Stratasys (Nasdaq: SSYS) reported a fairly regular second quarter in 2025, exhibiting that its enterprise mannequin can resist slowdowns in buyer spending. The 3D printing firm’s gross sales stayed about the identical as final 12 months, however it nonetheless made an adjusted revenue, lowered prices, and improved money move. It additionally completed the quarter with extra cash and no debt, giving it extra flexibility to spend money on progress. Nonetheless, administration lowered its full-year gross sales forecast, saying that whereas giant buyer offers are progressing, many are taking longer than anticipated to shut.
Large Offers Are Delayed, Not Misplaced
Yoav Zeif provides a keynote speech at AMS 2025. Picture courtesy of 3DPrint.com
In the course of the earnings name on August 13, 2025, CEO Yoav Zeif defined to traders that the slowdown was about timing, not demand.
“There is no such thing as a slowdown. There may be solely a delay,” he famous. “These offers could also be delayed this 12 months, however positively not canceled.”
He described a shift within the trade towards bigger, production-scale purposes of 3D printing. These initiatives take longer to finalize, however Zeif stated they symbolize a breakthrough.
“We have gotten the spine of some operations of the biggest firms on Earth. It is a breakthrough for additive manufacturing.”
In truth, the chief highlighted work with main clients, together with Common Motors, Toyota, and aerospace agency Blue Origin. These partnerships contain 3D printing for tooling, automotive elements, aerospace components, and even life-saving medical fashions. Zeif stated these examples present the know-how’s potential to chop prices, pace up manufacturing, and strengthen provide chains.
A 3D printed transmission take a look at instrument, designed within the Toyota ADD Lab and printed on the Stratasys H350 utilizing PA12 materials.
Profitability Improves Regardless of Flat Gross sales
Income for Q2 2025 was $138.1 million, virtually the identical because the $138 million reported a 12 months earlier. Whereas gross sales have been flat, the corporate improved its profitability, with internet losses at $16.7 million, higher than final 12 months’s $25.7 million. And adjusted internet revenue got here in at $2.2 million, in comparison with a lack of $3 million in Q2 2024. In the meantime, adjusted EBITDA rose to $6.1 million, up from $2.3 million final 12 months.
Whereas the general gross sales determine was flat, the main points present the place the corporate gained floor and which components of the enterprise are holding regular. Throughout the enterprise, some areas did higher than others. For instance, gross sales of 3D printing methods grew to $30.6 million from $29 million final 12 months, helped by demand in automotive, aerospace, and medical. Consumables income was near final 12 months’s degree however went up 2.6% from the primary quarter, exhibiting that clients are actively utilizing their machines. And buyer assist income, which is the cash from ongoing service contracts, upkeep, and assist agreements, was $30.1 million, additionally regular. The corporate pointed to robust buyer exercise in automotive tooling, house {hardware}, and life-saving medical fashions as examples of how these sectors are driving demand.
“Within the medical sector, using Stratasys 3D printing capabilities proved essential in getting ready for advanced life-saving procedures, showcasing how 3D printing know-how is revolutionizing life-saving medical purposes and unprecedented preoperative planning capabilities,” identified Zeif. “The anatomical mannequin alternative for Stratasys, akin to coaching and presurgical planning, is $1.8 billion yearly.”
The executives additionally stated the higher outcomes have been as a consequence of price controls launched in 2024, which lowered working bills by about $10 million year-over-year. Plus, the corporate used simply $1.1 million in money for working actions, down from $2.4 million final 12 months, and ended the quarter with $254.6 million in money and no debt.
CFO Eitan Zamir advised traders that the corporate “delivered optimistic adjusted working revenue regardless of solely a slight rise in gross sales and decrease gross margins. These outcomes have been thanks partially to full run price contributions from the price management initiatives we started in the midst of final 12 months.”
Zamir additionally famous that Stratasys expects optimistic working money move for the entire 12 months. The corporate plans additional price reductions within the fourth quarter.
The corporate can also be ensuring it expands its capabilities. Within the quarter, Stratasys opened the North American Stratasys Tooling Middle in Flint, Michigan, in partnership with Automation Intelligence. The middle is about as much as assist producers take a look at and scale 3D printing purposes for manufacturing. It makes use of Stratasys F3300 and F900 printers to point out real-world tooling options, akin to jigs, fixtures, and automotive elements. By combining 3D printing with conventional manufacturing, the middle goals to assist clients minimize prices, pace up manufacturing, and meet the rising want for native, on-demand manufacturing.
Robotic arm that’s getting used within the new North American Stratasys Tooling Middle.
Stratasys now expects full-year income of $550 million to $560 million, down from an earlier steering of $570 million to $585 million. Administration stated Q3 gross sales can be just like or barely beneath Q2, with a stronger This autumn.
Additionally, adjusted gross margins for 2025 are projected at 46.7% to 47%, with an adjusted working margin of 1.5% to 2%. In the meantime, adjusted EBITDA is anticipated to be $30 million to $32 million, with This autumn reaching no less than 8% of income.
Zeif stated the “long-term outlook for our firm and trade stays intact,” and pointed to the corporate’s work in aerospace, automotive, medical, and different industries.
“Our complete know-how portfolio and the inherent benefits of additive manufacturing place us nicely to seize alternatives and ship sustainable worth for all stakeholders as soon as these challenges inevitably subside,” he stated.
Administration recommended there are many progress alternatives in “localized manufacturing, provide chain resilience, and production-ready 3D printing options.” Massive-scale offers in these areas might result in necessary income as soon as clients return to regular capital spending.
Pictures courtesy of Stratasys until in any other case famous.
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