3D Systems Reports First Quarter 2018 Financial Results

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3D Systems Reports First Quarter 2018 Financial Results ROCK HILL, South Carolina - May 2, 2018 - (NYSE: DDD) announced today its financial results for the first quarter ended March 31, 2018. For the first quarter of 2018, the company reported six percent revenue growth to $165.9 million compared to $156.4 million in the first quarter of the previous year. The company reported a first quarter 2018 GAAP loss of $0.19 per share compared to a loss of $0.09 per share in the prior year, and first quarter 2018 non-gaap loss of $0.03 per share compared to non-gaap earnings of $0.06 per share in the first quarter of 2017. We are pleased with our revenue in the first quarter, which was driven by printers, healthcare and software, commented Vyomesh Joshi (VJ), chief executive officer, 3D Systems. While we still have work to do, we believe our investments in go-to-market, process improvements and better execution worldwide are starting to show returns. We remain excited about the new products we plan to bring to market throughout the year and the incremental opportunity we believe they will provide for long term growth. The company reported 24 percent higher printer revenue on 44 percent higher printer unit sales as well as growth in software, on demand manufacturing and healthcare solutions. The company reported GAAP gross profit margin of 46.9 percent for the first quarter of 2018 compared to 51.3 percent in the first quarter of the prior year. The impact of mix of sales and continued investment in services and on demand manufacturing offset cost reductions achieved from ongoing supply chain cost reduction initiatives. For the first quarter of 2018, GAAP operating expenses were $95.4 million compared to $89.3 million in the prior year period. SG&A expenses increased 5 percent to $69.5 million, which included continued investment in go-to-market and IT transformation. R&D expenses increased 13 percent over the first quarter of 2017 to $25.9 million, including continued investments in support of the previously announced new products the company plans to start shipping throughout 2018. We have made significant progress in many areas of the company, and we continue to make strategic investments in organizational and operational improvements which we believe are critical for long term

3D Systems Page 2 success, commented John McMullen, executive vice president and chief financial officer. We remain committed to improving our cost structure over the long term. In line with that, during the first quarter, we put in place a cost optimization plan to drive efficiencies, continue to focus resources around our strategic priorities, and leverage our IT investments. During the quarter, the company used $1.5 million of cash in operations and ended the quarter with $121.6 million of unrestricted cash on hand. We believe 2018 is a corner turn year in our multi-year turnaround and transformation process. We are focused on execution, operational efficiency and bringing our new solutions to market to drive long-term growth and profitability, concluded Joshi. Q1 2018 Conference Call and Webcast The company expects to file its Form 10-Q for the quarter ended March 31, 2018 with the Securities and Exchange Commission on May 2, 2018. 3D Systems plans to hold a conference call and simultaneous webcast to discuss these results on Wednesday, May 2, 2018, at 4:30 p.m. Eastern Time. Date: Wednesday, May 2, 2018 Time: 4:30 p.m. Eastern Time Listen via Internet: www.3dsystems.com/investor Participate via telephone: Within the U.S.: 1-877-407-8291 Outside the U.S.: 1-201-689-8345 A replay of the webcast will be available approximately two hours after the live presentation at www.3dsystems.com/investor. Forward-Looking Statements Certain statements made in this release that are not statements of historical or current facts are forwardlooking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forwardlooking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of the company to be materially different from historical results or from any future results or projections expressed or implied by such forward-looking statements. In many cases, forward looking statements can be identified by terms such as believes, belief, expects, may, will, estimates, intends, anticipates or plans or the negative of these terms or other comparable terminology. Forward-looking statements are based upon management s beliefs, assumptions and current expectations and may include comments as to the company s beliefs and expectations as to future events and trends affecting its business and are necessarily subject to uncertainties, many of which are outside the control of the company. The factors described under the headings Forward-Looking Statements and Risk Factors in the company s periodic filings with the Securities and Exchange Commission, as well as other factors, could cause actual results to differ materially from those reflected or predicted in forward-looking statements. Although management believes that the expectations reflected in the forward-looking statements are reasonable, forwardlooking statements are not, and should not be relied upon as a guarantee of future performance or results, nor will they necessarily prove to be accurate indications of the times at which such performance or results will be achieved. The forward-looking statements included are made only as the date of the

