Velo3D's Robust Q2 2025 Financial Performance
Velo3D, Inc. (OTCQX: VLDX) has announced its financial results for the second quarter of 2025, showcasing significant achievements in revenue and strategic partnerships that enhance its market position in the additive manufacturing sector. For the quarter ended June 30, Velo3D reported a revenue of $13.6 million, a noteworthy growth compared to the same period last year.
Backlog and Revenue Growth
The company reported a backlog of $15.9 million as of June 30, 2025, which has grown to $17.8 million as of July 25, 2025. This growth reflects Velo3D's strong positioning as a leader in the additive manufacturing technology space, particularly for aerospace and defense applications. The CEO of Velo3D, Arun Jeldi, commented on the company's robust backlog, highlighting the strong demand from these sectors.
Strategic Advancements
In addition to impressive backlog numbers, Velo3D is reaffirming its expectation for more than 30% annual revenue growth in 2025. The management also anticipates achieving EBITDA positivity in the first half of 2026. These targets are anchored in the growing diversification and technological advancements in Velo3D’s offerings.
Strong Momentum in Rapid Production Services
During the second quarter of 2025, Velo3D's Rapid Production Services (RPS) bookings surged by 79% quarter over quarter. Remarkably, new customers accounted for over 78% of these total bookings. The company reported that 54% of RPS bookings stemmed from the space sector and 33% from defense initiatives, showcasing the company’s targeted market strategy.
Key Partnerships Strengthen Market Position
Velo3D also secured notable contracts aimed at advancing additive manufacturing capabilities. This quarter, the company signed a two-year Master Services Agreement worth $4 million with Vaya Space, which aims to collaborate on innovation in high-performance additive manufacturing. Additionally, Velo3D is further partnering with Amaero through a $22.0 million strategic arrangement following a significant powder qualification milestone achieved by Auburn University's National Center for Additive Manufacturing Excellence.
Operational Efficiencies and Future Expectations
Operational efficiencies are expected to improve gross margins in the upcoming quarters, which currently stand at (11.7%), up from (28.0%) from the prior year. The management anticipates that the integration of the new go-to-market strategy will enhance revenues from RPS parts production, further solidifying Velo3D’s financial outlook.
Financial Overview and Outlook
Operating expenses decreased to $10.5 million in Q2 2025, significantly down from $17.6 million in Q2 2024. The company reported a GAAP net loss of ($13.8 million), which represents a decline in losses compared to $172,000 in the same period last year. Non-GAAP net loss amounted to ($11.3 million), with adjusted EBITDA reported at ($8.9 million) for the quarter.
Cash Position and Guidance
As of June 30, 2025, Velo3D had cash and cash equivalents of $854,000. The management has provided guidance for the full year 2025, projecting revenue between $50 million and $60 million, alongside a sequential improvement in gross margin with expectations of surpassing 30% by Q4 of 2025. Moreover, non-GAAP operating expenses are anticipated to range from $40 million to $50 million for the year.
Upcoming Conference Call
Velo3D plans to host a conference call for investors to further discuss its second quarter 2025 financial results. The call will provide an opportunity for stakeholders to gain insights into the company’s operational strategies and future growth potential.
About Velo3D
Velo3D is a pioneering company in the metal 3D printing industry, known for overcoming the limitations of traditional additive manufacturing. It enables customers to design and create highly complex parts for various sectors, including space exploration, aviation, and energy. Their approach leverages a fully integrated solution, including the Flow software, the Sapphire printer series, and the Assure quality control system, all powered by Velo3D's Intelligent Fusion manufacturing process.
Frequently Asked Questions
What is Velo3D's reported revenue for Q2 2025?
Velo3D reported a revenue of $13.6 million for Q2 2025.
What are Velo3D's expected revenue projections for 2025?
The company anticipates revenue growth between $50 million and $60 million for the entire year of 2025.
How did the company's backlog change from June 30, 2025 to July 25, 2025?
Velo3D's backlog increased from $15.9 million on June 30 to $17.8 million by July 25, 2025.
What partnerships did Velo3D announce in Q2 2025?
Velo3D signed a $4 million contract with Vaya Space and a $22 million partnership with Amaero.
When is the next earnings call scheduled?
The next earnings call is scheduled for later today at 5 p.m. Eastern Time.
