8-K
false000165757300016575732024-02-262024-02-26

 

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): February 26, 2024

 

 

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.)

 

 

 

 

 

6116 Executive Blvd, Suite 800

 

North Bethesda, Maryland

 

20852

(Address of Principal Executive Offices)

 

(Zip Code)

 

Registrant’s Telephone Number, Including Area Code: (240) 252-1138

 

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 February 29, 2024, Xometry, Inc. (the “Company”) issued a press release announcing its fourth quarter and full year ended December 31, 2023 financial results. A copy of the press release is furnished as Exhibit 99.1 to this report.

 

Item 5.02. Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.

 

On February 29, 2024, the Company announced that James Miln has been appointed to serve as the Company’s Chief Financial Officer, principal financial officer and principal accounting officer, effective as of March 1, 2024 (the “Effective Date”). Mr. Miln will succeed James Rallo, who notified the Company of his decision to retire from his position as the Company’s Chief Financial Officer on February 26, 2024, effective as of the Effective Date. To assist in the transition to Mr. Miln, Mr. Rallo will continue serving as an employee of the Company for a period of up to 60 days from the Effective Date.

 

Mr. Miln, age 50, served in various roles at Yelp Inc. (“Yelp”) from February 2019 to February 2024, including most recently as its Senior Vice President, Finance and Investor Relations from January 2021 to February 2024. Mr. Miln also served as Yelp’s Vice President, Financial Planning and Analysis, from February 2019 to January 2021, and as Yelp’s Interim Chief Financial Officer from September 2019 to February 2020. Prior to joining Yelp, Mr. Miln served as Senior Director, Investor Relations at eBay Inc. from August 2017 to January 2019. From May 2011 to July 2017, Mr. Miln held various positions at Yahoo Inc., including Senior Finance Director, Global Product Group (May 2011 to May 2012); Senior Finance Director, Global Revenue Planning, Reporting & Analysis (June 2012 to June 2014); and Senior Director, Investor Relations (July 2014 to July 2017, serving as department head from October 2016 to July 2017). Mr. Miln also served in various roles in Yahoo Inc.’s European business from 2007 until April 2011. Mr. Miln is a Chartered Management Accountant (ACMA, CGMA), holds the Investor Relations Charter and earned a B.A. in Classics from Cambridge University, England.

 

In connection with his appointment as our Chief Financial Officer, Mr. Miln has entered into an employment agreement with the Company, dated December 14, 2023 (the “Employment Agreement”). Pursuant to the Employment Agreement, Mr. Miln will receive an initial base salary of $425,000, a one-time sign-on bonus of $125,000 and an annual discretionary bonus with a target amount equal to 65% of his annual base salary. Within 30 days of the Effective Date, Mr. Miln will be granted an initial equity award of restricted stock units (“RSUs”) under the Company’s 2021 Equity Incentive Plan (the “Plan”) with an aggregate value of $1,750,000 (the “Initial RSU Award”) on the date of grant (the “Grant Date”), based on the trading-day average share price on the Nasdaq Global Select Market (“Nasdaq”) for the 20-trading-day period ending on the day prior to the Grant Date. The Initial RSU Award will vest over three years with 60% of the total shares subject to the award vesting on the first anniversary of the Effective Date, 30% of the total shares subject to the award vesting on the second anniversary of the Effective Date, and 10% of the total shares subject to the award vesting on the third anniversary of the Effective Date, in each case subject to Mr. Miln’s continued service with the Company through such vesting date. Mr. Miln will also be granted equity in a combination of RSUs and/or performance stock units under the Plan with an aggregate value of $1,750,000 (the “Refresh Award”) on the Grant Date, based on the trading-day average share price on Nasdaq for the 20-trading-day period ending on the day prior to the Grant Date. The vesting and other terms for the Refresh Award will be substantively consistent with such terms as applicable to the annual equity grants made to the Company’s other executive officers.

 

Pursuant to the Employment Agreement, Mr. Miln is also entitled to certain payments and benefits upon a qualifying termination of employment or a Change in Control (as defined in the Plan). If we terminate Mr. Miln’s employment without Cause or Mr. Miln resigns for Good Reason (each as defined in the Employment Agreement), in either case outside of the period beginning three months prior to and ending twelve months after a Change in Control (such period, the “Change In Control Measurement Period”), then he will be eligible to receive the following severance benefits: (1) twelve months of base salary, less applicable tax withholdings and paid in accordance with our regular payroll practices; (2) an amount equal to Mr. Miln’s prorated annual performance bonus for the calendar year in which the termination occurs, calculated based on the number of days Mr. Miln was employed during the applicable calendar year, less applicable tax withholdings; and (3) up to twelve months of the employer portion of COBRA premiums paid by us. In addition, if we terminate Mr. Miln’s employment without Cause or Mr. Miln resigns for Good Reason within the Change In Control Measurement Period, then, in addition to the foregoing benefits, (1) Mr. Miln will also be eligible to receive an amount equal to 100% of his target annual performance bonus for the calendar year in which the termination occurs, less applicable tax withholdings; (2) all of the outstanding and unvested time-based equity awards held by Mr. Miln immediately prior to the termination date will become fully vested and immediately exercisable; and (3) all of the outstanding and unvested performance-based equity awards held by Mr. Miln immediately prior to the termination date will become fully vested and immediately exercisable as if the performance metrics were achieved at 100%. As a condition to receiving the severance benefits set forth above, Mr. Miln must sign and comply with a separation agreement in a form presented by us, containing among other terms a general release of claims.

 

There is no arrangement or understanding between Mr. Miln and any other person pursuant to which he was selected as the Company’s Chief Financial Officer, and there is no family relationship between Mr. Miln and any of the Company’s other executive


officers or directors. Other than with respect to the Employment Agreement, there are no transactions between Mr. Miln and the Company that would be required to be reported under Item 404(a) of Regulation S-K.

