3D Systems, Rock Hill, South Carolina, USA, has announced its financial results for the third quarter ending September 30, 2022. Revenue decreased 15.3% compared to Q3 2021; Q3 non-GAAP revenue – exclusive divestitures and a constant currency basis – increased 2.7%. This growth is said to reflect demand in the industrial and healthcare sectors, despite supply chain and macroeconomic challenges and lower sales in the dental industry. Cash and short-term of investments of $609.4 million are said to put the company in a good position for future growth investments.
“Our third quarter results were consistent with our recent expectations,” stated Dr Jeffrey Graves, president and CEO. “We are seeing steady demand for our industry-leading suite of Additive Manufacturing solutions in core end markets such as energy, commercial space, precision micro-castings, and medical devices.”
“Regarding our broader business,” Graves continued, “recent actions we have taken to control operating costs and to streamline our manufacturing and inventory management processes had a positive impact on the company’s profitability metrics during the third quarter. These actions are allowing us to better navigate ongoing supply chain pressures and more efficiently deliver Additive Manufacturing solutions that solve our customers’ most challenging production needs.”
3D Systems has noted that it is updating its FY 2022 guidance to significantly tighten the revenue range and to improve the outlook for reduced non-GAAP operating expenses. These changes are based on improved visibility into likely revenue performance during the fourth quarter of 2022, as well the anticipated impact of cost-efficiency actions.
“Although the challenging macro environment has led to slower growth in certain key end-markets such as dental, I am confident that the long-term fundamentals remain very positive for Additive Manufacturing, in general, and for 3D Systems in particular,” Dr Graves added. “Our focus on operational execution to capitalise on our past investments remains our highest priority, while our strong balance sheet positions us well to continue investing in high margin, high growth areas of our businesses.”
“With new opportunities for large-scale adoption of Additive Manufacturing opening before us, and entirely new markets being created in bioprinting, we believe we are very well positioned to deliver on our commitment to become a $1 billion revenue company in five years.”