3D Systems cuts 2013 profit forecast, shares fall

Reuters

Oct 29 (Reuters) - 3D Systems Corp cut its earningsforecast for 2013 as it spends more on research and expandingits retail presence, sending its shares down 7 percent inpremarket trading.

The largest listed 3D printer company said it expectsfull-year adjusted earnings of 93 cents to $1.03 per share, downfrom its previous forecast of $1.05 to $1.20.

The company, however, raised its revenue forecast for theyear to $500 million-$530 million from its previous forecast of$485 million-$510 million, and reported better-than-expectedthird-quarter results.

3D Systems said it was also investing in developing newproducts and growing capacity at metal 3D printer maker PhenixSystems, which it acquired in July.

Net income attributable to the company rose to $17.7million, or 17 cents per share, in the three months to Sept. 30,from $13.5 million, or 16 cents per share, a year earlier.

Excluding items, the company earned 26 cents per share.

Revenue rose 50 percent to $135.7 million.

Analysts on average had expected earnings of 26 cents pershare on revenue of $132 million, according to Thomson ReutersI/B/E/S.

The company signed a retail agreement with office supplyretailer Staples Inc in May to sell its Cube consumerprinter.

However, sales of the printer have been in hundreds ratherthan the thousands anticipated, William Blair analyst Brian Drabwrote in a pre-earnings note.

"The retail partnership with Staples has definitely had animpact on 3D Systems' shares over the last several months, butour checks indicate essentially zero impact on the company'sfinancial performance," he said.

3D Systems' shares have risen 44 percent since theannouncement from Staples. The company does not break out salesfigures for Cube, which it launched in January last year.

Shares of the company, whose rivals include Stratasys Ltd and Exone Co, were trading at $53.12 afterclosing at $56.98 on Monday on the New York Stock Exchange.

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