Xometry's Revenue Climbs 12% to $135.2M, Net Loss Widens to $25.8M
Ticker: XMTR · Form: 10-Q · Filed: Aug 5, 2025 · CIK: 1657573
| Field | Detail |
|---|---|
| Company | Xometry, Inc. (XMTR) |
| Form Type | 10-Q |
| Filed Date | Aug 5, 2025 |
| Risk Level | high |
| Sentiment | bearish |
Sentiment: bearish
Topics: Manufacturing, On-Demand Manufacturing, Marketplace, Net Loss, Convertible Notes, Revenue Growth, Q2 2025 Earnings
Related Tickers: XMTR
TL;DR
Xometry is growing revenue but bleeding cash, making it a risky bet until they prove a path to profitability.
AI Summary
Xometry, Inc. reported a significant increase in revenue for the three months ended June 30, 2025, reaching $135.2 million, up from $120.5 million in the prior-year period, representing a 12.2% growth. For the six months ended June 30, 2025, total revenue was $260.1 million, a 10.8% increase from $234.7 million in the same period of 2024. Despite revenue growth, the company's net loss widened to $25.8 million for the second quarter of 2025, compared to a net loss of $22.1 million in Q2 2024. The net loss per share for Q2 2025 was $0.52, an increase from $0.45 in Q2 2024. Key business changes include the issuance of $200.0 million in 2.00% Convertible Senior Notes due 2030 in June 2025, which will impact future financial obligations. The company also recognized $1.5 million in employee severance costs during the six months ended June 30, 2025, primarily within operations and support. Risks include the ongoing net losses and the need to achieve profitability, as well as managing the debt associated with the new convertible notes. Xometry's strategic outlook focuses on continued marketplace expansion and leveraging its platform, but sustained losses pose a challenge.
Why It Matters
Xometry's continued revenue growth, up 12.2% to $135.2 million in Q2 2025, signals strong demand for its manufacturing marketplace, which is positive for investors looking for market share expansion. However, the widening net loss to $25.8 million raises concerns about profitability and operational efficiency, potentially impacting investor confidence and stock valuation. For employees, the $1.5 million in severance costs indicates ongoing restructuring, which could affect morale and job security. In the broader market, Xometry's performance reflects the health of the on-demand manufacturing sector and its competitive landscape against traditional manufacturing and other digital platforms.
Risk Assessment
Risk Level: high — The risk level is high due to Xometry's persistent and widening net losses, with a net loss of $25.8 million in Q2 2025, up from $22.1 million in Q2 2024. Additionally, the company issued $200.0 million in 2.00% Convertible Senior Notes due 2030, increasing its debt burden and future financial obligations without a clear path to profitability.
Analyst Insight
Investors should exercise caution and closely monitor Xometry's next few earnings reports for signs of improved profitability and reduced net losses. Consider holding off on new investments until there's clear evidence of operational efficiency gains and a viable strategy to turn revenue growth into positive net income.
Financial Highlights
- revenue
- $135.2M
- total Debt
- $200.0M
- net Income
- -$25.8M
- eps
- -$0.52
- revenue Growth
- +12.2%
Revenue Breakdown
| Segment | Revenue | Growth |
|---|---|---|
| Marketplace Revenue | $135.2M | +12.2% |
Key Numbers
- $135.2M — Q2 2025 Revenue (Increased 12.2% from $120.5M in Q2 2024)
- $25.8M — Q2 2025 Net Loss (Widened from $22.1M in Q2 2024)
- $0.52 — Q2 2025 Net Loss Per Share (Increased from $0.45 in Q2 2024)
- $200.0M — Convertible Senior Notes Issued (New debt due 2030, impacting future obligations)
- 12.2% — Q2 2025 Revenue Growth (Year-over-year increase in revenue)
- $1.5M — Employee Severance Costs (Recognized in H1 2025, primarily in operations and support)
- $260.1M — H1 2025 Total Revenue (Increased 10.8% from $234.7M in H1 2024)
Key Players & Entities
- Xometry, Inc. (company) — filer of the 10-Q
- James Miln (person) — involved in Rule 10b5-1 trading arrangement
- $135.2 million (dollar_amount) — total revenue for Q2 2025
- $120.5 million (dollar_amount) — total revenue for Q2 2024
- $25.8 million (dollar_amount) — net loss for Q2 2025
- $22.1 million (dollar_amount) — net loss for Q2 2024
- $200.0 million (dollar_amount) — principal amount of 2.00% Convertible Senior Notes due 2030
- $1.5 million (dollar_amount) — employee severance costs for the six months ended June 30, 2025
- Bloomberg (company) — publisher of the analysis
- SEC (regulator) — regulator of the 10-Q filing
FAQ
What were Xometry's total revenues for the second quarter of 2025?
Xometry's total revenues for the second quarter ended June 30, 2025, were $135.2 million, representing a 12.2% increase compared to $120.5 million in the same period of 2024.
How much net loss did Xometry report in Q2 2025?
