Xometry Reports Second Quarter 2022 Results

·22 min read
Xometry, Inc.
Xometry, Inc.
  • Marketplace growth accelerates: Revenue increases 89% year-over-year driven by accelerating marketplace growth as well as supplier services including Thomas.

  • Strong gross margin and gross profit trends driven by AI pricing/supplier selection and additional supplier services: Gross profit up 217% year-over-year. Marketplace gross profit increased 25% quarter-over-quarter.

  • Expect strong growth for balance of 2022: We expect revenue growth of 81-83% to $395-$400 million, driven by increasing active buyers and suppliers, added supplier services and revenue synergies with Thomas.

  • Expect further operating leverage: Q2 Adjusted EBITDA loss of $8.3 million, a $4.4 million quarter-over-quarter improvement. We expect operating leverage to further improve in the second half of 2022. We expect to be Adjusted EBITDA positive for 2023.

  • Robust marketplace and supplier service product expansion: Launched the Industrial Buying Engine™ (IBE) to digitize sourcing on Thomasnet including instant quote and on platform request-for-quote capability. Launched Workcenter, a cloud-based manufacturing execution system for suppliers, which also will be open to third-party developers to build integrated applications.

ROCKVILLE, Md., Aug. 10, 2022 (GLOBE NEWSWIRE) -- Xometry, Inc. (NASDAQ:XMTR), the global online marketplace connecting enterprise buyers with suppliers of manufacturing services, today reported financial results for the second quarter ended June 30, 2022.

“In Q2 2022, Xometry delivered accelerated marketplace growth, robust expansion in marketplace gross margin and significant operating leverage quarter-over-quarter,” said Randy Altschuler, Xometry’s CEO. “We introduced important new products including the Industrial Buying Engine and Workcenter providing integrated solutions for our buyers and suppliers. Although we are still in the early innings of the secular digitization of the manufacturing industry, Xometry has become the digital marketplace connecting buyers with suppliers. With our supplier network expanding domestically and abroad, we are playing an instrumental role in helping create locally resilient supply chains irrespective of macro events.”

Second Quarter 2022 Financial Highlights

  • Total revenue for the second quarter 2022 was $95.6 million an increase of 89% year-over-year.

  • Marketplace revenue for the second quarter of 2022 was $75.6 million.

  • Supplier services revenue for the second quarter of 2022 was $20.0 million.

  • Total gross profit for the second quarter 2022 was $37.7 million an increase of 217% year-over-year.

  • Marketplace Active Buyers increased 40% from 23,942 as of June 30, 2021 to 33,491 as of June 30, 2022.

  • Marketplace Accounts with Last Twelve-Months Spend of at least $50,000 increased 76% from 508 as of June 30, 2021 to 894 as of June 30, 2022.

  • Marketplace Percentage of Revenue from Existing Accounts was 95%.

  • Net loss attributable to common stockholders was $16.6 million for the quarter, an increase of $4.3 million year-over-year, and Adjusted EBITDA was negative $8.3 million for the quarter, reflecting an decrease of $0.8 million year-over-year. Net loss for Q2 2022 includes $5.5 million of stock-based compensation.

  • Cash and cash equivalents and marketable securities were $356.7 million as of June 30, 2022.

Second Quarter 2022 Business Highlights

  • Hosted our first Xometry Summit “The Xometry Marketplace: Powering Tomorrow’s Supply Chain” on June 29th. The virtual event featured speakers from leading companies and manufacturers and focused on new technologies that are accelerating the digitization of all aspects of manufacturing – from the procurement process, to the ways in which small- and medium manufacturers run their businesses. A replay of the event is available at live.xometry.com.

  • Launched the Industrial Buying Engine (IBE) which helps customers source and purchase from the more than 500,000 suppliers on Thomasnet.com. The IBE provides buyer choice including instant quote “buy-it-now” functionality and digitizes the old and time-consuming request-for-quote process. Through the Industrial Buying Engine, buyers can request quotes for products and services from suppliers.

  • Introduced Workcenter (WC) which gives suppliers a one-stop view into all of their Xometry and non-Xometry work. A cloud-based manufacturing execution system, Workcenter brings the job board and financial services into one, easy-to-use platform. With Workcenter, shop owners can build and manage workflows for all their projects, including those from non-Xometry customers, and also quote new projects from Xometry and Thomas.

