3D Systems Corporation announced today its financial results for the third quarter and nine months ended September 30, 2015.
For the third quarter of 2015, the company reported revenue of $151.6 million, a decrease of 9% over the comparable quarter in 2014, or a 3% decrease on a constant currency basis. The company reported a GAAP loss of $0.29 per share and non-GAAP earnings of $0.01 per share.
"We are disappointed with our overall results and the lower revenue from our 3D printing products and services, which we believe were negatively impacted by continued challenging market conditions that extended customers' capital investment cycles and reduced demand across all geographies," commented Andrew Johnson, Interim President & Chief Executive Officer and Chief Legal Officer, 3D Systems. "However, we are pleased that our 3D healthcare simulators and services and 3D software contributed favorably to our results."
Gross profit margin decreased 90 basis points compared to the third quarter of 2014 to 46.9% due primarily to the negative impact of consumer products.
For the third quarter of 2015, operating expenses remained flat sequentially at $105.7 million, inclusive of $22.5 million of R&D expenditures and an $11.3 million expense for an arbitration award related to a business acquisition completed in 2011.
The company reported a third quarter GAAP net loss of $32.2 million, or a $0.29 loss per share. The company reported non-GAAP net income of $0.8 million, or $0.01 earnings per share.
The company used $4.3 million of cash for operations during the quarter and had $157.5 million of cash on hand at the end of September.
For the first nine months of 2015, revenue grew 4% to $482.8 million, or a 12% increase on a constant currency basis, resulting in a GAAP loss of $0.53 per share and non-GAAP earnings of $0.08 per share.
"As we navigate challenging market conditions, we are taking decisive steps to reduce our cost structure and better prioritize our resources around near-term opportunities while continuing investments in quality initiatives, partner-centric programs and new products," concluded Johnson.
The company is focusing on leveraging its domain expertise in key verticals into new products and partnerships that it believes could drive incremental adoption. Recently, the company has:
- Expanded its healthcare reach with new modules for cardiology training and surgical planning and partnered with MirrorMe3D to bring 3D printing to cosmetic surgery;
- Expanded its partnerships with Phillips Corporation, U.S. Army Research Lab and Pennsylvania State University, to advance material and process developments, including critical defense and aerospace applications;
- Added Methods Machine Tools, a leading supplier of precision machine tools and automation for manufacturing, as a channel partner;
- Partnered with GPI Prototype & Manufacturing Services to expand use cases for its Direct Metal Printers;
- Introduced Nylon material and Infinity™ Rinse-Away water soluble support material for its desktop 3D printers; and
- Introduced the next generation of GibbsCam Software for production machining.
