Nano Dimension — Third Quarter 2026 Earnings Summary

Financial Performance

• Revenue increased 18.7% year-over-year to $31.9 million, compared to $26.9 million in the prior-year period.
• GAAP gross profit increased 77.3% year-over-year to $14.4 million, with GAAP gross margin improving to 45.3% from 30.3%.
• Non-GAAP Adjusted Gross Margin improved to 47.6%, up from 47.4% year-over-year.
• Net loss from continuing operations was $38.7 million, an increase from a loss of $29.5 million year-over-year.
• Adjusted EBITDA loss from continuing operations was $4.8 million, an improvement compared to a loss of $16.6 million year-over-year.
• Non-GAAP operating expenses declined 32.2% year-over-year and 16.5% sequentially to $19.8 million.
• Total cash, cash equivalents, deposits, restricted deposits, and marketable equity securities totaled $396.9 million as of September 30, 2026, down from $433.3 million as of June 30, 2026.
• Deferred revenue was $11.858 million as of September 30, 2026, compared to $11.873 million as of December 31, 2025.
• Total liabilities were $75.039 million as of September 30, 2026, compared to $86.236 million as of December 31, 2025.

Guidance and Future Outlook

• The Company has suspended its full year 2026 financial guidance due to ongoing strategic actions and potential business changes.
• Management aims to establish a clear path toward sustainable profitability and long-term shareholder value creation.
• The Company intends to continue deploying capital strategically with an emphasis on maximizing shareholder returns.

Business Segments and Product Lines

• Markforged product line contributed $18.6 million in revenue, an increase of $1.1 million year-over-year, driven by demand in defense and commercial industrial applications.
• Excluding Markforged, revenue increased 41.6% year-over-year to $13.3 million.
• The Essemtec product line drove growth in AI-related electronics manufacturing, aerospace, defense, space, satellite systems, photonics, and sensor applications.
• Revenue decreased by $1.4 million due to the sale of the AME product line.
• GAAP operating expenses increased 29.4% year-over-year, primarily due to a settlement payable to a related party, estimated contingencies, and higher restructuring costs, partially offset by lower personnel expenses.

Market and Competitive Landscape

• Markforged reported continued customer engagement and repeat purchases reflecting ongoing adoption of advanced manufacturing solutions.
• Essemtec expanded its global customer base through increasing adoption of integrated manufacturing platforms and advanced dispensing technologies.

Risks and Challenges

• The sale of MarkForged, Inc. to Stratasys Ltd. remains ongoing with closing expected in the fourth quarter of 2026, subject to customary closing conditions and regulatory approvals.
• GAAP operating expenses were impacted by non-recurring items including a settlement payable to a related party and estimated contingencies.
• The Company faces risks related to the execution of its strategic plan, including the monetization of non-core assets and cost reduction initiatives.

Management Commentary and Tone

• CEO Moshe Rozenbaum described the third quarter as a "turning point" involving decisive steps to reshape the Company and strengthen operational performance.
• Management priorities include accelerating profitable growth in core businesses, aggressively reducing cost structure, monetizing non-core assets, and disciplined capital deployment.
• The Company views its share repurchase program as a central pillar of its strategy, taking advantage of share price levels believed to undervalue the Company.

Other Key Points

• The Company repurchased approximately 7.0 million ordinary shares for approximately $11.1 million during the third quarter of 2026 under its $150 million authorization.
• Subsequent to the quarter, the Company repurchased approximately 5.9 million ordinary shares for approximately $8.6 million.
• The previously announced $42.5 million sale of MarkForged, Inc. to Stratasys Ltd. is expected to close in the fourth quarter of 2026.
• Moshe Rozenbaum was appointed Chief Executive Officer on November 3, 2026, following his tenure as Interim CEO since July 21, 2026.
• Nadav Kidron was appointed to the Board on August 16, 2026, and will chair the newly established Strategy and Capital Allocation Committee.
• The Company will not host a third quarter 2026 earnings conference call.
• Goodwill was reduced to zero as of September 30, 2026, compared to $40.388 million as of December 31, 2025.
• A current portion of a settlement payable to a related party of $14.7 million was recorded as of September 30, 2026.