Protolabs Reports Financial Results for the Second Quarter of 2024
Protolabs (NYSE: PRLB) reported financial results for Q2 2024, showing revenue of $125.6 million, a 2.8% increase year-over-year. The company's Network business grew 22% to $24.7 million. GAAP earnings per share were $0.18, while non-GAAP EPS reached $0.38. Protolabs served 22,456 customer contacts, with revenue per customer increasing 7% to $5,595. Gross margin improved to 45.0%, up from 43.4% in Q2 2023.
For Q3 2024, Protolabs expects revenue between $117-125 million and GAAP EPS of $0.10-0.18. The company maintains a strong financial position with $112.9 million in cash and investments. Despite challenging macroeconomic conditions, Protolabs continues to focus on customer adoption and efficiency improvements.
Protolabs (NYSE: PRLB) ha riportato i risultati finanziari per il secondo trimestre del 2024, mostrando entrate di 125,6 milioni di dollari, un aumento del 2,8% rispetto all'anno precedente. Il settore Network della compagnia è cresciuto del 22% fino a raggiungere i 24,7 milioni di dollari. Gli utili per azione secondo i principi contabili GAAP sono stati di 0,18 dollari, mentre l'EPS non GAAP ha raggiunto i 0,38 dollari. Protolabs ha servito 22.456 contatti clienti, con entrate per cliente che sono aumentate del 7% fino a 5.595 dollari. Il margine lordo è migliorato al 45,0%, in aumento rispetto al 43,4% del secondo trimestre 2023.
Per il terzo trimestre del 2024, Protolabs prevede entrate comprese tra 117 e 125 milioni di dollari e un EPS GAAP di 0,10-0,18 dollari. L'azienda mantiene una solida posizione finanziaria con 112,9 milioni di dollari in contante e investimenti. Nonostante le difficili condizioni macroeconomiche, Protolabs continua a concentrarsi sull'adozione dei clienti e sui miglioramenti dell'efficienza.
Protolabs (NYSE: PRLB) informó los resultados financieros para el segundo trimestre de 2024, mostrando ingresos de 125,6 millones de dólares, un incremento del 2,8% en comparación con el año anterior. El negocio de Red de la compañía creció un 22% alcanzando los 24,7 millones de dólares. Las ganancias por acción según los principios contables GAAP fueron de 0,18 dólares, mientras que el EPS no GAAP alcanzó 0,38 dólares. Protolabs atendió a 22,456 contactos de clientes, con ingresos por cliente aumentando un 7% hasta 5,595 dólares. El margen bruto mejoró al 45,0%, en comparación con el 43,4% en el segundo trimestre de 2023.
Para el tercer trimestre de 2024, Protolabs espera ingresos entre 117 y 125 millones de dólares y un EPS GAAP de 0,10-0,18 dólares. La empresa mantiene una sólida posición financiera con 112,9 millones de dólares en efectivo e inversiones. A pesar de las desafiantes condiciones macroeconómicas, Protolabs continúa enfocándose en la adopción del cliente y en la mejora de la eficiencia.
Protolabs (NYSE: PRLB)는 2024년 2분기 재무 결과를 발표하며 매출 1억 2,560만 달러를 기록했으며, 이는 전년 대비 2.8% 증가한 수치입니다. 회사의 네트워크 부문은 22% 성장하여 2,470만 달러에 도달하였습니다. GAAP 기준 주당순이익은 0.18달러였으며, 비 GAAP EPS는 0.38달러에 달했습니다. Protolabs는 22,456명의 고객 연락처를 서비스하였으며, 고객당 매출이 7% 증가하여 5,595달러에 달했습니다. 총 이익률은 45.0%로 2023년 2분기의 43.4%에서 개선되었습니다.
2024년 3분기 동안 Protolabs는 1억 1,700만 - 1억 2,500만 달러의 매출과 0.10-0.18달러의 GAAP EPS를 예상합니다. 회사는 1억 1,290만 달러의 현금 및 투자자산으로 강한 재무 상태를 유지하고 있습니다. 도전적인 거시경제적 조건에도 불구하고 Protolabs는 고객 채택 및 효율성을 개선하는 데 계속 집중하고 있습니다.
Protolabs (NYSE: PRLB) a annoncé ses résultats financiers pour le deuxième trimestre de 2024, avec un chiffre d'affaires de 125,6 millions de dollars, en hausse de 2,8 % par rapport à l’année précédente. Le secteur Réseau de l’entreprise a connu une croissance de 22% pour atteindre 24,7 millions de dollars. Le bénéfice par action selon les normes GAAP s'élevait à 0,18 dollar, tandis que le bénéfice par action non GAAP a atteint 0,38 dollar. Protolabs a servi 22 456 contacts clients, avec un revenu par client augmentant de 7% pour atteindre 5 595 dollars. La marge brute s'est améliorée à 45,0 %, contre 43,4 % au deuxième trimestre 2023.
