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Corporate Presentation www.materialise.com | NASDAQ: MTLS February 2025
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Safe Harbor Summary 2 This presentation has been prepared solely for use at this meeting. By reading or reviewing the presentation slides, you agree to be bound by the following limitations. This presentation has been prepared for informational and background purposes only and the information contained herein (unless otherwise indicated) has been provided by Materialise NV (together with its subsidiaries, the Company, Materialise, our or we). It is confidential and does not constitute or form part of, and should not be construed as, an offer or invitation to subscribe for, underwrite or otherwise acquire any securities of the Company or any of its respective affiliates, nor should it or any part of it form the basis of, or be relied on in connection with, any contract to purchase or subscribe for any securities of the Company or any of its respective affiliates, or with any other contract or commitment whatsoever. Neither this presentation nor any part of it may be reproduced or redistributed, passed on, or the contents otherwise divulged, directly or indirectly, to any other person (excluding the recipient’s professional advisers) or published in whole or in part for any purpose without the prior written consent of the Company. This presentation does not purport to be all-inclusive or to contain all of the information that a person considering the purchase of the securities may require to make a full analysis of the matters referred to herein. Each recipient of this presentation must make its own independent investigation and analysis of the securities and its own determination of the suitability of any investment, with particular reference to its own investment objectives and experience and any other factors which may be relevant to it and on such other information and advice from its own legal, accounting and tax advisers as it deems relevant. Any assumptions, views or opinions (including statements, projections, forecasts or other forward-looking statements) contained in this presentation represent the assumptions, views or opinions of the Company as at the date indicated and are subject to change without notice. All information not separately sourced is from internal Company data and estimates. The information contained in this presentation has not been independently verified other than by the Company and no representation or warranty, express or implied, is made as to the fairness, accuracy, completeness or correctness of the information contained herein and no reliance should be placed on it. None of the Company, the initial purchasers or any of their respective affiliates, advisers, connected persons or any other person accept any liability for any loss howsoever arising (in negligence or otherwise), directly or indirectly, from this presentation or its contents or otherwise arising in connection with this presentation. This shall not, however, restrict or exclude or limit any duty or liability to a person under any applicable law or regulation of any jurisdiction that may not lawfully be disclaimed. This presentation contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, regarding, among other things, our intentions, beliefs, assumptions, projections, outlook, analyses or current expectations, plans, objectives, strategies and prospects, both financial and business, including statements concerning, among other things, our current estimates for fiscal 2023 revenue and Adjusted EBITDA, results of operations, cash needs, capital expenditures, expenses, financial condition, liquidity, prospects, growth and strategies (including how our business, results of operations and financial condition could be impacted by the ongoing military conflict between Ukraine and Russia and economic sanctions related thereto), and the trends and competition that may affect the markets, industry or us. Such statements are subject to known and unknown uncertainties and risks. When used in this press release, the words “estimate,” “expect,” “anticipate,” “project,” “plan,” “intend,” “believe,” “forecast,” “will,” “may,” “could,” “might,” “aim,” “should,” and variations of such words or similar expressions are intended to identify forward- looking statements. These forward-looking statements are based upon the expectations of management under current assumptions at the time of this press release. These expectations, beliefs and projections are expressed in good faith and the Company believes there is a reasonable basis for them. However, the Company cannot offer any assurance that our expectations, beliefs and projections will actually be achieved. By their nature, forward-looking statements involve risks and uncertainties because they relate to events, competitive dynamics and industry change, and depend on economic circumstances that may or may not occur in the future or may occur on longer or shorter timelines than anticipated. We caution you that forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors that are in some cases beyond our control. All of the forward-looking statements are subject to risks and uncertainties that may cause the Company's actual results to differ materially from our expectations, including risk factors described in the Company's most recent annual report on Form 20-F filed with the U.S. Securities and Exchange Commission. There are a number of risks and uncertainties that could cause the Company's actual results to differ materially from the forward-looking statements contained in this presentation. This presentation includes non-IFRS financial measures, including EBITDA and Adjusted EBITDA. These measures are supplemental measures of financial performance that are not required by, or presented in accordance with, international financial reporting standards (“IFRS”). Please refer to the Appendix of this presentation for a reconciliation of such non-IFRS financial measures to the most directly comparable financial measures prepared in accordance with IFRS.