  • Opened up the API-enabled Workcenter to third-party developers, establishing Workcenter as an emerging platform for innovators seeking to deliver an ecosystem of interconnected solutions for suppliers.

  • Extended Xometry quoting capabilities into new categories based on the data and suppliers from the Thomas network. The new processes include laser tube cutting and tube bending.

  • Began taking orders from Chinese customers in April and expanded the supplier base on the local manufacturing network.

Financial Summary
(In thousands, except per share amounts)

 

 

For the Three Months
Ended June 30,

 

 

 

 

 

For the Six Months
Ended June 30,

 

 

 

 

 

 

2022

 

 

2021

 

 

% Change

 

 

2022

 

 

2021

 

 

% Change

 

 

 

(unaudited)

 

 

 

 

 

(unaudited)

 

Consolidated

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenue

 

$

95,615

 

 

$

50,589

 

 

 

89

%

 

$

179,286

 

 

$

94,510

 

 

 

90

%

Gross profit

 

 

37,696

 

 

 

11,875

 

 

 

217

%

 

 

70,635

 

 

 

21,710

 

 

 

225

%

Net loss attributable to common stockholders

 

 

(16,553

)

 

 

(12,264

)

 

 

(35

)%

 

 

(36,565

)

 

 

(22,765

)

 

 

(61

)%

EPS—basic and diluted

 

 

(0.35

)

 

 

(1.46

)

 

 

76

%

 

 

(0.78

)

 

 

(2.79

)

 

 

72

%

Adjusted EBITDA(1)

 

 

(8,300

)

 

 

(9,073

)

 

 

9

%

 

 

(21,026

)

 

 

(17,882

)

 

 

(18

)%

Non-GAAP net loss(1)

 

 

(8,447

)

 

 

(9,538

)

 

 

11

%

 

 

(20,974

)

 

 

(18,800

)

 

 

(12

)%

Non-GAAP EPS-basic and diluted(1)

 

 

(0.18

)

 

 

(1.14

)

 

 

84

%

 

 

(0.45

)

 

 

(2.30

)

 

 

80

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Marketplace

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenue

 

$

75,598

 

 

 

 

 

 

 

 

$

140,013

 

 

 

 

 

 

 

Cost of revenue

 

 

53,492

 

 

 

 

 

 

 

 

 

100,233

 

 

 

 

 

 

 

Gross Profit

 

$

22,106

 

 

 

 

 

 

 

 

$

39,780

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Supplier services

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenue

 

$

20,017

 

 

 

 

 

 

 

 

$

39,273

 

 

 

 

 

 

 

Cost of revenue

 

 

4,427

 

 

 

 

 

 

 

 

 

8,418

 

 

 

 

 

 

 

Gross Profit

 

$

15,590

 

 

 

 

 

 

 

 

$

30,855

 

 

 

 

 

 

 

(1)   These non-GAAP financial measures, and reasons why we believe these non-GAAP financial measures are useful, are described below and reconciled to their most directly comparable GAAP measures in the accompanying tables.

Key Operating Metrics(2):

 

 

As of June 30,

 

 

 

2022

 

 

2021

 

 

%
Change

 

 

 

 

 

 

 

 

 

 

 

Active Buyers(3)

 

 

33,491

 

 

 

23,942

 

 

 

40

%

Percentage of Revenue from Existing Accounts(3)

 

 

95

%

 

 

95

%

 

 

%

Accounts with Last Twelve-Months Spend of at Least $50,000(3)

 

 

894

 

 

 

508

 

 

 

76

%

 

 

 

 

 

 

 

 

 

 

(2)   These key operating metrics are for Marketplace.
(3)   Amounts shown for Active Buyers and Accounts with Last Twelve-Months Spend of at Least $50,000 are as of June 30, 2022 and 2021, and Percentage of Revenue from Existing Accounts is presented for the quarters ended June 30, 2022 and 2021.