 

In connection with his appointment as Chief Financial Officer, Mr. Miln and the Company will enter into the Company’s standard form of indemnification agreement, a copy of which was filed as Exhibit 10.15 to the Company’s Registration Statement on Form S-1 (File No. 333-256769), which requires the Company to indemnify Mr. Miln, to the fullest extent permitted by Delaware law, for certain liabilities to which he may become subject as a result of his affiliation with the Company.

 

The foregoing description of the Employment Agreement does not purport to be complete and is subject to, and qualified in its entirety by, the complete text of the Employment Agreement, a copy of which the Company expects to file with its Quarterly Report on Form 10-Q for the quarter ending March 31, 2024, and upon filing will be incorporated herein by reference.

 

Item 7.01. Regulation FD Disclosure.

 

On February 29, 2024, the Company issued a press release announcing the appointment of Mr. Miln as the Company’s Chief Financial Officer. A copy of the press release is furnished as Exhibit 99.2 to this Current Report on Form 8-K.

 

The information set forth under Items 2.02 and 7.01 and in the accompanying Exhibits 99.1 and 99.2 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 February 29, 2024.

99.2

Press Release of Xometry, Inc. issued on February 29, 2024.

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:

February 29, 2024

By:

/s/ Randolph Altschuler

 

 

 

Randolph Altschuler
Chief Executive Officer

 


EX-99.1

 

Exhibit 99.1

Xometry Reports Fourth Quarter and Full Year 2023 Results

 

Q4 revenue increased 31% year-over-year to $128 million driven by strong, accelerated marketplace growth of 42% year-over-year. Supplier services revenue decreased 15% year-over-year primarily due to the approximate $2 million year-over-year impact from the discontinuation of the sale of tools and materials.
Q4 gross profit increased 39% year-over-year driven by 68% growth in marketplace gross profit. Q4 marketplace gross margin increased 500 basis points year-over-year to 31.3%.
Q4 Adjusted EBITDA loss of $2.9 million, a $12.8 million year-over-year improvement driven by higher revenue, gross profit, operating efficiencies and further expense savings partly offset by investments in sales and international.
2024 growth initiatives include: expanding buyer and supplier networks; driving deeper enterprise engagement; further expanding the marketplace menu; growing internationally and enhancing supplier services.
Announced appointment of James Miln as Chief Financial Officer to help drive Xometry's long-term growth and profitability.

 

 

NORTH BETHESDA, MD., February 29, 2024 /Globe Newswire/-- Xometry, Inc. (NASDAQ:XMTR), the global AI-powered marketplace connecting enterprise buyers with suppliers of manufacturing services, today reported financial results for the fourth quarter and full year ended December 31, 2023.

“In Q4 2023, we delivered record financial results including our highest revenue and gross profit in Xometry history,“ said Randy Altschuler, Xometry’s CEO. ”Xometry's strong 31% revenue growth was driven by accelerated 42% marketplace growth. We improved operating leverage, reducing Q4 Adjusted EBITDA loss by 32% quarter-over-quarter. Powered by AI, our marketplace continues to gain significant market share as buyers and suppliers realize the value, convenience and resiliency of our platform. While we have seen a softer start to the year as reflected in our outlook, we remain confident in our initiatives to drive long term profitable growth.”

 

Fourth Quarter 2023 Financial Highlights

Total revenue for the fourth quarter 2023 was $128 million, an increase of 31% year-over-year.
Marketplace revenue for the fourth quarter of 2023 was $112 million, an increase of 42% year-over-year.
Supplier services revenue for the fourth quarter of 2023 was $16.1 million, a decrease of 15% year-over-year driven primarily by the exit of the tools and materials business, which reduced revenue by approximately $2 million year-over-year.
Total gross profit for the fourth quarter 2023 was $49.1 million, an increase of 39% year-over-year.
Marketplace Active Buyers increased 36% from 40,664 as of December 31, 2022 to 55,458 as of December 31, 2023.
Marketplace Accounts with Last Twelve-Months Spend of at least $50,000 increased 30% from 1,027 as of December 31, 2022 to 1,331 as of December 31, 2023.
Marketplace Percentage of Revenue from Existing Accounts was 96%.
Active Paying Suppliers decreased 6% from 7,715 as of December 31, 2022 to 7,271 as of December 31, 2023. Excluding the exited tools and materials business, Active Paying Suppliers was flat year-over-year.

1


 

Net loss attributable to common stockholders was $10.6 million for the quarter, a decrease of $15.3 million year-over-year. Net loss for Q4 2023 included $5.9 million of stock-based compensation and $2.8 million of depreciation and amortization expense.
U.S. segment net loss to common stockholders was $5.9 million, a decrease of $16.0 million year-over-year. International segment net loss to common stockholders was $4.6 million, an increase of $0.7 million year-over-year.
Adjusted EBITDA was negative $2.9 million for the quarter, reflecting an improvement of $12.8 million year-over-year.
Cash, cash equivalents and marketable securities were $268.8 million as of December 31, 2023.

 

Fourth Quarter 2023 Business Highlights

Launched Xometry Teamspace in October after a successful beta test with several large customers in Q3. The cloud-based collaboration tool enables the customer’s employees to manage projects within Xometry’s AI-powered platform, streamlining order management, increasing efficiency and driving data-based decision-making. Since the launch, over 1,500 teams have been created.
Added IATF 16949 Automotive standard to the marketplace for our automotive buyers. IATF (“International Automotive Task Force”) is the international standard for quality management systems in the automotive industry.
Updated process recommender to the AI-powered Xometry Instant Quoting Engine®, expanding coverage of manufacturing processes and improving accuracy. As computer-aided design (“CAD”) files are uploaded to the Xometry marketplace, the new process recommender instantly analyzes the geometric features of the file, identifies the most appropriate manufacturing process for the customer, and configures their quote.
Launched add-in for SOLIDWORKS in Europe, the U.K. and Türkiye. Buyers can now get instant quotes, lead times, and design-for-manufacturability feedback from Xometry directly in the CAD software.
 

