3 minutes

“January was much weaker than we had anticipated, particularly as the number of large orders declined significantly,” says CEO Randy Altschuler.

Xometry, a public B2B marketplace for manufacturing, reported earnings, showing it finished off 2023 in fine fashion.

But the company is also presenting a slow start to the year 2024. For the year ended Dec. 31, Xometry posted revenue of $463 million, an increase of 22% year-over-year from $380.9 million. Net loss was $67.47 million compared with $79.05 million in 2022.

Xometry earnings results

Key metrics in Xometry’s Q4 and 2023 end-of-year earnings report included the following:

  • Marketplace revenue for 2023 was $395 million, an increase of 30% year-over-year from $303 million in 2022.
  • The number of suppliers increased 36% year-over-year from 2,529 to 3,429.
  • It 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.
  • Xometry 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.
  • It debuted a new quick-turn injection molding service with quotes in as fast as two hours and parts in as little as five business days.
  • Xometry acquired Tridi Teknoloj A.S. (“Tridi”) located in Istanbul, Turkey. “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,” Xometry says.
  • Xometry expanded its instant quoting engine, which it says uses AI, 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 computer numerical control (CNC) machining, sheet metal and sheet-cut parts with standard inserts while also analyzing multi-party assemblies, further accelerating Xometry’s assembly production work.

Takeaways from the Xometry earnings call

“In 2023, we significantly expanded our networks of buyers and suppliers,” CEO Randy Altschuler told analysts on Xometry’s earnings call. “We added over 14,000 net new active buyers in 2023, an 18% increase over the 2022 period, even as we spent 6% less on advertising.”

But the company also warned of a slow first quarter.

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“January was much weaker than we had anticipated, particularly as the number of large orders declined significantly,” he said. “While revenue trends improved from January to February, we expect Q1 year-over-year marketplace growth will be slower than that in Q4.”

Percentage changes may not align exactly with dollar figures due to rounding. Check back for more earnings reports. Here’s last quarter’s Xometry update.

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