Desktop Metal today announced its financial results for the first quarter ended March 31, 2023. “Desktop Metal is off to a solid start to 2023 following very strong growth last year,” said Ric Fulop, Founder and CEO of Desktop Metal.
“Customer demand trends for our unique portfolio of AM 2.0 mass production solutions remain resilient, despite an unsteady macro environment, giving us confidence in our growth projections for this year. Additionally, we’ve made significant progress on our cost reduction efforts initiated last year and expanded in February 2023. Going forward, we expect to demonstrate continued reductions in our cost structure in order to expand margins and deliver on our adjusted EBITDA commitments. We believe we can differentiate ourselves as we navigate a difficult economic backdrop relative to our industry peers.”
Desktop Metal, a leading company in the 3D metal printing industry, has announced its financial results for the first quarter of 2023. Despite an unstable macroeconomic environment, the company generated revenue of $41.3 million. A growing number of customers are investing in multiple 3D printers from the Additive Manufacturing 2.0 system, indicating increasing demand for Desktop Metal’s innovative solutions.
The cost reduction initiative launched in 2022 delivered significant year-over-year improvements in adjusted EBITDA and operating cash flow in the first quarter of 2023. Desktop Metal remains on track to achieve the targeted annual savings of $100 million, which is intended to help reduce the expense structure, expand margins, and increase profitability.
The company reaffirms its full-year 2023 revenue guidance of between $210 and $260 million. The adjusted EBITDA is expected to be between $(50) and $(25) million, with the breakeven point for adjusted EBITDA expected to be reached by the end of 2023.
Desktop Metal achieved several business highlights during the reporting period. These include the continuation and expansion of the cost reduction plan, which aims to generate a total of $100 million in annual savings. The company has also expanded its customer relationships and now has over 370 “Super Fleet” customers, each using at least three AM 2.0 printing systems.
Furthermore, Desktop Metal has made progress in the development of production platforms, particularly through expanding relationships with various consumer electronics customers. Over the next 18 months, the company expects revenue in this segment to reach an eight-figure sum. Additionally, the Live Suite™, a highly differentiated end-to-end software solution for generating AI-assisted solutions in AM 2.0, was introduced.
The ongoing expansion of the materials portfolio, including the introduction of Copper Alloy C18150 and Titanium Alloy Ti64 for the Production System™, as well as 304L Stainless Steel for the Shop System™, demonstrates Desktop Metal’s commitment to providing a wide range of application possibilities to its customers.
Details of the other figures can be found here.
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