3D Systems(US:DDD)2025-05-12 21:12Revenue and Profitability - For the three months ended March 31, 2025, revenue decreased by $8.4 million, or 8.1%, to $94.54 million compared to $102.91 million for the same period in 2024[120] - Product revenue declined by $9.3 million, primarily due to lower materials volume in the dental, service bureaus, and jewelry markets, while service revenue increased by $1.0 million[120] - Gross profit decreased by $8.2 million, or 20.1%, to $32.69 million for the three months ended March 31, 2025, compared to $40.92 million for the same period in 2024[122] - The Company reported a loss from operations of $36.76 million for the three months ended March 31, 2025, compared to a loss of $39.86 million for the same period in 2024, reflecting an improvement of $3.1 million[117] - Gross profit fell by $7.3 million, or 30.4%, to $16.7 million for the three months ended March 31, 2025, primarily due to unfavorable price and mix and lower sales volumes[129] Expenses - Selling, general and administrative expenses (SG&A) decreased by $7.5 million, or 13.1%, to $49.77 million for the three months ended March 31, 2025[123] - Research and development expenses (R&D) decreased by $3.8 million, or 16.2%, to $19.68 million for the three months ended March 31, 2025[123] Cash Flow and Liquidity - Cash and cash equivalents decreased by $36.3 million, or 21.2%, to $135.0 million as of March 31, 2025, primarily due to cash used in operations[138] - Cash flow used in operating activities increased by $8.2 million to $33.8 million for the three months ended March 31, 2025, compared to the same period in 2024[142] - The aggregate changes in trade accounts receivable, inventory, and trade accounts payable used $5.9 million of cash during the three months ended March 31, 2025, compared to $11.1 million in the prior year[145] - Operating working capital decreased by $30.6 million, or 10.4%, to $263.9 million as of March 31, 2025, compared to December 31, 2024[136] - Cash held outside the U.S. was $58.2 million, or 43.1% of total cash and cash equivalents, as of March 31, 2025, compared to $63.8 million, or 37.3%, at December 31, 2024[139] Restructuring and Business Changes - The Company expects to incur approximately $12 million to $20 million in pre-tax restructuring costs by the end of the second fiscal quarter of 2026[109] - The Company completed the sale of its Geomagic software business for $119.4 million in cash, with an estimated pre-tax gain of $125.3 million expected in Q2 2025[112] - The 2025 Restructuring Plan aims to deliver sustainable growth and profitability through streamlining infrastructure and business processes[108] Market and Accounting Considerations - Total non-operating income decreased by $24.0 million to $1.4 million for the three months ended March 31, 2025, compared to $25.4 million in the prior year[130] - The remaining goodwill assigned to the Healthcare reporting unit may be subject to impairment if there is a decrease in its estimated fair value or an increase in its carrying value[157] - There have been no material changes to critical accounting estimates as described in the 2024 Annual Report on Form 10-K[158] - No material changes or developments have occurred that would alter the market risk assessment performed as of December 31, 2024[159]