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Desktop Metal (DM)

Participants
Jay Gentzkow Vice President, Investor Relations
Ric Fulop Chief Executive Officer, Chairman & Founder
James Haley Chief Financial Officer
Noelle Dilts Stifel
Shannon Cross Cross Research
Danny Eggerichs Craig-Hallum Capital Group
Call transcript
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Operator

Greetings, and welcome to Desktop Metal’s First Quarter 2021 Financial Results Conference Call. At this time, all participants are in a listen-only mode. A brief question-and-answer session will follow the formal presentation.

As a reminder, this conference is being recorded. I would now like to turn the conference over to your host, Mr. Investor President, Vice Gentzkow, Relations. Jay Thank you, sir. ahead. go Please

Jay Gentzkow

of Investor of months same website. this Thank Investor available of under events webcast me With prior call. property This Founder live press Metal. Desktop cannot Haley, consent. the release section joining and our slides and Relations slides The note CEO, The this of you, thanks is everyone of call call being accompanying CFO James and It our the website. to written be webcast and also and afternoon's Metal; for is at Metal. today earnings the replay our and Please following that call. content Chairman Relations for Desktop or will referred be reproduced are without on presentation Desktop call for today’s Fulop, Ric XX available this transcribed are presentations

begin, the and I’d to we vary statements. to contains of may Metal’s include you statements disclaimer. call These on XXXX refer Harbor based number views which forward-looking a forward-looking only XX, actual reflect Safe and will presentation, Before today, as risks expectations materially Today’s results Desktop X of like and of slide May our uncertainties.

about to the addition and assume update We the information Annual in on filings risk financial more Report obligation the amended the impact factors prior statements. business may to of section the For XX-K with results, factors no to Desktop Metal’s that risk please refer company’s Form forward-looking SEC. as

measures intended with calculated performance EBITDA, measures, substitute not gross may or to refer Additionally, non-GAAP supplement, GAAP. session, measures non-GAAP are Q&A but These and EBITDA presentation we accordance during this profit. adjusted in including the following for to

and to With Founder be to CEO as Metal. over to turn the measures. discussed Our other call earnings as information of reconciliation GAAP contains and well non-GAAP Ric it's today the my that, a the to of quantitative Fulop, Desktop financial release pleasure

Ric Fulop

Jay. I'm Good the and delivered first you quarter afternoon, the our Desktop with since for for earnings Metal’s results thank pleased call. joining our very spoke you, progress long-term. XXXX. Desktop building XXXX Metal We're including on last Thank with you, we first quarter of we

the made over the respects of our we the months investments coming some into And several have thinking. past public

additive we estimate As to of presented XXXX the will from billion XXXX. previously, at by analyst $XX market the billion scale manufacturing $XXX end

have of as to for end focused X.X volume this is We by growth we execute goal success Additive business opportunity in AM mind. our defined We're in the strategic of expect the achieving The our the driving well-positioned space. what X.X, in believe additive market. And we've this this making of Manufacturing has or we on strategic parts every to end-use be market of capture the decade. X.X to short. vision investment AM we're what biggest by We a major player production and share double-digit today define a that for

and our first into cover proud in XXX% technology then XXXX business. Let's sequential from itself year-over-year. the After the fourth before remarks, our and portfolio differentiates of key some $XX.X a and how quarter, and today financial first of about of our results just go my the accomplishments highlighting for I'll highlights. the quick with financial the execution start slide of of is to product reviewing XX% going quarter review of first the quarter revenue market, increase developments a delivering start recent very over of additive off quarter. X increase We're the million to James exciting the by detail

the fourth with million our and as Additionally, well. from prior year gross significantly of continue strengthen quarter of profit $X.X first margins after to XXXX adjusted XXXX quarter

exit to time in gain expansion improve margin leverage costs. would the as continued greatly or year expect we fixed margins We

was production. market a growing on of business mass some one materials across quarter company for cutting business all XXX accelerated partnerships let's we materials the into ROC we better material QX, the major platforms. have XXX to saw quarter. Customer move broadest as opens of cases, expanded are a libraries adoption properties, we aluminum ceramics highlights major industries and metals used than consumer than into metals, customers the This to quarter We exciting enabler the introduce in We automotive for a materials with of last that biogenic our this across polymers, spoke, for from key X.X focused XXXX also milestone today. And well. elastomers Materials combined. a customer up wood last a fiber composites, electronics. in key Since AM additions. such In of library that our adoption portfolio we more announced [indiscernible] various AM this Now variety production. year XXX% is of as accelerated added continuous