3D Systems Page 3 statement. 3D Systems undertakes no obligation to update or review any forward-looking statements made by management or on its behalf, whether as a result of future developments, subsequent events or circumstances or otherwise. Presentation of Information in This Press Release To facilitate a better understanding of the impact that strategic acquisitions, non-recurring charges and certain non-cash expenses had on its financial results, the company reported non-gaap measures excluding the impact of amortization of intangibles, non-cash interest expense, acquisition and severance expenses, stock-based compensation expense, litigation settlements and charges related to strategic decisions and portfolio realignment. A reconciliation of GAAP to non-gaap results is provided in the accompanying schedule. About 3D Systems 3D Systems provides comprehensive 3D products and services, including 3D printers, print materials, on-demand manufacturing services and digital design tools. Its ecosystem supports advanced applications from the product design shop to the factory floor to the operating room. 3D Systems precision healthcare capabilities include simulation, Virtual Surgical Planning, and printing of medical and dental devices as well as patient-specific surgical instruments. As the originator of 3D printing and a shaper of future 3D solutions, 3D Systems has spent its 30 year history enabling professionals and companies to optimize their designs, transform their workflows, bring innovative products to market and drive new business models. More information on the company is available at www.3dsystems.com Tables Follow

3D Systems Page 4 Unaudited Condensed Consolidated Balance Sheets March 31, 2018 and December 31, 2017 (in thousands, except par value) March 31, 2018 December 31, 2017 Current assets: ASSETS Cash and cash equivalents $ 121,607 $ 136,344 Accounts receivable, net of reserves $11,246 (2018) and $10,258 (2017) 134,470 129,879 Inventories 110,383 103,903 Insurance proceeds receivable 50,000 50,000 Prepaid expenses and other current assets 22,761 18,296 Total current assets 439,221 438,422 Property and equipment, net 101,675 97,521 Intangible assets, net 91,800 98,783 Goodwill 235,323 230,882 Deferred income tax asset 3,965 4,020 Other assets, net 25,674 27,136 Total assets $ 897,658 $ 896,764 Current liabilities: LIABILITIES AND EQUITY Current portion of capitalized lease obligations $ 661 $ 644 Accounts payable 55,405 55,607 Accrued and other liabilities 66,442 65,899 Accrued litigation settlement 50,000 50,000 Customer deposits 5,718 5,765 Deferred revenue 39,694 29,214 Total current liabilities 217,920 207,129 Long term portion of capitalized lease obligations 6,932 7,078 Deferred income tax liability 8,031 8,983 Other liabilities 46,665 48,754 Total liabilities 279,548 271,944 Redeemable noncontrolling interests 8,872 8,872 Commitments and contingencies Stockholders equity: Common stock, $0.001 par value, authorized 220,000 shares; issued 117,180 (2018) and 117,025 (2017) 116 115 Additional paid-in capital 1,333,378 1,326,250 Treasury stock, at cost 2,358 shares (2018) and 2,219 shares (2017) (9,041) (8,203) Accumulated deficit (698,157) (677,772) Accumulated other comprehensive loss (14,137 ) (21,536) Total stockholders' equity 612,159 618,854 Noncontrolling interests (2,921 ) (2,906) Total stockholders equity 609,238 615,948 Total liabilities, redeemable noncontrolling interests and stockholders equity $ 897,658 $ 896,764

3D Systems Page 5 Unaudited Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) Quarter Ended March 31, 2018 and 2017 Quarter Ended March 31, (in thousands, except per share amounts) 2018 2017 Revenue: Products $ 105,125 $ 97,039 Services 60,763 59,392 Total revenue 165,888 156,431 Cost of sales: Products 55,093 47,257 Services 32,913 28,988 Total cost of sales 88,006 76,245 Gross profit 77,882 80,186 Operating expenses: Selling, general and administrative 69,497 66,405 Research and development 25,883 22,852 Total operating expenses 95,380 89,257 Loss from operations (17,498) (9,071) Interest and other (expense) income, net (1,525) 201 Loss before income taxes (19,023) (8,870) Provision for income taxes 1,954 1,041 Net loss (20,977) (9,911) Less: net income (loss) attributable to noncontrolling interests (16) 60 Net loss attributable to $ (20,961 ) $ (9,971) Net loss per share available to common stockholders - basic and diluted $ (0.19) $ (0.09)

