Proto Labs (PRLB) 10-Q 7 Nov 24 2024 Q3 Quarterly report Financial data

Cover

Cover - shares	9 Months Ended
	Sep. 30, 2024	Oct. 28, 2024
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2024
Document Transition Report	false
Entity File Number	001-35435
Entity Registrant Name	Proto Labs, Inc.
Entity Incorporation, State or Country Code	MN
Entity Tax Identification Number	41-1939628
Entity Address, Address Line One	5540 Pioneer Creek Drive
Entity Address, City or Town	Maple Plain
Entity Address, State or Province	MN
Entity Address, Postal Zip Code	55359
City Area Code	763
Local Phone Number	479-3680
Title of 12(b) Security	Common Stock, Par Value $0.001 Per Share
Trading Symbol	PRLB
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		24,510,076
Entity Central Index Key	0001443669
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2024
Document Fiscal Period Focus	Q3
Amendment Flag	false

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Current assets
Cash and cash equivalents	$ 87,873	$ 83,790
Short-term marketable securities	12,638	19,013
Accounts receivable, net of allowance for doubtful accounts of $2,261 and $2,499 as of September 30, 2024, and December 31, 2023, respectively	69,464	72,848
Inventory	12,415	13,657
Income taxes receivable	665	2,228
Prepaid expenses and other current assets	10,019	9,124
Total current assets	193,074	200,660
Property and equipment, net	237,942	253,655
Goodwill	273,991	273,991
Other intangible assets, net	22,890	25,584
Long-term marketable securities	17,120	8,019
Operating lease assets	3,519	4,628
Finance lease assets	759	960
Other long-term assets	4,491	4,856
Total assets	753,786	772,353
Current liabilities
Accounts payable	15,004	15,636
Accrued compensation	17,549	15,292
Accrued liabilities and other	18,455	16,872
Current operating lease liabilities	1,450	1,585
Current finance lease liabilities	306	296
Income taxes payable	994	0
Total current liabilities	53,758	49,681
Long-term operating lease liabilities	1,979	3,008
Long-term finance lease liabilities	365	595
Long-term deferred tax liabilities	12,688	18,742
Other long-term liabilities	5,003	5,032
Total liabilities	73,793	77,058
Shareholders' equity
Preferred stock, $0.001 par value, authorized 10,000,000 shares; issued and outstanding 0 shares as of each of September 30, 2024, and December 31, 2023	0	0
Common stock, $0.001 par value, authorized 150,000,000 shares; issued and outstanding 24,510,076 and 25,721,957 shares as of September 30, 2024, and December 31, 2023, respectively	25	26
Additional paid-in capital	454,025	466,884
Retained earnings	252,795	256,398
Accumulated other comprehensive loss	(26,852)	(28,013)
Total shareholders' equity	679,993	695,295
Total liabilities and shareholders' equity	$ 753,786	$ 772,353

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Statement of Financial Position [Abstract]
Allowance for credit loss, current	$ 2,261	$ 2,499
Preferred stock, par value (in dollars per share)	$ 0.001	$ 0.001
Preferred stock, authorized (in shares)	10,000,000	10,000,000
Preferred stock, issued (in shares)	0	0
Preferred stock, outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, authorized (in shares)	150,000,000	150,000,000
Common stock, issued (in shares)	24,510,076	25,721,957
Common stock, outstanding (in shares)	24,510,076	25,721,957

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Statements of Operations:
Revenue	$ 125,619	$ 130,705	$ 379,140	$ 378,829
Cost of revenue	68,389	71,423	207,897	212,648
Gross profit	57,230	59,282	171,243	166,181
Operating expenses
Marketing and sales	22,619	21,682	69,070	65,863
Research and development	9,772	10,105	31,600	30,647
General and administrative	16,259	17,058	49,167	49,713
Closure of Japan business	0	22	0	186
Total operating expenses	48,650	48,867	149,837	146,409
Income from operations	8,580	10,415	21,406	19,772
Other income (loss), net	1,288	320	3,548	(1,758)
Income before income taxes	9,868	10,735	24,954	18,014
Provision for income taxes	2,679	2,781	7,957	7,784
Net income	$ 7,189	$ 7,954	$ 16,997	$ 10,230
Net income per share:
Basic (in dollars per share)	$ 0.29	$ 0.31	$ 0.67	$ 0.39
Diluted (in dollars per share)	$ 0.29	$ 0.31	$ 0.67	$ 0.39
Shares used to compute net income per share:
Basic (in shares)	24,980,536	26,023,830	25,304,985	26,296,304
Diluted (in shares)	25,022,485	26,028,456	25,382,280	26,327,606
Comprehensive Income (net of tax)
Comprehensive income	$ 9,769	$ 6,887	$ 18,158	$ 14,297

Consolidated Statements of Shar

Consolidated Statements of Shareholders' Equity - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-In Capital	Retained Earnings	Accumulated Other Comprehensive Loss
Beginning balance (in shares) at Dec. 31, 2022		26,888,425
Beginning balance at Dec. 31, 2022	$ 697,648	$ 27	$ 473,740	$ 258,236	$ (34,355)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Common shares issued on exercise of options and other, net of shares withheld for tax obligations (in shares)		26,798
Common shares issued on exercise of options and other, net of shares withheld for tax obligations	(401)		(401)
Stock-based compensation expense	3,695		3,695
Repurchases of common stock (in shares)		(712,500)
Repurchases of common stock	(21,325)	$ (1)	(11,849)	(9,475)
Net income (loss)	2,659			2,659
Other comprehensive income
Foreign currency translation adjustment	527				527
Net unrealized gains (losses) on investments in securities	334				334
Comprehensive income	3,520
Ending balance (in shares) at Mar. 31, 2023		26,202,723
Ending balance at Mar. 31, 2023	683,137	$ 26	465,185	251,420	(33,494)
Beginning balance (in shares) at Dec. 31, 2022		26,888,425
Beginning balance at Dec. 31, 2022	697,648	$ 27	473,740	258,236	(34,355)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	10,230
Other comprehensive income
Comprehensive income	14,297
Ending balance (in shares) at Sep. 30, 2023		25,785,903
Ending balance at Sep. 30, 2023	684,922	$ 26	463,908	251,276	(30,288)
Beginning balance (in shares) at Mar. 31, 2023		26,202,723
Beginning balance at Mar. 31, 2023	683,137	$ 26	465,185	251,420	(33,494)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Common shares issued on exercise of options and other, net of shares withheld for tax obligations (in shares)		169,229
Common shares issued on exercise of options and other, net of shares withheld for tax obligations	962		962
Stock-based compensation expense	3,675		3,675
Repurchases of common stock (in shares)		(276,518)
Repurchases of common stock	(8,979)		(4,872)	(4,107)
Net income (loss)	(383)			(383)
Other comprehensive income
Foreign currency translation adjustment	4,254				4,254
Net unrealized gains (losses) on investments in securities	19				19
Comprehensive income	3,890
Ending balance (in shares) at Jun. 30, 2023		26,095,434
Ending balance at Jun. 30, 2023	682,685	$ 26	464,950	246,930	(29,221)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Common shares issued on exercise of options and other, net of shares withheld for tax obligations (in shares)		1,037
Common shares issued on exercise of options and other, net of shares withheld for tax obligations	(11)		(11)
Stock-based compensation expense	4,441		4,441
Repurchases of common stock (in shares)		(310,568)
Repurchases of common stock	(9,080)		(5,472)	(3,608)
Net income (loss)	7,954			7,954
Other comprehensive income
Foreign currency translation adjustment	(1,307)				(1,307)
Net unrealized gains (losses) on investments in securities	240				240
Comprehensive income	6,887
Ending balance (in shares) at Sep. 30, 2023		25,785,903
Ending balance at Sep. 30, 2023	$ 684,922	$ 26	463,908	251,276	(30,288)
Beginning balance (in shares) at Dec. 31, 2023	25,721,957	25,721,957
Beginning balance at Dec. 31, 2023	$ 695,295	$ 26	466,884	256,398	(28,013)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Common shares issued on exercise of options and other, net of shares withheld for tax obligations (in shares)		29,974
Common shares issued on exercise of options and other, net of shares withheld for tax obligations	(533)		(533)
Stock-based compensation expense	4,276		4,276
Repurchases of common stock and other (in shares)		(435,861)
Repurchases of common stock and other	(16,164)		(7,912)	(8,252)
Net income (loss)	5,268			5,268
Other comprehensive income
Foreign currency translation adjustment	(925)				(925)
Net unrealized gains (losses) on investments in securities	93				93
Comprehensive income	4,436
Ending balance (in shares) at Mar. 31, 2024		25,316,070
Ending balance at Mar. 31, 2024	$ 687,310	$ 26	462,715	253,414	(28,845)
Beginning balance (in shares) at Dec. 31, 2023	25,721,957	25,721,957
Beginning balance at Dec. 31, 2023	$ 695,295	$ 26	466,884	256,398	(28,013)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	16,997
Other comprehensive income
Comprehensive income	$ 18,158
Ending balance (in shares) at Sep. 30, 2024	24,510,076	24,510,076
Ending balance at Sep. 30, 2024	$ 679,993	$ 25	454,025	252,795	(26,852)
Beginning balance (in shares) at Mar. 31, 2024		25,316,070
Beginning balance at Mar. 31, 2024	687,310	$ 26	462,715	253,414	(28,845)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Common shares issued on exercise of options and other, net of shares withheld for tax obligations (in shares)		176,780
Common shares issued on exercise of options and other, net of shares withheld for tax obligations	707		707
Stock-based compensation expense	4,244		4,244
Repurchases of common stock and other (in shares)		(345,234)
Repurchases of common stock and other	(10,978)		(6,266)	(4,712)
Net income (loss)	4,540			4,540
Other comprehensive income
Foreign currency translation adjustment	(678)				(678)
Net unrealized gains (losses) on investments in securities	91				91
Comprehensive income	3,953
Ending balance (in shares) at Jun. 30, 2024		25,147,616
Ending balance at Jun. 30, 2024	685,236	$ 26	461,400	253,242	(29,432)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Stock-based compensation expense	4,196		4,196
Repurchases of common stock and other (in shares)		(637,540)
Repurchases of common stock and other	(19,208)	$ (1)	(11,571)	(7,636)
Net income (loss)	7,189			7,189
Other comprehensive income
Foreign currency translation adjustment	2,430				2,430
Net unrealized gains (losses) on investments in securities	150				150
Comprehensive income	$ 9,769
Ending balance (in shares) at Sep. 30, 2024	24,510,076	24,510,076
Ending balance at Sep. 30, 2024	$ 679,993	$ 25	$ 454,025	$ 252,795	$ (26,852)

