Business
Stratasys Releases Fourth Quarter and Full Year 2025 Financial Results
Fourth quarter revenue of $140.0 million, compared to $150.4 million in the prior year period Fourth quarter GAAP net loss of $18.9 million, or $0.22 per
About this update from Stratasys, Ltd.
Fourth quarter revenue of $140.0 million , compared to $150.4 million in the prior year period Fourth quarter GAAP net loss of $18.9 million , or $0.22 per diluted share Fourth quarter Non-GAAP net income of $6.2 million , or $0.07 per diluted share Full year revenue of $551.1 million , compared to $572.5 million in 2024 Full year GAAP net loss of $104.3 million , or $1.28 per diluted share Full year Non-GAAP net income increased to $12.7 million , or $0.15 per diluted share, over prior year $4.2 million or $0.06 , respectively Fourth quarter positive operating cash flow of $4.8 million Full year positive operating cash flow of $15.1 million Strong balance sheet with $244.5 million cash, equivalents and short-term deposits and no debt at year-end 2025 Fourth quarter Adjusted EBITDA of $9.2 million , 6.6% of revenue Full year Adjusted EBITDA grew 9.6% to $28.5 million , 5.2% of revenue, compared to $26.0 million , 4.5% of revenue in 2024 Provides 2026 outlook MINNETONKA, Minn. & REHOVOT, Israel --(BUSINESS WIRE)-- Stratasys Ltd. (Nasdaq: SSYS), a leader in polymer 3D printing solutions, today announced financial results for the fourth quarter and full year 2025. Dr. Yoav Zeif , Stratasys' Chief Executive Officer, stated, “Our fourth quarter performance caps a year in which we successfully maintained our operational discipline and delivered solid cash flow generation, demonstrating the resilience that distinguishes Stratasys . We generated 37.5% of our revenues from manufacturing applications, up from 25% in 2020, and made meaningful progress building on the foundational infrastructure of our highest-value use-cases, as we continued to improve our position in aerospace and defense, automotive tooling, dental, and medical applications.” Dr. Zeif continued, “As we enter 2026, we do so with proven operational excellence, strategic clarity, and the technology portfolio to capitalize on the inevitable return of customer spending. Our commitment to innovation remains unwavering, supported by continued R&D investment and strategic partnerships that provide complete end-to-end solutions. Combined with our strong balance sheet, this positions us to capitalize on inorganic opportunities that we continue to explore, to sustain our technology leadership through strategic investments that will define the next era of digital manufacturing. The stage is set for sustained growth, as customers achieve measurable operational improvements and increase their utilization in true production-scale manufacturing for mission-critical applications.” Summary - Fourth Quarter 2025 Financial Results Compared to Fourth Quarter 2024: Revenue of $140.0 million compared to $150.4 million . GAAP gross margin of 36.8%, compared to 46.3%. Non-GAAP gross margin of 46.3%, compared to 49.6%. GAAP operating loss of $20.8 million , compared to an operating loss of $9.7 million . Non-GAAP operating income of $4.1 million , compared to operating income of $9.4 million . GAAP net loss of $18.9 million , or $0.22 per diluted share, compared to a net loss of $41.9 million , or $0.59 per diluted share. Non-GAAP net income of $6.2 million , or $0.07 per diluted share, compared to net income of $8.5 million , or $0.12 per diluted share. Adjusted EBITDA of $9.2 million , compared to $14.5 million . Cash provided by operating activities of $4.8 million , compared to $7.4 million . Summary - 2025 Financial Results Compared to 2024: Revenue of $551.1 million compared to $572.5 million . GAAP gross margin of 41.2%, compared to 44.9%. Non-GAAP gross margin of 46.9%, compared to 49.2%. GAAP operating loss of $72.5 million , compared to an operating loss of $85.7 million . Non-GAAP operating income of $8.3 million , compared to operating income of $4.9 million . GAAP net loss of $104.3 million , or $1.28 per diluted share, compared to a loss of $120.3 million , or $1.70 per diluted share. Non-GAAP net income of $12.7 million , or $0.15 per diluted share, compared to net income of $4.2 million , or $0.06 per diluted share. Adjusted EBITDA of $28.5 million , compared to $26.0 million . Cash generated by operating activities of $15.1 million , compared to $7.8 million . Financial Outlook: Based on current market conditions and assuming that the impacts of global inflationary pressures, relatively high interest rates, increased tariffs and other supply chain costs do not impede economic activity