Core Insights - 3D Systems has introduced several new products in its Stereolithography (SLA) portfolio aimed at enhancing customer innovation and application needs, including the SLA 825 Dual printer, ArrayCast software, and new materials Accura SbF and Accura Xtreme Black [9][17] Product Innovations - The SLA 825 Dual is the most advanced large-frame SLA printer from 3D Systems, featuring a 20% larger build volume of 830 x 830 x 550 mm and dual-laser architecture, designed for high-performance industries such as transportation, motorsports, aerospace, and defense [10][11] - ArrayCast software allows for the creation of customized casting trees, improving efficiency by up to 10 times in production cycles and reducing manual labor by up to 20 times, thus eliminating bottlenecks in the casting process [12][19] - Accura SbF is a new SLA casting resin that is antimony-free, suitable for printing QuickCast patterns for various high-performance metals, offering fast print speeds and high dimensional stability [13][14] - Accura Xtreme Black is a high-performance prototyping resin that provides exceptional durability for complex assemblies and replicates the aesthetics of molded production parts, enhancing the prototyping workflow [15][16] Market Positioning - The introduction of these technologies reinforces 3D Systems' commitment to innovation and its leadership in the additive manufacturing industry, with nearly 40 years of experience in SLA technology [17][22] - The new products will be showcased at Formnext 2025, highlighting the company's comprehensive solutions for both polymer and metal additive manufacturing [17][22]

Group 1 - The article does not provide any specific content related to a company or industry [1]

Core Insights - 3D Systems (DDD) reported a non-GAAP loss of 8 cents per share for Q3 2025, which was better than the Zacks Consensus Estimate by 11.11% and an improvement from a loss of 9 cents per share in the same quarter last year [1][9] - The company's revenues for the quarter were $91.2 million, down 19.2% year over year, and missed the Zacks Consensus Estimate by 1.41% [1][9] Financial Performance - Product revenues decreased by 28.3% year over year to $52.3 million, making up 57.3% of total revenues, while services revenues accounted for 42.7% of total revenues and fell by 2.6% year over year to $38.9 million [3] - Non-GAAP gross profit fell 30.4% year over year to $29.6 million, with a gross profit margin decline of 520 basis points to 32.4% due to lower sales volumes and the divestiture of the Geomagic business [6] - Adjusted EBITDA loss was $10.8 million, which was an improvement of $3.5 million due to a 27.2% reduction in operating expenses to $44.7 million [6] Segment Performance - Healthcare Solutions revenues decreased by 22.3% year over year to $42.8 million, while MedTech revenues increased by over 8% year over year [5] - Industrial Solutions revenues declined by 16.3% year over year to $48.5 million, although Aerospace and Defense revenues grew by 50% year over year [5] Balance Sheet - As of September 30, 2025, cash and cash equivalents were $95.5 million, down from $116.4 million as of June 30 [7] - Total debt remained unchanged at $122.6 million, with $34.7 million maturing in Q4 2026 and the remaining $92 million maturing in 2030 [7] Future Outlook - The company anticipates revenue growth of 8-10% for Q4 2025, driven by increased printer sales and healthcare demand [9][10] - Strong sales of new printer systems and rising materials consumption are expected to contribute to this growth, along with anticipated increases in customer capital expenditures [10]

Core Insights - 3D Systems reported a significant drop in revenue for the third quarter, leading to a 10.1% decline in its share price [1][2] - The company posted a loss per share of $0.08, which was better than the expected loss of $0.12, but revenue of $91.2 million fell short of the anticipated $97.68 million, marking a 19% decline year-over-year [2] - Both the Industrial Solutions and Healthcare Solutions segments experienced substantial revenue drops of 16% and 22%, respectively, contributing to the negative investor reaction despite better-than-expected earnings [2] Financial Performance - The reported revenue of $91.2 million was significantly below expectations, indicating broader weaknesses in the company's performance [2] - The loss per share of $0.08 was an improvement over the forecasted loss, but overall financial results did not meet market expectations [2] Market Reaction - The stock's volatility is highlighted by 73 moves greater than 5% over the past year, indicating that this news has significantly impacted market perception [4] - The stock has decreased by 27.8% since the beginning of the year and is currently trading at $2.31 per share, which is 51.1% below its 52-week high of $4.72 [8] Broader Market Context - The overall market has seen positive momentum, with major indices like the Dow Jones, S&P 500, and Nasdaq Composite climbing significantly, driven by strong corporate earnings and easing trade tensions [6][7] - Despite the positive market environment, 3D Systems' performance stands out negatively, suggesting company-specific challenges [2][8]