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023
Operating activities
Net income	$ 16,997	$ 10,230
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	26,984	28,213
Stock-based compensation expense	12,716	11,811
Deferred taxes	(6,140)	(9,197)
Interest on finance lease obligations	26	859
Loss on impairment of equipment	256	0
Loss on foreign currency translation	0	3,906
Gain on disposal of property and equipment	(24)	(498)
Other	103	122
Changes in operating assets and liabilities:
Accounts receivable	4,581	(3,058)
Inventories	1,321	(150)
Prepaid expenses and other	(312)	4,127
Income taxes	2,583	4,693
Accounts payable	(2,709)	746
Accrued liabilities and other	4,153	4,242
Net cash provided by operating activities	60,535	56,046
Investing activities
Purchases of property, equipment and other capital assets	(8,339)	(9,935)
Proceeds from sales of property, equipment and other capital assets	34	693
Purchases of marketable securities	(18,087)	0
Proceeds from call redemptions and maturities of marketable securities	15,709	19,115
Net cash (used in) provided by investing activities	(10,683)	9,873
Financing activities
Proceeds from exercises of stock options and employee stock purchases	2,094	1,986
Purchases of shares withheld for tax obligations	(1,920)	(1,436)
Repurchases of common stock	(45,958)	(39,053)
Principal repayments of finance lease obligations	(220)	(234)
Net cash used in financing activities	(46,004)	(38,737)
Effect of exchange rate changes on cash and cash equivalents	235	(244)
Net increase in cash and cash equivalents	4,083	26,938
Cash and cash equivalents, beginning of period	83,790	56,558
Cash and cash equivalents, end of period	$ 87,873	$ 83,496

Basis of Presentation

Basis of Presentation	9 Months Ended
	Sep. 30, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	Basis of Presentation The unaudited interim Consolidated Financial Statements of Proto Labs, Inc. (Protolabs, the Company, we, us or our) have been prepared in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X . In the opinion of management, the accompanying financial statements reflect all adjustments necessary for a fair presentation of the Company’s statements of financial position, results of operations and cash flows for the periods presented. Except as otherwise disclosed herein, these adjustments consist of normal, recurring items. Operating results for interim periods are not necessarily indicative of results that may be expected for the fiscal year as a whole. The preparation of the financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues, expenses, and the related disclosures at the date of the financial statements and during the reporting period. Actual results could materially differ from these estimates. For further information, refer to the audited Consolidated Financial Statements and Notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023, as filed with the Securities and Exchange Commission (SEC) on February 16, 2024 . The accompanying Consolidated Balance Sheet as of December 31, 2023 was derived from the audited Consolidated Financial Statements but does not include all disclosures required by U.S. GAAP for a full set of financial statements. This Quarterly Report on Form 10-Q should be read in conjunction with the Company’s Consolidated Financial Statements and Notes included in the Company's Annual Report on Form 10-K filed on February 16, 2024 as referenced above.

Recent Accounting Pronouncement

Recent Accounting Pronouncements	9 Months Ended
	Sep. 30, 2024
Accounting Policies [Abstract]
Recent Accounting Pronouncements	Recent Accounting Pronouncements The Company did not recently adopt any accounting pronouncements that had a material impact on the Company's Consolidated Financial Statements. In December 2023, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures , that enhances the transparency of income tax disclosures by expanding annual disclosure requirements related to the rate reconciliation and income taxes paid. The Company is required to adopt this guidance for its annual year ending December 31, 2025. Early adoption is permitted. The Company is currently evaluating the impact of this guidance on its disclosures. In November 2023, the FASB issued ASU No. 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures , that updates reportable segment disclosure requirements primarily through enhanced disclosures about significant expenses and information used to assess segment performance on an annual and interim basis. The Company is required to adopt this guidance for its annual year ending December 31, 2024 and all interim periods thereafter. Early adoption is permitted. The Company is currently evaluating the impact of this guidance on its disclosures.

Net Income per Common Share

Net Income per Common Share	9 Months Ended
	Sep. 30, 2024
Earnings Per Share [Abstract]
Net Income per Common Share	Net Income per Common Share Basic net income per share is computed based on the weighted-average number of common shares outstanding. Diluted net income per share is computed based on the weighted-average number of common shares outstanding, increased by the number of additional shares that would have been outstanding had potentially dilutive common shares been issued and reduced by the number of shares the Company could have repurchased from the proceeds from issuance of the potentially dilutive shares. Potentially dilutive shares of common stock include stock options and other stock-based awards granted under stock-based compensation plans and shares committed to be purchased under the employee stock purchase plan. Performance stock units are excluded from the calculation of dilutive potential common shares until the performance conditions have been satisfied. Anti-dilutive options were excluded from the calculation of diluted weighted average shares outstanding and were 466,127 and 393,592 for the three months ended September 30, 2024 and 2023 , respectively, and 450,275 and 372,353 for the nine months ended September 30, 2024 and 2023, respectively. The table below sets forth the computation of basic and diluted net income per share: Three Months Ended Nine Months Ended (in thousands, except share and per share amounts) 2024 2023 2024 2023 Net income $ 7,189 $ 7,954 $ 16,997 $ 10,230 Basic - weighted-average shares outstanding: 24,980,536 26,023,830 25,304,985 26,296,304 Effect of dilutive securities: Employee stock options and other 41,949 4,626 77,295 31,302 Diluted - weighted-average shares outstanding: 25,022,485 26,028,456 25,382,280 26,327,606 Net income per share: Basic $ 0.29 $ 0.31 $ 0.67 $ 0.39 Diluted $ 0.29 $ 0.31 $ 0.67 $ 0.39

