Velo3D, Inc. (VELO) Q1 2026 Earnings Call Transcript
Velo3D, Inc. (VELO) Q1 2026 Earnings Call Transcript
Velo3D Q1: A Double Beat And A Credible Guide Seem To Lead To A Re-Rating
Velo3D, Inc. delivered a strong Q1 '26, with revenue up 48.4% y/y and a significant beat on estimates. VELO achieved a key inflection in gross margin, improving by 970bps to 17.2%, and sharply reduced its GAAP net loss. Management reiterated full-year 2026 guidance, expects $60m–$70m revenue, and maintains a path to positive EBITDA in H2 2026.
Velo3D: Turnaround Goal Just Pushed Further Out, Investors Are Not Happy
Velo3D, Inc. faces severe margin deterioration, delayed profitability, and a sharp post-earnings selloff, raising substantial concerns about its turnaround prospects. VELO's Q4 revenue fell 25% y/y to $9.4m, with GAAP gross margin at -74% due to a $7m inventory write-off and ongoing operational losses. Management guides for 2026 revenue of $65m and a return to 30% gross margin, but delays EBITDA breakeven to H2 2026, intensifying investor skepticism.
Velo3D: Turnaround From Volatile Hardware To Recurring Services
Velo3D is a high-risk turnaround play, shifting from hardware sales to a recurring, service-driven RPS model targeting mission-critical 3D printing markets. Management guides for 50% sales CAGR through 2027, EBITDA breakeven by mid-2026, and Q4 2025 gross margin above 30%, contingent on RPS scaling. Recent bookings surged 200% YoY, supporting a potential turnaround, but customer concentration and capital constraints present material risks.