Financial Guidance and Outlook:

 

 

Q3 2022

 

 

FY 2022

 

 

 

(in millions)

 

 

 

Low

 

 

High

 

 

Low

 

 

High

 

Revenue

 

$

102.0

 

 

$

104.0

 

 

$

395.0

 

 

$

400.0

 

Adjusted EBITDA

 

$

(7.0

)

 

$

(6.0

)

 

$

(33.0

)

 

$

(31.0

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Use of Non-GAAP Financial Measures

To supplement its consolidated financial statements, which are prepared and presented in accordance with generally accepted accounting principles in the United States of America (“GAAP”), Xometry, Inc. ("Xometry", the "Company", "we" or "our") uses Adjusted EBITDA and Non-GAAP net loss and Non-GAAP Earnings Per Share, which are considered non-GAAP financial measures, as described below. These non-GAAP financial measures are presented to enhance the user’s overall understanding of Xometry’s financial performance and should not be considered a substitute for, nor superior to, the financial information prepared and presented in accordance with GAAP. The non-GAAP financial measures presented in this release, together with the GAAP financial results, are the primary measures used by the Company’s management and board of directors to understand and evaluate the Company’s financial performance and operating trends, including period-to-period comparisons, because they exclude certain expenses and gains that management believes are not indicative of the Company’s core operating results. Management also uses these measures to prepare and update the Company’s short and long term financial and operational plans, to evaluate investment decisions, and in its discussions with investors, commercial bankers, equity research analysts and other users of the Company’s financial statements. Accordingly, the Company believes that these non-GAAP financial measures provide useful information to investors and others in understanding and evaluating the Company’s operating results in the same manner as the Company’s management and in comparing operating results across periods and to those of Xometry’s peer companies. In addition, from time to time we may present adjusted information (for example, revenue growth) to exclude the impact of certain gains, losses or other changes that affect period-to-period comparability of our operating performance.

The use of non-GAAP financial measures has certain limitations because they do not reflect all items of income and expense, or cash flows, that affect the Company’s financial performance and operations. Additionally, non-GAAP financial measures do not have standardized meanings, and therefore other companies, including peer companies, may use the same or similarly named measures but exclude or include different items or use different computations. Management compensates for these limitations by reconciling these non-GAAP financial measures to their most comparable GAAP financial measures in the tables captioned “Reconciliations of Non-GAAP Financial Measures” included at the end of this release. Investors and others are encouraged to review the Company’s financial information in its entirety and not rely on a single financial measure.

Key Terms for our Key Metrics and Non-GAAP Financial Measures

Marketplace revenue: includes the sale of parts and assemblies.

Supplier service revenue: includes the sales of advertising on Thomasnet, marketing services, supplies, financial service products and other fintech products.

Adjusted earnings before interest, taxes, depreciation and amortization (Adjusted EBITDA) as net income (loss) excluding interest income (expense), income tax (expense) benefit, and certain other non-cash or non-recurring items impacting net loss from time to time, principally comprised of depreciation and amortization, stock-based compensation, charitable contributions of common stock, income from unconsolidated joint venture, impairment charges and acquisition and other adjustments not reflective of the Company's ongoing business, such as adjustments related to purchase accounting, the revaluation of contingent consideration and transaction costs.

Non-GAAP net loss: The Company has included non-GAAP net loss, which is our net loss adjusted for stock-based compensation expense, depreciation and amortization, amortization of discount and issuance costs on convertible notes, unrealized loss on marketable securities, charitable contributions of common stock, impairment charges and acquisition and other adjustments not reflective of the Company's ongoing business, such as adjustments related to purchase accounting, the revaluation of contingent consideration and transaction costs (collectively, “non-GAAP net loss”).

Non-GAAP Earnings Per Share (Non-GAAP EPS): The Company calculates Non-GAAP net income (loss) per share as Non-GAAP net income (loss) divided by weighted average number of Class A common stock outstanding.

Management believes that the exclusion of certain expenses and gains in calculating Adjusted EBITDA and Non-GAAP net loss and Non-GAAP EPS provides a useful measure for period-to-period comparisons of the Company’s underlying core revenue and operating costs that is focused more closely on the current costs necessary to operate the Company’s businesses, and reflects its ongoing business in a manner that allows for meaningful analysis of trends. Management also believes that excluding certain non-cash charges can be useful because the amounts of such expenses is the result of long-term investment decisions made in previous periods rather than day-to-day operating decisions.

Active Buyers: The Company defines “buyers” as individuals who have placed an order to purchase on-demand parts or assemblies on our marketplace. The Company defines Active Buyers as the number of buyers who have made at least one purchase on our marketplace during the last twelve months.

