Markforged Announces First Quarter 2022 Results

Markforged Holding Corporation (NYSE: MKFG) (the “Company”), creator of the integrated metal and carbon fiber additive manufacturing platform, The Digital Forge, today announced its results from the first quarter ended March 31, 2022.

 

Financial Highlights

• Revenue increased by 8.6%, to $21.9 million, in the first quarter of 2022 from $20.1 million in the first quarter of 2021.
• Gross margin was 53.1% in the first quarter of 2022 compared to 60.5% in the first quarter of 2021.
• Non-GAAP gross margin was 53.6% in the first quarter of 2022 compared to 60.7% in the first quarter of 2021.
• Net profit (loss) was a profit of $4.2 million in the first quarter of 2022, compared to a net loss of $10.0 million in the first quarter of 2021.
• Non-GAAP profit (loss) was a loss of $15.5 million in the first quarter of 2022, compared to a loss of $7.8 million in the first quarter of 2021.
• GAAP earnings per share was a profit of $0.02 for the first quarter of 2022, compared to a loss of $0.25 in the first quarter of 2021.
• Non-GAAP earnings per share was a loss of $0.08 for the first quarter of 2022, compared to a loss of $0.20 in the first quarter of 2021.
• Cash and cash equivalents were $269.1 million as of March 31, 2022.

Reconciliations of the non-GAAP financial measures provided in this press release to their most directly comparable GAAP financial measures are provided in the financial tables included at the end of this press release. An explanation of these measures and how they are calculated is also included under the heading “Non-GAAP Financial Measures.”

“Markforged is a differentiated player in additive manufacturing. We bring a strong balance sheet and a track record of execution to our industry. Our focus on high-value, end-use manufacturing applications, printed at the point of need, solves for today’s extreme supply chain challenges, resulting in a growing install base and leading gross margins. We are accelerating organic product innovation as planned and increasing our addressable market. I’m so proud of our team for their execution against our plan,” said Shai Terem, President and CEO of Markforged.

“We also applaud the Biden administration’s Additive Manufacturing Forward initiative, announced earlier this month, which we believe will help accelerate adoption of additive technologies and create more agile and resilient supply chains. Markforged is excited to be part of this important initiative to help strengthen American manufacturing.”

 

Business Highlights

Production and delivery of Markforged’s newest printer, the FX20, continued as planned this quarter. The majority of shipments will occur in the second half of the year, but the printers already in the field are generating great feedback and increased interest. The FX20 will be showcased in North America for the first time next week at the Rapid + TCT 2022 trade show in Detroit.

The company launched Precise PLA in the first quarter as part of our strategy to expand our addressable market. This cost-effective, specialized version of polylactic acid enables our customers to use the Markforged solution for the full product lifecycle, from design through tooling and into production.

Subsequent to the quarter-end Markforged completed its acquisition of cloud-native software provider Teton Simulation Software. Teton’s SmartSlice™ technology will be integrated into Markforged’s Eiger software as a subscription add-on, enabling customers to optimize and validate advanced composite parts for the most demanding production applications.

As part of Markforged’s long-term growth strategy, the Company made continued, yet measured, investments to accelerate innovation efforts in R&D and grow its go-to-market organization. The Markforged organization grew to over 400 team members this quarter.

2022 Guidance

Markforged reaffirms its full-year 2022 guidance. Revenue is expected to be within the range of $114-123 million, and non-GAAP gross margins are expected to be within the range of 55%-57%.  Non-GAAP earnings per share results for the full year are expected to be a loss in the range of $0.28 – $0.31 per share, based on an outstanding share count of approximately 187 million shares.

 

Conference Call and Webcast Information

 The Company will host a webcast and conference call at 5:00 p.m. ET today, Thursday, May 12, to discuss the results and other matters.

Participants may access the audio webcast by visiting the investors section of the Company’s website at https://investors.markforged.com/.

To participate in the call, please dial 1-877-300-8521, or 1-412-317-6026 for international participants, ten minutes before the scheduled start.

For those unable to listen to the live conference call, a replay will be available on the Company’s website and telephonically through May 26, 2022, by dialing 1-844-512-2921 (U.S. domestic) or 1-412-317-6671 (International), passcode 10165836.