- Completed $100 million in cost reductions announced in June
2022 ahead of schedule
- Revenue of $42.8 million compared to $47.1 million in the same
quarter a year ago
- GAAP gross margin of 4.5%; non-GAAP gross margin increased 190
basis points to 21.9%
- Year-over-year improvements to non-GAAP gross margins,
operating expenses, adjusted EBITDA, and operating cash flow in
third quarter 2023 – with improvements expected to continue through
year end
- Cash, cash equivalents, and short-term investments closed third
quarter 2023 at $108.2 million, a reduction of $19.4 million from
the close of second quarter 2023 and the lowest period-over-period
cash reduction since Q2 2022
- Revising full year 2023 guidance to revenue of between $187 to
$207 million, and adjusted EBITDA between $(70) to $(50) million,
with expectation to achieve adjusted EBITDA breakeven in Q4
2023
Desktop Metal, Inc. (NYSE: DM), a global leader in Additive
Manufacturing 2.0 technologies for mass production, today announced
its financial results for the third quarter ended September 30,
2023.
“Revenue in the third quarter was disappointing for Desktop
Metal and also for the entire additive manufacturing industry.
However, while we are dissatisfied with our top-line performance, I
am incredibly proud of the progress that Team DM has made in
executing our $100 million of annualized cost reductions announced
in June 2022,” said Ric Fulop, Founder and CEO of Desktop Metal.
“Desktop Metal continues to take aggressive steps to ensure we have
sufficient capital to navigate this challenging period. There are
several strong, positive currents running through our results
today, which adds to our confidence in the future of Desktop Metal
as a profitable, high-growth leader in additive manufacturing.
“The entire Desktop Metal team is driving to profitability on
the cash we have.”
Importantly, Fulop noted that recurring revenue in the first
three quarters increased 34% to $49.2 million compared to the same
three-quarter period a year ago. "Despite softer revenue in the
third quarter, our recurring revenue streams continue to perform
well, contributing to a positive shift in adjusted EBITDA and a
path towards reaching breakeven in the fourth quarter of 2023.,"
Fulop noted.
Third Quarter 2023 and Recent Business Highlights:
Corporate
- Continued execution of cost reduction plans with year-over-year
improvements to non-GAAP gross margins, operating expenses,
adjusted EBITDA, and operating cash flow in third quarter 2023
- Desktop Metal agreement with Stratasys has been terminated;
company remains focused on path to profitability – with
improvements in non-GAAP gross margins, operating expenses,
adjusted EBITDA, and operating cash flow expected to continue
through year end
Product Performance
- Pennsylvania-based FreeFORM Technologies placed orders for a DM
Production System P-50 and a full fleet of metal binder jet
systems, targeting metal part production in industrial, defense,
medical, robotic, and consumer goods markets
- Wisconsin-based DSB Technologies has adopted the complete
X-Series metal binder jetting product lineup, including DM Live
Sinter software
- Launched the ETEC Pro XL, a cost-competitive premium DLP
polymer printer that delivers extreme accuracy, resolution, and
surface finish in a large build area with high throughput
speeds
- Launched Live Monitor™, a software application that provides
useful real-time data from printing systems to improve efficiency
and management of a single printing system or a full fleet
- Desktop Health launched the PrintRoll™ rotating build platform
for the 3D-Bioplotter®, a first-of-its-kind bioprinting tool to
develop and manufacture tubular solutions for vascular, digestive,
respiratory, and other channels of the body
- Signed a commercial supply agreement for Flexcera™ dental
resins to be offered on Carbon 3D hardware, demonstrating progress
with monetizing the Company’s DLP intellectual property
portfolio
Third Quarter 2023 Financial Highlights:
- Revenue of $42.8 million, compared to $47.1 million in the
third quarter of 2022 driven by lower product sales, a focus on
sales of products with higher margins, and partially offset by
increased services sales
- GAAP gross margin of 4.5%; non-GAAP gross margin of 21.9%, an
improvement of 190 basis points from third quarter 2022
- GAAP net loss of $46.4 million, including $10.4 million
amortization of acquired intangibles; non-GAAP net loss of $24.3
million
- Adjusted EBITDA of $(20.5) million, an improvement of $7.7
million from third quarter 2022
- Cash, cash equivalents, and short-term investments of $108.2
million as of September 30, 2023, down $19.4 million from the close
of second quarter 2023
Financial Outlook:
- Revising Revenue expectation to between $187 to $207 million
for full year 2023
- Revising Adjusted EBITDA expectation of between $(70) to $(50)
million for full year 2023, with expectation to achieve Adjusted
EBITDA breakeven before year end 2023
Desktop Metal has not provided a reconciliation of its Adjusted
EBITDA outlook to net income because estimates of all of the
reconciling items cannot be provided without unreasonable efforts.
