Proto Labs Q1 revenue beats estimates on CNC machining growth

Overview

• US digital manufacturing services provider's Q1 revenue rose 10.4% yr/yr, beating analyst expectations

• Adjusted net income for Q1 beat consensus, with non-GAAP EPS rising to $0.54

• Company attributed results to strong demand and disciplined execution

Outlook

• Proto Labs expects Q2 revenue between $140 mln and $148 mln

• Company sees Q2 diluted net income per share between $0.29 and $0.37

• Proto Labs forecasts 2026 revenue growth of 6% to 8%

Result Drivers

• CNC MACHINING GROWTH - Revenue from CNC machining rose 19.7% yr/yr, outpacing other service lines

• HIGHER REVENUE PER CUSTOMER - Revenue per customer contact increased 20.4% yr/yr, indicating higher average spend

• STRONG DEMAND - Co cited strong demand for digital manufacturing services as a key driver, per CEO Suresh Krishna

Company press release: ID:nBw1BlMpja

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the industrial machinery & equipment peer group is "buy"

• Wall Street's median 12-month price target for Proto Labs Inc is $70.00, about 8% above its April 30 closing price of $64.81

• The stock recently traded at 35 times the next 12-month earnings vs. a P/E of 32 three months ago

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