Pour le troisième trimestre 2024, Protolabs s'attend à un chiffre d'affaires compris entre 117 et 125 millions de dollars et à un bénéfice par action GAAP de 0,10 à 0,18 dollar. L'entreprise maintient une solide position financière avec 112,9 millions de dollars en liquidités et investissements. Malgré des conditions macroéconomiques difficiles, Protolabs continue de se concentrer sur l'adoption par les clients et les améliorations de l'efficacité.
Protolabs (NYSE: PRLB) berichtete über die finanziellen Ergebnisse für das 2. Quartal 2024 und wies Einnahmen von 125,6 Millionen Dollar aus, was einem Anstieg von 2,8% im Vergleich zum Vorjahr entspricht. Das Netzwerkgeschäft des Unternehmens wuchs um 22% auf 24,7 Millionen Dollar. Die GAAP-Ergebnisse pro Aktie lagen bei 0,18 Dollar, während der nicht-GAAP EPS 0,38 Dollar erreichte. Protolabs bediente 22.456 Kundenkontakte, wobei die Einnahmen pro Kunde um 7% auf 5.595 Dollar stiegen. Die Bruttomarge verbesserte sich auf 45,0%, verglichen mit 43,4% im 2. Quartal 2023.
Für das 3. Quartal 2024 erwartet Protolabs Einnahmen zwischen 117 und 125 Millionen Dollar sowie einen GAAP EPS von 0,10-0,18 Dollar. Das Unternehmen hält eine starke Finanzlage mit 112,9 Millionen Dollar in bar und Investitionen. Trotz herausfordernder makroökonomischer Bedingungen konzentriert sich Protolabs weiterhin auf die Kundenakquise und Effizienzsteigerungen.
- Revenue increased 2.8% year-over-year to $125.6 million
- Network business revenue grew 22% to $24.7 million
- Non-GAAP EPS improved to $0.38 from $0.33 in Q2 2023
- Revenue per customer contact increased 7% to $5,595
- Gross margin improved to 45.0% from 43.4% in Q2 2023
- Strong cash position with $112.9 million in cash and investments
- Expected Q3 2024 revenue of $117-125 million suggests potential decline from Q2
- Adjusted EBITDA margin slightly decreased to 15.4% from 15.7% in Q2 2023
- Challenging macroeconomic environment impacting business performance
Insights
Protolabs' Q2 2024 results demonstrate a mixed performance in a challenging macroeconomic environment. The company reported a
The company's profitability metrics show improvement, with GAAP EPS of
However, the outlook for Q3 2024 suggests some caution, with expected revenue between
The company's focus on capital return to shareholders, evidenced by
Overall, while Protolabs shows resilience in a challenging environment, investors should monitor the company's ability to sustain growth and profitability improvements in the face of potential economic headwinds.
Protolabs' Q2 2024 results offer intriguing insights into the digital manufacturing sector's dynamics. The
The standout performance of the Protolabs Network, growing
However, the total customer contacts served (22,456) isn't explicitly compared to the previous year, leaving questions about customer acquisition and retention rates in a competitive market. The company's ability to expand its customer base while increasing revenue per customer will be important for long-term growth.
The projected Q3 revenue range of
In conclusion, while Protolabs demonstrates resilience and adaptation to market demands, the digital manufacturing sector appears to be navigating a complex landscape of evolving customer needs and economic uncertainties.
Total Revenue of
GAAP Earnings Per Share of
Second Quarter 2024 Financial Highlights:
-
Revenue was
$125.6 million 2.8% increase compared to the second quarter of 2023. -
Revenue generated from Protolabs Network was
$24.7 million 22.0% increase compared to the second quarter of 2023. -
Net income was
$4.5 million $0.18 $0.4 million $0.01 -
Non-GAAP net income was
$9.5 million $0.38 $8.7 million $0.33 -
EBITDA was
$15.2 million 12.1% of revenue. See “Non-GAAP Financial Measures” below. -
Adjusted EBITDA was
$19.3 million 15.4% of revenue, compared to$19.2 million 15.7% of revenue, in the second quarter of 2023. See “Non-GAAP Financial Measures” below.
"We executed well through the first half of 2024 despite operating in a challenging macroeconomic environment,” said Rob Bodor, President and Chief Executive Officer. "We continue to make progress on driving customer adoption of our combined offer fulfilled through both Factory and Network, while also increasing our revenue per customer. We have aligned our organization to support our initiatives, accelerate our next phase of growth, and improve our efficiency."
Dan Schumacher, Chief Financial Officer, commented, "Our results were driven by strong performance in our Network business and gross margin improvement across both Factory and Network. We remain committed to returning capital to shareholders as we repurchased
Additional Second Quarter 2024 Highlights:
-
Customer contact information
- Protolabs served 22,456 customer contacts during the quarter.
-
Revenue per customer contact increased
7.0% year-over-year to$5,595
-
Gross margin was
45.0% of revenue, compared to43.4% of revenue in the second quarter of 2023. -
Non-GAAP gross margin was
45.7% of revenue, compared to44.1% of revenue in the second quarter of 2023. See "Non-GAAP Financial Measures" below. -
Cash flow from operations was
$14.4 million -
Cash and investments balance was
$112.9 million
Third Quarter 2024 Outlook
For the third quarter of 2024, the Company expects to generate revenue between
The Company expects third quarter 2024 diluted net income per share between
Non-GAAP Financial Measures
The Company has included non-GAAP revenue growth by region and by service line that excludes the impact of changes in foreign currency exchange rates (collectively, “non-GAAP revenue growth”). Management believes these metrics, when viewed in conjunction with the comparable GAAP metrics, are useful in evaluating the underlying business trends and ongoing operating performance of the Company.
