3D Systems Reports Second Quarter 2025 Financial Results
ROCK HILL, S.C., Aug. 11, 2025 (GLOBE NEWSWIRE) -- 3D Systems Corporation (NYSE:DDD) announced today its financial results for the second quarter ended June 30, 2025.
Revenue of $95 million led by double-digit growth in Medical Technology and Aerospace & Defense markets
Regenerative Medicine partnership with United Therapeutics targeted on manufacture of human lungs reached a new printing milestone resulting in a $2 million award in the quarter
Cost reduction and efficiency programs resulted in over $20 million of savings in operating expenses in Q2
Company's previously announced cost initiatives are on track to support a return to positive cash flow in 2026
Successful balance sheet restructuring, combining debt retirement, refinancing, and share repurchase, allows for execution of restructuring program while maintaining continuity of critical growth and efficiency investments
Net income benefited from improved operating performance, gains on the sale of the Geomagic software platform and gains recognized on the extinguishment of debt at a discount
Summary of Financial Results(Unaudited)
Three Months Ended
Six Months Ended
(in millions, except per share data)
June 30, 2025
June 30, 2024
June 30, 2025
June 30, 2024
Revenue
$
94.8
$
113.3
$
189.4
$
216.2
Gross profit
36.2
47.1
68.8
88.0
Gross profit margin
38.1
%
41.6
%
36.4
%
40.7
%
Operating expense
51.5
73.5
121.0
154.3
Operating loss
(15.4
)
(26.4
)
(52.1
)
(66.3
)
Net income (loss) attributable to 3D Systems Corporation
104.4
(27.3
)
67.5
(43.3
)
Diluted income (loss) per share
0.57
(0.21
)
0.37
(0.33
)
Non-GAAP measures for year-over-year comparisons
Non-GAAP gross profit margin
39.2
%
40.9
%
37.1
%
40.5
%
Non-GAAP operating expense
46.8
64.2
108.4
130.4
Adjusted EBITDA
(5.3
)
(12.9
)
(29.3
)
(33.0
)
Non-GAAP diluted loss per share
$
(0.07
)
$
(0.14
)
$
(0.22
)
$
(0.31
)
Summary Comments on Results
Dr. Jeffrey Graves, president and CEO of 3D Systems said, "We delivered improved profitability in the second quarter, reflecting an intense focus on our cost structure and operational efficiencies, in the face of a continuously challenging macroeconomic climate for our industry. Our cost savings initiatives, which we first announced in March, favorably impacted both gross margins and operating expenses on a sequential basis for the second quarter. Key elements of our cost and efficiency initiative include consolidation of our operational footprint, restructuring of our workforce, and various efficiency initiatives across the business. As announced, these savings initiatives will extend through mid-2026, paced in part by the rate at which real-estate leases for exited facilities are curtailed. We are benefiting from our prior efforts to fully in-source manufacturing and supply chain operations, an initiative which is now virtually complete and helping to offset headwinds from tariffs. In the second quarter, tariffs increased our costs by roughly $1 million, but were largely countered through improved operating efficiencies in manufacturing operations which supported our gross margin performance. Looking ahead we expect the impact of tariffs to continue impacting our operating costs as we move through the second half of the year."
Dr. Graves continued, "From a revenue standpoint, consolidated revenue for the second quarter declined 16% year-over-year, reflecting the significant softness we have experienced in our customers' capex spending for new production capacity over the last several quarters. We attribute this softness to the uncertainties created by the extreme volatility in tariffs, which is expected to continue for some time. However, when viewed on a sequential quarterly basis revenues grew slightly, despite the sale of the Geomagic software business which occurred at the very beginning of Q2. Excluding first quarter revenues from Geomagic of just over $7 million, revenues in the second quarter were up roughly 8% on a sequential basis. This sequential growth was the net effect of two strong opposing factors, with the first being headwinds from continuing softness in our customers' capex spending. This drag, which particularly affected our customers in consumer-related businesses, was offset by strength in our Med Tech and high-reliability industrial markets. For our Med Tech business, performance in our Personal Health Services led the way, growing 13% year-over-year and 16% sequentially. This performance was driven by the continued growth in orthopedic procedures using 3D printing technology and through our expansion into trauma-related orthopedic surgeries. With market adjacencies now opening, we anticipate growth in these medical markets to continue. Our dental business was down 3% for the quarter, driven entirely by a sharp decline in demand from customers serving the aligner market, which experienced a 19% reduction sequentially in the quarter. For our industrial customers, while consumer-facing markets were weak, we experienced strong demand in Aerospace & Defense, with revenues growing 84% from prior year, and 53% sequentially from the first quarter. Total A&D revenues now exceed $30 million annually and are a significant focus moving forward. Central to our growth in A&D is our unique ability to meet customers' needs from the inception of process development, through initial part production, and ultimately to full-scale printer supply when demand rises. We are the only US provider of 3D printing technologies who can offer this full spectrum of capability, and do so over the entire breadth of polymer and metal printing technologies. Moreover, we can do this regionally within the US, and within EMEA for industrial customers needing high reliability components. For this reason, we are excited about our future growth in these markets that demand the highest component reliability, such as Aerospace & Defense, AI infrastructure, and Oil & Gas, to name a few."