XK Xtreme world's compelling high on the integration combination We excited we that significant growth represent One industrial and early quarter. launched One acquisition, Envision systems, reception system. the Both performance systems in mass temperature largest about. HT division shipping highspeed materials both production two polymer and EnvisionTEC printing spectacular. The in these for economics superior also close The Envision the of -- HT, EnvisionTEC has XK grade type and the printing into the Xtreme of our the vertical products are of with both part Xtreme remain our of and new customers. is been Xk which very enables opportunities parts. production the which The for are DLP

wood mass of is that is the from parts can in parts us for a of make was acquisition parts, made existing small interiors, luxury produce good is this a capability manufacturing, in year, platforms. our additive last No a developed leverages real company and high products development more. investment used from required. consumer for exciting industries in Essentially hardware sustained unique of via This material a and new blueprints, architecture, be furniture, that variety development to end process launch and a with of new way we printed Another goods, a use set. to biogenic where our us volumes

saw over also momentum continued dental which year in the year. XX% business, strong grew We

the micro innovation such for only the materials of to targeted this among segment to world's We're fantastic XK. the has apps additive other excited resources AM qualification will for is [ph] be believe and properties, proprietary AdaptiveXD, are continue manufacturing. is Sarah which the I also which of funded the that polymers the speak enabling today program. behind super rapid the detail to giving significant produced We're access you applications. a crowns, as presentation. leading the DARPA in dental not growing week, started are to at a forms acquisition a going dental new AdaptiveXDs putting out continue new printed is acquisition We digital give class We polymers applications and about investments where combination on That like portfolio like a design. one killer abutment, more us Xtreme app through elastomers announcing brand, We're architected Health, prosthetic believe we market are with This partials dental and applications. later The printing the X.X. but launched from our systems accelerating Last which Desktop making elastomers. as technology in clip health of military we best elastomeric printable can in for used killer metals, across also another ceramics of materials, a

build to continue Desktop our vision. we Finally, to talent Metals with position best the company to execute team

XXX over this today to grown employees year. from XXX time last have We up

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vision. We to have and technology, that right the resources, on team, product deliver IP, portfolio

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Now, let's focus to primary X.X, investing slide we're drive turn AM five. adoption of three To areas. across

metal we print technology. world's Today, we be platforms printers. make in and want fastest to the leader the First,

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polymer wide that at have generation allow also printers We area of you a fastest technologies. to cost fraction parts largest the the of prior produce and

well designed from or And share, materials platforms are we to an compete, conventional positioned believe decades investment platforms to effectively are to capture in these course additive. manufacturing. outsized Of these print cost

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previously For opportunities that or had in entry manufacturing. to additive high-barriers enable materials conventional that

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a of result single technology, large which quality P-XX, three production productivity. Our have sacrificing series being or our in our products consistency. upgraded single other that to leverages platforms, in And jetting than layers seconds is mass including less high are will speed incredible that ramp production a format pass jetting system is proprietary our technology, which printing tool pass without flagship system we

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economics it limited the great is wants more electronics and and of for pass thousands more technology It’s markets. laser on accessible a slide CapEx fusion technologies as millions applications end technology or for as an industries parts that aerospace. This market very with are parts, part of cost industrial part costs. X. such of various Moving illustrate to due of makes to available larger use helps like is lowest Biogenic volumes, higher large and consumer single such automotive, to hundreds the process jetting and parts

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to XX. Turning slide

State a have an a of Berkeley, chair at by offering of company a end result small We named been three-person a who's architecture in UC the a the new printing longtime world. Jeffrey, exciting entrepreneur an at at was started José the and professor we of year, managed as the San acquisition Forust last leader XD Andy University, department

business print The developed and given XX,XXX has trees environmental have process every parts. waste. big $X.X ago. trillion wood of a it with to helps and today, world Forust finished half logistics since on significant agriculture of we new of years the wood number that makes humans complex earth a out considerations, year It's started

