DDD

It has been about a month since the last earnings report for 3D Systems (DDD). Shares have lost about 7.6% in that time frame, underperforming the S&P 500. But investors have to be wondering, will the recent negative trend continue leading up to its next earnings release, or is 3D Systems due for a breakout? Well, first let's take a quick look at its latest earnings report in order to get a better handle on the recent catalysts for 3D Systems Corporation before we dive into how investors and analysts have reacted as of late. 3D Systems reported a second-quarter 2026 non-GAAP loss of 4 cents per share, narrower than the year-ago loss of 6 cents and beat the Zacks Consensus Estimate by 55.56%.Revenues slipped 0.3% year over year to $94.6 million but surpassed the consensus mark by 0.48%. Double-digit growth in metal and polymer printer systems, along with strength in key healthcare and industrial markets, supported the quarter.Adjusted for software divestitures completed in 2025, total revenues increased 1.4% year over year. The improvement reflected accelerating sales of newly launched printers as customers expanded their use of additive manufacturing across production applications. Product revenues rose 1.9% year over year to $54.8 million, while services revenues declined 3.2% to $39.7 million. 3D Systems highlighted double-digit growth in both metal and polymer hardware printer systems, underscoring improving demand for the company’s refreshed equipment portfolio.Healthcare Solutions revenues increased 6.8% year over year to $48.1 million, making the segment the company’s largest business during the reported quarter. Growth was driven primarily by higher sales of new printer systems in Med Tech and continued expansion in Personalized Healthcare Services.Med Tech revenues grew more than 20%, while Dental revenues increased 3%. Management said customers in these markets continued adopting 3D printing as a core manufacturing technology and broadening the range of applications deployed.However, Industrial Solutions revenues declined 6.7% year over year to $46.5 million. Excluding the impact of software divestitures, the segment’s revenues decreased 3.7% year over year, reflecting the exit of a non-core product offering and lower hardware services revenues. Sequentially, Industrial revenues increased 2.4% on higher product sales. Aerospace & Defense and Data Center Infrastructure each delivered growth of more than 20%, helping offset weakness elsewhere in the portfolio. Aerospace & Defense remained the company’s largest industrial market. Gross profit fell to $34.5 million from $36.2 million reported in the year-ago quarter. Gross margin contracted 170 basis points (bps) to 36.4%, while non-GAAP gross margin excluding software divestitures declined 150 bps to 36.7%.The margin decline reflected a greater mix of printer sales and certain pricing pressures. These headwinds were partly offset by approximately $2.6 million in tariff refunds recovered during the quarter.Operating expenses decreased 12.4% year over year to $45.1 million. Research and development expenses dropped to $10 million from $17.4 million, while selling, general and administrative expenses increased to $35.1 million from $34.1 million.Adjusted EBITDA improved to a loss of $0.8 million from a loss of $4.7 million on a comparable basis. Prior cost-reduction measures and tariff refunds supported the improvement. Total cash stood at $129 million at June 30, including $128 million in cash and cash equivalents.The company has $3.9 million of debt principal maturing in the fourth quarter of 2026, with the remaining $92 million due in 2030. For the third quarter of 2026, 3D Systems expects revenues between $96 million and $99 million. The range is above the second-quarter revenue level and points to continued momentum from new printer introductions and priority end markets.Adjusted EBITDA is projected between a loss of $3 million and a loss of $1 million. Management remains focused on Med Tech, Dental, Aerospace & Defense and Data Center Infrastructure, all of which recorded growth exceeding 20% during the first half of 2026. It turns out, fresh estimates have trended upward during the past month. The consensus estimate has shifted 26.09% due to these changes. Currently, 3D Systems has a nice Growth Score of B, though it is lagging a bit on the Momentum Score front with a C. Charting a somewhat similar path, the stock has a grade of D on the value side, putting it in the bottom 40% for value investors. Overall, the stock has an aggregate VGM Score of C. If you aren't focused on one strategy, this score is the one you should be interested in. Estimates have been trending upward for the stock, and the magnitude of these revisions looks promising. Notably, 3D Systems has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report 3D Systems Corporation (DDD) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Image source: The Motley Fool. Tuesday, Aug. 4, 2026 at 8:30 a.m. ET Vice President, Investor Relations - Monica Gould President and Chief Executive Officer - Dr. Jeffrey Graves Chief Financial Officer - Phyllis Nordstrom Operator: Greetings, and welcome to the 3D Systems Q2 2026 Earnings Webcast. [Operator Instructions] As a reminder, this conference is being recorded. [Operator Instructions] It's now my pleasure to turn the call over to Vice President, Investor Relations, Monica Gould. Monica, please go ahead. Monica Gould: Hello, and welcome to 3D Systems Second Quarter 2026 Earnings Conference Call. With me on today's call are Dr. Jeffrey Graves, President and CEO; and Phyllis Nordstrom, Chief Financial Officer. The webcast portion of this call contains a slide presentation that we will refer to during the call. Those following along on the phone who wish to access the slide portion of this presentation may do so on the Investor Relations section of our website. The following discussion and responses to your questions reflect management's views as of today only and will include forward-looking statements as described on this slide. Actual results may differ materially. Additional information about factors that could potentially impact our financial results is included in our latest press release and our filings with the SEC, including our most recent annual report on Form 10-K and quarterly reports on Form 10-Q. During this call, we will discuss certain non-GAAP financial measures. In our press release and slides accompanying this webcast, you will find additional disclosures regarding these non-GAAP measures, including reconciliations with comparable GAAP measures. With that, I'll turn the call over to our President and CEO, Dr. Jeffrey Graves, for opening remarks. Jeffrey Graves: Thank you, Monica, and good morning, everyone. Today's call is accompanied by 2 important announcements: our earnings results and the beginning of a leadership transition plan, both of which I will address this morning. I will begin by reviewing a few important highlights from our second quarter and first half as well as provide updates on several of our key market focus areas. After that, I'll address this morning's leadership announcement. I'll then turn the call over to Phyllis Nordstrom, our CFO, who will summarize the quarter's financial results and outlook, and we'll then open the call up for Q&A. So with that, let's turn to Slide 5. A major theme clearly emerging this year is the return of capital spending by our customers in key markets. The timing is excellent given the intense focus we have placed on refreshing our product portfolio over the last 3 years. In the second quarter, printer sales increased by more than 45%, led by our best-selling DMP 350 metal printing system, our new SLA 825 flagship polymer platform and our multi-jet printing systems that form the cornerstone of our new denture product line. I'll comment on each of these in the context of their market drivers in a few moments. From a business unit standpoint, our Healthcare business once again delivered solid growth and remained the company's largest segment. driven in particular by strong demand for new printing systems in both medtech and dental markets. Industrial business revenue was modestly lower year-over-year as older systems in our installed base are now being increasingly replaced by our new printer platforms. Despite this dynamic, our 2 key industrial focus markets, aerospace and defense and data center infrastructure, both delivered strong double-digit growth again this quarter. I'll share a few highlights on those markets momentarily. And moving to Slide 6. Our newest generation of 3D printers offer levels of precision, economics and robustness that were only dreamed of a few years ago. These advancements are now proving essential to the widespread adoption of 3D printing in key production environments. One of the clearest trends is the accelerating use of 3D printing in metal component manufacturing. As we've discussed on previous calls, there are 2 equally important paths to producing metal parts, direct metal printing using laser powder bed fusion and metal castings that rely on 3D printed patterns as a critical step in the manufacturing process. To address each path, we've launched 2 important systems: our DMP 350 triple laser direct metal printer and our SLA 825 dual laser polymer printing system designed for high-quality metal casting patterns. Sales of both platforms into our key markets have been very strong with second quarter growth of roughly 90% and 125%, respectively, year-over-year. Given this rapid rise in demand for 3D-printed metal parts, we're also significantly expanding our internal metal parts production capacity. This is an important element of our growth strategy, and I'll touch on it in more detail in a few moments. The third breakthrough product we have brought into the market is the NextDent 300, purpose-built for the production of dentures. This platform is being very well received because of its precision and economics, enabling dental professionals to deliver a high-quality, durable product that improves the patient experience while increasing the productivity of their practices. These technologies will continue to enable our success in key markets for years to come. Now on to Slide 7. As proud as I am of our refreshed product portfolio, it would mean very little if we did not target these systems effectively at markets moving most decisively toward the adoption of additive manufacturing technologies. Four markets fit this profile very clearly: med tech, dental, aerospace and defense and data center infrastructure. Two of these sit in our healthcare business and 2 in our industrial business. Customers in these markets derive exceptional value from 3D printing from enhanced design flexibility that improves both performance and cost to reduce supply chain risk in an increasingly volatile world. With limited time on each quarterly call, I'll focus on a few key use cases that I hope will capture the excitement and momentum these 4 markets provide. Moving to Slide 8. I'll start with aerospace and defense with a specific focus this quarter on space applications. As everyone is aware, there's been a resurgence of interest in space access with applications ranging from new satellite constellations for communications to large-scale orbital data centers and even interplanetary travel. These visions are all enabled by the remarkable advancements achieved in reusable launch vehicles. These enormous rockets have already reduced the cost of access to space by an order of magnitude and the next generation of fully reusable vehicles is positioned to drive cost down even further, making these large-scale applications in space far more economically viable. The impact of this breakthrough in rocketry is clearly visible in launch cadence. A rocket to space is now launched roughly every 2 to 2.5 days. In short, what used to be a yearly total for the entire global industry is now being achieved by a single company in a matter of weeks. This acceleration is expected to continue as reusability improves and costs decline further. A critical enabler of this progress has been the development of advanced rocket engines designed for high flight rates. These engines use a sophisticated combustion architecture that improves efficiency and durability while reducing maintenance between flights. Additive manufacturing has been integral to this evolution, both through direct metal printing of complex geometries and even more so through high-precision investment castings made from 3D printed patterns. Our SLA 825 dual laser system launched late last year is specifically targeted at these advanced casting applications. As evidence of its early success, in the second quarter, we received one of the largest industrial printer orders in our company's history, driven by demand for casting patterns used in next-generation reusable rocket engines. Production of these engines is expected to grow by nearly an order of magnitude over the next decade as launch cadence continues to accelerate. These capabilities are helping make fully reusable heavy lift vehicles more practical and are contributing to the sharp reduction in the cost of access to space. Moving to Slide 9. Let's turn to the healthcare business with an update on our dental market. Of the 4 dental markets, straighten, protect, repair and replace, 3D printing has already proven its value at scale in tooth straightening. Building on that foundation, the next large growth opportunity is converting the historically labor-intensive replace market for dentures into a fully digital 3D-printed monolithic denture product, an objective we have been intensely pursuing for the last 3 years. With more than 30 million denture wearers in the U.S. and nearly 4 million new dentures sold each year and comparable numbers in Europe, the end market opportunity is measured in the billions of dollars. Based on these estimates, the corresponding revenue potential for our company exceeds $150 million annually in the U.S. in printers and consumables sold to the dental labs that produce dentures with a similar exciting opportunity in Europe. We launched our NextDent 300 denture printing system in late 2025, following FDA clearance and secured full EU MDR approval for sale into Europe in the second quarter of this year. Since that time, acceptance by dentists has been strong, driven by the beauty of the product, its durability and the comfort patients experience from the first fitting. These clinical benefits create demand while the efficiency of the digital production process and shorter lead times translate that demand from dental labs into revenue for 3D systems. The result has been a rapid rise in demand each quarter since launch, as shown in the production chart on Slide 9. While the market is highly fragmented with more than 8,000 labs across these regions, revenue is concentrated in the