US-based Desktop Metal has reported a 29% quarter-on-quarter increase in revenue to $53.3 million in the second quarter of 2023. According to Desktop Metal CEO Ric Fulop, the quarter was very successful operationally. In addition to the revenue increase, the 3D printing systems provider significantly improved its gross margin to 31%.
However, Desktop Metal still posted a net loss of $19.3 million on a non-GAAP basis. In the year-ago quarter, the net loss was much higher at $27.8 million. As a result, the company was able to further reduce its losses, but is still not profitable.
A key driver was the positive development of the Production System P-50 3D printing system, which is used in the electronics industry, among others. But the new major order from the Ryerson steel group for the production of components in various industries also underlines the increasing acceptance.
According to Fulop, Desktop Metal is consistently implementing its cost-cutting plans. As a result, he continues to expect 2023 revenue to be between $210 million and $260 million with break-even operating income. In the long term, he sees the company positioned as a leading full-service industrial 3D printing provider through its planned merger with competitor Stratasys.
Additive manufacturing is seen as a key technology for making production more flexible, faster and more cost-effective. Desktop Metal sees itself as a pioneer in this area with its broad portfolio of polymer and metal 3D printers and extensive software.
The complete annual figures can be viewed here.