Full Year Financial Highlights

Total revenue for the full year 2023 was $463 million, an increase of 22% year-over-year.
Marketplace revenue for the full year of 2023 was $395 million, an increase of 30% year-over-year.
Supplier services revenue for the full year of 2023 was $68.7 million, a decrease of 12% year-over-year driven primarily by the exit of the tools and materials business, which reduced revenue by approximately $6 million year-over-year.
Total gross profit for the full year of 2023 was $178 million, an increase of 22% year-over-year.
Marketplace gross profit margin improved to 30.8% for the year ended December 31, 2023 from 28.2% for the year ended December 31, 2022.
Net loss attributable to common stockholders was $67 million for the full year of 2023, a decrease of $12 million year-over-year. Net loss for the full year of 2023 included $22 million of stock-based compensation and $11 million of depreciation and amortization expense.
U.S. segment net loss to common stockholders was $49.7 million, a decrease of $12.1 million year-over-year. International segment net loss to common stockholders was $17.8 million, an increase of $0.5 million year-over-year.
Adjusted EBITDA was negative $27.5 million for the full year 2023, reflecting an improvement of $17.3 million.

 

 

2


 

Full Year Business Highlights

Grew the number of Active Suppliers 36% year-over-year from 2,529 to 3,429.
Expanded further in Europe with the launch of xometry.uk, a localized marketplace for UK customers. Xometry’s localized marketplaces allow regional customers to get quotes and purchase parts directly in local currency.
Introduced instant quoting for parts with multiple finishes. Buyers can identify parts requiring multiple finishes and the instant quoting engine will automatically price them. This instant feedback helps buyers make decisions in real-time.
Introduced a new quick-turn injection molding service for quotes in as fast as two hours and parts in as little as five business days.
Acquired Tridi Teknoloj A.S. (“Tridi”) located in Istanbul, Türkiye. The acquisition of Tridi extends our marketplace capabilities in Europe by opening an array of affordable suppliers and the ability to serve all of Europe within a 24-hour turnaround period.
Expanded AI-powered Xometry Instant Quoting Engine to include instant-quoting of inserts, multi-part assemblies, and expanded sheet-cutting processes. The enhanced features allow buyers to instantly get pricing and lead times on CNC, sheet metal and sheet-cut parts with standard inserts while also analyzing multi-party assemblies, further accelerating Xometry’s assembly production work.
Introduced expanded sheet-cutting options to include a wider array of metal, composite and rubber materials. Xometry’s sheet-cutting service can cut a variety of materials using the latest laser and waterjet-cutting technologies.
Launched Instant Quoting for Alibaba Group’s 1688.com on-demand manufacturing services through Xometry APAC. The collaboration gives buyers in China the ability to receive instant quotes and lead times from Chinese suppliers, data that is fueled by Xometry’s AI-powered Instant Quoting Engine. Xometry is the only partner specialized in the structural parts on 1688.com that will provide real-time pricing and lead times.
Announced a partnership with Google Cloud to help accelerate new auto-quote methods and models within the AI-powered Xometry Instant Quoting Engine. Using Vertex AI, Xometry will accelerate the deployment of its instant-quoting to encompass the broadest and most comprehensive set of manufacturing technologies. The Vertex AI platform will enable us to get to market faster with new offerings in entirely new categories, allowing us to become more indispensable to our customers and to our suppliers globally.
Expanded Thomas Marketing Services’ self-serve offering to include bundles with advertising and video services. Added two additional self-serve profile options for the more than 500,000 suppliers on Thomasnet.com. “Thomas Verified” and “Thomas Verified + Video” offer manufacturers enhanced visibility and targeting to prospects from preferred industries, as well as custom video options.
Added AS9100 Certified to the Instant Quoting Engine for our aerospace and defense buyers in October. AS9100 is a certification defining the design and manufacturing standard for aerospace and defense products including parts, components, and assemblies. This is particularly relevant for customers doing production work including flight parts.
Expanded International offerings including Portuguese language capability and new automated inspection reports in Europe. Buyers now can conveniently pick from multiple report options on the Xometry Europe marketplace including First Article Inspection Report and Measurement Report. Xometry Asia added Fused Deposition Modeling auto-quoting capabilities.

 

3


 

Financial Summary(1)

(In thousands, except per share amounts)

(Unaudited)

 

 

 

For the Three Months
Ended December 31,

 

 

 

 

 

For the Year
Ended December 31,

 

 

 

 

 

 

2023

 

 

2022

 

 

% Change

 

 

2023

 

 

2022

 

 

% Change

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consolidated

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenue

 

$

128,145

 

 

$

98,061

 

 

 

31

%

 

$

463,406

 

 

$

380,921

 

 

 

22

%

Gross profit

 

 

49,085

 

 

 

35,202

 

 

 

39

%

 

 

178,259

 

 

 

145,991

 

 

 

22

%

Net loss attributable to common stockholders

 

 

(10,551

)

 

 

(25,813

)

 

 

59

%

 

 

(67,472

)

 

 

(79,059

)

 

 

15

%

EPS, basic and diluted, of Class A and Class B common stock

 

 

(0.22

)

 

 

(0.54

)

 

 

59

%

 

 

