Non-GAAP Financial Information
In addition to Shapeways’ results determined in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”), Shapeways believes that Adjusted EBITDA, a non-U.S. GAAP financial measure, is useful in evaluating its operational performance. Shapeways uses this non-U.S. GAAP financial information to evaluate its ongoing operations and for internal planning and forecasting purposes. Shapeways believes that this non-U.S. GAAP financial information, when reviewed collectively with its U.S. GAAP results, may be helpful to investors in assessing its operating performance.
Shapeways defines Adjusted EBITDA as net income (loss) excluding debt forgiveness, interest expense, net of interest income, income tax benefit, depreciation and amortization, stock-based compensation, change in fair value of warrant liabilities, and other (which includes other income and non-operating gains and losses).
Shapeways believes that the use of Adjusted EBITDA provides an additional tool for investors to use in evaluating ongoing operating results and trends because it eliminates the effect of financing and capital expenditures and provides investors with a means to compare its financial measures with those of comparable companies, which may present similar non-U.S. GAAP financial measures to investors. However, you should be aware that when evaluating Adjusted EBITDA Shapeways may incur future expenses similar to those excluded when calculating these measures. In addition, Shapeways’ presentation of these measures should not be construed as an inference that its future results will be unaffected by unusual or non-recurring items.
Because of these limitations, Adjusted EBITDA should not be considered in isolation or as a substitute for performance measures calculated in accordance with U.S. GAAP. Shapeways compensates for these limitations by relying primarily on its U.S. GAAP results and using Adjusted EBITDA on a supplemental basis. You should review the reconciliation of net income (loss) to Adjusted EBITDA below and not rely on any single financial measure to evaluate Shapeways’ business.
SHAPEWAYS HOLDINGS, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (in thousands, except share and per share amounts) |
|||||||
|
March 31, 2022 |
|
December 31, 2021 |
||||
|
(Unaudited) |
|
|
||||
Assets |
|
|
|
||||
Current assets |
|
|
|
||||
Cash and cash equivalents |
$ |
64,692 |
|
|
$ |
79,677 |
|
Restricted cash |
|
141 |
|
|
|
142 |
|
Accounts receivable |
|
1,504 |
|
|
|
1,372 |
|
Inventory |
|
894 |
|
|
|
927 |
|
Prepaid expenses and other current assets |
|
6,939 |
|
|
|
4,360 |
|
Total current assets |
|
74,170 |
|
|
|
86,478 |
|
Property and equipment, net |
|
12,464 |
|
|
|
4,388 |
|
| Right-of-use assets, net |
|
703 |
|
|
|
842 |
|
| Goodwill |
|
1,835 |
|
|
|
1,835 |
|
| Security deposits |
|
175 |
|
|
|
175 |
|
| Total assets |
$ |
89,347 |
|
|
$ |
93,718 |
|
| Liabilities and Stockholders’ Equity (Deficit) |
|
|
|
||||
| Current liabilities |
|
|
|
||||
| Accounts payable |
$ |
1,705 |
|
|
$ |
1,909 |
|
| Accrued expenses and other liabilities |
|
3,486 |
|
|
|
2,645 |
|
| Operating lease liabilities, current |
|
551 |
|
|
|
639 |
|
| Deferred revenue |
|
515 |
|
|
|
921 |
|
| Total current liabilities |
|
6,257 |
|
|
|
6,114 |
|
| Operating lease liabilities, net of current portion |
|
252 |
|
|
|
326 |
|
| Warrant liabilities |
|
1,130 |
|
|
|
2,274 |
|
| Total liabilities |
|
7,639 |
|
|
|
8,714 |
|
| Commitments and contingencies |
|
|
|
||||
| Stockholders’ equity (deficit) |