Percentage of Revenue from Existing Accounts: The Company defines “accounts” as an individual entity, such as a sole proprietor with a single buyer or corporate entities with multiple buyers, having purchased at least one part on our marketplace. The Company defines an existing account as an account where at least one buyer has made a purchase on our marketplace.

Accounts with Last Twelve-Month Spend of At Least $50,000: The Company defines Accounts with Last Twelve-Month Spend of At Least $50,000 as an account that has spent at least $50,000 on our marketplace in the most recent twelve-month period.

About Xometry

Xometry (XMTR) powers the industries of today and tomorrow by connecting the people with big ideas to the manufacturers who can bring them to life. Xometry’s digital marketplace gives manufacturers the critical resources they need to grow their business while also making it easy for buyers at Fortune 1000 companies to tap into global manufacturing capacity and create locally resilient supply chains. Learn more at www.xometry.com or follow @xometry.

Conference Call and Webcast Information

The Company will host a conference call and webcast to discuss the results at 8:30 a.m. ET (5:30 a.m. PT) on August 10, 2022. In addition to issuing a press release, the Company will post an earnings presentation to its investor website at investors.xometry.com.

Xometry, Inc. Second Quarter 2022 Earnings Presentation and Conference Call

Cautionary Information Regarding Forward-Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which statements involve substantial risks and uncertainties. Forward-looking statements generally relate to future events or our future financial or operating performance. In some cases, you can identify forward-looking statements because they contain words such as “may,” “will,” “should,” “expect,” “plan,” “anticipate,” “could,” “would,” “intend,” “target,” “project,” “contemplate,” “believe,” “estimate,” “predict,” “potential” or “continue” or the negative of these words or other similar terms or expressions that concern our expectations, strategy, plans or intentions. Forward-looking statements in this press release include, but are not limited to, our beliefs regarding our financial position and operating performance, including our outlook and guidance for the third quarter and full year 2022, certain expected synergies from recent acquisitions and demand for our marketplaces in general. Our expectations and beliefs regarding these matters may not materialize, and actual results in future periods are subject to risks and uncertainties that could cause actual results to differ materially from those projected, including risks and uncertainties related to: competition, managing our growth, financial performance, including the impact of the COVID-19 pandemic on our business and operations and our ability to forecast our performance due to our limited operating history and the COVID-19 pandemic, investments in new products or offerings, our ability to attract buyers and sellers to our marketplace, legal proceedings and regulatory matters and developments, any future changes to our business or our financial or operating model, and our brand and reputation. The forward-looking statements contained in this press release are also subject to other risks and uncertainties that could cause actual results to differ from the results predicted, including those more fully described in our filings with the SEC, including our Annual Report on Form 10-K for the period ended December 31, 2021. All forward-looking statements in this press release are based on information available to Xometry and assumptions and beliefs as of the date hereof, and we disclaim any obligation to update any forward-looking statements, except as required by law.

Investor Contact:

Media Contact:

 

 

Shawn Milne
VP Investor Relations
240-335-8132
shawn.milne@xometry.com

Matthew Hutchison
Corporate Communications for Xometry
415-583-2119
matthew.hutchison@xometry.com

 

 

Xometry, Inc. and Subsidiaries
Condensed Consolidated Balance Sheets
(In thousands, except share and per share data)

 

 

June 30,

 

 

December 31,

 

 

 

2022

 

 

2021

 

 

 

(unaudited)

 

 

(audited)

 

Assets

 

 

 

 

 

 

Current assets:

 

 

 

 

 

 

Cash and cash equivalents

 

$

46,833

 

 

$

86,262

 

Marketable securities

 

 

309,830

 

 

 

30,465

 

Accounts receivable, less allowance for doubtful accounts of $1.5 million as of June 30, 2022 and $0.8 million as of December 31, 2021

 

 

43,991

 

 

 

32,427

 

Inventory

 

 

1,727

 

 

 

2,033

 

Prepaid expenses

 

 

7,724

 

 

 

6,664

 

Other current assets

 

 

4,118

 

 

 

5,580

 

Total current assets

 

 

414,223

 

 

 

163,431

 

Property and equipment, net

 

 

13,443

 

 

 

10,287

 

Operating lease right-of-use assets

 

 

24,029

 

 

 

27,489

 

Investment in unconsolidated joint venture

 

 

4,301

 

