Exhibit 99.1
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Protolabs Reports Financial Results for the Second Quarter of 2025
Record Quarterly Revenue of $135.1 Million, a 7.5% increase Year-Over-Year
GAAP Earnings Per Share of $0.18, Non-GAAP Earnings Per Share of $0.41
MINNEAPOLIS – July 31, 2025 – Proto Labs, Inc. ("Protolabs" or the "Company") (NYSE: PRLB), the world’s leading provider of digital manufacturing services, today announced financial results for the second quarter ended June 30, 2025.
Second Quarter 2025 Financial Highlights:
•Revenue was a record $135.1 million, a 7.5% increase compared to revenue of $125.6 million in the second quarter of 2024.
•Revenue fulfilled through digital factories was $105.8 million, a 4.8% increase year-over-year.
•Revenue fulfilled through the Protolabs Network was $29.3 million, an 18.6% increase year-over-year.
•Net income was $4.4 million, or $0.18 per diluted share, compared to $4.5 million, or $0.18 per diluted share, in the second quarter of 2024.
•Non-GAAP net income was $10.0 million, or $0.41 per diluted share, compared to $9.5 million, or $0.38 per diluted share, in the second quarter of 2024. See “Non-GAAP Financial Measures” below.

“Protolabs generated record quarterly revenue in the second quarter, demonstrating the value we provide to customers and reinforcing our ability to execute in a dynamic and uncertain environment," commented President and Chief Executive Officer Suresh Krishna. "Our priorities remain as follows: drive growth in our key performance indicators, expand production capabilities, and reinforce our core prototyping offer. I am pleased with the progress our employees have made through the first half of the year, and I am confident we have the right foundation, team, and strategy in place to drive sustainable growth while maintaining industry-leading profitability and cash flow generation."

Dan Schumacher, Chief Financial Officer, added: "Our strong revenue in the second quarter was driven by growth through both Factory and Network fulfillment. Non-GAAP EPS increased both sequentially and year-over-year, reflecting the strength of our profitable business model. We will continue to invest in growth, drive innovation, execute for our customers, and deliver long-term value to our shareholders."

Additional Second Quarter 2025 Highlights:
•Customer contact information
◦Protolabs served 21,775 customer contacts during the quarter.
◦Revenue per customer contact increased 10.9% year-over-year to $6,203.
•EBITDA was $14.1 million. See “Non-GAAP Financial Measures” below.
•Adjusted EBITDA was $19.7 million, or 14.6% of revenue, compared to $19.3 million, or 15.4% of revenue, in the second quarter of 2024. See “Non-GAAP Financial Measures” below.
•Cash and investments balance was $123.2 million as of June 30, 2025.

Third Quarter 2025 Outlook

In the third quarter of 2025, the Company expects to generate revenue between $130.0 million and $138.0 million.

The Company expects third quarter 2025 diluted net income per share between $0.17 and $0.25, and non-GAAP diluted net income per share between $0.35 and $0.43. See "Non-GAAP Financial Measures" below.


