ROCK HILL, South Carolina – July 26, 2012 - 3D Systems Corporation (NYSE: DDD) announced today non-GAAP adjusted earnings of 27 cents per share for the second quarter of 2012 and GAAP earnings of 16 cents per share.
Revenue increased 52% to $83.6 million over the second quarter of 2011 on 20% organic growth. The company reported growth from all its revenue categories, led by a 112% increase in its printer units sold. Backlog increased 28% sequentially to $12.3 million at the end of the quarter on continued strong demand for its printers, materials and on-demand parts services.
For the second quarter, gross profit grew 71% on higher revenue and gross profit margin expansion of 570 basis points to 51.4% over the 2011 quarter, driven by significant on-demand parts services and printers gross profit margin improvement.
The company reported non-GAAP adjusted net income of $13.9 million for the second quarter, up 44% compared to the 2011 quarter, resulting in $0.27 earnings per share. The company reported GAAP net income of $8.3 million, resulting in $0.16 earnings per share.
The company reports non-GAAP measures that adjust net income and earnings per share by excluding the impact of amortization of intangibles, non-cash interest expense, non-recurring acquisition expenses, stock-based compensation and any release of the valuation allowance on deferred tax assets. A reconciliation of GAAP to non-GAAP results is provided in the accompanying schedule.
The company generated $21.4 million of cash from operations in the first six months of 2012, and ended the second quarter of 2012 with $158.5 million of available cash, after incurring a $11.8 million increase in its operating expenses primarily from acquisition and higher sales and marketing costs. The increase included $1.9 million of higher R&D expenditures in support of its expanded consumer and healthcare solutions portfolio.
“We are very pleased to report another record revenue quarter driven by doubling printer units and balanced organic and acquisitions growth,” said Abe Reichental, 3D Systems’ President and Chief Executive Officer. “We believe that our continued sequential gross profit margin expansion reflects solid execution and validates our business model and potential earnings power.”
The table below summarizes the company’s key 2012 non-GAAP financial results for the second quarter and first six months.
See table in attached PDF