Goodwill and Other Intangible A

Goodwill and Other Intangible Assets	9 Months Ended
	Sep. 30, 2024
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill and Other Intangible Assets	Goodwill and Other Intangible Assets There were no changes in the carrying amount of goodwill during the three and nine months ended September 30, 2024. Intangible assets other than goodwill at September 30, 2024 and December 31, 2023 were as follows: September 30, 2024 December 31, 2023 Useful Weighted Average (in thousands) Gross Accumulated Net Gross Accumulated Net Intangible assets with finite lives: Marketing assets $ 930 $ (930) $ — $ 930 $ (900) $ 30 10.0 0.0 Non-compete agreement 837 (688) 149 835 (603) 232 2.0 - 5.0 0.9 Software technology 13,229 (8,781) 4,448 13,229 (7,752) 5,477 10.0 3.3 Software platform 26,481 (8,188) 18,293 26,373 (6,575) 19,798 12.0 8.3 Tradenames 356 (356) — 354 (347) 7 3.0 0.0 Customer relationships 12,232 (12,232) — 12,223 (12,183) 40 3.0 - 9.0 0.0 Total intangible assets $ 54,065 $ (31,175) $ 22,890 $ 53,944 $ (28,360) $ 25,584 Intangible assets allocated to the Protolabs Network entities consisted of intangible assets of €11.6 million in Europe and $16.6 million in the United States as of the date of the acquisition. The Euro denominated intangible assets are translated at the end of each period using the current exchange rates resulting in a foreign currency translation adjustment that is recorded as a component of Other Comprehensive Income. Foreign currency unrealized losses related to intangible assets were $1.2 million and $1.3 million as of September 30, 2024 and December 31, 2023, respectively. Amortization expense for intangible assets was $0.9 million and $1.5 million for each of the three months ended September 30, 2024 and 2023, respectively, and $2.8 million and $4.5 million for each of the nine months ended September 30, 2024 and 2023, respectively. Estimated aggregated amortization expense based on the current carrying value of the amortizable intangible assets and current exchange rates is as follows: (in thousands) Estimated Amortization Expense Remaining 2024 $ 919 2025 3,676 2026 3,574 2027 3,564 2028 2,195 Thereafter 8,962 Total estimated amortization expense $ 22,890

Fair Value Measurements

Fair Value Measurements	9 Months Ended
	Sep. 30, 2024
Fair Value Disclosures [Abstract]
Fair Value Measurements	Fair Value Measurements Accounting Standards Codification, Fair Value Measuremen t (ASC 820), defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. ASC 820 also establishes a fair value hierarchy that requires classification based on observable and unobservable inputs when measuring fair value. There are three levels of inputs that may be used to measure fair value: Level 1 — Quoted prices in active markets for identical assets or liabilities. Level 2 — Observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3 — Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. The Company's assets and liabilities that are required to be measured or disclosed at fair value on a recurring basis include cash and cash equivalents and marketable securities. The Company’s cash consists of bank deposits and cash equivalents consist primarily of money market mutual funds. The Company determines the fair value of these investments using Level 1 inputs. The Company's marketable securities consist of short-term and long-term agency, municipal, corporate and other debt securities. Fair value for the corporate debt securities is primarily determined based on quoted market prices (Level 1). Fair values for the U.S. municipal securities, U.S. government agency securities, certificates of deposit and U.S. treasury securities are primarily determined using dealer quotes or quoted market prices for similar securities (Level 2). The following table summarizes financial assets as of September 30, 2024 and December 31, 2023 measured at fair value on a recurring basis: September 30, 2024 December 31, 2023 (in thousands) Level 1 Level 2 Level 3 Level 1 Level 2 Level 3 Financial Assets: Cash $ 83,643 $ — $ — $ 77,423 $ — $ — Money market mutual fund 4,230 $ — — 6,367 — — Marketable securities 20,290 9,468 — 4,482 22,550 — Total $ 108,163 $ 9,468 $ — $ 88,272 $ 22,550 $ —

Marketable Securities

Marketable Securities	9 Months Ended
	Sep. 30, 2024
Investments, Debt and Equity Securities [Abstract]
Marketable Securities	Marketable Securities The Company invests in short-term and long-term agency, municipal, corporate and other debt securities. The securities are categorized as available-for-sale and are recorded at fair value. The following table summarizes information regarding the Company’s short-term and long-term marketable securities as of September 30, 2024 and December 31, 2023: September 30, 2024 (in thousands) Cost Unrealized Gains Unrealized Losses Fair Value U.S. government agency securities $ 9,817 $ — $ (72) $ 9,745 Corporate debt securities 14,242 36 (15) 14,263 U.S. municipal securities 5,767 — (17) 5,750 Total marketable securities $ 29,826 $ 36 $ (104) $ 29,758 December 31, 2023 (in thousands) Cost Unrealized Gains Unrealized Losses Fair Value U.S. government agency securities $ 16,798 $ — $ (278) $ 16,520 Corporate debt securities 2,511 — (19) 2,492 U.S. municipal securities 7,876 — (105) 7,771 Certificates of deposit/time deposits 249 — — 249 Total marketable securities $ 27,434 $ — $ (402) $ 27,032 Fair values for the corporate debt securities are primarily determined based on quoted market prices (Level 1). Fair values for the U.S. municipal securities, U.S. government agency securities, certificates of deposit and U.S. treasury securities are primarily determined using dealer quotes or quoted market prices for similar securities (Level 2). Classification of marketable securities as current or non-current is based upon the security’s maturity date as of the date of these financial statements. The September 30, 2024 balance of available-for-sale debt securities by contractual maturity is shown in the following table at fair value. Actual maturities may differ from contractual maturities because the issuers of the securities may have the right to prepay obligations without prepayment penalties. (in thousands) September 30, Due in one year or less $ 12,638 Due after one year through five years 17,120 Total marketable securities $ 29,758

Inventory

Inventory	9 Months Ended
	Sep. 30, 2024
Inventory Disclosure [Abstract]
Inventory	Inventory Inventory consists primarily of raw materials, which are recorded at the lower of cost and net realizable value using the standard cost method, which approximates first-in, first-out (FIFO) cost. The Company periodically reviews its inventory for slow-moving, damaged and discontinued items and provides allowances to reduce such items identified to their recoverable amounts. The Company’s inventory consisted of the following as of the dates indicated: (in thousands) September 30, December 31, Total inventory $ 13,067 $ 14,319 Allowance for obsolescence (652) (662) Inventory, net of allowance $ 12,415 $ 13,657