|
|
|
||||
| Preferred stock ($0.0001 par value; 10,000,000 shares authorized; none issued and outstanding as of March 31, 2022 and December 31, 2021, respectively) |
|
— |
|
|
|
— |
|
| Common stock ($0.0001 par value; 120,000,000 shares authorized; 48,845,706 and 48,627,739 shares issued and outstanding as of March 31, 2022 and December 31, 2021, respectively) |
|
5 |
|
|
|
5 |
|
| Additional paid-in capital |
|
198,972 |
|
|
|
198,179 |
|
| Accumulated deficit |
|
(116,848 |
) |
|
|
(112,811 |
) |
| Accumulated other comprehensive loss |
|
(421 |
) |
|
|
(369 |
) |
| Total stockholders’ equity (deficit) |
|
81,708 |
|
|
|
85,004 |
|
| Total liabilities and stockholders’ equity (deficit) |
$ |
89,347 |
|
|
$ |
93,718 |
|
| SHAPEWAYS HOLDINGS, INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE (LOSS) INCOME (UNAUDITED) (in thousands, except share and per share amounts) |
|||||||
|
|
Three Months Ended March 31, |
||||||
|
|
2022 |
|
2021 |
||||
| Revenue, net |
$ |
7,570 |
|
|
$ |
8,789 |
|
| Cost of revenue |
|
4,161 |
|
|
|
4,660 |
|
| Gross profit |
|
3,409 |
|
|
|
4,129 |
|
| Operating expenses |
|
|
|
||||
| Selling, general and administrative |
|
6,145 |
|
|
|
3,033 |
|
| Research and development |
|
2,065 |
|
|
|
1,310 |
|
| Total operating expenses |
|
8,210 |
|
|
|
4,343 |
|
| Loss from operations |
|
(4,801 |
) |
|
|
(214 |
) |
| Other income (expense) |
|
|
|
||||
| Long-term debt forgiveness |
|
— |
|
|
|
2,000 |
|
| Change in fair value of warrant liabilities |
|
762 |
|
|
|
— |
|
| Interest expense |
|
— |
|
|
|
(151 |
) |
| Interest income |
|
1 |
|
|
|
— |
|
| Other income |
|
1 |
|
|
|
— |
|
| Total other income, net |
|
764 |
|
|
|
1,849 |
|
| Income (loss) before income tax benefit |
|
(4,037 |
) |
|
|
1,635 |
|
| Income tax benefit |
|
— |
|
|
|
73 |
|
| Net income (loss) |
|
(4,037 |
) |
|
|
1,708 |
|
| Net income (loss) per share: |
|
|
|
||||
| Basic |
$ |
(0.08 |
) |
|
$ |
0.05 |
|
| Diluted |
$ |
(0.08 |
) |
|
$ |
0.05 |
|
| Weighted average common shares outstanding: |
|
|
|
||||
| Basic |
|
53,142,447 |
|
|
|
35,993,403 |
|
| Diluted |
|
53,142,447 |
|
|
|
35,993,403 |
|
| Other comprehensive (loss) income |
|
|
|
||||
| Foreign currency translation adjustment |
|
(52 |
) |
|
|
(9 |
) |
| Comprehensive (loss) income |
$ |
(4,089 |
) |
|
$ |
1,699 |
|
| SHAPEWAYS HOLDINGS, INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (in thousands, except share and per share amounts) |
|||||||
|
|
Three Months Ended March 31, |
||||||
|
|
2022 |
|
2021 |
||||
| Cash flows from operating activities: |
|
|
|
||||
| Net income (loss) |
$ |
(4,037 |
) |
|
$ |
1,708 |
|
| Adjustments to reconcile net income (loss) to net cash used in operating activities: |
|
|
|
||||
| Depreciation and amortization |
|
182 |
|
|
|
141 |
|
| Stock-based compensation expense |
|
312 |
|
|
|
174 |
|
| Non-cash lease expense |
|
131 |
|
|
|
845 |
|
| Non-cash debt forgiveness |
|
— |
|
|
|
(2,000 |
) |
| Change in fair value of warrant liabilities |
|
(762 |
) |
|
|
— |
|
| Change in operating assets and liabilities: |
|
|
|
||||
| Accounts receivable |
|
(134 |
) |
|
|
(708 |
) |
| Inventory |
|
24 |
|
|
|
50 |
|
| Prepaid expenses and other assets |
|
(2,567 |
) |
|
|
(558 |
) |
| Accounts payable |
|
(193 |
) |
|
|
(35 |
) |
| Accrued expenses and other liabilities |
|
851 |
|
|
|
353 |
|
| Lease liabilities |
|
(154 |
) |
|
|
(874 |
) |
| Deferred revenue |
|
(406 |
) |
|
|
(36 |
) |
| Net cash used in operating activities |
|
(6,753 |
) |
|
|
(940 |
) |
