3D Systems Corporation (NYSE:DDD) hosted an investor and analyst day on June 10. The 3D printing company highlighted key points discussed at the event in a press release Monday. Its stock has tumbled almost 45% this year so far as investors questioned its long-term strategy. 3D Systems put most of those doubts to rest at the event by shedding light on its growth prospects and future strategies.
3D Systems raises its revenue guidance
3D Systems Corporation (NYSE:DDD) raised its FY2014 revenue guidance by $15 million. The company now forecasts full year revenues to come between $695-$735 million. The Rock Hill-based company reiterated its non-GAAP EPS guidance of $0.73-$0.85 despite about 6% increase in the number of outstanding shares. Solid revenue and EPS guidance reflects the acquisition of Medical Modeling and Robtec.
3D Systems Corporation (NYSE:DDD) recently raised about $317 million in a secondary offering. The company said it will deploy proceeds from the offering to complete multiple acquisitions and on its ongoing Quickparts global expansion. The company will focus on 3M’s (materials, medical and metal) to drive growth. 3D Systems has made strategic acquisitions to gain the “first mover” advantage and expand its marketplace reach.
Consumer market key to 3D Systems’ long-term strategy
The Rock Hill-based company said it will continue to double the print speeds of its print engines every 18 months. 3D Systems Corporation (NYSE:DDD) also showcased a video of its ‘racetrack’ 3D printer which enables continuous printing of polymers at 50x faster speed than the best existing jetting technology. The company said second half of this year will witness broad consumer adoption of its 3D printers and accessories, from food to entertainment, retail to education. The company will establish a virtual to actual thread in every segment of the consumer markets. Its partnerships with Staples, Inc. (NASDAQ:SPLS), Hasbro, Inc. (NASDAQ:HAS) and Hershey Co (NYSE:HSY) would bring the 3D printing technology further into the mainstream.
3D Systems Corporation (NYSE:DDD) reiterated its expectation to surpass $1 billion revenue by FY2015. At least 30% of its growth would come through the organic route. The company management is confident that gross margins will continue to improve, reaching 55%-60% as its revenue touches $1 billion mark.
3D Systems Corporation (NYSE:DDD) shares soared 2.82% to $50.71 at 2:06 PM EDT on Monday.