Dr. Graves concluded, "As previously announced, late in the second quarter, we took significant steps to bolster our balance sheet, permanently retiring $88 million in outstanding debt at a meaningful discount to par, extending maturities for the majority of our remaining debt to 2030, and repurchasing 8 million shares of our common stock to reduce dilution to shareholders. We believe this balance sheet transformation, in combination with continued execution against our restructuring actions and critical new product introductions will deliver increasing shareholder value in the future."
Second Quarter 2025 Results
Revenue for the second quarter of 2025 decreased 16% to $94.8 million compared to the same period last year.
Healthcare Solutions revenue decreased 8% to $45.0 million compared to the prior year period.
Industrial Solutions revenue decreased 23% to $49.8 million compared to the prior year period.
Gross profit margin for the second quarter of 2025 was 38.1% compared to 41.6% in the same period last year. Non-GAAP gross profit margin was 39.2% compared to 40.9% in the same period last year and decreased primarily due to less favorable mix following the divestiture of the Geomagic business in the second quarter of 2025.
Net income attributable to 3D Systems Corporation increased by $131.7 million to $104.4 million in the second quarter of 2025 compared to the same period in the prior year.
Adjusted EBITDA improved by $7.6 million to a loss of $5.3 million in the second quarter of 2025 compared to the same period last year primarily driven by a reduction in operating expenses.
Financial Liquidity
At June 30, 2025, cash and cash equivalents totaled $116.4 million and decreased by $55.0 million since December 31, 2024. This decrease resulted primarily from cash used in operations of $59.6 million and cash used in financing activities of $97.3 million, partially offset by cash provided by investing activities of $112.9 million. At June 30, 2025, the company had cash, cash equivalents and restricted cash of $133.9 million and total debt, net of deferred financing costs of $122.6 million.
Q2 2025 Conference Call and Webcast
The company will host a conference call and simultaneous webcast to discuss these results on August 12, 2025, which may be accessed as follows:
Date: Tuesday, August 12, 2025Time: 8:30 a.m. Eastern TimeListen via webcast: www.3dsystems.com/investorParticipate via telephone: 201-689-8345
A replay of the webcast will be available approximately two hours after the live presentation at www.3dsystems.com/investor.
Board of Directors Rejects Contingent Resignation of Independent Director and Audit Committee Chair
On August 9, 2025, recognizing the contributions of our Audit Committee chair in connection with our ongoing efforts to remediate the material weaknesses in the Company's internal control over financial reporting, our board of directors unanimously voted to reject the contingent resignation of Ms. Claudia Drayton. Ms. Drayton had submitted her contingent resignation after her nomination for re-election to our board of directors received less than the majority of the votes cast at our 2025 annual meeting of stockholders. Following the recommendation of our nominating committee, the board of directors determined that the acceptance of Ms. Drayton's resignation would not be in the best interests of the Company and its stockholders due to Ms. Drayton's ongoing leadership in key strategic initiatives, including as Audit Committee chair overseeing the above-referenced remediation efforts. Ms. Drayton, a seasoned, career long, finance leader and CFO of public companies, will continue to serve as a member of our board of directors and as Audit Committee chair. For further information, see Part II, Item 5(a) of the Company's Quarterly Report on Form 10-Q for the quarter ended June 30, 2025.