| Cash flows from investing activities: |
|
|
|
||||
| Purchases of property and equipment |
|
(8,258 |
) |
|
|
(136 |
) |
| Net cash used in investing activities |
|
(8,258 |
) |
|
|
(136 |
) |
| Cash flows from financing activities: |
|
|
|
||||
| Proceeds from issuance of common stock |
|
99 |
|
|
|
16 |
|
| Repayments of loans payable |
|
— |
|
|
|
(460 |
) |
| Net cash provided by (used in) financing activities |
|
99 |
|
|
|
(444 |
) |
| Net change in cash and cash equivalents and restricted cash |
$ |
(14,912 |
) |
|
$ |
(1,520 |
) |
| Effect of change in foreign currency exchange rates on cash and cash equivalents and restricted cash |
|
(74 |
) |
|
|
(12 |
) |
| Cash and cash equivalents and restricted cash at beginning of period |
|
79,819 |
|
|
|
8,709 |
|
| Cash and cash equivalents and restricted cash at end of period |
$ |
64,833 |
|
|
$ |
7,177 |
|
| Supplemental disclosure of cash and non-cash transactions: |
|
|
|
||||
| Cash paid for interest |
$ |
— |
|
|
$ |
33 |
|
| SHAPEWAYS HOLDINGS, INC. RECONCILIATION OF GAAP TO NON-GAAP MEASURES For the Three Months Ended March 31, 2022 and 2021 |
||||||||
|
|
|
Three Months Ended March 31, |
||||||
| (Dollars in thousands) |
|
2022 |
|
2021 |
||||
| Net income (loss) |
|
$ |
(4,037 |
) |
|
$ |
1,708 |
|
| Debt forgiveness |
|
|
— |
|
|
|
(2,000 |
) |
| Interest expense, net |
|
|
— |
|
|
|
151 |
|
| Depreciation and amortization |
|
|
182 |
|
|
|
141 |
|
| Stock based compensation |
|
|
312 |
|
|
|
174 |
|
| Change in fair value of warrant liabilities |
|
|
(762 |
) |
|
|
— |
|
| Income tax benefit |
|
|
— |
|
|
|
(73 |
) |
| Other |
|
|
2 |
|
|
|
7 |
|
| Adjusted EBITDA |
|
$ |
(4,303 |
) |
|
$ |
108 |
|
| SHAPEWAYS HOLDINGS, INC. QUARTERLY PERFORMANCE (Unaudited) (in thousands) |
|||||||||||||||||||
|
|
Three Months Ended, |
||||||||||||||||||
|
|
March 31,
|
|
June 30,
|
|
September 30,
|
|
December 31,
|
|
March 31,
|
||||||||||
| Revenue |
$ |
8,789 |
|
|
$ |
8,849 |
|
|
$ |
7,716 |
|
|
$ |
8,269 |
|
|
$ |
7,570 |
|
| % YoY Growth |
|
|
|
26 |
% |
|
|
(5 |
)% |
|
|
(5 |
)% |
|
|
(14 |
)% |
||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
| Gross Profit |
$ |
4,129 |
|
|
$ |
4,293 |
|
|
$ |
3,661 |
|
|
$ |
3,867 |
|
|
$ |
3,409 |
|
| Gross Margin |
|
47 |
% |
|
|
49 |
% |
|
|
47 |
% |
|
|
47 |
% |
|
|
45 |
% |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
| Adj. EBITDA |
$ |
108 |
|
|
$ |
319 |
|
|
$ |
(1,824 |
) |
|
$ |
(3,106 |
) |
|
$ |
(4,303 |
) |
| SHAPEWAYS HOLDINGS, INC. RECONCILIATION OF GAAP TO NON-GAAP MEASURES |
|||||||||||||||||||
|
|
Three Months Ended, |
||||||||||||||||||
| (Dollars in thousands) |
March 31,
|
|
June 30,
|
|
September 30,
|
|
December 31,
|
|
March 31,
|
||||||||||
| Net income (loss) |
$ |
1,708 |
|
|
$ |
(135 |
) |
|
$ |
2,552 |
|
|
$ |
(2,369 |
) |
|
$ |
(4,037 |
) |
| Debt forgiveness |
|
(2,000 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
| Interest expense, net |
|
151 |
|
|
|
130 |
|
|
|
126 |
|
|
|
(4 |
) |
|
|
— |
|
| Depreciation and amortization |
|
141 |
|
|
|
137 |
|
|
|
146 |
|
|
|
169 |
|
|
|
182 |
|
| Stock based compensation |
|
174 |
|
|
|
171 |
|
|
|
438 |
|
|
|
2,124 |
|
|
|
312 |
|
| Change in fair value of warrant liabilities |
|
— |
|
|
|
— |
|
|
|
(5,088 |
) |
|
|
(3,018 |
) |
|
|
(762 |
) |
| Income tax benefit |
|
(73 |
) |
|
|
2 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
| Other |
|
7 |
|
|
|
14 |
|
|
|
2 |
|
|
|
(8 |
) |
|
|
2 |
|
| Adjusted EBITDA |
$ |
108 |
|
|
|
319 |
|
|
|
(1,824 |
) |
|
|
(3,106 |
) |
|
$ |
(4,303 |
) |
