- Raised FY 2014 revenue guidance, kept non-GAAP earnings per share guidance despite share count increase from recent secondary offering
- Plans to deploy recent capital raised around its "3 M's": materials, medical and metals for advanced manufacturing use cases and for its Quickparts global expansion
- Previewed continuous, high speed "racetrack" 3D printer capable of jetting material 50x faster than existing technology that readily integrates with traditional manufacturing workflows
- Expects higher consumer revenue contribution in the second half of 2014 from the rollout of several key products and key partnerships
2014 guidance update. With the acquisition of Medical Modeling and the imminent closing of the acquisition of 70% of Robtec, the company raised revenue guidance by
M&A and capital deployment. 3DS recently completed a
High-speed printing and materials innovation. The company showcased its latest 3D printing innovations through production speeds that are already rivaling injection molding in many applications. The company plans to continue to double print speeds of its current print engines approximately every 18 months. Management also revealed a video of its fab-grade, "racetrack" 3D printer under development that enables continuous printing of higher functionality polymers at speeds 50x faster than all existing jetting technology. 3DS plans to showcase this next generation general-purpose production platform at Euromold 2014. While this new high-speed printer and its advanced materials (including conductive materials) are being developed in conjunction with Google's Project Ara, 3DS management highlighted the importance of these developments as a technology platform that can effectively address a wide range of use cases for end-use manufacturing. Most important, this new high speed, mass-customized additive manufacturing platform can be easily integrated with traditional manufacturing processes (such as CNC machining and coating), opening up countless new applications for 3D printing on factory floors.
Broad based consumer adoption. 3DS reiterated its belief that consumer is a significant opportunity and discussed the growing interest from stakeholders across the consumer experience – from retail to food, entertainment to education – that is driving awareness and adoption. The company emphasized the importance of establishing a virtual to actual digital thread in every segment of the consumer end markets, using its strategy in entertainment merchandizing as an example. With many new consumer products scheduled for release in the second half of 2014, 3DS' strategic partnerships with industry leaders like Staples and Hershey's are seen as important channels to market and key drivers for product innovation and adoption. 3DS also unveiled plans to open the world's first digital bakery in
Strategic partnerships. The company invited Deloitte's Chief Innovation Officer,
New frontiers in medical technology. Healthcare solutions is 3DS' fastest growing vertical and management emphasized its plans to extend its leadership position in this attractive field. Specifically, 3DS plans to invest and expand its virtual surgical planning (VSP®) capabilities, broaden its range of implants and surgical tools manufacturing and develop new personalized medical devices, such as the recently introduced Bespoke scoliosis brace. 3DS' guest speaker Dr.
Metals and manufacturing. Management noted that the demand for its metals printers continues to outpace its manufacturing capacity and that metals represents a significant near term growth opportunity – with immediate applications in aerospace, automotive, jewelry, dental and other fields. The company highlighted part density, purity and materials offerings as important differentiating factors in its printers. It also shared plans for a fab-grade, larger and faster direct metals printer to be introduced at Euromold 2014. 3DS sees its metals printers making major inroads into direct manufacturing, becoming standard equipment on factory floors. Given that additive manufacturing only accounts for 0.1% of the
Intellectual property protection. When asked about patents, 3DS' management stated that although it has more patents than employees, its marketplace leadership is defined less by its patents and more by its ability to provide a sticky value chain that addresses the broadest range of opportunities powered by a proprietary digital thread and a differentiated channel of global scale and reach. Management stressed that 3DS' technological leadership in exponential times is shaped by its ability to attract, acquire and motivate the best and most talented engineers. The company reiterated that there are no upcoming patent expirations that could erode its technological leadership and that it continues to obsolete its own patents through disruptive innovation long before their technical expiration.
Outlook. 3DS' management demonstrated confidence in its differentiated business model of building a complete value chain, establishing a digital thread, and using its channels to scale activities to a global level. The company reiterated its expectation to reach
A full replay of the event is available on the investor relations section of the company's website.
Learn more about 3DS' commitment to manufacturing the future today at www.3dsystems.com.
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 may 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 addition to statements that explicitly describe such risks and uncertainties, readers are urged to consider statements in the conditional or future tenses or that include terms such as "believes," "belief," "expects," "estimates," "intends," "anticipates" or "plans" to be uncertain and forward-looking. Forward-looking statements 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, including whether the securities offering discussed above will be completed on the terms described, or at all, or that the net proceeds of the offering will be used as indicated. The factors described under the headings "Forward-Looking Statements," "Cautionary Statements and Risk Factors," and "Risk Factors" in the company's periodic filings with the
Leadership Through Innovation and Technology
• 3DS invented 3D printing with its Stereolithography (SLA) printer and was the first to commercialize it in 1989.• 3DS invented Selective Laser Sintering (SLS) printing and was the first to commercialize it in 1992.• 3DS invented the Color-Jet-Printing (CJP) class of 3D printers and was the first to commercialize 3D powder-based systems in 1994.• 3DS invented Multi-Jet-Printing (MJP) printers and was the first to commercialize it in 1996.
Today its comprehensive range of 3D printers is the industry's benchmark for production-grade manufacturing in aerospace, automotive, patient specific medical device and a variety of consumer, electronic and fashion accessories.
More information on the company is available at www.3DSystems.com.