FRIEDBERG, Germany — (BUSINESS WIRE) — August 17, 2023 — voxeljet AG (NASDAQ: VJET) (the ‘Company’, ‘voxeljet’, or ‘we’), a provider of high-speed, large-format 3D printers and on-demand parts services to industrial and commercial customers, today announced consolidated financial results for the second quarter ended June 30, 2023.
Highlights - Second Quarter 2023 compared to the Second Quarter 2022
- Total revenues for the second quarter increased 2.2% to kEUR 6,837 from kEUR 6,691
- Gross profit margin decreased to 27.1% from 31.3%
- Systems revenues increased 11.5% to kEUR 4,025 from kEUR 3,610
- Services revenues decreased 8.7% to kEUR 2,812 from kEUR 3,081
- Reaffirm full year 2023 guidance
Dr. Ingo Ederer, Chief Executive Officer of voxeljet, commented: “We are very happy with the revenues for the quarter with revenues coming in well above our guidance corridor for the second quarter 2023 as outlined in our financial results for the first quarter 2023. With Jacky Schneider and Jane Arnold, we added two new US-based board members with significant experience in our industry. Regarding our new high-speed 3D printer VJET X: since the beginning of this year, BMW Group, who owns five VJET X printers, has successfully printed more than 10,000 jobs in a fully automated manner. In our view, this is an excellent result and a true milestone for the entire additive manufacturing industry. With GE Renewable Energy, we are already discussing the second phase of our project to develop an extremely large 3D printer for the production of next generation wind turbines.”
Three Months Ended June 30, 2023 Results
Revenues for the second quarter of 2023 increased by 2.2% to kEUR 6,837 compared to kEUR 6,691 in the second quarter of 2022.
Revenues from our Systems segment, which focuses on the development, production and sale of 3D printers, increased 11.5% to kEUR 4,025 in the second quarter of 2023 from kEUR 3,610 in last year’s second quarter. The Company sold three new 3D printers in the second quarter of 2023 compared to two new and one used and refurbished 3D printer in last year’s second quarter resulting in slightly higher revenue from the sale of 3D printers. Systems revenues also include all Systems-related revenues from consumables, spare parts and maintenance. Those Systems-related revenues significantly increased in the second quarter year-over-year, reflecting the higher installed base of our 3D printers in the market. Systems revenues represented 58.9% of total revenues in the second quarter of 2023 compared to 54.0% in last year’s second quarter.
Revenues from our Services segment, which focuses on the printing of on-demand parts for our customers, decreased 8.7% to kEUR 2,812 in the second quarter of 2023 from kEUR 3,081 in the comparative period of 2022. This was mainly due to lower revenue contributions from our German service center as well as our subsidiary voxeljet China Co. Ltd. (‘voxeljet China’). This decrease was partially offset by higher revenue contributions from our subsidiary voxeljet America Inc. (‘voxeljet America’) reflecting a larger customer base in North America.
Cost of sales were kEUR 4,984 for the second quarter of 2023 compared to kEUR 4,600 for the second quarter of 2022.
Gross profit and gross profit margin were kEUR 1,853 and 27.1%, respectively, in the second quarter of 2023 compared to kEUR 2,091 and 31.3% in the second quarter of 2022.
Gross profit for our Systems segment slightly increased to kEUR 916 in the second quarter of 2023 from kEUR 868 in the second quarter of 2022. Gross profit margin for this segment decreased to 22.8% in the second quarter of 2023 compared to 24.0% in the second quarter of 2022. Gross profit and gross profit margin from the sale of 3D printers slightly improved. Gross profit from Systems-related revenues slightly improved, while gross profit margin from Systems-related revenues slightly decreased due to a less favorable product mix. In addition, in the second quarter of 2023, we recognized a change in valuation allowance for inventories following the Company’s inventory reserve policy amounting to kEUR 73 negative for the second quarter of 2023 compared to kEUR 243 negative in the last year’s same period.
Gross profit for our Services segment decreased to kEUR 937 in the second quarter of 2023 compared to kEUR 1,223 in the second quarter of 2022. Gross profit margin for this segment significantly decreased to 33.3% in the second quarter of 2023 from 39.7% in the second quarter of 2022. The main driver for the significant decline in gross profit, as well as gross profit margin were lower contributions from our German operation as well as from our Chinese service center. This was a result of lower utilization of both service centers in line with the substantial decreases in revenues. This was partially offset by higher gross profit and gross profit margin contributions from our American service center, as a benefit of increased utilization.
Selling expenses were kEUR 2,113 for the second quarter of 2023 compared to kEUR 1,888 in the second quarter of 2022. This increase was mainly related to higher expenses for trade fairs and exhibitions in the second quarter of 2023 compared to last year’s same period. This was partially offset by lower distribution expenses. Distribution expenses like shipping and packaging are a main driver of the selling expenses, and do not only depend on the amount of revenue, but also on quantities and types of products sold, as well as the destinations of where those goods are being delivered. Therefore, distribution expenses can vary noticeable from quarter to quarter.
Administrative expenses were kEUR 1,635 for the second quarter of 2023 compared to kEUR 1,505 in the second quarter of 2022. This increase was mainly related to higher advisor fees related to communication with financial institutions in connection with funding activities.
Research and development (‘R&D’) expenses slightly decreased to kEUR 1,538 in the second quarter of 2023 from kEUR 1,653 in the second quarter of 2022. The decrease of kEUR 115 was mainly due to lower personnel expenses related to lower headcount as well as lower usage of external services. This was partially offset by higher material consumption. R&D expenses can vary from quarter to quarter and are usually driven by variations in project types and phases.
Other operating expenses in the second quarter of 2023 were kEUR 155 compared to kEUR 256 in the prior year period. This was mainly due to lower losses from foreign currency transactions of kEUR 95 for the second quarter of 2023 compared to kEUR 198 for the second quarter of 2022.
Other operating income was kEUR 641 for the second quarter of 2023 compared to kEUR 1,254 in the second quarter of 2022. The decrease was mainly due to lower gains from foreign currency transactions, which decreased to kEUR 111 for the second quarter of 2023 from kEUR 975 in the last year’s second quarter. This was partially offset by higher cost reimbursements for R&D expenses amounting to kEUR 273 for the second quarter of 2023, compared to kEUR 114 for the second quarter of 2022. Furthermore, other operating income included government grants awarded for R&D projects of kEUR 162 (second quarter 2022: kEUR 87).