Non-GAAP Financial Measures
The Company has included non-GAAP revenue growth by region and by service line that excludes the impact of changes in foreign currency exchange rates (collectively, “non-GAAP revenue growth”). Management believes these metrics, when viewed in conjunction with the comparable GAAP metrics, are useful in evaluating the underlying business trends and ongoing operating performance of the Company.
The Company has included earnings before interest, taxes, depreciation and amortization (“EBITDA”) and EBITDA, adjusted for stock-based compensation expense, unrealized (gain) loss on foreign currency, CEO transition costs and costs related to exit and disposal activities (collectively, “Adjusted EBITDA”), in this press release to provide investors with additional information regarding the Company’s financial results. The Company has also included earnings before interest, taxes, depreciation and amortization margin (“EBITDA margin”) and EBITDA margin, adjusted for stock-based compensation expense, unrealized (gain) loss on foreign currency, CEO transition costs and costs related to exit and disposal activities (collectively, “Adjusted EBITDA margin”), in this press release to provide investors with additional information regarding the Company’s financial results.
The Company has included non-GAAP gross margin, adjusted for stock-based compensation expense and amortization expense, in this press release to provide investors with additional information regarding the Company’s financial results.
The Company has included non-GAAP operating margin, adjusted for stock-based compensation expense, amortization expense, CEO transition costs and costs related to exit and disposal activities (collectively, “non-GAAP operating margin”), in this press release to provide investors with additional information regarding the Company’s financial results.
The Company has included non-GAAP net income and non-GAAP net income per share, in each case, adjusted for stock-based compensation expense, amortization expense, unrealized (gain) loss on foreign currency, CEO transition costs and costs related to exit and disposal activities (collectively, “non-GAAP net income”), in this press release to provide investors with additional information regarding the Company’s financial results.
The Company has provided below reconciliations of GAAP to non-GAAP net income, non-GAAP net income per share, non-GAAP gross margin, non-GAAP operating margin, non-GAAP revenue growth by region and by service line, and Adjusted EBITDA and Adjusted EBITDA margin, the most directly comparable measures calculated and presented in accordance with GAAP. These non-GAAP measures are used by the Company’s management and board of directors to understand and evaluate operating performance and trends, provide useful measures for period-to-period comparisons of the Company’s business, and in determining executive and senior management incentive compensation. Accordingly, the Company believes that these non-GAAP measures provide useful information to investors and others in understanding and evaluating operating results in the same manner as our management and board of directors. These non-GAAP financial measures should not be considered a substitute for, or superior to, financial measures calculated in accordance with GAAP. These non-GAAP financial measures exclude significant expenses and income that are required by GAAP to be recorded in our condensed consolidated financial statements and are subject to inherent limitations. Investors should review the reconciliations of non-GAAP financial measures to the comparable GAAP financial measures that are included in this press release.
Conference Call
The Company has scheduled a conference call to discuss its second quarter 2025 financial results and third quarter 2025 outlook today, July 31, 2025 at 8:30 a.m. EDT. To access the call in the U.S. please dial 877-709-8150 or outside the U.S. dial 201-689-8354 at least five minutes prior to the 8:30 a.m. EDT start time. No participant code is required. A simultaneous webcast of the call and accompanying presentation will be available via the investor relations section of the Protolabs website and the following link: https://edge.media-server.com/mmc/p/mp2aa5du/. A replay will be available for 14 days following the call on the investor relations section of the Protolabs website.
About Protolabs
Protolabs is the fastest and most comprehensive manufacturing service from prototyping to production. Our digital factories produce low-volume parts in days while Protolabs Network unlocks advanced capabilities and volume pricing through its highly vetted manufacturing partners. The result? One digital manufacturing source for product developers, engineers, and supply chain teams across the globe. See what's next at protolabs.com.


Forward-Looking Statements
Statements contained in this press release regarding matters that are not historical or current facts are “forward-looking statements” within the meaning of The Private Securities Litigation Reform Act of 1995. These statements involve known and unknown risks, uncertainties and other factors which may cause the results of Protolabs to be materially different than those expressed or implied in such statements. Certain of these risk factors and others are described in the “Risk Factors” section within reports filed with the SEC. Other unknown or unpredictable factors also could have material adverse effects on Protolabs’ future results. The forward-looking statements included in this press release are made only as of the date hereof. Protolabs cannot guarantee future results, levels of activity, performance or achievements. Accordingly, you should not place undue reliance on these forward-looking statements. Finally, Protolabs expressly disclaims any intent or obligation to update any forward-looking statements to reflect subsequent events or circumstances.
Source: Proto Labs, Inc.

Investor Relations Contacts:
Protolabs
Ryan Johnsrud, 612-225-4873
Manager – Investor Relations and Corporate Development
ryan.johnsrud@protolabs.com

Gateway Group, Inc.
949-574-3860
PRLB@gateway-grp.com
Media Contact:
Protolabs
Brent Renneke, 763-479-7704
Marketing Communications Manager
brent.renneke@protolabs.com


Proto Labs, Inc.
Condensed Consolidated Balance Sheets
(In thousands)
June 30,
2025		December 31,
2024
(Unaudited)
Assets
Current assets
Cash and cash equivalents$90,382 $89,071 
Short-term marketable securities12,804 14,019 
Accounts receivable, net78,011 66,504 
Inventory13,169 12,305 
Income taxes receivable1,155 2,906 
Prepaid expenses and other current assets9,985 10,049 
Total current assets205,506 194,854 
Property and equipment, net215,777 227,263 
Goodwill273,991 273,991 
Other intangible assets, net20,500 21,422 
Long-term marketable securities20,037 17,773 
Operating lease assets2,308 2,993 
Finance lease assets558 692 
Other long-term assets4,575 4,524 
Total assets$743,252 $743,512 
Liabilities and shareholders' equity  
Current liabilities  
Accounts payable$15,583 $15,504 
Accrued compensation19,435 16,550 
Accrued liabilities and other25,846 19,621 
Current operating lease liabilities984 1,287 
Current finance lease liabilities316 309 
Total current liabilities62,164 53,271 
Long-term operating lease liabilities1,402 1,633 
Long-term finance lease liabilities127 287 
Long-term deferred tax liabilities9,737 13,565 
Other long-term liabilities5,115 4,605 
Shareholders' equity664,707 670,151 
Total liabilities and shareholders' equity$743,252 $743,512 


