FRIEDBERG, Germany — (BUSINESS WIRE) — March 30, 2021 — voxeljet AG (NASDAQ: VJET) (the “Company”, or “voxeljet”), a provider of high-speed, large-format 3D printers and on-demand parts services to industrial and commercial customers, today announced consolidated financial results for the fourth quarter and full year ended December 31, 2020.
- Total revenues for the fourth quarter decreased 7.2% to kEUR 8,859 from kEUR 9,551
- Total gross profit margin for the fourth quarter increased from 30.1% to 33.6%
- Systems revenues for the fourth quarter decreased 8.0% to kEUR 6,695 from kEUR 7,274
- Services revenues for the fourth quarter decreased 5.0% to kEUR 2,164 from kEUR 2,277
- Revenue for the first quarter ended March 31, 2021 expected to be between kEUR 3,750 and kEUR 4,000
- Revenue for full year 2021 expected to be between kEUR 22,500 and kEUR 27,500
Dr. Ingo Ederer, Chief Executive Officer of voxeljet, commented: “2020 was a transformational year for us and we are grateful for the continued support from our clients, investors and the European Investment Bank during the COVID-19 pandemic. We moved to NASDAQ mid-2020 and were able to collect additional orders for our new high-speed 3D printer VJET X towards the end of 2020. We developed key IP for our High Speed Sintering technology, which allows us to build larger polymer sintering platforms than any other player in the industry. What really differentiates us from other players in the 3D printing industry is our focus on additive manufacturing solutions for industrial mass production. I would estimate that with the current portfolio, our share in sales to manufacturing is already higher than any of our competitors. I expect this to grow further significantly with VJET X and the new High Speed Sintering printer.”
Fourth Quarter 2020 Results
Revenues for the fourth quarter of 2020 decreased by 7.2% to kEUR 8,859 compared to kEUR 9,551 in the fourth quarter of 2019.
Revenues from our Systems segment, which focuses on the development, production and sale of 3D printers, decreased 8.0% to kEUR 6,695 in the fourth quarter of 2020 from kEUR 7,274 in last year’s fourth quarter. The Company sold six new and two used and refurbished 3D printers in the fourth quarter of 2020, compared to six new and five used and refurbished 3D printers delivered in last year’s fourth quarter. The decline in revenue is mainly related to the lower number of printer sales in line with the lower market demand due to COVID-19. This was slightly offset by Systems-related revenues, which include all revenues from consumables, spare parts and maintenance. Those Systems-related revenues recorded a slight increase in the fourth quarter of 2020 compared to last year’s same period. Systems revenues represented 75.6% of total revenues in the fourth quarter of 2020 compared to 76.2% in last year’s fourth quarter.
Revenues from our Services segment, which focuses on the printing of on-demand parts for our customers, slightly decreased by 5.0%, to kEUR 2,164 in the fourth quarter of 2020 from kEUR 2,277 in the comparative period of 2019. This decrease was mainly due to a significant decrease in revenue contribution from our subsidiary voxeljet America Inc. (“voxeljet America”), reflecting the slow-down of the economy related to the COVID-19 situation accompanied by a sharp drop in market demand from our customers in North America. Also, revenue contribution from our service center in China slightly declined due to the subdued economy related to COVID-19. There was no further revenue contribution from our subsidiary voxeljet UK Ltd. (“voxeljet UK”), as we closed down our service center in the United Kingdom in the fourth quarter of 2019 in the course of the restructuring. These negative impacts from the subsidiaries were almost completely offset by the German operation, where we recorded a significant increase in revenues for the fourth quarter of 2020, compared to last year’s same period. After a COVID-19 related weak start into fiscal year 2020 with a low in the second quarter, we saw a considerable market recovery from the second half of 2020 onwards including catch-up effects in the fourth quarter of 2020 for the German service center.
Cost of sales was kEUR 5,881 for the fourth quarter of 2020 compared to kEUR 6,679 for the fourth quarter of 2019.
Gross profit was kEUR 2,978 in the fourth quarter of 2020 compared to kEUR 2,872 in the fourth quarter of 2019.
Gross profit for our Systems segment slightly decreased to kEUR 2,401 in the fourth quarter of 2020 from kEUR 2,567 in the fourth quarter of 2019. The gross profit margin for this segment increased to 35.9% in the fourth quarter of 2020 compared to 35.3% in the fourth quarter of 2019. In the fourth quarter of 2020, we recorded a slight drop in gross profit from the sale of 3D printers, related to a less favorable product mix. In contrast to this, gross profit and gross profit margin from Systems-related revenues significantly increased quarter over quarter. This was mainly due to the increase in revenues which led to a higher utilization of our capacities.
Gross profit for our Services segment increased to kEUR 577 in the fourth quarter of 2020 from kEUR 305 in the fourth quarter of 2019. The gross profit margin for this segment increased to 26.7% in the fourth quarter of 2020 from 13.4% in the fourth quarter of 2019. This was mainly due to the significant improvement of gross profit and gross profit margin contribution from the German operation, in line with the increase in revenues resulting in a higher utilization of the service center. In addition, cost saving measures, which have been implemented as a consequence of the COVID-19 situation, were fully active in the fourth quarter of 2020. This was partially offset by lower gross profit and gross profit margin contributions from voxeljet America as well as voxeljet China Co. Ltd. (“voxeljet China”) related to the decreased revenues.
Selling expenses were kEUR 1,680 for the fourth quarter of 2020 compared to kEUR 1,993 in the fourth quarter of 2019 and therefore significantly decreased. Selling expenses from voxeljet UK significantly decreased as a result of the successful restructuring, which started in the third quarter of 2019. In addition, we incurred lower expenses for travelling, trade fairs and exhibitions related to the COVID-19 situation and the associated global restrictions. Shipping and packaging expenses as a main driver of the selling expenses could vary from quarter to quarter depending on quantity and types of products, as well as the destinations where those goods are being delivered.
Administrative expenses were kEUR 1,713 for the fourth quarter of 2020 compared to kEUR 2,361 in the fourth quarter of 2019 and therefore significantly decreased. This was mainly due to significantly lower administrative expense from voxeljet UK as a result of the completed restructuring. Further, in 2019, we faced two exceptional effects, which adversely impacted our administrative expenses for the fourth quarter of 2019. Firstly, we incurred higher advisor fees mainly related to the Audit Committee Investigation. Secondly, we recorded restructuring charges at voxeljet UK and at voxeljet Germany amounting to kEUR 274 and kEUR 45, respectively.
Research and development (“R&D”) expenses decreased to kEUR 1,763 in the fourth quarter of 2020 from kEUR 1,917 in the fourth quarter of 2019. These expenses are usually driven by individual projects, especially through the consumption of material as well as the demand of external services and may differ on a quarter to quarter comparison. The quarter over quarter decrease was mainly due to lower labor costs related to a lower number of employees supporting in various existing and future research and development projects as well as decrease of external services.
Other operating expenses in the fourth quarter of 2020 were kEUR 841 compared to kEUR 523 in the prior year period. This was mainly related to higher losses from foreign currency transactions, amounting to kEUR 686 for the fourth quarter of 2020 compared to kEUR 483 in the last year’s fourth quarter.