top 300 to 400 manufacturers. Based on our current outlook, we expect to have printers installed in more than 100 of these dental labs by year-end with a growing number of multiunit deployments to follow. Importantly, once operational, even these initial printers alone will generate a recurring revenue stream of more than $2 million annually at highly accretive gross margins. While encouraging, these sales represent less than 2% penetration of the overall denture market in the U.S. and Europe, meaning the future growth potential is very strong. As an example of customer receptiveness to this technology, one of our earliest lab customers purchased their first printer late last year and is already installed and is running a sixth unit, tripling their historic capacity. We now see others following suit. For early adopters, this creates a clear path to market share gains through lower production costs and faster turnaround times. Looking ahead, with regulatory approvals expected in Mexico, South America and several Asian countries over the next year, combined with the strong acceptance rates we're seeing in the U.S. and Europe, we expect our denture-related revenue to become one of the largest and most profitable streams for the company in the years ahead. Moving to Slide 10. We come to one of the most exciting growth opportunities in our industrial business, second only to aerospace and defense, data center infrastructure, a market we have been building for several years. This market spans several high-value applications, including semiconductor manufacturing equipment, advanced GPU cooling systems and emerging energy generation technologies, including both nuclear fission and fusion-related applications. We participate in these markets in 2 complementary ways by supplying precision metal printed parts directly to customers and by providing printers that enable them to manufacture these components themselves. In the second quarter, our semiconductor and high-performance computing business grew almost 30% year-over-year, building on strong first half momentum. Growth was driven primarily by demand for metal printed parts, while the pipeline for new printer systems also remains healthy. This distinction is very important. While printer sales expand our installed base, the growing volume of parts we manufacture for these customers is a key lever for improving the gross margin profile of our metal printing business over time. As production volumes scale and we continue to optimize our manufacturing operations, we expect parts manufacturing to become an increasingly meaningful contributor to both revenue and profitability. Over time, many of these customers are also natural candidates to adopt our metal printing systems as their volumes increase. Looking ahead, the unprecedented level of capital investment flowing into data center infrastructure continues to create strong demand for complex, high-performance metal components that are difficult or uneconomical to produce with traditional methods. Direct metal printing opens new design opportunities that will play an important role in future chip manufacturing capability and cost. We believe we are well positioned to capture a growing share of this market through both our parts manufacturing capabilities and our advanced printer platforms. From an energy perspective, we're already seeing demand related to large land-based turbine manufacturing, which benefits from both our polymer systems used in investment casting and our direct metal printing systems. Given the significant electrical demands for data centers and the growing need for hyperscalers to secure their own power, there is increasing interest in metal 3D printing for next-generation nuclear applications, including small data center-focused designs as well as fusion-related components that require materials capable of withstanding extreme temperatures and radiation. These are areas where traditional manufacturing is often difficult and very costly. Turning to Slide 11. I want to highlight the resources we're drawing upon to expand our energy-related activities. As many of you know, 3D Systems is headquartered in South Carolina, and we're fortunate to have one of the leading organizations in nuclear research as our neighbor, Savannah River National Laboratory, or SRNL, as it's known. For decades, SRNL has conducted critical research and development in support of nuclear energy, spanning nuclear materials and component processing to system applications relevant to both national security and commercial power generation. I'm pleased to announce that we've executed a cooperative research and development agreement or CRADA as they're known, with SRNL. This partnership will enable our organizations to collaborate on the development of new materials for the extreme environments of nuclear fission and fusion reactors on component design and manufacturing and on the use of AI to optimize processing and performance. We believe direct metal 3D printing will play an essential role in developing and scaling these technologies. Of particular note, this collaboration will leverage the Advanced Manufacturing Collaborative, a 63,000 square foot research and innovation center operated by SRNL on the University of South Carolina Aiken campus, which opened in 2025. As the only Department of Energy facility of its kind located on a university campus in South Carolina, the AMC is uniquely positioned to support both R&D and the training of engineers in advanced manufacturing processes, including metal 3D printing. In short, this partnership provides a clear pathway from collaborative research on nuclear energy applications to commercial scale industrial opportunities in the United States. We view it as an important element of our longer-term growth strategy in advanced energy markets. Moving to Slide 12. I'd like to take a few minutes to describe how our direct metal printing technology is differentiated, an area that represents a major growth vector for the company. Our metal printing systems were originally developed to manufacture critical components from highly reactive materials used for medical applications. These systems were designed to meet the highest quality standards required by the FDA and European regulatory bodies. Central to that capability is exceptional environmental control during the printing process, which minimizes reaction with oxygen. As a result, our systems rank among the best in the world at printing titanium, a lightweight, strong, temperature-resistant and biocompatible material as well as cobalt chrome alloys used in joint replacement. Today, we maintain a large active installed base of metal printers with leading medical device OEMs and their contract manufacturers, along with our own fleet of metal printers in the U.S. and Europe, producing parts daily for implantable applications. Building on this foundation, over the last several years, we've expanded our metal focus into aerospace and defense, data center infrastructure and advanced energy applications. As demand has grown for components made from nickel-based super alloys and refractory metals such as tungsten, molybdenum, niobium, materials used in extreme temperature and stress environments, we've engaged with leading OEMs on these applications. These high-performance materials are extremely difficult to fabricate with traditional methods. Direct metal printing not only enables conventional designs to be manufactured economically, but also opens the door to new configurations that can improve system performance and reduce cost. The commercial results are now clear. Sales of our metal printers are growing at record rates. In fact, we sold more metal printers in the first half of this year than in all of 2025 and demand continues to rise. Looking ahead, with the support of the U.S. government, we're building on this strong foundation through the development of a large-scale metal printing system capable of manufacturing components over 1 meter in size at quality levels and production rates that we expect to lead the industry. Importantly, this system is being designed and will be manufactured entirely in the United States, including the critical application development work required for targeted markets. Finally, let's turn to Slide 13, and I'll conclude my comments on the quarter with a brief summary of our metal parts expansion plans. Demand for direct metal printed parts is rising rapidly. This is not only driving sales of our printer systems, but increasingly, our customers are asking us to supply finished metal parts. These are typically very challenging production parts that combine extreme performance requirements with highly advanced materials and therefore, generally command a higher ASP. Given our application development work with OEMs and our ability to ultimately provide printers for their own use, this is a natural request by our customers. By fulfilling it, we can effectively bridge a customer from concept demonstration to full-scale production without the need to qualify new print processes or suppliers along the way. Depending on the demand profile, this bridge period can last for months to years. In response to this growing demand, we're expanding our part production facilities in both Leuven, Belgium and Littleton, Colorado. Leuven primarily supports European customers, while Littleton, a suburb of Denver, focuses largely on U.S. customers and has the capability to support U.S. defense work. To put numbers to this expansion, today, we have roughly 220,000 square feet of space dedicated to metal printing, covering design, manufacture, application development and support. We're adding approximately 50,000 square feet of parts production capacity in Littleton, bringing our total to over 270,000 square feet with the grand opening of this expansion targeted for the fall. From a printer standpoint, we currently have 77 metal printers in production and an additional 42 polymer printers used primarily in support of our medtech business. This expansion of both our U.S. and European metal parts production allows us to leverage the rigorous quality infrastructure that is essential to our medical business. The ability to print metal parts at the highest quality levels is at the heart of our growing metal part business. You'll hear more about this expansion in the months ahead. Before I turn the call over to Phyllis, I want to briefly address the announcement we made this morning regarding my planned transition. Today's quarterly earnings call is roughly my 100th as a public company CEO. After more than 6 years leading 3D Systems, I've developed a deep appreciation for this company, for my colleagues, for our mission and for the customers that we serve. I'm also grateful for the unwavering support of our shareholders, particularly through the challenging industry conditions we've experienced over the last 2 years. While the succession process is just getting underway, in the months ahead, I'll be concluding my service as CEO. I remain fully committed to supporting a smooth transition and we'll stay closely engaged with the Board and leadership team during this period to ensure we stay on track with the positive momentum that we're experiencing. The strategic priorities we've discussed today, focusing on our 4 key markets, expanding our metal printing and parts capabilities and driving profitable growth remain the right path forward for this company. I'm confident in the strong foundation we've now built and pleased with the progress we're making as we emerge from the industry recession. I believe there are bright days ahead. And with that, I'll turn the call over to Phyllis for a more detailed review of our second quarter and first half financial results. Phyllis? Phyllis Nordstrom: Thank you, Jeff, and good morning, everyone. Before I begin, Jeff, I want to thank you for your leadership over the past 6 years. Through a period of industry challenges and considerable change, the company made notable progress in strengthening its operational foundation and streamlining its cost structure while also refreshing the product portfolio and sharpening our focus on 4 important growth markets. These efforts have established a solid foundation, enabling us to build on our strategy moving forward. We are grateful for your continued service to the company during the transition. Thank you very much, Jeff. With that, let's now turn to our financial presentation. Before beginning our review, I'd like to remind you that we completed the divestiture of our legacy software businesses during 2025. As such, the comparisons I will reference today are presented on an adjusted basis, excluding the impact of these divestitures to provide a more meaningful apples-to-apples view of our operating performance across periods. With that, let's now begin on Slide 17. As highlighted earlier on the call, our second quarter results reflect continued progress against our strategic priorities. Before I walk through the financial results in more detail, let me start with some highlights from the quarter. Second quarter revenue increased year-over-year, driven by strong demand across our target markets and increasing sales of our new polymer and metal printer platforms. Adjusted EBITDA also improved notably from the prior year period as a result of higher revenue, disciplined cost management and ongoing operational efficiencies. Turning to our second quarter revenue performance. Revenue was $94.6 million, an increase of 1.4% year-over-year. This increase was driven by continued momentum in hardware printer sales, which grew over 40% from the prior year period and more than 20% sequentially as demand across several of our printer platforms continued to strengthen. Performance across our key strategic markets remained strong in the quarter as medtech, aerospace and defense and data center infrastructure each delivered double-digit year-over-year growth. Within the medtech and aerospace and defense markets, we had strong demand for our DMP 350 metal printers, along with healthy sales of our SLA 825 polymer printer. Both of these platforms meaningfully contributed to revenue performance during the quarter. In data center infrastructure, revenue grew more than 20% year-over-year as a result of increasing demand for metal parts used in critical airflow and thermal management components for semiconductor manufacturing equipment. Moving now to Slide 18 to cover our business segments. Healthcare Solutions remained our largest segment in the quarter with revenue of $48.1 million, up 6.8% from the prior year period. Healthcare growth was driven by continued strength in our medtech market. Demand for metal printers used by OEMs to produce orthopedic medical implants meaningfully increased during the quarter and Personalized Healthcare Solutions, our PHS business, benefited from growth in surgical planning and trauma