Forward-Looking Statements
Certain statements made in this release that are not statements of historical or current facts are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of the company to be materially different from historical results or from any future results or projections expressed or implied by such forward-looking statements. In many cases, forward looking statements can be identified by terms such as "believes," "belief," "expects," "may," "will," "estimates," "intends," "anticipates" or "plans" or the negative of these terms or other comparable terminology. Forward-looking statements are based upon management's beliefs, assumptions and current expectations and may include comments as to the company's beliefs and expectations as to future events and trends affecting its business and are necessarily subject to uncertainties, many of which are outside the control of the company. The factors described under the headings "Forward-Looking Statements" and "Risk Factors" in the company's periodic filings with the Securities and Exchange Commission, as well as other factors, could cause actual results to differ materially from those reflected or predicted in forward-looking statements. Although management believes that the expectations reflected in the forward-looking statements are reasonable, forward-looking statements are not, and should not be relied upon as a guarantee of future performance or results, nor will they necessarily prove to be accurate indications of the times at which such performance or results will be achieved. The forward-looking statements included are made only as the date of the statement. 3D Systems undertakes no obligation to update or revise any forward-looking statements made by management or on its behalf, whether as a result of future developments, subsequent events or circumstances or otherwise, except as required by law.
About 3D Systems
For nearly 40 years, Chuck Hull's curiosity and desire to improve the way products were designed and manufactured gave birth to 3D printing, 3D Systems, and the additive manufacturing industry. Since then, that same spark continues to ignite the 3D Systems team as we work side-by-side with our customers to change the way industries innovate. As a full-service solutions partner, we deliver industry-leading 3D printing technologies, materials and software to high-value markets such as medical and dental; aerospace, space and defense; transportation and motorsports; AI infrastructure; and durable goods. Each application-specific solution is powered by the expertise and passion of our employees who endeavor to achieve our shared goal of Transforming Manufacturing for a Better Future. More information on the company is available at www.3dsystems.com.
3D SYSTEMS CORPORATIONCondensed Consolidated Balance Sheets(Unaudited)
(in thousands, except par value)
June 30, 2025
December 31, 2024
ASSETS
Current assets:
Cash and cash equivalents
$
116,358
$
171,324
Accounts receivable, net of reserves, $3,723 and $2,433
97,113
101,471
Inventories
132,897
118,530
Prepaid expenses and other current assets
43,754
34,329
Assets held for sale
—
3,176
Total current assets
390,122
428,830
Property and equipment, net
51,279
51,044
Intangible assets, net
17,282
18,020
Goodwill
15,576
14,879
Operating lease right-of-use assets
50,257
50,715
Finance lease right-of-use assets
8,340
8,726
Long-term deferred income tax assets
3,319
2,063
Other assets
51,669
34,569
Total assets
$
587,844
$
608,846
LIABILITIES, REDEEMABLE NON-CONTROLLING INTEREST AND EQUITY
Current liabilities:
Current operating lease liabilities
$
11,909
$
9,514
Accounts payable
36,362
41,833
Accrued and other liabilities
53,641
45,488
Customer deposits
4,315
4,712
Deferred revenue
35,079
27,298
Liabilities held for sale
—
10,251
Total current liabilities
141,306
139,096
Long-term debt, net of deferred financing costs
122,643
211,995
Long-term operating lease liabilities
49,823
52,527
Long-term deferred income tax liabilities
3,361
2,076
Other liabilities
27,272
25,001
Total liabilities
344,405
430,695
Commitments and contingencies
Redeemable non-controlling interest
2,193
1,958
Stockholders' equity:
Common stock, $0.001 par value, authorized 220,000 shares; shares issued 127,987 and 135,510 as of June 30, 2025 and December 31, 2024, respectively
128
136
Additional paid-in capital
1,578,836
1,593,366
Accumulated deficit
(1,294,793
)
(1,362,243
)
Accumulated other comprehensive loss
(42,925
)
(55,066
)
Total stockholders' equity
241,246
176,193
Total liabilities, redeemable non-controlling interest and stockholders' equity
$
587,844
$
608,846
3D SYSTEMS CORPORATIONCondensed Consolidated Statements of Operations(Unaudited)
Three Months Ended
Six Months Ended
(in thousands, except per share amounts)
June 30, 2025
June 30, 2024
June 30, 2025
June 30, 2024
Revenue:
Products
$
53,801
$
71,733
$
108,524
$
135,784
Services
41,037
41,519
80,854
80,373
Total revenue
94,838
113,252
189,378
216,157
Cost of sales:
Products
32,274
42,451
69,639