See “Non-GAAP Financial Information.”
Conference Call Information:
Desktop Metal will host a conference call on Thursday, November
9, 2023 to discuss third quarter 2023 results. Participants may
access the call at 1-877-407-4018, international callers may use
1-201-689-8471, and request to join the Desktop Metal financial
results conference call. A simultaneous webcast of the conference
call and the accompanying summary presentation may be accessed
online at the Events & Presentations section of
ir.desktopmetal.com. A replay will be available shortly after the
conclusion of the conference call at the same website.
About Desktop Metal:
Desktop Metal (NYSE:DM) is driving Additive Manufacturing 2.0, a
new era of on-demand, digital mass production of industrial,
medical, and consumer products. Our innovative 3D printers,
materials, and software deliver the speed, cost, and part quality
required for this transformation. We’re the original inventors and
world leaders of the 3D printing methods we believe will empower
this shift, binder jetting and digital light processing. Today, our
systems print metal, polymer, sand and other ceramics, as well as
foam and recycled wood. Manufacturers use our technology worldwide
to save time and money, reduce waste, increase flexibility, and
produce designs that solve the world’s toughest problems and enable
once-impossible innovations. Learn more about Desktop Metal and our
#TeamDM brands at www.desktopmetal.com.
Forward-looking Statements:
This press release contains forward-looking statements within
the meaning of the federal securities laws. All statements other
than statements of historical facts contained in these
communications, including statements regarding Desktop Metal’s
future results of operations and financial position, financial
targets, business strategy, and plans and objectives for future
operations, are forward-looking statements. Forward-looking
statements generally are identified by the words “believe,”
“project,” “expect,” “anticipate,” “estimate,” “intend,”
“strategy,” “future,” “opportunity,” “plan,” “may,” “should,”
“will,” “would,” “will be,” “will continue,” “will likely result,”
and similar expressions. Forward-looking statements are
predictions, projections and other statements about future events
that are based on current expectations and assumptions and, as a
result, are subject to risks and uncertainties. Many factors could
cause actual future events to differ materially from the
forward-looking statements in this document, including but not
limited to: risks associated with the integration of the business
and operations of acquired businesses; Desktop Metals’ ability to
realize the benefits from cost saving measures; supply and
logistics disruptions, including shortages and delays. For more
information about risks and uncertainties that may impact Desktop
Metal’s business, financial condition, results of operations and
prospects generally, please refer to Desktop Metal’s reports filed
with the SEC, including without limitation the “Risk Factors”
and/or other information included in the Form 10-Q filed with the
SEC on August 3, 2023, and such other reports as Desktop Metal has
filed or may file with the SEC from time to time. 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. Forward-looking
statements speak only as of the date they are made. Readers are
cautioned not to put undue reliance on forward-looking statements,
and Desktop Metal, Inc. assumes no obligation and does not intend
to update or revise these forward-looking statements, whether as a
result of new information, future events, or otherwise.
DESKTOP METAL, INC.