applications. Dental revenue also increased in the quarter with steady demand for dental material sales and continued adoption of our NextDent 300 denture printer across both the U.S. and Europe. Turning to our Industrial segment. Revenue for the second quarter was $46.5 million, down 3.7% from the prior year period and up 2.4% sequentially. The decline primarily reflected revenue that did not carry forward following the closure of a noncore product offering last year as well as lower services revenue on our legacy printer installed base. As we continue to see momentum in sales of our updated printer platforms, we believe the ongoing refresh of our installed base should position us to drive future recurring products and services revenue. Looking across our industrial markets, aerospace and defense remained our largest market with space and defense applications driving sales in the quarter. We also saw healthy year-over-year growth in data center infrastructure, resulting from increased demand for parts manufacturing, along with solid growth in materials and services revenue within automotive and motorsports. Turning to Slide 19 to review gross margin. Second quarter non-GAAP gross margin was 36.7%. Gross margin performance in the quarter reflected offsetting factors, including a higher mix of hardware printer sales, less favorable materials mix and the comparison to a large regenerative medicine milestone recognized in the prior year period. These headwinds were partially offset by the benefits of prior cost reduction actions and the recognition of $2.6 million in tariff refunds during the quarter. As we look to the second half of the year, we expect continued demand for printer hardware, which should drive a growing base for future materials and services revenue. Turning to Slide 20. We continue to demonstrate strong cost management and operational efficiencies through the first half of 2026. In the second quarter, non-GAAP operating expenses were $39.5 million, a decrease of 11% from the prior year period. Sequentially, operating expenses increased by $2.9 million, primarily due to normal quarterly timing of expenses and an isolated bad debt reserve. Additionally, this quarter, we completed our 6-quarter cost reduction initiative, which included actions to optimize our facilities footprint, streamline our operating model and reduce ongoing operating costs. These actions have now delivered a little more than $60 million of annualized savings, contributing meaningfully to the improvement in our profitability metrics. While this initiative has concluded, we remain focused on identifying additional opportunities to further optimize our operations. These actions have strengthened our cost structure and reinforce our disciplined approach to expense management, enabling us to selectively increase investments in R&D and capital to support our strategic priorities. Now moving to Slide 21. Second quarter adjusted EBITDA was negative $800,000, an improvement of $3.9 million from the prior year period. This was primarily driven by the benefits of our previous cost reduction actions and the recovery of tariff refunds in the quarter and was partially offset by the isolated bad debt reserve recognized in the period. Turning to earnings per share. Second quarter non-GAAP EPS was negative $0.04, an improvement of $0.02 per share compared to the prior year period. While there is still work ahead, our consistent performance over the past several quarters demonstrates that the actions we have taken are delivering measurable financial improvement. We believe these efforts are strengthening the foundation of the business and positioning the company for long-term profitable growth. Turning to Slide 22 for a summary of our balance sheet. During the second quarter, we completed an equity offering with net proceeds just over $53 million, strengthening our liquidity position and providing flexibility to support ongoing business operations and strategic investments in our priority growth markets. We believe target investments in talent, facilities expansion, printers and equipment and critical tools and technology will enhance our ability to capitalize on key markets that are accelerating the adoption of additive manufacturing. Moving to our cash position for the quarter. We ended the second quarter with $129 million in cash, cash equivalents and restricted cash. Total debt outstanding was $96 million, with $3.9 million coming due in the fourth quarter of 2026 and the remaining $92 million maturing in 2030. Now turning to Slide 23. As we conclude our detailed review of the second quarter, I'd like to briefly summarize our year-to-date performance through the first half of 2026. Looking at the first 6 months of the year provides a more comprehensive view of the performance of the business by helping to normalize the impact of typical quarter-to-quarter fluctuations related to the timing of customer purchases. Turning to our first half results. Revenue increased 6% compared to the prior year period, driven by strong performance across our 4 priority markets, each of which delivered more than 20% growth year-over-year. Within our business segments, Healthcare grew 14%, while Industrial revenue declined 1% compared to the prior year period. Revenue growth in Healthcare was driven by strong demand across the medtech business, including growth in Personalized Health Solutions, higher DMP printer sales and continued strength in orthopedic parts demand, along with double-digit growth in our Dental business for the first half. Industrial revenue performance was primarily impacted by softer demand in our consumer-facing and general manufacturing markets, the end markets most sensitive to pricing and macroeconomic conditions. These headwinds were mainly offset by strong growth in aerospace and defense and automotive during the first half of the year. Moving to adjusted EBITDA. We generated positive adjusted EBITDA of $1.3 million in the first half of 2026. This performance reflects solid revenue growth in the half, meaningful benefits from our completed cost reduction actions and continued discipline in managing operating expenses. While there is still work to be done to carry forward this momentum, we believe these results demonstrate the progress we are making toward our long-term profitability objectives. Turning to Slide 24 to conclude with our Q3 outlook. As we look to the third quarter, we remain encouraged by the positive trends we see across the business. We anticipate ongoing strength within our key markets, supported by growth in both printer hardware systems and parts sales. We also remain confident in the continuing adoption of our new denture platform and ongoing growth of our PHS business. Reflecting on our recent performance, ongoing operating discipline and expected product sales mix trend, we are providing the following outlook for the third quarter of 2026. Revenue in the range of $96 million to $99 million and adjusted EBITDA in the range of negative $3 million to negative $1 million. In summary, we believe our results in the first half of the year, combined with the breadth of our metal and polymer portfolio to address the needs of our growth markets, position us well for the third quarter. This now concludes the review and discussion of our second quarter and first half financial results. With that, I will now open the line for questions. Operator? Operator: [Operator Instructions] Our first question today is coming from James Ricchiuti from Needham & Company. James Ricchiuti: First off, Jeff, congratulations, and I wish you the best. Jeffrey Graves: Thank you, Jim, very much. I appreciate that coming from you. I really appreciate it. James Ricchiuti: And it looks like some nice progress in the quarter. And a couple of things. First off, how are you thinking about the NextDent deployment looking out to 2027, just based on what you're seeing in the market today? Jeffrey Graves: Jim, I would tell you, I've been thrilled with the receptivity. We're starting -- we've been out there long enough now to really start getting some feedback from the end user, the patients, if you will, and the dentists. And I knew it was an attractive product and the performance was good. What I've been particularly pleased with, Jim, is the feedback we get on the comfort of fit the first time. So from a patient standpoint, they don't have to come back multiple times to have them adjusted, which you do with conventional dentures quite a lot. And for the dentist, what that translates into is productivity. They can see more paying patients a day by doing that. So all the stars aligned for dentures right now. I am thrilled with the uptake. Now it's really about marketing to make sure more and more dental offices know of the availability of the product, and then our direct sales activity to dental labs. And there are a lot of them, Jim. And that's good and bad. I mean, it's nice to have a distributed customer base, so you don't have customer concentration. But for a smaller company like ours, we also have to have really good direct salespeople and channel partners to get out there and touch those labs. Even when you concentrate it down, there's about 8,000 total labs between the U.S. and Europe. You focus it down, there are about -- there are a few hundred that really drive a lot of revenue, but that's still a large number. So what I was really pleased about, Jim, is that we've got -- we're now in about 100 of those labs with our first printers. Some of them are buying second and third printers. That's the start of really building momentum. So I think it will take a couple of years to really build. But if you look at -- we've already revised our Q3 and Q4 production plan up twice this year. And we're starting to be a little -- to be frankly, Jim, to be a little bit rate limited by electrical components that are going into data centers. So we're starting to -- we are starting to have to kind of buy ahead, make sure our supply chain is able to support our growth in the denture market. But I am really pleased. I see no impediments. It's all a matter now of marketing and sales and really getting the message out about it. And on the heels of the products we've already launched, we've got already a next-generation product in the pipeline we're working on to make it even faster and better. So I'm thrilled. Just opening up the U.S. and Europe, Jim, could potentially bring a revenue stream that's several times the revenue stream we've had for teeth straightening for the aligner product. And the materials are regulated. They're FDA and EU MDR approved. So when you sell a printer, customers really are incentivized, if you will, by the regulatory environment to use your materials. So I am thrilled with all aspects of that, Jim, and the quality of what we're shipping is outstanding. I think by '27 and '28, you'll see this revenue stream growing significantly. We've got other exciting growth markets, so it's impossible to say what will be the single biggest in our company. But I would tell you, dental in total, I could see being that and dentures, I believe, in a couple of years could be the leader in that whole parade. So I'm really excited. '27 will be a good year. I think '28, '29, there's many good years to follow, Jim. James Ricchiuti: Got it. That's great color. Phyllis, maybe a question for you. I'm wondering how we should be thinking about gross margins and OpEx in the back half of the year. If you're able to give us some color on where you see margin trends. Phyllis Nordstrom: Sure, Jim. So just looking at gross margins, Jeff mentioned in his script that we were going to be printer heavy in the back half of the year, particularly in Q4, that's always a very printer heavy quarter given CapEx spending that occurs near the end of a calendar fiscal year. On the OpEx side, so I'd say margins will be, I'd say, slightly impacted by that printer mix. So I would sort of factor that in as you're looking forward in the second half. As it relates to OpEx, I think we've done a really good job over the first 2 quarters. I don't see that momentum changing. I think there's stability now in our OpEx performance. So looking in the back half of the year, I would expect what you saw in the first half of the year to be pretty similar to the back half. Jeffrey Graves: Jim, before you drop off, I just want to personally thank you. You have followed this company. I've known you a long time, you followed this company extremely well and our entire industry. Really appreciate the hard work you've done and the research you put out on us and others in this industry. Thank you very, very much for the support. It's obviously a bit of an emotional day for me, and I just want to say thank you personally very much. Operator: Our next question is coming from Greg Palm from Craig-Hallum. [Operator Instructions] Greg Palm: Yes. Thanks, Jeff. Well, I think you mentioned almost 100 quarterly calls. That's a pretty impressive feat that probably puts you in rare territory. So yes, I'd like to just offer my congratulations on a pretty amazing career as well. Jeffrey Graves: Thank you, Greg. I really appreciate that. Greg Palm: So let's maybe start with that. The timing is a little bit interesting given, frankly, a lot of hard work over the last few years that's now, I think, put the company in a pretty interesting position to accelerate growth, profitability. So I guess the question is, why now? Why does the timing make sense? And just to be clear, has the search process already started? I just wonder how long this has been going on behind the scenes. Jeffrey Graves: No, it's just really getting underway, Greg. So that's -- it will -- it could be a protracted period, Greg. I'm certainly not leaving right away. This could take many months to play out. So it's just getting underway. Yes, I will say in terms of timing, Greg, it's a great question. I -- in addition to being the CEO, I've been on public company boards for cumulatively for 35 years and through several -- many different boards and public company boards and CEO transitions are always tricky. That's always an art. Many companies wait until a company has a real problem. There's an issue, and they're forced to make changes and make them as quickly as they can. I think 3D Systems now, we're in an enviable position. We have made it through a really difficult period in this industry, where we had to cut an enormous amount of cost out of the business while maintaining our R&D portfolio spend in order to be ready for this resurgence now out of the recession that I think you're going to see going forward. So the timing may look a little interesting from the outside, but I would tell you, we've got the company well positioned now. When you go to look for a CEO, you can say to somebody, look, the hard work is done of leaning out the company, getting the portfolio refreshed and focusing on