Proto Labs, Inc.
Condensed Consolidated Statements of Operations
(In thousands, except share and per share amounts)
(Unaudited)
Three Months Ended
June 30,		Six Months Ended
June 30,
2025202420252024
Revenue
Injection Molding$47,415 $49,080 $96,138 $101,743 
CNC Machining61,945 51,239 114,788 101,171 
3D Printing21,215 21,281 41,409 42,863 
Sheet Metal4,303 3,922 8,514 7,475 
Other Revenue185 109 419 269 
Total Revenue135,063 125,631 261,268 253,521 
Cost of revenue75,289 69,085 145,796 139,508 
Gross profit59,774 56,546 115,472 114,013 
Operating expenses
Marketing and sales24,731 23,291 48,480 46,451 
Research and development11,173 10,661 21,782 21,828 
General and administrative18,752 16,595 35,600 32,908 
Costs related to exit and disposal activities149 — 110 — 
Total operating expenses54,805 50,547 105,972 101,187 
Income from operations4,969 5,999 9,500 12,826 
Other income, net1,705 1,361 3,159 2,260 
Income before income taxes6,674 7,360 12,659 15,086 
Provision for income taxes2,247 2,820 4,633 5,278 
Net income$4,427 $4,540 $8,026 $9,808 
Net income per share:
Basic$0.19 $0.18 $0.33 $0.39 
Diluted$0.18 $0.18 $0.33 $0.38 
Shares used to compute net income per share:
Basic23,900,39025,313,03624,018,11925,473,937
Diluted24,101,59225,372,97224,291,24625,573,344


Proto Labs, Inc.
Condensed Consolidated Statements of Cash Flows
(In thousands)
(Unaudited)
Six Months Ended
June 30,
20252024
Operating activities
Net income$8,026 $9,808 
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization17,264 18,075 
Stock-based compensation expense8,251 8,520 
Deferred taxes(3,985)(4,144)
Interest on finance lease obligations11 18 
Impairments related to exit and closure of facilities448 — 
Gain on disposal of property and equipment— (20)
Other(82)64 
Changes in operating assets and liabilities(970)3,460 
Net cash provided by operating activities28,963 35,781 
Investing activities
Purchases of property, equipment and other capital assets(2,730)(6,784)
Proceeds from sales of property, equipment and other capital assets— 30 
Purchases of marketable securities(11,052)— 
Proceeds from call redemptions and maturities of marketable securities10,230 10,419 
Net cash (used in) provided by investing activities(3,552)3,665 
Financing activities
Proceeds from issuance of common stock from equity plans2,081 2,094 
Purchases of shares withheld for tax obligations(3,117)(1,920)
Repurchases of common stock(23,980)(26,940)
Principal repayments of finance lease obligations(153)(146)
Net cash used in financing activities(25,169)(26,912)
Effect of exchange rate changes on cash and cash equivalents1,069 (175)
Net increase in cash and cash equivalents1,311 12,359 
Cash and cash equivalents, beginning of period89,071 83,790 
Cash and cash equivalents, end of period$90,382 $96,149 