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cellulose make wood With we're to the back Forust process putting printers the lignin our together hand used parts. the waste beautiful and inside

indistinguishable like designed printers You can RAM true they're very is out story. metal cradle-to-cradle our effective in But look This of make able waste. And essentially parts. products we're because have use a solution. it's shop to made system manufacturing and cost that wood same we to absolutely from print [indiscernible] the conventional circular our

annual manufacturing us via woods the the We for This flip the in and for in to is have been initial a opportunity goal expect every our with has surpassing into expectation, and spend additive. new to great from adapted future is exciting hear things material this very them reception effort. Forust overwhelming this sustainable

only market additive dentists, almost very More every that's parts to metals, As every dental are apps $XX It's XX, billion gain [indiscernible] in polymers and of by Health significant adopting labs from percentage both consider is Dental killer shipments because printed than highlighted for quickly. year quarter slide sold the Desktop ceramics of to on unique. are one a grew the traction. early a dental part growing small first a today. XX% dental XXXX. but and continues We year-over-year and

grow much overall XX% going XXXX to as is considerably the as of by number to this that market. expect We

disruptive all restoration. programs and We three market the have as segments in of such ortho, removables

prosthetics healthcare we're unparallel create printed which capture market, with and we dental call Health to oral major week best used launched XD Desktop product Flexcera As line to dentures our positioned this first last Flexcera. we in performance. is

X come X for which is different. very variety is a products, device cleared additive, every because Flexcera Smile to We're killer is Flexcera device a app business. Class a starting by these in medical fast now Base a colors. part is This exciting the growing and of Our Class a commercialize Dental is FDA. recently truly

really production. major well-suited business a it's be to type we're And player investing this for this So the of market. in in

compete call, So on we in into to XX, each high four bar additive there manufacturing. with slide order volume manufacturing conventional the last to a take quarter's are hurdles production on highlighted key has

long because properties, technology properties manufacturing excited material material One library developments performance. and least inorganically expanding processes. where hurdles of the some to of at One super segments build of has example the materials the for of opportunities in they elastomers. very scale. investing the set the about additive exciting from of adoptive that enable the We're there match where we're of additive kept are being applications clear is an And has organically market time conventional to a is our at best-in-class out

next materials is to poised by of the industry creates to XK in X.X Turning was patented for between to we're X.X spark huge their program the access this EnvisionTEC a opportunity high Arkema, capabilities. resins what AM materials which has state. and photopolymer, ago. capitalize leading acquisition developed a category step resins announced in incredibly outperforming accelerate including on Covestro, DARPA all Xtreme Adding too partnership larger with elastomers and we and not the a developing market. such and a to out slide view already XX, to Applied AdaptiveXDs announce AdaptiveXD world, a for DSM. market, of AdaptiveXD. distribution photoelastomers opens production major competitors long We're AM technology today to together elastomer disruption leaders the natural collaboration volume new West, which in thrilled backed combine is Materials This AdaptiveXD in that capabilities really for just the that portfolio excited AdaptiveXD and as best the acquisition our are as been the

million, at this today, speed. slide cost of million little AdaptiveXD to in is large AM XX, help printed materials believe and $XXX $XXX market. of accelerate year due Turning we to mainly being will a penetration quite only market opportunity is overall the a And amount that the over

engines level print new these in we to a price offer materials enable performance. As our printed be that of

for For we into mass base built our a we an EnvisionTEC leveraging And customers variety AdaptiveXD build wide open at industrial, production. we oil forward resin Best-in-class that solutions. gas. range expect scale. have medical, really applications consumer, to a integrated early wide These of the of a fantastic for solutions produce materials possibilities operations commercially industries, elastomer across to vertically and company customer within automotive, stage our including enable look to manufacturing and up elastomers

your strength affordability tremendous materials systems, which elongation and benchmark materials slide outperform The relative application contain to our in a we throughput, combined when this opportunity. pushing AdaptiveXDs believe time. performance you this too with different Turning the winds performance growth best-in-class like are a what's on design and will in and all Combining platforms XK, materials additive product industry Xtreme to consistently are quality, in players elastomer XX, which many is possible over the their manufacturing. completely other lead frontier with When field, out class. the of with

self-collection you can AdaptiveXD we an wanted systems buy Home highlight produced Depot parts that XX, slide at on Finally, today. mass technology. dustless for customer to The