the core markets, we're ready to rock. And we've got cash on the balance sheet to do it. That's a really attractive, if you will, advertisement for a CEO to come in that has maybe a 10-year runway. I grew up at GE, where when you look for a CEO, it was a -- you wanted somebody with a decade runway, okay? I've been at this for some time. It's not like I want to go sit on a beach somewhere, but it is an elegant time to hand to somebody and say, you've got a run ahead of you now that's very positive. So I think it's a good time to do this type of thing. It may look a little different because it's not being driven by anything, but it is being driven more by an opportunity of the future to keep the momentum going in this company for an extended period of time because our products tend to last 10 years or more. So the decisions that you make, they take several years to see them play out, and you want somebody in the chair that's going to see it through that whole process. So that's what I would say is the timing. It's a positive thing for the future. I'll be here until we get a very good person in this seat to carry the ball forward. I'm committed. I love what we do. I love this company, frankly, I love our people and particularly our customers and our mission. I will ensure that to the best of my ability that we get somebody that is credible worthy of this position going forward and can really carry the ball to new heights. So that's the simple kind of long-winded explanation, Greg, for you. Okay? Greg Palm: Yes. No, I appreciate the thoughts. I wanted to maybe shift gears and talk about some of the highlights. So you noted, I think what you said was a record industrial polymer printer order or at least I think, sort of strongest order activity since 2014. Can you quantify that or give us some sense of what that represents in terms of the number of shipments? And were some of those shipped? Are those from future delivery? I just wanted to be clear. I think you said that was casting for reusable rockets, but just wanted to confirm. Jeffrey Graves: Yes. You certainly got the market right, Greg. And in terms of the exact details of the order, I don't want to get to an order level of detail, but I will tell you, it spans multiple quarters. It's a very large order for printers that are critical to the production of reusable rockets. And I just couldn't be happier about it. And when we accepted that order, I'd tell you, I was not only happy for the company, I was happy for our nation and the world. I think the revolution in space travel now is amazing. The cost they brought out of doing that is incredible. And 3D printing is really, really showing its potential to change the manufacturing environment for a company that will embrace it and use it. And I love visiting that customer because I see every day how they're embracing new manufacturing technology, not only 3D printing, but other technologies that are really evolutions of our traditional industrial base and you say, "Wow, you guys are plowing new ground that is amazing to me." I look up in the sky at night and sometimes you can see the constellation of satellites that are up there, all based on their use of this kind of technology. So I can talk on and on about it. I love it. It spans multiple quarters. We did do some shipments in Q2. They wanted immediate delivery as much as we could. And we've got much more ahead of us. So if we play it right, I mean, if we do a good job for them, it can be a revenue stream for many, many years to come. And because it's a polymer-based product, you'll have consumable access to material sales that carry a high gross margin. So love the application. It's a model for us to follow in all of our core growth markets now, okay? And that's why I think you'll see a nice resurgence of industrial 3D printing in key markets now, Greg. Greg Palm: Yes. Okay. That makes more sense because I was going to segue into that and ask about Q3 because I'm not sure when the last time you actually grew sequentially from Q2 to Q3, and it's mid-single digits at the midpoint. So it sounds like maybe it's a combination of this and some of the other stuff. But... Jeffrey Graves: Well, the encouraging thing, Greg, is, yes, this order was a really nice cornerstone to build on. But we see strength. I'll ask Phyllis to comment on here in a second on -- we see strength. We keep talking about these 4 key growth markets, 2 in healthcare, 2 in industrial. They're all coming back, and they're doing well. Now there -- quarter-by-quarter, there'll still be noise, but they are all doing well. And look, we still have exposure to other markets and stuff. That's why the whole company is not growing at this rate yet. But if you look at our 4 core growth markets, and they're all firing now on all cylinders. And I think you'll see that going forward a lot. Now it starts with printer sales. So we're selling a lot of printers into the field. Material sales on the polymer side will follow and metal parts sales will follow on the metal side. Phyllis, maybe you could comment for Greg on the core growth markets. Phyllis Nordstrom: Yes. I think what I'm most excited about is not just being it concentrated in any one category. So Greg, we're seeing it again across printers, materials, parts, even within our healthcare services like PHS, there's an expectation that there is continued momentum from quarter-to-quarter. Oftentimes, we can be a little lumpy just depending on mix, but I think we've got a good broad sort of growth story coming into Q3, which is why we set the range where we did. So I'm very happy about that. Greg Palm: Yes. Okay. And I guess just last one in light of this positive commentary, I mean, across a whole bunch of end markets and product lines, and I'm cognizant of the fact that you only guide 1 quarter out, but I'm having a hard time not believing that this is kind of a growth company again, and you can maybe get back to double-digit growth. I mean, do you have line of sight in returning to double-digit growth, whether that's next year, '28? Jeffrey Graves: Greg, yes, you can certainly extrapolate that direction. Given the last 2 years of severe headwinds from this recession, our industry has gone through, I hate to get it too far out in time because I just don't know what's going to go on in the world. But yes, I agree with you. That's the trend. We've taken the conservative approach now to just guide a quarter out, one foot after another. That's where we're going. We try to give you color on the core markets so that we don't just hang our hat on a onetime event, like one big order, try to give you color on the core markets. And our 4 key growth markets are, I believe, long-term growth markets. They're looking really solid for years to come, I believe. So I'm optimistic. I'm positive about the trajectory. I don't want us to get out over our skis like so many times this industry has done. I just want to keep delivering on solid growth every quarter and improving profitability. So that's why we're guiding Q3 and not the full year or '27, okay? Operator: [Operator Instructions] Our next question is coming from Kieran McCabe from Cantor. Kieran McCabe: I want to thank Jeff for his service to the company. I just start up on this industry a few months when you joined 3D Systems. So I enjoy learning the industry as you're CEO of the company. So I want to send my congratulations. My question... Jeffrey Graves: Thank you, Kieran. Kieran, thank you very much for those kind comments. And please pass along my thanks to Troy as well, Troy Jensen, who has done an excellent job, your colleague there at Cantor has done an excellent job working not only with me and 3D Systems, but this entire industry particularly through this difficult period in the last couple of years, you guys have been there and done a terrific job, Kieran. So thank you. Kieran McCabe: Great. Well, I'll pass it on and we appreciate it. I guess my question is maybe kind of a follow-up to the previous one, but maybe can you -- I guess, in industrial, you said some of the end markets are price sensitive, were a little bit weaker and maybe you can provide a little bit color on like aligners sort of are you seeing better visibility in those markets that may be more cycle, more price sensitive? Maybe are you kind of seeing some light at the end of the tunnel in those kind of markets that are maybe more tied to the economy? Jeffrey Graves: Yes, Kieran. So I would tell you, dental as a whole has been a good story. And historically, it's been highly tied to the aligner market. And we've written the ups and downs of that market. That market now seen from everything I can see publicly and stuff, it seems to have stabilized at more modest growth rates but continue to be a growth market. I think that's a great foundational business. I do not put that in the category of severe external competition and things. I think we've got a really deep relationship and foundation there. When you think about other markets that remain weak for us, it's on the industrial side of the business, outside of -- it's easier to say what's outside of aerospace and defense and data center infrastructure. So the more consumer-facing markets that we have are like the service bureaus that support consumer-oriented business. The jewelry business happens to be not only a consumer-facing business, but also deeply embedded in the Middle East. So those kind of markets remain challenging. And that's why on the industrial side, you see that as pretty much an offset to the strength in the high-growth markets. Over time, those high-growth markets are going to become dominant. Aerospace and defense is already our biggest industrial segment, and it's got great legs to it. Data center infrastructure, I think you're going to see the exact same thing. It's going to be a big market for us and a very good one. And then part making to support those markets is going to be very big. So over time, we'll get less exposed to consumer-facing markets. It is -- those are not markets that we're looking to make tremendous investments in for growth. They're certainly more competitive, particularly with Chinese products now. So we look more and more, they're good. They're foundational, but we're looking more and more to these high-growth markets for our future investment, Kieran, okay? Kieran McCabe: Right. And then you did have a very strong improvement in adjusted EBITDA and nearly breakeven. You're guiding to a small loss in the third quarter. And it seems like things are improving and have done $60 million in run rate cost reduction. I kind of -- I guess, maybe what do you kind of view as the levers to get you over that bump to positive EBITDA and kind of the timing? I know you're kind of conservative on the outlook, but you seem to be almost there and just kind of a nudge to get to the positive side. Jeffrey Graves: It's like you're sitting at the table, you could smell dinner, but it's not quite on the table yet. So no, you're right. It's really tied -- no, it's really tied to continued volume growth, and we're getting that now in printers. It's great to have. We'll get volume efficiencies with that. We'll get gross margins up based on volume efficiencies there and stuff. But the real payoff is going to come on material pull-through when those -- on the polymer side, when those printers are installed and really running, we're going to get material pull-through that almost assuredly always follows. I mean in many cases, it's a regulated environment and it has to follow. In other cases, our materials are just very attractive and are strongly preferred for our printers. So you'll get material pull-through, which is important for our gross margins. And on the metal side of things, we've got what's emerging is this, I think, a relatively unique model where we now bridge customers from initial application development through part production through printer sales. And it's the rise of part production as a part of that model that's going to also drive our gross margins. So the key to profitability for us is getting our gross margins up. The linkage there is to consumables on the polymer side and metal parts on the metal side. And I think that naturally follows from the growth we're seeing on printers right now. So I'm thrilled with the outlook. I think it's rock solid in a very volatile world. We're in the markets you'd like to be in for growth and a bit of insulation from some of the day-to-day volatility, if you will. Kieran McCabe: And my final question, kind of personal interest in it, but it's on the data center infrastructure, the slide you had powering the data center and nuclear, are you working a lot with like the hyperscalers and data centers for powering more behind the meter at the site? Or are you also working with large utilities and sort of the grid and generation off-site? Jeffrey Graves: No. So there's -- we're working primarily with the traditional -- first of all, the traditional OEMs. You've got people like GE Vernova, Siemens, others that are in the business of manufacturing power generation equipment using traditional means like natural gas-fired gas turbines. Then you've got now these hyperscalers that have to basically bring their own energy, Kieran. I mean it's too much for the grid to handle easily, so they have to bring their own power. So I'm getting called into more and more meetings about things like small nuclear reactors for data centers. And it's -- after not being in the nuclear business for a few decades as a country, I think you'll see a resurgence in nuclear power, not necessarily the big power plants owned by utilities as much. Those take a long time to build many, you measured it in decades sometimes. You'll see nimble smaller nuclear plants, I believe, powering big data centers. And we're in direct discussions right now with the OEMs, the hyperscalers that have to buy those products and then their key suppliers that are going to supply them, okay? They're not going to -- hyperscalers aren't going to manufacture the energy generally. They're going to rely on key suppliers to produce it. Those are the folks that we're getting down to now. And Kieran, I'd just point out this Savannah River National Lab tie-in that we have now in South Carolina, they do marvelous work on nuclear power and fusion power, which is right on the cusp of being commercially viable. The materials they use are custom made for 3D printing, if you will. They are high-temperature difficult materials, very hard to manufacture through traditional means and they're very expensive parts. So they're ideal for 3D printing where you can bring the cost down and you can enhance the design capability of those components. So that's what we're doing on the fundamental side, working with SRNL on -- they're leveraging their R&D. We're putting that technology into our printers now, and we're working with the hyperscalers to apply that technology. So that's where we're headed. I wanted to mention it because it's a future thing, but I think it's a really big deal, Kieran. So when you look out a few years for us, I think energy will warrant its own discussion. It will have its own revenue stream and profit stream from that, okay? Operator: We reached the end of our question-and-answer session. I'd like to turn the floor back over for any further or closing comments. Jeffrey Graves: Kevin, you've been our operator on these calls, I think, since I arrived at this company over 6 years ago. You've done a marvelous job for us. And in my mind, you're not only a hero for seeing us through these calls, but you represent hundreds of people that help us do what we do every day and communicate with the outside world. So I want to thank you personally and for all the folks that largely go unsung in getting information out on the company and helping us deliver every day. So thank you, my friend, for helping us through these calls, and I wish you the very best as well. So with that, let me wrap up the call. Again, I will be here for months to come yet, most probably. I may see you on another earnings call. Thank you all for tuning in today. Thank you for supporting our company, and we look forward to sharing our continuing results with you in the -- after the third quarter. Operator: Thank you. That does conclude today's teleconference. You may disconnect your lines at this time, and have a wonderful day. We thank you for your participation today. Before you buy stock in 3D Systems, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and 3D Systems wasn’t one of them. The 10 stocks that made the cut are built for long-term growth and could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $399,832!