The Company has included earnings before interest, taxes, depreciation and amortization (“EBITDA”) and EBITDA, adjusted for stock-based compensation expense, unrealized (gain) loss on foreign currency and costs related to the
The Company has included non-GAAP gross margin, adjusted for stock-based compensation expense and amortization expense in this press release to provide investors with additional information regarding the Company’s financial results.
The Company has included non-GAAP operating margin, adjusted for stock-based compensation expense, amortization expense and costs related to the closure of
The Company has included non-GAAP net income, adjusted for stock-based compensation expense, amortization expense, unrealized (gain) loss on foreign currency and costs related to the closure of
The Company has provided below reconciliations of GAAP to non-GAAP net income, non-GAAP gross margin, non-GAAP operating margin, non-GAAP revenue growth by region and by service, and Adjusted EBITDA and Adjusted EBITDA margin, the most directly comparable measures calculated and presented in accordance with GAAP. These non-GAAP measures are used by the Company’s management and board of directors to understand and evaluate operating performance and trends and provide useful measures for period-to-period comparisons of the Company’s business. Accordingly, the Company believes that these non-GAAP measures provide useful information to investors and others in understanding and evaluating operating results in the same manner as our management and board of directors.
Conference Call
The Company has scheduled a conference call to discuss its second quarter 2024 financial results and third quarter 2024 outlook today, August 2, 2024 at 8:30 a.m. EDT. To access the call in the
About Protolabs
Protolabs is the fastest and most comprehensive digital manufacturing service in the world. Our digital factories produce low-volume parts in days while Protolabs Network unlocks advanced capabilities and volume pricing through its highly vetted manufacturing partners. The result? One manufacturing source—from prototyping to production—for product developers, engineers, and supply chain teams across the globe. See what's next at protolabs.com.
Forward-Looking Statements
Statements contained in this press release regarding matters that are not historical or current facts are “forward-looking statements” within the meaning of The Private Securities Litigation Reform Act of 1995. These statements involve known and unknown risks, uncertainties and other factors which may cause the results of Protolabs to be materially different than those expressed or implied in such statements. Certain of these risk factors and others are described in the “Risk Factors” section within reports filed with the SEC. Other unknown or unpredictable factors also could have material adverse effects on Protolabs’ future results. The forward-looking statements included in this press release are made only as of the date hereof. Protolabs cannot guarantee future results, levels of activity, performance or achievements. Accordingly, you should not place undue reliance on these forward-looking statements. Finally, Protolabs expressly disclaims any intent or obligation to update any forward-looking statements to reflect subsequent events or circumstances.
Proto Labs, Inc. |
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Condensed Consolidated Balance Sheets |
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(In thousands) |
|||||
|
|
|
|
||
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June 30,
|
|
December 31,
|
||
|
(Unaudited) |
|
|
||
Assets |
|
|
|
||
Current assets |
|
|
|
||
Cash and cash equivalents |
$ |
96,149 |
|
$ |
83,790 |
Short-term marketable securities |
|
16,792 |
|
|
19,013 |
Accounts receivable, net |
