8-K
false000165757300016575732022-11-102022-11-10

 

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549

 

FORM 8-K

 

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): November 10, 2022

 

 

Xometry, Inc.

(Exact Name of Registrant as Specified in Its Charter)

 

 

Delaware

001-40546

32-0415449

(State or Other Jurisdiction
of Incorporation)

(Commission File Number)

(IRS Employer
Identification No.)

 

 

 

 

 

7529 Standish Place, Suite 200

 

Derwood, Maryland

 

20855

(Address of Principal Executive Offices)

 

(Zip Code)

 

Registrant’s Telephone Number, Including Area Code: (240) 335-7914

 

Not applicable

(Former Name or Former Address, if Changed Since Last Report)

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:


Title of each class

 

Trading
Symbol(s)

 


Name of each exchange on which registered

Class A common stock, par value $0.000001 per share

 

XMTR

 

NASDAQ Global Select Market

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).

Emerging growth company

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

 

 


Item 2.02 Results of Operations and Financial Condition.

 

On November 10, 2022, Xometry, Inc. issued a press release announcing its financial results for the quarterly period ended September 30, 2022. A copy of the press release is furnished as Exhibit 99.1 to this report.

 

The information set forth under this Item 2.02 and in the accompanying Exhibit 99.1 is being furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”) or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, regardless of any general incorporation language in such filing, except as otherwise expressly stated in such filing.

Item 9.01 Financial Statements and Exhibits.

Exhibit No.

Description

99.1

Press Release of Xometry, Inc. issued on November 10, 2022.

104

Cover Page Interactive Data File (embedded within the Inline XBRL document).

 

 


SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

 

 

 

XOMETRY, INC.

 

 

 

 

Date:

November 10, 2022

By:

/s/ Randolph Altschuler

 

 

 

Randolph Altschuler
Chief Executive Officer

 


EX-99.1

 

Exhibit 99.1

Xometry Reports Third Quarter 2022 Results

 

Robust marketplace growth: Revenue increases 83% year-over-year driven by nearly 55% 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 182% year-over-year. Marketplace gross profit increased 16% quarter-over-quarter.
Expect strong growth in Q4: We expect Q4 revenue growth of 55-58% to $104-$106 million, driven by increasing active buyers and suppliers, added supplier services and revenue synergies with Thomas.
Strong operating leverage: Q3 Adjusted EBITDA loss of $6.5 million, a $1.8 million quarter-over-quarter improvement. We expect to be Adjusted EBITDA positive in the second half of 2023.

 

ROCKVILLE, MD., November 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 third quarter ended September 30, 2022.

 

"In Q3 2022, Xometry delivered strong marketplace growth, robust expansion in marketplace gross margin and significant operating leverage quarter-over-quarter,” said Randy Altschuler, Xometry’s CEO. “In Q4, we are seeing record orders while suppliers are taking jobs at significantly lower prices, dampening near-term revenue growth. We expect to continue to rapidly gain market share and customer share of wallet fueling robust marketplace revenue growth into 2023.”

 

Third Quarter 2022 Financial Highlights

Total revenue for the third quarter 2022 was $103.6 million, an increase of 83% year-over-year.
Marketplace revenue for the third quarter of 2022 was $84.1 million.
Supplier services revenue for the third quarter of 2022 was $19.5 million.
Total gross profit for the third quarter 2022 was $40.9 million, an increase of 182% year-over-year.
Marketplace Active Buyers increased 40% from 26,187 as of September 30, 2021 to 36,789 as of September 30, 2022.
Marketplace Accounts with Last Twelve-Months Spend of at least $50,000 increased 62% from 603 as of September 30, 2021 to 974 as of September 30, 2022.
Marketplace Percentage of Revenue from Existing Accounts was 96%.
Net loss attributable to common stockholders was $15.0 million for the quarter, an increase of $0.3 million year-over-year, and Adjusted EBITDA was negative $6.5 million for the quarter, reflecting a decrease of $3.5 million year-over-year. Net loss for Q3 2022 included $5.1 million of stock-based compensation.
Cash and cash equivalents and marketable securities were $341.2 million as of September 30, 2022.

 

 

1


 

Third Quarter 2022 Business Highlights

Launched Credit Key flexible payment solution further expanding the basket of financial services to help buyers grow their business. With Credit Key, enterprise customers, small businesses and entrepreneurs can tap into lines of credit of up to $50,000 instantly at the point of sale on Xometry.

