Stratasys Ltd., a leader in polymer 3D printing solutions, announced financial results for the fourth quarter and full year 2024.
Dr. Yoav Zeif, Stratasys’ Chief Executive Officer, stated, “In 2024 and early 2025, we took several key steps to enhance our leadership and strengthen our position at the forefront of additive manufacturing. We also successfully expanded our adjusted gross margin by 100 basis points, delivered net profitability on an adjusted basis, and generated positive operating cash flow in 2024 with increased cash flow expected in 2025, demonstrating the resilience of our operating model. We took decisive actions to optimize our business while maintaining our ability to scale rapidly as conditions improve. We are pleased to have right-sized the Company and demonstrated the resilience of our operating model and effectiveness of our team.”
Dr. Zeif continued, “Continuing strong customer engagement reaffirms our expectations that once spending constraints ease, adoption rates will accelerate and we will return to growth and generate increased profits. Our healthy balance sheet of $150.7 million in cash, cash equivalents and short-term deposits, with no debt, provides stability and optionality to support our growth. We look forward to closing the $120 million investment from Fortissimo Capital that will further bolster our already robust position to help drive our future growth.”
Summary - Fourth Quarter 2024 Financial Results Compared to Fourth Quarter 2023:
- Revenue of $150.4 million compared to $156.3 million.
- GAAP gross margin of 46.3%, compared to 44.7%.
- Non-GAAP gross margin of 49.6%, compared to 48.8%.
- GAAP operating loss of $9.7 million, compared to operating income of $5.7 million.
- Non-GAAP operating income of $9.4 million, compared to operating income of $2.0 million.
- GAAP net loss of $41.9 million, or $0.59 per diluted share, compared to a net loss of $15.0 million, or $0.22 per diluted share.
- Non-GAAP net income of $8.5 million, or $0.12 per diluted share, compared to net income of $1.6 million, or $0.02 per diluted share.
- Adjusted EBITDA of $14.5 million, compared to $7.7 million.
- Cash provided by operating activities of $7.4 million, compared to cash used in operations of $7.7 million.
Summary - 2024 Financial Results Compared to 2023:
- Revenue of $572.5 million compared to $627.6 million.
- GAAP gross margin of 44.9%, compared to 42.5%.
- Non-GAAP gross margin of 49.2%, compared to 48.2%.
- GAAP operating loss of $85.7 million, compared to an operating loss of $87.6 million.
- Non-GAAP operating income of $4.9 million, compared to operating income of $12.6 million.
- GAAP net loss of $120.3 million, or $1.70 per diluted share, compared to a loss of $123.1 million, or $1.79 per diluted share.
- Non-GAAP net income of $4.2 million, or $0.06 per diluted share, compared to net income of $7.7 million, or $0.11 per diluted share.
- Adjusted EBITDA of $26.0 million, compared to $35.0 million.
- Cash generated by operating activities of $7.8 million, compared to cash used in operations of $61.6 million.
Financial Outlook:
Based on current market conditions and assuming that the impacts of global inflationary pressures, relatively high interest rates and supply chain costs do not impede economic activity further, the Company is providing the following outlook for 2025:
- Full year revenue of $570 million to $585 million, improving sequentially through the year.
- Based on current logistics and materials costs, full year non-GAAP gross margins of 48.8%-49.2%, improving sequentially through the year.
- Full year operating expenses in a range of $254 million to $257 million.
- Full year non-GAAP operating margins in a range of 4.0% to 5.0%.
- GAAP net loss of $68 million to $53 million, or ($0.93) to ($0.72) per diluted share.
- Non-GAAP net income of $20 million to $26 million, or $0.28 to $0.35 per diluted share.
- Adjusted EBITDA of $44.0 million to $50.0 million, reflecting Adjusted EBITDA margin of 7.8% to 8.5%.
- Capital expenditures of $25 million to $30 million.
- Expects to generate improved operating and free cashflow, at higher levels than in 2024.
- Expects Fortissimo Capital investment to close in the second quarter 2025.
Appropriate reconciliations between our historical GAAP and non-GAAP financial measures, as well as between the GAAP and non-GAAP financial measures included in our financial outlook for 2025, are provided in the tables at the end of our press release and slide presentation, with itemized detail concerning the non-GAAP financial measures. We have not included, however, a reconciliation of our guidance for non-GAAP gross margins to the most directly comparable GAAP financial measure, as we are unable to do so without unreasonable effort or with reasonable certainty from a quantitative perspective.
Stratasys Ltd. Fourth Quarter 2024 Webcast and Conference Call Details
The Company plans to webcast its conference call to discuss its fourth quarter and full-year 2024 financial results on Wednesday, March 5, 2025, at 8:30 a.m. (ET).
The investor conference call will be available via live webcast on the Stratasys Web site at investors.stratasys.com, or directly at the following web address:
https://event.choruscall.com/mediaframe/webcast.html?webcastid=NYpcz3qp
To participate by telephone, the U.S. toll-free number is 877-407-0619 and the international dial-in is +1-412-902-1012. Investors are advised to dial into the call at least ten minutes prior to the call to register. The webcast will be available for six months at investors.stratasys.com, or by accessing the above-provided web address.