|
70,891 |
|
|
72,848 |
Inventory |
|
12,357 |
|
|
13,657 |
Income taxes receivable |
|
1,400 |
|
|
2,228 |
Prepaid expenses and other current assets |
|
10,034 |
|
|
9,124 |
Total current assets |
|
207,623 |
|
|
200,660 |
|
|
|
|
||
Property and equipment, net |
|
243,710 |
|
|
253,655 |
Goodwill |
|
273,991 |
|
|
273,991 |
Other intangible assets, net |
|
23,427 |
|
|
25,584 |
Long-term marketable securities |
|
— |
|
|
8,019 |
Operating lease assets |
|
3,790 |
|
|
4,628 |
Finance lease assets |
|
826 |
|
|
960 |
Other long-term assets |
|
4,839 |
|
|
4,856 |
Total assets |
$ |
758,206 |
|
$ |
772,353 |
|
|
|
|
||
Liabilities and shareholders' equity |
|
|
|
||
Current liabilities |
|
|
|
||
Accounts payable |
$ |
15,910 |
|
$ |
15,636 |
Accrued compensation |
|
15,544 |
|
|
15,292 |
Accrued liabilities and other |
|
17,656 |
|
|
16,872 |
Current operating lease liabilities |
|
1,534 |
|
|
1,585 |
Current finance lease liabilities |
|
302 |
|
|
296 |
Total current liabilities |
|
50,946 |
|
|
49,681 |
|
|
|
|
||
Long-term operating lease liabilities |
|
2,203 |
|
|
3,008 |
Long-term finance lease liabilities |
|
443 |
|
|
595 |
Long-term deferred tax liabilities |
|
14,588 |
|
|
18,742 |
Other long-term liabilities |
|
4,790 |
|
|
5,032 |
|
|
|
|
||
Shareholders' equity |
|
685,236 |
|
|
695,295 |
Total liabilities and shareholders' equity |
$ |
758,206 |
|
$ |
772,353 |
|
|
|
|
||
|
|
|
|
||
Proto Labs, Inc. |
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Condensed Consolidated Statements of Operations |
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(In thousands, except share and per share amounts) |
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(Unaudited) |
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|
|
|
|
|
|
|
|
||||||
|
Three Months Ended
|
|
Six Months Ended
|
||||||||||
|
|
2024 |
|
|
2023 |
|
|
|
2024 |
|
|
2023 |
|
Revenue |
|
|
|
|
|
|
|
||||||
Injection Molding |
$ |
49,080 |
|
$ |
48,819 |
|
|
$ |
101,743 |
|
$ |
100,767 |
|
CNC Machining |
|
51,239 |
|
|
48,297 |
|
|
|
101,171 |
|
|
96,401 |
|
3D Printing |
|
21,281 |
|
|
21,005 |
|
|
|
42,863 |
|
|
42,330 |
|
Sheet Metal |
|
3,922 |
|
|
3,939 |
|
|
|
7,475 |
|
|
8,187 |
|
Other Revenue |
|
109 |
|
|
205 |
|
|
|
269 |
|
|
439 |
|
Total Revenue |
|
125,631 |
|
|
122,265 |
|
|
|
253,521 |
|
|
248,124 |
|
|
|
|
|
|
|
|
|
||||||
Cost of revenue |
|
69,085 |
|
|
69,142 |
|
|
|
139,508 |
|
|
141,225 |
|
Gross profit |
|
56,546 |
|
|
53,123 |
|
|
|
114,013 |
|
|
106,899 |
|
|
|
|
|
|
|
|
|
||||||
Operating expenses |
|
|
|
|
|
|
|
||||||
Marketing and sales |
|
23,291 |
|
|
21,730 |
|
|
|
46,451 |
|
|
44,181 |
|
Research and development |
|
10,661 |
|
|
9,865 |
|
|
|
21,828 |
|
|
20,542 |
|
General and administrative |
|
16,595 |
|
|
15,822 |
|
|
|
32,908 |
|
|
32,655 |
|
Closure of |
|
— |
|
|
98 |
|
|
|
— |
|
|
164 |
|
Total operating expenses |
|
50,547 |
|
|
47,515 |
|
|
|
101,187 |
|
|
97,542 |
|
Income from operations |
|
5,999 |
|
|
5,608 |
|
|
|
12,826 |
|
|
9,357 |
|
Other income (loss), net |
|
1,361 |
|
|
(3,368 |
) |
|
|
2,260 |
|
|
(2,078 |
) |
Income before income taxes |
|
7,360 |
|
|
2,240 |
|
|
|
15,086 |
|
|
7,279 |
|
Provision for income taxes |
|
2,820 |
|
|
2,623 |
|
|
|
5,278 |
|
|
5,003 |
|
Net income (loss) |
$ |
4,540 |
|
$ |
(383 |
) |
|
$ |
9,808 |
|
$ |
2,276 |
|
|
|
|
|
|
|
|
|
||||||
Net income (loss) per share: |
|
|
|
|
|
|
|
||||||
Basic |
$ |
0.18 |
|
$ |
(0.01 |
) |
|
$ |
0.39 |
|
$ |
0.09 |
|
Diluted |
$ |
0.18 |
|
$ |
(0.01 |
) |
|
$ |
0.38 |
|
$ |
0.09 |
|
|
|
|
|
|
|
|
|
||||||
Shares used to compute net income (loss) per share: |
|
|
|
|
|
|
|
||||||
Basic |
|
25,313,036 |
|
|
26,210,478 |
|
|
|
25,473,937 |
|
|
26,414,467 |
|
Diluted |
|
25,372,972 |
|
|
26,210,478 |
|
|
|
25,573,344 |
|
|
26,445,427 |
|
|
|
|
|
|
|
|
|