 

Added new languages and processes to our International marketplace. In Q3, we added Polish, Norwegian and Dutch languages to our European site. Additionally, Europe introduced new production technologies including vacuum casting and compression molding.

 

Launched the universal login experience which improves and centralizes the login experience and user credentials. Universal login allows Xometry and Thomas buyers and suppliers to seamlessly move and transact across platforms.

 

Funded several manufacturing scholarship programs. Xometry is providing scholarships for 250 students at community colleges in six key manufacturing states: Maryland, Kentucky, Wisconsin, South Carolina, Connecticut and New York. Last year, Xometry, in partnership with Howard University, pledged eight full tuition scholarships over four school years to students enrolled in the Department of Mechanical Engineering at the Howard University College of Engineering and Architecture. We are funding the scholarships through our Donor Advised Fund, to which we dedicated 1% of our equity at IPO to support small- and medium manufacturers across the country.

 

Held a manufacturing day event on October 7, in conjunction with the release of proprietary research conducted in partnership with Forbes and Zogby. Research revealed how manufacturing CEOs are demonstrating supply chain resilience by investing in talent and technology, while also reshoring and nearshoring their manufacturing capabilities.

 

Financial Summary

(In thousands, except per share amounts)

 

 

 

For the Three Months
Ended September 30,

 

 

 

 

 

For the Nine Months
Ended September 30,

 

 

 

 

 

 

2022

 

 

2021

 

 

% Change

 

 

2022

 

 

2021

 

 

% Change

 

 

 

(unaudited)

 

 

 

 

 

(unaudited)

 

Consolidated

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenue

 

$

103,571

 

 

$

56,727

 

 

 

83

%

 

$

282,857

 

 

$

151,238

 

 

 

87

%

Gross profit

 

 

40,901

 

 

 

14,494

 

 

 

182

%

 

 

111,536

 

 

 

36,205

 

 

 

208

%

Net loss attributable to common stockholders

 

 

(15,037

)

 

 

(14,711

)

 

 

(2

)%

 

 

(51,602

)

 

 

(37,476

)

 

 

(38

)%

EPS, basic and diluted

 

 

(0.32

)

 

 

(0.33

)

 

 

3

%

 

 

(1.10

)

 

 

(1.87

)

 

 

41

%

Adjusted EBITDA(1)

 

 

(6,490

)

 

 

(10,024

)

 

 

35

%

 

 

(27,516

)

 

 

(27,905

)

 

 

1

%

Non-GAAP net loss(1)

 

 

(5,394

)

 

 

(10,223

)

 

 

47

%

 

 

(26,368

)

 

 

(29,021

)

 

 

9

%

Non-GAAP EPS, basic and diluted(1)

 

 

(0.11

)

 

 

(0.23

)

 

 

52

%

 

 

(0.56

)

 

 

(1.44

)

 

 

61

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Marketplace

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenue

 

$

84,060

 

 

 

 

 

 

 

 

$

224,073

 

 

 

 

 

 

 

Cost of revenue

 

 

58,479

 

 

 

 

 

 

 

 

 

158,712

 

 

 

 

 

 

 

Gross Profit

 

$

25,581

 

 

 

 

 

 

 

 

$

65,361

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Supplier services

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenue

 

$

19,511

 

 

 

 

 

 

 

 

$

58,784

 

 

 

 

 

 

 

Cost of revenue

 

 

4,191

 

 

 

 

 

 

 

 

 

12,609

 

 

 

 

 

 

 

Gross Profit

 

$

15,320

 

 

 

 

 

 

 

 

$

46,175

 

 

 

 

 

 

 

(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.

2


 

Key Operating Metrics(2):

 

 

As of September 30,

 

 

 

2022

 

 

2021

 

 

%
Change

 

 

 

 

 

 

 

 

 

 

 

Active Buyers(3)

 

 

36,789

 

 

 

26,187

 

 

 

40

%

Percentage of Revenue from Existing Accounts(3)

 

 

96

%

 

 

95

%

 

 

1

%

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

 

 

974

 

 

 

603

 

 

 

62

%

 

 

 

 

 

 

 

 

 

 

 

(2)
These key operating metrics are for Marketplace. See “Key Terms for our Key Metrics and Non-GAAP Financial Measures” below for definitions of these metrics.
(3)
Amounts shown for Active Buyers and Accounts with Last Twelve-Months Spend of at Least $50,000 are as of September 30, 2022 and 2021, and Percentage of Revenue from Existing Accounts is presented for the quarters ended September 30, 2022 and 2021.

