8-K: Xometry Achieves Record Q3 2025 Results, Strong Growth

Xometry, Inc. announced record third quarter 2025 financial results, with revenue up 28% year-over-year and Adjusted EBITDA significantly improving to $6.1 million.

Summary

• Consolidated revenue for Q3 2025 reached a record $181 million, an increase of 28% year-over-year.
• Marketplace revenue grew 31% year-over-year to $167 million, driven by enterprise growth and expanded networks.
• Gross profit increased 29% year-over-year to a record $72.0 million, with marketplace gross margin at 35.7%.
• Adjusted EBITDA improved by $6.8 million year-over-year to $6.1 million.
• Net loss attributable to common stockholders was $11.6 million, compared to $10.2 million in Q3 2024.
• Non-GAAP net income for Q3 2025 was $6.2 million, up from $1.1 million in Q3 2024.
• Marketplace Active Buyers increased 21% year-over-year to 78,282.
• Accounts with Last Twelve-Months Spend of at least $50,000 increased 14% year-over-year to 1,724.
• Xometry launched the new Workcenter mobile app to help suppliers manage jobs and workflows.
• Auto-quotes for injection molding services were launched in the U.S., following a European launch earlier in the year.
• Thomas, an Xometry subsidiary, launched a new dynamic ad-serving technology platform.
• AI-powered Design for Manufacturing (DFM) capabilities were advanced, improving quote accuracy and supplier matching.
• Xometry EU expanded its marketplace with new materials, faster lead times, and launched a parts library.

Sentiment

Score: 8

Explanation: The company reported record revenue and gross profit, significant improvement in Adjusted EBITDA, and raised full-year guidance, indicating strong operational execution and positive momentum despite an increased GAAP net loss.

Positives

• Record Q3 2025 consolidated revenue of $181 million, representing a 28% year-over-year increase.
• Marketplace revenue growth accelerated to 31% year-over-year, reaching $167 million.
• Record gross profit of $72.0 million, up 29% year-over-year.
• Marketplace gross margin increased by 210 basis points year-over-year to a record 35.7%.
• Adjusted EBITDA significantly improved by $6.8 million year-over-year, turning positive to $6.1 million.
• Non-GAAP net income increased substantially to $6.2 million from $1.1 million in Q3 2024.
• Strong growth in Marketplace Active Buyers, up 21% year-over-year to 78,282.
• Increase in high-value accounts, with Accounts with Last Twelve-Months Spend of at least $50,000 growing 14% year-over-year to 1,724.
• Raised full-year 2025 revenue guidance to $676-$678 million.
• Raised full-year 2025 Adjusted EBITDA guidance to $16-$17 million.
• Successful launch of new products and enhancements, including the Workcenter mobile app, injection molding auto-quotes, and advanced AI-powered DFM capabilities.

Negatives

• Net loss attributable to common stockholders increased to $11.6 million in Q3 2025 from $10.2 million in Q3 2024.
• Supplier services revenue decreased 4% year-over-year to $14.1 million.
• The International segment continues to report negative Adjusted EBITDA, at $(4.2) million for Q3 2025 and $(10.1) million for the nine months ended September 30, 2025.

Risks

• Competition in the manufacturing marketplace industry.
• Challenges associated with managing rapid growth.
• Uncertainty in financial performance due to a limited operating history, making forecasting difficult.
• Risks related to investments in new products or offerings.
• Ability to attract and retain buyers and sellers on the marketplace.
• Potential impact of legal proceedings and regulatory matters.
• Risks from future changes to the business or financial/operating model.
• Maintaining brand and reputation.
• Impact of fluctuations in general macroeconomic conditions, including inflation and rising interest rates.

Future Outlook

For Q4 2025, Xometry expects revenue of $182-$184 million, representing 23-24% growth year-over-year, and Adjusted EBITDA of $6-$7 million, an improvement from $1.0 million in Q4 2024. For the full year 2025, revenue guidance is raised to $676-$678 million, and Adjusted EBITDA guidance is raised to $16-$17 million.

Management Comments

• "This was another record quarter for Xometry as enterprise customers rapidly adopt our supply chain solutions." Randy Altschuler, CEO.
• "In Q3, we delivered 31% marketplace revenue growth year-over-year underscoring the strength of our platform and strategic global network." Randy Altschuler, CEO.
• "In Q3, we delivered accelerated marketplace revenue growth and a robust marketplace gross margin which increased 210 basis points year-over-year to 35.7%." James Miln, CFO.
• "Our Adjusted EBITDA improved by $6.8 million year-over-year to $6.1 million." James Miln, CFO.
• "We expect to deliver 20% annual incremental Adjusted EBITDA margins as we scale to $1 billion in revenue." James Miln, CFO.

Industry Context

Xometry's strong performance, particularly in its AI-powered marketplace and enterprise customer adoption, reflects the broader industry trend of digitizing manufacturing and supply chains. The focus on AI-powered Design for Manufacturing (DFM) capabilities and expanding global networks positions Xometry to capitalize on the increasing demand for efficient, on-demand custom manufacturing solutions, aligning with the shift towards more agile and resilient supply chains.

Stakeholder Impact

• Shareholders: Positive impact due to strong financial performance, increased guidance, and strategic growth initiatives, potentially leading to increased share value.
• Customers (Buyers): Enhanced experience through new features like the Workcenter mobile app, injection molding auto-quotes, and expanded DFM capabilities, leading to greater efficiency and transparency.
• Suppliers (Partners): Improved tools and opportunities via the Workcenter mobile app and expanded marketplace offerings, potentially increasing job opportunities and operational efficiency.
• Employees: Continued growth and expansion may lead to job stability and opportunities, though restructuring charges associated with a reduction in workforce were incurred in 2025.

Next Steps

• Continue expanding buyer and supplier networks.
• Drive deeper enterprise engagement.
• Further expand the marketplace platform.
• Grow internationally.
• Enhance supplier services.
• Work towards scaling to $1 billion in revenue with 20% annual incremental Adjusted EBITDA margins.

Key Dates

Recommendation

The company delivered record Q3 results with accelerating marketplace revenue growth and a significant turnaround in Adjusted EBITDA. The raised full-year guidance for both revenue and Adjusted EBITDA, coupled with strategic product enhancements and strong buyer/supplier network expansion, indicates robust operational execution and positive future momentum. While GAAP net loss increased, the non-GAAP profitability and strong cash position suggest a healthy underlying business trajectory, making it an attractive investment.

Keywords

Xometry, XMTR, Manufacturing, AI, Marketplace, Custom Manufacturing, Financial Results, Q3 2025, Earnings, Adjusted EBITDA, Revenue, Gross Margin, Thomasnet, Supply Chain, Digital Manufacturing, Enterprise, Injection Molding, DFM, Workcenter