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Arcam Sells 32 EBM Systems in First Half of FY 2017

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In the first 6 months of its current fiscal year, the Arcam Group delivered 32 (28) EBM systems. This brings the total to 57 systems for the past 12 months. The company continues to grow and during the first six months the increase in sales was 32%. Sales for the period increased to 407.0 (307.6) MSEK and trailing twelve month sales amounts to 747.7 (621.7) MSEK. Operating income for the period was 5.5 (4.1) MSEK and trailing twelve months operating income amounts to -28.4 (30.7) MSEK.

Arcam continues to pursue and develop its long-term strategy to industrialize the EBM technology and simultaneously developing the metal powder manufacturing and contract manufacturing business. The company is investing significantly in technology, marketing and manufacturing capacity to meet customers’ demands and growing expectations on productivity and reliability.

Business Status

The demand for EBM systems is driven by the aerospace industry that is now moving into production, and by the increasing interest for Additive Manufacturing from the orthopedic industry. However, the customers are still hesitant launching large manufacturing projects. The Arcam executive team believes that increased product maturity as well as new application areas will drive more production interest.

The growth in the period is due to the interest from Arcam’s largest shareholder GE, in EBM systems for test and evaluation. In the period the order intake from GE was 12 EBM systems and 16 systems were delivered to GE. In the period, the company received 23 new orders and the order book by the end of the quarter amounts to 16 EBM systems.

The demand of metal powder for Additive Manufacturing continues to grow rapidly. Arcam is continuing to secure long-term supply agreements to important customers within the orthopedic and the aerospace industries.

DTI is increasingly active on the market and continue adding new customers and projects to the EBM part of the contract manufacturing business. However, the business continues to be burdened by weak sales for implants made with traditional technology the conventional part of manufacturing was weak in the period.

A pair of Arcam machines at Avio Aero’s additive manufacturing factory in Cameri.

Growing Organization

Arcam continues to build its organization. In early April 2017 Karl Lindblom joined as General Manager for Arcam EBM. The sales organization within Arcam EBM in the USA, and at AP&C and DTI was stregthened. AP&C expanded the organization to prepare for the opening of its new metal powder manufacturing plant. The expansion of AP&C’s new plant is proceeding according to plan and the new facility is expected to be completed in September. With the new facility, Arcam will potentially more than double its capacity for titanium powder atomization.

With some of the world’s largest companies as customers, a strong majority owner with high ambitions and, most important, a team of dedicated and skilled employees, the company remains well positioned to take advantage of our opportunities on the market for Additive Manufacturing.

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