Proto Labs, Inc.
Reconciliation of GAAP to Non-GAAP Net Income and Non-GAAP Net Income per Share
(In thousands, except share and per share amounts)
(Unaudited)
Three Months Ended
June 30,		Six Months Ended
June 30,
2025202420252024
Non-GAAP net income, adjusted for stock-based compensation expense, amortization expense, unrealized (gain) loss on foreign currency, CEO transition costs and costs related to exit and disposal activities
GAAP net income$4,427 $4,540 $8,026 $9,808 
Add back:
Stock-based compensation expense4,259 4,244 8,251 8,520 
Amortization expense927 921 1,835 1,908 
Unrealized (gain) loss on foreign currency(179)(88)(314)149 
CEO transition costs1,362 — 1,362 — 
Costs related to exit and disposal activities149 — 110 — 
Total adjustments 1
6,518 5,077 11,244 10,577 
Income tax benefits on adjustments 2
(958)(85)(1,200)(439)
Non-GAAP net income$9,987 $9,532 $18,070 $19,946 
Non-GAAP net income per share:
Basic$0.42 $0.38 $0.75 $0.78 
Diluted$0.41 $0.38 $0.74 $0.78 
Shares used to compute non-GAAP net income per share:
Basic23,900,39025,313,03624,018,11925,473,937
Diluted24,101,59225,372,97224,291,24625,573,344
1Stock-based compensation expense, amortization expense, unrealized (gain) loss on foreign currency, CEO transition costs and costs related to exit and disposal activities were included in the following GAAP consolidated statement of operations categories:
Three Months Ended
June 30,		Six Months Ended
June 30,
2025202420252024
Cost of revenue$767 $810 $1,569 $1,611 
Marketing and sales808 819 1,586 1,652 
Research and development735 667 1,360 1,359 
General and administrative4,238 2,869 6,933 5,806 
Costs related to exit and disposal activities149 — 110 — 
Total operating expenses5,930 4,355 9,989 8,817 
Other income, net(179)(88)(314)149 
Total adjustments$6,518 $5,077 $11,244 $10,577 
2For the three and six months ended June 30, 2025 and 2024, income tax effects were calculated using the effective tax rate for the relevant jurisdictions. The Company's non-GAAP tax rates differ from its GAAP tax rates due primarily to the mix of activity incurred in domestic and foreign tax jurisdictions and removing effective tax rate benefits from stock-based compensation activity in the respective period.


Proto Labs, Inc.
Reconciliation of GAAP to Non-GAAP Gross Margin
(In thousands)
(Unaudited)
Three Months Ended
June 30,		Six Months Ended
June 30,
2025202420252024
Revenue$135,063 $125,631 $261,268 $253,521 
Gross profit59,774 56,546 115,472 114,013 
GAAP gross margin44.3%45.0%44.2%45.0%
Add back:  
Stock-based compensation expense424 468 884 927 
Amortization expense343 342 685 684 
Total adjustments767 810 1,569 1,611 
Non-GAAP gross profit$60,541 $57,356 $117,041 $115,624 
Non-GAAP gross margin44.8%45.7%44.8%45.6%


Proto Labs, Inc.
Reconciliation of GAAP to Non-GAAP Operating Margin
(In thousands)
(Unaudited)
Three Months Ended
June 30,		Six Months Ended
June 30,
2025202420252024
Revenue$135,063 $125,631 $261,268 $253,521 
Income from operations4,969 5,999 9,500 12,826 
GAAP operating margin3.7%4.8%3.6%5.1%
Add back:
Stock-based compensation expense4,259 4,244 8,251 8,520 
Amortization expense927 921 1,835 1,908 
CEO transition costs1,362 — 1,362 — 
Costs related to exit and disposal activities149 — 110 — 
Total adjustments6,697 5,165 11,558 10,428 
Non-GAAP income from operations$11,666 $11,164 $21,058 $23,254 
Non-GAAP operating margin8.6%8.9%8.1%9.2%


Proto Labs, Inc.
Reconciliation of GAAP Net Income to EBITDA and Adjusted EBITDA
(In thousands)
(Unaudited)
Three Months Ended
June 30,		Six Months Ended
June 30,
2025202420252024
Revenue$135,063 $125,631 $261,268 $253,521 
GAAP net income4,427 4,540 8,026 9,808 
GAAP net income margin3.3%3.6%3.1%3.9%
Add back:
Amortization expense$927 $921 $1,835 $1,908 
Depreciation expense7,643 8,051 15,429 16,167 
Interest income, net(1,143)(1,149)(2,251)(2,261)
Provision for income taxes2,247 2,820 4,633 5,278 
EBITDA14,101 15,183 27,672 30,900 
EBITDA Margin10.4%12.1%10.6%12.2%
Add back:
Stock-based compensation expense4,259 4,244 8,251 8,520 
Unrealized (gain) loss on foreign currency(179)(88)(314)149 
CEO transition costs1,362 — 1,362 — 
Costs related to exit and disposal activities149 — 110 — 
Total adjustments5,591 4,156 9,409 8,669 
Adjusted EBITDA$19,692 $19,339 $37,081 $39,569 
Adjusted EBITDA Margin14.6%15.4%14.2%15.6%