XD James. with This So times assemblies and this AdaptiveXD parts tooling end-use our with additive an with to that were SME another XX,XXX thus market review solutions I'd adding to for alternatives. reliance we that, over their to for call super of great and example It's end-use Haley is we're partnership the with performing quarter example to portfolio. manufactured ROI a position manufacturing, are first producing production of the here highlights. financial yet mass the applications. elastomer delivering excited to and his to fully economics [Indiscernible] reducing lead our parts see end-use material printed, perfect volume mass able AdaptiveXD a while With line the conventionally elastomer improved the expanding proprietary to high for injection patent about CFO, over in in expensive our molded previously is of like James opportunity bring turn

James Haley

our of accounting of Thanks, and of I Rick. financial with summary of in reconciliations GAAP summary the referring and to our end the financial a On non-GAAP the data guidance know performance be our the the on to Please discuss financial see our included recent impact XXXX, updated for XXXX. private first will the XX, a is provide will will a quarter of we change XXXX. for metrics basis, warrants, for performance you filed appendix. first slide quarter

We redemption quarter $XX.X revenue XXXX, positive out quarter $X.X XXXX. quarter margin the gross over improvement toward are shipments. negative of our our well the organizations. the million of as Non-GAAP of XXXX, quarter million manufacturing EnvisionTEC customer of product a adjusted XXXX company quarter from $XX.X Metal business. XXX% in as the ahead. the $X.X beginning which core first March with adding net to of equivalents profit $XXX $X.X from pleased of in to as also at to and versus of fourth an represents We of XX, sequentially XX% balance acquisition, cash, grew employees exciting negative the today, to billion The due position completing loss quarter overhead a Increase XXX support last operations XXXX. public was G&A ended a primarily The the XXX of as first by XXXX. and the due we right to million sharp our a in short-term over sheet, products, time XXXX. $X.X million well Desktop acquisition as up operating increase million the cash investments capitalized the up first cash in the This quarter to was the investments $XXX the million up expenses first outstanding as with proceeds. year, from increased mix We with as includes warrants first improvement in $XX.X report opportunity our well including from company first higher and during associated in in public revenue of was EBITDA and the Adjusted scale in quarter, shift of million driven the the metal all the costs EBITDA EnvisionTEC for was in for related acceleration team quarter talent this in was million, negative

subsequent Moving to XX, the assumed change a record warrants in the new the with by adjusting these the April a warrants gain non-cash in accounting. private value the fair we to combination fair of placement change statement guidance XXXX, accounting Pursuant value business liability liability released the operations. loss non-operating change or in to the historical for for SEC of recording in warrants on in the any

outstanding not As market is warrants private filed impact is these a result Since March for in or of days this historical by accounting the an exercised this X, morning, all our placement does reflecting nature. strictly future valuation. related also business changes. only investment impact were change, we and opportunity, change XXXX XX prospects XXXX, The amended

we revenue in generate Finally, to moving $XXX are million expectation year the in full reiterating our of XXXX. our to on excess guidance,

of an to throughout run growth $XXX the We year continue annualized rate million quarterly see to to sequential expect exit XXXX. and with plan

we that, million where negative of our business, Ric. outside Health, $XX over opportunities, This in reflects areas see updated investments our of to I business. growth We to are in including EBITDA range will and $XX updating million. Desktop organic the With to AdaptiveXd and EnvisionTEC turn back our call increased the adjusted guidance outlook be

Ric Fulop

to to you, strategic year. acceleration, expanded strong growth and during we momentum our We question, end manufacturing, Thank Session products other the of parts. a in second we're inorganic decisions our high-volume exciting the optimistic share for sequential core half the P-XX very will long-term our AM And not solutions start I'm year, track by to I'm capabilities. our to additional opportunities. well use delivering Question-and-Answer shipping in and positioned have have solutions achieve launch pleased best material making resources of building and call I systems, on and creation. capitalizing to acquisitions with in as the open the integrate recent company start added James. the capture We're about and confident, portfolio portfolio business for remain value we that, With X.X operator. focused positioning fast

Operator

Thank you.

[Operator question now begin comes the go first will Stifel. question-and-answer Our Noelle ahead. Dilts We session. from Instructions] from Please

Noelle Dilts

Hi guys. Good afternoon.