further, the Company is providing the following outlook for 2026, which includes an assumption of $17 million of combined adverse impact from exchange rates and tariffs relative to 2025: Full year revenue growing to $565 million to $575 million , improving sequentially through the year. Based on current logistics and materials costs, full year non-GAAP gross margins of 46.7%-47.1%, including approximately $7 million of adverse impact from tariffs and foreign exchange rates relative to 2025. Full year non-GAAP operating expenses ranging from $260 million to $262 million , including approximately $10 million of adverse impact from changes in foreign exchange rates. Full year non-GAAP operating margins in a range of 0.7% to 1.5%. GAAP net loss of $83 million to $67 million , or ( $0.95 ) to ( $0.76 ) per diluted share. Non-GAAP net income of $8 million to $12.5 million , or $0.09 to $0.14 per diluted share. Adjusted EBITDA of $25 million to $30 million , reflecting Adjusted EBITDA margin of 4.5% to 5.0%. Capital expenditures of $20 million to $25 million . Expects to generate positive operating cash flow subject to uncertainty around foreign exchange rates and tariffs. Appropriate reconciliations between historical GAAP and non-GAAP financial measures, as well as between the GAAP and non-GAAP financial measures included in our financial outlook for 2026, are provided in the tables at the end of our press release and slide presentation, with itemized detail concerning the non-GAAP financial measures. [We have not included, however, guidance for GAAP gross margin or a reconciliation of our guidance for non-GAAP gross margins to the most directly comparable GAAP financial measure (i.e., GAAP gross margin), as we are unable to do so without unreasonable effort or with reasonable certainty from a quantitative perspective.] Stratasys Ltd. Fourth Quarter 2025 Webcast and Conference Call Details The Company plans to webcast its conference call to discuss its fourth quarter and full-year 2025 financial results on Thursday, March 5, 2026 , at 8:30 a.m. (ET) . The investor conference call will be available via live webcast on the Stratasys Web site at investors.stratasys.com , or directly at the following web address: https://event.choruscall.com/mediaframe/webcast.html?webcastid=E1fXyUKp To participate by telephone, the U.S. toll-free number is 877-407-0619 and the international dial-in is +1-412-902-1012. Investors are advised to dial into the call at least ten minutes prior to the call to register. The webcast will be available for six months at investors.stratasys.com , or by accessing the above-provided web address. Stratasys is leading the global shift to additive manufacturing with innovative 3D printing solutions for industries such as aerospace, automotive, consumer products, healthcare, fashion and education. Through smart and connected 3D printers, polymer materials, a software ecosystem, and parts on demand, Stratasys solutions deliver competitive advantages at every stage in the product value chain. The world’s leading organizations turn to Stratasys to transform product design, bring agility to manufacturing and supply chains, and improve patient care. To learn more about Stratasys , visit www.stratasys.com , the Stratasys blog , X/Twitter , LinkedIn , or Facebook . Stratasys reserves the right to utilize any of the foregoing social media platforms, including the Company’s websites, to share material, non-public information pursuant to the SEC’s Regulation FD. To the extent necessary and mandated by applicable law, Stratasys will also include such information in its public disclosure filings. Stratasys is a registered trademark and the Stratasys signet is a trademark of Stratasys Ltd. and/or its subsidiaries or affiliates. All other trademarks are the property of their respective owners. Cautionary Statement Regarding Forward-Looking Statements The statements in this press release regarding Stratasys' strategy, and the statements regarding its projected future financial performance, including the financial guidance concerning its expected results for 2026 and beyond, are forward-looking statements reflecting management's current expectations and beliefs. These forward-looking statements are based on current information that is, by its nature, subject to rapid and even abrupt change. Due to risks and uncertainties associated with Stratasys' business, actual results could differ materially from those projected or implied by these forward-looking statements. These risks and uncertainties include, but are not limited to: the extent of our success at introducing new or improved products and solutions