficiently and profitability. Jarvis develops comprehensive business analytic tools to help dental practices leverage data to diagnose problems, strengthen decision-making and improve business performance, particularly well received amongst DSOs, but also now growing amongst the midsize and smaller practices.
And Dentally is a cloud-based practice management company that offers an extensive suite of programs and services internationally, that enable dental professionals to be more efficient and to improve the ability to deliver high-quality care to patients. Turning now to the performance of our Medical business during the second quarter. We were pleased with the strong double-digit internal sales growth in local currencies. Trends in the physician, ambulatory, surgery center, alternate care and home care markets all continue to improve. We believe our medical sales continue to outpace market growth. Please take a look at the sales. Excluding COVID-type products, the internal growth of almost 8% is reflective of our growth in this market. As expected, sales of COVID test products have continued to decline. Although let me point out that in July, we did see a boost in demand. In the second quarter, infection rates, as I'm sure everyone on this call understands, generally subsided and pricing also declined accordingly. But we are seeing somewhat of a reversal of that trend.
Our reduction in sales of tests, COVID tests in particular, the other tests that we sell are all doing quite well. It was partially offset by sales of PP&E products as well as other consumable and merchandise equipment to our medical customers. Generally, this business is doing quite well. We continue to expand our Medical business beyond core distribution with a differentiated -- with differentiated solution offerings that service the low-acuity segments of the market, which of course, is the most cost-effective setting for delivery of health care. Our outlook for PPE demand in both Dental and Medical businesses remains unchanged. PPE sales have moderated from levels in the height of the pandemic, yet we expect demand to remain at elevated levels. While pricing will continue to moderate, we believe unit sales will be driven by new health care protocols that we do not expect will revert to lower pre-pandemic levels. We remain quite comfortable that from a unit point of view, our PPE sales will continue to remain at elevated levels.
Before we end this call, I'd like to comment briefly on our progress with environmental, social and governance initiatives that we're undertaking, so-called ESG, area of focus for Henry Schein now for decades actually. It just wasn't called ESG when we started with these kinds of initiatives well over three decades ago. In May, we issued our latest annual sustainability report. Among a number of newly disclosed goals, we discussed our plans for compliance with Global Reporting Initiative, with the GRI, and the Sustainability Accounting Standard Board in 2022. The next couple of years, we also plan to report in line with the Task Force on Climate-Related Financial Disclosures and to establish our science-based target. Recently, we hosted a panel with a number of ESG investors and analysts, also supply chain experts, and we participated in a panel hosted by IR Magazine discussing our work towards a diverse and inclusive workforce. You can find videos of these events as well as our CSR report on our website.
So operator, we are ready to answer investor questions, please. Thank you.