 

Financial Guidance and Outlook:

 

 

Q4 2022

 

 

 

(in millions)

 

 

 

Low

 

 

High

 

Revenue

 

$

104.0

 

 

$

106.0

 

Adjusted EBITDA

 

$

(9.0

)

 

$

(8.0

)

 

Xometry’s fourth quarter 2022 financial outlook is based on a number of assumptions that are subject to change and many of which are outside of its control. If actual results vary from these assumptions, Xometry’s expectations may change. There can be no assurance that Xometry will achieve these results.

 

Reconciliation of Adjusted EBITDA on a forward-looking basis to net loss, the most directly comparable GAAP measure, is not available without unreasonable efforts due to the high variability and complexity and low visibility with respect to the charges excluded from this non-GAAP measure; in particular, the effects of stock-based compensation expense specific to equity compensation awards that are directly impacted by unpredictable fluctuations in Xometry’s stock price. Xometry expects the variability of the above charges to have a significant, and potentially unpredictable, impact on its future GAAP financial results.

3


 

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, 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.

 

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 an “account” 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.

 

4


 

Adjusted earnings before interest, taxes, depreciation and amortization (Adjusted EBITDA): The Company defines Adjusted EBITDA as net loss, adjusted for interest expense, interest and dividend income and other expenses, income tax 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 defines non-GAAP net loss as net loss adjusted for depreciation and amortization, stock-based compensation expense, amortization of lease intangible, amortization of deferred costs on convertible notes, unrealized loss on marketable securities, loss on sale of property and equipment, 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.

 

Non-GAAP Earnings Per Share, basic and diluted (Non-GAAP EPS, basic and diluted): The Company calculates non-GAAP earnings per share, (basic and diluted) as non-GAAP net loss divided by weighted average number of common stock outstanding.

 

Management believes that the exclusion of certain expenses and gains in calculating Adjusted EBITDA, non-GAAP net loss and non-GAAP EPS, basic and diluted 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.

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 November 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. Third Quarter 2022 Earnings Presentation and Conference Call

8:30 a.m. Eastern / 5:30 a.m. Pacific on Thursday, November 10, 2022
To register please use the following link: https://register.vevent.com/register/BI4b82a3357dbc4416913d7289fc71c0df
You may also visit the Xometry Investor Relations Homepage at investors.xometry.com to listen to a live webcast of the 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,”

5


 

“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 fourth quarter 2022, our expectation regarding 2023 Adjusted EBITDA, 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, the impact of the COVID-19 pandemic on our business and operations, our ability to forecast our performance due to our limited operating history, 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, our brand and reputation, and the impact of fluctuations in general macroeconomic conditions, such as the current inflationary environment and rising interest rates. 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

 

 

 

6


 

Xometry, Inc. and Subsidiaries

Condensed Consolidated Balance Sheets

(In thousands, except share and per share data)

 

 

September 30,

 

 

December 31,

 

 

 

2022

 

 

2021

 

 

 

(unaudited)

 

 

(audited)

 

Assets

 

 

 

 

 

 

Current assets:

 

 

 

 

 

 

Cash and cash equivalents

 

$

30,497

 

 

$

86,262

 

Marketable securities

 

 

310,694

 

 

 

30,465

 

Accounts receivable, less allowance for credit losses of $1.6 million as of September 30, 2022 and $0.8 million as of December 31, 2021

 

 

50,889

 

 

 

32,427

 

Inventory

 

 

5,632

 

 

 

2,033

 

Prepaid expenses

 

 

7,675

 

 

 

6,664

 

Other current assets

 

 

4,357

 

 

 

5,580

 

Total current assets

 

 

409,744

 

 

 

163,431

 

Property and equipment, net

 

 

16,303

 

 

 

10,287

 

Operating lease right-of-use assets

 

 

23,299

 

 

 

27,489

 

Investment in unconsolidated joint venture

 

 

4,298

 

 

 

4,198

 

Intangible assets, net

 

 

40,287

 

 

 

41,736

 

Goodwill

 

 

259,971

 

 

 

254,672

 

Other assets

 

 

382

 

 

 

773

 

Total assets

 

$

754,284

 

 

$

502,586

 

Liabilities and stockholders’ equity

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

Accounts payable

 

$

12,075

 

 

$

12,718

 

Accrued expenses

 

 

36,476

 

 

 

30,905

 

Contract liabilities

 

 

10,600

 

 

 

7,863

 

Operating lease liabilities, current portion

 

 

5,898

 

 

 

5,549

 

Finance lease liabilities, current portion

 

