Editor’s note: This article was originally published yesterday.
Well … that was quick.
Yesterday, 3D Systems Corporation (NYSE:DDD) tranquilized the bears by meeting analysts’ earnings expectations, and maintaining its previous full-year 2013 guidance. When all was said and done, the stock managed to close up nearly 7% for the day.
Then, just this morning, the additive manufacturing specialist announced the acquisition of Rapid Product Development Group (RPDG), a “provider of on-demand additive and traditional manufacturing services.”
Quick! Before the ink dries…
Curiously, though, management stayed relatively quiet on the guidance front until an analyst from BB&T asked for clarification during the earnings conference call yesterday morning.
In response, 3D Systems Corporation (NYSE:DDD) CEO Abraham Reichental stated
We stand by the guidance that we have given. Nothing has changed. We didn’t see any need to particularly mention it, but I believe that our guidance was $1.00 to $1.15 on revenue of $440 million to $485 million.
With the acquisition of RPDG, however, 3D Systems Corporation (NYSE:DDD) proceeded to simultaneously raise its 2013 guidance. Now, the company expects revenue in the range of $460 million to $510 million, and non-GAAP earnings per share between $1.05 and $1.20. All told, that means RPDG should positively contribute around $20 million to $25 million in sales, with earnings of around $0.05 per share.
Naturally, 3D Systems’ VP Ziad Abou heaped praise on RPDG, saying, “We are very pleased to add a proven service provider and innovator of RPDG’s reputation, experience, and scale to our rapidly growing, global network of on-demand parts services.” Abou, incidentally, is also the General Manager of 3D Systems Corporation (NYSE:DDD) Quickparts Services segment, which was acquired way back in February, 2011. If all goes well, then, RPDG should serve to nicely complement the existing Quickparts business.
According to its website, RPDG was founded in 2003, currently has more than 350 employees, and boasts over 150,000 square feet of manufacturing facilities across its operations in the U.S., Mexico, China, and the U.K.