Proto Labs, a leading on-demand manufacturer, reported record revenue for the third quarter of 2018, with $115.4 million in sales representing a 31.0 % increase over revenue of $88.1 million in the third quarter of 2017. The number of unique product developers and engineers served through the company’s web-based customer interface totaled 20,792 in the third quarter of 2018, an increase of 23.0 percent over the third quarter of 2017.
Net income for the third quarter of 2018 was also a record $20.9 million, or $0.77 per diluted share.
Non-GAAP net income was $23.4 million, or $0.86 per diluted share. “We are pleased to deliver another quarter with over 30 percent growth,” said Vicki Holt, President and Chief Executive Officer. “Protolabs again demonstrated strong performance across all of our geographies and in each of our services.”
After an impressive peak in financial performance in the past year – and relative sharp drop in the past couple of weeks – Proto Labs seems now once again on the uptrend, especially considering that the company continues to set new quarterly records in revenues.
Additional Third Quarter 2018 Highlights include gross margin of 54.1 % of revenue for the third quarter of 2018, compared with 56.0 % for the third quarter of 2017. GAAP operating margin was 21.7 % of revenue during the third quarter of 2018, compared to 22.0 percent for the third quarter of 2017. Non-GAAP operating margin was 24.9 % of revenue during the third quarter of 2018, compared to 24.6 % for the third quarter of 2017.
The company generated $25.6 million in cash from operations during the third quarter of 2018. Cash and investments balance was $153.4 million at September 30, 2018. “As a result of continued strong operations and growth in each of our individual service offerings, we are becoming more of a total solution for some of our customers. The majority of our top customers have utilized every one of our core services in 2018. With our unique ability to deliver parts at unprecedented speed, we are helping more customers deliver their products to market faster and in new ways,” concluded Holt.