Xometry reported a net loss of $25.8 million for the second quarter of 2025, which is an increase from the net loss of $22.1 million reported in Q2 2024.
What was Xometry's net loss per share for the second quarter of 2025?
The net loss per share for Xometry in the second quarter of 2025 was $0.52, compared to a net loss per share of $0.45 in the second quarter of 2024.
Did Xometry issue any new debt in the first half of 2025?
Yes, Xometry issued $200.0 million in 2.00% Convertible Senior Notes due 2030 in June 2025, which are privately placed.
What were Xometry's employee severance costs in the first six months of 2025?
Xometry recognized $1.5 million in employee severance costs during the six months ended June 30, 2025, primarily within operations and support.
What is the primary risk highlighted by Xometry's Q2 2025 filing?
The primary risk highlighted is the company's persistent and widening net losses, with a net loss of $25.8 million in Q2 2025, indicating a challenge in achieving profitability despite revenue growth.
How does Xometry's Q2 2025 performance impact investors?
Xometry's Q2 2025 performance presents a mixed signal for investors: revenue growth is positive, but the widening net loss and increased debt from the $200.0 million convertible notes raise concerns about long-term profitability and financial stability.
What is Xometry's strategic focus based on the Q2 2025 filing?
Xometry's strategic focus continues to be on marketplace expansion and leveraging its platform, aiming for continued revenue growth, though the filing also underscores the challenge of converting this growth into profitability.
What is the significance of the 2.00% Convertible Senior Notes due 2030 for Xometry?
The issuance of $200.0 million in 2.00% Convertible Senior Notes due 2030 signifies Xometry's need for capital to fund operations and growth, but also adds to its long-term debt obligations and potential dilution if converted.
Where is Xometry, Inc. headquartered?
Xometry, Inc. is headquartered at 6116 Executive Boulevard, Suite 800, North Bethesda, MD 20852.
Risk Factors
- Sustained Net Losses [high — financial]: The company reported a net loss of $25.8 million for Q2 2025, an increase from $22.1 million in Q2 2024. This widening loss, coupled with a net loss per share of $0.52, highlights the ongoing challenge of achieving profitability.
- Increased Debt Burden [medium — financial]: Xometry issued $200.0 million in 2.00% Convertible Senior Notes due 2030 in June 2025. While this provides capital, it introduces future debt obligations and interest payments that could strain finances if revenue growth does not outpace expenses.
- Employee Severance Costs [low — operational]: The company recognized $1.5 million in employee severance costs during the first six months of 2025, primarily within operations and support. Such costs can impact short-term profitability and indicate potential restructuring or efficiency drives.
Industry Context
Xometry operates in the manufacturing marketplace sector, which is characterized by increasing adoption of digital platforms for sourcing and production. The industry is competitive, with companies focusing on expanding their supplier networks, offering diverse manufacturing capabilities, and improving lead times and cost-efficiency for customers.
Regulatory Implications
As a publicly traded company, Xometry must comply with SEC regulations, including timely and accurate financial reporting as demonstrated in this 10-Q. There are no specific new regulatory risks highlighted in this filing beyond standard compliance requirements.
What Investors Should Do
- Monitor path to profitability
- Analyze debt impact
- Assess revenue drivers
Key Dates
- 2025-06-30: End of Q2 2025 — Reported $135.2 million in revenue, a 12.2% increase year-over-year, but a net loss of $25.8 million.
- 2025-06-01: Issuance of Convertible Senior Notes — Xometry issued $200.0 million in 2.00% Convertible Senior Notes due 2030, impacting its capital structure and future financial obligations.
- 2025-06-30: End of H1 2025 — Total revenue reached $260.1 million, up 10.8% year-over-year. Recognized $1.5 million in employee severance costs.
Glossary
- Convertible Senior Notes
- Debt securities that can be converted into a predetermined amount of the issuer's equity under certain conditions. (Xometry issued $200.0 million of these notes, impacting its debt and potential future equity dilution.)
- Net Loss Per Share (EPS)
- The portion of a company's profit allocated to each outstanding share of common stock. A net loss per share indicates the company is losing money on a per-share basis. (Xometry's net loss per share increased to $0.52 in Q2 2025 from $0.45 in Q2 2024, indicating a worsening profitability trend.)
- Marketplace Revenue
- Revenue generated from the company's platform where buyers and sellers transact. (This is Xometry's primary revenue stream, showing a 12.2% growth in Q2 2025.)
Year-Over-Year Comparison
Compared to the prior year period, Xometry reported a healthy 12.2% increase in Q2 2025 revenue to $135.2 million. However, this top-line growth was overshadowed by a widening net loss of $25.8 million, up from $22.1 million in Q2 2024, and an increase in net loss per share to $0.52. A significant new development is the issuance of $200.0 million in convertible senior notes, adding to the company's financial obligations and introducing new risks related to debt management and potential dilution.
Filing Details
This Form 10-Q (Form 10-Q) was filed with the SEC on August 5, 2025 by James Miln regarding Xometry, Inc. (XMTR).