DESKTOP METAL Reports Financial Results for Q2 FY2023 on August 3rd
August 8, 2023
🌥️Earnings Overview
On August 3, 2023, DESKTOP METAL ($NYSE:DM) released financial results for the second quarter of fiscal year 2023 (ending June 30, 2023). Revenue totaled USD 53.3 million, a 7.6% decrease compared to the same period in the preceding year. Net income reported was -49.7 million, an improvement from the previous year’s figure of -297.3 million.
Price History
The company showed strong financial performance for the quarter, with shares opening at $1.8 and closing at the same level. The company also saw growth in its core businesses. This was driven by the growing demand for products used in the medical, aerospace, and automotive industries. Furthermore, DESKTOP METAL’s enterprise software division grew by 8% year-over-year.
Overall, DESKTOP METAL’s financial results for Q2 FY2023 demonstrate the strength of the company’s core business and its ability to grow in a challenging market. Investors were pleased with these results, and the stock closed at its opening price of $1.8. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Desktop Metal. More…
| Total Revenues | Net Income | Net Margin |
| 202.25 | -475.5 | -155.2% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Desktop Metal. More…
| Operations | Investing | Financing |
| -140.98 | 148.84 | 2.28 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Desktop Metal. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 677.1 | 232.64 | 1.38 |
Key Ratios Snapshot
Some of the financial key ratios for Desktop Metal are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 99.2% | – | -232.7% |
| FCF Margin | ROE | ROA |
| -72.7% | -63.2% | -43.4% |
Analysis
At GoodWhale, we’ve been analyzing the fundamentals of DESKTOP METAL in order to provide an accurate assessment of the risk associated with investing in the company. Our Risk Rating has determined that DESKTOP METAL is a high risk investment when considering financial and business aspects. Our team of experts has identified four risk warnings from the income sheet, balance sheet, cash flow statement, and financial journal. These risk warnings include weaknesses in liquidity, debt levels, asset quality, and other financial metrics. We encourage anyone considering investing in DESKTOP METAL to register with us so that they can review the risk warnings in full and make an informed decision about their investments. More…
Peers
The competition among Desktop Metal Inc, Xaar PLC, Markforged Holding Corp, and HP Inc is fierce. All four companies offer desktop 3D printers that use different technologies and that are targeted at different markets.
– Xaar PLC ($LSE:XAR)
Xaar PLC is a digital inkjet printhead and system technology company. It designs, develops, manufactures, and markets inkjet printheads and inkjet systems. The company offers a range of technologies for industrial and commercial applications in product decoration, ceramics, medical device manufacturing, and packaging. Xaar PLC was founded in 1990 and is headquartered in Cambridge, the United Kingdom.
– Markforged Holding Corp ($NYSE:MKFG)
Markforged Holding Corp is a manufacturer of 3D printers. The company has a market cap of 335.09M as of 2022 and a return on equity of 8.01%. Markforged Holding Corp’s printers are used in a variety of industries, including aerospace, automotive, and medical. The company’s products are designed to be easy to use and provide a high degree of accuracy and repeatability.
– HP Inc ($NYSE:HPQ)
HP Inc is an American multinational information technology company headquartered in Palo Alto, California. It was founded in 2015 as a result of the split of Hewlett-Packard into two companies: HP Inc. and Hewlett Packard Enterprise. HP Inc. focuses on personal computing and other hardware products, such as printers and imaging products. As of 2022, HP Inc. has a market cap of 29.02 billion and a return on equity of -225.66%. The company’s main competitors include Dell, Lenovo, and Apple.
Summary
Investors should take note of the recent financial results reported by DESKTOP METAL for the second quarter of FY2023. Total revenue for the quarter was USD 53.3 million, a 7.6% decrease compared to the same quarter in the previous year. Despite this decrease, net income improved significantly from -297.3 million to -49.7 million.
Therefore, investors may still find value in investing in DESKTOP METAL despite the decrease in revenue. Further research is necessary to determine if and how much investors should invest in DESKTOP METAL.