CONDENSED CONSOLIDATED BALANCE
SHEETS
(UNAUDITED)
(in thousands, except share
and per share amounts)
September 30,
December 31,
2023
2022
Assets
Current assets:
Cash and cash equivalents
$
107,432
$
76,291
Current portion of restricted cash
841
4,510
Short‑term investments
803
108,243
Accounts receivable
40,088
38,481
Inventory
107,196
91,736
Prepaid expenses and other current
assets
24,987
16,325
Assets held for sale
—
830
Total current assets
281,347
336,416
Restricted cash, net of current
portion
612
1,112
Property and equipment, net
38,387
56,271
Goodwill
108,651
112,955
Intangible assets, net
178,802
219,830
Other noncurrent assets
36,465
27,763
Total Assets
$
644,264
$
754,347
Liabilities and Stockholders’
Equity
Current liabilities:
Accounts payable
$
32,114
$
25,105
Customer deposits
6,918
11,526
Current portion of lease liability
6,644
5,730
Accrued expenses and other current
liabilities
27,899
26,723
Current portion of deferred revenue
17,015
13,719
Current portion of long‑term debt
368
584
Total current liabilities
90,958
83,387
Long-term debt, net of current portion
120
311
Convertible notes
112,382
111,834
Lease liability, net of current
portion
23,680
17,860
Deferred revenue, net of current
portion
3,780
3,664
Deferred tax liability
4,693
8,430
Other noncurrent liabilities
3,077
1,359
Total liabilities
238,690
226,845
Commitments and Contingencies (Note
17)
Stockholders’ Equity
Preferred Stock, $0.0001 par
value—authorized, 50,000,000 shares; no shares issued and
outstanding at September 30, 2023 and December 31, 2022,
respectively
—
—
Common Stock, $0.0001 par
value—500,000,000 shares authorized; 323,658,575 and 318,235,106
shares issued at September 30, 2023 and December 31, 2022,
respectively, 323,642,480 and 318,133,434 shares outstanding at
September 30, 2023 and December 31, 2022, respectively
32
32
Additional paid‑in capital
1,901,931
1,874,792
Accumulated deficit
(1,457,696
)
(1,308,954
)
Accumulated other comprehensive loss
(38,693
)
(38,368
)
Total Stockholders’ Equity
405,574
527,502
Total Liabilities and Stockholders’
Equity
$
644,264
$
754,347
See notes to condensed consolidated financial
statements
DESKTOP METAL, INC.
CONDENSED CONSOLIDATED
STATEMENTS OF OPERATIONS
(UNAUDITED)
(in thousands, except per
share amounts)
Three Months Ended
Nine Months Ended
September 30,
September 30,
2023
2022
2023
2022
Revenues
Products
$
37,502
$
42,937
$
121,597
$
135,085
Services
5,248
4,149
15,755
13,381
Total revenues
42,750
47,086
137,352
148,466
Cost of sales
Products
37,175
43,639
119,290
130,454
Services
3,651
3,756
11,413
11,252
Total cost of sales
40,826
47,395
130,703
141,706
Gross profit (loss)
1,924
(309
)
6,649
6,760
Operating expenses
Research and development
20,455
22,382
64,822
78,357
Sales and marketing
8,549
16,204
28,596
56,299
General and administrative
9,528
18,924
50,673
62,472
Impairment charges
6,062
—
6,062
—
Goodwill impairment
2,450
—
2,450
229,500
Total operating expenses
47,044
57,510
152,603
426,628
Loss from operations
(45,120
)
(57,819
)
(145,954
)
(419,868
)
Interest expense
(1,045
)
(680
)
(2,965
)
(1,281
)
Interest and other expense,
net
(349
)
(1,677
)
(498
)
(8,443
)
Loss before income
taxes
(46,514
)
(60,176
)
(149,417
)
(429,592
)
Income tax benefit (expense)
141
(598
)
675
1,602
Net loss
$
(46,373
)
$
(60,774
)
$
(148,742
)
$
(427,990
)
Net loss per share—basic and
diluted
$
(0.14
)
$
(0.19
)
$
(0.46
)
$
(1.36
)
Weighted average shares
outstanding, basic and diluted
323,187,608
316,007,716
321,328,016
313,901,704
See notes to condensed consolidated financial
statements.
