Materialise swings to profit as software and medical margins offset eyewear divestiture

Materialise (NASDAQ:MTLS) showcased a significant improvement in its bottom-line performance for the first quarter of 2026, prioritizing margin expansion and portfolio optimization over raw volume growth.

The Leuven, Belgium-based pioneer in 3D printing reported total revenue of €66.3 million, remaining stable year-over-year, while successfully swinging from a prior-year loss to a positive net result.

The highlight of the quarter was a sharp increase in operational efficiency.

Gross profit as a percentage of revenue rose to 57.2%, up from 55.3% in the first quarter of 2025.

This expansion trickled down to the company's adjusted EBIT, which surged to €2.5 million from just €0.6 million in the comparable period.

Net income for the quarter stood at €1.8 million, or €0.03 per diluted share, a marked recovery from the €0.5 million loss reported a year ago.

In a move to further streamline its operations, Materialise announced the transfer of its eyewear business to the unit's existing management team.

This divestiture allows the company to focus its resources on its higher-growth, mission-critical segments: Medical and Software.

The eyewear division, while innovative, represented a consumer-facing application that sat outside the company’s core industrial and healthcare-focused roadmap.

Meanwhile, the company’s balance sheet remains a primary point of strength.

Driven by recurring positive free cash flow, Materialise increased its net cash position to €72.8 million.

During the quarter, the company also utilized €2.3 million for share buybacks, signaling management’s confidence in the intrinsic value of the business and its commitment to capital returns.