Stock-Based Compensation

Stock-Based Compensation	9 Months Ended
	Sep. 30, 2024
Share-Based Payment Arrangement [Abstract]
Stock-Based Compensation	Stock-Based Compensation Under the Amended and Restated Proto Labs Inc. 2022 Long-Term Incentive Plan, the Company has the ability to grant stock options, stock appreciation rights (SARs), restricted stock, restricted stock units, other stock-based awards and cash incentive awards, which was approved by the Company's shareholders at a Special Meeting of Shareholders on August 29, 2022 and was amended and restated by the Company's shareholders at its Annual Meeting of Shareholders on May 23, 2024 (as amended and restated, the 2022 Plan) to increase the number of shares available for issuance pursuant to awards under the 2022 Plan by an additional 430,000 shares, add a minimum vesting requirement, and extend the expiration date so that the term of the 2022 Plan runs for ten years from the date of the shareholder approval. Awards under the 2022 Plan have a maximum term of ten years from the date of grant. The compensation committee may provide that the vesting or payment of any award will be subject to the attainment of specified performance measures in addition to the satisfaction of any continued service requirements and the compensation committee will determine whether such measures have been achieved. The per-share exercise price of stock options and SARs granted under the 2022 Plan generally may not be less than the fair market value of a share of our common stock on the date of the grant. The Company also has outstanding awards under the 2012 Long-Term Incentive Plan, as amended (the 2012 Plan), although the plan expired in February 2022 and no additional awards have since been or will be made under the 2012 Plan. The 2012 Plan provided the Company the ability to grant stock options, SARs, restricted stock, restricted stock units, other stock-based awards and cash incentive awards. Awards under the 2012 Plan that subsequently expired, were forfeited or cancelled, or settled in cash after August 29, 2022 became available for awards under the 2022 Plan. Employee Stock Purchase Plan The Company’s 2012 Employee Stock Purchase Plan (ESPP) allows eligible employees to purchase a variable number of shares of the Company’s common stock each offering period at a discount through payroll deductions of up to 15 percent of their eligible compensation, subject to plan limitations. The ESPP provides for six-month offering periods with a single purchase period ending May 15 and November 15, respectively. At the end of each offering period, employees are able to purchase shares at 85 percent of the lower of the fair market value of the Company’s common stock on the first trading day of the offering period or on the last trading day of the offering period. Stock-Based Compensation Expense Stock-based compensation expense was $4.2 million and $4.4 million for the three months ended September 30, 2024 and 2023, respectively, and $12.7 million and $11.8 million for the nine months ended September 30, 2024 and 2023, respectively. Stock Options The following table summarizes stock option activity during the nine months ended September 30, 2024: Stock Options Weighted- Options outstanding at December 31, 2023 371,313 $ 59.92 Granted 139,215 33.41 Exercised — — Forfeited (42,220) 64.43 Expired (5,094) 67.78 Options outstanding at September 30, 2024 463,214 $ 51.46 Exercisable at September 30, 2024 189,816 $ 70.28 The outstanding options generally have a term of ten years. For employees, options granted become exercisable ratably over the vesting period, which is generally a period of four years, beginning on the first anniversary of the grant date, subject to the employee’s continuing service to the Company. The weighted-average grant date fair value of options that were granted during the nine months ended September 30, 2024 was $18.15. The following table provides the assumptions used in the Black-Scholes pricing model valuation of options during the nine months ended September 30, 2024 and 2023: Nine Months Ended 2024 2023 Risk-free interest rate 4.28% - 4.30% 3.55% - 4.55% Expected life (years) 6.25 2.00 - 6.25 Expected volatility 50.62% - 50.72% 49.23% - 55.92% Expected dividend yield 0% 0% As of September 30, 2024, there was $4.3 million of unrecognized compensation expense related to unvested stock options, which is expected to be recognized over a weighted-average period of 2.7 years. Restricted Stock Restricted stock awards are share-settled awards and restrictions lapse ratably over the vesting period, which is generally a period from three The following table summarizes restricted stock activity during the nine months ended September 30, 2024: Restricted Weighted- Restricted stock at December 31, 2023 653,465 $ 45.89 Granted 336,785 33.02 Restrictions lapsed (191,950) 54.48 Forfeited (51,475) 39.06 Restricted stock at September 30, 2024 746,825 $ 38.34 As of September 30, 2024, there was $20.0 million of unrecognized compensation expense related to non-vested restricted stock, which is expected to be recognized over a weighted-average period of 2.7 years. Performance Stock Performance stock units (PSUs) are expressed in terms of a target number of PSUs, with anywhere between 0 percent and 200 percent of that target number capable of being earned and vesting at the end of a three-year performance period depending on the Company’s performance in the final year of the performance period and the award recipient’s continued employment. Certain PSUs granted by the Company in 2021 are based on performance conditions and the related compensation cost is based on the probability that the performance conditions will be achieved. The Company’s PSUs granted in 2022, 2023, 2024 and certain PSUs granted in 2021 are based on market conditions and the related compensation cost is based on the fair value at grant date calculated using a Monte Carlo pricing model. The following table summarizes performance stock activity during the nine months ended September 30, 2024: Performance Weighted- Performance stock at December 31, 2023 107,097 $ 74.08 Granted 79,436 48.20 Restrictions lapsed — — Performance change (2,772) 227.14 Forfeited — — Performance stock at September 30, 2024 183,761 $ 60.58 The following table provides the assumptions used in the Monte Carlo pricing model valuation of PSUs during the nine months ended September 30, 2024 and 2023: Nine Months Ended 2024 2023 Risk-free interest rate 4.37% 4.35% Expected life (years) 2.88 2.88 Expected volatility 51.40% 58.00% Expected dividend yield 0% 0% As of September 30, 2024, there was $5.3 million of unrecognized compensation expense related to non-vested performance stock, which is expected to be recognized over a weighted-average period of 1.9 years. Employee Stock Purchase Plan The following table presents the assumptions used to estimate the fair value of the ESPP during the nine months ended September 30, 2024 and 2023: Nine Months Ended 2024 2023 Risk-free interest rate 5.07% - 5.16% 4.60% - 4.82% Expected life (months) 6.00 6.00 Expected volatility 30.97% - 47.92% 47.38% - 67.84% Expected dividend yield 0% 0%

Accumulated Other Comprehensive

Accumulated Other Comprehensive Income (Loss)	9 Months Ended
	Sep. 30, 2024
Regulated Operations [Abstract]
Accumulated Other Comprehensive Income (Loss)	Accumulated Other Comprehensive Income (Loss) Other comprehensive income (loss) is comprised of foreign currency translation adjustments and net unrealized gains (losses) on investments in securities. The following table presents the changes in accumulated other comprehensive income (loss) balances during the three and nine months ended September 30, 2024 and 2023: Three Months Ended Nine Months Ended (in thousands) 2024 2023 2024 2023 Balance at beginning of period $ (29,432) $ (29,221) $ (28,013) $ (34,355) Foreign currency translation adjustments Other comprehensive income (loss) before reclassifications 2,430 (1,307) 827 (432) Amounts reclassified from accumulated other comprehensive loss — — — 3,906 Net current-period other comprehensive income (loss) 2,430 (1,307) 827 3,474 Net unrealized gains (loss) on investments in securities Other comprehensive income before reclassifications 150 240 334 593 Amounts reclassified from accumulated other comprehensive loss — — — — Net current-period other comprehensive income 150 240 334 593 Balance at end of period $ (26,852) $ (30,288) $ (26,852) $ (30,288)

Income Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2024
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes The Company is subject to income tax in multiple jurisdictions and the use of estimates is required to determine the provision for income taxes. For the three months ended September 30, 2024 and 2023, the Company recorded an income tax provision of $2.7 million and $2.8 million, respectively. For the nine months ended September 30, 2024 and 2023, the Company recorded an income tax provision of $8.0 million and $7.8 million, respectively. The income tax provision is based on the estimated annual effective tax rate for the year applied to pre-tax income. The effective income tax rate for the three months ended September 30, 2024 was 27.1 percent compared to 25.9 percent in the same period of the prior year. The effective tax rate increased by 1.2 percent for the three months ended September 30, 2024 when compared to the same period in 2023, primarily due to a reduction in expenditures that qualify for the research and development credit. The effective income tax rate for the nine months ended September 30, 2024 was 31.9 percent compared to 43.2 percent in the same period of the prior year. The effective tax rate decreased by 11.3 percent for the nine months ended September 30, 2024 when compared to the same period in 2023, primarily due to the prior year one-time tax impact of the foreign currency translation loss from the closure of our Japan business. The effective income tax rate for the three and nine months ended September 30, 2024 differs from the U.S. federal statutory rate of 21.0 percent due to various factors, including operating in multiple state and foreign jurisdictions partially offset by tax credits for which the Company qualifies.

Segment Reporting

Segment Reporting	9 Months Ended
	Sep. 30, 2024
Segment Reporting [Abstract]
Segment Reporting	Segment Reporting The Company’s reportable segments are based on the internal reporting used by the Company’s Chief Executive Officer, who is the chief operating decision maker (CODM), to assess operating performance and make decisions about the allocation of resources. The Corporate Unallocated and Japan category includes non-reportable segments, as well as research and development and general and administrative costs, that the Company does not allocate directly to its operating segments. Intercompany transactions primarily relate to intercontinental activity and have been eliminated and are excluded from the reported amounts. The difference between income from operations and pre-tax income relates to foreign currency-related gains and losses and interest income on cash balances and investments, which are not allocated to business segments. Revenue and income from operations by reportable segment for the three and nine months ended September 30, 2024 and 2023 were as follows: Three Months Ended Nine Months Ended (dollars in thousands) 2024 2023 2024 2023 Revenue: United States $ 99,571 $ 103,940 $ 299,593 $ 298,007 Europe 26,048 26,765 79,547 80,822 Total revenue $ 125,619 $ 130,705 $ 379,140 $ 378,829 Three Months Ended Nine Months Ended (in thousands) 2024 2023 2024 2023 Income (Loss) from Operations: United States $ 25,687 $ 27,178 $ 76,260 $ 69,713 Europe (2,398) (3,006) (6,574) (8,870) Corporate Unallocated and Japan (14,709) (13,757) (48,280) (41,071) Total Income from Operations $ 8,580 $ 10,415 $ 21,406 $ 19,772 Total long-lived assets at September 30, 2024 and December 31, 2023 were as follows: (in thousands) September 30, December 31, Total long-lived assets: United States $ 187,130 $ 201,388 Europe 50,812 52,267 Total Long-lived Assets $ 237,942 $ 253,655 Revenue by product line for the three and nine months ended September 30, 2024 and 2023 were as follows: Three Months Ended Nine Months Ended (dollars in thousands) 2024 2023 2024 2023 Revenue: Injection Molding $ 46,831 $ 51,688 $ 148,574 $ 152,455 CNC Machining 53,327 52,916 154,498 149,317 3D Printing 21,437 21,622 64,300 63,952 Sheet Metal 3,743 4,291 11,218 12,478 Other Revenue 281 188 550 627 Total Revenue $ 125,619 $ 130,705 $ 379,140 $ 378,829

