We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
3D Systems Q4 Earnings & Revenues Miss Estimates, Stock Falls
Read MoreHide Full Article
3D Systems (DDD - Free Report) reported a non-GAAP loss of 19 cents per share in the fourth quarter of 2024, wider than the Zacks Consensus Estimate of a loss of 11 cents. The company registered earnings of 13 cents per share in the year-ago quarter.
The results negatively impacted investor sentiment, leading to a 2.21% drop in the company's share price in the pre-market trading on March 27.
DDD reported revenues of $111 million for the fourth quarter of 2024, down 3.3% year over year. The top line also missed the Zacks Consensus Estimate by 3.86%.
3D Systems Corporation Price, Consensus and EPS Surprise
The performance was impacted by an $8.7 million reduction due to a change in accounting estimates related to the refinement of milestone recognition criteria in the Regenerative Medicine program.
Product revenues declined 5.8% year over year to $70.4 million in the fourth quarter, contributing 63.4% to total revenues.
Services revenues, which accounted for 36.6% of total revenues, declined 1.3% year over year to $40.6 million.
DDD’s Quarterly Details
The company operates through two key segments — Healthcare Solutions and Industrial Solutions — tailored to the diverse industries it serves. Healthcare Solutions focuses on dental, medical devices, personalized health services and regenerative medicine, whereas Industrial Solutions caters to aerospace, defense, transportation and general manufacturing.
In the fourth quarter, Healthcare Solutions' revenues decreased 21% year over year to $40.4 million.
Industrial Solutions revenues increased 11% year over year to $70.7 million. The rise was driven by a healthy uptick in the sale of new industrial printer systems and global services and the launch of products across the industrial markets.
3D Systems' Industrial business continues to showcase its strategic advancements, with its collaboration with Daimler Truck highlighting the significant cost-saving potential of integrating digital rights management with on-demand localized printing. By leveraging Oqton’s workflow management platform for critical spare parts, the company is tapping into a rapidly growing market, which is projected to reach $8 billion for trucks by 2027.
DDD’s non-GAAP gross profit fell 24.2% year over year to $34.7 million. The non-GAAP gross profit margin declined 860 basis points to 31.3% due to a change in accounting estimates related to the refinement of milestone recognition criteria within the Regenerative Medicine program and unfavorable manufacturing variances.
Adjusted EBITDA fell $5.1 million year over year to a loss of $19.1 million in the fourth quarter. The downturn was led by lower revenues and reduced margins due to a change in accounting estimates related to the refinement of milestone recognition criteria in the Regenerative Medicine program.
3D Systems’ Balance Sheet
As of Dec. 31, 2024, cash and cash equivalents were $171.3 million, lower than $190 million as of Sept. 30, 2024. This $18.7-million decline in the fourth quarter primarily resulted from the repurchase of convertible notes due November 2026 of $87.2 million, cash used in operations, and capital expenditure.
As of Dec. 31, 2024, DDD had a total debt of $212 million, slightly up from $211.7 million as of Sept. 30, 2024.
3D Systems plans to sell its Geomagic software platform for $123 million, with the deal expected to close in early April 2025. The divestiture is aimed at strengthening the company’s balance sheet and enhancing financial flexibility.
DDD’s 2025 Guidance
For 2025, the company expects revenues between $440 million and $450 million, representing flat to modest growth.
The non-GAAP gross profit margin for 2024 is likely to be 37-39%.
Zacks Rank & Stocks to Consider
Currently, 3D Systems carries a Zacks Rank #3 (Hold).
Image: Bigstock
3D Systems Q4 Earnings & Revenues Miss Estimates, Stock Falls
3D Systems (DDD - Free Report) reported a non-GAAP loss of 19 cents per share in the fourth quarter of 2024, wider than the Zacks Consensus Estimate of a loss of 11 cents. The company registered earnings of 13 cents per share in the year-ago quarter.
Find the latest EPS estimates and surprises on Zacks Earnings Calendar.
The results negatively impacted investor sentiment, leading to a 2.21% drop in the company's share price in the pre-market trading on March 27.
DDD reported revenues of $111 million for the fourth quarter of 2024, down 3.3% year over year. The top line also missed the Zacks Consensus Estimate by 3.86%.
3D Systems Corporation Price, Consensus and EPS Surprise
3D Systems Corporation price-consensus-eps-surprise-chart | 3D Systems Corporation Quote
The performance was impacted by an $8.7 million reduction due to a change in accounting estimates related to the refinement of milestone recognition criteria in the Regenerative Medicine program.
Product revenues declined 5.8% year over year to $70.4 million in the fourth quarter, contributing 63.4% to total revenues.
Services revenues, which accounted for 36.6% of total revenues, declined 1.3% year over year to $40.6 million.
DDD’s Quarterly Details
The company operates through two key segments — Healthcare Solutions and Industrial Solutions — tailored to the diverse industries it serves. Healthcare Solutions focuses on dental, medical devices, personalized health services and regenerative medicine, whereas Industrial Solutions caters to aerospace, defense, transportation and general manufacturing.
In the fourth quarter, Healthcare Solutions' revenues decreased 21% year over year to $40.4 million.
Industrial Solutions revenues increased 11% year over year to $70.7 million. The rise was driven by a healthy uptick in the sale of new industrial printer systems and global services and the launch of products across the industrial markets.
3D Systems' Industrial business continues to showcase its strategic advancements, with its collaboration with Daimler Truck highlighting the significant cost-saving potential of integrating digital rights management with on-demand localized printing. By leveraging Oqton’s workflow management platform for critical spare parts, the company is tapping into a rapidly growing market, which is projected to reach $8 billion for trucks by 2027.
DDD’s non-GAAP gross profit fell 24.2% year over year to $34.7 million. The non-GAAP gross profit margin declined 860 basis points to 31.3% due to a change in accounting estimates related to the refinement of milestone recognition criteria within the Regenerative Medicine program and unfavorable manufacturing variances.
Adjusted EBITDA fell $5.1 million year over year to a loss of $19.1 million in the fourth quarter. The downturn was led by lower revenues and reduced margins due to a change in accounting estimates related to the refinement of milestone recognition criteria in the Regenerative Medicine program.
3D Systems’ Balance Sheet
As of Dec. 31, 2024, cash and cash equivalents were $171.3 million, lower than $190 million as of Sept. 30, 2024. This $18.7-million decline in the fourth quarter primarily resulted from the repurchase of convertible notes due November 2026 of $87.2 million, cash used in operations, and capital expenditure.
As of Dec. 31, 2024, DDD had a total debt of $212 million, slightly up from $211.7 million as of Sept. 30, 2024.
3D Systems plans to sell its Geomagic software platform for $123 million, with the deal expected to close in early April 2025. The divestiture is aimed at strengthening the company’s balance sheet and enhancing financial flexibility.
DDD’s 2025 Guidance
For 2025, the company expects revenues between $440 million and $450 million, representing flat to modest growth.
The non-GAAP gross profit margin for 2024 is likely to be 37-39%.
Zacks Rank & Stocks to Consider
Currently, 3D Systems carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the Industrial Products sector are Applied Industrial Technologies (AIT - Free Report) , Dover (DOV - Free Report) and Allegion (ALLE - Free Report) , each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The long-term earnings growth rates for AIT, DOV and ALLE are pegged at 7.91%, 11.15% and 4.12%, respectively.