XTPL has released results for the third quarter of 2024, during which the company generated PLN 6.7 million in revenue from the sale of products and services – compared to the PLN 9.2 million achieved in the same period last year. In the coming weeks, the company expects several orders for the Delta Printing System devices. Coupled with products already delivered after the balance sheet date (1 piece) and those currently in delivery (3 pieces), this will positively impact Q4 results and strongly boost end-of-year sales. The delivery of some expected orders may shift to the beginning of next year, supporting Q1 2025 revenues. Last month, XTPL announced a new business line under the working name DPS+, which is being developed in response to market demand expressed by current and potential customers. The new device will fill a niche between industrial modules and DPS devices. The higher unit price, attractive margin level, and ultimately the potential for higher volume per order will contribute to the aim of achieving PLN 100 million in commercial sales in 2026, as outlined in the company’s 2023-2026 Strategy. XTPL is making progress in all four key industrial projects with a chance to adopt its technology in the production lines of global manufacturers of advanced electronics. The management expects a record-breaking and breakthrough year for XTPL in 2025.
“Four industrial prototype machines with our printing head inside are already being tested globally, and the end customers are the largest global manufacturers of advanced electronics from the display and semiconductor industries in South Korea, China, USA, and Taiwan. In each project, we are moving forward and we believe we have never been closer to the final decision of a partner to move to the last stage – the implementation of our technology on the industrial line and a multiple increase in orders for XTPL printing heads. We expect a record-breaking and breakthrough year for XTPL in 2025. The achievement of industrial implementation, which we have aimed at for the last nine years of company development, will finally seal our credibility and allow a sharp increase in revenues not only in the horizons of the 2023-2026 Strategy but also in the longer term,” comments Filip Granek, CEO of XTPL S.A.
“In the upcoming weeks, we are expecting several key business events apart from generating current DPS equipment orders. Among them, the most important is the official opening of our first foreign demonstration-sales center in Boston, USA. This is one of the most important markets for modern technologies, and since the beginning of the year, we have significantly strengthened our presence there, among others, through the activities of our Managing Director for the North American market. We did not have to wait long for the effects of this expansion – out of the 4 DPS devices ordered in recent weeks, customers of 3 of them were recipients from North America, moreover, all these companies are industrial recipients. The stationary unit will have a laboratory equipped with our products which will allow demonstrations for current and new customers. The local branch and team of American experts also open up the possibility of participation in R&D projects under the Chips Act and in new areas requiring increased confidentiality of activities. We expect the outlet to quickly break even,” adds Filip Granek.
After Q3 2024, XTPL generated PLN 7.3 million in total revenue, including PLN 6.7 million from the sale of products and services, compared to PLN 10.8 million and PLN 9.2 million respectively in the same period of the previous year. The remaining value consists of subsidies. In September, the Company launched an international project under the Horizon Europa program worth EUR 7.0 million, with 0.5 million euros allocated to XTPL. The project will be implemented over 48 months. EBITDA after Q3 2024 amounted to -PLN 14.5 million as a result of the investment process implemented by the Company in connection with the 2023-2026 Strategy. The level of cash assets amounted to PLN 4.8 million as of September 30, 2024.
The adopted Strategy for 2023-2026 is aimed at scaling up XTPL’s business with the aim of achieving PLN 100 million in commercial sales in 2026 thanks to the implementation of an investment plan for a total amount of PLN 60 million in three key business areas: sales, production, and R&D. The first, intense phase of the investment process is currently being completed, and the source of its financing was PLN 36.6 million gross obtained from the public offer last year. Thanks to these investments, the Company has, among others, increased the number and advancement of key industrial projects, built an international business development team, finalizing processes related to the launch of the branch in Boston, USA, and significantly increased activity at international industry conferences. The production capacities have also been increased to serve the expected scale of orders along with a significant reduction in the delivery time of DPS devices to customers from several months to several weeks. XTPL also carries out advanced work in the field of R&D aimed at maintaining the competitiveness of its solutions and the development of subsequent products, including the new DPS+ business line. Employment has doubled, and the current structure is adjusted to the realization of commercial sales exceeding the level of the set target of PLN 100 million in 2026.
In October, the Management Board decided to secure funds amounting to PLN 28-31 million gross as part of the issue of up to 300,000 ordinary bearer shares targeted at investors meeting the requirements set out in the issue resolution submitted to the agenda of the Extraordinary General Meeting convened for November 18. The obtained funds will strengthen further initiatives in the field of sales, production, and R&D.
“The decision to recommend raising additional funds in the form of increasing the Company’s share capital through the issue of ordinary bearer shares is a consequence of our active process of searching for debt financing in recent quarters, both in commercial banks and more mission-oriented institutions such as the EIB or PFR. After the talks we had, we believe that this is not yet the time to reach for financing from these sources on an appropriate scale and optimally cost-effectively. It is worth noting that we have fully achieved the objectives and assumptions of the first stage of our investment process outlined for a total amount of PLN 60 million in the years 2023-2026, and the commencement and implementation of the second stage of this process will significantly upscale XTPL in terms of organization, business and finance, to the benefit of our investors,” says Jacek Olszański, Board Member for Finance at XTPL.
“At the end of September, the level of our inventory amounted to PLN 5.0 million and included potential sales of PLN 12.0 million, which we are expecting in the coming quarters. The investments we have made largely support the anticipated sale of our products and will positively contribute to our results and current cash flow with the increase in orders. We are creating and developing a deep tech company, characterized by a longer process of developing technology, its maturation and the ability to generate the first orders. These elements are already behind us, and we have passed the test and confirmed not only the effectiveness of the technology but above all its high commercial potential. We still believe that the goal of the first industrial implementation is within our reach and will be a significant milestone for the future pace of XTPL development,” adds Jacek Olszański.
XTPL’s business model is based on three complementary business lines. These include modules for industrial implementations on the production lines of global electronics manufacturers, prototype Delta Printing System (DPS) devices, and High Performance Materials (HPM, nanoinks). The Company has 9 projects at least at the second stage of processes aimed at industrial implementations of its technology, the most advanced of which are 4 projects covering strategic areas for the Company: semiconductors and displays. The company estimates the total potential of these 9 industrial projects, assuming their positive validation, at PLN 400 million in average annual revenues. The end customers are global entities responsible for the production of next-generation electronics, including a leading manufacturer of machines for the modern display industry from China, a leading semiconductor manufacturer from Taiwan, one of the world’s largest FPD (Flat Panel Display) manufacturers from South Korea, and a Nasdaq 100-listed leading industrial machinery manufacturer from the USA.
Source: https://managerplus.pl/xtpl-spodziewa-sie-rekordowego-2025-roku-nowa-linia-biznesowa-dps-wesprze-realizacje-celu-strategicznego-25385