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,374,595!* That performance is why people listen. With a track record of beating the S&P 500 by 4x, Stock Advisor offers a distinct advantage. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built for the long haul. See the 10 stocks » *Stock Advisor returns as of August 10, 2026. This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool recommends 3D Systems. The Motley Fool has a disclosure policy. 3D Systems (DDD) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Interested in 3D Systems Corporation? Here are five stocks we like better. Second-quarter performance improved: Revenue rose 1.4% year over year to $94.6 million, while printer sales increased more than 40% and adjusted EBITDA improved to a loss of $800,000. Healthcare Solutions revenue grew 6.8%, offsetting a 3.7% decline in Industrial Solutions. Demand strengthened in priority markets: Sales of the DMP 350 metal printer and SLA 825 polymer platform surged, while aerospace, defense, data-center infrastructure and dental applications generated notable growth. The company is also expanding metal-production capacity in Belgium and Colorado. CEO transition and outlook: CEO Jeffrey Graves plans to step down after the board began a succession process. 3D Systems forecast third-quarter revenue of $96 million to $99 million and adjusted EBITDA of negative $3 million to negative $1 million, with printer-heavy sales expected to pressure margins later in the year. Immersion Stock Surges as It Monetizes Haptic Technology Patents 3D Systems (NYSE:DDD) reported second-quarter revenue growth, a sharp increase in printer sales and improved adjusted EBITDA as demand strengthened across its targeted healthcare and industrial markets. The company also disclosed that President and Chief Executive Officer Jeffrey Graves plans to conclude his service as CEO following a succession process that has recently begun. Revenue for the second quarter totaled $94.6 million, up 1.4% from a year earlier, according to Chief Financial Officer Phyllis Nordstrom. Hardware printer sales rose more than 40% year over year and more than 20% sequentially, supported by demand for newer polymer and metal platforms. Non-GAAP adjusted EBITDA was a loss of $800,000, improving by $3.9 million from the prior-year period, while non-GAAP earnings per share were negative $0.04, an improvement of $0.02 per share. → SpaceX’s First Earnings Report Could Decide Whether Shorts or Bulls Have Control Stratasys Remains the Belle of the 3D Printing Ball Graves said customer capital spending has begun to return in key markets, coinciding with the company’s multiyear product portfolio refresh. Printer sales increased by more than 45% during the quarter, led by the DMP 350 metal-printing system, the SLA 825 polymer platform and MultiJet systems used in the company’s denture offering. Sales of the DMP 350 and SLA 825 platforms grew roughly 90% and 125%, respectively, year over year in the second quarter, Graves said. The SLA 825 is intended for high-quality patterns used in metal casting, while the DMP 350 is a direct-metal printing platform. → 3 Drone Stocks That Should Soar After the Summer Slump Will Stratasys Continue to be a Runaway Bride? The company’s four stated priority markets are medical technology, dental, aerospace and defense, and data center infrastructure. Nordstrom said each of those markets delivered more than 20% year-over-year growth in the first half of 2026. Healthcare Solutions revenue was $48.1 million, up 6.8% year over year. Industrial Solutions revenue was $46.5 million, down 3.7% year over year but up 2.4% sequentially. First-half revenue increased 6% year over year, with healthcare revenue up 14% and industrial revenue down 1%. Healthcare growth reflected demand for metal printers used in orthopedic implant production, growth in surgical planning and trauma applications within the company’s Personalized Healthcare Solutions business, and increased dental revenue. Industrial revenue was affected by the prior closure of a non-core product offering and lower services revenue from legacy systems, Nordstrom said. → Why Rare Earth Processing Could Be the Real 2027 Opportunity In aerospace and defense, Graves said 3D Systems received one of the largest industrial printer orders in its history during the second quarter. The multiquarter order is tied to casting patterns for next-generation reusable rocket engines. Some units shipped in the second quarter, with additional deliveries expected over future quarters. Graves said the company is benefiting from demand for components supporting advanced rocket engines, where additive manufacturing is used for direct metal parts and high-precision investment castings made from 3D-printed patterns. Data center infrastructure revenue grew more than 20% year over year in the second quarter, driven primarily by demand for metal parts used in airflow and thermal-management components for semiconductor manufacturing equipment. Graves said the company participates in this market by selling both metal-printed components and printer systems to customers. The company is also expanding work in energy-related applications. During the quarter, 3D Systems executed a cooperative research and development agreement with Savannah River National Laboratory to collaborate on materials, component design, manufacturing and artificial intelligence-enabled process optimization for nuclear fission and fusion environments. In dental, Graves highlighted adoption of the NextDent 300 denture printer, which launched in late 2025 after FDA clearance and received full EU MDR approval in the second quarter. The company expects to have printers installed in more than 100 dental labs by year-end. Graves said initial installed printers are expected to generate more than $2 million in annual recurring revenue, though the company’s current penetration represents less than 2% of the U.S. and European denture markets. To support demand for finished metal parts, 3D Systems is expanding production capacity in Leuven, Belgium, and Littleton, Colorado. The company is adding about 50,000 square feet of parts-production space in Littleton, raising total metal-printing space to more than 270,000 square feet. The grand opening is targeted for the fall. Graves said the company currently has 77 metal printers in production and 42 polymer printers used primarily for its med-tech business. The company sold more metal printers in the first half of 2026 than it did in all of 2025, he said. Second-quarter non-GAAP gross margin was 36.7%. Nordstrom said margin results reflected a higher mix of hardware sales, less favorable materials mix and comparison with a regenerative medicine milestone recognized in the prior-year quarter. Those pressures were partly offset by cost reductions and $2.6 million in tariff refunds. Non-GAAP operating expenses declined 11% year over year to $39.5 million. The company completed a six-quarter cost-reduction initiative that generated more than $60 million in annualized savings through facility optimization, operating-model changes and lower ongoing costs. 3D Systems ended the quarter with $129 million in cash equivalents and restricted cash. During the quarter, it completed an equity offering that generated net proceeds of just over $53 million. Total debt was $96 million, including $3.9 million due in the fourth quarter of 2026 and $92 million maturing in 2030. For the third quarter, the company forecast revenue of $96 million to $99 million and adjusted EBITDA of negative $3 million to negative $1 million. Nordstrom said the back half of the year is expected to have a heavier mix of printer sales, particularly in the fourth quarter, which could affect gross margins. She said operating expenses are expected to remain broadly consistent with first-half levels. Graves said the board has begun a CEO succession process and that he expects to remain in the role for months while supporting the transition. He said the timing reflects what he views as a stronger operational position following cost reductions, product introductions and a renewed focus on the company’s four growth markets. “The hard work’s done of leaning out the company, getting the portfolio refreshed, and focusing on the core markets,” Graves said. “We’re ready to rock, and we’ve got cash on the balance sheet to do it.” 3D Systems, founded in 1986 by stereolithography pioneer Chuck Hull, is a leading provider of additive manufacturing solutions. Headquartered in Rock Hill, South Carolina, the company develops and sells a broad range of 3D printers, materials, software, and on-demand manufacturing services. Its core technologies include stereolithography (SLA), selective laser sintering (SLS), direct metal printing (DMP), and multi-jet printing (MJP), enabling customers to build prototypes, production parts, and complex geometries across a variety of industries. The company's hardware portfolio spans desktop to production-scale systems designed for applications in aerospace, automotive, healthcare, consumer products, and education. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "3D Systems Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Performance was driven by a 45% increase in printer sales, signaling a return of customer capital spending and the successful refresh of the product portfolio. The company is shifting focus toward four key high-growth markets: medtech, dental, aerospace and defense, and data center infrastructure, which are adopting additive manufacturing for production. Healthcare remains the largest segment, bolstered by strong demand for orthopedic implants and the successful launch of the NextDent 300 denture system. Industrial segment revenue was modestly lower year-over-year as growth in aerospace, defense, and data center infrastructure was offset by the replacement of older systems and competition in consumer-facing markets. Management is expanding internal metal parts production capacity in the U.S. and Europe to bridge customers from initial concept to full-scale production. A strategic partnership with Savannah River National Laboratory was established to develop advanced materials for extreme environments in nuclear fission and fusion applications. Q3 2026 revenue is projected between $96 million and $99 million, assuming ongoing strength in hardware systems and parts sales. Management expects the denture market to become one of the company's largest and most profitable revenue streams as it penetrates the fragmented dental lab market. The company is developing a large-scale metal printing system exceeding 1 meter in size, designed and manufactured entirely in the United States for defense and industrial use. While profitability is expected to improve over time through printer volume efficiencies and material pull-through, the company projects a small adjusted EBITDA loss in the third quarter of 2026., which typically precedes high-margin recurring material revenue. The CEO transition process is just beginning and may be a protracted period of several months to ensure a smooth leadership handover during a period of positive momentum. The company completed a 6-quarter cost reduction initiative, achieving over $60 million in annualized savings to stabilize the operating expense base. A $53 million equity offering was completed in Q2 to strengthen liquidity and provide flexibility for strategic investments in talent and facilities. Supply chain constraints, specifically regarding electrical components for data centers, are beginning to limit production rates for certain printer lines. The Industrial segment faced headwinds from the closure of a non-core product offering and lower services revenue on legacy installed bases. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management reported strong clinical feedback regarding patient comfort and dentist productivity, which is driving repeat purchases from early-adopter dental labs. The revenue potential for the denture market in the U.S. alone is estimated at over $150 million annually, with less than 2% current market penetration. Regulatory approvals in Mexico, South America, and Asia over the next year are expected to further accelerate global adoption. Gross margins in the second half of 2026 will be slightly impacted by a higher mix of hardware sales versus materials, particularly in the fourth quarter. Operating expenses are expected to remain stable and consistent with first-half levels following the completion of major restructuring actions. CEO Jeffrey Graves stated the transition is occurring now because the 'hard work' of leaning out the company and refreshing the portfolio is complete. The board seeks a successor with a '10-year runway' to lead the company through the long-term lifecycle of its new product platforms. 3D Systems is engaging with hyperscalers and OEMs to develop small nuclear reactors and fusion components to power energy-intensive data centers. The company believes energy applications will eventually become a standalone revenue and profit stream due to the need for complex, high-temperature metal parts.

