Prodways revenue jumps 37% in Q1 2022 as install base growth begins to pay off 

French 3D printer manufacturer and service provider Prodways Group (PWG) has announced that its revenue rose by 37% in Q1 2022. 

Over the first quarter of 2022, Prodways brought in €22.7 million, €6.1 million more than the €16.6 million it generated in Q1 2021, and a €7.2 million increase on the €15.5 million it reported in Q1 2020. In a statement issued alongside its results, the firm has mainly credited its accelerated growth to the expansion of its install base during the last year, which in turn, boosted its material and service income.

Prodways' ProMaker LD20 3D printers.
Prodways’ ProMaker LD20 3D printers. Image via Prodways.

Prodways’ Q1 2022 financials 

Since Prodways was spun-off by Groupe Gorgé in 2021, it has begun to report its financials separately, albeit under the same two divisions as it did before: Systems and Products. The company’s second set of results following its deconsolidation, show that it enjoyed growth across both its core segments during Q1 2022, but its Systems business performed particularly well, generating €15.5 million. 

According to Prodways itself, this jump in Systems income was down to its “virtuous business model,” which saw its machine revenue bolstered by that brought in via its services and spare parts. Likewise, the firm says that its material sales were “exceptionally strong” in Q1 2022, with “almost all” of its customers increasing their resin or powder consumption, and many buying in anticipation of shortages. 

Prodways’ Products revenue also grew from €6.2 million to €7.3 million between Q1 2021 and Q1 2022, continuing what it calls the “positive momentum” that began towards the end of last year. In large part, the division’s growth was down to the increased number of orders submitted via the company’s 3D printing service, and it cites rising supply chain instability and energy costs as potential drivers of this. 

Financials (€) Q1 2021 Q1 2022Difference (%) Q1 2020Q1 2022Difference (%) 
Systems 10.4m15.5m+48.59.8m15.5m+58.2
Products 6.2m7.3m+18.45.6m7.3m+30.4
Revenue 16.6m22.7m+36.615.5m22.7m+46.5

Continued post-spin-off growth  

These positive Q1 2022 results follow on from what was a reasonably impressive 2021 for the firm, in which Prodways’ revenue grew 24%. The company’s success last year was primarily down to two large industrial contracts it was able to secure, one of which has seen it commit to 3D printing up to a million dental aligners per year.

So far, in 2022, Prodways says that it continues to generate System sales via “large-scale industrial projects,” and it remains in “advanced discussions” with various clients. This broadening of its user base has also allowed the firm to expand the adoption of its software, which is said to have had an ‘exceptional quarter’ in Q1, thanks to the highly-diversified nature of its customers and strong renewal rates. 

Much like in its materials business, Prodways secured a portion of its software sales earlier in the year than expected as well, with many clients understood to have renewed licenses in advance, in anticipation of price rises over the coming months. 

In the company’s Products segment, meanwhile, the acquisition of Creabis in 2021 is now beginning to generate cross-orders following its successful integration. Prodways also notes how the digitization of medical device production is creating opportunities for its business, especially within audiology, where its revenue grew in Q1 2022 despite the boom enjoyed there in Q1 2021 due to practice reopenings. 

“In audiology in particular, the interest of the business model provided by 3D printing is established, but the still incomplete penetration of this technology in the sector offers opportunities for further development,” states Prodways. “The increase in revenues generated by sales of hearing solutions enabled this activity to achieve a record quarter, despite an unfavorable base effect.” 

A batch of Prodways 3D printed dental aligners.
Dental remained Prodways’ leading source of revenue in Q1 2022, benefiting from the strong momentum of the wider sector. Image via Prodways.

Prodways’ FY 2022 projections  

Looking ahead to the rest of the financial year, Prodways has stated that “rising raw material and energy costs and the strain on global supply chains,” as well as the inherent material efficiency of 3D printing, will make the benefits of adopting the technology more appealing as a sustainable production alternative, creating further opportunities for its products. 

Although the company hasn’t issued guidance for Q2 2022, last quarter it set itself the target of “pursuing steady revenue growth” of 5-10% in FY 2022. If realized, this would see Prodways generate between €74.5 million and €78 million in revenue for the year, a moderate rise on the €70.8 million it brought in during FY 2021. 

Alongside its results last quarter, the firm also projected that its revenue performance would be “amplified by external growth operations.” While the nature of these activities weren’t disclosed at the time, it’s possible that they include Prodways’ Futur3D initiative, which has seen it gain French government backing to invest in the R&D of a ‘next-generation’ of products. 

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Featured image shows Prodways’ ProMaker LD20 3D printers. Image via Prodways.