 

 

4,198

 

Intangible assets, net

 

 

41,147

 

 

 

41,736

 

Goodwill

 

 

259,971

 

 

 

254,672

 

Other assets

 

 

627

 

 

 

773

 

Total assets

 

$

757,741

 

 

$

502,586

 

Liabilities and stockholders’ equity

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

Accounts payable

 

$

14,175

 

 

$

12,718

 

Accrued expenses

 

 

29,157

 

 

 

30,905

 

Contract liabilities

 

 

10,725

 

 

 

7,863

 

Operating lease liabilities, current portion

 

 

5,723

 

 

 

5,549

 

Finance lease liabilities, current portion

 

 

 

 

 

2

 

Total current liabilities

 

 

59,780

 

 

 

57,037

 

Operating lease liabilities, net of current portion

 

 

14,053

 

 

 

16,920

 

Convertible notes

 

 

278,972

 

 

 

 

Income taxes payable

 

 

1,532

 

 

 

1,468

 

Other liabilities

 

 

1,789

 

 

 

1,678

 

Total liabilities

 

 

356,126

 

 

 

77,103

 

Commitments and contingencies

 

 

 

 

 

 

Stockholders’ equity

 

 

 

 

 

 

Preferred stock, $0.000001 par value. Authorized; 50,000,000 shares; zero shares issued and outstanding as of June 30, 2022 and December 31, 2021, respectively

 

 

 

 

 

 

Class A Common stock, $0.000001 par value. Authorized; 750,000,000 shares; 44,545,080 shares and 43,998,404 shares issued and outstanding as of June 30, 2022 and December 31, 2021, respectively

 

 

 

 

 

 

Class B Common stock, $0.000001 par value. Authorized; 5,000,000 shares; 2,676,154 shares issued and outstanding as of June 30, 2022 and December 31, 2021, respectively

 

 

 

 

 

 

Additional paid-in capital

 

 

610,331

 

 

 

597,641

 

Accumulated other comprehensive income

 

 

85

 

 

 

149

 

Accumulated deficit

 

 

(209,906

)

 

 

(173,341

)

Total stockholders’ equity

 

 

400,510

 

 

 

424,449

 

Noncontrolling interest

 

 

1,105

 

 

 

1,034

 

Total equity

 

 

401,615

 

 

 

425,483

 

Total liabilities and stockholders’ equity

 

$

757,741

 

 

$

502,586

 

 

 

 

 

 

 

 

Xometry, Inc. and Subsidiaries
Unaudited Condensed Consolidated Statements of Operations and Comprehensive Loss
(In thousands, except share and per share amounts)

 

 

Three Months Ended
June 30,

 

 

Six Months Ended
June 30,

 

 

 

2022

 

 

2021

 

 

2022

 

 

2021

 

 

 

 

 

 

 

 

 

 

 

Revenue

 

$

95,615

 

 

$

50,589

 

 

$

179,286

 

 

$

94,510

 

Cost of revenue

 

 

57,919

 

 

 

38,714

 

 

 

108,651

 

 

 

72,800

 

Gross profit

 

 

37,696

 

 

 

11,875

 

 

 

70,635

 

 

 

21,710

 

Sales and marketing

 

 

18,145

 

 

 

8,858

 

 

 

37,430

 

 

 

16,422

 

Operations and support

 

 

12,180

 

 

 

5,489

 

 

 

24,538

 

 

 

9,820

 

Product development

 

 

7,796

 

 

 

4,091

 

 

 

15,085

 

 

 

7,755

 

General and administrative

 

 

15,057

 

 

 

5,238

 

 

 

28,017

 

 

 

9,562

 

Impairment of long-lived assets

 

 

119

 

 

 

-

 

 

 

119

 

 

 

-

 

Total operating expenses

 

 

53,297

 

 

 

23,676

 

 

 

105,189

 

 

 

43,559

 

Loss from operations

 

 

(15,601

)

 

 

(11,801

)

 

 

(34,554

)

 

 

(21,849

)

Other (expenses) income

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense

 

 

(1,209

)

 

 

(350

)

 

 

(1,978

)

 

 

(681

)

Interest and dividend income

 

 

474

 

 

 

-

 

 

 

570

 

 

 

-

 

Other expenses

 

 

(482

)

 

 

(113

)

 

 

