3d Systems Corporation · NYSE:DDD
3d Systems — Investor Day (June 2014)
79 slides from 3d Systems's investor day presentation, Jun 10, 2014
Slide 1: Investor and Analyst Day
i] —— > SBDSYST EMSs INVESTOR AND ANALYST DAY June 10, 2014 MANUFACTURINGTHE FUTURE WWW.3DSYSTEMS.COM| NYSE:DDD
Slide 2: Welcome
WELCOME Stacey Witten Director, Investor Relations MANUFACTURINGTH/: FUTURE
Slide 3: Forward Looking Statements
FORWARD LOOKING STATEMENTS ‘This presentation contains forward-looking statements, as defined by federal and state securities laws. Forward-looking statements include statements concerning plans, objectives, goals, strategies, expectations, intentions, projections, developments, future events, perfo
Slide 4: Agenda
AGENDA Welcome * Stacey Witten 3DS — Printing 2.0 * Avi Reichental Outlook * Damon Gregoire 3DS — Healthcare * Dr. Oren Tepper / Andy Christensen 3DS — Breaking the Speed Limit + Patrick Dunne / Cathy Lewis 3DS / Google’s Ara Jeff Blank 3DS — Engineering 2.0 John Alpine / Josh St. John — Lifestyle 1
Slide 5: 3DS — Printing 2.0
3DS — PRINTING 2.0 Avi Reichental President and CEO MANUFACTURING? HE FUTURE
Slide 6: Trends Driving Adoption and Growth
TRENDS DRIVING ADOPTION AND GROWTH SURGERY & MEDICAL DEVICES BECOME PERSONALIZED FREE COMPLEXITY DRIVES FUNCTIONALITY DESIGN & 3D LIFESTYLE MANUFACTURING , BECOME ARE RE-IMAGINED és UBIQUITOUS q
Slide 7: Sizing Up the Opportunity
SIZING UP THE OPPORTUNITY 25,000 Bitions of Dotlars 7 20,000 * 32% CAGR 5 415,000 ‘4 3 10,000 2 5,000 1 ° o 2012 2013 2018 2018 2016 2017 2013 2016 2018 2020 & Enterprise ®™ Consumer Source: Gartner, Forecast: 30 Printers, Worldwide, 2013 Source: Wohlers Associates, Inc. 1
Slide 8: Our First Mover Advantage
OUR FIRST MOVER ADVANTAGE a] : sg ‘ol HI x H H FE i Saree Direct prototypes plastic | ez | cil ¥ v v Dect playa maa ¥ y Indirect prototypes v v v v Cloud Printing v v v ud Medical parts ve - Dvect pars ay 3 Ineo pats ae Z 3 Perceptual dees Z Clow atoms zz c; Digital threading v v consume ptr - gz In
Slide 9: Medical-Materials-Metals
MEDICAL-MATERIALS-METALS
Slide 10: Open Ended Growth Opportunity
OPEN ENDED GROWTH OPPORTUNITY 3D printing today as a % of the manufacturing market 100% 15%, which is $10.5tn. Opportunity HAM grows to. Just 2% of this global ‘manufacturing ‘market, that's $2105n” Source: Wohlers 2014 0.1% ‘Manufacturing 30 printing market ‘market
Slide 11: Differentiated Business Model
DIFFERENTIATED BUSINESS MODEL OTHERS OURS «Extract maximum value from customer *Sell a technology or a product *Sacrifice everything for temporary growth Protection through patents *Run several unintegrated businesses Improve existing products v Deliver ongoing customer success ¥ Sell the complete s
Slide 12: Diverse-Experienced-Entrepreneurial
DIVERSE-EXPERIENCED-ENTREPRENUERIAL
Slide 13: Digital Thread from End to End
DIGITAL THREAD FROM END TO END SD0SYST EMs Provide
Slide 14: Outlook
OUTLOOK Damon Gregoire SVP, Chief Financial Officer MANUFACTURINGTH/: FUTURE
Slide 15: Revised Full-Year 2014 Guidance
REVISED FULL-YEAR 2014 GUIDANCE * We expect annual revenue for 2014 to be in the range of $695 million to $735 million with greater growth during the second half of the year We expect our GAAP earnings per share to be in the range of $0.44 to $0.56 and our non- GAAP earnings per share to be in the r
Slide 16: Favorable Dynamics
FAVORABLE DYNAMICS POSITIONED AT THE HEART OF ~$35 BILLION DESIGN-TO-MANUFACTURING VALUE-CHAIN“ FACTORS ACCELERATING ADOPTION FAVORABLE DYNAMICS 3D PRINTING GROWTH®) Greater R&D spend, democratization $21.0 Billion [| J] * open Ended Economic Shorter product life cycles, frequent Possibilities iz F
Slide 17: Expecting Accelerated Revenue Growth
EXPECTING ACCELERATED REVENUE GROWTH Stanton EXPECTATIONS 7 enue doubles in two years from 2013, iven primarily by printers, materials and ftware powered perceptual device $200 Gross profit margins reach levels of 55% tc 60% as we get firmly into the $750 million to ae $1 billion ue run-rate soo Sal
Slide 18: Gross Profit Margin Expansion Drivers
GROSS PROFIT MARGIN EXPANSION DRIVERS Q1 2014 Revenue Q1 2014 Gross Profit
Slide 19: 3DS — Healthcare
3DS — HEALTHCARE Oren M. Tepper, MD, Montefiore Medical Center Assistant Professor of Plastic Surgery, Director of Craniofacial Surgery Andy Christensen, Vice President, Personalized Surgery and Medical Devices MANUFACTURINGTH/: FUTURE
Slide 20: Virtual Surgical Planning for Craniofacial Surgery
Virtual Surgical Planning for Craniofacial Surgery Oren M. Tepper, MD Montefiore Medical Center Assistant Professor of Plastic Surgery Director of Craniofacial Surgery
Slide 21: Plastic Surgery
PLASTIC SURGERY ¢ Build, Restore, Renovate * Creative, Innovative surgical specialty
Slide 22: Surgical Innovation
SURGICAL INNOVATION Training / Skills Advanced techniques Cutting edge technology PLANNING ?
