Velo3D Reports 65.4% Revenue Growth to $13.6 Million, Faces Liquidity Challenges

Velo3D, Inc. reported significant financial developments in its latest quarterly filing, revealing a total revenue of $13.6 million for the three months ended September 30, 2025, a 65.4% increase from $8.2 million in the same period last year. The growth was primarily driven by a substantial rise in sales of 3D printers and parts, which surged to $12.0 million from $1.0 million year-over-year. However, the company experienced a net loss of $11.8 million, a notable improvement from a loss of $23.1 million in the prior year, indicating a 48.9% reduction in losses.

In terms of operational metrics, Velo3D's cost of revenue also increased significantly, totaling $13.2 million for the recent quarter, compared to $4.2 million in the previous year. This rise was attributed to the increased number of systems sold and higher manufacturing costs associated with production. The gross profit for the quarter was $0.4 million, translating to a gross margin of 3.2%, down from 49.4% in the prior year, largely due to the absence of non-recurring revenue from licensing agreements that had bolstered the previous year's figures.

Strategically, Velo3D has undergone several organizational changes, including a reverse stock split and a shift in majority ownership following a debt-for-equity exchange transaction with Arrayed Additive, which resulted in Arrayed holding approximately 95% of the company's common stock. The company also completed a public offering in August 2025, raising approximately $17.8 million in net proceeds, which it plans to use for working capital and general corporate purposes. Despite these efforts, Velo3D faces substantial liquidity challenges, with management expressing doubts about the company's ability to continue as a going concern without additional financing.

Operationally, Velo3D's customer base remains concentrated, with the top three customers accounting for 50.9% of revenue in the latest quarter. The company is actively working to diversify its customer base while also focusing on enhancing its product offerings and operational efficiencies. As of September 30, 2025, Velo3D had approximately $11.8 million in cash and cash equivalents, alongside $6.7 million in accounts receivable, indicating a need for careful cash management moving forward.

Looking ahead, Velo3D's management anticipates continued challenges in securing financing and managing operational costs, particularly in light of macroeconomic conditions and supply chain constraints. The company is committed to improving its financial health through strategic investments in product development and operational efficiencies, while also navigating the complexities of its current financial obligations.