close
tech

Tidal Technology | 3D printer market is weak, 3D Systems third quarter medical health and materials business growth

d92eebb2-0199-11ea-befc-aaaa00151f43.jpg

Head map source: 3D Systems official website editor’s note: This article comes from WeChat public number “Antarctic bear 3D printing” (ID: dddyin), author Antarctic bear 3D printing, the original title “3D printer market is weak, 3D Systems third quarter revenue of 1 billion yuanThe medical health and materials business has grown considerably, 36, which has been authorized to be released, with a slight reduction.On November 4, 2019, the Antarctic Bear learned that 3D Systems, the world’s leading 3D printer manufacturer, released its third quarterly financial report for 2019.According to the report, 3D Systems’ total revenue for the third quarter of 2019 was $155.3 million (approximately RMB 1.08 billion) compared to $164.5 million for the same period last year; operating loss was $11.9 million, equivalent to $0.15 per share, while 2018The operating loss for the third quarter of the year was $11 million, equivalent to $0.10 per share.Image source: 3D Systems The third quarter earnings report for 2019 shows that the main income of Q3 comes from medical health and material sales.During this period, revenue from sales of 3D printers decreased by 17.2% compared to the third quarter of 2018, due to “the timing of large enterprise customers and the weakness of the macro industrial environment.” Vyomesh, President and CEO of 3D Systems “VJJoshi said to investors and analysts at the performance conference call: “For the rest of the year, we will continue to focus on profitability and cash income, and we are improving the company’s lean management and profitability.”In 2019, the focus on cost structure was strengthened, and non-GAAP operating expenses were reduced by 8% in the first nine months.Continue to cut costs in the fourth quarter to rationalize the company in this uncertain environment.Looking ahead, we believe that our drive to innovative production processes, including hardware platforms, materials, software and professional services, will achieve significant revenue growth by 2020.Growth in Materials & Healthcare Business Drives 3D Systems typically divides revenue into two components: products and services. In addition, it further breaks down the revenue generated by each of its products or services, namely printer sales, materials, and medical health.On-demand manufacturing and software. The report shows that 3D Systems product revenue was $94.9 million in the third quarter of 2019, compared to $99.9 million in the third quarter of 2019. Service revenue in the third quarter of 2019 was $60.8 million.In the third quarter of 2018, it was $64.5 million. In the market segment, the health care sector reported the highest revenue for all products and services in the third quarter of 2019. As of September 30, 2019, 3D Systems Healthcare BusinessReported revenue of $56.4 million, an increase of 6.3% year-on-year, and revenue of $53.1 million in the first half of 2018. In a conference call with Todd Booth, executive vice president and chief financial officer of 3D Systems, “Our virtual surgery program, medicalSatisfied with the overall demand trend of simulators and advanced manufacturing.”The second largest contribution was 3D Systems’ materials division, which was $41.4 million, compared to $40.3 million in the third quarter of 2018. Since the last earnings conference call in August 2019, VJ has emphasized that the company has released the Figure 4 platform.Eight new materials, including BLK 10 and HI TEMP 300. Analysts questioned the sustainability of material growth in the third quarter of 2019, VJ added: “I do believe fundamentally that we are now moving towards material growth.The road is moving forward.In the coming months, the President and CEO also stated that 3D Systems plans to significantly expand the application of Figure 4 by relying on the release of new materials.VJ said: “Despite the continued weakness of the industry, we have seen good growth in materials and healthcare in this quarter due to customer demand for our core and new product solutions.3D Printer Sales and On-Demand Manufacturing Services revenue from Figure 4 FLEX-BLK 10 In the third quarter of 2019, 3D printer sales revenue was $30.4 million, a decrease of 17.2% from the same period in 2018 (printer revenue of $36.8 million).On-demand manufacturing services revenue was $23.1 million, a 12% decrease from the same period in 2018; software reported revenue of $24.6 million, an increase of 0.1% from $14.6 million in the same period in 2018. Less cost of sales (third quarter of 2019)The product is $58 million and the service is $29.9 million. 3D Systems’ gross profit for the third quarter of 2019 was $67.2 million, while the gross profit for the third quarter of 2018 was $77.8 million. The third quarter financial report for 2019The net loss was $1,680,000, and the net loss for the third quarter of 2018 was $1,150,000. The company’s cash, cash equivalents and restricted cash at the end of the quarter were $128.5 million.