Markforged (US:MKFG)2021-11-11 00:47Financial Data and Key Metrics Changes - The company achieved revenue of $24 million in Q3 2021, representing a 54% year-over-year growth compared to $15.6 million in Q3 2020 [21][31] - Gross profit increased by 47.2% year-over-year to $13.7 million, with a gross margin of 57%, down from 59.6% in the same quarter last year [32][33] - Operating expenses for Q3 were $33.9 million, with adjusted operating expenses of $27.8 million after accounting for stock-based compensation [35][36] - Adjusted EBITDA for Q3 was a loss of $11.6 million, equating to $0.06 per share based on 186 million shares outstanding [38][39] Business Line Data and Key Metrics Changes - Hardware sales increased by 58.4% year-over-year, contributing to overall revenue growth [31] - Research and development expenses rose by 134.5% year-over-year to $9.5 million, reflecting a strong commitment to innovation [37] Market Data and Key Metrics Changes - The company reported strong performance across all geographic regions despite global supply chain disruptions [21][31] - The Digital Forge platform is positioned to address supply chain challenges by enabling on-demand part production [20] Company Strategy and Development Direction - The company aims to reinvent manufacturing by enabling customers to print mission-critical industrial applications at the point of need [10][11] - New product releases, such as the FX20 printer and aerospace-ready composite materials, are expected to expand the addressable market [28][26] - The introduction of Eiger Fleet software is designed to enhance the management of multiple printers for large customers [23][57] Management's Comments on Operating Environment and Future Outlook - Management noted that the COVID-19 pandemic has accelerated demand for their solutions as companies seek to build more resilient supply chains [20][66] - There is cautious optimism regarding gross margins, with expectations that they will remain strong despite ongoing supply chain pressures [59][60] Other Important Information - The company has grown its workforce to 361 employees, focusing on engineering to accelerate product development [27] - The FX20 printer is anticipated to significantly increase the addressable market for larger and higher volume production parts [29] Q&A Session Summary Question: FX20 capabilities and competition - The FX20 will support ULTEM, Onyx, and Continuous Fibers, enhancing its competitive edge against Stratasys [47] Question: Large customer orders and Eiger Fleet - The company confirmed that many customers are purchasing multiple machines, driven by the capabilities of the Eiger Fleet software [56][57] Question: Impact of global supply chain constraints - Management observed a change in customer behavior, with increased urgency in orders as companies seek to mitigate supply chain risks [66] Question: Industry-specific interest - The company noted strong interest across various industries, particularly from those unable to procure traditional manufacturing solutions [72][75] Question: Guidance on gross margins for 2022 - Management indicated that while there are challenges, they remain optimistic about maintaining strong gross margins in the medium to long term [78]