(1.41

)

 

 

(1.68

)

 

 

16

%

Adjusted EBITDA(2)

 

 

(2,850

)

 

 

(15,639

)

 

 

82

%

 

 

(27,490

)

 

 

(44,799

)

 

 

39

%

Non-GAAP net loss(2)

 

 

(400

)

 

 

(15,119

)

 

 

97

%

 

 

(19,355

)

 

 

(43,131

)

 

 

55

%

Non-GAAP EPS, basic and diluted(2), of Class A and Class B common stock

 

 

(0.01

)

 

 

(0.32

)

 

 

97

%

 

 

(0.40

)

 

 

(0.91

)

 

 

56

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Marketplace

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenue

 

$

112,090

 

 

$

79,148

 

 

 

42

%

 

$

394,754

 

 

$

303,223

 

 

 

30

%

Cost of revenue

 

 

77,024

 

 

 

58,323

 

 

 

(32

)%

 

 

273,264

 

 

 

217,779

 

 

 

(25

)%

Gross Profit

 

$

35,066

 

 

$

20,825

 

 

 

68

%

 

$

121,490

 

 

$

85,444

 

 

 

42

%

Gross Margin

 

 

31.3

%

 

 

26.3

%

 

 

5.0

%

 

 

30.8

%

 

 

28.2

%

 

 

2.6

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Supplier services

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenue

 

$

16,055

 

 

$

18,913

 

 

 

(15

)%

 

$

68,652

 

 

$

77,698

 

 

 

(12

)%

Cost of revenue

 

 

2,036

 

 

 

4,536

 

 

 

55

%

 

 

11,883

 

 

 

17,151

 

 

 

31

%

Gross Profit

 

$

14,019

 

 

$

14,377

 

 

 

(2

)%

 

$

56,769

 

 

$

60,547

 

 

 

(6

)%

Gross Margin

 

 

87.3

%

 

 

76.0

%

 

 

11.3

%

 

 

82.7

%

 

 

77.9

%

 

 

4.8

%

(1)
Our 2022 results have been revised to reflect immaterial corrections related to certain captions within the Consolidated Balance Sheet, Consolidated Statement of Operations and Comprehensive Loss and Consolidated Statement of Cash Flows. See tables below for additional details with respect to the line items impacted.
(2)
These non-GAAP financial measures, and the 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(3):

 

 

As of December 31,

 

 

 

2023

 

 

2022

 

 

%
Change

 

 

 

 

 

 

 

 

 

 

 

Active Buyers(4)

 

 

55,458

 

 

 

40,664

 

 

 

36

%

Percentage of Revenue from Existing Accounts(4)

 

 

96

%

 

 

96

%

 

 

 

Accounts with Last Twelve-Months Spend of at Least $50,000(4)

 

 

1,331

 

 

 

1,027

 

 

 

30

%

Active Paying Suppliers(4)(5)

 

 

7,271

 

 

 

7,715

 

 

 

(6

)%

 

(3)
These key operating metrics are for Marketplace and Supplier Services. See “Key Terms for our Key Metrics and Non-GAAP Financial Measures” below for definitions of these metrics.
(4)
Amounts shown for Active Buyers, Accounts with Last Twelve-Months Spend of at Least $50,000, and Active Paying Suppliers are as of December 31, 2023 and 2022, and Percentage of Revenue from Existing Accounts is presented for the quarters ended December 31, 2023 and 2022.
(5)
Excluding the impact of the exit of the supplies business, Active Paying Suppliers was flat year-over-year.

 

Financial Guidance and Outlook:

 

 

Q1 2024

 

 

 

(in millions)

 

 

 

Low

 

 

High

 

Revenue

 

$

118

 

 

$

120

 

Adjusted EBITDA

 

$

(9

)

 

$

(7

)

 

Expect Q1 2024 revenue growth of 12%-14% year-over-year to $118-$120 million.

4


 

Expect Q1 2024 Adjusted EBITDA loss of $7.0-$9.0 million.
Expect fiscal 2024 marketplace revenue growth of at least 20% year-over-year and expect supplier services revenue to be down approximately 10% year-over-year driven by the discontinuation of the sale of tools and materials and the wind down of non-core services.
Expect to be Adjusted EBITDA profitable in the third quarter of 2024. For fiscal 2024, we expect improved operating leverage partly offset by international and enterprise growth investments.

Xometry’s first quarter 2024 and full year 2024 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.

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.

 

5


 

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

 

Marketplace revenue: includes the sale of parts and assemblies on our platform.

 

Supplier service revenue: includes the sales of marketing and advertising services and, to a lesser extent, financial service products, SaaS-based solutions and the sale of supplies, which was discontinued during the second quarter of 2023.

 

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.

 

Active Suppliers: The Company defines “suppliers” as individuals or businesses that have been approved by us to either manufacture a product on our platform for a buyer or have utilized our supplier services, including our digital marketing services, data services, financial services or supplies. The Company defines Active Suppliers as suppliers that have used our platform at least once during the last twelve months to manufacture a product or buy tools or supplies. We adjusted the number of our 2022 active suppliers in 2023 to reflect an immaterial correction.

 

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.

 

Active Paying Suppliers: The Company defines Active Paying Suppliers as individuals or businesses who have purchased one or more of our supplier services, including digital marketing services, data services, financial services or supplies on our platforms, during the last twelve months.

 

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 provision (benefit), and certain other non-cash or non-recurring items impacting net loss from time to time, principally comprised of depreciation and amortization, amortization of lease intangible, stock-based compensation, charitable contributions of common stock, income from unconsolidated joint venture, impairment of assets, lease abandonment, restructuring charges, costs to exit the supplies business 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, amortization of lease intangible, amortization of deferred costs on convertible notes, loss on marketable securities, loss on sale of property and equipment, charitable contributions of common stock, impairment of assets, lease abandonment and termination costs, restructuring charges, costs to exit the supplies business 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 amount of such expenses is the result of long-term investment decisions made in previous periods rather than day-to-day operating decisions.

