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Computer numerical control (CNC) machining revenue was up 19.7% during the quarter as Protolabs celebrated its client NASA's Artemis II lunar mission.

Protolabs reported record Q1 revenue as it continues to build out its digital manufacturing strategy, including a new artificial intelligence (AI)-powered platform for ordering custom parts.

The Minnesota-based manufacturer provides computer numerical control (CNC) machining, sheet metal fabrication, 3D printing and injection molding services. In the first quarter of 2026, Protolabs reported continued demand across those services, led by CNC machining.

“First quarter revenue grew 10% year-over-year as we delivered another record revenue quarter,” CEO Suresh Krishna said on the earnings call. “We achieved double-digit revenue growth, significant gross margin expansion, and improved operating leverage. Importantly, this reflects not only continued momentum but measurable improvements in customer engagement, growth, and operating performance.”

In particular, executives pointed to strong activity in aerospace and defense — including space exploration, satellites and drones — as well as robotics.

The company also launched ProDesk in February. The online customer interface is designed to bring quoting, ordering, collaboration and service access into one place, as Protolabs works toward a more unified ecommerce platform.

Protolabs sales in Q1 2026

For the first quarter ended March 31, Protolabs reported revenue of $139.3 million. That was up 10.4% from $126.2 million a year earlier.

In the U.S., revenue rose 11.8% to $112.1 million, marking the fourth straight quarter of double‑digit growth in the region, Krishna said.

Europe revenue reached $25.1 million. On a constant-currency basis, revenue fell 3.4% year over year, but was up from the previous quarter. Krishna said Protolabs’ strategic reset in the region was “beginning to yield early results.”

By service line, Protolabs reported:

  • CNC machining: $63.2 million, up 19.7%
  • Injection molding: $51.1 million, up 4.8%
  • 3D printing: $20.5 million, up 1.3%
  • Sheet metal: $4.4 million, up 3.3%

In the U.S. alone, CNC machining revenue climbed 23% year over year, with demand strongest in aerospace and defense, space exploration, satellites, drones and robotics, chief financial officer Dan Schumacher told analysts.

Larger orders from strategic customers also supported growth in injection molding, he said.

For 3D printing revenue, Schumacher said U.S. growth was offset by softer demand in Europe. Direct metal laser sintering (DMLS) revenue grew nearly 30% year over year, he said.

Protolabs also generated more revenue from each customer. In Q1, revenue per contact rose 20.4% to $7,028, up from $5,836 a year earlier. The company reported 19,826 customer contacts, down from 21,627 a year ago.

Net income reached $8.1 million, up from $3.6 million in the first quarter of 2025.

Schumacher said Protolabs benefited from a favorable mix in the quarter, with higher‑margin factory revenue growing faster than revenue from its manufacturing partner network. While the company saw some weakness in network demand for 3D printing, Krishna said Protolabs is making go‑to‑market changes to support growth.

Protolabs expands digital tools and aerospace work

During the quarter, Protolabs launched ProDesk, a new online interface for quoting, ordering and managing digital manufacturing projects.

Using AI, the platform provides design‑for‑manufacturability (DFM) feedback for injection molding, CNC machining and 3D printing, giving customers earlier insights before parts move into production.

ProDesk also consolidates quotes, orders, shipment tracking, billing documents and quality documentation into one dashboard, according to the company.

“Our goal with ProDesk is to deliver an online environment that modernizes the experience of working with Protolabs,” said Mark Flannery, the company’s global product director for ecommerce. He said nearly 50,000 customers are expected to access the platform this year,

Also during Q1, the company combined its product and technology teams under chief technology and AI officer Marc Kermisch. In addition, Protolabs established a Global Capability Center in India to expand its engineering, digital and AI capacity.

“We are in the process of building out our team and presence in the region,” Krishna said.

Protolabs has also been deepening its aerospace and defense presence. In Q1, the company received AS9100 certification – the international management system standard for the aviation, space and defence (AS&D) industries – for its European operations. I

In April, the company joined the Space Foundation – a move Krishna said strengthens its presence in the ecosystem. “With organizations like NASA, Lockheed Martin, and Northrop Grumman as long-standing customers, we continue to support leading-edge programs where speed, precision, and reliability are critical,” he said. “This is especially apparent following Artemis II and its successful lunar mission.”

In Europe, the company continued its strategic reset, including targeted cost reductions and changes to its go‑to‑market operations. The company said Europe revenue grew 11% sequentially in Q1.

Protolabs outlook for 2026

Protolabs maintained its full‑year outlook for 2026 and expects revenue to grow 6% to 8%.

For the second quarter, the company projects revenue between $140 million and $148 million. At the midpoint, that would represent 7% year‑over‑year growth, Schumacher said.

Krishna said Protolabs will continue focusing on customer experience, innovation, production expansion and operational efficiency as it invests in its longer‑term growth.

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