3D Systems, based in Rock Hill, South Carolina, has announced its financial results for the first quarter ending March 31, 2025. The company saw growth in new Additive Manufacturing (AM) machine sales for the second consecutive quarter. However, its revenue for Q1 2025 fell by 8%, totaling $94.5 million, compared to the same period last year. The decline was attributed to a decrease in material sales, mainly due to inventory adjustments in the dental aligner market. Despite this, hardware sales and related services showed growth.
The company also provided an update on its $50 million cost-saving initiative, which is progressing on schedule and expected to be completed by mid-2026. Operating expenses in the first quarter reflected the company’s ongoing efforts to improve cost efficiency.
In response to global economic uncertainties and potential tariff risks, 3D Systems introduced a new initiative aimed at reducing costs by an additional $20 million in 2025. The company hopes this will help align its operations and strengthen its financial position.
“Our first-quarter revenue reflects ongoing challenges as customers delay capital investments due to uncertainty about potential tariff impacts on their manufacturing and distribution strategies,” said Dr. Jeffrey Graves, President and CEO of 3D Systems. “We are also facing ongoing geopolitical and broader economic uncertainty.”
Given the risk of continued weak customer spending, the company has decided to withdraw its full-year guidance. Instead, it will focus on achieving profitability at its current scale. With a strong portfolio of new metal and polymer products, 3D Systems believes it is well-positioned to benefit once customer spending rebounds.
“While we are pleased with the growth in new printer sales for the second consecutive quarter, this growth was clearly impacted by delays in capital spending. The sales growth was driven primarily by our newest hardware systems, with strategic wins in all three of our metal printing platforms. Additionally, we saw steady growth in the Aerospace and Defense markets. These achievements are promising, particularly in high-reliability sectors like Healthcare, Industrial markets, and AI infrastructure—areas where we have been increasingly focused,” Dr. Graves added.
The company’s balance sheet was bolstered in April 2025 with the sale of its Geomagic software portfolio, which provided more than $100 million in post-tax cash. As of April 30, 2025, the company’s total cash reserves amounted to approximately $250 million.
“In the past three years, we have followed a clear strategy to position ourselves as a technology leader in both metals and polymers, with full control over all design, production, and sourcing operations. While short-term challenges, such as tariff risks, require significant cost-saving measures, the long-term opportunities for localized manufacturing in regions like the US, Europe, and India offer significant potential for value creation,” concluded Dr. Graves.