 

6


 

About Xometry

Xometry’s (NASDAQ:XMTR) AI-powered marketplace, popular Thomasnet® industrial sourcing platform and suite of cloud-based services are rapidly digitizing the $2 trillion manufacturing industry. Xometry provides manufacturers the critical resources they need to grow their business and makes it easy for buyers to create locally resilient supply chains. The Xometry Instant Quoting Engine® leverages millions of pieces of data to analyze complex parts in real-time, matches buyers with the right suppliers globally, and provides accurate pricing and lead times. 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 February 29, 2024. In addition to issuing a press release, the Company will post an earnings presentation to its investor website at investors.xometry.com.

Xometry, Inc. Fourth Quarter and Full Year 2023 Earnings Presentation and Conference Call

8:30 a.m. Eastern / 5:30 a.m. Pacific on Thursday, February 29, 2024
To register please use the following link: https://register.vevent.com/register/BIe8fa0a130127401593eefccfb6625781
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,” “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 first quarter 2024, our expectations regarding our full year marketplace and supplier services revenue and our ability to achieve Adjusted EBITDA profitability in the third quarter of 2024; our initiatives for growth; the impact of the appointment of James Miln on our long-term growth and profitability; and statements regarding our strategy, products and platform capabilities. 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, 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 year ended December 31, 2023, our Quarterly Reports on Form 10-Q, and other filings and reports that we may file from time to time with the SEC. 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

 

 

 

7


 

Xometry, Inc. and Subsidiaries(1)

Consolidated Balance Sheets

(In thousands, except share and per share data)

(Unaudited)

 

 

December 31,

 

 

December 31,

 

 

 

2023

 

 

2022

 

Assets

 

 

 

 

 

 

Current assets:

 

 

 

 

 

 

Cash and cash equivalents

 

$

53,424

 

 

$

65,662

 

Marketable securities

 

 

215,352

 

 

 

253,770

 

Accounts receivable, less allowance for credit losses of $2.4 million and $2.0 million as of December 31, 2023 and 2022

 

 

70,102

 

 

 

49,277

 

Inventory

 

 

2,885

 

 

 

1,571

 

Prepaid expenses

 

 

5,571

 

 

 

7,591

 

Other current assets

 

 

8,897

 

 

 

9,373

 

Total current assets

 

 

356,231

 

 

 

387,244

 

Property and equipment, net

 

 

35,637

 

 

 

19,079

 

Operating lease right-of-use assets

 

 

12,251

 

 

 

25,923

 

Investment in unconsolidated joint venture

 

 

4,114

 

 

 

4,068

 

Intangible assets, net

 

 

35,768

 

 

 

39,351

 

Goodwill

 

 

262,915

 

 

 

258,036

 

Other assets

 

 

471

 

 

 

413

 

Total assets

 

$

707,387

 

 

$

734,114

 

Liabilities and stockholders’ equity

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

Accounts payable

 

$

24,710

 

 

$

12,437

 

Accrued expenses

 

 

41,845

 

 

 

33,433

 

Contract liabilities

 

 

7,357

 

 

 

8,729

 

Income taxes payable

 

 

2,484

 

 

 

3,956

 

Operating lease liabilities, current portion

 

 

6,799

 

 

 

5,471

 

Total current liabilities

 

 

83,195

 

 

 

64,026

 

Convertible notes

 

 

281,769

 

 

 

279,909

 

Operating lease liabilities, net of current portion

 

 

10,951

 

 

 

16,940

 

Deferred income taxes

 

 

275

 

 

 

429

 

Other liabilities

 

 

778

 

 

 

1,011

 

Total liabilities

 

 

376,968

 

 

 

362,315

 

Commitments and contingencies

 

 

 

 

 

 

Stockholders’ equity

 

 

 

 

 

 

Preferred stock, $0.000001 par value. Authorized; 50,000,000 shares; zero shares issued and outstanding as of December 31, 2023 and 2022, respectively

 

 

 

 

 

 

Class A Common stock, $0.000001 par value. Authorized; 750,000,000 shares; 45,489,379 shares and 44,822,264 shares issued and outstanding as of December 31, 2023 and 2022, respectively

 

 

 

 

 

 

Class B Common stock, $0.000001 par value. Authorized; 5,000,000 shares; 2,676,154 shares issued and outstanding as of December 31, 2023 and 2022, respectively

 

 

 

 

 

 

Additional paid-in capital

 

 

648,317

 

 

 

623,081

 

Accumulated other comprehensive income

 

 

855

 

 

 

28

 

Accumulated deficit

 

 

(319,872

)

 

 

(252,400

)

Total stockholders’ equity

 

 

329,300

 

 

 

370,709

 

Noncontrolling interest

 

 

1,119

 

 

 

1,090

 

Total equity

 

 

330,419

 

 

 

371,799

 

Total liabilities and stockholders’ equity

 

$

707,387

 

 

$

734,114

 

 

 

 

 

 

 

 

(1) Our 2022 results have been revised to reflect immaterial corrections related to certain captions within the Consolidated Balance Sheet, Consolidated Statement of Operations and Comprehensive Loss and Consolidated Statement of Cash Flows. See tables below for additional details with respect to the line items impacted.