This article first appeared on GuruFocus. Revenue: $94.6 million, up 1.4% year-over-year. Printer Sales: Increased over 40% year-over-year and more than 20% sequentially. Healthcare Solutions Revenue: $48.1 million, up 6.8% year-over-year. Industrial Solutions Revenue: $46.5 million, down 3.7% year-over-year, up 2.4% sequentially. Non-GAAP Gross Margin: 36.7%. Non-GAAP Operating Expenses: $39.5 million, down 11% year-over-year. Adjusted EBITDA: Negative $800,000, an improvement of $3.9 million from the prior year period. Non-GAAP EPS: Negative $0.04, an improvement of $0.02 per share year-over-year. Cash and Restricted Cash: $129 million at end of Q2. Total Debt: $96 million. First Half Revenue: Increased 6% year-over-year. First Half Adjusted EBITDA: Positive $1.3 million. Q3 2026 Revenue Outlook: $96 million to $99 million. Q3 2026 Adjusted EBITDA Outlook: Negative $3 million to negative $1 million. Warning! GuruFocus has detected 4 Warning Signs with DDD. Is DDD fairly valued? Test your thesis with our free DCF calculator. Release Date: August 04, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Printer sales increased by more than 45% in Q2, led by strong demand for the DMP-350 metal printing system, SLA-825 polymer platform, and NextDent 300 denture printer. All four key strategic markets (MedTech, dental, aerospace and defense, and data center infrastructure) delivered strong double-digit growth in the first half of 2026. Received one of the largest industrial printer orders in company history for casting patterns used in next-generation reusable rocket engines. The NextDent 300 denture printing system is gaining rapid adoption, with over 100 dental labs expected to have printers installed by year-end, creating a recurring, high-margin revenue stream. Completed a $60 million annualized cost reduction initiative, contributing to improved profitability and a positive adjusted EBITDA of $1.3 million in the first half of 2026. Expanding metal parts production capacity in the US and Europe to meet rising demand, which is expected to improve gross margins and strengthen customer relationships. Industrial business revenue declined 3.7% year-over-year in Q2, impacted by the closure of a non-core product offering and lower services revenue on legacy printers. Non-GAAP gross margin was 36.7% in Q2, negatively impacted by a higher mix of hardware printer sales and a less favorable materials mix. Adjusted EBITDA remained negative at -$800,000 in Q2, and the company guided to another adjusted EBITDA loss in Q3 2026. The company is experiencing supply chain constraints, particularly for electrical components, which could limit growth in the denture market. Softer demand in consumer-facing and general manufacturing markets, which are more sensitive to pricing and macroeconomic conditions, continues to weigh on overall performance. The company announced a CEO transition, creating potential leadership uncertainty during a critical growth phase. Q: How are you thinking about the NextDent 300 deployment looking out to 2027 based on what you're seeing in the market today? A: Dr. Jeffrey Graves (President and CEO) expressed enthusiasm about the product's reception, highlighting the comfort of fit for patients and productivity gains for dentists. He noted that the company is now in about 100 dental labs with initial printers, some of which are purchasing second and third units. He expects the revenue stream to grow significantly by 2027 and 2028, potentially making dentures the leader in the dental market. He also mentioned that production plans for Q3 and Q4 have been revised up twice this year, with supply chain for electrical components being a potential rate limiter. Q: Can you quantify the record industrial polymer printer order for casting patterns used in reusable rocket engines, and were some of those shipments from future delivery? A: Dr. Jeffrey Graves (President and CEO) confirmed the order is for printers critical to the production of reusable rockets, spanning multiple quarters. Some shipments were made in Q2, with much more ahead. He emphasized the strategic importance of the order, noting it represents a model for the company to follow in all core growth markets, with high-margin consumable material sales expected to follow. Q: Given the positive commentary across end markets and product lines, do you have line of sight to returning to double-digit growth, whether that's next year or 2028? A: Dr. Jeffrey Graves (President and CEO) stated that while he avoids getting too far out in time due to global uncertainties, the trend points in that direction. He emphasized that the four key growth markets (MedTech, dental, aerospace and defense, and data center infrastructure) are all firing on all cylinders and are long-term growth markets. He prefers to guide one quarter at a time to avoid overpromising, as the industry has historically done. Q: How should we be thinking about gross margins and OpEx in the back half of the year? A: Phyllis Nordstrom (CFO) indicated that gross margins will be slightly impacted by a printer-heavy mix, particularly in Q4 due to typical year-end capex spending. On the OpEx side, she expects stability, with the first half performance being similar to the back half, reflecting the benefits of completed cost reduction actions. Q: Can you provide color on the weaker end markets in the industrial segment and whether you're seeing any light at the end of the tunnel in those more cyclical, price-sensitive markets? A: Dr. Jeffrey Graves (President and CEO) explained that the weaker markets are the more consumer-facing ones, such as service bureaus supporting consumer-oriented businesses and the jewelry market, which is also tied to the Middle East. He noted that over time, the high-growth markets (aerospace and defense, data center infrastructure) will become dominant, reducing the company's exposure to these more competitive, consumer-facing markets. Q: What are the key levers to get the company over the hump to positive EBITDA, and what is the timing? A: Dr. Jeffrey Graves (President and CEO) stated that the key to profitability is raising gross margins, which will be driven by material pull-through on the polymer side as new printers are installed and by the growing metal parts production business. He described the emerging model of bridging customers from application development to part production to printer sales as a unique advantage that will drive margins and profitability. Q: Regarding data center infrastructure and nuclear energy, are you working with hyperscalers for behind-the-meter power or with large utilities for offsite generation? A: Dr. Jeffrey Graves (President and CEO) said the company is working with traditional OEMs like GE Vernova and Siemens for gas turbines, and increasingly with hyperscalers who need to bring their own power. He highlighted direct discussions about small nuclear reactors for data centers and the partnership with Savannah River National Laboratory (SRNL) to develop materials for extreme environments in nuclear fission and fusion reactors, which are ideal for 3D printing. Q: Why is the CEO transition happening now, and has the search process already started? A: Dr. Jeffrey Graves (President and CEO) explained that the succession process is just getting underway and could take many months. He believes the timing is elegant because the company has completed the hard work of leaning out the organization, refreshing the product portfolio, and focusing on core markets, making it an attractive opportunity for a new CEO with a long runway. He emphasized his commitment to ensuring a smooth transition and finding a credible successor. Q: Can you provide more detail on the strength in the data center infrastructure market and the growth in metal parts manufacturing? A: Dr. Jeffrey Graves (President and CEO) noted that the semiconductor and high-performance computing business grew almost 30% year-over-year in Q2, driven primarily by demand for metal printed parts. He highlighted that while printer sales expand the installed base, the growing volume of parts manufactured for customers is a key lever for improving gross margins. He also mentioned the expansion of parts production facilities in Littleton, Colorado, and Leuven, Belgium, to meet rising demand. Q: Can you elaborate on the growth in the aerospace and defense market, particularly regarding the large order for casting patterns? A: Dr. Jeffrey Graves (President and CEO) stated that the SLA-825 dual laser system, launched late last year, is specifically targeted at advanced casting applications for next-generation reusable rocket engines. He noted that production of these engines is expected to grow by nearly an order of magnitude over the next decade, and the company received one of the largest industrial printer orders in its history in Q2, driven by demand for these casting patterns. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

3D Systems DDD reported a second-quarter 2026 non-GAAP loss of 4 cents per share, narrower than the year-ago loss of 6 cents and beat the Zacks Consensus Estimate by 55.56%.Revenues slipped 0.3% year over year to $94.6 million but surpassed the consensus mark by 0.48%. Double-digit growth in metal and polymer printer systems, along with strength in key healthcare and industrial markets, supported the quarter.Adjusted for software divestitures completed in 2025, total revenues increased 1.4% year over year. The improvement reflected accelerating sales of newly launched printers as customers expanded their use of additive manufacturing across production applications. 3D Systems Corporation price-consensus-eps-surprise-chart | 3D Systems Corporation Quote Product revenues rose 1.9% year over year to $54.8 million, while services revenues declined 3.2% to $39.7 million. 3D Systems highlighted double-digit growth in both metal and polymer hardware printer systems, underscoring improving demand for the company’s refreshed equipment portfolio.Healthcare Solutions revenues increased 6.8% year over year to $48.1 million, making the segment the company’s largest business during the reported quarter. Growth was driven primarily by higher sales of new printer systems in Med Tech and continued expansion in Personalized Healthcare Services.Med Tech revenues grew more than 20%, while Dental revenues increased 3%. Management said customers in these markets continued adopting 3D printing as a core manufacturing technology and broadening the range of applications deployed.However, Industrial Solutions revenues declined 6.7% year over year to $46.5 million. Excluding the impact of software divestitures, the segment’s revenues decreased 3.7% year over year, reflecting the exit of a non-core product offering and lower hardware services revenues. Sequentially, Industrial revenues increased 2.4% on higher product sales. Aerospace & Defense and Data Center Infrastructure each delivered growth of more than 20%, helping offset weakness elsewhere in the portfolio. Aerospace & Defense remained the company’s largest industrial market. Gross profit fell to $34.5 million from $36.2 million reported in the year-ago quarter. Gross margin contracted 170 basis points (bps) to 36.4%, while non-GAAP gross margin excluding software divestitures declined 150 bps to 36.7%.The margin decline reflected a greater mix of printer sales and certain pricing pressures. These headwinds were partly offset by approximately $2.6 million in tariff refunds recovered during the quarter.Operating expenses decreased 12.4% year over year to $45.1 million. Research and development expenses dropped to $10 million from $17.4 million, while selling, general and administrative expenses increased to $35.1 million from $34.1 million.Adjusted EBITDA improved to a loss of $0.8 million from a loss of $4.7 million on a comparable basis. Prior cost-reduction measures and tariff refunds supported the improvement. Total cash stood at $129 million at June 30, including $128 million in cash and cash equivalents.The company has $3.9 million of debt principal maturing in the fourth quarter of 2026, with the remaining $92 million due in 2030. For the third quarter of 2026, 3D Systems expects revenues between $96 million and $99 million. The range is above the second-quarter revenue level and points to continued momentum from new printer introductions and priority end markets.Adjusted EBITDA is projected between a loss of $3 million and a loss of $1 million. Management remains focused on Med Tech, Dental, Aerospace & Defense and Data Center Infrastructure, all of which recorded growth exceeding 20% during the first half of 2026. Currently, 3D Systems has a Zacks Rank #3 (Hold). LegalZoom.com LZ, Alarm.com ALRM and Applied Industrial Technologies AIT are some better-ranked stocks in the broader Zacks Industrial Products sector. LegalZoom.com, Alarm.com, and Applied Industrial Technologies carry a Zacks Rank #2 (Buy) each. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.LegalZoom.com, Alarm.com, and Applied Industrial Technologies are expected to report their quarterly results on Aug. 5, 6, and 13, respectively. Shares of Applied Industrial Technologies and Alarm.com have jumped 37.8% and 8.9%, respectively, while shares of LegalZoom.com have dropped 16.6%, year to date. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report 3D Systems Corporation (DDD) : Free Stock Analysis Report LegalZoom.com, Inc. (LZ) : Free Stock Analysis Report Applied Industrial Technologies, Inc. (AIT) : Free Stock Analysis Report Alarm.com Holdings, Inc. (ALRM) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