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Proto Labs, Inc. |
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Condensed Consolidated Statements of Cash Flows |
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(In thousands) |
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(Unaudited) |
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Six Months Ended
|
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|
|
2024 |
|
|
|
2023 |
|
Operating activities |
|
|
|
||||
Net income |
$ |
9,808 |
|
|
$ |
2,276 |
|
Adjustments to reconcile net income to net cash provided by operating activities: |
|
|
|
||||
Depreciation and amortization |
|
18,075 |
|
|
|
18,883 |
|
Stock-based compensation expense |
|
8,520 |
|
|
|
7,370 |
|
Deferred taxes |
|
(4,144 |
) |
|
|
(5,605 |
) |
Interest on finance lease obligations |
|
18 |
|
|
|
568 |
|
Loss on foreign currency translation |
|
— |
|
|
|
3,906 |
|
Gain on disposal of property and equipment |
|
(20 |
) |
|
|
(428 |
) |
Other |
|
64 |
|
|
|
215 |
|
Changes in operating assets and liabilities |
|
3,460 |
|
|
|
4,682 |
|
Net cash provided by operating activities |
|
35,781 |
|
|
|
31,867 |
|
|
|
|
|
||||
Investing activities |
|
|
|
||||
Purchases of property, equipment and other capital assets |
|
(6,784 |
) |
|
|
(6,829 |
) |
Proceeds from sales of property, equipment and other capital assets |
|
30 |
|
|
|
623 |
|
Proceeds from call redemptions and maturities of marketable securities |
|
10,419 |
|
|
|
14,020 |
|
Net cash provided by investing activities |
|
3,665 |
|
|
|
7,814 |
|
|
|
|
|
||||
Financing activities |
|
|
|
||||
Proceeds from exercises of stock options |
|
2,094 |
|
|
|
1,986 |
|
Purchases of shares withheld for tax obligations |
|
(1,920 |
) |
|
|
(1,425 |
) |
Repurchases of common stock |
|
(26,940 |
) |
|
|
(30,064 |
) |
Principal repayments of finance lease obligations |
|
(146 |
) |
|
|
(163 |
) |
Net cash used in financing activities |
|
(26,912 |
) |
|
|
(29,666 |
) |
Effect of exchange rate changes on cash and cash equivalents |
|
(175 |
) |
|
|
(80 |
) |
Net increase in cash and cash equivalents |
|
12,359 |
|
|
|
9,935 |
|
Cash and cash equivalents, beginning of period |
|
83,790 |
|
|
|
56,558 |
|
Cash and cash equivalents, end of period |
$ |
96,149 |
|
|
$ |
66,493 |
|
|
|
|
|
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Proto Labs, Inc. |
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Reconciliation of GAAP to Non-GAAP Net Income (Loss) per Share |
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(In thousands, except share and per share amounts) |
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(Unaudited) |
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|
|
|
|
|
|
|
|
||||||||
|
Three Months Ended
|
|
Six Months Ended
|
||||||||||||
|
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
Non-GAAP net income, adjusted for stock-based
|
|
|
|
|
|
|
|
||||||||
GAAP net income (loss) |
$ |
4,540 |
|
|
$ |
(383 |
) |
|
$ |
9,808 |
|
|
$ |
2,276 |
|
Add back: |
|
|
|
|
|
|
|
||||||||
Stock-based compensation expense |
|
4,244 |
|
|
|
3,675 |
|
|
|
8,520 |
|
|
|
7,370 |
|
Amortization expense |
|
921 |
|
|
|
1,484 |
|
|
|
1,908 |
|
|
|
3,010 |
|
Unrealized (gain) loss on foreign currency |
|
(88 |
) |
|
|
187 |
|
|
|
149 |
|
|
|
115 |
|
Costs related to |
|
— |
|
|
|
4,004 |
|
|
|
— |
|
|
|
4,070 |
|
Total adjustments 1 |
|
5,077 |
|
|
|
9,350 |
|
|
|
10,577 |
|
|
|
14,565 |
|
Income tax benefits on adjustments 2 |
|
(85 |
) |
|
|
(296 |
) |
|
|
(439 |
) |
|
|
(298 |
) |
Non-GAAP net income |
$ |
9,532 |
|
|
$ |
8,671 |
|
|
$ |
19,946 |
|
|
$ |
16,543 |
|
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
||||||||
Non-GAAP net income per share: |
|
|
|
|
|
|
|
||||||||
Basic |
$ |
0.38 |
|
|
$ |
0.33 |
|
|
$ |
0.78 |
|
|
$ |
0.63 |
|
Diluted |
$ |
0.38 |
