Loading...
01/10 16:56
Loading...
Access earnings results, analyst expectations, report, slides, earnings call, and transcript.
The earnings call reveals declining revenues across multiple segments and a slight drop in gross margins, indicating financial challenges. Although there are cost-saving measures and improved guidance, the market's uncertainty and longer sales cycles pose risks. The Fortissimo Capital investment provides financial strength, but the increase in share count could dilute value. The Q&A section highlights concerns about economic conditions and capital allocation, adding to the negative sentiment. Despite some positive elements, the overall outlook suggests a negative stock price reaction in the near term.
Consolidated Revenue $136 million, down from $144.1 million in Q1 2024, due to customers deferring major capital spending until market uncertainty subsides.
Product Revenue $93.8 million, down from $99.2 million in Q1 2024.
Service Revenue $42.2 million, down from $44.9 million in Q1 2024.
System Revenue $31.2 million, down from $32.9 million in Q1 2024.
Consumables Revenue $62.6 million, down from $66.3 million in Q1 2024, but up approximately 7% sequentially.
Customer Support Revenue $30 million, down from $31.4 million in Q1 2024.
GAAP Gross Margin 44.3%, slightly down from 44.4% in Q1 2024, driven by lower revenue.
Non-GAAP Gross Margin 48.3%, down from 48.6% in Q1 2024, also driven by lower revenue.
GAAP Operating Expenses $72.6 million, down from $88.4 million in Q1 2024, due to cost savings initiatives.
Non-GAAP Operating Expenses $62.6 million, down from $71.2 million in Q1 2024, primarily due to lower employee-related costs.
GAAP Operating Loss $12.4 million, improved from a loss of $24.5 million in Q1 2024.
Non-GAAP Operating Income $3 million, improved from a loss of $1.2 million in Q1 2024.
GAAP Net Loss $13.1 million or $0.18 per diluted share, improved from a net loss of $26 million or $0.37 per diluted share in Q1 2024.
Non-GAAP Net Income $2.9 million or $0.04 per diluted share, improved from a net loss of $1.7 million or $0.02 per diluted share in Q1 2024.
Adjusted EBITDA $8.2 million, up from $4.1 million in Q1 2024.
Cash from Operating Activities $4.5 million, down from $7.3 million in Q1 2024.
Cash, Cash Equivalents and Short-term Deposits $150.1 million, relatively flat compared to year-end 2024.
Total Cash Position $270 million, no debt, bolstered by a $120 million investment from Fortissimo.
New Product Launches: Launched the Neo800 plus, an advanced stereolithography 3D printer with a 50% increase in printing speed and enhanced reliability features. Introduced the Gen 3 model of the Fortus 450mc, designed for high-strength tooling and production applications.
New Material Offerings: Launched two new validated Antero materials for the Stratasys F900, developed in collaboration with industry leaders for aerospace and defense applications. Introduced PolyJet ToughONE, an advanced material for functional prototyping with exceptional design precision.
Market Expansion: Closed a $120 million strategic investment from Fortissimo Capital, enhancing cash reserves to approximately $270 million.
Market Positioning: Positioned to benefit from ongoing investments in R&D and strong demand for consumables, indicating a solid market presence.
Operational Efficiencies: Achieved significant OpEx savings and reduced operating expenses to $72.6 million, 53.4% of revenue. Maintained strong utilization rates of sold systems, expecting consumables revenue to grow year-over-year.
Strategic Shifts: Refined strategic focus on high growth end users driven by megatrends such as supply chain improvement and sustainability. Enhanced customer engagement through improved go-to-market strategies and comprehensive user education programs.
Revenue Impact from Market Uncertainty: Customers are deferring major capital spending until market uncertainty subsides, leading to a decrease in consolidated revenue from $144.1 million in Q1 2024 to $136 million in Q1 2025.
Tariff Situation: Stratasys is monitoring the ongoing tariff situation but currently expects no material revenue impact. However, they are reviewing various mitigation scenarios that can be quickly deployed if needed.
Competitive Pressures: The company faces competitive pressures as indicated by the need for significant operating expense savings and the impact of lower revenues on gross margins.
Economic Factors: The overall economic environment is causing customers to defer spending, which may affect future revenue growth.
Cost Control Initiatives: While cost control initiatives have led to reduced operating expenses, they are a response to the pressures faced in the market, indicating ongoing challenges.
Strategic Investment: Closed on Fortissimo Capital’s $120 million strategic investment, increasing cash and equivalents to approximately $270 million with no debt.
