Prodways Group: First-quarter 2022 revenue: +37%

Prodways Group achieved the best quarter in its history thanks to a combination of structural and economic effects. The virtuous business model generating solid recurring revenue, coupled with Prodways’ positioning in attractive medical applications such as dental, proves its effectiveness. In addition, some customers anticipated their orders and thus enabled the Group to generate and secure revenues earlier than expected this year. Overall, the global context of tension and inflation of supply chains and climate emergency reinforces the interest of 3D printing as a responsible mode of production.

A favorable environment for 3D printing

3D printing is a responsible production method that differs on three major points:

  • Reduced material consumption compared to traditional methods, because 3D technology only uses the material that makes up the final part and reduces production waste (chips, etc.).
  • Reduction or elimination of the need for inventory storagebecause the additive manufacturing process offers a high level of reactivity.
  • Local manufacturingthus limiting the need for long-distance transportation.

Rising raw material and energy costs and pressure on global supply chains highlight these benefits and make 3D technology all the more attractive.

These operational benefits are reinforced by the climate emergency and the need to reduce carbon emissions globally. The recent IPCC report on this subject recommends, among other actions, the use of more responsible production methods, in line with United Nations Sustainable Development Goal 12. Prodways Group makes a structural contribution in this area.

First quarter 2022 revenue: +37% growth compared to first quarter 2021

In the first quarter of 2022, Prodways Group benefited from a combination of structural and economic factors which enabled it to achieve strong sales growth of +37% and +31% organically:

  • The strength of the business model with the increase in the installed base of printers, which generates recurring sales equipment and maintenance.
  • Good dynamism of the dental sectorthe world’s largest application area for 3D printing and Prodways Group’s number one source of revenue.
  • Expectations stock shortages and price increases, encouraging some customers to anticipate their orders.
  • The favorable base effectknowing that the first quarter of 2021 was still impacted by the health crisis, particularly in industrial activities.

Revenue by division

(in millions of euros) Q1 2021 Q1 2022 Variation
(%)
Biological
variation
(%)
Systems 10.4 15.5 +48.5% +48.5%
Some products 6.2 7.3 +18.4% +2.2%
Structure
& intra-group eliminations
0.0 -0.1 n / A n / A
Consolidated turnover 16.6 22.7 +36.6% +30.7%

The change in scope concerns the acquisition of Creabis in July 2021

Systems Division

Strong revenue growth from machinery and equipment sales

The growth of Prodways Group’s installed printer fleet ensures an ever broader base of recurring revenues. This virtuous economic model is now starting to produce its effects on a significant scale: the revenues generated by the sales of machines during the quarter were supported by the sales of services and spare parts on the one hand, and by the increase in sales of materials on the other hand. Almost all Prodways Group customers increased their liquid resin or polymer powder consumption in Q1 2022 compared to Q1 2021.

Materials sales were exceptionally strong this quarter due to the anticipation by some customers of possible stock shortages or price increases in the future. Prodways Group thus secured part of its turnover earlier than expected this year.

Furthermore, the momentum of machine sales through large-scale industrial projects continues. Advanced discussions are underway regarding the sale of several machines to different production sites around the world.

Good orientation of the Software activity

The Software activity (integration of 3D modeling software) had an exceptional quarter, relying on its highly diversified customer base, the good renewal rate with its existing customers and the quality of its teams to gain market share. Anticipations of price increases in the coming months have led some customers to renew their licenses early, allowing this activity to secure part of its revenues earlier than expected this year.

Products division

Growth of the print-on-demand service

The positive momentum that began at the end of 2021 is continuing in this activity. Revenue rose sharply thanks both to the acquisition of Creabis, whose successful integration generated cross-orders, and to the double-digit organic performance (+13%). The increase in the number of orders and requests for quotes received demonstrates the interest in this 3D printing service, which is becoming more and more attractive and virtuous in a context of tight supply chains and rising energy costs. .

Audiology-driven medical applications.

Medical applications continue to develop gradually in a context of digitization of their activities. In audiology in particular, the interest of the business model provided by 3D printing is proven, but the still incomplete penetration of this technology in the sector offers development opportunities. The increase in revenue generated by sales of hearing solutions enabled this activity to achieve a record quarter, despite an unfavorable base effect (significant catch-up effect in the first quarter of 2021 when medical practices reopened).

Upcoming financial events

  • June 16, 2022: Annual General Meeting
  • July 25, 2022: second quarter revenue
  • September 14, 2022: Half-year results
  • October 17, 2022: Third quarter revenue

About Prodways Group

Prodways Group is a specialist in industrial and professional 3D printing with a unique positioning as an integrated European player. The Group has developed across the entire 3D printing value chain (software, machines, materials, parts & services) with a technological industrial solution with high added value. Prodways Group offers a wide range of 3D printing systems and premium composite, hybrid and powder materials (SYSTEMS division). The company also manufactures and markets on-demand parts, prototypes and 3D printed parts in small series in plastic and metal (PRODUCTS division).

Listed on Euronext Paris (FR0012613610 – PWG), the Group generated revenue of €71 million in 2021.

For more information: www.prodways-group.com

Follow us and follow Prodways Group news on Twitter

contacts

INVESTOR CONTACT

Claire Riffaud

Investor Relations

Tel: +33 (0)1 53 67 36 79/ criffaud@actus.fr

MEDIA CONTACT

Manon Clairet

Financial Media Relations

Tel: +33 (0)1 53 67 36 73 / mclairet@actus.fr

Warning

Prodways Group press releases may contain forward-looking statements with statements of objectives. These forward-looking statements reflect Prodways Group’s current expectations. However, their achievement depends on known and unknown risks, uncertainties and other factors that may cause actual results, performance or events to differ materially from those previously anticipated. The risks and uncertainties likely to affect the Group’s future ability to achieve its objectives are recalled and detailed in our Annual Financial Report on the Prodways Group website (www.prodways-group.com). This list of risks, uncertainties and other factors is not exhaustive. Other unforeseen, unknown or unpredictable factors may also have material adverse effects on the achievement of our objectives. This press release and the information it contains do not constitute an offer to sell or subscribe, nor a solicitation of an order to buy or subscribe to shares of Prodways Group or its subsidiaries listed in any country whatsoever. .



Receive the company’s next press releases by email by subscribing to www.actusnews.com, it’s free

© 2022 NewsNews

Comments are closed.