- Fourth quarter revenue of $56.7 million, up 123% sequentially from the third quarter of 2021, and up 62% sequentially excluding revenue from the ExOne acquisition
- Fourth quarter GAAP gross margin of 22%; non-GAAP gross margin of 31%, representing the sixth consecutive quarter of gross margin expansion
- Full year 2021 revenue of $112.4 million, up 583% from 2020
- Full year 2021 organic revenue growth from metal offerings up 163% from 2020
- Commenced shipments of Production System™ P-50 with inaugural customer Stanley Black & Decker
- Initiates full year 2022 revenue guidance of approximately $260 million, representing 131% growth from 2021
BOSTON — (BUSINESS WIRE) — March 7, 2022 — Desktop Metal, Inc. (NYSE: DM) today announced its preliminary unaudited financial results for the fourth quarter and full year ended December 31, 2021.
“With record total revenue, organic revenue, and gross margins, the fourth quarter was an exceptional finish to a revolutionary year for Desktop Metal,” said Ric Fulop, CEO and co-founder of Desktop Metal. “We also recently commenced shipments of our flagship Production System P-50, a major milestone for Desktop Metal and the additive manufacturing industry.”
Mr. Fulop continued, “In addition to the team’s achievement on P-50, we’re entering 2022 with considerable tailwinds toward another year of record growth including continued momentum from the best quarter in company history, robust customer demand across our unmatched AM 2.0 solutions portfolio, and favorable market conditions as the additive market inflects. We believe our strategic priorities in 2022 will ensure continued success toward achieving our goal of double digit share of the over $100 billion additive manufacturing market by the end of the decade.”
Recent Business Highlights:
- Completed first full year as a public company
- Commenced shipments of Production System™ P-50 with inaugural customer Stanley Black & Decker, marking the commercialization of the company’s revolutionary additive manufacturing technology for mass production of end-use, metal parts
- Launched EinsteinTM series of high-precision 3D printers designed for volume production of dental and healthcare parts
- Launched Flexcera™ Smile Ultra+, a hybrid nanoceramic resin for permanent restorations and one of the strongest dental resins on the market
- Launched ETEC, a new 3D printing brand that will enable EnvisionTEC, the original inventor of digital light processing (DLP) technology, to better connect with industrial customers
- Launched X-Series line of printers from the assets of the ExOne acquisition, soon to be supported by Desktop Metal’s award-winning build preparation and simulation software applications
- Continued material portfolio development including qualification of DM custom HH stainless steel and pure copper on the Production SystemTM platform, and D2 tool steel on Studio System 2
Fourth Quarter 2021 Financial Highlights:
- Revenue of $56.7 million, up 123% sequentially from the third quarter of 2021, and up 577% year-over-year from the fourth quarter of 2020
- Broad-based growth across all products and technologies, with particular strength in organic metal offerings
- Revenue excluding ExOne of $41.2 million, up 62% sequentially from the third quarter of 2021
- GAAP gross margin of 22%; non-GAAP gross margin of 31%, a sequential improvement of more than 460 basis points from the third quarter of 2021, the sixth consecutive quarter of gross margin expansion
- Net loss of $71.2 million, including $10.0 million in transaction costs associated with acquisitions and $8.3 million of changes to fair value of investments
- Adjusted EBITDA of $(25.7) million
Full Year 2021 Financial Highlights:
- Revenue of $112.4 million, up 583% from 2020
- Revenue excluding ExOne of $96.9 million, up 488% from 2020
- Organic revenue growth from metal offerings up 163% from 2020
- GAAP gross margin of 16%; non-GAAP gross margin of 27%
- Net loss of $240.3 million, including $56.6 million of changes in fair value of warrant liability and $25.6 million of in-process research and development assets related to acquisitions
- Adjusted EBITDA of $(96.1) million
- Strong ending liquidity position with cash, cash equivalents, and short-term investments of $271.7 million as of December 31, 2021
Outlook for Full Year 2022:
- Revenue expectation of approximately $260 million for 2022, representing 131% growth from 2021
- Adjusted EBITDA expectation of approximately $(90) million for 2022
Conference Call Information:
Desktop Metal will host a conference call on Tuesday, March 8, 2022 at 8:30 a.m. EST to discuss fourth quarter and full year 2021 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 https://ir.desktopmetal.com. A replay will be available shortly after the conclusion of the conference call at the same website.