DESKTOP METAL, INC.
CONDENSED CONSOLIDATED
STATEMENTS OF COMPREHENSIVE LOSS
(UNAUDITED)
(in thousands)
Three Months Ended
Nine Months Ended
September 30,
September 30,
2023
2022
2023
2022
Net loss
$
(46,373
)
$
(60,774
)
$
(148,742
)
$
(427,990
)
Other comprehensive loss, net of
taxes:
Unrealized gain (loss) on
available-for-sale marketable securities, net
(211
)
(389
)
126
(418
)
Foreign currency translation
adjustment
(684
)
(15,866
)
(451
)
(54,324
)
Total comprehensive loss, net of
taxes of $0
$
(47,268
)
$
(77,029
)
$
(149,067
)
$
(482,732
)
See notes to condensed consolidated financial
statements.
DESKTOP METAL, INC.
CONDENSED CONSOLIDATED
STATEMENTS OF STOCKHOLDERS’ EQUITY
(UNAUDITED)
(in thousands, except share
amounts)
Three Months Ended September
30, 2023
Accumulated
Other
Common Stock
Additional
Comprehensive
Total
Voting
Paid‑in
Accumulated
(Loss)
Stockholders’
Shares
Amount
Capital
Deficit
Income
Equity
BALANCE—July 1, 2023
322,630,201
$
32
$
1,893,548
$
(1,411,323
)
$
(37,798
)
$
444,459
Exercise of Common Stock options
37,935
—
46
—
—
46
Vesting of restricted Common Stock
9,779
—
—
—
—
—
Vesting of restricted stock units
986,925
—
—
—
—
—
Repurchase of shares for employee tax
withholdings
(22,360
)
—
(39
)
—
—
(39
)
Stock‑based compensation expense
—
—
8,376
—
—
8,376
Net loss
—
—
—
(46,373
)
—
(46,373
)
Other comprehensive income (loss)
—
—
—
—
(895
)
(895
)
BALANCE—September 30, 2023
323,642,480
$
32
$
1,901,931
$
(1,457,696
)
$
(38,693
)
$
405,574
Nine Months Ended September
30, 2023
Accumulated
Other
Common Stock
Additional
Comprehensive
Total
Voting
Paid‑in
Accumulated
(Loss)
Stockholders’
Shares
Amount
Capital
Deficit
Income
Equity
BALANCE—January 1, 2023
318,133,434
$
32
$
1,874,792
$
(1,308,954
)
$
(38,368
)
$
527,502
Exercise of Common Stock options
1,006,046
—
1,203
—
—
1,203
Vesting of restricted Common Stock
85,372
—
—
—
—
—
Vesting of restricted stock units
4,061,967
—
—
—
—
—
Repurchase of shares for employee tax
withholdings
(89,132
)
—
(147
)
—
—
(147
)
Issuance of Common Stock related to
settlement of contingent consideration
444,793
—
797
—
—
797
Stock‑based compensation expense
—
—
25,286
—
—
25,286
Net loss
—
—
—
(148,742
)
—
(148,742
)
Other comprehensive income (loss)
—
—
—
—
(325
)
(325
)
BALANCE—September 30, 2023
323,642,480
$
32
$
1,901,931
$
(1,457,696
)
$
(38,693
)
$
405,574
See notes to condensed consolidated financial
statements.
DESKTOP METAL, INC.