that gain market share; the extent of growth of the 3D printing market generally; the global macro-economic environment, including the impact of increased import tariffs that have been imposed by the U.S. and other countries; global trends involving inflation, interest rates, economic activity and currency exchange rates, and their impact on the additive manufacturing industry, our company and our customers, in particular; changes in our overall strategy, including as related to any restructuring activities and our capital expenditures; the impact of potential shifts in the prices or margins of the products that we sell or services that we provide, including due to a shift towards lower margin products or services; the impact of competition and new technologies; potential further charges against earnings that we could be required to take due to impairment of additional goodwill or other intangible assets; the extent of our success at successfully consummating and integrating into our existing business acquisitions or investments in new businesses, technologies, products or services; the potential adverse impact of global interruptions and delays involving freight carriers and other third parties on our supply chain and distribution network; global market, political and economic conditions, and in the countries in which we operate in particular; potential adverse effects of Israel’s recent preemptive or retaliatory wars against Iran and its sponsored terrorist organizations Hamas (in Gaza ), Hezbollah (in Lebanon ), and, intermittently, the Houthis (in Yemen ); costs and potential liability relating to litigation and regulatory proceedings; risks related to infringement of our intellectual property rights by others or infringement of others' intellectual property rights by us; the extent of our success at maintaining our liquidity and financing our operations and capital needs; the impact of tax regulations on our results of operations and financial condition; and those additional factors referred to in Item 3.D “Key Information - Risk Factors”, Item 4, “Information on the Company”, Item 5, “Operating and Financial Review and Prospects,” and all other parts of our Annual Report on Form 20-F for the year ended December 31, 2025 , to be filed with the U.S. Securities and Exchange Commission, or SEC , on or about the date hereof (the “ 2025 Annual Report ”). Readers are urged to carefully review and consider the various disclosures made throughout our 2025 Annual Report and the Reports of Foreign Private Issuer on Form 6-K that attach Stratasys’ unaudited, condensed consolidated financial statements and its review of its results of operations and financial condition, for the quarterly periods throughout 2026, which have been or will be furnished to the SEC throughout 2026, and our other reports filed with or furnished to the SEC , which are designed to advise interested parties of the risks and factors that may affect our business, financial condition, results of operations and prospects. Any guidance provided, and other forward-looking statements made, in this press release are provided or made (as applicable) as of the date hereof, and Stratasys undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. Use of Non-GAAP Financial Measures The non-GAAP data included herein, but not limited, which excludes certain items as described below, are non-GAAP financial measures. Our management believes that these non-GAAP financial measures are useful information for investors and shareholders of our company in gauging our results of operations. Our management utilizes these non-GAAP measures to enable us to assess our financial results (i) on an ongoing basis after excluding mergers, acquisitions and divestments related expense or gains and reorganization-related charges or gains, and legal provisions, (ii) excluding non-cash items such as share-based compensation expenses, acquired intangible assets amortization, including intangible assets amortization related to equity method investments, impairment of long-lived assets and goodwill, revaluation of our investments and the corresponding tax effect of those items, (iii) for certain non-GAAP measures, after eliminating the impact of changes attributable to currency exchange rate fluctuations, and (iv) after excluding changes in revenues solely attributable to divestitures of former subsidiary companies. The items eliminated as part of our calculation of our non-GAAP financial measures either do not reflect actual cash outlays that impact our liquidity and our financial condition or have a non-recurring impact on the statement of operations, as assessed by management. Our