James Haley

Hello.

Ric Fulo

how Noelle, you? Hi, are

Noelle Dilts

to a of Great. that you're you you're and just action chain logistics. in about could challenges taking of the you. was Thank in I sort Hi. also of potential industry And you're some down then There's what seeing on, seeing what hoping And supply terms comment there. been any of lot talk kind the today. avoid about, if issues the line?

Ric Fulo

and won't don't be it, monitor that ensure we being about we have trying we want. to to at source are the And we able we that, proactive something that very It's absolutely. closely. Yeah, scales components

chips going maybe quarters. not our curve could issue in not that to expect shortages. anticipation been the have ensure future, planning the some or area pretty are products, we in numbers our that the be of of given issue. best changes We it's be And one, to the closely. don't an DLP affect monitor I putting actually be and our made that to But in one an has on some future But quick it in place. on that it guess, ahead issue an we we're we of doing

to that pretty is feel that going us. we far, not so So, good impact

Noelle Dilts

And then great. obviously,… Okay,

Ric Fulo

Yeah.

Noelle Dilts

uptake Nice there.

Ric Fulop

give the lot production this is are that difficulties talk things By customers. this chain this types are in of is come therefore with the up, like a solutions They excited adopt chain the way, inflation are of and manufacturing about coming of a impairments to is and additive in to when things one mass them that reason supply that large that supply we horizon flexibility major who flexibility facing a just critical some our given very because of day, COVID I a many our from things huge got had India and situation example, India that excited freedom for that for has of is in suppliers issues with that other a CEO they're the have customers. issue the delivering was in about company the of been technology, using approaches he's there.

I enables this supply lot they'll So, on a react of to would say quicker. a you that put redundancy and technology is

-- as tailwinds. we see it it's So

the we on numbers only expect On ability an be horizon, the are our products our is side deliver chip thing but impairment that to to year. on such our this this the don't

Noelle Dilts

I have then was And Great. wondering sorry do revenue materials me. for the quarter side, you question mix contributions one of the versus Okay. in housekeeping EnvisionTEC? from the in organic -- --somewhere

James Haley

So today. call, disclosing XX% come last still did organic something our trending direction. we DM that not would is indicate expected from revenues and of to we're roughly I in that we inorganic, On XX% and that our say we're from

But our this think changed at not we'll I see there'll quarter-to-quarter, variances. be has point. what year some really full view

Noelle Dilts

And forward? far could cross -- success momentarily then really portfolio there in having and more you're Ric, you're about you of you've you're last, the of on, just terms how Okay. expanded Thanks. so or thinking just acquisitions, the this look expanded as seeing you portfolio selling, through as kind touch what leveraging

Ric Fulop

Absolutely.

our seeing types solutions to excited that that think printing we cross where we're the customers those more Xtreme and scale products dental elastomers metal like a integrated there a we're work super our I good in on we in. ability industrial about channel and see XK us. the with have And I high we would solutions adopting jewelry for the say, very towards can world EnvisionTEC vertically elastomers on things targeted head presence largest at market customers solutions a bring help well. in also throughput of are solutions DLP success new had on in where was as with bring industries both, the well success as performance have the a But print direct. sell that's doing that bringing we those now. I'm long to globally great printed the as And direct and print to now

those metal and same mass systems buy that of the production. combining it's So printing customers type for

all throughout. these you're see going So I types winning products combination. it's think And to of a

this related printed imagine being elastomers together in part. wood then used that a could products Forust You with go furniture would

together an that's metal automotive components. would You could type same in them printed component customer of that the in see go adopting

in definitely comprehensive they from have there's a provide the good well. the that portfolio more customers So I And channel really think as our to now solutions. these benefits fact ability appreciate

So it's all synergistic throughout.

James Haley

the one thing some balance core to think the product think I of Metal. the those starting though, is momentum beyond they have I Desktop sheet on to referenced, of would I the selling cross one we're really EnvisionTEC add you where things with of of some full sort lines, get that now of

legacy capital, -- there. But well Rick Fortune been of our as as the all sort growth a on has with customers firepower EnvisionTEC. to going your we're number of with I continue resell see wasn't for opportunities really So think calls XXX now without easy our as true marquee to lots marketing of

Noelle Dilts

Great. much. so Thanks

Operator

The Shannon comes Cross Cross from ahead. next question go from Please Research.

