Shapeways – a leading company providing services based on 3D printing has published financial results for 2022, achieving revenues of USD 33.2 million. This was almost the same result as a year ago, when it generated revenue of USD 33.6 million, but unfortunately generated a significantly higher loss. Gross profit amounted to USD 14.3 million – one and a half million less than a year ago, however the net loss increased to USD -20.2 million compared to USD -1.8 million a year ago. This was the result of the acquisitions of MFG.com and MakerOS, which are being integrated into existing structures. The company believes this will improve its revenues and make it more competitive in the long run, but for now it is facing the threat of being delisted for not maintaining a minimum share price.
As of December 31, 2022, the company had $40.4 million in cash and cash equivalents and transferable securities, which provides it with sufficient liquidity to implement its strategic plan on an ongoing basis. At the same time, Shapeways predicts that in the first quarter of 2023, revenue will be between $7.8 and $8.1 million.
Returning to the stock market problems – Shapeways has been experiencing considerable problems since its debut on the NYSE in connection with the fulfillment of promises made to shareholders. Since July 15, 2022, when Shapeways’ stock hit $1, it has continued to fall and is currently trading at around 30 cents… Last year, the company was notified by the NYSE that it was not in line with the exchange’s listing standards to Each listed company has maintained a minimum average closing price of $1.00 per share for the next 30 days and is facing removal from the New York Stock Exchange.
Although generating over 30 million revenues from 3D printing services is a considerable achievement in itself, slow revenue growth – in the context of earlier promises made at the stock exchange debut, does not improve the company’s image among shareholders. The matter is so serious that Shapeways intends to seek approval for a common stock reverse split at its annual shareholder meeting in June 2023. The stock reverse split is intended to lead the Company to meet the minimum bid requirement in exchange for maintaining its listing on the Stock Exchange in New York.
Shapways says it will continue to focus heavily on achieving profitability while expanding its digital manufacturing platform throughout 2023, leveraging the investments made in 2022. Investments are expected to drive service sales in the future, with expected margin growth beginning in the second quarter of 2023
Source: www.shapeways.com