(1,444

)

 

 

(235

)

Income from unconsolidated joint venture

 

 

269

 

 

 

-

 

 

 

303

 

 

 

-

 

Total other expenses

 

 

(948

)

 

 

(463

)

 

 

(2,549

)

 

 

(916

)

Loss before income taxes

 

 

(16,549

)

 

 

(12,264

)

 

 

(37,103

)

 

 

(22,765

)

Benefit for income taxes

 

 

-

 

 

 

-

 

 

 

559

 

 

 

-

 

Net loss

 

 

(16,549

)

 

 

(12,264

)

 

 

(36,544

)

 

 

(22,765

)

Net income attributable to noncontrolling interest

 

 

4

 

 

 

-

 

 

 

21

 

 

 

-

 

Net loss attributable to common stockholders

 

$

(16,553

)

 

$

(12,264

)

 

$

(36,565

)

 

$

(22,765

)

Net loss per share, basic and diluted

 

$

(0.35

)

 

$

(1.46

)

 

$

(0.78

)

 

$

(2.79

)

Weighted-average number of shares outstanding used to compute
net loss per share, basic and diluted

 

 

47,074,246

 

 

 

8,390,088

 

 

 

46,932,702

 

 

 

8,158,753

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Comprehensive loss:

 

 

 

 

 

 

 

 

 

 

 

 

Foreign currency translation

 

$

14

 

 

$

(13

)

 

$

(14

)

 

$

17

 

Total other comprehensive (loss) income

 

 

14

 

 

 

(13

)

 

 

(14

)

 

 

17

 

Net loss

 

 

(16,549

)

 

 

(12,264

)

 

 

(36,544

)

 

 

(22,765

)

Comprehensive loss

 

 

(16,535

)

 

 

(12,277

)

 

 

(36,558

)

 

 

(22,748

)

Comprehensive income attributable to noncontrolling interest

 

 

37

 

 

 

-

 

 

 

71

 

 

 

-

 

Total comprehensive loss attributable to common stockholders

 

$

(16,572

)

 

$

(12,277

)

 

$

(36,629

)

 

$

(22,748

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Xometry, Inc. and Subsidiaries
Unaudited Condensed Consolidated Statements of Cash Flows
(In thousands)

 

 

Six Months Ended June 30,

 

 

 

2022

 

 

2021

 

Cash flows from operating activities:

 

 

 

Net loss

 

$

(36,544

)

 

$

(22,765

)

Adjustments to reconcile net loss to net cash used in operating activities:

 

 

 

 

 

 

Depreciation and amortization

 

 

3,807

 

 

 

1,487

 

Impairment of long-lived assets

 

 

119

 

 

 

-

 

Reduction in carrying amount of right-of-use asset

 

 

3,540

 

 

 

543

 

Stock based compensation

 

 

8,935

 

 

 

2,480

 

Non-cash interest expense

 

 

-

 

 

 

111

 

Revaluation of contingent consideration

 

 

434

 

 

 

-

 

Income from unconsolidated joint venture

 

 

(103

)

 

 

-

 

Donation of common stock

 

 

1,285

 

 

 

-

 

Unrealized loss on marketable securities

 

 

1,190

 

 

 

-

 

Non-cash income tax benefit

 

 

(559

)

 

 

-

 

Loss on sale of property and equipment

 

 

71

 

 

 

-

 

Amortization of deferred costs on convertible notes

 

 

781

 

 

 

-

 

Deferred taxes benefit

 

 

(2

)

 

 

-

 

Changes in other assets and liabilities:

 

 

 

 

 

 

Accounts receivable, net

 

 

(11,833

)

 

 

(6,874

)

Inventory

 

 

272

 

 

 

778

 

Prepaid expenses

 

 

(1,649

)

 

 

(5,270

)

Other assets

 

 

(3,861

)

 

 

500

 

Accounts payable

 

 

1,873

 

 

 

7,522

 

Accrued expenses

 

 

(2,041

)

 

 

(453

)

Contract liabilities

 

 

2,862

 

 

 

1,915

 

Lease liabilities

 

 

(2,773

)

 

 

(534

)

Net cash used in operating activities

 

 

(34,196

)

 

 

(20,560

)

Cash flows from investing activities:

 

 

 

 

 

 

Purchase of marketable securities

 

 

(280,559

)

