Xometry (XMTR) Q3 2024 earnings summary

Executive summary

• Q3 2024 revenue reached a record $142 million, up 19% year-over-year, driven by 24% marketplace growth and expanding buyer and supplier networks.

• Gross profit rose 21% year-over-year to $55.8 million, with marketplace gross margin expanding to 33.6%, up 250 basis points.

• Active buyers increased 24% year-over-year to 64,851, with accounts spending at least $50,000 up 23% to 1,506.

• International revenue grew 55% year-over-year to $24.1 million, now representing up to 19% of total marketplace revenue, with strong growth in Europe and the first seven-figure order in APAC.

• Supplier network surpassed 4,200, nearly tripling since 2021, with expanded capabilities and certifications to serve larger customers.

Financial highlights

• Q3 2024 total revenue: $142 million (+19% YoY); marketplace revenue: $127 million (+24% YoY); supplier services revenue: $14.7 million (down 10% YoY).

• Q3 2024 gross profit: $55.8 million (+21% YoY); consolidated gross margin: 39.4%; marketplace gross margin: 33.6%.

• Adjusted EBITDA loss improved 85% year-over-year to $0.6 million, or 0.4% of revenue.

• Non-GAAP net income for Q3: $1.1 million, compared to a non-GAAP net loss of $2.6 million in Q3 2023.

• Cash and equivalents at quarter-end were $234 million.

Outlook and guidance

• Q4 2024 revenue expected between $145 million and $147 million; marketplace growth projected at 16%-18% year-over-year.

• Anticipates being slightly Adjusted EBITDA profitable in Q4 2024 and for full year 2025.

• Full-year 2024 marketplace growth expected at 22%-23%, above prior outlook; 2025 marketplace growth expected at least 20%.

• Guidance reflects caution due to macroeconomic uncertainty, holiday calendar, and challenging year-over-year comparisons.

• Existing cash and marketable securities expected to support working capital and capital expenditures for at least the next twelve months.