Investors can contact the law firm at no cost to learn more about recovering their losses The Portnoy Law Firm represents investors in pursuing claims against caused by corporate wrongdoing. The Firm's founding partner has recovered over $5.5 billion for aggrieved investors. Attorney advertising. Prior results do not guarantee similar outcomes. Lesley F. Portnoy, Esq. Admitted CA, NY and TX Bars lesley@portnoylaw.com 310-692-8883 www.portnoylaw.com Attorney Advertising On March 26, 2025, 3D Systems announce ...

Financial Data and Key Metrics Changes - For Q4 2024, consolidated revenues were $111 million, a decline of 3% year-over-year, primarily due to a $9 million decrease from a change in accounting estimate [53][54] - Full-year revenues for 2024 totaled $440 million, down 10% from the previous year, impacted by broader macro pressures on printer sales [56] - Non-GAAP gross margin for Q4 was 31.3%, down from 39.8% in the prior year, with a full-year gross margin of 37.4%, compared to 40.6% in 2023 [58][59] Business Line Data and Key Metrics Changes - Industrial Solutions revenues grew 11% in Q4 to $71 million, driven by strength in printer systems sales and services, particularly in aerospace and defense [54] - Healthcare Solutions reported Q4 revenues of $40 million, down 21% year-over-year, influenced by the accounting change and inventory management issues among dental customers [55][57] - Full-year revenues for Industrial Solutions were $250 million, a decline of 9%, while Healthcare Solutions revenues were $190 million, down approximately 11% [56][57] Market Data and Key Metrics Changes - The aerospace and defense markets showed significant growth, contributing to the uptick in industrial printer sales [54][72] - The dental market is expected to see substantial growth, particularly in the aligner segment, with a projected addressable market of over $1 billion in the U.S. alone by 2029 [33][35] Company Strategy and Development Direction - The company is focusing on in-sourcing manufacturing operations to gain control over product introduction, costs, and quality, which is expected to yield long-term competitive advantages [22][23] - A strategic emphasis is placed on high-reliability markets such as automotive, aerospace, and medical devices, with plans to expand on these markets in future earnings releases [18][19] - The company aims to improve profitability through cost reduction initiatives targeting over $50 million in annualized savings by mid-2026 [42][44] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the challenging macroeconomic environment affecting customer CapEx spending, but noted signs of stabilization and strengthening demand in Q4 [15][16] - The company expects revenues for 2025 to be flat to modestly growing, with significant improvements in profitability anticipated due to cost actions [50][67] - Management expressed confidence in long-term growth prospects driven by advancements in additive technology and increased customer interest in production applications [20][21] Other Important Information - The company announced a divestiture of its Geomagic Software platform for $123 million, expected to close shortly, which will enhance its balance sheet [45][64] - Cash and cash equivalents at year-end 2024 were $171 million, down from $332 million in the prior year, with significant cash used for debt repurchases [64][65] Q&A Session Summary Question: Update on the industrial vertical and Q1 expectations - Management noted an encouraging uptick in new printer sales in Q4, particularly in high-reliability markets, but expects Q1 to be seasonally weaker [72][75] Question: Focus on dental business and revenue expectations - Management indicated that while aligners will dominate in 2025, significant revenue from other segments like dentures is expected to ramp up in 2026 [80][82] Question: Cost cuts and their impact on growth opportunities - Management confirmed that most cost cuts are permanent and focused on efficiency improvements, with minimal expected revenue impact [114][116] Question: Cash flow expectations and timeline for positive cash flow - Management aims for operating cash flow positivity in 2026, with improvements expected as cost savings are realized [120][121]

Core Viewpoint - 3D Systems reported disappointing Q4 2024 earnings, leading to a significant drop in stock price, reflecting ongoing challenges in sales and profitability [1][2][5]. Financial Performance - Q4 2024 earnings showed a loss of $0.19 per share, nearly double the expected loss of $0.11, with sales at $111 million, below the forecast of $115.2 million [2][3]. - Year-over-year sales for Q4 decreased by 3%, and gross profit margin fell by 730 basis points to 31% [3]. - For the full year, sales declined by 10% to $440.1 million, with gross margins down 290 basis points to 37.3%, resulting in GAAP losses of $1.94 per share [4]. Cash Flow and Operational Insights - The company experienced negative free cash flow of $61 million in 2024, an improvement from $107.9 million in 2023 [4]. - CEO Dr. Jeffrey Graves acknowledged the challenges in 2024 due to weak customer capital expenditures but noted an uptick in sales in Q4 and improvements in consumables sales [5]. Future Outlook - Despite some positive indicators, 3D Systems forecasts sales of no more than $435 million in 2025, which is lower than the previous year [5].

3D Systems (DDD) reported a non-GAAP loss of 19 cents per share in the fourth quarter of 2024, wider than the Zacks Consensus Estimate of a loss of 11 cents. The company registered earnings of 13 cents per share in the year-ago quarter.Find the latest EPS estimates and surprises on Zacks Earnings Calendar.The results negatively impacted investor sentiment, leading to a 2.21% drop in the company's share price in the pre-market trading on March 27.DDD reported revenues of $111 million for the fourth quarter o ...