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Management team 2 Koen Berges CFO Brigitte de Vet-Veithen CEO Name Title Johan Pauwels Chief Operating Officer Bart Van der Schueren Chief Strategy and Technology Officer (CSTO) Carla Van Steenbergen Vice President - Corporate Affairs Jurgen Laudus Vice President – Manufacturing Segment Udo Eberlein Vice President – Software Segment Conny Hooghe Vice President – Human Resources Other Members of Executive Committee
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What is 3D Printing? 3D printing, also known as Additive Manufacturing, is a process of creating three- dimensional objects by depositing material layer by layer based on a digital design.
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The 3D Systems SLA-1 First machine released in 1988 3 decades of innovationvs300 years of evolution Traditional manufacturing has matured over 300 years Steam engine
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Consistent double-digit annual growth The industry we work in In $billion Projected growth by Fortune Business Insights $4,1 $5,2 $6,1 $7,3 $8,9 $11,9 $12,8 $22,4 $27,5 $150,2 $0,0 $20,0 $40,0 $60,0 $80,0 $100,0 $120,0 $140,0 $160,0 2014 2015 2016 2017 2018 2019 2020 2023 2024 2032 3D Printing Market Forecast ($B)
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The Slow Revolution At Materialise we refer to 3D printing as a “Slow Revolution”. While it has transformative potential across industries by enabling customized and on-demand production, its widespread adoption is gradual.
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Fast & Flexible Decentralized Freedom of design Personalized Sustainable Not only a different way to make things, but a way to "make a difference" Why 3D Printing?
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Leveraging 3D printing unique benefits meaningful applications Aerospace Automotive Healthcare Shorter lead times, small series, and unrivaled design freedom Empowering iterative design, shortening supply chain and reducing health- and-safety risks with lightweight handheld jigs. Pre-surgical planning, medical devices, guides, and implants
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Architecture, Art & Design Consumer goods Machinery and equipment Leveraging 3D printing unique benefits meaningful applications Freedom of design with incredible detail From proof-of-concept prototypes to premium end-use goods Innovative production tools, prototypes, and 3D-printed spare parts
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The story of Materialise
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Fried Vancraen and Hilde Ingelaere ignited Materialise's journey with one 3D printer and a vision for a healthier world, propelling it to become Europe's premier 3DP software developer and factory. Hilde Ingelaere Fried Vancraen The story of Materialise
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USA Colombia Brazil Japan Australia India China Malaysia Global presence
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267M EUR annual revenue 2514 488 employees 3 business units active in countries 2.1M+ parts printed in 2024 60k+ patients helped in 2024 6350 active users of Materialise software patents 21 *As at December 31, 2024.
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Materialise Software Materialise Manufacturing Materialise Medical Empowering customers success across three specialized business units
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Materialise software Instant ordering an quoting Data and build preparation Machine communication Production planning Focusing on optimizing the AM process
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Materialise Software 92% of the largest metal AM system manufacturers 85% of all automotive companies of the Fortune Global 500 68% of the largest industrial AM system manufacturers 40% of the top 20 companies of the Fortune Global 500 Trusted partner for maximizing the potential of 3D printing
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Materialise Manufacturing Materialise 3D printing services offer rapid product development and innovative digital manufacturing, from concept to execution. Prototyping and serial manufacturing projects Online 3D Printing Services o Get quality parts fast o Order 24/7 On-demand manufacturing services o Full-service AM o We guide you from start to finish o Repeatable and reliable Prototyping services o Prototypes for design validation and verification to fit, form and functions o Solution-oriented team
