Velo3D Completes Strategic Review - Successful Restructuring Positions Company for Future Success
Velo3D (OTC: VLDX), a metal 3D printing technology company, has completed its strategic review process initiated in December 2023. Key developments include a debt-for-equity exchange resulting in Arrayed Notes Acquisition Corp. owning 95% of Velo3D's common shares, and the appointment of Arun Jeldi as the new CEO and board member.
The company has launched a new go-to-market strategy focusing on multiple revenue streams and a solutions-based approach for customers. For Q3 2024, Velo3D reported revenue of $8.2 million with a gross margin of 49.4%. Operating expenses were $22.8 million, including $6.7 million in bad debt expenses. The company posted a GAAP net loss of $22.8 million, which includes a non-cash gain of $9.2 million on warrant and earnout liabilities changes, offset by $10.9 million in interest expenses.
Velo3D (OTC: VLDX), un'azienda di tecnologia di stampa 3D in metallo, ha completato il suo processo di revisione strategica avviato a dicembre 2023. I principali sviluppi includono uno scambio di debito per azioni che ha portato Arrayed Notes Acquisition Corp. a possedere il 95% delle azioni ordinarie di Velo3D e la nomina di Arun Jeldi come nuovo CEO e membro del consiglio.
L'azienda ha lanciato una nuova strategia di mercato che si concentra su più flussi di entrate e un approccio basato su soluzioni per i clienti. Per il terzo trimestre del 2024, Velo3D ha riportato ricavi di $8.2 milioni con un margine lordo del 49.4%. Le spese operative sono state di $22.8 milioni, incluse $6.7 milioni in spese per crediti inesigibili. L'azienda ha registrato una perdita netta secondo i principi contabili GAAP di $22.8 milioni, che include un guadagno senza effetto su cassa di $9.2 milioni su cambiamenti delle passività derivanti da warrant e earnout, compensato da $10.9 milioni in spese per interessi.
Velo3D (OTC: VLDX), una empresa de tecnología de impresión 3D en metal, ha completado su proceso de revisión estratégica iniciado en diciembre de 2023. Los desarrollos clave incluyen un intercambio de deuda por acciones, lo que resultó en que Arrayed Notes Acquisition Corp. posee el 95% de las acciones ordinarias de Velo3D, y el nombramiento de Arun Jeldi como nuevo CEO y miembro de la junta.
La empresa ha lanzado una nueva estrategia de mercado centrada en múltiples flujos de ingresos y un enfoque basado en soluciones para los clientes. Para el tercer trimestre de 2024, Velo3D reportó ingresos de $8.2 millones con un margen bruto del 49.4%. Los gastos operativos fueron de $22.8 millones, incluidos $6.7 millones en gastos de deudas incobrables. La empresa reportó una pérdida neta según los principios contables GAAP de $22.8 millones, que incluye una ganancia no monetaria de $9.2 millones por cambios en las obligaciones de warrant y earnout, compensada por $10.9 millones en gastos de interés.
Velo3D (OTC: VLDX), 금속 3D 프린팅 기술 회사,는 2023년 12월에 시작된 전략 검토 과정을 완료했습니다. 주요 발전 사항으로는 Arrayed Notes Acquisition Corp.가 Velo3D의 보통주 95%를 소유하게 되는 부채-주식 교환과 Arun Jeldi를 새로운 CEO이자 이사로 임명한 것이 포함됩니다.
회사는 고객을 위한 솔루션 기반 접근 방식과 여러 수익원을 집중하는 새로운 시장 진출 전략을 출시했습니다. Velo3D는 2024년 3분기 동안 $8.2 백만의 수익을 보고했으며, 총 이익률은 49.4%입니다. 운영 비용은 $22.8 백만이며, 이중 $6.7 백만은 불량 채무 비용입니다. 회사는 GAAP 기준으로 $22.8 백만의 순손실을 기록했으며, 이는 워런트 및 수익 변동에 대한 비현금 이익 $9.2 백만을 포함하며, $10.9 백만의 이자 비용이 상쇄되었습니다.
Velo3D (OTC: VLDX), une entreprise de technologie d'impression 3D en métal, a achevé son processus de révision stratégique lancé en décembre 2023. Les développements clés comprennent un échange de dette contre des actions, ce qui a permis à Arrayed Notes Acquisition Corp. de détenir 95 % des actions ordinaires de Velo3D, ainsi que la nomination d'Arun Jeldi en tant que nouveau PDG et membre du conseil d'administration.
