Overview

• Xometry Q2 revenue rises 23% yr/yr, beating analyst expectations, per LSEG data

• Adjusted EPS for Q2 beats estimates

• Adjusted EBITDA improves significantly, driven by marketplace gross margin expansion

Outlook

• Xometry sees Q3 revenue of $167-$169 mln, 18-19% growth y-o-y

• Company expects Q3 adjusted EBITDA of $4.0-$5.0 mln

• Xometry raises FY 2025 marketplace growth outlook to 23-24%

• Company expects FY 2025 supplier services revenue down ~5% y-o-y

Result Drivers

• MARKETPLACE GROWTH - Q2 revenue driven by robust marketplace growth, with marketplace revenue up 26% yr/yr

• ENTERPRISE EXPANSION - Strong enterprise growth and expanding networks of buyers and suppliers boosted marketplace revenue

• GROSS MARGIN EXPANSION - Record marketplace gross margin of 35.4% contributed to increased gross profit

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", 2 "hold" and 1 "sell" or "strong sell"

• The average consensus recommendation for the it services & consulting peer group is "buy"

• Wall Street's median 12-month price target for Xometry Inc is $35.50, about 12.8% above its August 4 closing price of $30.97

• The stock recently traded at 64 times the next 12-month earnings vs. a P/E of 77 three months ago

Press Release: ID:nGNX1dgmND

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)