 

8


 

Xometry, Inc. and Subsidiaries(1)

Consolidated Statements of Operations and Comprehensive Loss

(In thousands, except share and per share amounts)

(Unaudited)

 

 

Three Months Ended
December 31,

 

 

Year Ended
December 31,

 

 

 

2023

 

 

2022

 

 

2023

 

 

2022

 

 

 

 

 

 

 

 

 

 

 

Revenue

 

$

128,145

 

 

$

98,061

 

 

$

463,406

 

 

$

380,921

 

Cost of revenue

 

 

79,060

 

 

 

62,859

 

 

 

285,147

 

 

 

234,930

 

Gross profit

 

 

49,085

 

 

 

35,202

 

 

 

178,259

 

 

 

145,991

 

Sales and marketing

 

 

25,373

 

 

 

24,664

 

 

 

93,688

 

 

 

84,371

 

Operations and support

 

 

12,922

 

 

 

12,434

 

 

 

52,372

 

 

 

48,628

 

Product development

 

 

8,892

 

 

 

8,315

 

 

 

34,462

 

 

 

31,013

 

General and administrative

 

 

14,437

 

 

 

15,103

 

 

 

70,916

 

 

 

58,246

 

Impairment of assets

 

 

-

 

 

 

380

 

 

 

397

 

 

 

824

 

Total operating expenses

 

 

61,624

 

 

 

60,896

 

 

 

251,835

 

 

 

223,082

 

Loss from operations

 

 

(12,539

)

 

 

(25,694

)

 

 

(73,576

)

 

 

(77,091

)

Other income (expenses)

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense

 

 

(1,188

)

 

 

(1,246

)

 

 

(4,784

)

 

 

(4,418

)

Interest and dividend income

 

 

2,959

 

 

 

2,201

 

 

 

11,607

 

 

 

4,115

 

Other expenses

 

 

(355

)

 

 

(450

)

 

 

(1,511

)

 

 

(2,183

)

Income (loss) from unconsolidated joint venture

 

 

9

 

 

 

(30

)

 

 

446

 

 

 

570

 

Total other income (expenses)

 

 

1,425

 

 

 

475

 

 

 

5,758

 

 

 

(1,916

)

Loss before income taxes

 

 

(11,114

)

 

 

(25,219

)

 

 

(67,818

)

 

 

(79,007

)

Benefit (provision) for income taxes

 

 

561

 

 

 

(595

)

 

 

353

 

 

 

(36

)

Net loss

 

 

(10,553

)

 

 

(25,814

)

 

 

(67,465

)

 

 

(79,043

)

Net (loss) income attributable to noncontrolling interest

 

 

(2

)

 

 

(1

)

 

 

7

 

 

 

16

 

Net loss attributable to common stockholders

 

$

(10,551

)

 

$

(25,813

)

 

$

(67,472

)

 

$

(79,059

)

Net loss per share, basic and diluted, of Class A and Class B common
   stock

 

$

(0.22

)

 

$

(0.54

)

 

$

(1.41

)

 

$

(1.68

)

Weighted-average number of shares outstanding used to compute
   net loss per share, basic and diluted, of Class A and Class B
   common stock

 

 

48,096,142

 

 

 

47,457,139

 

 

 

47,914,039

 

 

 

47,158,247

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Comprehensive loss:

 

 

 

 

 

 

 

 

 

 

 

 

Foreign currency translation

 

$

91

 

 

$

492

 

 

$

849

 

 

$

(81

)

Total other comprehensive income (loss)

 

 

91

 

 

 

492

 

 

 

849

 

 

 

(81

)

Net loss

 

 

(10,553

)

 

 

(25,814

)

 

 

(67,465

)

 

 

(79,043

)

Comprehensive loss

 

 

(10,462

)

 

 

(25,322

)

 

 

(66,616

)

 

 

(79,124

)

Comprehensive (loss) income attributable to noncontrolling interest

 

 

(16

)

 

 

(29

)

 

 

29

 

 

 

56

 

Total comprehensive loss attributable to common stockholders

 

$

(10,446

)

 

$

(25,293

)

 

$

(66,645

)

 

$

(79,180

)

 

(1) Our 2022 results have been revised to reflect immaterial corrections related to certain captions within the Consolidated Balance Sheet, Consolidated Statement of Operations and Comprehensive Loss and Consolidated Statement of Cash Flows. See tables below for additional details with respect to the line items impacted.

 

9


 

Xometry, Inc. and Subsidiaries(1)

Consolidated Statements of Cash Flows

(In thousands)

(Unaudited)

 

 

Year Ended December 31,

 

 

 

2023

 

 

2022

 

 

2021

 

Cash flows from operating activities:

 

 

 

 

 

 

 

 

 

Net loss

 

$

(67,465

)

 

$

(79,043

)

 

$

(61,381

)

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

 

 

 

 

 

 

 

 

 

Depreciation and amortization

 

 

10,738

 

 

 

7,819

 

 

 

3,596

 

Impairment of assets

 

 

397

 

 

 

824

 

 

 

 

Reduction in carrying amount of right-of-use asset

 

 

14,355

 

 

 

7,236

 

 

 

1,056

 

Stock based compensation

 

 

22,118

 

 

 

19,172

 

 

 

7,395

 

Non-cash interest expense

 

 

 

 

 

 

 

 

111

 

Loss on debt extinguishment

 

 

 

 

 

 

 

 

272

 

Revaluation of contingent consideration

 

 

571

 

 

 

817

 

 

 

 

(Income) loss from unconsolidated joint venture

 

 

(46

)

 

 

130

 

 

 

(41

)

Donation of common stock

 

 

1,029

 

 

 

2,272

 

 

 

2,226

 

Losses on marketable securities

 

 

 

 

 

1,855

 

 

 

2,002

 

Loss on sale of property and equipment

 

 

92

 

 

 

47

 

 

 

20

 

Inventory write-off

 