ROCK HILL, S.C., Aug. 03, 2026 (GLOBE NEWSWIRE) -- 3D Systems Corporation (NYSE:DDD) announced today its financial results for the second quarter ended June 30, 2026. Q2 2026 revenue of $94.6 million, down 0.3% year-over-year, but up 1.4% excluding divestitures, driven by continued acceleration of new printer sales, with double-digit growth in both metal and polymer hardware printer systems. Net loss was $(12.9) million for the quarter, while Adjusted EBITDA improved to a loss of $(0.8) million, reflecting benefits from previous cost reduction initiatives. For the first half of 2026, the Company reported a net loss of $(17.3) million and positive Adjusted EBITDA of $1.3 million. Healthcare continued as the Company's largest segment in the quarter, with revenue increasing 6.8% year-over-year, supported by over 20% growth in Med Tech and 3% growth in Dental. Industrial revenue declined 6.7% year-over year, or 3.7% excluding divestitures, while increasing 2.4% sequentially, driven by higher product sales and over 20% growth in Aerospace & Defense, our largest Industrial market, and Data Center Infrastructure. We remain focused on our four priority markets which all delivered more than 20% growth in the first half of 2026: Med Tech, Dental, Aerospace & Defense, and Data Center Infrastructure. Summary Comments on Results Dr. Jeffrey Graves, President and Chief Executive Officer of 3D Systems, said, “We are pleased with our second-quarter and first-half performance on both the top and bottom line. Revenue growth was driven by strength in our four key markets: Med Tech and Dental in Healthcare, and Aerospace & Defense and Data Center Infrastructure in Industrial. Data Center Infrastructure is an emerging focus area for us and includes applications in chip manufacturing equipment and high-performance computing. Customers in these markets continue to adopt 3D printing as a core manufacturing technology and are expanding the range of applications they deploy. This performance highlights the market-leading breadth of our additive manufacturing portfolio, spanning direct metal printing and all five major polymer technologies, combined with our deep expertise in advanced applications. Of particular note is the growing impact of metal 3D printing, where design flexibility combined with cost-effective production is enabling higher-performance components and systems.” Dr. Graves concluded, “As the additive manufacturing industry continues to emerge from a multi-year downturn, our sustained investments in research and development are now enabling us to introduce a broad portfolio of new products that are gaining increasing customer traction. While the global economic environment remains uncertain, we are optimistic that, as capital investment activity strengthens, we are well positioned to benefit from the resulting expansion in global manufacturing capacity.” “Adjusting for divestitures completed in 2025, total revenue increased 1.4% year over year and 6% for the first half of 2026, demonstrating continued core revenue growth in the year” said Phyllis Nordstrom, Chief Financial Officer of 3D Systems. “Strong growth in our key markets along with accelerated growth in new printer launches contributed to our success in the quarter. We continue to focus on refreshing our installed base as well as expanding our parts manufacturing capabilities to drive greater margin expansion and profitability as we look ahead.” Second Quarter 2026 Results Total revenue decreased 0.3% to $94.6 million compared to the prior year period. Adjusting for software divestitures completed in 2025, including Geomagic, 3DXpert and Oqton, total revenue increased by 1.4%. Healthcare Solutions revenue increased approximately 6.8% to $48.1 million compared to the prior year period. Revenue growth was primarily driven by higher sales of new printer systems in Med Tech and continued growth in Personalized Healthcare Services. Industrial Solutions revenue decreased approximately 6.7% to $46.5 million compared to the prior year period. Adjusting for divestitures, Industrial Solutions revenue decreased 3.7% year over year. The decline was primarily driven by the absence of revenue from a non-core product offering exited in the prior year and lower hardware services revenue. Gross profit margin decreased to 36.4% compared to 38.1% in the prior year period. Non-GAAP gross profit margin decreased to 36.7% compared to 39.2% in the prior year period. Adjusting for software divestitures, non-GAAP gross profit margin decreased by 150 basis points. Gross profit was impacted by product mix, reflecting higher printer sales and select pricing impacts, partially offset by approximately $2.6 million of tariff refunds recovered in the quarter. Net income attributable to 3D Systems Corporation decreased by $117.3 million to a loss of $(12.9) million compared to the prior year period. The decrease was primarily related to the gain on the sale of Geomagic and the gain on debt extinguishment recorded in the prior-year period, partially offset by improved operating margins and a lower income tax provision in the current period. Adjusted EBITDA improved by $4.6 million, to $(0.8) million compared to the prior year period, driven primarily by the impact of prior cost reduction initiatives and the impact of tariff refunds recovered in the quarter. Adjusting for software divestitures, Adjusted EBITDA improved $3.9 million. Financial Liquidity During the second quarter 2026, the Company issued 18.9 million shares of common stock, par value $0.001 per share, for $53.2 million in cash, net of offering costs. At June 30, 2026, the Company had total cash of $129.0 million, which included cash and cash equivalents of $128.0 million and restricted cash of $1.0 million. A total of $3.9 million in principal amount of debt is scheduled to mature in the fourth quarter of 2026, with the remaining $92.0 million principal maturing in 2030. Third Quarter 2026 Outlook 3D Systems does not provide forward-looking guidance for certain measures on a GAAP basis. The Company is unable to provide a quantitative reconciliation of forward-looking Adjusted EBITDA to the most directly comparable forward-looking GAAP measures without unreasonable effort because certain items, including litigation expenses, acquisition expenses, stock-based compensation expense, intangible amortization expense, restructuring expenses, and goodwill impairment, are difficult to predict and estimate. These items are inherently uncertain and depend on various factors, many of which are beyond the Company’s control, and as such, any associated estimate and its impact on GAAP performance could vary materially. Second Quarter 2026 Conference Call and Webcast The Company will host a conference call and simultaneous webcast to discuss these results on August 4, 2026, which may be accessed as follows: Date: Tuesday, August 4, 2026Time: 8:30 a.m. Eastern TimeListen via webcast: www.3dsystems.com/investorParticipate via telephone: 877-407-8291 or 201-689-8345 A replay of the webcast will be available approximately two hours after the live presentation at www.3dsystems.com/investor. Certain statements made in this release that are not statements of historical or current facts are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 including statements regarding the timing of product launches, regulatory approvals, market opportunities, expected revenue impact, and shareholder value. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of the Company to be materially different from historical results or from any future results or projections expressed or implied by such forward-looking statements. In many cases, forward-looking statements can be identified by terms such as "believes," "belief," "expects," "may," "will," "estimates," "intends," "anticipates" or "plans" or the negative of these terms or other comparable terminology. Forward-looking statements are based upon management’s beliefs, assumptions, and current expectations and may include comments as to the Company’s beliefs and expectations as to future events and trends affecting its business and are necessarily subject to uncertainties, many of which are outside the control of the Company. The factors described under the headings "Forward-Looking Statements" and "Risk Factors" in the Company’s periodic filings with the Securities and Exchange Commission, as well as other factors, could cause actual results to differ materially from those reflected or predicted in forward-looking statements. Although management believes that the expectations reflected in the forward-looking statements are reasonable, forward-looking statements are not, and should not be relied upon as a guarantee of future performance or results, nor will they necessarily prove to be accurate indications of the times at which such performance or results will be achieved. The forward-looking statements included are made only as of the date of the statement. 3D Systems undertakes no obligation to update or review any forward-looking statements made by management or on its behalf, whether as a result of future developments, subsequent events or circumstances or otherwise. About 3D Systems Nearly 40 years ago, Chuck Hull’s curiosity and desire to improve the way products were designed and manufactured gave birth to 3D printing, 3D Systems, and the additive manufacturing industry. Since then, that same spark continues to ignite the 3D Systems team as we work side-by-side with our customers to change the way industries innovate. As a full-service solutions partner, we deliver industry-leading 3D printing technologies, materials and software to high-value markets such as medical and dental; aerospace, space and defense; transportation and motorsports; AI infrastructure; and durable goods. Each application-specific solution is powered by the expertise and passion of our employees who endeavor to achieve our shared goal of Transforming Manufacturing for a Better Future. More information on the Company is available at www.3dsystems.com. Presentation of Information in this Press Release 3D Systems reports its financial results in accordance with GAAP. Management also reviews and reports certain non-GAAP measures, including: adjusted revenue, non-GAAP gross profit, non-GAAP gross profit margin, non-GAAP diluted income (loss) per share, non-GAAP operating expense and Adjusted EBITDA. These non-GAAP measures exclude certain items that management does not view as part of 3D Systems’ core results as they may be highly variable, may be unusual or infrequent, are difficult to predict and can distort underlying business trends and results. Management believes that the non-GAAP measures provide useful additional insight into underlying business trends and results and provide meaningful information regarding the comparison of period-over-period results. Additionally, management uses the non-GAAP measures for planning, forecasting and evaluating business and financial performance, including allocating resources and evaluating results relative to employee compensation targets. 