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3D Systems Corp. (DDD)

  • Thu, Aug. 6, 10:49 AM
    • After opening moderately higher in the wake of its Q2 miss, 3D Systems (NYSE:DDD) has surged above $14. Equally-beaten-down peers Stratasys (SSYS +9.1%), ExOne (XONE +6.5%), and Voxeljet (VJET +6.5%) are also up strongly.
    • 3D is still down 57% YTD, and over 85% from its early-2014 highs. With 36.4M shares (34% of the float) shorted as of July 15, profit-taking by shorts could be fueling today's gains.
    • 3D's Q2 results, details
    | Thu, Aug. 6, 10:49 AM | 7 Comments
  • Thu, Aug. 6, 9:21 AM
    • As was the case with its Q1 report, 3D Systems (NYSE:DDD) has declined to provide guidance to go with its Q2 results. Last time around, the company said it would offer guidance "when management has more clarity that sector conditions have stabilized."
    • Top-line performance: While reported Q2 revenue growth was 13%, organic growth (excludes M&A) was -5% (+2% exc. forex), On a reported basis, Americas revenue rose 15% and EMEA 25%, Asia-Pac fell 9%. Industrial, aerospace, and defense customers are said to have resumed 3D printer purchases.
    • Financials: Gross margin was down 130 bps Q/Q and flat Y/Y at 47.9%. In spite of the top-line pressures, GAAP operating expenses rose 11% Q/Q and 55% Y/Y to $105.5M, thanks partly to M&A integration work. SG&A spend totaled $79.7M, and R&D $25.7M. 3D ended Q2 with $171.2M in cash, and almost no debt.
    • CEO Avi Reichental: "While a period of high growth enabled us to acquire strategic assets and build critical expertise, our rapid expansion permitted certain operating inefficiencies that we are currently addressing. Specifically, we are enhancing the quality of our products and services, accelerating synergy and cost reduction measures, driving process improvements and working closely with our channel partners to improve our sales operations and worldwide coverage."
    • With expectations quite low going into earnings (particularly after Stratasys' numbers), shares have risen to $12.24 premarket.
    • Q2 results, PR
    • Update (11:00AM ET): 3D is now up 19.3%.
    | Thu, Aug. 6, 9:21 AM | 3 Comments
  • Thu, Aug. 6, 8:02 AM
    • 3D Systems (NYSE:DDD): Q2 EPS of $0.03 misses by $0.05.
    • Revenue of $170.5M (+12.5% Y/Y) misses by $2.69M.
    • Shares -0.5% PM.
    • Press Release
    | Thu, Aug. 6, 8:02 AM | 14 Comments
  • Wed, Aug. 5, 5:30 PM
  • Thu, Jul. 30, 9:26 AM
    • Though its Q2 results were in-line, Stratasys (NASDAQ:SSYS) is guiding for Q3 revenue of $175M-$190M and EPS of $0.03-$0.13, below a consensus of $216.5M and $0.47. In addition, the company has withdrawn its full-year guidance, citing "limited visibility regarding the timing of improvements in growth."
    • Stratasys adds it thinks the 3D printing/additive manufacturing industry is "transitioning through a period of slower growth, as users digest their investments in 3D printing and expand the utilization of recently acquired capacity." It also reports seeing Asian macro challenges, while insisting it it remains optimistic about longer-term growth prospects.
    • Key numbers: Q2 product revenue (printers/materials) fell 13% Y/Y to $134.5M, while services revenue rose 96% to $47.8M. Gross margin was 54.7% vs. 54.1% in Q1 and  59.8% a year ago. Operating expenses rose 23% Y/Y to $96.1M. Stratasys ended Q2 with $502.6M in cash, and $175M in short-term debt.
    • Stratasys has fallen to $30.34 premarket. Rival 3D Systems (NYSE:DDD) has fallen to $13.80 ahead of its Aug. 6 Q2 report.
    • Q2 results, PR
    | Thu, Jul. 30, 9:26 AM | 27 Comments
  • Wed, May 6, 9:26 AM
    • 3D Systems' (NYSE:DDD) Q1 results were slightly better than the guidance provided in its April 24 warning. However, citing "marketplace uncertainties," the company is withdrawing its full-year guidance and declining to provide new guidance for now. "Management ... plans to provide an update regarding guidance when management has more clarity that sector conditions have stabilized."
    • The 2015 capex budget is now at $25M (it was previously at 3% of revenue), and 3D plans to "substantially moderate its M&A activities for the remainder of this year." One silver lining: Q2 bookings are above where they were at this point in Q1.
    • While total revenue rose 9% Y/Y in Q1, organic revenue (excludes M&A) fell 7%. Somewhat echoing Stratasys, 3D states forex and "demand weakness attributed to several other macroeconomic factors" hurt printer demand from auto and healthcare customers, and that "certain metal and nylon applications and performance issues delayed its ability to sell additional printers."