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Our manufacturing solutions Rapid prototyping Small series production Mass customization Production tooling Spare parts Design for AM
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Materialise Manufacturing Delivering high-volume, high-quality end-part production 500k+ Flying parts produced 350k+ Series parts manufactured in 2024 200+ 3D Printers 2.1M+ Parts printed in 2024
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Materialise Medical Lead the way with personalized healthcare solutions Academia Medical device Companies Healthcare professionals
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Personalized Solutions for Healthcare Professionals Surgical planning Personalized instrumentation and implants Point-of-care 3D printing
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Materialise Medical 60,000+ patients helped yearly 500,000+ patient-specific models, guides and implants created to date 6,000,000+ patient scans analyzed with our medical software Software and services that revolutionize innovative patient-specific treatment
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What makes unique? Materialise 3D Printing expertise Digitization Engineering on anatomy Software Sustainability Collaboration Customization Cross-functional synergies
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Key 2024 Achievements 4 • Medical: Delivering results through mass personalization • Broadening patient population in existing markets • Bringing personalization to new markets • Accelerating adoption and scale through launch of Mimics platform • Manufacturing: Refocusing on growth segments • Further shift from prototyping to end use products • Continued growth in strategic focus areas within certified manufacturing • New ACTech plant operational to access to ‘Huge & Heavy’ segment • Software: Advancing strategic partnerships & business model conversion • Strenthening our position with factory management capabilities • Expand pre-print position through functionality and revenue model • Enable scaling of AM through launch of Magics SDKs
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Our financials – historic overview
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2020-2024 Consolidated Revenue and Adj. EBIT(DA) [Data in mEUR unless noted otherwise. All numbers and percentages rounded] 2020 2021 2022 2023 170 205 232 256 2024 267 21% 13% +12% 10% 4% Revenue Adj. EBITDA & EBIT x% % Adj. EBTDA margin 2020 2021 2022 2023 20 1 32 12 19 -3 31 10 2024 31 10 Adj. EBITDA Adj. EBIT 12%12%8%16%12%
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2020-2024 Revenue and Adj. EBITDA by segment [Data in mEUR unless noted otherwise. All numbers and percentages rounded] 2021 2022 2023 73 85 101 2020 62 2024 11619% 16% 19% 15% 2020 2021 2022 2023 14 21 19 27 2024 36 31%26%22%28%23% Medical 2020 2021 2022 2023 39 43 44 44 2024 44 10% 2% 2% -1% 2020 2021 2022 2023 70 89 103 110 2024 107 28% 16% 7% -3% 2020 2021 2022 2023 13 16 2 7 2024 6 2020 2021 2022 2023 3 6 8 8 2024 2 RevenueAdj. EBITDA 13%17%4%37%34% 2%7%8%7%4% Software Manufacturing % marginx%x% % growth
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Our financials – latest quarter
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Q4 & Full Year 2024 Consolidated Revenue • Quarterly revenue of 65.7 mEUR, representing an increase of 0.6% compared to Q4 2023. FY24 revenue increased by 4.2% • Q4 revenue growth of 14% in our Medical business segment. Manufacturing and Software segments remain impacted by less favorable market conditions and by the shift to a recurring software license model • Deferred revenue from software licenses and maintenance increased by 5.9 mEUR in Q4 to 46.9 mEUR Q4 2023 Q4 2024 65,295 65,680 +0.6% 17% 49% 35% Software Medical Manufacturing Q4 2024 Revenue by Segment 5 [Data in kEUR unless noted otherwise. All numbers and percentages rounded] FY 2023 FY 2024 256,127 266,765 +4.2%
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Q4 & Full Year 2024 Consolidated Adjusted EBITDA & EBIT • Q4 2024 Adjusted EBITDA of 4.3 mEUR reflecting our continued investments in R&D, the ACTech plant start-up, FEops integration and one-off restructuring costs • Q4 2024 Adjusted EBIT decreased to (1.2) mEUR as a result of lower Adjusted EBITDA and of higher depreciation costs. Adj. EBITAdj. EBITDA 6 [Data in kEUR unless noted otherwise. All numbers and percentages rounded] Q4 2023 Q4 2024 3,154 -1,195 FY 2023 FY 2024 9,886 9,741 -1.5% Q4 2023 Q4 2024 8,474 4,306 -49.2% FY 2023 FY 2024 31,397 31,484 +0.3% 12.3% 11.8% 6.6% 13.0% 3.7%3.9% -1.8%4.8%
