3D Printing Financials: Prodways Ends 2024 with a Profit

After a tough couple of years, Prodways (EPA: PWG) is starting to bounce back. The French 3D printing company finally made a profit in 2024, improved its operating performance, and took some big steps to revamp its future. Profit returned after a heavy loss in 2023, free cash flow went up, and margins improved. At the same time, Prodways made a major move by changing its listing to Euronext Growth Paris. That said, some issues still need fixing. That is why management is looking at 2025 as a year of strategic moves.

Financial Comeback

Prodways reported full-year revenue of €58.7 million in 2024, down 21% from the €74.6 million reported in 2023. However, this drop was largely expected. The company changed how it records software revenue starting in mid-2023, switching to what’s known as an “agent model,” which lowers the amount officially booked as sales. On top of that, Prodways sold off two parts of its business—Solidscape and Cristal—which had contributed to revenue in 2023 but not in 2024.

The big win for 2024 was profitability. After posting a €14 million ($15 million) loss the year before, Prodways delivered a net profit of €600,000 ($647,378). Operating income improved sharply from a €12.6 million ($13.6 million) loss in 2023 to a gain of €1.3 million ($1.4 million).

The company also improved its EBITDA (earnings before interest, taxes, depreciation, and amortization) margin from 8% to 9%, with the second half of the year reaching 10%. That improvement came from cost-cutting efforts, like ending the small printers line and lowering R&D spending, plus boosting performance in key areas like industrial 3D printers and software services.

Free cash flow also rose 18% to €4.4 million ($4.7 million), helped by lower R&D spending and reduced working capital needs. Capital expenditure dropped from €3.3 million ($3.6 million) to €1.4 million ($1.5 million), leaving the company with more money to use going forward. At the end of the year, Prodways had €12 million ($13 million) in cash and only €2 million ($2.2 million) in net debt, giving it some extra money to use in 2025.

Mixed Results

Prodways runs two core business units: systems and products. According to the company, its systems division, which includes software, printers, and materials, brought in €28.2 million ($30.4 million) in revenue. While this main number is down from last year, the company says its ongoing activities (excluding the businesses it no longer owns) saw a 6% increase in revenue.

The second half of the year was strong, thanks to big sales of its MOVINGLight ceramic printers to aerospace customers. The software unit also did well, with growth over 10% thanks to new clients and a push into software as a service (SaaS).

Prodways systems segment posted a strong EBITDA margin of 15.1% for the year, with the second half of the year reaching an impressive 17.6%. This was a major jump from 2023 and a big contributor to the company’s overall margin gains.

Meanwhile, the products division had a tougher year. Revenue was €30.5 million ($33 million), down 6%. Sales in Germany helped make up for weaker results in France, but the audiology segment performed poorly and lost roughly €2 million ($2.2 million) in revenue. This hurt the division’s profitability, leading to a loss of €700,000 ($755,274).

New Direction

Along with the financial recovery, 2024 was a year of change. New CEO Laurent Cardin stepped in late in the year, and with him came a review. Management now wants to give each business unit a clearer direction and find ways to bring more value to shareholders.

One of the biggest moves was to leave the regulated Euronext Paris market and list instead on Euronext Growth Paris. The shift, approved in March 2025, looks to cut costs tied to regulatory requirements while keeping access to investors. For a medium-sized company like Prodways, this move is expected to give more flexibility to reshape the business.

Another priority is to highlight the value of Prodways’ diversified portfolio. The company works across the whole 3D printing process—from software and printers to materials and part-making—but it feels like the market hasn’t always given it credit. Now, Prodways wants to be more focused and consistent to help change that view.

For 2025, management says it will aim for flat or slightly higher revenue and continue to prioritize profitability over aggressive growth. That means focusing more on the parts of the business that make the most money, like industrial printing, while trying to improve areas that aren’t doing as well, like audiology.

Prodways says there will be more strategic updates later this year as the new CEO finishes the review process. Still, with its balance sheet looking better and lower costs, the company is better prepared for what’s ahead in 3D printing.