The US 3D printer manufacturer Velo3D, which is known for its metal 3D printers, has presented its plans for 2024.
A central aspect is the quality optimization of the newly manufactured Sapphire printers. Through operational initiatives and product improvements, Velo3D has significantly reduced the installation time of these printers over the past year. In addition, the customer service and quality team was strengthened by around 40% to ensure support in all major metropolitan regions.
The reliability of the systems has been increased, resulting in increased uptime for key customers. In addition, the time to resolve customer issues has been reduced by more than 45% in the last six months. Research and development at Velo3D is now increasingly focused on customer success and machine throughput.
Velo3D’s sales team has secured approximately $12 million in new orders since mid-December. More than 50% of these bookings are tied to key accounts, underscoring increased customer confidence in the company’s technology. Velo3D remains on track to reduce its operating expenses by 40% by the end of the first quarter of 2024, with the goal of becoming cash flow positive in the second half of the year.
These initiatives form the foundation of Velo3D’s five-year growth plan to support innovation and the growing demand for additive manufacturing solutions. By implementing these priorities, the company remains true to its “land and expand” strategy, where satisfied customers continue to purchase Sapphire printers for their significant capabilities.
“Since meeting with customers in my new role as CEO, it’s clear that they need our technology and with improvements in these four key areas, we can realign as a company to make our customers more successful and return value to investors,” said Brad Kreger, CEO of Velo3D. “The value of our technology is largely driven by its ability to accelerate innovation for customers, meaningfully improve lead time for mission-critical parts, and streamline the process of scaling to volume production when compared to conventional metal 3D printers.”
“The entire Velo3D team is deeply focused on our four objectives and we’re beginning to see these changes yield results, including existing customers purchasing new systems. We believe this reflects their confidence in our technology as well as the success of our initiatives in improving customer satisfaction,” said Kreger. “We’re continuing to execute on our cost realignment programs to improve margins and cash flow, while prudently managing working capital. By doing so, we believe we are well positioned to profitably capitalize on the increasing industry demand for leading-edge additive manufacturing solutions.”