Proto Labs, Inc.
Comparison of GAAP to Non-GAAP Revenue Growth by Region
(In thousands)
(Unaudited)
Three Months Ended
June 30, 2025		Three Months Ended
June 30, 2024
%
Change2
% Change
Organic3
GAAP
Foreign
Currency1
Non-GAAPGAAP
Revenues
United States$110,712 $— $110,712 $98,541 12.4%12.4%
Europe24,351 (1,292)23,059 27,090 (10.1)(14.9)
Total revenue$135,063 $(1,292)$133,771 $125,631 7.5%6.5%
Six Months Ended
June 30, 2025		Six Months Ended
June 30, 2024
%
Change2
% Change
Organic3
GAAP
Foreign
Currency1
Non-GAAPGAAP
Revenues
United States$210,979 $— $210,979 $200,022 5.5%5.5%
Europe50,289 (829)49,460 53,499 (6.0%)(7.5%)
Total revenue$261,268 $(829)$260,439 $253,521 3.1%2.7%

1Revenue for the three and six months ended June 30, 2025 has been recalculated using 2024 foreign currency exchange rates in effect during comparable periods to provide information useful in evaluating the underlying business trends excluding the impact of changes in foreign currency exchange rates.
2This column presents the percentage change from GAAP revenue for the three and six months ended June 30, 2024 to GAAP revenue for the three and six months ended June 30, 2025.
3This column presents the percentage change from GAAP revenue for the three and six months ended June 30, 2024 to non-GAAP revenue for the three and six months ended June 30, 2025 (as recalculated using the foreign currency exchange rates in effect during the three and six months ended June 30, 2024) in order to provide a constant-currency comparison.


Proto Labs, Inc.
Comparison of GAAP to Non-GAAP Revenue Growth by Service Line
(In thousands)
(Unaudited)
Three Months Ended
June 30, 2025		Three Months Ended
June 30, 2024
%
Change2
% Change
Organic3
GAAP
Foreign
Currency1
Non-GAAPGAAP
Revenues
Injection Molding$47,415 $(429)$46,986 $49,080 (3.4%)(4.3%)
CNC Machining61,945 (619)61,326 51,239 20.9 19.7 
3D Printing21,215 (226)20,989 21,281 (0.3)(1.4)
Sheet Metal4,303 (17)4,286 3,922 9.7 9.3 
Other Revenue185 (1)184 109 69.7 68.8 
Total revenue$135,063 $(1,292)$133,771 $125,631 7.5%6.5%
Six Months Ended
June 30, 2025		Six Months Ended
June 30, 2024
%
Change2
% Change
Organic3
GAAP
Foreign
Currency1
Non-GAAPGAAP
Revenues
Injection Molding$96,138 $(348)$95,790 $101,743 (5.5%)(5.9%)
CNC Machining114,788 (314)114,474 101,171 13.5 13.1 
3D Printing41,409 (162)41,247 42,863 (3.4)(3.8)
Sheet Metal8,514 (7)8,507 7,475 13.9 13.8 
Other Revenue419 2 421 269 55.8 56.5 
Total revenue$261,268 $(829)$260,439 $253,521 3.1%2.7%

1Revenue for the three and six months ended June 30, 2025 has been recalculated using 2024 foreign currency exchange rates in effect during comparable periods to provide information useful in evaluating the underlying business trends excluding the impact of changes in foreign currency exchange rates.
2This column presents the percentage change from GAAP revenue for the three and six months ended June 30, 2024 to GAAP revenue for the three and six months ended June 30, 2025.
3This column presents the percentage change from GAAP revenue for the three and six months ended June 30, 2024 to non-GAAP revenue for the three and six months ended June 30, 2025 (as recalculated using the foreign currency exchange rates in effect during the three and six months ended June 30, 2024) in order to provide a constant-currency comparison.


Proto Labs, Inc.
Customer Contact Information
(In thousands, except customer contacts and per customer contact amounts)
(Unaudited)
Three Months Ended
June 30,		Six Months Ended
June 30,
2025202420252024
Revenue$135,063 $125,631 $261,268 $253,521 
Customer contacts21,77522,45633,13634,338
Revenue per customer contact1
$6,203 $5,595 $7,885 $7,383 

1Revenue per customer contact is calculated using the revenue recognized during the respective period divided by the actual number of customer contacts served during the same period. Customer contacts are product developers, engineers, procurement and supply chain professionals and other individuals who place an order, and that order is shipped and invoiced during the period. The Company believes revenue per customer contact is useful to investors in evaluating the underlying business trends and ongoing operating performance of the Company.
Proto Labs, Inc.
Reconciliation of GAAP to Non-GAAP Guidance
(Unaudited)

Q3 2025 Outlook
LowHigh
GAAP diluted net income per share$0.17 $0.25 
Add back:
Stock-based compensation expense0.15 0.15 
Amortization expense0.03 0.03 
Unrealized (gain) loss on foreign currency0.00 0.00 
Total adjustments0.18 0.18 
Non-GAAP diluted net income per share$0.35 $0.43