AMR

Stratasys Warns of Dismal Third Quarter Results: Blames Lack of Consumer Spending & MakerBot Writedowns

Share this Article

StratasysLogoWithTagline_CMYKAs competition has become fierce, prices have gone down for many different 3D printers, and MakerBot has been in the news with product issues and pink slips galore, the writing was on this wall for the next Stratasys quarterly report.

While substantial companies like Stratasys certainly historically come on extremely strong, have a settling period, and then show some dips, this is not a huge surprise, but there has definitely been some negativity to focus on lately, amidst an ongoing plethora of positive projects and programs going on as well within the company and its subsidiary, MakerBot.

MakerBot_logo.svgStratasys has now announced that third quarter earnings and revenue will fall short of expectations and they will be ‘writing down’ MakerBot unit values. Issues with consumers not wanting to commit to purchases of 3D printers is cited as the main source of the financial pain for this quarter, due to economic strains and perhaps saturation in the marketplace as well. Continuing to smile and put a positive face on all of the different plights and restructuring plans currently happening over at MakerBot, as well as this quarter’s report, Stratasys states that they do see 3D printing as a solid bet for the future but that they are going to ‘retool as orders slow.’

Currently projecting to post a net loss of $3.66 a share to $2.98 a share due to a goodwill impairment charge related to its MakerBot units, the 3D printing titan warns that they are still performing their impairment analysis and they make take even further charges.

Third quarter revenue will be between $166 million and $168 million a non-GAAP loss 3 cents a share to a profit of 2 cents a share; meanwhile, Wall Street was expecting non-GAAP earnings of 8 cents a share on revenue of $184.6 million for the third quarter.

All in all, the whispers regarding a potential HP takeover are logical, exciting–and growing. Stratasys continues to emphasize consumer spending freezes and economic stresses in general as the culprit of this quarter’s impending dismal results, but does not address pressure from HP announcements and marketing regarding their big future plans and entry into the 3D printing market as playing any part.

banner-1024x384

MakerBot continues to target the educational sector.

While those making all the corporate moves are well aware of new products on the way, so are consumers, and it may cause a bit of an industry economical stalemate for some. Even so, Stratasys continues to make impacts globally, in areas like France, where the Stratasys Objet500 Connex3 was used to 3D print kidney models which are now being used to improve the overall procedures for removing tumors in those organs. MakerBot has rolled out numerous educational programs, promotions, and incentives, and is going strong with integrating MakerBot Innovation Centers onto the university circuit. So, the numbers don’t lie, but the continued amount of substantial activity, making a substantial impact, certainly makes the future look secure.

Are you a Stratasys shareholder? What are your thoughts on this latest warning to investors? Let us know in the Stratasys Earnings Warning forum thread on 3DPB.com.

[Source: ZDNET]

Share this Article


Recent News

Hinetics 3D Prints Heatsinks for Electric Aviation via Protolabs

PROFORGE 250 3D Printer Boasts Two Printheads for Roughly $1,000



Categories

3D Design

3D Printed Art

3D Printed Food

3D Printed Guns


You May Also Like

3D Printing News Briefs, June 15, 2024: 3D Printed Research & Lamps & Guns & More

In 3D Printing News Briefs today, we’ll start with some business and research news, then move on to a software tool. We’ve got a story about an accused terrorist and...

Researchers Gain New Levels of Control over Volumetric 3D Printing

A recent study published in Advanced Materials Technologies by Nathaniel Corrigan, Xichuan Li, Jin Zhang, and Cyrille Boyer delves into the advancements in xolography, a pioneering volumetric 3D printing method....

Now on Kickstarter: The “First Stable Desktop Pellet 3D Printer”

Kickstarter has been the graveyard for several high-profile 3D printers. The crowdfunding platform has also introduced numerous subpar 3D printers, alongside some truly outstanding ones. It was on Kickstarter that...

Sponsored

Revolutionizing Additive Manufacturing: A Deep Dive into Hybrid and Multi-Material Printing with PAEKs

The landscape of additive manufacturing is undergoing a profound transformation with the integration of PolyArylEtherKetone (PAEK) polymers. In this article, we explore the exciting possibilities, practical applications, and challenges associated...