Why Xometry Shares Are Jumping Today

Author: Lekha Gupta | May 10, 2023 10:27am

• Xometry Inc (NASDAQ:XMTR) shares are surging Wednesday morning as its first-quarter results surpassed expectations, aided by stronger-than-expected marketplace growth.
• XMTR reported Q1 2023 sales growth of 26% Y/Y to $105.3 million, beating the consensus of $100.8 million.
• By segments, marketplace revenue rose 35% Y/Y to $86.7 million. However, Supplier services revenue fell 3% Y/Y to $18.6 million. 
• Marketplace Active Buyers increased 46% Y/Y to 44,716 as of March 31, 2023.
• The gross profit for the quarter rose 20% Y/Y to $39.4 million, led by a 41% Y/Y increase in marketplace gross profit. 
• Adjusted EBITDA loss for the quarter was $(11.8) million, narrowed from $(12.7) million.
• Adjusted loss per share for the quarter was $(0.20), better than the consensus of $(0.23).
• The company held $296.2 million in cash and cash equivalents as of March 31, 2023.
• Outlook: Xometry reaffirmed its 2023 sales outlook at $470 million - $480 million versus the estimate of $472.93 million. 
• The company now expects adjusted EBITDA loss of $(26) million - $(24) million versus prior view $(22.0) million - $(20.0) million.
• The company expects Q2 revenue of $109 million-$111 million (+14%-16% Y/Y) versus the estimate of $111.57 million) and adjusted EBITDA loss of $(9.5) million - $(8.5) million.
• "We continue to rapidly expand our network of buyers and suppliers and enhance our products and services. We expect to continue to rapidly gain market share fueling robust marketplace revenue growth while further tightening operating expenses to achieve Adjusted EBITDA profitability in Q4 2023," said Randy Altschuler, CEO.
• Price Action: XMTR shares are trading higher by 28.19% at $17.15 on the last check Wednesday.

Posted In: XMTR