Shapeways Announces 100% YOY Growth in its Multi-Million-Dollar Automotive Vertical

Rhea-AI Summary

Shapeways Holdings, Inc. (NASDAQ: SHPW) reports a 100% year-over-year growth in its automotive business, securing a $1.5M contract with an American automotive manufacturer. The company continues to invest in manufacturing technologies and equipment to support strategic customer contracts, reflecting its commitment to building customer trust and expanding its foothold in the automotive sector.

Insights

Market Research Analyst

The announcement by Shapeways Holdings, Inc. regarding its 100% year-over-year growth within its automotive business is a significant indicator of the company's expanding market share and operational efficiency in the digital manufacturing sector. This growth is particularly noteworthy given the competitive nature of automotive manufacturing and the increasing demand for additive manufacturing technologies. The expanded $1.5M contract with a leading American automotive manufacturer suggests a strong vote of confidence in Shapeways' capabilities and positions the company as a key player in the supply chain for both traditional and electric vehicles.

The strategic investments in new injection molding presses and titanium manufacturing capabilities reflect a proactive approach to scaling production in response to customer demand. This not only enhances Shapeways' capacity to deliver on current contracts but also positions the company to secure additional business in the future. The diversification of manufacturing processes, including 3D printing in metals and polymers, as well as traditional injection molding, allows Shapeways to offer a comprehensive suite of solutions to its customers, which could lead to further penetration in the automotive sector and beyond.

Financial Analyst

The financial implications of Shapeways' announcement are multifaceted. The 100% growth rate in the automotive division is an impressive feat that likely reflects positively on the company's revenue streams and could be a harbinger of sustained financial performance. The $1.5M expanded contract may contribute to a stable source of revenue over the multi-year period, providing a level of predictability in financial forecasting. The investments in production capacity, such as the acquisition of three new injection molding presses and the doubling of titanium manufacturing capabilities, represent significant capital expenditures. However, these investments are expected to generate returns through increased production volumes and efficiency gains. Investors should monitor the balance between capital expenditures and the resulting revenue growth to assess the long-term financial health of the company.

Supply Chain Analyst

Shapeways' expanded role as a Tier 1 supplier and OEM partner highlights a strategic alignment with industry trends, where flexibility and rapid prototyping are becoming increasingly important. The automotive industry is undergoing a significant transformation, with a shift towards electric vehicles and the need for more adaptable supply chains. Shapeways' investment in diverse manufacturing technologies and its ability to 3D print components in various materials, such as aluminum and titanium, demonstrates an ability to meet the evolving demands of the industry. The doubling of manufacturing capabilities in titanium, a material often used for its high strength-to-weight ratio and corrosion resistance, is particularly significant. This could position Shapeways as a go-to supplier for lightweight and durable components, which are critical in the design of both electric and conventional vehicles.

Expanded Tier 1 Supplier & OEM Awards Accelerate Growth

NEW YORK, Jan. 23, 2024 (GLOBE NEWSWIRE) -- Shapeways Holdings, Inc. (NASDAQ: SHPW), a global leader in the large and fast-growing digital manufacturing industry, announced today a landmark 100% year-over-year growth within its multi-million-dollar automotive business. Shapeways Enterprise Manufacturing Solutions continues to secure Tier 1 supplier and OEM direct multi-year production volume, including a recently expanded $1.5M contract with an industry-leading American automotive manufacturer.

Aidan O’Sullivan, General Manager of Enterprise Manufacturing Solutions at Shapeways, noted, “Flexibility and adaptability are key in meeting our customers' dynamic production demands. Whether it's rapid, iterative prototyping or market shifts between electric and conventional vehicle production—we are that partner and are poised to execute.”

The OEM-awarded contract leverages Shapeways’ expansive additive and traditional manufacturing capabilities. Internal combustion engine components, such as cylinder heads and central housing, are 3D printed in aluminum. Highly specialized interior components are additively manufactured in titanium. Polymer 3D printing is utilized for prototyping interior trim and exterior panels, while higher-volume production parts are injection-molded.

“We’re committed to excellence across manufacturing technologies,” continued Aidan O’Sullivan. “This is evidenced by our willingness to invest in equipment to support strategic customer contracts.”

In 2023, Shapeways purchased three new injection molding presses (500T, 1050T, 2000T) to further support automotive production volume. As a result of customer demand, the company has also doubled its manufacturing capabilities in titanium, investing in an additional GE Arcam EBM Q20 series printer.

“Our continuous investment to support growth and our willingness to tailor processes to customer requirements make us more than a supplier—we’re a strategic partner for our customers,” said Andy Nied, Chief Operating Officer for Shapeways.

This expanded contract reflects Shapeways’ commitment to building customer trust and signals its growing foothold in the automotive sector. Looking forward, the company’s investment in high-quality, high-precision enterprise-level manufacturing will continue to appeal to automotive customers, as well as those in medical, robotics, and other industries.

About Shapeways

Shapeways is a global leader in digital manufacturing, combining additive and traditional technologies with proprietary software solutions designed for other manufacturers and their customers, reducing costs, and improving supply chains. Partnering with hundreds of companies engaged in industrial applications like automotive, medical, and transportation, as well as aerospace and defense, Shapeways helps them scale their businesses, solve complex problems in product development, and achieve critical manufacturing milestones.

With access to a dozen additive technologies, six conventional manufacturing methods, and hundreds of materials and finishes, Shapeways ensures production of quality parts with the right technologies, at the right time, and at the right cost.

With ISO 9001-compliant manufacturing facilities in Livonia and Charlotte, Michigan, and Eindhoven, the Netherlands, Shapeways operates globally and has delivered more than 24 million parts to more than 1 million customers in more than 180 countries. For more information, visit www.shapeways.com.

Investor Relations
investors@shapeways.com

Media Relations
press@shapeways.com

Source: Shapeways Holdings, Inc.

FAQ

What is the year-over-year growth reported by Shapeways Holdings, Inc. (NASDAQ: SHPW)?

Shapeways Holdings, Inc. (NASDAQ: SHPW) reported a 100% year-over-year growth within its multi-million-dollar automotive business.

What is the value of the recently expanded contract with the American automotive manufacturer?

The recently expanded contract with an industry-leading American automotive manufacturer is valued at $1.5M.

What manufacturing technologies does Shapeways leverage for the OEM-awarded contract?

Shapeways leverages expansive additive and traditional manufacturing capabilities, including 3D printing in aluminum, titanium, and polymer, as well as injection molding for higher-volume production parts.

What investments has Shapeways made to support automotive production volume?

Shapeways purchased three new injection molding presses and doubled its manufacturing capabilities in titanium, investing in an additional GE Arcam EBM Q20 series printer.

In which industries does Shapeways plan to continue appealing with its high-quality manufacturing capabilities?

Shapeways plans to continue appealing to automotive customers, as well as those in medical, robotics, and other industries with its high-quality, high-precision enterprise-level manufacturing.