3D Systems’ non-GAAP measures are not calculated in accordance with or as required by GAAP and may not be calculated in the same manner as similarly titled measures used by other companies. These non-GAAP measures should thus be considered as supplemental in nature and not considered in isolation or as a substitute for the related financial information prepared in accordance with GAAP. To calculate the non-GAAP measures, 3D Systems excludes the impact of the following items: amortization of intangible assets, a non-cash expense, as 3D Systems’ intangible assets were primarily acquired in connection with business combinations; costs incurred in connection with acquisitions and divestitures, such as legal, consulting and advisory fees; stock-based compensation expenses, a non-cash expense; charges related to restructuring and cost optimization plans, impairment charges, including goodwill, and divestiture gains or losses; the impact of software divestitures, which were previously included in our Industrial Solutions segment, for pre-divestiture periods in 2025; and costs, including legal fees, related to significant or unusual litigation matters. Amortization of intangibles and acquisition and divestiture-related costs are excluded from non-GAAP measures as the timing and magnitude of business combination transactions are not predictable, can vary significantly from period to period and the purchase price allocated to amortizable intangible assets and the related amortization period are unique to each acquisition. Amortization of intangible assets will recur in future periods until such intangible assets have been fully amortized. While intangible assets contribute to the company’s revenue generation, the amortization of intangible assets does not directly relate to the sale of the company’s products or services. Additionally, intangible assets amortization expense typically fluctuates based on the size and timing of the company’s acquisition activity. Accordingly, the company believes excluding the amortization of intangible assets enhances the company’s and investors’ ability to compare the company’s past financial performance with its current performance and to analyze underlying business performance and trends. Although stock-based compensation is a key incentive offered to certain of our employees, the expense is non-cash in nature, and we continue to evaluate our business performance excluding stock-based compensation; therefore, it is excluded from non-GAAP measures. Stock-based compensation expenses will recur in future periods. Charges related to restructuring and cost optimization plans, impairment charges, including goodwill, divestiture gains or losses, and the costs, including legal fees, related to significant or unusual litigation matters are excluded from non-GAAP measures as the frequency and magnitude of these activities may vary widely from period to period. Additionally, impairment charges, including goodwill, are non-cash. Furthermore, the company believes the costs, including legal fees, related to significant or unusual litigation matters are not indicative of our core business' operations. The matters discussed above are tax effected, as applicable, in calculating non-GAAP diluted income (loss) per share. Adjusted EBITDA, defined as net (loss) income, plus income tax (provision) benefit, interest and other income (expense), net, stock-based compensation expense, amortization of intangible assets, depreciation expense, and other non-GAAP adjustments, all as described above, is used by management to evaluate performance and helps measure financial performance period-over-period. Furthermore, in this press release, 3D Systems reports certain non-GAAP financial measures further adjusted to remove the operating activity related to (i) Geomagic, which the Company divested on April 1, 2025, for $119.4 million in cash, and (ii) 3DXpert and Oqton, which the Company divested on October 31, 2025, for $3.3 million in cash plus a revenue-based royalty of up to $12.9 million (together with Geomagic, the "Software Divestitures"), for periods non-comparable on a year over year basis. The Company believes excluding non-comparable periods allows it to include the operating activity related to Software Divestitures only to the extent that results are comparable year over year. A reconciliation of GAAP to non-GAAP financial measures is provided in the accompanying schedules. Certain columns may not add due to the use of rounded numbers. Percentages presented are calculated from the underlying numbers in thousands. 3D Systems does not provide forward-looking guidance for certain measures on a GAAP basis. The Company is unable to provide a quantitative reconciliation of forward-looking Adjusted EBITDA to the most directly comparable forward-looking GAAP measure without unreasonable effort because certain items, including litigation costs, acquisition expenses, stock-based compensation expense, intangible assets amortization expense, restructuring expenses, and goodwill impairment charges, are difficult to predict and estimate. These items are inherently uncertain and depend on various factors, many of which are beyond the Company’s control, and as such, any associated estimate and its impact on GAAP performance could vary materially. Non-GAAP Revenue (Unaudited) Non-GAAP Industrial Revenue (Unaudited) Non-GAAP Gross Profit and Gross Profit Margin (Unaudited) (1) Calculated as non-GAAP gross profit as a percentage of total revenue. (1) Calculated as non-GAAP gross profit as a percentage of total revenue. Non-GAAP Operating Expense (Unaudited) Net (Loss) Income Attributable to 3D Systems Corporation to Adjusted EBITDA (Unaudited) Diluted Loss per Share (Unaudited)

It has been about a month since the last earnings report for 3D Systems (DDD). Shares have lost about 5.1% in that time frame, underperforming the S&P 500. But investors have to be wondering, will the recent negative trend continue leading up to its next earnings release, or is 3D Systems due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important drivers. 3D Systems posted a first-quarter 2026 non-GAAP loss of 1 cent per share, narrower than the reported loss of 21 cents per share in the year-ago quarter. The figure beat the Zacks Consensus Estimate by 88.89%.Revenues were $95.5 million, up 1% year over year or 11% excluding the impact of divestitures, and surpassed the Zacks Consensus Estimate by 3.65%. Strength in Healthcare demand stood out, supported by double-digit growth across Dental, Med Tech and Aerospace and Defense.Product revenues increased 5.5% year over year to $57.8 million in the first quarter, contributing 60.5% to total revenues. Services revenues, which accounted for 39.5% of total revenues, decreased 5.1% year over year to $37.8 million. The company operates through two key segments — Healthcare Solutions and Industrial Solutions — tailored to the diverse industries it serves. Healthcare Solutions focuses on dental, medical devices, personalized health services, and regenerative medicine, whereas Industrial Solutions caters to aerospace, defense, transportation, and general manufacturing.Healthcare Solutions remained the clear driver of the quarter. Segment revenue increased about 21% year over year to $50.1 million, reflecting broad-based momentum across key medical and dental applications. Dental and MedTech increased approximately 20% year over year.Industrial Solutions, however, continued to face pressure. Segment revenue decreased roughly 15% year over year to $45.4 million, though the company noted that adjusting for 2025 divestitures, Industrial Solutions revenue increased 2% from the prior-year period. In the first quarter of 2026, DDD’s non-GAAP gross profit increased 3.9% year over year to $34.4 million. The non-GAAP gross profit margin expanded 100 basis points to 36%, aided by higher volumes and a more favorable revenue mix.Adjusted EBITDA was $2.1 million compared with an adjusted EBITDA loss of $23.9 million a year ago, underscoring the benefits of improved sales levels and continued execution against expense initiatives.Operating expenses also came down sharply. Total operating expense on a non-GAAP basis declined 40.6% year over year to $36.6 million, reflecting the impact of earlier cost reduction actions. As of March 31, 2026, total cash was $86.5 million, including $85.1 million of cash and cash equivalents and $1.4 million of restricted cash.As of March 31, 2026, DDD had a total debt of $90.7 million. The balance sheet also reflects $3.9 million of debt scheduled to mature in the fourth quarter of 2026, with $92.0 million maturing in 2030. Management expects second-quarter 2026 revenues in the range of $93 million to $95 million. The outlook implies roughly steady demand levels as the company works to build on the quarter’s top-line momentum in priority markets.On profitability, adjusted EBITDA is expected to be between a loss of $4 million and $2 million in the second quarter. In the past month, investors have witnessed a flat trend in fresh estimates. The consensus estimate has shifted 11.11% due to these changes. At this time, 3D Systems has a great Growth Score of A, a score with the same score on the momentum front. However, the stock was allocated a grade of D on the value side, putting it in the bottom 40% for this investment strategy. Overall, the stock has an aggregate VGM Score of A. If you aren't focused on one strategy, this score is the one you should be interested in. 3D Systems has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months. 3D Systems is part of the Zacks Commercial Printing industry. Over the past month, Stratasys (SSYS), a stock from the same industry, has gained 0.8%. The company reported its results for the quarter ended March 2026 more than a month ago. Stratasys reported revenues of $132.7 million in the last reported quarter, representing a year-over-year change of -2.5%. EPS of -$0.01 for the same period compares with $0.04 a year ago. For the current quarter, Stratasys is expected to post earnings of $0.02 per share, indicating a change of -33.3% from the year-ago quarter. The Zacks Consensus Estimate has changed -5.3% over the last 30 days. The overall direction and magnitude of estimate revisions translate into a Zacks Rank #4 (Sell) for Stratasys. Also, the stock has a VGM Score of C. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report 3D Systems Corporation (DDD) : Free Stock Analysis Report Stratasys, Ltd. (SSYS) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

3D Systems delivered a first quarter that outpaced Wall Street’s expectations, with revenue growth driven by the company’s strategic investments in research and development and a revitalized product portfolio. Management emphasized that double-digit growth across printer and material sales, as well as robust demand in healthcare and aerospace, were key to the quarter’s improvement. CEO Jeffrey Graves credited the company’s “completely refreshed portfolio of new products, spanning from direct metal printing systems to the five major polymer printing platforms,” as the foundation for renewed momentum. The team also highlighted strong contributions from medical parts manufacturing and the successful U.S. and EU launches of its NextDent 300 denture printing system. Is now the time to buy DDD? Find out in our full research report (it’s free). Revenue: $95.54 million vs analyst estimates of $92.2 million (1.1% year-on-year growth, 3.6% beat) Adjusted EPS: -$0.01 vs analyst estimates of -$0.08 (87.9% beat) Adjusted EBITDA: $2.93 million (3.1% margin, 113% year-on-year growth) Adjusted EBITDA Margin: 3.1% Market Capitalization: $443.8 million While we enjoy listening to the management's commentary, our favorite part of earnings calls are the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. Greg Palm (Craig-Hallum): asked which market is most important for accelerating growth. CEO Jeffrey Graves responded that both healthcare and aerospace are driving broad-based demand, with dental and Med Tech expanding rapidly and defense customers increasingly adopting 3D printing. Greg Palm (Craig-Hallum): questioned if Q1 results benefited from any demand pulled forward. Graves clarified there were no pull-forwards, attributing the revenue beat to a genuine uptick in demand, and noted that Q2 may see typical seasonality, especially in healthcare. Greg Palm (Craig-Hallum): inquired about sustainable operating expenses and EBITDA profitability. CFO Phyllis Nordstrom explained that favorable expense timing and product mix aided Q1, but OpEx should stabilize and EBITDA breakeven remains the target for the full year. Troy Jensen (Cantor Fitzgerald): asked whether healthcare growth was driven more by personalized Med Tech or dental. Graves said both were strong, highlighting advances in trauma and oncology applications in Med Tech and new material approvals in Dental. Troy Jensen (Cantor Fitzgerald): sought details on metal additive manufacturing expansion. Graves described the 80,000-square-foot addition in Colorado focused on aerospace, with new capacity dedicated to printing high-performance metal parts for propulsion and defense. In the coming quarters, the StockStory team will be monitoring (1) the ramp-up and order backlog for the NextDent 300 denture systems in both U.S. and EU markets, (2) the operational launch and output of the expanded Littleton, Colorado manufacturing facility dedicated to aerospace and defense, and (3) the stabilization of operating expenses and non-GAAP margin improvement as new product platforms scale. Execution against these milestones will be critical to sustaining momentum. 3D Systems currently trades at $2.98, up from $2.51 just before the earnings. In the wake of this quarter, is it a buy or sell? Find out in our full research report (it’s free for active Edge members). ONE MORE THING: Top 5 Growth Stocks. The biggest stock winners almost always had one thing in common before they ran. Revenue growing like crazy. Meta. CrowdStrike. Broadcom. Our AI flagged all three. They returned 315%, 314%, and 455%, respectively. Find out which 5 stocks it's flagging for this month - FREE. Get Our Top 5 Growth Stocks for Free HERE. Stocks that have made our list include now familiar names such as Nvidia (+1,326% between June 2020 and June 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today.