3D Systems Page 6 Unaudited Condensed Consolidated Statements of Cash Flows Three Months Ended March 31, 2018 and 2017 Three Months Ended March 31, (in thousands) 2018 2017 Cash flows from operating activities: Net loss $ (20,977) $ (9,911) Adjustments to reconcile net loss to net cash (used in) provided by operating activities: Depreciation and amortization 15,186 14,973 Stock-based compensation 7,128 7,131 Impairment of property and other assets 38 53 Impairment of cost method investments 1,373 Provision for bad debts 1,017 155 Provision for deferred income taxes (898 ) (1,069) Changes in operating accounts, net of acquisitions: Accounts receivable (3,774 ) 5,672 Inventories (5,571 ) (4,116) Prepaid expenses and other current assets (3,667 ) 41 Accounts payable (647 ) (691) Accrued and other current liabilities 12,597 12,403 All other operating activities (3,344 ) (5,253) Net cash (used in) provided by operating activities (1,539 ) 19,388 Cash flows from investing activities: Cash paid for acquisitions, net of cash assumed (34,291) Purchases of property and equipment (10,764 ) (5,620) Additions to license and patent costs (230 ) (280) Proceeds from disposition of property and equipment 24 Net cash used in investing activities (10,994 ) (40,167) Cash flows from financing activities: Payments on earnout consideration (2,675) (3,206) Payments related to net-share settlement of stock-based compensation (837 ) (1,088) Repayment of capital lease obligations (128 ) (120) Net cash used in financing activities (3,640 ) (4,414) Effect of exchange rate changes on cash, cash equivalents and restricted cash 1,438 1,926 Net decrease in cash, cash equivalents and restricted cash (14,735 ) (23,267) Cash, cash equivalents and restricted cash at the beginning of the period (a) 136,831 185,248 Cash, cash equivalents and restricted cash at the end of the period (a) $ 122,096 $ 161,981 (a) The amounts for cash and cash equivalents shown above include restricted cash of $489 and $318 as of March 31, 2018 and 2017, respectively, and $487 and $301 as of December 31, 2017, and 2016, respectively, which were included in other assets, net in the condensed consolidated balance sheets.

3D Systems Page 7 Schedule 1 Loss Per Share Quarter Ended March 31, 2018 and 2017 Quarter Ended March 31, (in thousands, except per share amounts) 2018 2017 Numerator for basic and diluted net loss per share: Net loss attributable to $ (20,961) $ (9,971) Denominator for basic and diluted net loss per share: Weighted average shares 111,819 111,289 Net loss per share - basic and diluted $ (0.19 ) $ (0.09)

3D Systems Page 8 Schedule 2 Unaudited Reconciliations of GAAP to Non-GAAP Measures Quarter Ended March 31, 2018 and 2017 Quarter Ended March 31, (in millions, except per share amounts) 2018 2017 GAAP net loss attributable to $ (21.0 ) $ (10.0) Adjustments: Amortization, stock-based compensation & other 1 15.2 16.0 Legal and acquisition-related 2 0.5 1.1 Cost optimization plan 3 0.5 Impairment of cost-method investments 4 1.4 Non-GAAP net income (loss) attributable to $ (3.4 ) $ 7.1 Non-GAAP net income (loss) per share available to 3D Systems common stock holders - basic and diluted 5 $ (0.03 ) $ 0.06 1 For the quarter ended March 31, 2018, the adjustment included $0.1 in COGS and $15.1 in SG&A. For the quarter ended March 31, 2017, the adjustment included $0.1 in COGS and $15.9 in SG&A. 2 For the quarter ended March 31, 2018, the adjustment included $0.5 in SG&A. For the quarter ended March 31, 2017, the adjustment included $1.1 million in SG&A. 3 For the quarter ended March 31, 2018, the adjustment included $0.2 in COGS, $0.3 in SG&A, and approximately $32 thousand in R&D. 4 The Company has minority investments of less than 20% ownership in enterprises that benefit from, or are powered by its technology portfolio. The value of each of these investments is assessed periodically, and impairment recorded when required. For the quarter ended March 31, 2018, the adjustment included $1.4 in interest and other expense, net. The Company excluded this amount as it is not related to on-going operations, and intends to exclude these impairment amounts from non-gaap net income going forward. 5 Denominator based on weighted average shares used in the GAAP EPS calculation.