Subsequent Event

Subsequent Event	9 Months Ended
	Sep. 30, 2024
Subsequent Events [Abstract]
Subsequent Event	Subsequent Event On October 21, 2024, the Board of Directors of Proto Labs, Inc. approved a plan related to the Company's manufacturing facilities in Germany. The plan includes the closure of the Company's prototype injection molding manufacturing facility in Eschenlohe, Germany, and the discontinuation of Direct Metal Laser Sintering 3D printing services through its Putzbrunn, Germany, 3D printing facility. Affected employees in Germany will receive severance and other transition assistance that meet or exceed local requirements. The Company expects to substantially complete the plan within the next year. The Company will continue offering all its manufacturing services to customers across Europe, including injection molding and metal 3D printing. These services will be fulfilled through internal manufacturing facilities and a network of manufacturing partners, consistent with the Company's recently announced global operations organization. The approved plan is expected to lead to total restructuring charges in the range of $4.5 million to $6.0 million consisting of approximately $2.5 million to $3.5 million in severance and other employee-related costs, and $2.0 million to $2.5 million in fixed asset and facility related write-down expenses. The company expects to incur approximately $4.0 million of the total restructuring charge in the fourth quarter of 2024, with the remaining charge to be incurred throughout the remainder of the restructuring process. The total cash expenditures associated with the plan are expected to be in the range of $3.0 million to $4.0 million, consisting primarily of severance and other employee related costs.

Pay vs Performance Disclosure

Pay vs Performance Disclosure - USD ($) $ in Thousands	3 Months Ended						9 Months Ended
	Sep. 30, 2024	Jun. 30, 2024	Mar. 31, 2024	Sep. 30, 2023	Jun. 30, 2023	Mar. 31, 2023	Sep. 30, 2024	Sep. 30, 2023
Pay vs Performance Disclosure
Net income (loss)	$ 7,189	$ 4,540	$ 5,268	$ 7,954	$ (383)	$ 2,659	$ 16,997	$ 10,230

Insider Trading Arrangements

Insider Trading Arrangements	3 Months Ended
	Sep. 30, 2024
Trading Arrangements, by Individual
Rule 10b5-1 Arrangement Adopted	false
Non-Rule 10b5-1 Arrangement Adopted	false
Rule 10b5-1 Arrangement Terminated	false
Non-Rule 10b5-1 Arrangement Terminated	false

Net Income per Common Share (Ta

Net Income per Common Share (Tables)	9 Months Ended
	Sep. 30, 2024
Earnings Per Share [Abstract]
Schedule of Earnings Per Share, Basic and Diluted	The table below sets forth the computation of basic and diluted net income per share: Three Months Ended Nine Months Ended (in thousands, except share and per share amounts) 2024 2023 2024 2023 Net income $ 7,189 $ 7,954 $ 16,997 $ 10,230 Basic - weighted-average shares outstanding: 24,980,536 26,023,830 25,304,985 26,296,304 Effect of dilutive securities: Employee stock options and other 41,949 4,626 77,295 31,302 Diluted - weighted-average shares outstanding: 25,022,485 26,028,456 25,382,280 26,327,606 Net income per share: Basic $ 0.29 $ 0.31 $ 0.67 $ 0.39 Diluted $ 0.29 $ 0.31 $ 0.67 $ 0.39

Goodwill and Other Intangible_2

Goodwill and Other Intangible Assets (Tables)	9 Months Ended
	Sep. 30, 2024
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Finite-Lived Intangible Assets	Intangible assets other than goodwill at September 30, 2024 and December 31, 2023 were as follows: September 30, 2024 December 31, 2023 Useful Weighted Average (in thousands) Gross Accumulated Net Gross Accumulated Net Intangible assets with finite lives: Marketing assets $ 930 $ (930) $ — $ 930 $ (900) $ 30 10.0 0.0 Non-compete agreement 837 (688) 149 835 (603) 232 2.0 - 5.0 0.9 Software technology 13,229 (8,781) 4,448 13,229 (7,752) 5,477 10.0 3.3 Software platform 26,481 (8,188) 18,293 26,373 (6,575) 19,798 12.0 8.3 Tradenames 356 (356) — 354 (347) 7 3.0 0.0 Customer relationships 12,232 (12,232) — 12,223 (12,183) 40 3.0 - 9.0 0.0 Total intangible assets $ 54,065 $ (31,175) $ 22,890 $ 53,944 $ (28,360) $ 25,584
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense	Estimated aggregated amortization expense based on the current carrying value of the amortizable intangible assets and current exchange rates is as follows: (in thousands) Estimated Amortization Expense Remaining 2024 $ 919 2025 3,676 2026 3,574 2027 3,564 2028 2,195 Thereafter 8,962 Total estimated amortization expense $ 22,890

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	9 Months Ended
	Sep. 30, 2024
Fair Value Disclosures [Abstract]
Fair Value, Assets Measured on Recurring Basis	The following table summarizes financial assets as of September 30, 2024 and December 31, 2023 measured at fair value on a recurring basis: September 30, 2024 December 31, 2023 (in thousands) Level 1 Level 2 Level 3 Level 1 Level 2 Level 3 Financial Assets: Cash $ 83,643 $ — $ — $ 77,423 $ — $ — Money market mutual fund 4,230 $ — — 6,367 — — Marketable securities 20,290 9,468 — 4,482 22,550 — Total $ 108,163 $ 9,468 $ — $ 88,272 $ 22,550 $ —

Marketable Securities (Tables)

Marketable Securities (Tables)	9 Months Ended
	Sep. 30, 2024
Investments, Debt and Equity Securities [Abstract]
Debt Securities, Available-for-Sale	The following table summarizes information regarding the Company’s short-term and long-term marketable securities as of September 30, 2024 and December 31, 2023: September 30, 2024 (in thousands) Cost Unrealized Gains Unrealized Losses Fair Value U.S. government agency securities $ 9,817 $ — $ (72) $ 9,745 Corporate debt securities 14,242 36 (15) 14,263 U.S. municipal securities 5,767 — (17) 5,750 Total marketable securities $ 29,826 $ 36 $ (104) $ 29,758 December 31, 2023 (in thousands) Cost Unrealized Gains Unrealized Losses Fair Value U.S. government agency securities $ 16,798 $ — $ (278) $ 16,520 Corporate debt securities 2,511 — (19) 2,492 U.S. municipal securities 7,876 — (105) 7,771 Certificates of deposit/time deposits 249 — — 249 Total marketable securities $ 27,434 $ — $ (402) $ 27,032
Investments Classified by Contractual Maturity Date	The September 30, 2024 balance of available-for-sale debt securities by contractual maturity is shown in the following table at fair value. Actual maturities may differ from contractual maturities because the issuers of the securities may have the right to prepay obligations without prepayment penalties. (in thousands) September 30, Due in one year or less $ 12,638 Due after one year through five years 17,120 Total marketable securities $ 29,758

Inventory (Tables)

Inventory (Tables)	9 Months Ended
	Sep. 30, 2024
Inventory Disclosure [Abstract]
Schedule of Inventory, Current	The Company’s inventory consisted of the following as of the dates indicated: (in thousands) September 30, December 31, Total inventory $ 13,067 $ 14,319 Allowance for obsolescence (652) (662) Inventory, net of allowance $ 12,415 $ 13,657