L'entreprise a lancé une nouvelle stratégie de mise sur le marché axée sur plusieurs sources de revenus et une approche basée sur des solutions pour les clients. Pour le troisième trimestre 2024, Velo3D a rapporté des revenus de $8.2 millions avec une marge brute de 49.4 %. Les frais d'exploitation se sont élevés à 22.8 millions de dollars, incluant 6.7 millions de dollars de créances douteuses. L'entreprise a affiché une perte nette GAAP de 22.8 millions de dollars, comprenant un gain non monétaire de 9.2 millions de dollars sur les changements de passifs liés aux bons de souscription et aux earnouts, compensé par 10.9 millions de dollars de charges d'intérêts.
Velo3D (OTC: VLDX), ein Unternehmen für Metall-3D-Drucktechnologie, hat seinen strategischen Überprüfungsprozess, der im Dezember 2023 begonnen wurde, abgeschlossen. Zu den wichtigsten Entwicklungen gehört ein Schulden-gegen-Aktien-Austausch, durch den die Arrayed Notes Acquisition Corp. 95% der Stammaktien von Velo3D besitzt, sowie die Ernennung von Arun Jeldi zum neuen CEO und Vorstandsmitglied.
Das Unternehmen hat eine neue Markteinführungsstrategie gestartet, die sich auf mehrere Einnahmequellen und einen lösungsorientierten Ansatz für Kunden konzentriert. Für das 3. Quartal 2024 meldete Velo3D Einnahmen von $8.2 Millionen mit einer Bruttomarge von 49.4%. Die Betriebsausgaben beliefen sich auf 22.8 Millionen $, einschließlich 6.7 Millionen $ an Forderungsausfällen. Das Unternehmen verzeichnete einen GAAP-Nettoverlust von 22.8 Millionen $, der einen nicht liquiden Gewinn von 9.2 Millionen $ aus Änderungen der Verbindlichkeiten aus Warrants und Earnouts umfasst, der durch 10.9 Millionen $ an Zinsaufwendungen ausgeglichen wurde.
- Debt-for-equity exchange significantly improves balance sheet structure
- High gross margin of 49.4% in Q3 2024
- Strategic partnership with Arrayed Additive to expand market position in defense, aerospace, and space segments
- Substantial Q3 2024 net loss of $22.8 million
- High operating expenses of $22.8 million including $6.7 million in bad debt
- Significant shareholder dilution with 95% ownership transfer to Arrayed Notes Acquisition Corp
- Low quarterly revenue of $8.2 million
Recently Completed Debt Exchange Significantly Strengthens Balance Sheet
Arun Jeldi Appointed Chief Executive Officer
New Go-To-Market Strategy to Leverage Industry Leading Technology
Company Announces Third Quarter 2024 Results
- The debt for equity exchange resulting in Arrayed Notes Acquisition Corp. (the Holder) ultimately owning
95% of the issued and outstanding common shares of Velo3D. This transaction will enable Velo3D and Arrayed Additive, the parent company of the Holder, to combine resources to further expand industry leadership positions in supplying high value, additive manufacturing solutions to the defense, aerospace, and space segments. - The resignation of six board members and the appointment of Arun Jeldi, CEO of Arrayed Additive, as the company's new board member and the company's Chief Executive Officer.
- The launch of the company's new go to market strategy to identify and maximize multiple revenue streams as well as an increasing focus on providing a total solutions-based approach for customers which includes both system and parts sales.
The company firmly believes that these actions will significantly improve its operational and financial performance, strengthen the company's competitive position, and provide the foundation for long term sustainable and profitable growth.
"Completing the strategic review is a significant milestone for Velo3D and I am pleased to be leading Velo3D in the new era of growth," said Arun Jeldi, CEO of Velo3D. "Our focus remains on providing customers with our industry leading, large-format metal 3D printing solutions and look forward to working with all of our stakeholders to make the company successful. Additionally, as these actions also show, we have taken a number of steps to accelerate our path to profitability and execute on a sustainable, long term business model. While I am very happy with what the Company has accomplished to date, I am much more excited about the future of Velo3D as we embark on our next chapter of growth."
Summary of Third Quarter 2024 Results
The company reported the following financial results for its fiscal third quarter ended September 30, 2024. The company has also filed its third quarter 10-Q report with the Securities and Exchange Commission.
Revenue for the third quarter was
GAAP net loss for the quarter was
The company will provide its 2025 financial outlook when it reports its fourth quarter and fiscal year 2024 results.