CONDENSED CONSOLIDATED
STATEMENTS OF CASH FLOWS
(UNAUDITED)
(in thousands)
Nine Months Ended September
30,
2023
2022
Cash flows from operating
activities:
Net loss
$
(148,742
)
$
(427,990
)
Adjustments to reconcile net loss to net
cash used in operating activities:
Depreciation and amortization
40,322
38,294
Stock‑based compensation
26,699
37,826
Goodwill impairment
2,450
229,500
Amortization (accretion) of discount on
investments
(490
)
(305
)
Amortization of deferred costs on
convertible notes
548
276
Provision for bad debt
640
1,038
Loss on disposal of property and
equipment
501
209
Net increase (decrease) in accrued
interest related to marketable securities
238
771
Net unrealized (gain) loss on equity
investment
286
6,172
Net unrealized (gain) loss on other
investments
—
745
Deferred tax benefit
(675
)
(1,602
)
Change in fair value of contingent
consideration
—
(254
)
Foreign currency transaction loss
392
1,202
Impairment charges
6,062
—
Changes in operating assets and
liabilities:
Accounts receivable
(2,446
)
3,166
Inventory
(16,052
)
(31,195
)
Prepaid expenses and other current
assets
(8,716
)
(969
)
Other assets
2,425
1,196
Accounts payable
7,397
(2,959
)
Accrued expenses and other current
liabilities
1,009
(3,855
)
Customer deposits
(4,542
)
2,360
Deferred revenue
3,590
(1,589
)
Change in right of use assets and lease
liabilities, net
(4,456
)
(2,850
)
Other liabilities
1,706
24
Net cash used in operating
activities
(91,854
)
(150,789
)
Cash flows from investing
activities:
Purchases of property and equipment
(2,709
)
(8,157
)
Proceeds from other investment
—
3,155
Proceeds from sale of property and
equipment
9,942
6
Purchase of marketable securities
(4,973
)
(158,404
)
Proceeds from sales and maturities of
marketable securities
112,719
205,650
Proceeds from disposal of subsidiaries
4,089
—
Proceeds from capital grant
—
200
Cash paid for acquisitions, net of cash
acquired
(500
)
(23
)
Net cash provided by investing
activities
118,568
42,427
Cash flows from financing
activities:
Proceeds from the exercise of stock
options
1,203
3,036
Payment of taxes related to net share
settlement upon vesting of restricted stock units
(147
)
(230
)
Repayment of loans
(337
)
(421
)
Proceeds from issuance of convertible
notes
—
115,000
Costs incurred in connection with the
issuance of convertible notes
—
(3,619
)
Net cash provided by financing
activities
719
113,766
Effect of exchange rate changes on cash,
cash equivalents and restricted cash
(461
)
(1,491
)
Net increase in cash, cash equivalents,
and restricted cash
26,972
3,913
Cash, cash equivalents, and restricted
cash at beginning of period
81,913
68,258
Cash, cash equivalents, and restricted
cash at end of period
$
108,885
$
72,171
Supplemental disclosures of cash flow
information
Reconciliation of cash, cash equivalents
and restricted cash reported within the condensed consolidated
balance sheets that sum to the total shown in the condensed
consolidated statements of cash flows:
Cash and cash equivalents
$
107,432
$
66,987
Restricted cash included in other current
assets
841
4,072
Restricted cash included in other
noncurrent assets
612
1,112
Total cash, cash equivalents and
restricted cash shown in the condensed consolidated statements of
cash flows
$
108,885
$
72,171
Supplemental cash flow
information:
Interest paid
$
—
$
—
Taxes paid
$
—
$
—
Non‑cash investing and financing
activities:
Net unrealized (gain) loss on
investments
$
(339
)
$
418
Common Stock issued for settlement of
contingent consideration
$
797
$
500
Deferred contract costs
$
—
$
1,341
Additions to right of use assets and lease
liabilities
$
11,443
$
10,742
Purchase of property and equipment
included in accounts payable
$
326
$
1,507
Purchase of property and equipment
included in accrued expense
$
90
$
—
Transfers from property and equipment to
inventory
$
1,647
$
2,470
Transfers from inventory to property and
equipment
$
1,370
$
3,475
See notes to condensed consolidated financial
statements.
Non-GAAP Financial Information
This press release contains non-GAAP financial measures,
including non-GAAP gross margin, non-GAAP operating loss, non-GAAP
net loss, non-GAAP operating expense, EBITDA and Adjusted
EBITDA.