|
|
$ |
0.33 |
|
|
$ |
0.78 |
|
|
$ |
0.63 |
|
|
|
|
|
|
|
|
|
||||||||
Shares used to compute non-GAAP net income per share: |
|
|
|
|
|
|
|
||||||||
Basic |
|
25,313,036 |
|
|
|
26,210,478 |
|
|
|
25,473,937 |
|
|
|
26,414,467 |
|
Diluted |
|
25,372,972 |
|
|
|
26,224,562 |
|
|
|
25,573,344 |
|
|
|
26,445,427 |
|
|
|
|
|
|
|
|
|
||||||||
1 |
Stock-based compensation expense, amortization expense, unrealized (gain) loss on foreign currency and costs related to |
|
Three Months Ended
|
|
Six Months Ended
|
|||||||||
|
2024 |
|
2023 |
|
2024 |
|
2023 |
|||||
|
|
|
|
|
|
|
|
|||||
Cost of revenue |
$ |
810 |
|
|
$ |
803 |
|
$ |
1,611 |
|
$ |
1,611 |
|
|
|
|
|
|
|
|
|||||
Marketing and sales |
|
819 |
|
|
|
855 |
|
|
1,652 |
|
|
1,547 |
Research and development |
|
667 |
|
|
|
641 |
|
|
1,359 |
|
|
1,212 |
General and administrative |
|
2,869 |
|
|
|
2,861 |
|
|
5,806 |
|
|
6,010 |
Closure of |
|
— |
|
|
|
98 |
|
|
— |
|
|
164 |
Total operating expenses |
|
4,355 |
|
|
|
4,455 |
|
|
8,817 |
|
|
8,933 |
|
|
|
|
|
|
|
|
|||||
Other income (loss), net |
|
(88 |
) |
|
|
4,092 |
|
|
149 |
|
|
4,021 |
Total adjustments |
$ |
5,077 |
|
|
$ |
9,350 |
|
$ |
10,577 |
|
$ |
14,565 |
|
|
|
|
|
|
|
|
|||||
2 |
For the three and six months ended June 30, 2024 and 2023, income tax effects were calculated using the effective tax rate for the relevant jurisdictions. The Company's non-GAAP tax rates differ from its GAAP tax rates due primarily to the mix of activity incurred in domestic and foreign tax jurisdictions and removing effective tax rate benefits from stock-based compensation activity in the quarter. |
Proto Labs, Inc. |
|||||||||||||||
Reconciliation of GAAP to Non-GAAP Gross Margin |
|||||||||||||||
(In thousands) |
|||||||||||||||
(Unaudited) |
|||||||||||||||
|
|
|
|
|
|
|
|
||||||||
|
Three Months Ended
|
|
Six Months Ended
|
||||||||||||
|
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
Revenue |
$ |
125,631 |
|
|
$ |
122,265 |
|
|
$ |
253,521 |
|
|
$ |
248,124 |
|
Gross profit |
|
56,546 |
|
|
|
53,123 |
|
|
|
114,013 |
|
|
|
106,899 |
|
GAAP gross margin |
|
45.0 |
% |
|
|
43.4 |
% |
|
|
45.0 |
% |
|
|
43.1 |
% |
Add back: |
|
|
|
|
|
|
|
||||||||
Stock-based compensation expense |
|
468 |
|
|
|
461 |
|
|
|
927 |
|
|
|
927 |
|
Amortization expense |
|
342 |
|
|
|
342 |
|
|
|
684 |
|
|
|
684 |
|
Total adjustments |
|
810 |
|
|
|
803 |
|
|
|
1,611 |
|
|
|
1,611 |
|
Non-GAAP gross profit |
$ |
57,356 |
|
|
$ |
53,926 |
|
|
$ |
115,624 |
|
|
$ |
108,510 |
|
Non-GAAP gross margin |
|
45.7 |
% |
|
|
44.1 |
% |
|
|
45.6 |
% |
|
|
43.7 |
% |
|
|
|
|
|
|
|
|
||||||||
Proto Labs, Inc. |
|||||||||||||||
Reconciliation of GAAP to Non-GAAP Operating Margin |
|||||||||||||||
(In thousands) |
|||||||||||||||
(Unaudited) |
|||||||||||||||
|
|
|
|
|
|
|
|
||||||||
|
Three Months Ended
|
|
Six Months Ended
|
||||||||||||
|
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
Revenue |
$ |
125,631 |
|
|
$ |
122,265 |
|
|
$ |
253,521 |
|
|
$ |
248,124 |
|
Income from operations |
|
5,999 |
|
|
|
5,608 |
|
|
|
12,826 |
|
|
|
9,357 |
|
GAAP operating margin |
|
4.8 |
% |
|
|
4.6 |
% |
|
|
5.1 |
% |
|
|
3.8 |
% |
Add back: |
|
|
|
|
|
|
|
||||||||
Stock-based compensation expense |
|
4,244 |
|
|
|
3,675 |
|
|
|
8,520 |
|
|
|
7,370 |
|
Amortization expense |
|
921 |
|
|
|
1,484 |
|
|
|
1,908 |
|
|
|
3,010 |
|
Costs related to |
|
— |
|
|
|
98 |
|
|
|
— |
|
|
|
164 |
|
Total adjustments |
|
5,165 |
|
|
|
5,257 |
|
|
|
10,428 |
|
|
|
10,544 |
|
Non-GAAP income from operations |
$ |
11,164 |
|
|
$ |
10,865 |
|
|
$ |
23,254 |
|
|
$ |
19,901 |
|
Non-GAAP operating margin |
|
8.9 |
% |
|
|
8.9 |
% |
|
|
9.2 |
% |
|
|
8.0 |
% |
|
|
|
|
|
|
|
|
||||||||
Proto Labs, Inc. |
|||||||||||||||
Reconciliation of GAAP Net Income (Loss) to EBITDA and Adjusted EBITDA |
|||||||||||||||
(In thousands) |
