The second quarter was a slower one for Proto Labs Inc., a digital manufacturing and services company where all orders are placed, processed, and paid for online. Protolabs specializes in just-in-time manufacturing.
Demand impacts sales for Protolabs
For the second quarter ended June 30, Protolabs posted revenue of $122.3 million. That representing a 3.7% compared to revenue of $126.9 million in the second quarter of 2022.
Net loss was $383,000 compared to net income of $2.55 million in Q2 of the prior year.
“Similar to what we saw in the first quarter, driven by macro climate, demand for longer lead time, lower price offerings continue to outpace demand for our quick turn offerings,” CEO Rob Bodor told analysts on the earnings call about Protolabs sales. “As we discussed in the prior quarter, we are operating in a challenging and uncertain manufacturing environment, with both U.S. and Eurozone’s manufacturing indices reporting three-year lows in June.”
Protolabs’ current manufacturing services include:
- Injection molding
- 3D printing
- Sheet metal
- CNC machining
CNC machining is a manufacturing process in which pre-programmed applications dictate the movement of factory tools and machinery. The process enables three-dimensional cutting tasks to be accomplished in a single set of prompts.
“We have little control over macro conditions and end market demand,” Bodor said. “But these short-term challenges should not cloud the advantages of our business model. The combination of our factory and network offers has allowed us to perform better than peers in the current environment, and we believe it will allow us to outgrow the market longer term, particularly as our factory offer becomes less reliant on the quick turn business that is sensitive to economic conditions.”
Percentage changes may not align exactly with dollar figures due to rounding. Check back for more earnings reports.
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