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Additive manufacturing company SLM Solutions adjusts its 2017 forecast

source:Industrial Laser Solution

  release:Nick

keywords: SLM Solutions additive manufacturing

Time:2017-11-29

At the formnext 2017 trade fair (held November 14-17 in Frankfurt, Germany), metal-based additive manufacturing technology supplier SLM Solutions (Lübeck, Germany) gave a live demonstration of its SLM 800 selective laser melting (SLM) machine, which features a large construction chamber with a docked removal and unpacking station. According to Henner Schöneborn, Member of the Management Board of SLM Solutions, the company received a major order for 20 SLM 800 machines on the first day of the fair, which will be delivered to a customer from the energy sector based in Asia. 

Incoming orders at SLM Solutions have risen 156% to a value of €155 million compared to the same period in 2016. As a result, the company has an improved planning basis for the coming years and will be able to reduce its strong dependence on the fourth quarter.

"After a tense market environment in the first half of the year, in which we lost 13.5% of our revenues, we are back on growth track and currently expect a consolidated revenue for the financial year 2017 of around 90 million Euros and a positive adjusted EBITDA margin in the single-digit range. Therefore, we will not be able to achieve the ambitious goals we set ourselves for 2017," says Uwe Bögershausen, Member of the Management Board of SLM Solutions. 

The main reason for the adjustments is delivery dates postponed by customers into the beginning of the next financial year, which prevents the original forecast for the 2017 financial year from being reached. "Due to the after-effects of the changes in the competitive environment in the first half of the year, the deliveries were concentrated on the fourth quarter. Without these logistical challenges, revenue this year would have well reached three figures," Bögershausen says.

SLM Solutions recently published a long-term plan to achieve revenues of €500 million with a positive EBITDA margin of 20% in the financial year 2022. "2017 was a transitional year. With signing diverse frame contracts with our customers, we have built the cornerstones for plannable, future growth. This planning is underpinned by the more than doubled value of incoming orders. The very -positive formnext 2017 also underlines our expectations. We are highly satisfied with the expert discussions we have had with representatives from numerous industrial sectors, such as the energy sector, aerospace, automotive, and medical technology. The innovative technology and the high productivity of our solutions really impressed our visitors at the fair," Bögershausen concludes.

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