Shannon Cross

solid is And about what P-X bit pre-buying a numbers how who interest you is can question. the -- put and that you customers Ric, it P-XX? out P-XX? very Hi. their the talk buying also, taking pipeline my that, something you much that look like maybe, the level feel? Thank hearing pipeline -- the you. last since, then what for and is from you're Has our they're and purchasing increased are for Thank

Ric Fulop

to at you. interest Shannon. product from high. an doing extremely is time Great hear you, all well. P-X is That Thank

lieu it making P-XX, -- product. for as mass in can good it's used of It of production very used while parts. a are We many not a is be

qualify translate P-XX. perfectly components use to settings that all to a primarily the of and technology You

like customers any could strong, customers continues product. materials get jewelry, But have many a you very particular be do on be that. plants I quick for to very shade say, would And types -- is it very, our well like we type it previous three that for the they our execute with the hour. of discussed with in that. is talk you seconds some three of volume like, got our say system that, of a half lot of And would really buying it to it's -- in see of the plants. demand a excited would an people very grow of is schedule. a I product production. we're we've a would that say the high gold P-X box -- demand or that let's see excited look markets And high ordered under the benefits and in in that will under P-XX into -- slowdown Most are P-X, and seconds can the that it's -- of we breakthrough is build throughput, don't or calls, to of for a you've that -- have particular to really layer visit second One really -- program We're as out example, number of P-XX number I of the get large of year, with continually well. things skews is you that solution and who working then in a that and large at just best

Just could to week, this it's large it company business. talking Fortune earlier very, very -- a be where XXX

that still year. we're about the So later to foundation And market future lot of this as I growth. getting see our excited that product of the really a

Shannon Cross

quarter I'm the trying where are the And going guess, EBITDA your kind metrics the is just are and you're determining you be going increase ROI where to every investment see at? understand, looking in increased mean, we to something investment, this I loss put dollars? if process? I EBITDA losses. what how What's so to increase there’re you of

the your success do of like, how that's investments? determine if case, So we the

Ric Fulop

we it, look use Absolutely, these think doing, the And in in has end -- We part a strategic. a view have do term are -- that at I share mass rate. we production run. our of long hurdle look in the long I investors large everything we're mean, company getting at terms in

to that M&A profitable would is faster. have And impact. the bit, are think some -- EBITDA, I an businesses our would At it of want them being we strategic and grow some also we are maybe of acquire a or That doing is So, if we're and able made more there to be it's little sort same to -- reasons. company network, profitable, the yet. technology transition would there's we strategic our we'd the that pursue, make profitable, buy the when we if are time, say, in that fluctuate, have you company going a things for either that fold the may put hasn't not to a them a in transactions and we that that would we

we're to billion that So gas get faster you I just try expect out target. to would year. year, and initially is, went public, we we what initial do last And when we to we expect say, a gave timeline our trying the be within in to -- for put than to accelerate our timeframe this we $X

And doing of view billion so, digit $XXXX that everything share by the is of a having of decade. we're double the a with market end

or the whether a into that side, integration material on business parts we particular vertical would that acquire. on pursue into a side, engine transaction it's or we So, the print may advanced technology

hurdle getting with things So, these a team a the rate, background returns that in with investing has sure, at, out. and we are look here for all

And excited at got exercise. we've look a do are as financial going we that we the So, activities it on. different about

James Haley

I that for million. of XX well. Yeah, A was portion by we though would add, too, sort organic one the thing range as is increasing investments of Shannon, that

to materials. We new continue qualify

to focus driving margin. continue on that We

here margin. saw One when transaction. you time everything we're we back to doing for that. up non-GAAP accelerate that basis, positive on the of you can amortization things mean, I a a for We're the the first is the EnvisionTEC

returns, help. So if there are outsized we can

it investments, lot start these sort two to organic, I a really it's integrate you mean, three the or when to year it. We’re to go a times, payback see for organic going of dividends. before we're looking of really be at

On mean, the do trying going transactions, is we and think increase Rick's they're the I everything what to the share horizon. But I margins. be point and improve to the do side, really, can M&A large to revenues costly. creative there's we're on very market capture some to

Operator

go next comes question [Operator from Greg Group. ahead. Instructions] Please Palm The Craig-Hallum from Capital

Danny Eggerichs

for Eggerichs on Danny this questions. is actually Greg today. taking Thanks Hi guys, the

Ric Fulop

Our pleasure.