|||||||||||||||
(Unaudited) |
|||||||||||||||
|
|
|
|
|
|
|
|
||||||||
|
Three Months Ended
|
|
Six Months Ended
|
||||||||||||
|
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
Revenue |
$ |
125,631 |
|
|
$ |
122,265 |
|
|
$ |
253,521 |
|
|
$ |
248,124 |
|
GAAP net income (loss) |
|
4,540 |
|
|
|
(383 |
) |
|
|
9,808 |
|
|
|
2,276 |
|
GAAP net income (loss) margin |
|
3.6 |
% |
|
|
(0.3 |
%) |
|
|
3.9 |
% |
|
|
0.9 |
% |
Add back: |
|
|
|
|
|
|
|
||||||||
Amortization expense |
$ |
921 |
|
|
$ |
1,484 |
|
|
$ |
1,908 |
|
|
$ |
3,010 |
|
Depreciation expense |
|
8,051 |
|
|
|
8,011 |
|
|
|
16,167 |
|
|
|
15,873 |
|
Interest income, net |
|
(1,149 |
) |
|
|
(372 |
) |
|
|
(2,261 |
) |
|
|
(722 |
) |
Provision for income taxes |
|
2,820 |
|
|
|
2,623 |
|
|
|
5,278 |
|
|
|
5,003 |
|
EBITDA |
|
15,183 |
|
|
|
11,363 |
|
|
|
30,900 |
|
|
|
25,440 |
|
EBITDA Margin |
|
12.1 |
% |
|
|
9.3 |
% |
|
|
12.2 |
% |
|
|
10.3 |
% |
Add back: |
|
|
|
|
|
|
|
||||||||
Stock-based compensation expense |
|
4,244 |
|
|
|
3,675 |
|
|
|
8,520 |
|
|
|
7,370 |
|
Unrealized (gain) loss on foreign currency |
|
(88 |
) |
|
|
187 |
|
|
|
149 |
|
|
|
115 |
|
Costs related to |
|
— |
|
|
|
4,004 |
|
|
|
— |
|
|
|
4,070 |
|
Total adjustments |
|
4,156 |
|
|
|
7,866 |
|
|
|
8,669 |
|
|
|
11,555 |
|
Adjusted EBITDA |
$ |
19,339 |
|
|
$ |
19,229 |
|
|
$ |
39,569 |
|
|
$ |
36,995 |
|
Adjusted EBITDA Margin |
|
15.4 |
% |
|
|
15.7 |
% |
|
|
15.6 |
% |
|
|
14.9 |
% |
|
|
|
|
|
|
|
|
||||||||
Proto Labs, Inc. |
||||||||||||||||||
Comparison of GAAP to Non-GAAP Revenue Growth by Region |
||||||||||||||||||
(In thousands) |
||||||||||||||||||
(Unaudited) |
||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
|
Three Months Ended
|
|
Three Months
Ended
|
|
% Change2 |
|
% Change Organic3 |
|||||||||||
|
GAAP |
|
Foreign Currency1 |
|
Non-GAAP |
|
GAAP |
|
|
|||||||||
Revenues |
|
|
|
|
|
|
|
|
|
|
|
|||||||
|
$ |
98,541 |
|
$ |
— |
|
|
$ |
98,541 |
|
$ |
96,321 |
|
2.3 |
% |
|
2.3 |
% |
|
|
27,090 |
|
|
24 |
|
|
|
27,114 |
|
|
25,944 |
|
4.4 |
% |
|
4.5 |
% |
Total revenue |
$ |
125,631 |
|
$ |
24 |
|
|
$ |
125,655 |
|
$ |
122,265 |
|
2.8 |
% |
|
2.8 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
|
Six Months Ended
|
|
Six Months Ended June 30, 2023 |
|
% Change2 |
|
% Change Organic3 |
|||||||||||
|
GAAP |
|
Foreign Currency1 |
|
Non-GAAP |
|
GAAP |
|
|
|||||||||
Revenues |
|
|
|
|
|
|
|
|
|
|
|
|||||||
|
$ |
200,022 |
|
$ |
— |
|
|
$ |
200,022 |
|
$ |
194,067 |
|
3.1 |
% |
|
3.1 |
% |
|
|
53,499 |
|
|
(883 |
) |
|
|
52,616 |
|
|
54,057 |
|
(1.0 |
%) |
|
(2.7 |
%) |
Total revenue |
$ |
253,521 |
|
$ |
(883 |
) |
|
$ |
252,638 |
|
$ |
248,124 |
|
2.2 |
% |
|
1.8 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
1 |
Revenue for the three and six months ended June 30, 2024 has been recalculated using 2023 foreign currency exchange rates in effect during comparable periods to provide information useful in evaluating the underlying business trends excluding the impact of changes in foreign currency exchange rates. |
|
2 |
This column presents the percentage change from GAAP revenue for the three and six months ended June 30, 2023 to GAAP revenue for the three and six months ended June 30, 2024. |
|
3 |
This column presents the percentage change from GAAP revenue for the three and six months ended June 30, 2023 to non-GAAP revenue for the three and six months ended June 30, 2024 (as recalculated using the foreign currency exchange rates in effect during the three and six months ended June 30, 2023) in order to provide a constant-currency comparison. |
Proto Labs, Inc. |
||||||||||||||||||
Comparison of GAAP to Non-GAAP Revenue Growth by Service Line |
||||||||||||||||||
(In thousands) |
||||||||||||||||||
(Unaudited) |
||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
|
Three Months Ended
|
