UPDATE: 3D Systems (DDD) Tops Q3 EPS by 1c

November 10, 2014 8:00 AM EST
(Updated - November 10, 2014 8:03 AM EST)

3D Systems (NYSE: DDD) reported Q3 EPS of $0.18, $0.01 better than the analyst estimate of $0.17. Revenue for the quarter came in at $166.9 million versus the consensus estimate of $167.71 million.

"We are pleased that strengthening demand led to a 57% organic increase in unit sales of our design and manufacturing printers, but are disappointed that we failed to fully capitalize on the robust demand for our direct metal and consumer products," said Avi Reichental, 3DS' President and Chief Executive Officer. "Despite our efforts, we were not able to deliver these direct metal and consumer products as soon as we anticipated. Now that these availability gaps have been resolved, we expect our revenue growth rate to increase."

Third Quarter 2014 Revenue Highlights (compared to third quarter 2013):

  • Healthcare revenue increased 121% to $37.4 million driven by added services and capabilities.
  • Expanding expertise and footprint contributed to a 29% increase in services revenue.
  • Design and manufacturing revenue increased 27% to $155.2 million on a 57% increase in units sold.
  • Growing installed base and increased printer utilization fueled materials revenue growth of 18%.
  • Delayed new products availability held consumer revenue to $11.8 million, but didn't impede higher bookings, which increased consumer backlog to $8.3 million.

Sequentially, materials gross profit margin rebounded to 73.1% and Quickparts gross profit margin expanded to 44.7%, despite greater drag from concentrated service bureau acquisitions during the quarter. Notwithstanding these gains, consolidated gross profit margin remained sequentially flat at 47.8% on the current sales volume and mix and the residual costs of manufacturing ramp up.

"While growing pains led to our revenue shortfall and pressured our gross profit margin, the fundamentals of our business are intact and our gross profit margins are poised to resume their expansion," continued Reichental.

For earnings history and earnings-related data on 3D Systems (DDD) click here.



Serious News for Serious Traders! Try StreetInsider.com Premium Free!

You May Also Be Interested In





Related Categories

Earnings, Management Comments

Related Entities

Earnings