3D Systems Corporation (NYSE:DDD) Q4 2024 Earnings Conference Call March 27, 2025 8:30 AM ET Company Participants Mick McCloskey - VP, IR Jeffrey Graves - President and CEO Jeff Creech - EVP and CFO Conference Call Participants Jim Ricchiuti - Needham & Company Troy Jensen - Cantor Fitzgerald Greg Palm - Craig-Hallum Capital Group Operator Greetings, and welcome to the 3D Systems Fourth Quarter and Fiscal Year 2024 Earnings Conference Call and Webcast. At this time all participants are in a listen-only mode ...

March 27, 2025 Fourth Quarter and Full Year 2024 Financial Results Welcome and Participants Dr. Jeffrey Graves President & Chief Executive Officer Jeffrey Creech Executive Vice President & Chief Financial Officer Mick McCloskey Vice President, Treasury & Investor Relations To participate via phone, please dial: 1-201-689-8345 3 Dr. Jeffrey Graves President & Chief Executive Officer 2 Forward Looking Statements Certain statements made in this presentation that are not statements of historical or current fact ...

Group 1 - 3D Systems reported a quarterly loss of $0.19 per share, which was worse than the Zacks Consensus Estimate of a loss of $0.11, marking an earnings surprise of -72.73% [1] - The company posted revenues of $111.02 million for the quarter ended December 2024, missing the Zacks Consensus Estimate by 3.86% and down from $114.85 million a year ago [2] - 3D Systems shares have declined approximately 16.5% since the beginning of the year, contrasting with the S&P 500's decline of -1.8% [3] Group 2 - The earnings outlook for 3D Systems is mixed, with the current consensus EPS estimate for the coming quarter at -$0.10 on revenues of $103.76 million, and -$0.28 on revenues of $461.73 million for the current fiscal year [7] - The Zacks Industry Rank indicates that the Commercial Printing sector is currently in the bottom 12% of over 250 Zacks industries, suggesting potential underperformance compared to higher-ranked industries [8]

Revenue Concentration - For the years ended December 31, 2024, 2023, and 2022, one customer accounted for approximately 16%, 15%, and 23% of consolidated revenue, respectively[38]. Workforce and Employment - As of December 31, 2024, the company had 1,833 full-time and part-time employees, a decrease from 1,925 employees as of December 31, 2023[61]. - The company’s workforce is distributed with approximately 59% in the Americas, 32% in EMEA, and 9% in APAC, promoting diversity of thought and experiences[64]. - The company’s compensation programs are designed to be competitive and equitable, supporting employees in sharing in the success of the organization[66]. - The company is committed to creating a safe work environment, providing substantial safety training and necessary equipment to reduce significant safety risks[67]. - The company emphasizes a strong safety culture through communication, awareness, and visible leadership[67]. Intellectual Property - The company held 1,247 and 1,381 patents worldwide as of December 31, 2024, and 2023, respectively, with 300 and 350 pending patent applications[47]. Manufacturing and Production - The company completed its work to in-source the manufacturing of multiple printing platforms in 2024, resulting in improved production quality and cost efficiency[40]. Research and Development - The company is engaged in R&D efforts related to regenerative medicine, including the development of transplantable organs using 3D printing technologies[45]. Marketing and Sales Strategy - The company’s marketing strategy includes a direct sales force, channel partners, and appointed distributors across the Americas, EMEA, and APAC regions[35]. - The company’s solutions enable customers to optimize their supply chain, reduce lead times, and minimize environmental impact through localized production[57]. Corporate Governance and Leadership - The executive team includes Jeffrey A. Graves as President and CEO, Jeffrey D. Creech as CFO, and Charles W. Hull as CTO, with ages ranging from 46 to 85[71][72][74]. - Jeffrey D. Creech was appointed CFO in December 2023, previously serving as Senior Director at The Finley Group[72]. - Reji Puthenveetil was promoted to Executive Vice President, Additive Solutions and Chief Commercial Officer in January 2024, overseeing commercial operations for Healthcare and Industrial Solutions[75]. - Phyllis Nordstrom has served as Chief People Officer since August 2021 and was appointed Chief Administrative Officer in December 2022[76]. - Joseph Zuiker has been Executive Vice President of Engineering and Operations since December 2022, previously working at MTS Systems Corporation[77]. - Andrew W. B. Wright became Senior Vice President, General Counsel and Secretary in June 2024, with prior experience at Akoustis Technologies and IBM[78]. Transparency and Reporting - The company provides free access to its Annual Reports and other SEC filings on its website[68]. - Corporate governance materials, including the Code of Conduct and Ethics, are available on the company's website[69]. Sustainability Strategy - The company’s sustainability strategy is organized into four pillars: Empowering Innovation, Evolving the Future of Manufacturing, Advancing Customer Solutions, and Upholding Responsible Business Practices[55].