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	9 Months Ended
	Sep. 30, 2024
Share-Based Payment Arrangement [Abstract]
Share-Based Payment Arrangement, Option, Activity	The following table summarizes stock option activity during the nine months ended September 30, 2024: Stock Options Weighted- Options outstanding at December 31, 2023 371,313 $ 59.92 Granted 139,215 33.41 Exercised — — Forfeited (42,220) 64.43 Expired (5,094) 67.78 Options outstanding at September 30, 2024 463,214 $ 51.46 Exercisable at September 30, 2024 189,816 $ 70.28
Schedule of Share-Based Payment Award, Stock Options, Valuation Assumptions	The following table provides the assumptions used in the Black-Scholes pricing model valuation of options during the nine months ended September 30, 2024 and 2023: Nine Months Ended 2024 2023 Risk-free interest rate 4.28% - 4.30% 3.55% - 4.55% Expected life (years) 6.25 2.00 - 6.25 Expected volatility 50.62% - 50.72% 49.23% - 55.92% Expected dividend yield 0% 0%
Share-Based Payment Arrangement, Restricted Stock and Restricted Stock Unit, Activity	The following table summarizes restricted stock activity during the nine months ended September 30, 2024: Restricted Weighted- Restricted stock at December 31, 2023 653,465 $ 45.89 Granted 336,785 33.02 Restrictions lapsed (191,950) 54.48 Forfeited (51,475) 39.06 Restricted stock at September 30, 2024 746,825 $ 38.34
Schedule of Nonvested Performance-Based Units Activity	The following table summarizes performance stock activity during the nine months ended September 30, 2024: Performance Weighted- Performance stock at December 31, 2023 107,097 $ 74.08 Granted 79,436 48.20 Restrictions lapsed — — Performance change (2,772) 227.14 Forfeited — — Performance stock at September 30, 2024 183,761 $ 60.58
Schedule of Share-based Payment Award, Awards Other Than Stock Options, Valuation Assumptions	The following table provides the assumptions used in the Monte Carlo pricing model valuation of PSUs during the nine months ended September 30, 2024 and 2023: Nine Months Ended 2024 2023 Risk-free interest rate 4.37% 4.35% Expected life (years) 2.88 2.88 Expected volatility 51.40% 58.00% Expected dividend yield 0% 0%
Schedule of Share-Based Payment Award, Employee Stock Purchase Plan, Valuation Assumptions	The following table presents the assumptions used to estimate the fair value of the ESPP during the nine months ended September 30, 2024 and 2023: Nine Months Ended 2024 2023 Risk-free interest rate 5.07% - 5.16% 4.60% - 4.82% Expected life (months) 6.00 6.00 Expected volatility 30.97% - 47.92% 47.38% - 67.84% Expected dividend yield 0% 0%

Accumulated Other Comprehensi_2

Accumulated Other Comprehensive Income (Loss) (Tables)	9 Months Ended
	Sep. 30, 2024
Regulated Operations [Abstract]
Comprehensive Income (Loss)	The following table presents the changes in accumulated other comprehensive income (loss) balances during the three and nine months ended September 30, 2024 and 2023: Three Months Ended Nine Months Ended (in thousands) 2024 2023 2024 2023 Balance at beginning of period $ (29,432) $ (29,221) $ (28,013) $ (34,355) Foreign currency translation adjustments Other comprehensive income (loss) before reclassifications 2,430 (1,307) 827 (432) Amounts reclassified from accumulated other comprehensive loss — — — 3,906 Net current-period other comprehensive income (loss) 2,430 (1,307) 827 3,474 Net unrealized gains (loss) on investments in securities Other comprehensive income before reclassifications 150 240 334 593 Amounts reclassified from accumulated other comprehensive loss — — — — Net current-period other comprehensive income 150 240 334 593 Balance at end of period $ (26,852) $ (30,288) $ (26,852) $ (30,288)

Segment Reporting (Tables)

Segment Reporting (Tables)	9 Months Ended
	Sep. 30, 2024
Segment Reporting [Abstract]
Revenue from External Customers by Geographic Areas	Revenue and income from operations by reportable segment for the three and nine months ended September 30, 2024 and 2023 were as follows: Three Months Ended Nine Months Ended (dollars in thousands) 2024 2023 2024 2023 Revenue: United States $ 99,571 $ 103,940 $ 299,593 $ 298,007 Europe 26,048 26,765 79,547 80,822 Total revenue $ 125,619 $ 130,705 $ 379,140 $ 378,829
Income from Operations by Geographic Area	Three Months Ended Nine Months Ended (in thousands) 2024 2023 2024 2023 Income (Loss) from Operations: United States $ 25,687 $ 27,178 $ 76,260 $ 69,713 Europe (2,398) (3,006) (6,574) (8,870) Corporate Unallocated and Japan (14,709) (13,757) (48,280) (41,071) Total Income from Operations $ 8,580 $ 10,415 $ 21,406 $ 19,772
Long-Lived Assets by Geographic Areas	Total long-lived assets at September 30, 2024 and December 31, 2023 were as follows: (in thousands) September 30, December 31, Total long-lived assets: United States $ 187,130 $ 201,388 Europe 50,812 52,267 Total Long-lived Assets $ 237,942 $ 253,655
Disaggregation of Revenue	Revenue by product line for the three and nine months ended September 30, 2024 and 2023 were as follows: Three Months Ended Nine Months Ended (dollars in thousands) 2024 2023 2024 2023 Revenue: Injection Molding $ 46,831 $ 51,688 $ 148,574 $ 152,455 CNC Machining 53,327 52,916 154,498 149,317 3D Printing 21,437 21,622 64,300 63,952 Sheet Metal 3,743 4,291 11,218 12,478 Other Revenue 281 188 550 627 Total Revenue $ 125,619 $ 130,705 $ 379,140 $ 378,829

Net Income per Common Share - N

Net Income per Common Share - Narrative (Details) - shares	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Earnings Per Share [Abstract]
Anti-dilutive options excluded from calculation of diluted weighted average shares outstanding (in shares)	466,127	393,592	450,275	372,353

Net Income per Common Share -Sc

Net Income per Common Share -Schedule of Computation Of Basic and Diluted Net Income Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended						9 Months Ended
	Sep. 30, 2024	Jun. 30, 2024	Mar. 31, 2024	Sep. 30, 2023	Jun. 30, 2023	Mar. 31, 2023	Sep. 30, 2024	Sep. 30, 2023
Earnings Per Share [Abstract]
Net income	$ 7,189	$ 4,540	$ 5,268	$ 7,954	$ (383)	$ 2,659	$ 16,997	$ 10,230
Basic - weighted-average shares outstanding (in shares)	24,980,536			26,023,830			25,304,985	26,296,304
Effect of dilutive securities:
Employee stock options and other (in shares)	41,949			4,626			77,295	31,302
Diluted - weighted-average shares outstanding (in shares)	25,022,485			26,028,456			25,382,280	26,327,606
Net income per share:
Basic (in dollars per share)	$ 0.29			$ 0.31			$ 0.67	$ 0.39
Diluted (in dollars per share)	$ 0.29			$ 0.31			$ 0.67	$ 0.39

Goodwill and Other Intangible_3

Goodwill and Other Intangible Assets - Schedule of Intangible Assets Other Than Goodwill (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Acquired Finite-Lived Intangible Assets [Line Items]
Gross	$ 54,065	$ 53,944
Accumulated Amortization	(31,175)	(28,360)
Net	22,890	25,584
Marketing assets
Acquired Finite-Lived Intangible Assets [Line Items]
Gross	930	930
Accumulated Amortization	(930)	(900)
Net	$ 0	30
Useful Life (in years)	10 years
Weighted Average Useful Life Remaining (in years)	0 years
Non-compete agreement
Acquired Finite-Lived Intangible Assets [Line Items]
Gross	$ 837	835
Accumulated Amortization	(688)	(603)
Net	$ 149	232
Weighted Average Useful Life Remaining (in years)	10 months 24 days
Non-compete agreement | Minimum
Acquired Finite-Lived Intangible Assets [Line Items]
Useful Life (in years)	2 years
Non-compete agreement | Maximum
Acquired Finite-Lived Intangible Assets [Line Items]
Useful Life (in years)	5 years
Software technology
Acquired Finite-Lived Intangible Assets [Line Items]
Gross	$ 13,229	13,229
Accumulated Amortization	(8,781)	(7,752)
Net	$ 4,448	5,477
Useful Life (in years)	10 years
Weighted Average Useful Life Remaining (in years)	3 years 3 months 18 days
Software platform
Acquired Finite-Lived Intangible Assets [Line Items]
Gross	$ 26,481	26,373
Accumulated Amortization	(8,188)	(6,575)
Net	$ 18,293	19,798
Useful Life (in years)	12 years
Weighted Average Useful Life Remaining (in years)	8 years 3 months 18 days
Tradenames
Acquired Finite-Lived Intangible Assets [Line Items]
Gross	$ 356	354
Accumulated Amortization	(356)	(347)
Net	$ 0	7
Useful Life (in years)	3 years
Weighted Average Useful Life Remaining (in years)	0 years
Customer relationships
Acquired Finite-Lived Intangible Assets [Line Items]
Gross	$ 12,232	12,223
Accumulated Amortization	(12,232)	(12,183)
Net	$ 0	$ 40
Weighted Average Useful Life Remaining (in years)	0 years
Customer relationships | Minimum
Acquired Finite-Lived Intangible Assets [Line Items]
Useful Life (in years)	3 years
Customer relationships | Maximum
Acquired Finite-Lived Intangible Assets [Line Items]
Useful Life (in years)	9 years