 

 

-

 

Proceeds from sale of marketable securities

 

 

4

 

 

 

-

 

Purchases of property and equipment

 

 

(5,436

)

 

 

(2,748

)

Proceeds from sale of property and equipment

 

 

165

 

 

 

-

 

Net cash used in investing activities

 

 

(285,826

)

 

 

(2,748

)

Cash flows from financing activities:

 

 

 

 

 

 

Payments in connection with initial public offering

 

 

-

 

 

 

(524

)

Proceeds from stock options exercised

 

 

2,470

 

 

 

1,332

 

Proceeds from issuance of convertible notes

 

 

287,500

 

 

 

-

 

Costs incurred in connection with issuance of convertible notes

 

 

(9,309

)

 

 

-

 

Payments on finance lease obligations

 

 

(2

)

 

 

(6

)

Net cash provided by financing activities

 

 

280,659

 

 

 

802

 

Effect of foreign currency translation on cash and cash equivalents

 

 

(66

)

 

 

(17

)

Net decrease in cash and cash equivalents

 

 

(39,429

)

  

 

(22,523

)

Cash and cash equivalents at beginning of the period

 

 

86,262

 

 

 

59,874

 

Cash and cash equivalents at end of the period

 

$

46,833

 

 

$

37,351

 

Supplemental cash flow information:

 

 

 

 

 

 

Cash paid for interest

 

$

-

 

 

$

659

 

Non-cash investing activity:

 

 

 

 

 

 

Non-cash purchase of property and equipment

 

 

-

 

 

 

(150

)

Non-cash financing activity:

 

 

 

 

 

 

Non-cash amounts incurred in connection with initial public offering

 

 

-

 

 

 

(25,938

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Xometry, Inc. and Subsidiaries
Unaudited Reconciliations of Non-GAAP Financial Measures
(In thousands)

 

 

For the Three Months
Ended June 30,

 

 

For the Six Months
Ended June 30,

 

 

 

2022

 

 

2021

 

 

2022

 

 

2021

 

Adjusted EBITDA:

 

 

 

 

 

 

 

 

 

 

 

 

Net loss

 

$

(16,549

)

 

$

(12,264

)

 

$

(36,544

)

 

$

(22,765

)

Add (deduct):

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense, interest and dividend income and other expenses

 

 

1,217

 

 

 

463

 

 

 

2,852

 

 

 

916

 

Depreciation and amortization expense(1)

 

 

2,008

 

 

 

753

 

 

 

3,807

 

 

 

1,487

 

Income tax benefit

 

 

 

 

 

 

 

 

(559

)

 

 

 

Amortization of lease intangible

 

 

333

 

 

 

 

 

 

666

 

 

 

 

Stock-based compensation(2)

 

 

5,479

 

 

 

1,975

 

 

 

8,935

 

 

 

2,480

 

Charitable contribution of common stock

 

 

1,285

 

 

 

 

 

 

1,285

 

 

 

 

Income from unconsolidated joint venture

 

 

(269

)

 

 

 

 

 

(303

)

 

 

 

Acquisition and other(3)

 

 

(1,923

)

 

 

 

 

 

(1,284

)

 

 

 

Impairment of long-lived assets

 

 

119

 

 

 

 

 

 

119

 

 

 

 

Adjusted EBITDA

 

$

(8,300

)

 

$

(9,073

)

 

$

(21,026

)

 

$

(17,882

)


 

 

For the Three Months
Ended June 30,

 

 

For the Six Months
Ended June 30,

 

 

 

2022

 

 

2021

 

 

2022

 

 

2021

 

Non-GAAP Net Loss:

 

 

 

 

 

 

 

 

 

 

 

 

Net loss

 

$

(16,549

)

 

$

(12,264

)

 

$

(36,544

)

 

$

(22,765

)

Add (deduct):

 

 

 

 

 

 

 

 

 

 

 

 

Depreciation and amortization expense(1)

 

 

2,008

 

 

 

753

 

 

 

3,807

 

 

 

1,487

 

Stock-based compensation(2)

 

 

5,479

 

 

 

1,975

 

 

 

8,935

 

 

 

2,480

 

Amortization of lease intangible

 

 

333

 

 

 

 

 

 

666

 

 

 

 

Amortization of deferred costs on convertible notes

 

 

469

 

