ROCK HILL, S.C., May 06, 2020 (GLOBE NEWSWIRE) -- 3D Systems Corporation (NYSE:DDD) announced today its financial results for the first quarter ended March 31, 2020.

For the first quarter of 2020, the company reported GAAP revenue of $134.7 million, compared to $152.0 million in the same period last year. The COVID-19 pandemic had a negative impact on these results. Printer revenue decreased by 35.5 percent. Materials revenue decreased 0.1 percent, healthcare solutions revenue decreased 7.3 percent, on demand services revenue decreased 12.8 percent and software revenue decreased 7.7 percent. The company reported first quarter 2020 GAAP loss of $0.17 per share compared to a GAAP loss of $0.22 per share in the same period last year, and non-GAAP loss of $0.04 per share compared to non-GAAP loss of $0.09 per share in the same period last year. In the first quarter of 2020, the company recorded a tax benefit of approximately $3.2 million from utilizing net operating losses allowed as part of tax legislation enacted on March 27, 2020 under the Coronavirus Aid, Relief, and Economic Security Act, also known as the CARES Act .

"COVID-19 has presented unprecedented challenges globally, so we asked our customers and partners to help address these challenges with 3D printing. Over the last several weeks we have seen applications of our technology and software being used to assist COVID-19 efforts, from ventilator parts to personal protection equipment to nasal swabs, which are all able to go from prototype to production in mere days, compared to what would normally take months using traditional supply chain and showcasing our true value proposition," commented Vyomesh Joshi ("VJ"), president and chief executive officer, 3D Systems. "Amid this uncertain environment we have managed the company by continuing to reduce expenses and preserving cash, and we believe we will be well-positioned when the market comes back."

For the first quarter of 2020, the company reported GAAP gross profit margin of 42.4 percent compared to 43.2 percent in the same period last year. Non-GAAP gross profit margin was 43.1 percent in the first quarter compared to 44.2 percent in the same period last year.

For the first quarter of 2020, GAAP operating expenses decreased 13.4 percent to $75.4 million compared to $87.0 million in the same period last year. GAAP SG&A expenses decreased 13.8 percent
 to $56.1 million. GAAP R&D expenses decreased 12.1 percent to $19.2 million. Non-GAAP operating expenses in the first quarter decreased 13.6 percent to $63.0 million compared to $72.9 million in the same period last year, as a result of execution of the company's cost reduction plans.

The company used $2.3 million of cash from operations during the first quarter and had $112.8 million of cash and cash equivalents at March 31, 2020.

Q1 2020 Conference Call and Webcast
The company expects to file its Quarterly Report on Form 10-Q for the quarter ended March 31, 2020 with the Securities and Exchange Commission on May 6, 2020. 3D Systems plans to hold a conference call and simultaneous webcast to discuss these results today, Wednesday, May 6, 2020, which may be accessed as follows:

Date: Wednesday, May 6, 2020
Time: 4:30 p.m. Eastern Time
Listen via webcast: www.3dsystems.com/investor
Participate via telephone: 201-689-8345

A replay of the webcast will be available approximately two hours after the live presentation at www.3dsystems.com/investor.

Forward-Looking Statements
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. 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 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.

Presentation of Information in this Press Release
To facilitate a better understanding of the impact that strategic acquisitions, non-recurring charges and certain non-cash expenses had on its financial results, the company reported non-GAAP measures excluding the impact of amortization of intangibles, non-cash interest expense, acquisition and severance expenses, stock-based compensation expense, litigation settlements and charges related to strategic decisions and portfolio realignment. A reconciliation of GAAP to non-GAAP results is provided in the accompanying schedule.

About 3D Systems
3D Systems provides comprehensive 3D products and services, including 3D printers, print materials, on-demand manufacturing services and digital design tools. Its ecosystem supports advanced applications from the product design shop to the factory floor to the operating room. 3D Systems’ precision healthcare capabilities include simulation, Virtual Surgical Planning, and printing of medical and dental devices as well as patient-specific surgical instruments. As the originator of 3D printing and a shaper of future 3D solutions, 3D Systems has spent its 30 year history enabling professionals and companies to optimize their designs, transform their workflows, bring innovative products to market and drive new business models.

More information on the company is available at www.3dsystems.com

Tables Follow

3D Systems Corporation
Unaudited Condensed Consolidated Balance Sheets
March 31, 2020 and December 31, 2019

(In thousands, except par value)	March 31, 2020				December 31, 2019
ASSETS
Current assets:
Cash and cash equivalents	$	112,776			$	133,665
Accounts receivable, net of reserves — $9,013 (2020) and $8,762 (2019)	108,769				109,408
Inventories	113,240				111,106
Prepaid expenses and other current assets	32,688				18,991
Total current assets	367,473				373,170
Property and equipment, net	89,373				92,940
Intangible assets, net	43,788				48,338
Goodwill	218,207				223,176
Right of use assets	34,991				36,890
Deferred income tax asset	5,040				5,408
Other assets, net	24,840				27,390
Total assets	$	783,712			$	807,312
LIABILITIES AND EQUITY
Current liabilities:
Current portion of long term debt	$	2,506			$	2,506
Current right of use liabilities	9,416				9,569
Accounts payable	55,862				49,851
Accrued and other liabilities	50,803				63,095
Customer deposits	5,060				5,712
Deferred revenue	42,659				32,231
Total current liabilities	166,306				162,964
Long-term debt, net of deferred financing costs	44,619				45,215
Long-term right of use liabilities	33,880				35,402
Deferred income tax liability	3,553				4,027
Other liabilities	46,685				45,808
Total liabilities	295,043				293,416
Commitments and contingencies (Note 14)
Stockholders’ equity:
Common stock,$0.001 par value, authorized 220,000 shares; issued 121,661 (2020) and 121,266 (2019)	121				120
Additional paid-in capital	1,370,174				1,371,564
Treasury stock, at cost — 3,838 shares (2020) and 3,670 shares (2019)	(19,718		)		(18,769		)
Accumulated deficit	(812,633		)		(793,709		)
Accumulated other comprehensive loss	(49,275		)		(37,047		)
Total 3D Systems Corporation stockholders' equity	488,669				522,159
Noncontrolling interests	—				(8,263		)
Total stockholders’ equity	488,669				513,896
Total liabilities, redeemable noncontrolling interests and stockholders’ equity	$	783,712			$	807,312

3D Systems Corporation