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Ugly Alert: 3D Systems Announces Preliminary Full Year Results

 Ugly Alert: 3D Systems Announces Preliminary Full Year Results
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On Wednesday morning, 3D Systems (NYSE: DDD) pre-announced that it anticipates its full year revenue to be $513 million to $514 million on over 30 percent organic revenue growth and over 50 percent total revenue growth for the fourth quarter.

The company expects its full year 2013 non-GAAP earnings per share to be $0.83 to $0.87, below its previous expected guidance of $0.93 to $1.03 and below the consensus estimate of $0.96.

See also: 3D Printers Capable of Printing Living Tissue and Organs - Are We Ready?

"Consistent with our previous comments, during the fourth quarter we made very significant R&D, manufacturing and marketing investments designed to accelerate revenue growth that resulted in substantially compressed earnings for the fourth quarter," said Avi Reichental, President and Chief Executive Officer, 3DS in a press release. "As we previously stated, we are willing to tolerate earnings reduction and even slight gross profit margin compression during this period to substantially accelerate our growth rate and market share. We firmly believe that these accelerated investments that already resulted in the announcement of 24 new products over the past nine weeks position the company to double its revenue over the next couple of years on organic growth of at least 30% going forward and to achieve greater earnings power and profitability over the long term."

The company expects its 2014 revenue to be $680 million to $720 million and expects its non-GAAP earnings to be $0.73 to $0.85, below the consensus estimate is $1.27.

3D Systems will report its final fourth quarter and full year 2013 results on February 28.

Shares of 3D Systems were trading lower by 22.5 percent in the pre-market session.

Shares of other 3D printing companies were also significantly reacting. Stratasys (NASDAQ: SSYS) traded lower by 10.5 percent, The ExOne Company (NASDAQ: XONE) traded lower by 7.85 percent.

Posted-In: 3D Systems Earnings 3D Systems Pre-Announce Avi Reichental ExOne StratasysNews Guidance Best of Benzinga


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