Revenue Performance - Full-year 2024 revenue was $440.1 million, a decrease of 10% compared to the prior year, primarily due to lower hardware systems sales[12]. - Fourth quarter revenue decreased 3% to $111.0 million, including an $8.7 million reduction from a change in accounting estimate related to the Regenerative Medicine program[6]. - Total revenue for Q4 2024 was $111.024 million, a decrease of 3.2% from $114.848 million in Q4 2023[32]. - For the full year 2024, total revenue was $440.1 million, down 9.8% from $488.1 million in 2023[39]. Segment Performance - Healthcare Solutions revenue decreased 21% to $40.4 million in Q4 2024, while Industrial Solutions revenue increased 11% to $70.7 million[7][8]. - Healthcare Solutions revenue declined by 21.1% year-over-year to $40.4 million, while Industrial Solutions revenue increased by 11.0% to $70.7 million[38]. Profitability and Loss - Gross profit margin for Q4 2024 was 31.0%, down from 38.3% in the same period last year, primarily due to accounting estimate changes[9]. - Gross profit for Q4 2024 was $34.445 million, down 21.6% from $43.957 million in Q4 2023[32]. - Net loss attributable to 3D Systems improved by $259.0 million to a loss of $33.7 million in Q4 2024 compared to the prior year[10]. - The company reported a net loss of $33.7 million for Q4 2024, an improvement from a net loss of $292.7 million in Q4 2023[43]. - Adjusted EBITDA for Q4 2024 was a loss of $19.1 million, a decrease of $5.1 million from the same period last year[11]. - Adjusted EBITDA for Q4 2024 was $(19.1) million, compared to $(14.0) million in Q4 2023[43]. - Diluted loss per share for Q4 2024 was $(0.25), significantly better than $(2.25) in Q4 2023[45]. Cost Management and Initiatives - The company announced a new cost reduction initiative expected to deliver over $50 million in annualized savings throughout 2025 and the first half of 2026[4]. - Non-GAAP operating expenses for Q4 2024 were $58.4 million, a decrease from $65.4 million in Q4 2023[41]. - Stock-based compensation expenses for the year ended December 31, 2024, were $18.457 million, compared to $23.504 million in 2023[34]. Cash and Balance Sheet - Cash and cash equivalents totaled $171 million as of December 31, 2024, with total debt of $212 million[16]. - Cash and cash equivalents decreased to $171.324 million as of December 31, 2024, from $331.525 million as of December 31, 2023, representing a decline of 48.3%[30]. - Total assets decreased to $608.846 million in 2024 from $990.660 million in 2023, a reduction of 38.5%[30]. - Total liabilities decreased to $430.695 million in 2024 from $561.901 million in 2023, a decline of 23.3%[30]. - The sale of the Geomagic software platform for $123 million is expected to close in early April 2025, further strengthening the balance sheet[4]. Future Outlook - The 2025 outlook includes revenue guidance of $420 million to $435 million, reflecting flat to modest growth, and an expectation of break-even or better adjusted EBITDA in Q4 2025[18]. - The company plans to focus on market expansion and new product development to drive future growth[39]. Research and Development - Research and development expenses for the year ended December 31, 2024, were $86.479 million, down from $89.466 million in 2023[32]. Asset Management - Asset impairment charges for the year were $145.0 million, down from $304.4 million in 2023, indicating improved asset management[41]. General Guidance - The company does not provide forward-looking guidance for certain measures on a GAAP basis due to the inherent uncertainty of various factors[25].

Core Insights - 3D Systems Corporation reported a decrease in revenue for both the fourth quarter and full year 2024, with total revenue of $440.1 million, down 10% from the previous year [4][12] - The company experienced a net loss of $255.6 million for the full year, an improvement of $107.1 million compared to the prior year [14] - A new cost reduction initiative is expected to deliver over $50 million in annualized savings, with a focus on improving operating efficiencies [4][5] Financial Performance - Fourth quarter revenue decreased by 3% to $111.0 million, including an $8.7 million reduction due to a change in accounting estimates related to the Regenerative Medicine program [6][10] - Gross profit margin for Q4 2024 was 31.0%, down from 38.3% in Q4 2023, primarily due to accounting estimate changes [8][40] - Full-year gross profit margin was 37.3%, compared to 40.2% in the prior year, reflecting similar challenges [13][41] Segment Performance - Healthcare Solutions revenue decreased by 21% to $40.4 million in Q4 2024, while Industrial Solutions revenue increased by 11% to $70.7 million [6][7][39] - For the full year, Healthcare Solutions revenue was $189.7 million, down 11%, and Industrial Solutions revenue was $250.4 million, down 9% [12][39] Operational Highlights - The company launched numerous new products in 2024, maintaining R&D investment despite challenging market conditions [5] - A significant contract in the dental market was secured, enhancing the company's leadership position [5] - The company anticipates a return to flat to modest organic growth in 2025, with progressive cost reductions expected to strengthen EBITDA performance [4][18] Balance Sheet and Cash Flow - As of December 31, 2024, cash and cash equivalents totaled $171 million, a decrease of $160.2 million from the previous year [15] - The company has total debt of $212 million, net of deferred financing costs [15] - Proceeds from the anticipated sale of the Geomagic software platform for $123 million are expected to further strengthen the balance sheet [4][5]