Slide 23: Surgical Planning
SURGICAL PLANNING _| Soft 2) Bu JQ so0systeEems ——- edical Modeling
Slide 24: Plastic Surgery
Plastic Surgery skeletal planning of osteotomy in our face transplant patient,” he says. “It's been a long time — but we're now discovering more exciting applications and seeing more wide- spread use, so we're looking at 3-D printing alittle differently than we did back then?” Assistance to the max
Slide 25: Evolution of 3D
EVOLUTION OF 3D Medical Modeling: 3D CT Scan J “3D Model Planning Session OR Reference
Slide 26: Facial Fractures
FACIAL FRACTURES
Slide 27: Fracture reduction and establish occlusion
Fracture reduction and establish occlusion
Slide 28: Bandeau jig
Bandeau jig Orbito-zygomatic jig Bone graft template Splint
Slide 29: Phase 3 - Surgical
Slide 30: Phase 4 - Analysis
PHASE 4-ANALYSIS
Slide 31: Craniofacial Distraction
CRANIOFACIAL DISTRACTION
Slide 32: Mandibular Distraction
MANDIBULAR DISTRACTION
Slide 33: Virtual Surgery
VIRTUAL SURGERY Solves the existing issues with mandibular distraction surgery (1) Device size (2) Underdeveloped bone (3) Critical structures (4) Bone width
Slide 34: Preop Postop — months
Preop Postop — 10 months
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Slide 36: Future Growth Potential
FUTURE GROWTH POTENTIAL
Slide 37: Real Time Communication
REAL TIME COMMUNICATION
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Slide 40: Personalized Surgery
PERSONALIZED SURGERY
Slide 41: Personalized Surgery
PERSONALIZED SU BGERT
Slide 42: Digital Thread
DIGITAL THREAD’ - hee Virtual Surgical Planning (VSP*) Image Prog, Haptic Desi. “ssp, °° a hy, co Piaitai mei “rtual Surah
Slide 43: The Value Proposition
THE VALUE PROPOSITION ) SURGERY Stakeholders The Patient - “| want the best surgery possible, personalized to me” The Surgeon - “I need to provide the best care possible to my patients while optimizing how much | can do in a day” The Hospital - “To remain competitive we must cut cost while maintaini
Slide 44: The FDA's Viewpoint
THE FDA’S VIEWPOINT intervention opportunities” - FDA Commissioner Margaret Hamburg quoted during an October 29, 2013 AdvaMed-Dx and American Association for Cancer Research meeting on personalized medicine in Washington, D.C. a
Slide 45: Volume Production Driving Value
VOLUME PRODUCTION DRIVING VALUE DIRECT METAL PRINTING
Slide 46: Patient-Specific Implants
Slide 47: Off-the-Shelf 3D Printed Implants
OFF-THE-SHELF 3D PRINTED IMPLANTS
Slide 48: Bespoke Bracing - Scoliosis
BESPOKE BRACING - SCOLIOSIS | ~ ba
Slide 49: 3DS — Breaking the Speed Limit
3DS — BREAKING THE SPEED LIMIT Cathy Lewis, CMO Patrick Dunne, Director, Industrial Developments MANUFACTURING? HE FUTURE
Slide 50: Aerospace and Defense
Slide 51: Complexity Is Free
COMPLEXITY IS FREE = Traditional Manufacturing — Additive Manufacturing - 2014 >> Additive Manufacturing - 2020 Present Economies @ of Savings 8 5 7 Faling Future é ‘coats of 3D Economies rnting of Savings Complexity
Slide 52: 3DS / Google's Ara
3DS / GOOGLE’S ARA Jeff Blank, Vice President Engineering, New Business Development — ef < MANUFACTURINGTH: FUTURE
Slide 53: Stylizing and Personalizing
STYLIZING AND PERSONALIZING AYANY premium material
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Slide 55: 3DS — Engineering 2.0
3DS — ENGINEERING 2.0 John Alpine, Vice President, Global Software Josh St. John, Director, User Experience — ef < MANUFACTURINGTH: FUTURE