non-GAAP financial measures are presented to permit investors to more fully understand how management assesses our performance for internal planning and forecasting purposes. The limitations of using these non-GAAP financial measures as performance measures are that they provide a view of our results of operations without including all items indicated above during a period, which may not provide a comparable view of our performance to other companies in our industry. Investors and other readers should consider non-GAAP measures only as supplements to, not as substitutes for or as superior measures to, the measures of financial performance prepared in accordance with GAAP. Reconciliation between the GAAP and non-GAAP bases upon which we present our results and financial outlook is provided in the tables below. Stratasys Ltd. Consolidated Balance Sheets ( U.S. $ in thousands, except share data) December 31, 2025 December 31, 2024 ASSETS Current assets Cash and cash equivalents $ 94,527 $ 70,200 Short-term bank deposits 150,000 80,500 Accounts receivable, net of allowance for credit losses of $4,145 and $3,058 as of December 31, 2025 and 2024, respectively 160,478 152,979 Inventories 145,238 179,809 Prepaid expenses 5,500 7,630 Other current assets 26,241 21,843 Total current assets 581,984 512,961 Non-current assets Property, plant and equipment, net 192,566 184,379 Goodwill 101,599 99,082 Other intangible assets, net 95,842 106,253 Operating lease right-of-use assets 25,417 32,169 Long-term investments 63,104 80,205 Other non-current assets 13,252 14,697 Total non-current assets 491,780 516,785 Total assets $ 1,073,764 $ 1,029,746 LIABILITIES AND EQUITY Current liabilities Accounts payable $ 43,021 $ 44,977 Accrued expenses and other current liabilities 34,284 39,749 Accrued compensation and related benefits 31,304 29,206 Deferred revenues - short-term 47,835 46,347 Operating lease liabilities - short-term 6,597 6,935 Total current liabilities 163,041 167,214 Non-current liabilities Deferred revenues - long-term 19,062 19,057 Deferred income taxes 312 507 Operating lease liabilities - long-term 19,903 25,155 Contingent consideration - long-term 5,353 4,933 Other non-current liabilities 23,193 19,889 Total non-current liabilities 67,823 69,541 Total liabilities $ 230,864 $ 236,755 Commitments and contingencies (see note 11) Equity Ordinary shares, NIS 0.01 nominal value, authorized 180,000 thousands shares; 86,376 thousands shares and 71,982 thousands shares issued at December 31, 2025 and 2024, respectively; 86,110 thousands shares and 71,716 thousands shares outstanding at December 31, 2025 and 2024, respectively $ 242 $ 202 Treasury shares at cost, 266 thousands shares at December 31, 2025 and 2024 (1,995 ) (1,995 ) Additional paid-in capital 3,275,344 3,123,024 Accumulated other comprehensive loss (6,197 ) (8,031 ) Accumulated deficit (2,424,494 ) (2,320,209 ) Total equity 842,900 792,991 Total liabilities and equity $ 1,073,764 $ 1,029,746 Stratasys Ltd. Consolidated Statements of Operations ( U.S. $ in thousands, except share data) Three Months Ended December 31 , Twelve Months Ended December 31 , 2025 2024 2025 2024 Revenues Products $ 97,622 $ 105,035 $ 380,269 $ 391,917 Services 42,378 45,324 170,833 180,541 140,000 150,359 551,102 572,458 Cost of revenues Products 60,782 53,587 206,475 197,807 Services 27,757 27,083 117,341 117,835 88,539 80,670 323,816 315,642 Gross profit 51,461 69,689 227,286 256,816 Operating expenses Research and development, net 18,030 24,785 77,304 99,142 Selling, general and administrative 54,192 54,604 222,471 243,335 72,222 79,389 299,775 342,477 Operating loss (20,761 ) (9,700 ) (72,489 ) (85,661 ) Financial income, net 2,971 176 10,386 1,676 Loss before income taxes (17,790 ) (9,524 ) (62,103 ) (83,985 ) Income tax expenses 1,062 653 3,082 2,973 Share in losses of associated companies and impairment charges - 31,766 39,100 33,325 Net loss $ (18,852 ) $ (41,943 ) $ (104,285 ) $ (120,283 ) Net loss per ordinary share - basic and diluted $ (0.22 ) $ (0.59 ) $ (1.28 ) $ (1.70 ) Weighted average ordinary shares outstanding - basic and diluted 85,671 71,406 81,602 70,858 Stratasys Ltd. Reconciliation of GAAP to Non-GAAP Results of Operations Three Months Ended December 31 , 2025 Non-GAAP 2025 2024 Non-GAAP 2024 GAAP Adjustments Non-GAAP GAAP Adjustments Non-GAAP U.S. dollars and shares in thousands (except per share amounts) Gross profit (1) $ 51,461 $ 13,393 $ 64,854 $ 69,689 $ 4,866 $ 74,555 Operating income (loss) (1,2) (20,761 ) 24,853 4,092 (9,700 ) 19,144 9,444 Net income (loss) (1,2,3) (18,852 ) 25,034 6,182 (41,943 ) 50,462 8,519 Net income (loss) per