3D Systems(US:DDD)2025-05-12 21:06Revenue Performance - Revenue for Q1 2025 decreased by 8% to $94.5 million compared to $102.9 million in Q1 2024, primarily due to lower materials sales[7]. - Total revenue for the three months ended March 31, 2025, was $94.54 million, a decrease of 8.1% from $102.91 million in the same period of 2024[19]. - Product revenue decreased to $54.72 million from $64.05 million, while service revenue increased slightly to $39.82 million from $38.85 million[19]. - Healthcare Solutions revenue decreased by 9% to $41.3 million, while Industrial Solutions revenue decreased by 7% to $53.2 million compared to the prior year[8]. Profitability and Loss - Gross profit margin for Q1 2025 was 34.6%, down from 39.8% in the same period last year, reflecting lower volumes and unfavorable price and mix[9]. - Gross profit for the period was $32.69 million, down 20.1% from $40.92 million year-over-year[19]. - Net loss attributable to 3D Systems increased to $37.0 million in Q1 2025, a $21.0 million increase from the prior year[10]. - The net loss attributable to 3D Systems Corporation was $36.99 million, compared to a net loss of $16.00 million in the same quarter of 2024, representing a 131.2% increase in loss[19]. - Adjusted EBITDA for Q1 2025 was $(23.9) million, worsening from $(20.1) million in Q1 2024[34]. Cost Management - The company is implementing a $20 million cost reduction initiative in 2025 to align with current demand and macroeconomic risks[4]. - Operating expenses totaled $69.45 million, a reduction of 13.9% compared to $80.78 million in the prior year[19]. - Non-GAAP operating expenses were $61.60 million, down from $66.30 million year-over-year[33]. Cash and Liquidity - Cash and cash equivalents totaled $135.0 million as of March 31, 2025, a decrease of $36.3 million since December 31, 2024[12]. - Cash, cash equivalents, and restricted cash at the end of the period were $136.21 million, a decrease from $213.61 million at the end of the same period in 2024[21]. - The company reported a net cash used in operating activities of $33.79 million, compared to $25.55 million in the prior year[21]. - The balance sheet was strengthened by the sale of the Geomagic portfolio, adding over $100 million to cash reserves, totaling approximately $250 million as of April 30, 2025[4]. Guidance and Future Outlook - The company has withdrawn its full-year guidance for 2025 due to anticipated weakness in customer capital investment spending[11]. - 3D Systems does not provide forward-looking guidance for certain measures on a GAAP basis due to the unpredictability of certain costs[31]. Shareholder Metrics - Diluted loss per share (GAAP) for Q1 2025 was $(0.28), compared to $(0.12) in Q1 2024[35]. - Non-GAAP diluted loss per share for Q1 2025 was $(0.21), compared to $(0.17) in Q1 2024[35]. - Stock-based compensation expense for Q1 2025 was $4.2 million, down from $8.2 million in Q1 2024[34]. - Legal and other expenses in Q1 2025 amounted to $1.1 million, compared to $4.2 million in Q1 2024[34]. - Restructuring expenses were recorded at $1.0 million in Q1 2025, with no such expenses in Q1 2024[34]. Other Financial Metrics - Interest income for Q1 2025 was $(0.4) million, a decrease from $(2.1) million in Q1 2024[34]. - Depreciation expense for Q1 2025 was $4.7 million, slightly down from $5.0 million in Q1 2024[34]. - Amortization expense decreased to $1.0 million in Q1 2025 from $2.3 million in Q1 2024[34].