Digital PlaySpace is a software platform and an app that runs on social media giant Facebook Inc.’s (NASDAQ: FB) site that allows users to create custom 3D objects. The platform will then allow users to print the objects directly to 3D Systems’ Cubify printers or send them to the company’s fulfillment service.
3D Systems shows again that it has not given up on its strategy to build the largest ecosystem it can for its consumer products with a long-term goal in mind rather than seeking shorter term profits. Last week the company struck a deal with toymaker Hasbro Inc. (NYSE: HAS) that adds a portfolio of Hasbro brands to 3D Systems’ stable.
The company is scheduled to announce fourth quarter earnings next week, and analysts are expecting earnings per share of $0.20 on revenues of $155.1 million. Full-year earnings per share are slated at $0.86 on revenues of $513.66 million. If 3D Systems makes those numbers, profits will have risen 3.6% compared with 2012 and revenues will have jumped 45%.
3D Systems raised its revenue guidance at the end of the third quarter from a range of $485 to $510 million to a new range of $500 to $530 million. Analysts are looking at something below the midpoint of the new range and their earnings per share estimates are well below the company’s guidance of $0.93 to $1.03. The new earnings per share guidance 3D Systems provided in October was lower than its previous estimate due to increases in R&D spending, marketing and field operations, and retail channel expansion.
3D Systems’ stock is down about 0.6% in mid-afternoon trading at $76.74 in a 52-week range of $27.88 to $97.28.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.