Financial Data and Key Metrics Changes - The company's third quarter revenue was $91.2 million, down 13.8% year over year, consistent with normal seasonality trends [4][25] - Non-GAAP gross margin for the third quarter was 33%, compared to 38% in the prior year [26] - GAAP net loss for the quarter was $18 million, or a loss per share of $0.14, an improvement from a loss of $1.35 per share in the prior year [28][29] Business Line Data and Key Metrics Changes - Industrial solutions revenue was $48 million, down 16% year over year, primarily due to softness in printers and material sales in consumer-facing markets [25] - Healthcare solutions revenue decreased by 22% to $43 million, driven by lower sales in dental, while MedTech grew by 8% [26][12] - The dental market is expected to reach $1 billion in industry revenue across the US and Europe over the next several years [10] Market Data and Key Metrics Changes - The overall market for 3D printing remains challenging, with customers showing muted Capex spending due to uncertainty around tariffs [5] - The aerospace and defense segment grew nearly 50% year over year, indicating strong demand in that area [26] - The company is focusing on expanding its presence in the dental market, which is transitioning to 3D printing from traditional methods [11] Company Strategy and Development Direction - The company is rationalizing non-core assets and focusing on strategic investments in metal and polymer printing technology [6] - New printer platforms have been launched, particularly in the jewelry and dental markets, to drive future growth [7][9] - The company is also expanding its initiatives in Saudi Arabia to support local manufacturing and industrialization through 3D printing [17][19] Management's Comments on Operating Environment and Future Outlook - Management noted that the macro environment remains challenging but is taking aggressive actions to adjust the cost structure while maintaining core R&D investments [5] - The company expects continued reductions in operating expenses through the end of the year, targeting over $50 million in annualized savings by year-end [27][31] - Management expressed optimism about the growth potential in the dental market and the overall healthcare segment, anticipating it to be one of the largest revenue streams in the future [11][67] Other Important Information - The company completed the divestiture of its Geomagic software business, which will allow for a more accurate comparison of performance across periods [24] - The financial impact of the recent asset sales is expected to be approximately $1.2 million in revenue and $1 million on gross margin for Q4 [6] Q&A Session Summary Question: Can you touch on the decline in gross margins? - Management explained that the decline was due to the absence of a prior quarter's milestone revenue and some manufacturing variances [34][35] Question: Is there more to do on the cost cut efforts? - Management indicated that while significant strides have been made, there are still some facility consolidations to complete, with continued declines in operating expenses expected [36][39] Question: Can you provide more detail on the partnerships with Lockheed Martin and initiatives in the Middle East? - Management highlighted the importance of local manufacturing and innovation in Saudi Arabia, driven by defense contracts and local sourcing requirements [44][46] Question: What is driving the stabilization in the dental business? - Management noted that the dental market has several revenue streams, with materials for repairs being consistent, while aligner revenue is more volatile [51][54] Question: How will the denture initiative impact revenue? - Management expressed confidence that the denture market will become a more stable revenue stream due to the aging population and the efficiency of 3D printing [66][67]

Third Quarter 2025 Financial Results Welcome and Participants Dr. Jeffrey Graves President & Chief Executive Officer Phyllis Nordstrom Executive Vice President & Interim Chief Financial Officer Monica Gould November 5, 2025 Investor Relations 2 Forward Looking Statements Certain statements made in this presentation that are not statements of historical or current facts are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involv ...