- We define non-GAAP gross margin as GAAP gross margin excluding
the effect of stock-based compensation, amortization of acquired
intangible assets, restructuring, acquisition-related and
integration costs, and inventory step-up adjustments
- We define non-GAAP operating loss as GAAP operating loss
excluding the effect of stock-based compensation, amortization of
acquired intangible assets, restructuring, inventory step-up
adjustments, and acquisition-related and integration costs
- We define non-GAAP net loss as GAAP net loss excluding the
effect of stock-based compensation, amortization of acquired
intangible assets, restructuring, inventory step-up adjustments,
acquisition-related and integration costs, and change in fair value
of investments
- We define non-GAAP operating expense as GAAP operating expense
excluding the effect of stock-based compensation, amortization of
acquired intangible assets, restructuring, and acquisition-related
and integration costs including in operating expenses
- We define EBITDA as GAAP net income (loss) excluding interest,
income taxes, and depreciation and amortization expense
- We define Adjusted EBITDA as EBITDA excluding change in fair
value of investments, inventory step-up adjustments, stock-based
compensation, restructuring, and acquisition-related and
integration costs
In addition to Desktop Metal’s results determined in accordance
with GAAP, Desktop Metal’s management uses this non-GAAP financial
information to evaluate the Company’s ongoing operations and for
internal planning and forecasting purposes. We believe that this
non-GAAP financial information, when taken collectively, may be
helpful to investors in assessing Desktop Metal’s operating
performance.
We believe that the use of Non-GAAP gross margin, non-GAAP
operating loss, non-GAAP net loss, non-GAAP operating expense,
EBITDA and Adjusted EBITDA provides an additional tool for
investors to use in evaluating ongoing operating results and trends
because it eliminates the effect of financing, capital
expenditures, and non-cash expenses such as stock-based
compensation and warrants, and provides investors with a means to
compare Desktop Metal’s financial measures with those of comparable
companies, which may present similar non-GAAP financial measures to
investors. However, investors should be aware that when evaluating
non-GAAP gross margin, non-GAAP operating loss, non-GAAP net loss,
non-GAAP operating expense, EBITDA and Adjusted EBITDA, we may
incur future expenses similar to those excluded when calculating
these measures. In addition, our presentation of these measures
should not be construed as an inference that our future results
will be unaffected by unusual or non-recurring items. Our
computation of these measures may not be comparable to other
similarly titled measures computed by other companies because not
all companies calculate these measures in the same fashion.
Because of these limitations, non-GAAP gross margin, non-GAAP
operating loss, non-GAAP net loss, non-GAAP operating expense,
EBITDA and Adjusted EBITDA should not be considered in isolation or
as a substitute for performance measures calculated in accordance
with GAAP. We compensate for these limitations by relying primarily
on our GAAP results and using non-GAAP gross margin, non-GAAP
operating loss, non-GAAP net loss, non-GAAP operating expense,
EBITDA and Adjusted EBITDA on a supplemental basis. Management
uses, and investors should consider, our non-GAAP financial
measures only in conjunction with our GAAP results. Desktop Metal
has not provided a reconciliation of its Adjusted EBITDA outlook to
net income because estimates of all of the reconciling items cannot
be provided without unreasonable efforts.
Set forth below is a reconciliation of each non-GAAP financial
measure used in this press release to its most directly comparable
GAAP financial measure.
DESKTOP METAL, INC.