|
Three Months Ended
|
|
% Change2 |
|
% Change Organic3 |
|||||||||||
|
GAAP |
|
Foreign Currency1 |
|
Non-GAAP |
|
GAAP |
|
|
|||||||||
Revenues |
|
|
|
|
|
|
|
|
|
|
|
|||||||
Injection Molding |
$ |
49,080 |
|
$ |
(60 |
) |
|
$ |
49,020 |
|
$ |
48,819 |
|
0.5 |
% |
|
0.4 |
% |
CNC Machining |
|
51,239 |
|
|
90 |
|
|
|
51,329 |
|
|
48,297 |
|
6.1 |
|
|
6.3 |
|
3D Printing |
|
21,281 |
|
|
(20 |
) |
|
|
21,261 |
|
|
21,005 |
|
1.3 |
|
|
1.2 |
|
Sheet Metal |
|
3,922 |
|
|
17 |
|
|
|
3,939 |
|
|
3,939 |
|
(0.4 |
) |
|
— |
|
Other Revenue |
|
109 |
|
|
(3 |
) |
|
|
106 |
|
|
205 |
|
(46.8 |
) |
|
(48.3 |
) |
Total Revenue |
$ |
125,631 |
|
$ |
24 |
|
|
$ |
125,655 |
|
$ |
122,265 |
|
2.8 |
% |
|
2.8 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
|
Six Months Ended
|
|
Six Months Ended
|
|
% Change2 |
|
% Change Organic3 |
|||||||||||
|
GAAP |
|
Foreign Currency1 |
|
Non-GAAP |
|
GAAP |
|
|
|||||||||
Revenues |
|
|
|
|
|
|
|
|
|
|
|
|||||||
Injection Molding |
$ |
101,743 |
|
$ |
(468 |
) |
|
$ |
101,275 |
|
$ |
100,767 |
|
1.0 |
% |
|
0.5 |
% |
CNC Machining |
|
101,171 |
|
|
(218 |
) |
|
|
100,953 |
|
|
96,401 |
|
4.9 |
|
|
4.7 |
|
3D Printing |
|
42,863 |
|
|
(207 |
) |
|
|
42,656 |
|
|
42,330 |
|
1.3 |
|
|
0.8 |
|
Sheet Metal |
|
7,475 |
|
|
13 |
|
|
|
7,488 |
|
|
8,187 |
|
(8.7 |
) |
|
(8.5 |
) |
Other Revenue |
|
269 |
|
|
(3 |
) |
|
|
266 |
|
|
439 |
|
(38.7 |
) |
|
(39.4 |
) |
Total Revenue |
$ |
253,521 |
|
$ |
(883 |
) |
|
$ |
252,638 |
|
$ |
248,124 |
|
2.2 |
% |
|
1.8 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
1 |
Revenue for the three and six months ended June 30, 2024 has been recalculated using 2023 foreign currency exchange rates in effect during comparable periods to provide information useful in evaluating the underlying business trends excluding the impact of changes in foreign currency exchange rates. |
|
2 |
This column presents the percentage change from GAAP revenue for the three and six months ended June 30, 2023 to GAAP revenue for the three and six months ended June 30, 2024. |
|
3 |
This column presents the percentage change from GAAP revenue for the three and six months ended June 30, 2023 to non-GAAP revenue for the three and six months ended June 30, 2024 (as recalculated using the foreign currency exchange rates in effect during the three and six months ended June 30, 2023) in order to provide a constant-currency comparison. |
Proto Labs, Inc. |
|||||||||||
Customer Contact Information |
|||||||||||
(Unaudited) |
|||||||||||
|
|
|
|
|
|
|
|
||||
|
Three Months Ended
|
|
Six Months Ended
|
||||||||
|
|
2024 |
|
|
2023 |
|
|
2024 |
|
|
2023 |
Customer contacts |
|
22,456 |
|
|
23,377 |
|
|
34,338 |
|
|
35,743 |
Revenue per customer contact |
$ |
5,595 |
|
$ |
5,230 |
|
$ |
7,383 |
|
$ |
6,942 |
|
|
|
|
|
|
|
|
||||
Proto Labs, Inc. Reconciliation of GAAP to Non-GAAP Guidance (In thousands, except per share and per share amounts) (Unaudited) |
|||||
|
|
|
|
||
|
Q3 2024 Outlook |
||||
|
Low |
|
High |
||
GAAP diluted net income per share |
$ |
0.10 |
|
$ |
0.18 |
Add back: |
|
|
|
||
Stock-based compensation expense |
|
0.16 |
|
|
0.16 |
Amortization expense |
|
0.03 |
|
|
0.03 |
Unrealized (gain) loss on foreign currency |
|
0.00 |
|
|
0.00 |
Total adjustments |
|
0.19 |
|
|
0.19 |
Non-GAAP diluted net income per share |
$ |
0.29 |
|
$ |
0.37 |
|
|
|
|
||
View source version on businesswire.com: https://www.businesswire.com/news/home/20240802687424/en/
Investor Relations Contacts:
Protolabs
Ryan Johnsrud, 612-225-4873
Manager – Investor Relations and FP&A
ryan.johnsrud@protolabs.com
Gateway Group, Inc.
949-574-3860
PRLB@gateway-grp.com
Media Contact:
Protolabs
Brent Renneke, 763-479-7704
Marketing Communications Manager
brent.renneke@protolabs.com
Source: Proto Labs, Inc.
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