diluted share (4) $ (0.22 ) $ 0.29 $ 0.07 $ (0.59 ) $ 0.71 $ 0.12 (1) Acquired intangible assets amortization expenses 4,749 4,496 Non-cash share-based compensation expenses 772 198 Restructuring and other expenses 7,872 172 13,393 4,866 (2) Acquired intangible assets amortization expenses 1,198 1,153 Non-cash share-based compensation expenses 5,516 2,856 Restructuring and other related costs 1,263 5,275 Revaluation of investment - 4,697 Contingent consideration 436 (9,148 ) Net loss from sale of investment - 4,760 Legal and other expenses 3,047 4,685 11,460 14,278 24,853 19,144 (3) Corresponding tax effect 558 535 Equity method related expenses and impairment - 30,910 Finance income (377 ) (127 ) $ 25,034 $ 50,462 (4) Weighted average number of ordinary shares outstanding - Diluted 85,671 86,311 71,406 71,740 Stratasys Ltd. Twelve Months Ended December 31 , 2025 Non-GAAP 2025 2024 Non-GAAP 2024 GAAP Adjustments Non-GAAP GAAP Adjustments Non-GAAP U.S. dollars and shares in thousands (except per share amounts) Gross profit (1) $ 227,286 $ 31,097 $ 258,383 $ 256,816 $ 24,948 $ 281,764 Operating income (loss) (1,2) (72,489 ) 80,820 8,331 (85,661 ) 90,594 4,933 Net income (loss) (1,2,3) (104,285 ) 117,000 12,715 (120,283 ) 124,520 4,237 Net income (loss) per diluted share (4) $ (1.28 ) $ 1.43 $ 0.15 $ (1.70 ) $ 1.76 $ 0.06 (1) Acquired intangible assets amortization expenses 18,280 18,576 Non-cash share-based compensation expenses 3,045 3,072 Restructuring and other expenses 9,772 3,300 31,097 24,948 (2) Acquired intangible assets amortization expenses 4,121 5,847 Non-cash share-based compensation expenses 21,229 22,546 Restructuring and other related costs 5,494 17,419 Revaluation of investments 2,208 6,597 Contingent consideration 1,724 (7,595 ) Net loss from sale of investment - 4,760 Legal and other expenses 14,947 16,072 49,723 65,646 80,820 90,594 (3) Corresponding tax effect 1,015 1,267 Equity method related expenses and impairment 36,245 31,262 Finance expenses (income) (1,080 ) 1,397 $ 117,000 $ 124,520 (4) Weighted average number of ordinary shares outstanding - Diluted 81,602 82,301 70,858 71,177 Stratasys Ltd. Reconciliation of GAAP net loss to Adjusted EBITDA Three months ended December 31 , Twelve months ended December 31 , 2025 2024 2025 2024 U.S. $ in thousands U.S. $ in thousands Net loss $ (18,852 ) (41,943 ) $ (104,285 ) $ (120,283 ) Financial income, net (2,971 ) (176 ) (10,386 ) (1,676 ) Income tax expenses 1,062 653 3,082 2,973 Share in losses of associated companies and impairment charges - 31,766 39,100 33,325 Depreciation expenses 5,190 5,033 20,738 21,030 Amortization expenses 5,954 5,649 22,435 24,423 Non-cash share-based compensation expenses 6,288 3,054 24,274 25,618 Revaluation of investments - 4,697 2,208 6,597 Net loss from sale of investment - 4,760 - 4,760 Contingent consideration 436 (9,148 ) 1,724 (7,595 ) Legal and other expenses 3,915 4,685 15,935 16,072 Restructuring and other related costs 8,155 5,447 13,695 20,719 Adjusted EBITDA $ 9,177 $ 14,477 $ 28,520 $ 25,963 Stratasys Ltd. Reconciliation of GAAP Net Loss to Non-GAAP Net Income Forward Looking Guidance: Fiscal Year 2026 ( U.S. $ in millions, except per share data) Low High GAAP net loss $(83) to $(67) Adjustments Share-based compensation expenses $24 to $26 Intangible assets amortization expenses $23 to $25 Reorganization and other $31 to $37 Tax expenses related to Non-GAAP adjustments $2 to $3 Non-GAAP net income $8 to $13 GAAP loss per share $(0.95) to $(0.76) Non-GAAP diluted earnings per share $0.09 to $0.14 Reconciliation of GAAP Net Loss to Adjusted EBITDA Forward Looking Guidance: Fiscal Year 2026 ( U.S. $ in millions, except per share data) Low High GAAP net loss $(83) to $(67) Adjustments Share-based compensation expenses $24 to $26 Intangible assets amortization expenses $23 to $25 Reorganization and other $31 to $37 Tax expenses related to Non-GAAP adjustments $2 to $3 Other non-operating income $(4) to $(4) Depreciation $21 to $21 Adjusted EBITDA $25 to $30 Stratasys Ltd. Reconciliation of GAAP Operating Loss to Non-GAAP Operating Income Forward Looking Guidance: Fiscal Year 2026 ( U.S. $ in millions, except per share data) Low High GAAP operating loss $(84) to $(69) GAAP operating margins (15)% to (12)% Adjustments Share-based compensation expenses $24 to $26 Intangible assets amortization expenses $23 to $25 Reorganization and other $31 to $37 Non-GAAP operating profit $4 to $8.5 Non-GAAP operating margins 0.7 % to 1.5% View source version on businesswire.com : https://www.businesswire.com/news/home/20260305568607/en/ Yonah Lloyd CCO & VP Investor Relations [email protected] Source: Stratasys Ltd.