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Q4 & Full Year 2024 Medical Segment • Q4 2024 revenue increased 14% to 31.8 mEUR • Revenue from medical devices & services increased 15%, driven by growth in both partner and direct sales • Revenue from medical software grew at the same time by 14% • Q4 2024 Adjusted EBITDA grew to 9.5 mEUR, representing an Adjusted EBITDA margin of 30%, despite increased R&D spend and Feops integration 7 [Data in kEUR unless noted otherwise. All numbers and percentages rounded] Revenue Adj. EBITDA Q4 2023 Q4 2024 27,848 31,837 +14.3% FY 2023 FY 2024 101,376 116,358 +14.8% Q4 2023 Q4 2024 9,365 9,547 +1.9% FY 2023 FY 2024 26,544 35,562 +34.0% 26.2% 30.6% 30.0%33.6%
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Q4 & Full Year 2024 Software Segment • Q4 2024 revenue decreased -1% to 11.1 mEUR compared to Q4 2023 • Recurring revenue, including CO-AM subscription fees, rose by 19% • Non-recurring revenue decreased by 35% • Q4 2024 Adjusted EBITDA decreased slightly by 0.1 mEUR to 1.1 mEUR, representing an Adjusted EBITDA margin of 10% 8 [Data in kEUR unless noted otherwise. All numbers and percentages rounded] Revenue Adj. EBITDA Q4 2023 Q4 2024 11,250 11,124 -1.1% FY 2023 FY 2024 44,442 43,899 -1.2% Q4 2023 Q4 2024 1,259 1,123 -10.8% FY 2023 FY 2024 7,450 5,562 -25.3% 16.8% 12.7% 10.1% 11.2%
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Q4 & Full Year 2024 Manufacturing Segment • Q4 2024 revenue decreased by 13% to 22.7 mEUR compared to Q4 2023 due to continued soft prototyping demand in combination with the ACTech new plant start-up • Q4 2024 Adjusted EBITDA decreased to (3,0) mEUR, representing an Adjusted EBITDA margin of (13.2)% 9 [Data in kEUR unless noted otherwise. All numbers and percentages rounded] Revenue Adj. EBITDA Q4 2023 Q4 2024 26,198 22,719 -13.3% FY 2023 FY 2024 110,310 106,508 -3.4% 557 Q4 2023 Q4 2024 -2,989 FY 2023 FY 2024 7,537 1,660 -78.0% 6.8% 1.6% -13.2% 2.1%
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Income Statement Highlights Q4 Full Year (in thousands of euros, except where indicated) 2024 2023 2024 2023 Revenue 65,680 65,295 266,765 256,127 Cost of sales (29,315) (27,747) (115,940) (110,996) Gross profit 36,365 37,548 150,826 145,131 Research & development expenses (12,099) (10,116) (44,400) (38,098) Sales & marketing expenses (16,490) (15,403) (61,620) (57,822) General & administrative expenses (10,402) (9,855) (39,597) (37,068) Other income/(expenses), net 1,357 (3,287) 4,223 (6,524) Operating profit/(loss) (1,268) (1,113) 9,432 5,619 Financial income/(expenses), net 3,301 (234) 4,707 1,154 Taxes 874 809 (733) (78) Net profit/(loss) 2,907 (539) 13,406 6,695 Diluted EPS (in EUR) 0.05 (0.01) 0.23 0.11 (Diluted) weighted average shares (thousands) 59,148 59,067 59,105 59,085 10 Q4 2023 Q4 2024 FY 2023 FY 2024 57.5% 55.4% 56.7% 56.5% Gross profit margin (in %) Diluted EPS (in EUR) Q4 2023 Q4 2024 FY 2023 FY 2024 0.01 0.05 0.11 0.23 [Data in kEUR unless noted otherwise. All numbers and percentages rounded]
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Other Financial Highlights Balance Sheet items (in thousands of euros, except where indicated) 12/31/24 12/31/23 Cash and equivalents 102,304 127,573 Borrowings 41,284 64,398 Net Cash 61,020 63,175 Trade receivables 53,052 52,698 Inventories 16,992 17,034 Trade payables 23,348 21,196 Deferred income 59,266 51,492 Equity 248,492 236,594 Total balance sheet 396,336 396,630 11 Cash flow from operations Capital expenditures (cash impact) [Data in kEUR unless noted otherwise. All numbers and percentages rounded] 195 Q4 2023 Q4 2024 FY 2023 FY 2024 6,218 20,157 31,456 Q4 2023 Q4 2024 FY 2023 FY 2024 2,450 7,760 11,760 26,377
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Adjusted EBIT/EBITDA Reconciliation Q4 Full Year [Data in kEUR unless noted otherwise. All numbers and percentages rounded] 2024 2023 2024 2023 Net profit/(loss) 2,907 (539) 13,406 6,695 Income taxes (874) (809) 733 78 Financial expenses 434 266 4,516 3,865 Financial income (3,735) (32) (9,224) (5,019) EBIT (1,268) (1,113) 9,432 5,619 Depreciation & amortization 5,501 5,320 21,742 21,511 EBITDA 4,234 4,207 31,175 27,130 Share-based compensation expense 72 39 285 39 Acquisition related expenses of business combinations - - 24 - Impairments charges - 4,228 - 4,228 Adjusted EBITDA 4,306 8,474 31,484 31,397 Depreciation & amortization (5,501) (5,320) (21,742) (21,511) Adjusted EBIT (1,195) 3,154 9,741 9,886 13
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2025 Financial Guidance • Expect 2025 consolidated revenue within 270 - 285 mEUR range • Expect 2025 consolidated Adjusted EBIT within 6 - 10 mEUR range 12
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Thank you Contact: Investor Relations Materialise investors@materialise.com