 

 

 

 

2

 

Total current liabilities

 

 

65,049

 

 

 

57,037

 

Operating lease liabilities, net of current portion

 

 

13,513

 

 

 

16,920

 

Convertible notes

 

 

279,441

 

 

 

 

Income taxes payable

 

 

1,532

 

 

 

1,468

 

Other liabilities

 

 

1,787

 

 

 

1,678

 

Total liabilities

 

 

361,322

 

 

 

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 September 30, 2022 and December 31, 2021, respectively

 

 

 

 

 

 

Class A Common stock, $0.000001 par value. Authorized; 750,000,000 shares; 44,721,409 shares and 43,998,404 shares issued and outstanding as of September 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 September 30, 2022 and December 31, 2021, respectively

 

 

 

 

 

 

Additional paid-in capital

 

 

617,278

 

 

 

597,641

 

Accumulated other comprehensive income (loss)

 

 

(492

)

 

 

149

 

Accumulated deficit

 

 

(224,943

)

 

 

(173,341

)

Total stockholders’ equity

 

 

391,843

 

 

 

424,449

 

Noncontrolling interest

 

 

1,119

 

 

 

1,034

 

Total equity

 

 

392,962

 

 

 

425,483

 

Total liabilities and stockholders’ equity

 

$

754,284

 

 

$

502,586

 

 

 

 

 

 

 

 

 

7


 

Xometry, Inc. and Subsidiaries

Unaudited Condensed Consolidated Statements of Operations and Comprehensive Loss

(In thousands, except share and per share amounts)

 

 

Three Months Ended
September 30,

 

 

Nine Months Ended
September 30,

 

 

 

2022

 

 

2021

 

 

2022

 

 

2021

 

 

 

 

 

 

 

 

 

 

 

Revenue

 

$

103,571

 

 

$

56,727

 

 

$

282,857

 

 

$

151,238

 

Cost of revenue

 

 

62,670

 

 

 

42,233

 

 

 

171,321

 

 

 

115,033

 

Gross profit

 

 

40,901

 

 

 

14,494

 

 

 

111,536

 

 

 

36,205

 

Sales and marketing

 

 

21,416

 

 

 

9,828

 

 

 

58,846

 

 

 

26,250

 

Operations and support

 

 

11,620

 

 

 

5,775

 

 

 

36,158

 

 

 

15,594

 

Product development

 

 

7,613

 

 

 

4,376

 

 

 

22,698

 

 

 

12,131

 

General and administrative

 

 

15,126

 

 

 

8,778

 

 

 

43,143

 

 

 

18,343

 

Impairment of long-lived assets

 

 

325

 

 

 

-

 

 

 

444

 

 

 

-

 

Total operating expenses

 

 

56,100

 

 

 

28,757

 

 

 

161,289

 

 

 

72,318

 

Loss from operations

 

 

(15,199

)

 

 

(14,263

)

 

 

(49,753

)

 

 

(36,113

)

Other (expenses) income

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense

 

 

(1,194

)

 

 

(79

)

 

 

(3,172

)

 

 

(799

)

Interest and dividend income

 

 

1,344

 

 

 

417

 

 

 

1,914

 

 

 

457

 

Other expenses

 

 

(289

)

 

 

(786

)

 

 

(1,733

)

 

 

(1,021

)

Income from unconsolidated joint venture

 

 

297

 

 

 

-

 

 

 

600

 

 

 

-

 

Total other income (expenses)

 

 

158

 

 

 

(448

)

 

 

(2,391

)

 

 

(1,363

)

Loss before income taxes

 

 

(15,041

)

 

 

(14,711

)

 

 

(52,144

)

 

 

(37,476

)

Benefit for income taxes

 

 

-

 

 

 

-

 

 

 

559

 

 

 

-

 

Net loss

 

 

(15,041

)

 

 

(14,711

)

 

 

(51,585

)

 

 

(37,476

)

Net (loss) income attributable to noncontrolling interest

 

 

(4

)

 

 

-

 

 

 

17

 

 

 

-

 

Net loss attributable to common stockholders

 

$

(15,037

)

 

$

(14,711

)

 

$

(51,602

)

 

$

(37,476

)

Net loss per share, basic and diluted

 

$

(0.32

)

 

$

(0.33

)

 

$

(1.10

)

 

$

(1.87

)

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

 

 

47,303,090

 

 

 

43,962,863

 

 

 

47,057,521

 

 

 

20,092,600

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Comprehensive loss:

 

 

 

 

 

 

