3D Systems Corporation · NYSE:DDD
3D Systems — Investor Presentation (August 2011)
39 slides from 3D Systems's investor presentation, August 2011
Slide 1: Investor Presentation
Investor Presentation August 2011 www.3dsystems.com NYSE: DDD 2011年8月1日
Slide 2: 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 3: Company Highlights
Company Highlights Leadership through technology & acquisitions Compelling razor Continued and blades operating business leverage Well positioned Underpenetrated for growth marketplaces 3
Slide 4: Leading Provider of 3D Content-to-Print Solutions
Leading Provider of 3D Content-to-Print Solutions Content To Print Freedom of creation to print functional Cost effective alternative to traditional plastic and metal parts design and manufacturing methods 4
Slide 5: Global Reach with Local Presence
Global Reach with Local Presence Europe - England United States - France - Rock Hill, SC - Germany - Atlanta, GA - Holland Asia-Pacific - Goodland, IN - Italy - China - Lawrenceburg, TN - Switzerland - Hong Kong - Richardson, TX - India - Seattle, WA - Japan - Syracuse, NY - Singapore - Valencia, CA
Slide 6: Technology Leadership
Technology Leadership Design Productivity Tools and Plugins Extensive Ecommerce Process Platform Expertise Six Print Materials Formulating Families Six Print ~400 patents Engines issued, ~150 pending 6
Slide 7: First Mover Advantage… Diverse Customer Base
First Mover Advantage… Diverse Customer Base 7
Slide 8: Multiple Revenue Sources
Multiple Revenue Sources Design Productivity Tools Content Custom Parts Downloads Services Printer Services 3D Printers Printer Materials 8
Slide 9: Most Complete Product Portfolio On The Market
Most Complete Product Portfolio On The Market Personal 3D Printers Professional 3D Printers Production 3D Printers Price: $1,300 - $9,900 Price: $49,000 - $199,000 Price: $250,000 - $950,000 9
Slide 10: Compelling Printer Razor and Blade Profile
Compelling Printer Razor and Blade Profile Commentary Personal & Professional Printer Revenue Model (1) Our “razor and blades” business model $6.0 centers on sustainable profitable growth from consumables We expect higher margin integrated print $4.0 materials revenue to drive further margin exp
Slide 11: Print Materials Performance
Print Materials Performance Integrated print materials as a percent of total print materials revenue 50% of Q1 2011 54% of Q2 2011 Continued margin expansion 11
Slide 12: New Products Fuel Growth
New Products Fuel Growth New Products Quarterly Revenue $20 Revenue in millions $15 Q2, 2009 Q2, 2010 $10 Q2, 2011 $5 $0 •Increased year-over-year revenue contribution from new products •Reflects products that are in their first three years of commercial status •Expect a rate of three new printers a
Slide 13: Clear Competitive Advantage
Clear Competitive Advantage We offer a comprehensive tool box… we sell our customers the right tool for the right job Our competitors sell different size hammers… to them every application looks like a nail 13
Slide 14: Expanding Range of End-Use Applications
Expanding Range of End-Use Applications 14
Slide 15: Addressable Marketplace Opportunities
Addressable Marketplace Opportunities ical $400 Million M ed 3D $600 Million 3D Pa rts Marketplace Opportunities 3D D $500 Million ~ $3 Billion $1 Billion ental s ter Prin 3D 3D Aerospace $500 Million Our solutions replace, displace or augment traditional design-to-manufacturing alternatives Source:
Slide 16: Focused Growth Initiatives
