ARC Group Worldwide, Inc. reports first quarter results
ARC Group Worldwide, Inc., a leading global provider of advanced Additive manufacturing and Metal Injection Molding solutions, has reported its first quarter fiscal year 2016 results. Fiscal first quarter revenue was $24.5 million, a decrease of 14.7% compared to the prior year period. The decrease was due to lower sales to European automotive customers and delayed US product launches, as well as macro and customer attrition issues. At the same time, 3DMT Group reported record metal Additive Manufacturing revenue during the first fiscal quarter.
EBITDA for the fiscal year first quarter was $2.6 million, a decrease of 27.1% compared to the prior year period. EBITDA margin decreased to 10.8%, from 12.6% in the prior year period, primarily related to lower plant level utilisation. The company stated that while near term headwinds remain, the management is optimistic about the medium to long term forecast for the company.
ARC has also announced that it has hired Stuart Gold in a newly created position as Executive Vice President of Global Sales & Marketing. Gold, stated the company, brings a strong track record of success in sales and marketing, most recently at a private equity-backed educational technology company, as well as previous leadership roles in sales and marketing at companies such as Cendant, Cisco and Microsoft. Jason Young, Chairman and CEO, commented, “While we were disappointed in the performance of the business in the first fiscal quarter, we remain optimistic about the future of ARC. Driving sales is an important focus for the Company and we are excited to have Mr. Gold join ARC to lead that effort.”