 

223

 

 

 

133

 

 

 

 

Amortization of deferred costs on convertible notes

 

 

1,860

 

 

 

1,718

 

 

 

 

Deferred taxes benefit

 

 

(154

)

 

 

(653

)

 

 

(179

)

Restructuring charge

 

 

 

 

 

1,549

 

 

 

 

Changes in other assets and liabilities:

 

 

 

 

 

 

 

 

 

Accounts receivable, net

 

 

(20,594

)

 

 

(17,012

)

 

 

(11,117

)

Inventory

 

 

(1,550

)

 

 

351

 

 

 

293

 

Prepaid expenses

 

 

1,669

 

 

 

(1,616

)

 

 

(4,025

)

Other assets

 

 

(80

)

 

 

(4,116

)

 

 

464

 

Accounts payable

 

 

6,743

 

 

 

(215

)

 

 

5,215

 

Accrued expenses

 

 

7,453

 

 

 

406

 

 

 

(12,008

)

Contract liabilities

 

 

(1,404

)

 

 

735

 

 

 

(1,625

)

Lease liabilities

 

 

(5,520

)

 

 

(5,727

)

 

 

(845

)

Income taxes payable

 

 

(312

)

 

 

743

 

 

 

 

Net cash used in operating activities

 

 

(29,877

)

 

 

(62,575

)

 

 

(68,571

)

Cash flows from investing activities:

 

 

 

 

 

 

 

 

 

Purchases of marketable securities

 

 

(11,582

)

 

 

(284,096

)

 

 

(267,467

)

Proceeds from sale of marketable securities

 

 

50,000

 

 

 

58,927

 

 

 

235,000

 

Purchases of property and equipment

 

 

(18,486

)

 

 

(13,650

)

 

 

(6,262

)

Proceeds from life insurance

 

 

 

 

 

 

 

 

627

 

Proceeds from sale of property and equipment

 

 

223

 

 

 

189

 

 

 

 

Cash paid for business combination, net of cash acquired

 

 

(3,349

)

 

 

 

 

 

(174,646

)

Net cash provided by (used in) investing activities

 

 

16,806

 

 

 

(238,630

)

 

 

(212,748

)

Cash flows from financing activities:

 

 

 

 

 

 

 

 

 

Proceeds from initial public offering, net of underwriters' discount

 

 

 

 

 

 

 

 

325,263

 

Payments in connection with initial public offering

 

 

 

 

 

 

 

 

(3,678

)

Proceeds from stock options exercised

 

 

1,909

 

 

 

3,715

 

 

 

2,291

 

Repayment of term loan

 

 

 

 

 

 

 

 

(16,136

)

Proceeds from the exercise of warrants

 

 

 

 

 

 

 

 

40

 

Proceeds from issuance of convertible notes

 

 

 

 

 

287,500

 

 

 

 

Costs incurred in connection with issuance of convertible notes

 

 

 

 

 

(9,309

)

 

 

 

Payment of contingent consideration

 

 

(842

)

 

 

(932

)

 

 

 

Payments on finance lease obligations

 

 

 

 

 

(2

)

 

 

(12

)

Net cash provided by financing activities

 

 

1,067

 

 

 

280,972

 

 

 

307,768

 

Effect of foreign currency translation on cash and cash equivalents

 

 

(234

)

 

 

(367

)

 

 

(61

)

Net (decrease) increase in cash and cash equivalents

 

 

(12,238

)

 

(20,600

)

 

 

26,388

 

Cash and cash equivalents at beginning of the year

 

 

65,662

 

 

 

86,262

 

 

 

59,874

 

Cash and cash equivalents at end of the year

 

$

53,424

 

 

$

65,662

 

 

$

86,262

 

Supplemental cash flow information:

 

 

 

 

 

 

 

 

 

Cash paid for interest

 

$

2,875

 

 

$

1,414

 

 

$

907

 

Non-cash investing and financing activities:

 

 

 

 

 

 

 

 

 

Non-cash purchase of property and equipment

 

 

5,353

 

 

 

279

 

 

 

 

Non-cash consideration in connection with business combination

 

 

1,593

 

 

 

(518

)

 

 

2,339

 

Shares issued in business combinations

 

 

 

 

 

 

 

 

102,888

 

 

(1) Our 2022 results have been revised to reflect immaterial corrections related to certain captions within the Consolidated Balance Sheet, Consolidated Statement of Operations and Comprehensive Loss and Consolidated Statement of Cash Flows. See tables below for additional details with respect to the line items impacted.

10


 

Xometry, Inc. and Subsidiaries

Reconciliations of Non-GAAP Financial Measures

(In thousands, except share and per share amounts)

(Unaudited)

 

 

For the Three Months
Ended December 31,

 

 

For the Year
Ended December 31,

 

 

 

2023

 

 

2022

 

 

2023

 

 

2022

 

Adjusted EBITDA:

 

 

 

 

 

 

 

 

 

 

 

 

Net loss(1)

 

$

(10,553

)

 

$

(25,814

)

 

$

(67,465

)

 

$

(79,043

)

Add (deduct):

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense, interest and dividend income and other expenses

 

 

(1,416

)

 

 

(505

)

 

 

(5,312

)

 

 

2,486

 

Depreciation and amortization(2)

 

 

2,799

 

 

 

2,103

 

 

 

10,738

 

 

 

7,819

 

Amortization of lease intangible

 

 

180

 

 

 

333

 

 

 

950

 

 

 

1,332

 

Provision (benefit) for income taxes

 

 

(561

)

 

 

595

 

 

 

(353

)

 

 

36

 

Stock-based compensation(3)

 

 

5,896

 

 

 

5,124

 

 

 

22,118

 

 