Focused Growth Initiatives Build 3D custom Accelerate 3D parts global printer services, expand penetration through through channel acquisitions and expansion and organic growth new products Grow 3D healthcare Build 3D consumer content products revenue and services, leveraging our expand through cust
Slide 17: Across-The-Board Revenue Growth
Across-The-Board Revenue Growth $ in millions Six Months 2010 $ 19.5 Printers $ 29.7 53% 2011 Print 2010 $ 27.6 Materials 2011 $ 32.0 16% A 2010 $ 19.7 Services 109% 2011 $ 41.3 2010 $ 9.0 Healthcare 2011 $ 12.7 41% Six Months 2011 revenue grew 54% 24% came from organic growth 17
Slide 18: Balanced Revenue Composition - Six Months Snapshot
Balanced revenue Composition -Six Months Snapshot- Revenue Categories Geography $ 103.0 $ 103.0 100 14% Asia Pacific 80 40% $ in millions $ 66.8 Services $ 66.8 36% 60 14% 30% Europe Materials 31% 39% 40 41% North 50% 20 Printers America 29% 47% 29% 0 2010 2011 2010 2011 Six Months 2011 recurring re
Slide 19: Operating Leverage
Operating Leverage $ in millions 60 SG&A expenses 50 SG&A costs expected to grow at slower Revenue Trend Line rate to revenue growth as acquisitions are 40 fully integrated Internal systems and processes permit increased revenue without additional 30 administrative costs SG&A increases expected to r
Slide 20: Favorable EPS Trend
Favorable EPS Trend EPS Improvement Over Prior Year's Quarter Q1 2009 $0.03 Q2 2009 $0.05 Q3 2009 $0.04 Q4 2009 $0.04 Q1 2010 $0.09 Q2 2010 $0.09 Q3 2010 $0.10 Q4 2010 $0.10 Q1 2011 $0.10 Q2 2011 $0.08 - Does not reflect the benefit of the partial releases of valuation allowance on deferred tax asse
Slide 21: Balance Sheet Management
Balance Sheet Management No debt Strong cash Managed payables balance Strong balance sheet coupled with operating leverage allows us to fund our strategic initiatives Balanced Quality receivables inventories 21
Slide 22: Proven Acquisition Track Record - Augments Growth
Proven Acquisition Track Record - Augments Growth Target and close Integrate and harvest Maximize cash flow suitable candidates synergies from operations 2009 Desktop Factory Acu-Cast Technologies AdvaTech Manufacturing 2010 Moeller Design & Development Design Prototyping Technologies CEP Protometal
Slide 23: Progress Towards Operating Model
Progress Towards Operating Model ($ millions) Q2 Actual 6 Months Drivers Model Ranges Results Actual Results Revenue $200.0 $300.0 $ 55.1 $ 103.0 Gross Profit 56% 62% 46% 47% SG&A 23% 20% 26% 26% R&D 7% 5% 6% 6% Operating Income 26% 37% 15% 15% Net Income After Tax* 18% 22% 13% 14% Depreciation & Am
Slide 24: Margin Compression
Gross Profit Margin Path Toward Target Operating Model Revenue grow goalposts and corresponding margin targets -Better overhead absorption from Margin Expansion higher revenue -Favorable print material mix towards -Higher personal printers Margin Compression integrated printers materials unit sales
Slide 25: Best Positioned For Growth
Best Positioned For Growth Rapid Prototyping Direct Competitors 3D Systems Function Consumer Manufacturing Fit Form Underdeveloped Underpenetrated Marketplaces 25
Slide 26: Bottom Line
Bottom Line Comprehensive solutions portfolio with recognized brands Technology strength and flexibility Attractive marketplace growth opportunities Innovative business model built around recurring revenue Focused growth initiatives Proven acquisition strategy Experienced management team 26
Slide 27: Thank You
Thank You www.3dsystems.com NYSE: DDD 2011年8月1日
Slide 28: Supplemental Financial Overview
Supplemental Financial Overview www.3dsystems.com NYSE: DDD 2011年8月1日