Goodwill and Other Intangible_4

Goodwill and Other Intangible Assets - Narrative (Details) € in Millions, $ in Millions			3 Months Ended		9 Months Ended		12 Months Ended
	Jan. 22, 2021 EUR (€)	Jan. 22, 2021 USD ($)	Sep. 30, 2024 USD ($)	Sep. 30, 2023 USD ($)	Sep. 30, 2024 USD ($)	Sep. 30, 2023 USD ($)	Dec. 31, 2023 USD ($)
Acquired Finite-Lived Intangible Assets [Line Items]
Foreign currency losses					$ 1.2		$ 1.3
Amortization expense for intangible assets			$ 0.9	$ 1.5	$ 2.8	$ 4.5
Europe | 3D Hubs, Inc. (Hubs)
Acquired Finite-Lived Intangible Assets [Line Items]
Intangible assets acquired | €	€ 11.6
United States | 3D Hubs, Inc. (Hubs)
Acquired Finite-Lived Intangible Assets [Line Items]
Intangible assets acquired		$ 16.6

Goodwill and Other Intangible_5

Goodwill and Other Intangible Assets - Future Amortization Expense (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]
Remaining 2024	$ 919
2025	3,676
2026	3,574
2027	3,564
2028	2,195
Thereafter	8,962
Net	$ 22,890	$ 25,584

Fair Value Measurements - Finan

Fair Value Measurements - Financial Assets Measured At Fair Value On A Recurring Basis (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Financial Assets:
Debt securities, available-for-sale	$ 29,758	$ 27,032
Level 1 | Fair Value, Recurring
Financial Assets:
Debt securities, available-for-sale	20,290	4,482
Total	108,163	88,272
Level 2 | Fair Value, Recurring
Financial Assets:
Debt securities, available-for-sale	9,468	22,550
Total	9,468	22,550
Level 3 | Fair Value, Recurring
Financial Assets:
Debt securities, available-for-sale	0	0
Total	0	0
Cash | Level 1 | Fair Value, Recurring
Financial Assets:
Cash and cash equivalents	83,643	77,423
Cash | Level 2 | Fair Value, Recurring
Financial Assets:
Cash and cash equivalents	0	0
Cash | Level 3 | Fair Value, Recurring
Financial Assets:
Cash and cash equivalents	0	0
Money market mutual fund | Level 1 | Fair Value, Recurring
Financial Assets:
Cash and cash equivalents	4,230	6,367
Money market mutual fund | Level 2 | Fair Value, Recurring
Financial Assets:
Cash and cash equivalents	0	0
Money market mutual fund | Level 3 | Fair Value, Recurring
Financial Assets:
Cash and cash equivalents	$ 0	$ 0

Marketable Securities - Short-T

Marketable Securities - Short-Term and Long-Term Marketable Securities (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Debt Securities, Available-for-Sale [Line Items]
Cost	$ 29,826	$ 27,434
Unrealized Gains	36	0
Unrealized Losses	(104)	(402)
Fair Value	29,758	27,032
U.S. government agency securities
Debt Securities, Available-for-Sale [Line Items]
Cost	9,817	16,798
Unrealized Gains	0	0
Unrealized Losses	(72)	(278)
Fair Value	9,745	16,520
Corporate debt securities
Debt Securities, Available-for-Sale [Line Items]
Cost	14,242	2,511
Unrealized Gains	36	0
Unrealized Losses	(15)	(19)
Fair Value	14,263	2,492
U.S. municipal securities
Debt Securities, Available-for-Sale [Line Items]
Cost	5,767	7,876
Unrealized Gains	0	0
Unrealized Losses	(17)	(105)
Fair Value	$ 5,750	7,771
Certificates of deposit/time deposits
Debt Securities, Available-for-Sale [Line Items]
Cost		249
Unrealized Gains		0
Unrealized Losses		0
Fair Value		$ 249

Marketable Securities - Maturit

Marketable Securities - Maturities of Available-For-Sale Debt Securities (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Debt Securities, Available-for-Sale, Fair Value, Fiscal Year Maturity [Abstract]
Due in one year or less	$ 12,638
Due after one year through five years	17,120
Total marketable securities	$ 29,758	$ 27,032

Inventory (Details)

Inventory (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Inventory Disclosure [Abstract]
Total inventory	$ 13,067	$ 14,319
Allowance for obsolescence	(652)	(662)
Inventory, net of allowance	$ 12,415	$ 13,657

Stock-Based Compensation - Narr

Stock-Based Compensation - Narrative (Details) - USD ($) $ / shares in Units, $ in Millions		3 Months Ended		9 Months Ended
	May 23, 2024	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Stock-based compensation expense		$ 4.2	$ 4.4	$ 12.7	$ 11.8
Stock-based award, weighted-average grant date fair value (in dollars per share)				$ 18.15
ESPP
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Discount from market price (in percent)				15%
Offering period (in months)				6 months
Purchase price of common stock (in percent)				85%
Stock Options
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Stock-based award, term (in years)				10 years
Stock-based award, vesting period (in years)				4 years
Stock based award, unrecognized compensation expense		4.3		$ 4.3
Stock based award, unrecognized compensation expense, period for recognition (in years)				2 years 8 months 12 days
Restricted Stock
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Stock based award, unrecognized compensation expense		20		$ 20
Stock based award, unrecognized compensation expense, period for recognition (in years)				2 years 8 months 12 days
Restricted Stock | Minimum
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Stock-based award, vesting period (in years)				3 years
Restricted Stock | Maximum
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Stock-based award, vesting period (in years)				4 years
Performance Shares
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Stock-based award, vesting period (in years)				3 years
Stock based award, unrecognized compensation expense		$ 5.3		$ 5.3
Stock based award, unrecognized compensation expense, period for recognition (in years)				1 year 10 months 24 days
Percentage of target, capable of being earned and vesting, lower limit		0%		0%
Percentage of target, capable of being earned and vesting, upper limit		200%		200%
Long-Term Incentive Plan 2022
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of shares available for issuance pursuant to awards (in shares)	430,000
Stock-based award, term (in years)				10 years

Stock-Based Compensation - Opti

Stock-Based Compensation - Option Activity (Details)	9 Months Ended
	Sep. 30, 2024 $ / shares shares
Stock Options
Options outstanding, beginning balance (in shares) | shares	371,313
Granted (in shares) | shares	139,215
Exercised (in shares) | shares	0
Forfeited (in shares) | shares	(42,220)
Expired (in shares) | shares	(5,094)
Options outstanding, ending balance (in shares) | shares	463,214
Weighted- Average Exercise Price
Options outstanding, beginning balance, weighted-average exercise price (in dollars per share) | $ / shares	$ 59.92
Granted, weighted-average exercise price (in dollars per share) | $ / shares	33.41
Exercised, weighted-average exercise price (in dollars per share) | $ / shares	0
Forfeited, weighted-average exercise price (in dollars per share) | $ / shares	64.43
Expired, weighted-average exercise price (in dollars per share) | $ / shares	67.78
Options outstanding, ending balance, weighted-average exercise price (in dollars per share) | $ / shares	$ 51.46
Additional Disclosures
Option exercisable (in shares) | shares	189,816
Options exercisable, weighted-average exercise price (in dollars per share) | $ / shares	$ 70.28