 

19,172

 

Lease abandonment(4)

 

 

 

 

 

 

 

 

8,706

 

 

 

 

Acquisition and other(5)

 

 

481

 

 

 

566

 

 

 

824

 

 

 

(676

)

Charitable contribution of common stock

 

 

333

 

 

 

 

 

 

1,029

 

 

 

2,272

 

Income (loss) from unconsolidated joint venture

 

 

(9

)

 

 

30

 

 

 

(446

)

 

 

(570

)

Impairment of assets

 

 

 

 

 

380

 

 

 

397

 

 

 

824

 

Restructuring charge(6)

 

 

 

 

 

1,549

 

 

 

738

 

 

 

1,549

 

Costs to exit the supplies business

 

 

 

 

 

 

 

 

586

 

 

 

 

Adjusted EBITDA

 

$

(2,850

)

 

$

(15,639

)

 

$

(27,490

)

 

$

(44,799

)

 

 

 

For the Three Months
Ended December 31,

 

 

For the Year
Ended December 31,

 

 

 

2023

 

 

2022

 

 

2023

 

 

2022

 

Non-GAAP Net Loss:

 

 

 

 

 

 

 

 

 

 

 

 

Net loss(1)

 

$

(10,553

)

 

$

(25,814

)

 

$

(67,465

)

 

$

(79,043

)

Add (deduct):

 

 

 

 

 

 

 

 

 

 

 

 

Depreciation and amortization(2)

 

 

2,799

 

 

 

2,103

 

 

 

10,738

 

 

 

7,819

 

Stock-based compensation(3)

 

 

5,896

 

 

 

5,124

 

 

 

22,118

 

 

 

19,172

 

Amortization of lease intangible

 

 

180

 

 

 

333

 

 

 

950

 

 

 

1,332

 

Amortization of deferred costs on convertible notes

 

 

464

 

 

 

468

 

 

 

1,860

 

 

 

1,718

 

Loss on marketable securities

 

 

 

 

 

196

 

 

 

 

 

 

1,855

 

Acquisition and other(5)

 

 

481

 

 

 

566

 

 

 

824

 

 

 

(676

)

Loss on sale of property and equipment

 

 

 

 

 

(24

)

 

 

92

 

 

 

47

 

Charitable contribution of common stock

 

 

333

 

 

 

 

 

 

1,029

 

 

 

2,272

 

Lease abandonment and termination(4)

 

 

 

 

 

 

 

 

8,778

 

 

 

 

Impairment of assets

 

 

 

 

 

380

 

 

 

397

 

 

 

824

 

Restructuring charge(6)

 

 

 

 

 

1,549

 

 

 

738

 

 

 

1,549

 

Costs to exit the supplies business

 

 

 

 

 

 

 

 

586

 

 

 

 

Non-GAAP Net Loss

 

$

(400

)

 

$

(15,119

)

 

$

(19,355

)

 

$

(43,131

)

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

 

 

48,096,142

 

 

 

47,457,139

 

 

 

47,914,039

 

 

 

47,158,247

 

 

 

 

 

 

 

 

 

 

 

 

 

 

EPS, basic and diluted, of Class A and Class B common stock

 

$

(0.22

)

 

$

(0.54

)

 

$

(1.41

)

 

$

(1.68

)

Non-GAAP EPS, basic and diluted, of Class A and Class B common stock

 

$

(0.01

)

 

$

(0.32

)

 

$

(0.40

)

 

$

(0.91

)

 

(1)
Our 2022 results have been revised to reflect immaterial corrections related to certain captions within the Consolidated Balance Sheet, Consolidated Statement of Operations and Comprehensive Loss and Consolidated Statement of Cash Flows. See tables below for additional details with respect to the line items impacted.
(2)
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.
(3)
Represents the non-cash expense related to stock-based awards granted to employees, as included in the Company’s GAAP results of operations.
(4)
Amount is recorded in general and administrative and/or other expenses.
(5)
Includes adjustments related to purchase accounting, the revaluation of contingent consideration and transaction costs.
(6)
Costs associated with the a reduction in workforce.

11


 

Xometry, Inc. and Subsidiaries(1)

Segment Results

(In thousands)

(Unaudited)

 

 

 

For the Three Months Ended December 31,

 

 

For the Year Ended December 31,

 

 

 

2023

 

 

2022

 

 

2023

 

 

2022

 

Segment Revenue:

 

 

 

 

 

 

 

 

 

U.S.

 

$

110,574

 

 

$

87,995

 

 

$

403,289

 

 

$

347,710

 

International

 

 

17,571

 

 

 

10,066

 

 

 

60,117

 

 

 

33,211

 

Total revenue

 

$

128,145

 

 

$

98,061

 

 

$

463,406

 

 

$

380,921

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Segment Net Loss:

 

 

 

 

 

 

 

 

 

 

 

 

U.S.

 

$

(5,947

)

 

$

(21,899

)

 

$

(49,689

)

 

$

(61,792

)

International

 

 

(4,604

)

 

 

(3,914

)

 

 

(17,783

)

 

 

(17,267

)

Total net loss attributable to common stockholders

 

$

(10,551

)

 

$

(25,813

)

 

$

(67,472

)

 

$

(79,059

)

 

(1)
Our 2022 results have been revised to reflect immaterial corrections related to certain captions within the Consolidated Balance Sheet, Consolidated Statement of Operations and Comprehensive Loss and Consolidated Statement of Cash Flows. See tables below for additional details with respect to the line items impacted.

 

 

 

12


 

Xometry, Inc. and Subsidiaries

Supplemental Information

(In thousands)

(Unaudited)

 

 

 

For the Three Months
Ended December 31,

 

 

For the Year
Ended December 31,