3D Systems, has announced its financial results for the second quarter of 2025, reporting a 16.3% decrease in revenue to $94.8 million compared to $113.3 million in the same period last year. The company attributed this decline to large OEM customers postponing capital expenditures due to shifting tariff regulations and uncertainty over production site locations. Despite the revenue drop, the company reported improved profitability, with a gross margin of 38.1%.
In terms of segment performance, the company’s healthcare segment revenue was $45.0 million, down 8.2% year-over-year but up 9.0% sequentially. The annual decline was largely due to a sharp drop in dental sales following a major purchase cycle in 2024. However, growth in MedTech and regenerative medicine helped to offset some of the weakness. The industrial segment saw revenue of $49.8 million, down 22.7% from the previous year. This decline was tied to weakness in consumer-facing markets, which reduced printer and materials sales. However, the aerospace and defense sector showed significant strength, with revenue growing 84% year-over-year and 53% sequentially.
On the applications front, 3D Systems announced the world’s first MDR-compliant 3D printed facial implant, produced and implanted at University Hospital Basel, Switzerland. The company’s Application Innovation Group also announced a collaboration with Penn State University, Arizona State University, and NASA Glenn Research Center to develop 3D printed thermal management systems for spacecraft. Looking ahead, 3D Systems maintains a cautious but optimistic outlook, expecting gradual improvement in earnings per share and revenue over the remainder of the fiscal year. The company is targeting positive cash flow by 2026 and plans to reduce R&D spending to prioritize markets with clear near-term return potential.
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