Shares of 3D Systems Corp. (NYSE: DDD) slumped 4.5% after the manufacturer of 3D printers reported a break-even in the second quarter compared to earnings of 6 cents per share in the year-ago period. This was lower than the street projection of 4 cents per share profit.
The top-line declined 11% to $157.3 million hurt by demand weakness, and was lower than analysts’ estimate of $160.74 million. Over the past few quarters, 3D Systems has been witnessing a steady deceleration in top-line growth, which continued into Q2.
The company reported 46.4% higher printer unit sales driven
by sales of the Figure 4 platform. However, as a result of softer macro
industrial environment, printer revenue decreased 27.4% year-over-year.
DDD shares have declined 41% in the trailing 12 months and
24% since the beginning of this year.
READ: Partnerships likely to drive Dropbox higher post Q2
ADVERTISEMENT
On a reported
basis, net loss widened to 21 cents per share from 8 cents per share a year
earlier.
CEO Vyomesh
Joshi said, “We continue to see strength in customer demand for our core and
new products and solutions, but as expected, year over year revenue growth was
impacted by ordering patterns of a large enterprise customer, the delay in
shipping Factory metals systems as we complete technical enhancements and
weaker macro-economic conditions in some areas of our market.”
Last week, Israeli rival Stratasys (NASDAQ: SSYS) reported 4% dip in second-quarter revenues to $163.2 million, lower than the Wall Street projection of $168.7 million. The revenues were hurt by the economic weakness in Europe.