    • Segment/regional performance: Product revenue fell 2% to $99.8M; services revenue rose 31% to $60.9M. Direct metal printers (+39%), healthcare revenue (+38%), and consumer revenue (+65% on 169% unit growth) were strong points. Americas revenue (lifted by acquisitions) rose 27%. Thanks in part to forex, EMEA revenue only rose 2%, and Asia-Pac fell 20% (Japan was weak).
    • Financials: Gross margin was 49.2%, up from Q4's 47.9% and down from Q1 2014's 51.1%. GAAP operating expenses rose 46% Y/Y (well above rev. growth) to $96.5M - SG&A spend was $74.3M, and R&D $22.2M. 3D ended March with $200M in cash, and almost no debt.
    • Shares have fallen to $22.86 premarket, making new 52-week lows in the process.
    • Q1 results, PR.
    | Wed, May 6, 9:26 AM | 1 Comment
  • Wed, May 6, 8:01 AM
    • 3D Systems (NYSE:DDD): Q1 EPS of $0.05 beats by $0.01.
    • Revenue of $160.72M (+8.8% Y/Y) misses by $1.06M.
    • Shares +2.07% PM.
    • Press Release
    | Wed, May 6, 8:01 AM | Comment!
  • Tue, May 5, 5:30 PM
  • Tue, Apr. 28, 4:17 PM
    • Stratasys (NASDAQ:SSYS) expects Q1 revenue of $171M-$173M and EPS of $0.02-$0.04, well below a consensus of $198.8M and $0.29. Gross margin is expected to fall by 190 bps Q/Q, large thanks to mix changes.
    • Full-year revenue and EPS guidance is now at $800M-$860M and $1.20-$1.70, below a consensus of $943.1M and $2.10.
    • The warning comes four days after one from 3D Systems, and 3 months after Stratasys issued a Q4 warning and provided soft 2015 guidance. The Q1 shortfall is blamed on lower capital spending in "certain regions and industries" (particularly in North America), an $8.7M forex hit, M&A activity among channel partners, a slower-than-expected Asia-Pac/Japan channel ramp, and slower-than-expected adoption of Stratasys' high-end Connext printers, following the launch of 8 Connect products in 2H14.
    • MakerBot revenue was down 18% Y/Y. A fresh $150M-$200M impairment charge is expected for the unit, which recently launched job cuts.
    • The company plans to immediately cut its operating expenses and capex. It still expects opex to equal 46%-47% of 2015 revenue. The 2015 capex budget is now at $80M-$110M. Full Q1 results arrive on May 11.
    • While Stratasys is halted for now, 3D Systems (NYSE:DDD) has fallen to $25.00 in AH trading.
    • Update (6:35PM ET): Shares are down 17.6% AH after resuming trading.
    | Tue, Apr. 28, 4:17 PM | 6 Comments
  • Fri, Apr. 24, 8:43 AM
    • Oppenheimer comments on 3D Systems Q1 earnings pre-announcement:
    • "3D Systems pre-announced dismal 1Q15 results, and will host an 8:30 a.m. EDT call today to discuss further.
    • "The gist is that sales were weak again, and as in past quarters, the reasons endlessly shift. Not all has gone wrong, but for every encouraging item over the last two or three quarters, two or three bad ones (and never the same bad ones!) keep popping up, undermining confidence in management and the story. This clearly constitutes a deep disappointment."
    • DDD now -11.3% premarket.
    • Previously: 3D Systems warns on weak Q1, blurry FY outlook, shares -14% (Apr. 24)
    | Fri, Apr. 24, 8:43 AM | 21 Comments
  • Fri, Apr. 24, 8:10 AM
    • 3D Systems (NYSE:DDD) sees Q1 EPS of $0.02-0.04, vs. consensus $0.17.
    • Sees Q1 revenue of $158-160M, vs. consensus $182.78M.
    • "We were surprised and disappointed by the abrupt interruption in customer demand late in the quarter from several economic factors that we believe caused our industrial customers to defer their planned investments.
    • "We believe the combination of our expanding international business and growing concentration of manufacturing customers made us more vulnerable to the steep currencies decline relative to the U.S. dollar and the aftermath of lower oil prices that curbed aerospace and automotive expenditures.
    • "Several weeks into the second quarter, bookings are ahead of the same period in the first quarter. Specifically, OEMs that paused to assess their own exposure to foreign currency and macroeconomic impacts are beginning to resume their capital investments and are making the purchases they deferred during the first quarter.
    • "Given current uncertainties from continued macroeconomic pressures and foreign currency headwinds, management is undertaking a comprehensive evaluation of its full year guidance and plans to update investors during its scheduled first quarter 2015 earnings conference call on May 6, 2015.
    • "While the current economic climate disrupted our planned cadence for 2015, we believe that the fundamentals of our business and the strength of our portfolio remained intact. We are encouraged by the overall strengthening of our order patterns thus far during the second quarter and are accelerating our planned integration, productivity and efficiency measures without impairing future growth."
    • DDD -14% premarket.