 

 

 

 

 

 

Foreign currency translation

 

$

(559

)

 

$

(41

)

 

$

(573

)

 

$

(24

)

Total other comprehensive loss

 

 

(559

)

 

 

(41

)

 

 

(573

)

 

 

(24

)

Net loss

 

 

(15,041

)

 

 

(14,711

)

 

 

(51,585

)

 

 

(37,476

)

Comprehensive loss

 

 

(15,600

)

 

 

(14,752

)

 

 

(52,158

)

 

 

(37,500

)

Comprehensive income attributable to noncontrolling interest

 

 

14

 

 

 

-

 

 

 

85

 

 

 

-

 

Total comprehensive loss attributable to common stockholders

 

$

(15,614

)

 

$

(14,752

)

 

$

(52,243

)

 

$

(37,500

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

8


 

Xometry, Inc. and Subsidiaries

Unaudited Condensed Consolidated Statements of Cash Flows

(In thousands)

 

 

Nine Months Ended September 30,

 

 

 

2022

 

 

2021

 

Cash flows from operating activities:

 

 

 

Net loss

 

$

(51,585

)

 

$

(37,476

)

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

 

 

 

 

 

 

Depreciation and amortization

 

 

5,716

 

 

 

2,304

 

Impairment of assets

 

 

444

 

 

 

-

 

Reduction in carrying amount of right-of-use asset

 

 

5,351

 

 

 

912

 

Stock based compensation

 

 

14,048

 

 

 

4,747

 

Non-cash interest expense

 

 

-

 

 

 

111

 

Loss on debt extinguishment

 

 

-

 

 

 

272

 

Revaluation of contingent consideration

 

 

434

 

 

 

-

 

Income from unconsolidated joint venture

 

 

(100

)

 

 

-

 

Donation of common stock

 

 

2,272

 

 

 

1,157

 

Unrealized loss on marketable securities

 

 

1,659

 

 

 

239

 

Non-cash income tax benefit

 

 

(559

)

 

 

-

 

Loss on sale of property and equipment

 

 

71

 

 

 

-

 

Amortization of deferred costs on convertible notes

 

 

1,250

 

 

 

-

 

Deferred taxes benefit

 

 

(2

)

 

 

-

 

Changes in other assets and liabilities:

 

 

 

 

 

 

Accounts receivable, net

 

 

(19,032

)

 

 

(10,645

)

Inventory

 

 

(3,680

)

 

 

842

 

Prepaid expenses

 

 

(1,784

)

 

 

(4,080

)

Other assets

 

 

(3,922

)

 

 

580

 

Accounts payable

 

 

(240

)

 

 

(400

)

Accrued expenses

 

 

5,591

 

 

 

3,931

 

Contract liabilities

 

 

2,777

 

 

 

1,053

 

Lease liabilities

 

 

(4,219

)

 

 

(917

)

Net cash used in operating activities

 

 

(45,510

)

 

 

(37,370

)

Cash flows from investing activities:

 

 

 

 

 

 

Purchase of marketable securities

 

 

(281,897

)

 

 

(266,978

)

Proceeds from sale of marketable securities

 

 

4

 

 

 

-

 

Purchases of property and equipment

 

 

(9,608

)

 

 

(4,625

)

Proceeds from sale of property and equipment

 

 

165

 

 

 

-

 

Net cash used in investing activities

 

 

(291,336

)

 

 

(271,603

)

Cash flows from financing activities:

 

 

 

 

 

 

Proceeds from initial public offering, net of underwriters' discount

 

 

-

 

 

 

325,263

 

Payments in connection with initial public offering

 

 

-

 

 

 

(3,995

)

Proceeds from stock options exercised

 

 

3,317

 

 

 

1,787

 

Repayment of term loan

 

 

-

 

 

 

(16,136

)

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

)

 

 

(9

)

Net cash provided by financing activities

 

 

281,506

 

 

 

306,910

 

Effect of foreign currency translation on cash and cash equivalents

 

 

(425

)

 

 

(33

)

Net decrease in cash and cash equivalents

 

 

(55,765

)

 

 

(2,096

)

Cash and cash equivalents at beginning of the period

 

 

86,262

 

 

 

59,874

 

Cash and cash equivalents at end of the period

 

$

30,497

 

 

$

57,778

 

Supplemental cash flow information:

 

 

 

 

 

 

Cash paid for interest

 

$

1,414

 

 

$

907

 

Non-cash investing activity:

 

 

 

 

 

 

Non-cash purchase of property and equipment