 

 

 

 

 

781

 

 

 

 

Unrealized loss on marketable securities

 

 

332

 

 

 

 

 

 

1,190

 

 

 

 

Acquisition and other(3)

 

 

(1,923

)

 

 

 

 

 

(1,284

)

 

 

 

(Gain) loss on sale of property and equipment

 

 

 

 

 

(2

)

 

 

71

 

 

 

(2

)

Charitable contribution of common stock

 

 

1,285

 

 

 

 

 

 

1,285

 

 

 

 

Impairment of long-lived assets

 

 

119

 

 

 

 

 

 

119

 

 

 

 

Non-GAAP Net Loss

 

$

(8,447

)

 

$

(9,538

)

 

$

(20,974

)

 

$

(18,800

)

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted-average number of shares outstanding used to compute Non-GAAP Net Loss per share, basic and diluted

 

 

47,074,246

 

 

 

8,390,088

 

 

 

46,932,702

 

 

 

8,158,753

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-GAAP EPS, basic and diluted

 

$

(0.18

)

 

$

(1.14

)

 

$

(0.45

)

 

$

(2.30

)

(1)   Represents depreciation expense of the Company’s long-lived tangible assets and amortization expense of its finite-lived intangible assets, as included in the Company’s GAAP results of operations.
(2)   Represents the non-cash expense related to stock-based awards granted to employees, as included in the Company’s GAAP results of operations.
(3)   Includes adjustments related to purchase accounting, the revaluation of contingent consideration and transaction costs.

Xometry, Inc. and Subsidiaries
Unaudited Segment Results
(In thousands)

 

 

For the Three Months Ended
June 30,

 

 

For the Six Months Ended
June 30,

 

 

 

2022

 

 

2021

 

 

2022

 

 

2021

 

Segment Revenue:

 

(unaudited)

 

 

(unaudited)

 

U.S.

 

$

87,675

 

 

$

47,228

 

 

$

163,724

 

 

$

88,526

 

International

 

 

7,940

 

 

 

3,361

 

 

 

15,562

 

 

 

5,984

 

Total revenue

 

$

95,615

 

 

$

50,589

 

 

$

179,286

 

 

$

94,510

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Segment Net Loss:

 

 

 

 

 

 

 

 

 

 

 

 

U.S.

 

$

(11,222

)

 

$

(9,440

)

 

$

(26,245

)

 

$

(17,602

)

International

 

 

(5,331

)

 

 

(2,824

)

 

 

(10,320

)

 

 

(5,163

)

Total net loss attributable to common stockholders

 

$

(16,553

)

 

$

(12,264

)

 

$

(36,565

)

 

$

(22,765

)

 

Xometry, Inc. and Subsidiaries
Unaudited Supplemental Information
(In thousands)

 

 

For the Three Months
Ended June 30,

 

 

For the Six Months
Ended June 30,

 

 

 

2022

 

 

2021

 

 

2022

 

 

2021

 

Summary of Stock-based Compensation Expense

 

(unaudited)

 

 

(unaudited)

 

Sales and marketing

 

$

1,300

 

 

$

302

 

 

$

1,936

 

 

$

355

 

Operations and support

 

 

1,741

 

 

 

590

 

 

 

3,164

 

 

 

694

 

Product development

 

 

1,128

 

 

 

416

 

 

 

2,022

 

 

 

491

 

General and administrative

 

 

1,310

 

 

 

667

 

 

 

1,813

 

 

 

940

 

Total stock-based compensation expense

 

$

5,479

 

 

$

1,975

 

 

$

8,935

 

 

$

2,480

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Summary of Depreciation and Amortization Expense

 

 

 

 

 

 

 

 

 

 

 

 

Cost of revenue

 

$

24

 

 

$

12

 

 

$

58

 

 

$

49

 

Sales and marketing

 

 

776

 

 

 

30

 

 

 

1,550

 

 

 

61

 

Operations and support

 

 

16

 

 

 

56

 

 

 

27

 

 

 

88

 

Product development

 

 

805

 

 

 

631

 

 

 

1,599

 

 

 

1,240

 

General and administrative

 

 

387

 

 

 

24

 

 

 

573

 

 

 

49

 

Total depreciation and amortization expense

 

$

2,008

 

 

$

753

 

 

$

3,807

 

 

$

1,487