Forward-Looking Statements:
This press release includes "forward-looking statements" within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. The Company's actual results may differ from its expectations, estimates and projections and consequently, you should not rely on these forward-looking statements as predictions of future events. Words such as "expect", "estimate", "project", "budget", "forecast", "anticipate", "intend", "plan", "may", "will", "could", "should", "believes", "predicts", "potential", "continue", and similar expressions are intended to identify such forward-looking statements. These forward-looking statements include, without limitation, the Company's expectations regarding its performance, the Company's strategic realignment and initiatives, the Company's expectations regarding its liquidity and capital requirements, the Company's expectations regarding the timing of deferred orders, the Company's expectations regarding its potential cost savings, and the Company's other expectations, beliefs, intentions or strategies for the future. These forward-looking statements involve significant risks and uncertainties that could cause the actual results to differ materially from the expected results. You should carefully consider the risks and uncertainties described in the "Risk Factors" section of the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2023 (the "FY 2023 10-K"), which was filed by the Company with the Securities and Exchange Commission (the "SEC") on April 3, 2024, the "Risk Factors" section of the Company's Quarterly Report on Form 10-Q for the quarter ended September 30, 2024, which was filed by the Company on January 14, 2025 (the "Q3 2024 10-Q"), and the other documents filed by the Company from time to time with the SEC. These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. Most of these factors are outside the Company's control and are difficult to predict. Factors that may cause such differences include, but are not limited to: (1) the inability of the Company to execute its business plan, which may be affected by, among other things, competition, the Company's liquidity position/lack of available cash, the ability of the Company to grow and manage growth profitably, maintain relationships with customers and suppliers and retain its key employees; (2) the Company's ability to continue as a going concern; (3) the Company's ability to service and comply with its indebtedness; (4) the Company's ability to raise additional capital in the near-term; (5) the possibility that the Company may be adversely affected by other economic, business, and/or competitive factors; and (6) other risks and uncertainties described in the FY 2023 10-K and the Q3 2024 10-Q, including those under "Risk Factors" therein, and in the Company's other filings with the SEC. The Company cautions that the foregoing list of factors is not exclusive and not to place undue reliance upon any forward-looking statements, including projections, which speak only as of the date made. The Company does not undertake or accept any obligation to release publicly any updates or revisions to any forward-looking statements to reflect any change in its expectations or any change in events, conditions, or circumstances on which any such statement is based.
About Velo3D:
Velo3D is a metal 3D printing technology Company. 3D printing—also known as additive manufacturing (AM)—has a unique ability to improve the way high-value metal parts are built. However, legacy metal AM has been greatly limited in its capabilities since its invention almost 30 years ago. This has prevented the technology from being used to create the most valuable and impactful parts, restricting its use to specific niches where the limitations were acceptable.
Velo3D has overcome these limitations so engineers can design and print the parts they want. The Company's solution unlocks a wide breadth of design freedom and enables customers in space exploration, aviation, energy, and semiconductor to innovate the future in their respective industries. Using Velo3D, these customers can now build mission-critical metal parts that were previously impossible to manufacture. The fully integrated solution includes the Flow print preparation software, the Sapphire family of printers, and the Assure quality control system. Through this vertically integrated approach, the Velo3D ecosystem facilitates scalable metal AM using the same print file across any Sapphire system, ensuring repeatable outcomes without the need for additional optimization. This enhances manufacturing scalability and supply chain flexibility, allowing Velo3D customers to seamlessly adapt to fluctuating demand. The Company delivered its first Sapphire system in 2018 and has been a strategic partner to innovators such as SpaceX, Aerojet Rocketdyne, Lockheed Martin, Avio, and General Motors. Velo3D has been named as one of Fast Company's Most Innovative Companies for 2023. For more information, please visit Velo3D.com, or follow the Company on LinkedIn or Twitter.
VELO, VELO3D, SAPPHIRE and INTELLIGENT FUSION, are registered trademarks of Velo3D, Inc.; and WITHOUT COMPROMISE, FLOW, FLOW DEVELOPER, and ASSURE are trademarks of Velo3D, Inc. All Rights Reserved © Velo3D, Inc.
Amounts herein pertaining to September 30, 2024, represent a preliminary estimate as of the date of this press release. More information on our results of operations for the three months ended September 30, 2024, is provided in our filing of our Quarterly Report on Form 10-Q with the SEC.
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SOURCE Velo3D, Inc.
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