- 3D Systems (NYSE:DDD) expects Q3 revenue of $164M-$169M and EPS of $0.16-$0.19, below a consensus of $186M and $0.21. Full-year guidance is now for revenue of $650M-$690M and EPS of $0.70-$0.80, mostly below a consensus of $707.6M and $0.78.
- Gross margin is expected to be flat Q/Q, as higher materials and Quickparts margins are offset by volume and mix changes, as well as manufacturing start-up costs. GM fell 370 bps Q/Q in Q2.
- The company blames the Q3 outlook on manufacturing constraints for direct metal printers, and the delayed availability of new consumer products. CEO Avi Reichenthal: "While we worked very hard to deliver these products sooner, achieving manufacturing scale, quality and user experience targets took significantly longer than we had anticipated."
- Stratasys (SSYS -2.6%), Voxeljet (VJET -2.4%), and Camtek (CAMT -2.1%) are also trading lower. 3D's warning comes three months after the company tumbled on account of a Q2 miss. A slew of analysts have been making the case Stratasys is a better 3D printing play.