Danny Eggerichs

customer there, where from? Appreciate expansion QX. base those from weakness in the in anything on end any can you maybe guess quarter color and like kind or customers an market are the standpoint, accelerating of strength of the the I give coming

Ric Fulop

markets segment segment-by-segment-by and -- growing the market at growing a tipping lot of going across the a huge think and in there's -- a I is it's that's you added can very term I the growing class mean, is, in growing faster than that we it of way some markets are think by whole lab a parts point printed. this that there's is look one and share, truth dentists. market. on today, it -- year And where over billion $XX faster to most we analog of market. at quickly a I worth wall fast got the think the from of be opportunities, if best is sold way of growing we've that writing's And of the every co-apps view, you go But where is significant markets long at is we're to it's and that as the around very materials, are XX% we're but

So I'd for where from -- thing the to products be happening same say variety to reception. see design got used These gas, in horizontal can we've of oil be used technologies and great of the we that adoption are machine applications. our other metal everything automotive, can

market do of we printing. XD flexibility able that we've manufacturing at it and general over tool. now a all of it's go to it the cost benefits can the in you terms are it as years, has and the compete talked you. throughput effectively So with conventional to it gives purpose And with that sorts do But

Danny Eggerichs

on -- is over see to looks it. a at give what be that -- there filing maybe same of you geographic Got I from That's maybe switching Americas on can growth behind in anything the And you're just as pretty just that across think basis seeing helpful. lot a looking somewhere COVID there and didn't a seeing Americas I might good that right they you're like then recovery, looks and of the kind now? the America, like like lagging market

Ric Fulop

Yeah.

that's think accurate. I

COVID saw for happened our from they than we all you -- pipeline in we growing I think and I on some I was globally we’ve a have demand we was pipeline -- that view, point but other QX. mean, reflection last think Europe QX and closings primarily -- But of see product that of products. stronger product are minute, continents,

James Haley

Yes.

Ric Fulop

It's pretty good.

James Haley

Definitely QX feels definitely though strong like It our in is in these nature. pipeline variances short-term very are just EMEA. many of looking

There's just highlighted challenges movement a of with lot as whatnot. again, and you the there's some now. right I -- of it just COVID think

Danny Eggerichs

Okay. Got it.

Ric Fulop

activities on term -- the trends. longer More

James Haley

hub. even mean, I now, adopted near-term sorry as baseline I estimate, in Right XX% we a broadly itself Asia. Over XX% XX% leaving more I’m XX, -- manufacturing major though US, time, could is XX, our Asia Europe think You see out this Asia. XX -- we’re is technology and gets

Danny Eggerichs

update the for recovery. quarter, traction one? seeing the on that I on if maybe that, Okay. sneak you're could was of I shop in being last Got you think helpful. There -- by in kind still one mentioned And it. COVID, That's impacted system, also more here that any

Ric Fulop

don't I strong, And but a see poor we is that of any of series for products of we've now the new that as applications very product major to get think in for demand impairment it volume. now. there with started the the traction COVID out higher

office Boston, kind back as we're think like the usual. are state. working much out very This it in more at normal a of of -- we're least and I is feels things to business

James Haley

and that, more normal we sort where things halfway of definitely, Ric good, this Definitely QX we and all to wrapping Yeah. pretty really would seen back today, any feeling feel through I point point. little in challenging. were as we're earlier the overhang QX. up still not a I QX, sit at COVID say

Danny Eggerichs

questions. Okay. taking Thanks for the

Ric Fulop

you. Thank

Operator

the for Chairman session. I'd question-and-answer turn your remarks. Fulop, back to over conference like of Metal to concludes This Ric Desktop closing and Founder CEO,

Ric Fulop

quarter continued you to want Thank we as you. want going the as Metal. Desktop Metal employees interest to And of we the we always, call progress their months. I and Again, Desktop look on XXX forward XXXX thank updating all especially thank the joining more everybody dedication. as well in the passion very to few in that your excited a in with and for all And today, for have second than in

Operator

The Thank today's now concluded. for attending you presentation. conference has

may You now disconnect.