Core Insights - 3D Systems reported a quarterly loss of $0.08 per share, slightly better than the Zacks Consensus Estimate of a loss of $0.09, and an improvement from a loss of $0.12 per share a year ago, resulting in an earnings surprise of +11.11% [1] - The company generated revenues of $91.25 million for the quarter ended September 2025, missing the Zacks Consensus Estimate by 1.41%, and down from $112.94 million in the same quarter last year [2] - 3D Systems shares have declined approximately 15.9% year-to-date, contrasting with the S&P 500's gain of 16.5% [3] Earnings Outlook - The future performance of 3D Systems' stock will largely depend on management's commentary during the earnings call and the company's earnings outlook [4] - The current consensus EPS estimate for the upcoming quarter is -$0.06 on revenues of $98.42 million, and for the current fiscal year, it is -$0.40 on revenues of $380.35 million [7] Industry Context - The Commercial Printing industry, to which 3D Systems belongs, is currently ranked in the bottom 11% of over 250 Zacks industries, indicating a challenging environment [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact 3D Systems' stock performance [5][6]

Revenue Performance - Revenue for the three months ended September 30, 2025, was $91.2 million, a decrease of $21.7 million (approximately 19.3%) compared to $112.9 million for the same period in 2024[144]. - Revenue for the nine months ended September 30, 2025, was $280.6 million, down $48.5 million (approximately 14.7%) from $329.1 million in the prior year[144]. - For the three months ended September 30, 2025, total revenue decreased by $21.7 million, or 19.2%, to $91.2 million compared to the same period in 2024, primarily due to a decline in product revenue of $20.7 million[146]. - For the nine months ended September 30, 2025, total revenue decreased by $48.5 million, or 14.7%, to $280.6 million compared to the same period in 2024, driven by a decline in product revenue of $47.9 million[147]. Cost and Expenses - Cost of sales for the three months ended September 30, 2025, was $61.8 million, a decrease of $9.4 million (approximately 13.2%) from $71.2 million in 2024[144]. - Selling, general and administrative expenses (SG&A) for the three months ended September 30, 2025, were $34.7 million, down $23.3 million (approximately 40.2%) from $58.0 million in 2024[144]. - Research and development expenses (R&D) for the three months ended September 30, 2025, were $16.0 million, a decrease of $4.7 million (approximately 22.8%) compared to $20.8 million in 2024[144]. - Selling, general and administrative expenses (SG&A) for the three months ended September 30, 2025, decreased by $23.3 million, or 40.1%, compared to the same period in 2024[151]. - Research and development expenses (R&D) for the three months ended September 30, 2025, decreased by $4.7 million, or 22.8%, compared to the same period in 2024[152]. Profitability - The company reported a loss from operations of $21.3 million for the three months ended September 30, 2025, an improvement of $159.4 million compared to a loss of $180.8 million in the same period of 2024[144]. - Gross profit for the three months ended September 30, 2025, decreased by $12.3 million, or 29.4%, to $29.4 million, with a gross profit margin of 32.3% compared to 36.9% in the prior year[149]. - Gross profit for the nine months ended September 30, 2025, decreased by $31.5 million, or 24.3%, to $98.3 million, with a gross profit margin of 35.0% compared to 39.4% in the prior year[150]. Business Transactions - The company recorded a pre-tax gain of $125.7 million from the sale of its Geomagic software business in the nine months ended September 30, 2025[135]. - The company completed the sale of its 3DXpert and Oqton businesses for $3.5 million plus a potential revenue-based royalty of up to $12.9 million[137]. - The gain on disposition of $125.7 million for the nine months ended September 30, 2025, was due to the sale of the Geomagic business on April 1, 2025[168]. Cash Flow and Debt - Cash and cash equivalents totaled $95.5 million, a decrease of $75.8 million since December 31, 2024, primarily from cash used in operations of $73.1 million and capital expenditures of $8.0 million[174]. - Cash flow used in operating activities was $73.1 million during the nine months ended September 30, 2025, an increase of $36.0 million compared to the prior year[178]. - Net cash provided by investing activities was $108.3 million during the nine months ended September 30, 2025, an increase of $121.4 million, driven primarily by proceeds from the sale of the Geomagic business[178]. - Net cash used in financing activities was $98.3 million during the nine months ended September 30, 2025, an increase of $7.6 million, primarily due to net repayments of long-term debt of $81.4 million[179]. - As of September 30, 2025, the company had $126.7 million of outstanding long-term debt, comprising $34.7 million of 2026 Notes and $92.0 million of 2030 Notes[187]. Restructuring and Future Plans - The company expects to incur approximately $8.5 million to $14.5 million in pre-tax restructuring costs by the end of the second fiscal quarter of 2026[133]. - The company has initiated a 2025 Restructuring Plan aimed at delivering sustainable growth and profitability through cost savings and streamlining operations[132]. Market and Risk Assessment - The company has no material changes to its critical accounting estimates as described in the 2024 Annual Report on Form 10-K[200]. - There have been no material changes or developments affecting the market risk assessment since December 31, 2024[201]. - The company evaluates its estimates and assumptions on an ongoing basis, acknowledging that actual results may differ from these estimates[193]. Goodwill and Impairment - Goodwill is assigned to the Healthcare reporting unit, and the company assesses goodwill for impairment at least annually[195][196]. - The remaining goodwill assigned to the Healthcare reporting unit could be subject to impairment if there is a decrease in its estimated fair value[199]. - The quantitative goodwill impairment test compares the carrying value of a reporting unit to its fair value, with charges recognized when the carrying value exceeds fair value[197]. - Impairment losses are measured as the excess of the carrying value of a long-lived asset over its estimated fair value, determined using discounted projected cash flows[194]. - The company uses a guideline company valuation method to estimate fair values, which involves selecting appropriate comparable publicly traded companies[198].

