3D Systems Aims to Achieve $85M in Annualized Savings by Mid-2026 Amid Restructuring

3D Systems aims to achieve $85M in annualized savings by mid-2026 as part of its restructuring efforts. CEO Jeffrey Graves attributes the 16% YoY revenue decline to a rapid drop in customer demand. The company is focusing on cost-cutting measures to navigate the challenging macro environment for 3D printing OEMs.

Title: 3D Systems Reports Mixed Q2 2025 Results, Focuses on Cost-Cutting and Restructuring

ROCK HILL, S.C., Aug. 11, 2025 (GLOBE NEWSWIRE) — 3D Systems Corporation (NYSE: DDD) reported its financial results for the second quarter of 2025, showing a mixed performance amidst challenging market conditions. The company reported a 16% year-over-year (YoY) decline in revenue to $94.8 million, with a net income of $104.4 million, a significant improvement from the $27.3 million loss in Q2 2024. The results reflect the company's ongoing restructuring efforts and cost-cutting measures to navigate the macroeconomic climate.

Healthcare Solutions revenue decreased by 8% to $45.0 million, while Industrial Solutions fell by 23% to $49.8 million. However, the company saw double-digit growth in Medical Technology and Aerospace & Defense markets, with A&D revenues growing by 84% YoY. The company's cost reduction initiatives resulted in over $20 million in operating expense savings, contributing to the improved profitability metrics.

3D Systems successfully restructured its balance sheet, retiring $88 million in debt and repurchasing 8 million shares. As of June 30, 2025, the company maintained $133.9 million in cash and restricted cash with a total debt of $122.6 million. Despite these actions, liquidity remains a concern, with cash and equivalents decreasing by $55 million since December 2024 to $116.4 million, largely due to $59.6 million used in operations.

CEO Jeffrey Graves attributed the 16% YoY revenue decline to a rapid drop in customer demand, exacerbated by uncertainties created by extreme volatility in tariffs. He noted that the company is focusing on cost-cutting measures to navigate the challenging macro environment for 3D printing original equipment manufacturers (OEMs). The company aims to achieve $85 million in annualized savings by mid-2026, with cost and efficiency initiatives expected to extend through mid-2026.

The balance sheet transformation is particularly noteworthy. The company retired $88 million in debt at a discount, extended most remaining debt maturities to 2030, and repurchased 8 million shares. However, liquidity remains concerning, with cash and equivalents decreasing by $55 million since December 2024 to $116.4 million, largely due to $59.6 million used in operations.

Management's commentary indicated continued macroeconomic challenges, particularly in consumer-facing industrial markets, but expressed confidence that restructuring and strategic investments will eventually deliver positive cash flow by 2026. The rejection of an independent director's resignation despite failing to receive majority shareholder approval raises governance questions that warrant monitoring.

The company will host a conference call and webcast to discuss these results on August 12, 2025, at 8:30 a.m. Eastern Time. The webcast will be available at [link to webcast].

References:
[1] https://www.stocktitan.net/news/DDD/3d-systems-reports-second-quarter-2025-financial-jl11eycbjgg5.html