NON-GAAP RECONCILIATION
TABLE
(in thousands)
For the Three Months
Ended
For the Nine Months
Ended
September 30,
September 30,
(Dollars in thousands)
2023
2022
2023
2022
GAAP gross margin
$
1,924
$
(309
)
$
6,649
$
6,760
Stock-based compensation included
in cost of sales(1)
517
734
1,787
1,892
Amortization of acquired
intangible assets included in cost of sales
6,889
5,877
20,744
17,817
Restructuring expense in cost of
sales
16
3,085
3,221
3,126
Acquisition-related and
integration costs included in cost of sales
—
—
913
1,148
Inventory step-up adjustment in
cost of sales
—
—
—
1,496
Non-GAAP gross margin
$
9,346
$
9,387
$
33,314
$
32,239
GAAP operating loss
$
(45,120
)
$
(57,819
)
$
(145,954
)
$
(419,868
)
Stock-based
compensation(2),(3)
7,683
12,040
26,699
41,170
Amortization of acquired
intangible assets
10,398
9,069
31,297
28,522
Restructuring expense
142
3,085
6,610
5,086
Inventory step-up adjustment in
cost of sales
—
—
—
1,496
Acquisition-related and
integration costs(4)
(5,452
)
1,476
3,313
6,633
Goodwill impairment
2,450
—
2,450
229,500
Impairment charges
6,062
—
6,062
—
Non-GAAP operating
loss
$
(23,837
)
$
(32,149
)
$
(69,523
)
$
(107,461
)
GAAP net loss
$
(46,373
)
$
(60,774
)
$
(148,742
)
$
(427,990
)
Stock-based
compensation(2),(3)
7,683
12,040
26,699
41,170
Amortization of acquired
intangible assets
10,398
9,069
31,297
28,522
Restructuring expense
142
3,085
6,610
5,469
Inventory step-up adjustment in
cost of sales
—
—
—
1,496
Acquisition-related and
integration costs(4)
(5,452
)
1,476
3,313
6,633
Goodwill impairment
2,450
—
2,450
229,500
Impairment charges
6,062
—
6,062
—
Change in fair value of
investments
775
2,052
1,061
8,493
Non-GAAP net loss
$
(24,315
)
$
(33,052
)
$
(71,250
)
$
(106,707
)
(1) Includes $(0.1) million and $0.3
million of liability-award stock-based compensation expense for the
three and nine months ended September 30, 2023, respectively.
Includes $0.1 million and $0.2 million of liability-award
stock-based compensation expense for the three and nine months
ended September 30, 2022, respectively.
(2) Includes $(0.7) million and $2.2
million of liability-award stock-based compensation expense for the
three and nine months ended September 30, 2023, respectively.
Includes $1.2 million and $3.4 million of liability-award
stock-based compensation expense for the three and nine months
ended September 30, 2022, respectively.
(3) Includes $7.3 million of stock-based
compensation expense associated with the restructuring initiative
for the nine months ended September 30, 2022.
(4) For the three months ended September
30, 2023, the Company incurred an additional $4.3 million in merger
expenses related to the Stratasys transaction and recognized a
$10.0 million reduction in expenses as a result of the
reimbursement from Stratasys. The net gain of $5.6 million is
included in the adjustment for Acquisition-related and integration
costs for the three months ended September 30, 2023. For the nine
months ended September 30, 2023, we incurred $10.0 million in
merger expenses related to the Stratasys transaction and recognized
a $10.0 million reduction in expenses as a result of the
reimbursement from Stratasys, with no net impact to the adjustment
for Acquisition-related and integration costs for the nine months
ended September 30, 2023.
DESKTOP METAL, INC.
NON-GAAP OPERATING EXPENSE
RECONCILIATION TABLE
(in thousands)
For the Three Months
Ended
For the Nine Months
Ended
September 30,
September 30,
(Dollars in thousands)
2023
2022
2023
2022
GAAP operating expenses
$
47,044
$
57,510
$
152,603
$
426,628
Stock-based compensation included
in operating expenses(1),(2)
(7,166
)
(11,306
)
(24,912
)
(39,278
)
Amortization of acquired
intangible assets included in operating expenses
(3,509
)
(3,192
)
(10,553
)
(10,705
)
Restructuring expense included in
operating expenses
(126
)
—
(3,389
)
(1,960
)
Acquisition-related and
integration costs included in operating expenses(3)
5,452
(1,476
)
(2,400
)
(5,485
)
Goodwill impairment
(2,450
)
—
(2,450
)
(229,500
)
Impairment charges
(6,062
)
—
(6,062
)
—
Non-GAAP operating
expenses
$
33,183
$
41,536
$
102,837
$
139,700
(1) Includes $(0.6) million and $1.9
million of liability-award stock-based compensation expense for the
three and nine months ended September 30, 2023, respectively.