Revenue Performance - Total revenue for Q3 2025 was $91.2 million, a decrease of 19% compared to $112.9 million in Q3 2024[3] - Total revenue for the three months ended September 30, 2025, was $91,249,000, a decrease of 19.3% compared to $112,940,000 for the same period in 2024[20] - Revenue for the fourth quarter is expected to grow sequentially by 8% to 10% compared to Q3 2025, driven by increased sales in healthcare and industrial markets[5][12] Profitability Metrics - Gross profit margin decreased to 32.3% in Q3 2025 from 36.9% in Q3 2024, primarily due to lower sales volume and the divestiture of the Geomagic business[8] - Gross profit for the nine months ended September 30, 2025, was $98,270,000, down from $129,733,000 in 2024, representing a decline of 24.2%[20] - Non-GAAP gross profit for the three months ended September 30, 2025, was $29.6 million, with a gross profit margin of 32.5%, compared to $42.5 million and 37.6% for the same period in 2024[32] - Gross profit (GAAP) for the nine months ended September 30, 2025, was $98.3 million, with a gross profit margin of 35.0%, down from $129.7 million and 39.4% in the same period of 2024[32] Operating Expenses - Operating expenses decreased significantly to $50.7 million in Q3 2025 from $222.5 million in Q3 2024, reflecting progress on cost reduction initiatives[3] - Operating expenses for the three months ended September 30, 2025, were $50,741,000, significantly lower than $222,471,000 in the same period of 2024, primarily due to a reduction in selling, general, and administrative expenses[20] - GAAP operating expenses for the nine months ended September 30, 2025, totaled $171.7 million, while non-GAAP operating expenses were $153.1 million, a decrease from $191.9 million in the same period of 2024[33] Net Loss and Adjusted EBITDA - Net loss attributable to 3D Systems Corporation was $18.1 million in Q3 2025, a decrease of $160.6 million compared to the prior year period[9] - The net loss attributable to 3D Systems Corporation for the three months ended September 30, 2025, was $18.1 million, compared to a net loss of $178.6 million for the same period in 2024[34] - Adjusted EBITDA improved to a loss of $10.8 million in Q3 2025, an improvement of $3.5 million year-over-year[9] - Adjusted EBITDA for the nine months ended September 30, 2025, was $(40.1) million, an improvement from $(47.3) million in the same period of 2024[34] Cash and Debt Position - Cash and cash equivalents decreased by $75.8 million since December 31, 2024, primarily due to cash used in operations[11] - Total cash as of September 30, 2025, was $114.2 million, with total debt of $122.6 million[10] - Cash, cash equivalents, and restricted cash at the end of the period were $114,239,000, down from $191,573,000 at the end of September 30, 2024[21] - Net cash used in operating activities for the nine months ended September 30, 2025, was $73,131,000, compared to $37,109,000 in 2024, indicating increased cash outflow[21] Healthcare and Industrial Solutions - Healthcare Solutions revenue decreased by 22% to $42.8 million in Q3 2025 compared to the prior year period[8] - Healthcare Solutions revenue for the nine months ended September 30, 2025, was $129,123,000, a decrease of 13.5% from $149,369,000 in 2024[23] - Industrial Solutions revenue for the nine months ended September 30, 2025, was $151,504,000, down 15.7% from $179,728,000 in 2024[23] Foreign Exchange and Other Charges - The company reported a foreign exchange gain of $2,623,000 for the three months ended September 30, 2025, compared to a loss of $1,960,000 in the same period of 2024[20] - The company reported a restructuring expense of $1.0 million for the nine months ended September 30, 2025, compared to a benefit of $(0.5) million in the same period of 2024[33] - The company incurred asset impairment charges of $143.7 million for the nine months ended September 30, 2024, with no such charges reported for the same period in 2025[33] Earnings Per Share - The basic net loss per common share for the three months ended September 30, 2025, was $(0.14), compared to $(1.35) for the same period in 2024[20] - The diluted loss per share (GAAP) for the three months ended September 30, 2025, was $(0.14), compared to $(1.35) for the same period in 2024[35] - Non-GAAP diluted loss per share for the nine months ended September 30, 2025, was $(0.27), compared to $(0.42) for the same period in 2024[35]