Slide 56: Reimagining the Engineer's Desktop
REIMAGINING THE ENGINEER’S DESKTOP
Slide 57: 3DS — Lifestyle 1.0
3DS — LIFESTYLE 1.0 Ash Martin, Director, Consumer Product Management Liz von Hasseln, Creative Director, Food Products MANUFACTURINGTH/: FUTURE
Slide 58: Opening New Segments
OPENING NEW SEGMENTS
Slide 59: Creative Digital Thread
CREATIVE DIGITAL THREAD
Slide 60: Consumer Lifestyle
Slide 61: Expanding Channels
EXPANDING CHANNELS
Slide 62: 3DS / Deloitte Partnership
3DS / DELOITTE PARTNERSHIP Andrew Vaz, Principal, Chief Innovation Officer, Deloitte Marcus Shingles, Principal, Eco-Systems and eapancutiels Leader, Deloitte oy i x 1.4 — ef < MANUFACTURINGTH: FUTURE
Slide 63: Deloitte Discovery Center
DELOITTE DISCOVERY CENTER
Slide 64: 3DS — Metal Printing
3DS — METAL PRINTING Kevin McAlea, Chief Impact Officer MANUFACTURING? HE FUTURE
Slide 65: Why 3DS 3D Direct Metal Printing?
WHY 3DS 3D DIRECT METAL PRINTING? Design for Performance Challenging Materials Challenging Parts
Slide 66: Materials Versatility
MATERIALS VERSATILITY 15+ MATERIALS | STEEL | ALUMINUM | NI-BASED ALLOYS | PRECIOUS METALS © Alsil2 Pure Cu Al203
Slide 67: Manufacturing Applications
MANUFACTURING APPLICATIONS Medical & Dental
Slide 68: Outstanding Output Quality
OUTSTANDING OUTPUT QUALITY Feature Resolution ~ 150 microns Surface Finish ~ 5 microns R, Tolerances ~ 50 to 100 microns Repeatability ~ 30 microns [iy] Density ~ 99% U
Slide 69: Tires: Sipe, Puzzle & Segmented Molds
TIRES: SIPE, PUZZLE & SEGMENTED MOLDS ¢ Difficult sipe geometries, sipe- dense molds ¢ 4X faster than conventional manufacturing * More durable than conventional mold with inserts * Internal lattice structure maximizes accuracy and minimizes build time
Slide 70: Unique Capabilities
UNIQUE CAPABILITIES Abpilleabion- Resolution Remnennes Know-How Build & Surface Speed. a Finish FI Experience Strategies
Slide 71: Fab-Grade Ready Printer
FAB-GRADE READY PRINTER * Robust design & construction ¢ Emphasis on precision, repeatability and reliability « Unique powder layering system ¢ Advanced scan strategies * Integrated “hands off” powder management
Slide 72: The Tire Mold Opportunity
THE TIRE MOLD OPPORTUNITY Tire Performance Mold Life
Slide 73: Patient Specific Medical
PATIENT SPECIFIC MEDICAL “With the quick turnaround we deliver using direct metal sintering, we have also built a reputation for high quality and attention to detail that pleases our dental customers. We own about 90% of the dental laser sintering market in our region, and we plan to keep building w
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Slide 75: Fab-Grade Direct Metal Printing
FAB-GRADE DIRECT METAL PRINTING HIGH DENSITY | METAL PURITY |15 MATERIAL CHOICES | DETAIL AND PRECISION
Slide 76: 3DS — QuickParts 2.0
3DS — QUICKPARTS 2.0 Avi Reichental President and CEO MANUFACTURING? HE FUTURE
Slide 77: Visit Us at the Atlantic Design & Manufacturing Show
VISIT US @ THE ATLANTIC DESIGN & MANUFACTURING SHO R Showcase includes: + ProJet® 4500 full color plastic 3D printer + ProJet® 5500X multi material * Cube® * CubePro™ + ProJet® 1200 micro-SLA * Perceptual Design and Devices: Capture™, Touch™, Sense™, Geomagic® Software Suite * Full Parts Display
Slide 78: Manufacturing the Future
MANUFACTURINGTH: FUTURE
Slide 79: Thank You
SBDSYST EMSs THANK YOU MANUFACTURINGTHE FUTURE WWW.3DSYSTEMS.COM| NYSE:DDD-