    • Source: Press Release
    | Fri, Apr. 24, 8:10 AM | 6 Comments
  • Mon, Mar. 2, 9:44 AM
    • Stratasys' (NASDAQ:SSYS) Q4 revenue was slightly above the guidance implied by its Feb. 2 warning, and EPS in-line. The company is reiterating the 2015 revenue and EPS guidance provided in the warning - $940M-$960M and $2.07-$2.24, respectively - as well as expectations 2015 EPS will be "derived disproportionately" from 2H15. Long-term growth/margin targets are also reiterated.
    • Q4 product revenue (hurt by MakerBot pressures) +25% Y/Y to $168.6M, a notable slowdown from Q3's 48%. Services revenue +141% to $48.5M, after growing 145% in Q3. 11,214 3D printing/additive manufacturing systems were sold, and MakerBot revenue totaled $26.6M.
    • Gross margin was 56%, down from 58.3% in Q3 and 60.2% a year ago. SG&A spend +61% Y/Y to $75.3M; R&D +38% to $23.2M.
    • 3D Systems (NYSE:DDD) is following Stratasys higher. This morning, 3D announced it has added Henry Schein (NASDAQ:HSIC), the top provider of healthcare products/services to office-based dental, animal health, and medical practitioners, as a distributor. Henry Schein will resell 3D's ProJet 1200 and 3510 3D printer lines to dental lab customers.
    • Stratasys' Q4 results, PR
    | Mon, Mar. 2, 9:44 AM | Comment!
  • Thu, Feb. 26, 9:51 AM
    • Though it missed Q4 estimates, 3D Systems (DDD +1.5%) is guiding for 2015 revenue of $850M-$900M and EPS of $0.90-$1.10, in-line with a consensus of $873.2M and $1.02.
    • Also: Capex is expected to remain at 3% of revenue, and M&A activity (very aggressive in recent years) is expected to "moderate" as 3D "decisively shifts its focus towards leveraging recently acquired assets to generate greater profitability progressively throughout 2015."
    • 3D does note its sales are pressured by "delayed new products and gaps in its North American channel performance," and that it "may take several periods" to address the issue. It adds forex is expected to be a headwind (as it is for many other companies), and that the discontinuation of legacy products and "pruning" of lower-margin services will also take a toll. A lot of this was advertised by the company's October warning.
    • Product revenue rose 16% Y/Y in Q4 to $129.1M, and services revenue 33% to $58.3M. Metals printing and healthcare were strong points, respectively rising 178% and 96%. Consumer revenue rose 68% in spite of recent challenges.
    • Gross margin was 47.9%, roughly flat Q/Q but down from 52.1% a year ago. Operating expenses rose 38% Y/Y to $85.5M (compares with 21% revenue growth).
    • ExOne (XONE +2.8%) is following 3D Systems higher. Expectations for 3D printer makers are a lot lower than they were a few months ago.
    • Q4 results, PR
    | Thu, Feb. 26, 9:51 AM | 2 Comments
  • Thu, Feb. 26, 8:02 AM
    • 3D Systems (NYSE:DDD): Q4 EPS of $0.21 misses by $0.04.
    • Revenue of $187.4M (+21.0% Y/Y) misses by $14.92M.
    • Shares -4% PM.
    • Press Release
    | Thu, Feb. 26, 8:02 AM | 18 Comments
  • Wed, Feb. 25, 5:30 PM
  • Mon, Feb. 2, 4:39 PM
    • Stratasys (NASDAQ:SSYS) now expects 2014 revenue of $748M-$750M (31% organic growth) and EPS of $1.97-$2.03, below prior guidance of $750M-$770M and $2.21-$2.31 and a consensus of $763.6M and $2.25.
    • The company is also guiding for 2015 revenue of $940M-$960M (25%-28% growth) and EPS of $2.07-$2.24, below a consensus of $1.01B and $2.91. It "plans to invest an additional 2% in operating expenses out of anticipated revenues in 2015 and future periods to help enable growth, maintain market leadership and meet future opportunities."
    • Q4 revenue is estimated to have risen 38%  Y/Y, below a consensus for 48% growth. Q4 organic growth is pegged at 25%.
    • A $100M-$110M goodwill impairment charge is expected to be taken on the MakerBot acquisition. MakerBot revenue (12% of total revenue) only rose 7% Y/Y in Q4, well below the growth seen in prior quarters.
    • Stratasys is reiterating long-term goals for at least 25% organic revenue growth, an 18%-23% op. margin, and a 16%-21% net margin. CC at 8:30AM ET tomorrow.
    • 3D Systems (NYSE:DDD) is also off sharply AH. ExOne (NASDAQ:XONE) is down 2.3%.
    | Mon, Feb. 2, 4:39 PM | 20 Comments
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Company Description
3D Systems Corp through its subsidiaries is engaged in providing 3D printing centric solutions, including 3D printers, print materials and cloud sourced custom parts.
Sector: Technology
Country: United States