voxeljet‘s financial results for the third quarter ending September 30, 2020, were better than results posted for Q3 2019, but the company has lowered end-of-year guidance because of concerns about reduced demand. No analyst coverage exists for the company, so its results are measured purely against the previous year’s data.
The data looks promising. voxeljet’s total revenues increased by 10.6% to 4 908 000 Euros, up from 4 436 000 Euros. The company’s gross profit margin increased to 32.7% from 19.5%. Systems revenue increased 64.2% to 2 686 000 Euros from 1 636 000 Euros, which offset a 20.6% decrease in services revenue: down to 2 222 000 Euros from 2 800 000 Euros. The company projects Q4 2020 revenues between 8 000 000 and 10 000 000 Euros. The company projects that its Q4 gross profit margin will touch 40%.
The company did, however, report a net loss per share of 2.41 Euros, which is an increase from the loss of 2.09 Euros per share in Q3 2019. This increased loss per share is due to larger operating and financial losses for the quarter. The company’s operating loss was 10 490 000 Euros in the first three quarters of 2020; this loss was only 9 661 000 in 2019. Financial losses primarily incurred by fixed interest on a European Investment Bank loan amounted to 1 119 000 Euros for the first three quarters; this figure was only 487 000 Euros in 2019.
The company prudently lowered full-year revenue guidance to a range between 20 700 000 and 22 700 000 Euros. Lowered guidance reflects the company’s assessment of renewed COVID-19 travel restrictions and lockdowns. These government measures delay 3D printer installations, which push accounts receivable for affected clients to another quarter. The company reported a backlog of 11 printers for Q3 2020 compared to 3 printers at the end of Q4 2019.
Dr. Ingo Ederer, Chief Executive Officer of voxeljet, commented, “We have reached three significant milestones with VJET X and the new, large High-Speed Sintering (“HSS”) 3D printer over the last months: first, we received the follow-up orders for three additional VJET X units. The order comes as part of a frame contract concluded in 2018 between us and our partners and a premium German carmaker. Second, just recently, we received the pre-acceptance from the carmaker and our partners for the first two units, which were installed in 2019. We expect to recognize revenue for the first batch of five VJET X units mid-2021. Third, in HSS, we have found a clever and self-adjusting solution to address the challenge of having a stable temperature across a large powder bed: we have filed an IP accordingly. First printing tests on the large HSS printer were successful and we are extremely excited about the new opportunities and markets we plan to address with it.”