Prodways posts €27 million revenue, 88% growth for first half of year

More 3D printing financial news with the publication new financial results from France’s Prodways Group. Acquisitions and on demand part manufacturing are behind strong growth at the French company.

The 3D printer manufacturer and service provider’s latest financial results show the company generated €27.6 million in revenue for the first half of the financial year. This is an 88.1% increase on the comparative figure of €14.6 for 2017.

Prodways’ results are also included in the financial returns of parent company Group Gorgé. At  Groupe Gorgé total revenue was €143.2 million, a 4.1% increase compared to the first half of 2017, driven by what the company describes as “the excellent performance of the 3D Printing division.”

(in € millions) H1 2018 H1 2017 Change Q2 2018 Q2 2017 Change
Systems 16.0 7.5 +113.8% 8.2 3.5 +131.1%
Products 11.9 7.4 +59.3% 6.1 3.7 +63.8%
Structure & disposals (0.3) (0.3) n/a (0.2) (0.1) n/a
Consolidated revenue 27.6 14.6 +88.1% 14.1 7.2 +95.4%

Prodways revenue is reported under two divisions, Systems and Products. In the Systems division total revenue was €16 million, up from the comparative of €7.5 million. Revenue in Systems relates to 3D design software, 3D printers and related materials. Prodways says, “The division has benefited from the good performance of the software business which contributed over the period. Machine sales were driven by the acceleration of sales of the Prodways ProMaker LD-10 dedicated to the dental market.”

The ProMaker LD-10 was shortlisted by our readers as the Enterprise 3D Printer of the year in the 2018 3D Printing Industry Awards.

Prodways ProMaker L5000. Photo by Michael Petch.
The Prodways ProMaker L5000. Photo by Michael Petch.

Prodways’ Products division includes on demand part manufacturing and 3D medical applications, specifically in the dental, podiatry and audiology markets. Here revenue saw a 59.3% increase, reaching €11.9 million.

Performance was primarily driven by large orders of on demand 3D printed parts. “The American service bureau VARIA 3D, previously 45%-held by Prodways Group and 70%-held since the end of the first quarter, contributed around €100,000 of revenue in the second quarter,” said the company.

“In the medical sector, dental remained stable. In contrast, the podiatry applications are still in deficit but are experiencing exceptional growth of almost 200% with the ramp-up of the Scientifeet 3D-printing solution for orthopedic and comfort insoles. Lastly, growth was significantly strengthened by the integration of Interson Protac, acquired during the third quarter of 2017.”

Updated revenue guidance and comment Solidscape acquisition

Prodways acquisition of Solidscape from Stratasys earlier this month is not included in the most recent financial statements. For the full financial year ending 2019 it is expected Solidscape will generate revenue in excess of $10 million, with over half the total coming from materials and supplies.

Solidscape is active in the jewelry market and the recent purchase is expected to give Prodways access to a new market for their 3D printing resins. Discussing the takeover Prodways said the integrated business presents a “comprehensive and unmatched offer on the investment casting and jewelry market.”

“The expected synergies, and particularly the marketing of small MOVINGLight machines through Solidscape network of more than 50 international distributors, should enable the new subsidiary to post double-digit EBITDA by 2020.”

In addition to the latest financial results, Prodways has also updated full year revenue guidance for 2018. The previous target €50 million has now increased to above €53 million. This new target “does not take into account the impact of Solidscape or other projected acquisition.” 3D Printing Industry now offers a database to track 3D printing M&A activity.

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