Product Launches: Launched Neo800 plus, an advanced stereolithography 3D printer with significant performance enhancements.
New Materials: Introduced two new validated Antero materials for the Stratasys F900, developed in collaboration with industry leaders.
Cost Management: Implemented cost control initiatives leading to significant OpEx savings and improved bottom-line profit.
Market Focus: Refined strategic focus to target high growth end users driven by megatrends such as supply chain improvement and sustainability.
Revenue Guidance: Reiterating full year 2025 revenues expected to range between $570 million to $585 million.
Earnings Guidance: Raising GAAP net loss expectation to a range of -$64 million to -$49 million, and GAAP EPS to -$0.80 to -$0.61.
Non-GAAP Income Guidance: Increasing non-GAAP net income guidance to a range of $24 million to $30 million, and EPS to $0.30 to $0.37.
Cash Flow Outlook: Expecting year-over-year growth in both operating and free cash flow.
Operating Margin: Reaffirming expectations for non-GAAP gross margin, operating expenses, and adjusted EBITDA.
Fortissimo Capital Investment: Stratasys closed on a $120 million strategic investment from Fortissimo Capital, increasing cash and equivalents to approximately $270 million with no debt.
Share Count Increase: The share count increased by approximately 11.65 million shares due to the Fortissimo investment.
Earnings Per Share Outlook: GAAP EPS is expected to improve to a range of -$0.80 to -$0.61 per diluted share, up from the previous range of -$0.93 to -$0.72.
Non-GAAP Net Income Guidance: Non-GAAP net income guidance increased to a range of $24 million to $30 million, up from $20 million to $26 million.
Non-GAAP EPS Guidance: Non-GAAP EPS is now expected to be in the range of $0.30 to $0.37 per diluted share, compared to the previous range of $0.28 to $0.35.
The earnings call highlights mixed signals: while there are cost-saving measures and slight improvements in operating income, gross margins have declined, and GAAP net losses increased due to noncash charges. The Q&A reveals potential growth in premium markets and partnerships, but vague management responses and prolonged sales cycles temper optimism. Overall, the neutral rating reflects balanced positive and negative factors, with no clear catalyst for a significant stock price movement in the short term.
The earnings call highlights strong financial improvements due to cost-saving initiatives and strategic investments, with positive guidance on cash flow and operating margins. The Q&A reveals delays rather than cancellations in deals, indicating a robust pipeline. The management's optimism about partnerships and upsell opportunities further supports a positive sentiment. However, the lack of specific details on earnings reduction and deal sizes suggests some caution. Overall, the financial improvements and strategic focus outweigh concerns, predicting a positive stock price movement.
The earnings call reveals declining revenues across multiple segments and a slight drop in gross margins, indicating financial challenges. Although there are cost-saving measures and improved guidance, the market's uncertainty and longer sales cycles pose risks. The Fortissimo Capital investment provides financial strength, but the increase in share count could dilute value. The Q&A section highlights concerns about economic conditions and capital allocation, adding to the negative sentiment. Despite some positive elements, the overall outlook suggests a negative stock price reaction in the near term.
The earnings call presents mixed signals: while there are positive indicators like improved cash flow, cost savings, and a share repurchase plan, the decline in revenue and consumables, along with a significant GAAP net loss, dampen the outlook. The Q&A section highlights management's optimism and strategic focus, but also reveals some uncertainties, particularly in margin assumptions. Overall, the market reaction is likely to be neutral as the positives and negatives balance each other out.
All transcripts are sourced directly from the official live webcast or the company’s official investor relations website. We use the exact words spoken during the call with no paraphrasing of the core discussion.
Full verbatim transcripts are typically published within 4–12 hours after the call ends. Same-day availability is guaranteed for all S&P 500 and most mid-cap companies.
No material content is ever changed or summarized in the “Full Transcript” section. We only correct obvious spoken typos (e.g., “um”, “ah”, repeated 10 times”, or clear misspoken ticker symbols) and add speaker names/titles for readability. Every substantive sentence remains 100% as spoken.
When audio quality is poor or multiple speakers talk over each other, we mark the section instead of guessing. This ensures complete accuracy rather than introducing potential errors.
They are generated by a specialized financial-language model trained exclusively on 15+ years of earnings transcripts. The model extracts financial figures, guidance, and tone with 97%+ accuracy and is regularly validated against human analysts. The full raw transcript always remains available for verification.