Stock-Based Compensation - Weig

Stock-Based Compensation - Weighted Average Assumptions (Details)	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023
Employee Stock Purchase Plan
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Expected life (years)	6 years	6 years
Expected dividend yield	0%	0%
Stock Options
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Expected life (years)	6 years 3 months
Expected dividend yield	0%	0%
Performance Shares
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Risk-free interest rate	4.37%	4.35%
Expected life (years)	2 years 10 months 17 days	2 years 10 months 17 days
Expected volatility	51.40%	58%
Expected dividend yield	0%	0%
Minimum | Employee Stock Purchase Plan
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Risk-free interest rate	5.07%	4.60%
Expected volatility	30.97%	47.38%
Minimum | Stock Options
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Risk-free interest rate	4.28%	3.55%
Expected life (years)		2 years
Expected volatility	50.62%	49.23%
Maximum | Employee Stock Purchase Plan
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Risk-free interest rate	5.16%	4.82%
Expected volatility	47.92%	67.84%
Maximum | Stock Options
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Risk-free interest rate	4.30%	4.55%
Expected life (years)		6 years 3 months
Expected volatility	50.72%	55.92%

Stock-Based Compensation - Stoc

Stock-Based Compensation - Stock Activity (Details)	9 Months Ended
	Sep. 30, 2024 $ / shares shares
Restricted Stock
Stock
Beginning balance (in shares) | shares	653,465
Granted (in shares) | shares	336,785
Restrictions lapsed (in shares) | shares	(191,950)
Forfeited (in shares) | shares	(51,475)
Ending balance (in shares) | shares	746,825
Weighted- Average Grant Date Fair Value Per Share
Beginning balance, weighted-average grant date fair value (in dollars per share) | $ / shares	$ 45.89
Granted, weighted-average grant date fair value (in dollars per share) | $ / shares	33.02
Restrictions lapsed, weighted-average grant date fair value (in dollars per share) | $ / shares	54.48
Forfeited, weighted-average grant date fair value (in dollars per share) | $ / shares	39.06
Ending balance, weighted-average grant date fair value (in dollars per share) | $ / shares	$ 38.34
Performance Shares
Stock
Beginning balance (in shares) | shares	107,097
Granted (in shares) | shares	79,436
Restrictions lapsed (in shares) | shares	0
Performance change (in shares) | shares	(2,772)
Forfeited (in shares) | shares	0
Ending balance (in shares) | shares	183,761
Weighted- Average Grant Date Fair Value Per Share
Beginning balance, weighted-average grant date fair value (in dollars per share) | $ / shares	$ 74.08
Granted, weighted-average grant date fair value (in dollars per share) | $ / shares	48.20
Restrictions lapsed, weighted-average grant date fair value (in dollars per share) | $ / shares	0
Performance change, weighted-average grant date fair value (in dollars per share) | $ / shares	227.14
Forfeited, weighted-average grant date fair value (in dollars per share) | $ / shares	0
Ending balance, weighted-average grant date fair value (in dollars per share) | $ / shares	$ 60.58

Accumulated Other Comprehensi_3

Accumulated Other Comprehensive Income (Loss) - Changes In Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance	$ 685,236	$ 682,685	$ 695,295	$ 697,648
Net unrealized gains (loss) on investments in securities
Ending balance	679,993	684,922	679,993	684,922
Accumulated Other Comprehensive Loss
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance	(29,432)	(29,221)	(28,013)	(34,355)
Net unrealized gains (loss) on investments in securities
Ending balance	(26,852)	(30,288)	(26,852)	(30,288)
Foreign currency translation adjustments
Foreign currency translation adjustments
Other comprehensive income (loss) before reclassifications	2,430	(1,307)	827	(432)
Amounts reclassified from accumulated other comprehensive loss	0	0	0	3,906
Net unrealized gains (loss) on investments in securities
Other comprehensive income before reclassifications	2,430	(1,307)	827	(432)
Amounts reclassified from accumulated other comprehensive loss	0	0	0	3,906
Net current-period other comprehensive income (loss)	2,430	(1,307)	827	3,474
Net unrealized gains (loss) on investments in securities
Foreign currency translation adjustments
Other comprehensive income (loss) before reclassifications	150	240	334	593
Amounts reclassified from accumulated other comprehensive loss	0	0	0	0
Net unrealized gains (loss) on investments in securities
Other comprehensive income before reclassifications	150	240	334	593
Amounts reclassified from accumulated other comprehensive loss	0	0	0	0
Net current-period other comprehensive income (loss)	$ 150	$ 240	$ 334	$ 593

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023	Dec. 31, 2023
Income Tax Disclosure [Abstract]
Provision for income taxes	$ 2,679	$ 2,781	$ 7,957	$ 7,784
Effective income tax rate (in percent)	27.10%	25.90%	31.90%	43.20%
Effective income tax rate, increase (decrease) during period (in percent)	1.20%		(11.30%)
Federal statutory rate (in percent)	21%		21%
Unrecognized tax benefits	$ 3,700		$ 3,700		$ 3,600

Segment Reporting - Revenue by

Segment Reporting - Revenue by Geographic Areas (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Segment Reporting Information [Line Items]
Total revenue	$ 125,619	$ 130,705	$ 379,140	$ 378,829
Operating Segments
Segment Reporting Information [Line Items]
Total revenue	125,619	130,705	379,140	378,829
Operating Segments | United States
Segment Reporting Information [Line Items]
Total revenue	99,571	103,940	299,593	298,007
Operating Segments | Europe
Segment Reporting Information [Line Items]
Total revenue	$ 26,048	$ 26,765	$ 79,547	$ 80,822

Segment Reporting - Income From

Segment Reporting - Income From Operation by Geographic Areas (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Segment Reporting Information [Line Items]
Total Income from Operations	$ 8,580	$ 10,415	$ 21,406	$ 19,772
Operating Segments
Segment Reporting Information [Line Items]
Total Income from Operations	8,580	10,415	21,406	19,772
Operating Segments | United States
Segment Reporting Information [Line Items]
Total Income from Operations	25,687	27,178	76,260	69,713
Operating Segments | Europe
Segment Reporting Information [Line Items]
Total Income from Operations	(2,398)	(3,006)	(6,574)	(8,870)
Operating Segments | Corporate Unallocated and Japan
Segment Reporting Information [Line Items]
Total Income from Operations	$ (14,709)	$ (13,757)	$ (48,280)	$ (41,071)

Segment Reporting - Long-Lived

Segment Reporting - Long-Lived Assets by Geographic Areas (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Segment Reporting Information [Line Items]
Total Long-lived Assets	$ 237,942	$ 253,655
Operating Segments
Segment Reporting Information [Line Items]
Total Long-lived Assets	237,942	253,655
Operating Segments | United States
Segment Reporting Information [Line Items]
Total Long-lived Assets	187,130	201,388
Operating Segments | Europe
Segment Reporting Information [Line Items]
Total Long-lived Assets	$ 50,812	$ 52,267

Segment Reporting - Disaggregat

Segment Reporting - Disaggregation of Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Segment Reporting Information [Line Items]
Total revenue	$ 125,619	$ 130,705	$ 379,140	$ 378,829
Injection Molding
Segment Reporting Information [Line Items]
Total revenue	46,831	51,688	148,574	152,455
CNC Machining
Segment Reporting Information [Line Items]
Total revenue	53,327	52,916	154,498	149,317
3D Printing
Segment Reporting Information [Line Items]
Total revenue	21,437	21,622	64,300	63,952
Sheet Metal
Segment Reporting Information [Line Items]
Total revenue	3,743	4,291	11,218	12,478
Other Revenue
Segment Reporting Information [Line Items]
Total revenue	$ 281	$ 188	$ 550	$ 627

Subsequent Event (Details)

Subsequent Event (Details) - USD ($) $ in Millions	3 Months Ended	12 Months Ended
	Dec. 31, 2024	Sep. 30, 2025	Oct. 21, 2024
Forecast
Subsequent Event [Line Items]
Restructuring charges	$ 4
Minimum | Employee Severance | Forecast
Subsequent Event [Line Items]
Payments for restructuring		$ 3
Minimum | Subsequent Event
Subsequent Event [Line Items]
Restructuring charge expected to incur			$ 4.5
Minimum | Subsequent Event | Employee Severance
Subsequent Event [Line Items]
Restructuring charge expected to incur			2.5
Minimum | Subsequent Event | Facility Closing
Subsequent Event [Line Items]
Restructuring charge expected to incur			2
Maximum | Employee Severance | Forecast
Subsequent Event [Line Items]
Payments for restructuring		$ 4
Maximum | Subsequent Event
Subsequent Event [Line Items]
Restructuring charge expected to incur			6
Maximum | Subsequent Event | Employee Severance
Subsequent Event [Line Items]
Restructuring charge expected to incur			3.5
Maximum | Subsequent Event | Facility Closing
Subsequent Event [Line Items]
Restructuring charge expected to incur			$ 2.5