Core Viewpoint - 3D Systems Corporation reported a decrease in revenue and net loss for the third quarter of 2025, but anticipates sequential growth in the fourth quarter driven by improvements in key markets and new product launches [4][5][6]. Financial Results Summary - Revenue for Q3 2025 was $91.2 million, a 19% decrease from $112.9 million in Q3 2024 [3][6]. - Gross profit was $29.4 million with a gross profit margin of 32.3%, down from 36.9% in the prior year [3][7]. - Operating expenses were $50.7 million, significantly lower than $222.5 million in Q3 2024, leading to an operating loss of $21.3 million [3][8]. - Net loss attributable to 3D Systems Corporation was $18.1 million, an improvement from a loss of $178.6 million in the same quarter last year [3][8]. - Diluted loss per share was $(0.14), compared to $(1.35) in Q3 2024 [3][8]. Segment Performance - Healthcare Solutions revenue decreased by 22% to $42.8 million compared to the prior year [7]. - Industrial Solutions revenue decreased by 16% to $48.5 million compared to the prior year [7]. - The decline in revenue was attributed to lower sales volume and the divestiture of the Geomagic business [7]. Outlook - The company expects sequential revenue growth of 8% to 10% in Q4 2025, driven by increased sales in Healthcare, Industrial markets, and consumer markets [4][5]. - Gross margins are anticipated to stabilize, with increased volumes expected to offset short-term pressures from a heavier mix of printer sales [4][5]. Financial Liquidity - As of September 30, 2025, total cash was $114.2 million, with total debt of $122.6 million [9][10]. - Cash and cash equivalents decreased by $75.8 million since December 31, 2024, primarily due to cash used in operations and financing activities [10].