Third Quarter 2023 Highlights
- Revenue totaled $31.5 million
- Total orders were $29.0 million
- Net loss totaled $(8.6) million; Adjusted net loss1 was $(7.1) million
- Adjusted EBITDA1 totaled $3.1 million, representing an Adjusted EBITDA margin1 of 9.8%
Year to Date 2023 Highlights
- Revenue totaled $100.9 million
- Total orders were $104.4 million
- Net loss totaled $(17.2) million; Adjusted net loss1 totaled $(18.3) million
- Adjusted EBITDA1 was $12.0 million, representing an Adjusted EBITDA margin1 of 11.9%
HARTLAND, Wis. — (BUSINESS WIRE) — November 13, 2023 — Fathom Digital Manufacturing Corp. (NYSE: FATH), an industry leader in on-demand digital manufacturing services, today announced financial results for the third quarter and nine months ended September 30, 2023.
|
Three Months Ended |
|
Nine Months Ended |
||
($ in thousands) |
9/30/2023 |
9/30/2022 |
|
9/30/2023 |
9/30/2022 |
Revenue |
$31,458 |
$40,210 |
|
$100,939 |
$122,737 |
Net income (loss) |
$(8,584) |
$(1,038,970) |
|
$(17,164) |
$(985,694) |
Adjusted net income (loss)1 |
$(7,153) |
$5,364 |
|
$(18,309) |
$6,057 |
Adjusted EBITDA1 |
$3,094 |
$7,055 |
|
$12,015 |
$21,900 |
Adjusted EBITDA margin1 |
9.8% |
17.5% |
|
11.9% |
17.8% |
1 See “Non-GAAP Financial Information.” Reconciliations of non-GAAP financial measures are included in the appendix. |
On October 23, 2023, Fathom appointed Carey Chen as Chief Executive Officer of the company succeeding Ryan Martin. Mr. Chen has significant global manufacturing experience and an extensive background in supporting companies across the industrial landscape. He has served as a member of Fathom’s Board of Directors since April 2021 and as a Director to Fathom’s predecessor companies since 2019.
“I am optimistic that there are opportunities to return to revenue growth and sustainable profitability over time. We’ve added new sales and operating leadership,” said Carey Chen, Fathom’s Chief Executive Officer. “Together with the valued employees throughout Fathom, we will move with urgency to optimize the performance of the company.”
In commenting on the third quarter financial results, Mark Frost, Chief Financial Officer, said, “Revenue in the quarter came in at the low-end of our expectations. We saw more stable order rates as the quarter progressed and believe we are set up to return to profitable growth in 2024 as we realize the full benefits of our cost optimization efforts.”
Year Over Year Summary of Financial Results – (Third Quarter and Nine Months)
Revenue for the third quarter of 2023 was $31.5 million compared to $40.2 million in the third quarter of 2022, a decrease of 21.8% due to lower order volumes, primarily impacting Fathom’s production precision sheet metal and CNC product lines. For the nine months ended September 30, 2023, revenue totaled $100.9 million versus $122.7 million compared to the comparable period last year.
