WALTHAM, Mass. - Nano Dimension Ltd . (NASDAQ:NNDM), a leader in additively manufactured electronics (AME) and additive manufacturing (AM) 3D printing solutions, along with defense technology company HENSOLDT AG, have announced the renewal of their joint venture, Jetted Additively Manufactured Electronics Sources GmbH (J.A.M.E.S). The decision to continue the collaboration follows the joint venture's success in promoting the adoption of AME technology.
J.A.M.E.S, established in July 2021 and based in Taufkirchen, Germany, has become a prominent platform within the electronic design community. It facilitates the exchange of designs, manufacturing methodologies, and materials expertise, and engages with strategic customers on projects centralizing AME.
The joint venture's achievements have led to broader recognition of AME's benefits, such as enhanced iterative development, intellectual property security, accelerated time-to-market, and improved device performance. Andreas Müller, CEO of J.A.M.E.S, expressed enthusiasm for the venture's future, highlighting the platform's role in advancing knowledge and implementation of 3D printed electronics.
Oliver Dörre, CEO and Chairman of the Management Board of HENSOLDT, underscored the joint venture's impact on advancing technology as a viable alternative to traditional electronics manufacturing. HENSOLDT's commitment to J.A.M.E.S's mission includes investing in the progression of digital 3D printing for electronics components to benefit industry development and production.
Yoav Stern, CEO and board member of Nano Dimension, reflected on the partnership with HENSOLDT in J.A.M.E.S as a strategic move that has significantly influenced the 3D printed electronics industry. Stern anticipates that the joint venture's work with various stakeholders will continue to support future advancements.
HENSOLDT, with approximately 8,500 employees and revenues of €1.8 billion in 2023, is a European defense industry leader. The company is known for its sensor solutions and is actively expanding its cyber capabilities.
Nano Dimension's vision aligns with Industry 4.0, aiming to transform traditional manufacturing through environmentally friendly and economically efficient additive electronics and manufacturing. The company's strategy incorporates AI and a distributed manufacturing network to enhance its offerings. Nano Dimension serves customers across various industries, including aerospace, defense, automotive, industrial, medical technology, and academia.
This article is based on a press release statement.
In other recent news, Nano Dimension reported a year-over-year revenue increase of 2% and a significant 54% reduction in cash burn during its second quarter 2024 earnings call. The company disclosed plans to acquire Desktop Metal, a transaction expected to close by year-end valued between $135 million to $180 million. These developments are part of Nano Dimension's strategic transition towards Industry 4.0 and a consolidation of its position in the additive manufacturing sector.
The company also noted a focus on software and AI as key drivers for machine sales. CEO Yoav Stern expressed confidence in the acquisition strategy and showed optimism for potential collaborations with Stratasys (NASDAQ:SSYS), particularly in metal and electronics. In addition, Nano Dimension has allocated $150 million for share buybacks, indicating a belief that its shares are undervalued.
Despite the established nature of the robotics and automation industry, Nano Dimension sees continued growth potential due to ongoing digitalization. The company is also working to increase the gross margins of Desktop Metal to achieve a target of 60% for sufficient profit margin. These are recent developments that investors should keep an eye on.
InvestingPro Insights
As Nano Dimension Ltd. (NASDAQ:NNDM) continues to shape the future of additively manufactured electronics through its collaboration with HENSOLDT AG, the company's financial health and market performance remain a focal point for investors. According to the latest data from InvestingPro, Nano Dimension holds a market capitalization of approximately $477.94 million. An important detail for potential investors is that the company maintains a stronger liquidity position, with cash reserves surpassing its debt, which aligns with its strategic initiatives and potential for future growth.
InvestingPro Tips highlight that Nano Dimension is trading at a low Price / Book multiple of 0.55 as of the last twelve months ending Q2 2024. This could be an indicator of the stock's undervaluation relative to the company's book value, making it an attractive entry point for value investors. Additionally, analysts on InvestingPro predict that Nano Dimension will turn profitable this year, suggesting a potential shift in the company's financial trajectory. With these insights, investors can gauge the timing and potential for Nano Dimension's growth in the context of its market performance and financial stability.
On the operational front, the company's revenue growth was recorded at 6.1% for the last twelve months as of Q2 2024, signaling a steady increase in sales. However, it's worth noting that Nano Dimension is quickly burning through cash and has not been profitable over the last twelve months, which could be a concern for those looking at the company's long-term viability. For investors seeking a deeper analysis, InvestingPro offers additional tips, providing a more comprehensive understanding of Nano Dimension's financial health and market potential.
For those interested in exploring further, there are 9 additional InvestingPro Tips available on InvestingPro that can offer more nuanced guidance on Nano Dimension's financial and market position.
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