Preliminary Unaudited Results:
On March 2, 2022, Desktop Metal filed a Form 12b-25 notice of filing delay with the U.S. Securities and Exchange Commission in connection with its Annual Report on Form 10-K for the period ended December 31, 2021. Desktop Metal expects to file its Annual Report on Form 10-K within the 15-day extension period. Accordingly, the financial data for the fourth quarter and year ended December 31, 2021 presented in this press release are preliminary and unaudited and could be subject to change upon completion of the preparation and audit of the company’s financial statements. The preliminary financial data has been prepared by management.
About Desktop Metal:
Desktop Metal, Inc., based in Burlington, Massachusetts, is accelerating the transformation of manufacturing with an expansive portfolio of 3D printing solutions, from rapid prototyping to mass production. Founded in 2015 by leaders in advanced manufacturing, metallurgy, and robotics, the company is addressing the unmet challenges of speed, cost, and quality to make additive manufacturing an essential tool for engineers and manufacturers around the world. Desktop Metal was selected as one of the world’s 30 most promising Technology Pioneers by the World Economic Forum, named to MIT Technology Review’s list of 50 Smartest Companies, and the 2021 winner of Fast Company’s Innovation by Design Award in materials and Fast Company’s Next Big Things in Tech Award for sustainability.
For more information, visit www.desktopmetal.com.
Forward-Looking Statements:
Desktop Metal, Inc.'s fourth quarter preliminary unaudited 2021 financial results press release, presentation, conference call webcast and related communications contain forward-looking statements within the meaning of Section 27 A of the Securities Act of 1933, as amended, and Section 21 E of the Securities Exchange Act of 1934, as amended. 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, plans and objectives for future operations, are forward-looking statements. In some cases, you can identify forward-looking statements by terms such as "may," "will," "should," "expect," "plan," "anticipate," "could," "intend," "target," "project," "contemplate," "believe," "estimate," "predict," "potential" or "continue" or the negative of these terms or other similar expressions. The forward-looking statements in this communication are only predictions. Desktop Metal has based these forward-looking statements on current information and management's current expectations and beliefs. These forward-looking statements speak only as of the date of this communication and are subject to a number of significant risks and uncertainties, including, without limitation, risks associated with the acquisition and integration of the business and operations of ExOne and other acquired businesses. For additional information about other risks and uncertainties of Desktop Metal's business, financial condition, results of operations and prospects generally, please refer to Desktop Metal's reports filed with the Securities and Exchange Commission ("SEC"), including without limitation the "Risk Factors" and/or other information included in the Form 10-Q filed with the SEC on November 15, 2021, and such other reports as Desktop Metal has filed or may file with the SEC from time to time. Although we believe that expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, performance, or achievements. The events and circumstances reflected in our forward-looking statements may not be achieved or occur, and actual results could differ materially from those projected in the forward-looking statements. Moreover, we operate in an evolving environment. New risk factors and uncertainties may emerge from time to time, and it is not possible for management to predict all risk factors and uncertainties. As a result of these factors, we cannot assure you that the forward-looking statements in these communications will prove to be accurate. Except as required by applicable law, including the filing of our Annual Report on Form 10-K for the fiscal year ended December 31, 2021, we do not plan to publicly update or revise any forward-looking statements contained herein, whether as a result of any new information, future events, changed circumstances, or otherwise. We qualify all of our forward-looking statements by these cautionary statements.