Slide 29: Second Quarter 2011 Operating Results
Second Quarter 2011 Operating Results $ in millions, except earnings per share Second Quarter % Change Drivers 2011 2010 Favorable/(Unfavorable) Revenue $ 55.1 $ 35.1 57% Gross Profit $ 25.2 $ 16.0 58% % of Revenue 46% 45% Operating Expenses $17.2 $ 12.5 (37%) % of Revenue 31% 36% Net Income $7.2 $
Slide 30: Across-The-Board Revenue Growth
Across-The-Board Revenue Growth $ in millions Second Quarter 2010 $ 10.7 Printers 52% 2011 $ 16.2 Print 2010 $ 14.0 Materials 2011 $ 16.4 18% A 2010 $ 10.5 Services 115% 2011 $ 22.5 2010 $ 4.9 Healthcare 2011 $ 6.5 32% Second quarter 2011 revenue grew 57% 25% came from organic growth 30
Slide 31: Six Months 2011 Operating Results
Six Months 2011 Operating Results $ in millions, except earnings per share Six Months % Change Drivers 2011 2010 Favorable/(Unfavorable) Revenue $ 103.0 $ 66.8 54% Gross Profit $ 48.4 $ 30.3 60% % of Revenue 47% 45% Operating Expenses $ 33.0 $ 24.2 (36%) % of Revenue 32% 36% Net Income $ 14.0 $ 4.8
Slide 32: Factors Affecting Earnings Per Share
Factors Affecting Earnings Per Share EPS excluding Reported EPS tax release Second quarter 2011 diluted earnings per share $ 0.26 $ 0.14 Six months 2011 diluted earnings per share $ 0.40 $ 0.28 Net income for the quarter included a $3.4 million of non-cash expenses related to depreciation, amortizat
Slide 33: Q2 & Six Months Gross Profit and Margin
Q2 & Six Months Gross Profit and Margin Second Quarter 2011 2010 Yr-Yr% Gross Profit Gross Profit Category $ Millions Margin $ Millions Margin $ Margin Printers $ 6.0 37% $ 3.7 35% 62% 6% Print materials $ 10.7 65% $ 8.3 60% 28% 9% Services $ 8.6 38% $ 3.9 37% 118% 2% Total $ 25.2 46% $ 16.0 45% 58%
Slide 34: Sequential Gross Profit Margin Impacts
Sequential Gross Profit Margin Impacts Margin Q1 2011 48.4% Gross Margin Impact on Expansion Q1 Q2 Gross Margin Print materials 63.4% 64.9% 0.4% Total expansion Professional printers 0.8% 1.6% Print services 44.5% 47.2% 0.4% Compression Custom parts volume and mix 39.2% 32.3% (2.6%) Total compressio
Slide 35: Sequential Custom Parts Impact On Gross Profit Margin
Sequential Custom Parts Impact On Gross Profit Margin Custom parts made up 26% of revenue compared to 21% in the first quarter • Rapid revenue growth outpaced our margin expansion initiatives resulting in 80 basis points compression to gross profit margin Custom parts gross profit margin decreased s
Slide 36: Second Quarter Operating Expenses
Second Quarter Operating Expenses ($ in millions) Second Quarter % Change 2011 2010 Category Favorable/(Unfavorable) Selling, general & administrative $ 14.2 $ 9.8 (45%) Research and development $ 3.0 $ 2.8 (10%) Total Operating Expenses $ 17.2 $ 12.5 (37%) % of Revenue 31% 45. 36% 13% - Columns may
Slide 37: Six Months Operating Expenses
Six Months Operating Expenses ($ in millions) Six Months % Change Favorable 2011 2010 Category (Unfavorable) Selling, general & administrative $ 27.1 $ 18.9 (43%) Research and development $ 5.9 $ 5.3 (11%) Total Operating Expenses $ 33.0 $ 24.2 (36%) % of Revenue 32%45. 36% 12% • Selling, general &
Slide 38: Working Capital
Working Capital ($ in millions) % Change June 30, 2011 December 31, 2010 Favorable (Unfavorable) Cash $ 79.0 $ 37.3 112% Inventory $ 27.4 $ 23.8 (15%) Accounts Receivable $ 42.2 $ 35.8 18% Accounts Payable $ 26.7 $ 26.6 - Working Capital $ 91.1 45. $ 42.5 115% • Cash increased $41.7 million from the
Slide 39: Thank You
Thank You www.3dsystems.com NYSE: DDD 2011年8月1日