2024 at a Glance: Slight Dip, Still Solid
Protolabs (NYSE: PRLB), a global leader in digital manufacturing services, released its financial results for the fourth quarter and full year ending December 31, 2024, on February 7, 2025. The company brought in $500.9 million in revenue for the year, down just 0.6% from 2023. Despite economic headwinds across the manufacturing industry, Protolabs managed to grow its gross margin and deliver strong cash flow.
- GAAP EPS: $0.66
- Non-GAAP EPS: $1.63
- Operating cash flow: $77.8 million
- Gross margin: 44.6% (Non-GAAP: 45.2%)
- Total customers worldwide: 51,552
- Average revenue per customer: $9,716 (up 3.1% year-over-year)
3D Printing: Slight Drop, Still a Core Business
3D printing continues to be a key part of Protolabs’ service lineup. In 2024, this segment generated $83.8 million in revenue—down just 0.6% (around $520K) from 2023. It accounted for roughly 16.7% of total revenue, maintaining a steady share of the overall business.
The small decline mainly came from changes in the European market. Protolabs shut down its metal 3D printing (DMLS) center in Putzbrunn, Germany, and began phasing out its prototype injection molding services in Eschenlohe. As a result, revenue in Europe slipped 2.2%, putting some pressure on the 3D printing segment.
However, the company is actively adapting. The integration and repositioning of its “Protolabs Network” (formerly Hubs) expanded capabilities for producing complex parts, giving customers more flexibility in lead times and manufacturing options. In fact, the number of customers using both Factory and Network services jumped by 50% in 2024, helping to offset regional slowdowns.
Performance of Other Services
- CNC machining: Grew 4.4%, helping support overall revenue.
- Injection molding: Dropped 4.8%.
- Sheet metal services: Down 7.7%.
Still, careful cost control helped the company maintain solid profitability across all business lines.
Strategic Shifts and What’s Ahead
CEO Rob Bodor summed it up best: “2024 was a year of transformation for Protolabs. We boosted our margins, increased EPS, and grew our cash flow. We’re shifting from being just a prototyping provider to becoming a full-scale manufacturing partner.”
CFO Dan Schumacher added that Protolabs plans to keep investing in expanding markets, strengthening its sales teams, and upgrading its manufacturing capabilities to drive growth in 2025.
And there’s more good news—In February 2025, the board approved a new $100 million stock repurchase plan. It’s a clear signal of confidence in the company’s future and a strong commitment to delivering value to shareholders.