Includes $1.1 million and $3.2 million of liability-award
stock-based compensation expense for the three and nine months
ended September 30, 2022, respectively.
(2) Includes $7.3 million of stock-based
compensation expense associated with the Initiative for the nine
months ended September 30, 2022.
(3) For the three months ended September
30, 2023, the Company incurred an additional $4.3 million in merger
expenses related to the Stratasys transaction and recognized a
$10.0 million reduction in expenses as a result of the
reimbursement from Stratasys. The net gain of $5.6 million is
included in the adjustment for Acquisition-related and integration
costs for the three months ended September 30, 2023. For the nine
months ended September 30, 2023, we incurred $10.0 million in
merger expenses related to the Stratasys transaction and recognized
a $10.0 million reduction in expenses as a result of the
reimbursement from Stratasys, with no net impact to the adjustment
for Acquisition-related and integration costs for the nine months
ended September 30, 2023.
DESKTOP METAL, INC.
NON-GAAP ADJUSTED EBITDA
RECONCILIATION TABLE
(in thousands)
For the Three Months
Ended
For the Nine Months
Ended
September 30,
September 30,
(Dollars in thousands)
2023
2022
2023
2022
Net loss attributable to common
stockholders
$
(46,373
)
$
(60,774
)
$
(148,742
)
$
(427,990
)
Interest (income) expense,
net
1,045
680
2,965
1,281
Income tax expense (benefit)
(141
)
598
(675
)
(1,602
)
Depreciation and amortization
13,357
12,692
40,322
38,294
EBITDA
(32,112
)
(46,804
)
(106,130
)
(390,017
)
Change in fair value of
investments
775
2,052
1,061
8,493
Inventory step-up adjustment
—
—
—
1,496
Stock-based compensation
expense(1),(2)
7,683
12,040
26,699
41,170
Restructuring expense
142
3,085
6,610
5,469
Goodwill impairment
2,450
—
2,450
229,500
Impairment charges
6,062
—
6,062
—
Acquisition-related and
integration costs(3)
(5,452
)
1,476
3,313
6,633
Adjusted EBITDA
$
(20,452
)
$
(28,151
)
$
(59,935
)
$
(97,256
)
(1) Includes $7.3 million of stock-based
compensation expense associated with the Initiative for the nine
months ended September 30, 2022.
(2) Includes $(0.7) million and $2.2
million of liability-award stock-based compensation expense for the
three and nine months ended September 30, 2023, respectively.
Includes $1.2 million and $3.4 million of liability-award
stock-based compensation expense for the three and nine months
ended September 30, 2022, respectively.
(3) For the three months ended September
30, 2023, the Company incurred an additional $4.3 million in merger
expenses related to the Stratasys transaction and recognized a
$10.0 million reduction in expenses as a result of the
reimbursement from Stratasys. The net gain of $5.6 million is
included in the adjustment for Acquisition-related and integration
costs for the three months ended September 30, 2023. For the nine
months ended September 30, 2023, we incurred $10.0 million in
merger expenses related to the Stratasys transaction and recognized
a $10.0 million reduction in expenses as a result of the
reimbursement from Stratasys, with no net impact to the adjustment
for Acquisition-related and integration costs for the nine months
ended September 30, 2023.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20231109554219/en/
Investor Relations: (857) 504-1084
DesktopMetalIR@icrinc.com
Media Relations: Sarah Webster (313) 715-6988
sarahwebster@desktopmetal.com
Desktop Metal (NYSE:DM)
Historical Stock Chart
Von Apr 2024 bis Mai 2024
Desktop Metal (NYSE:DM)
Historical Stock Chart
Von Mai 2023 bis Mai 2024