Wed, May 15, 8:18 PM (72 days ago)
Fathom Digital Manufacturing Corporation's Q1 2024 10-Q report indicates a 16.6% decline in revenue to $29,195 compared to Q1 2023, driven by a soft macro-economic environment and competitive pressures. Gross profit decreased to $7,966 from $10,997, with a margin drop from 31.4% to 27.3%, primarily due to lower sales volume and overhead absorption impacts. Operating expenses remained stable, but restructuring and impairment charges, particularly a $2,000 impairment at the Miami Lakes facility, increased the operating loss to $9,696 from $5,000. Interest expense rose to $4,229 due to higher interest rates and additional borrowing. The net loss widened to $13,941 from $2,280. The company amended its Credit Agreement, requiring a $50,000 Term Loan Paydown by July 31, 2024, raising concerns about its ability to continue as a going concern without additional equity financing or restructuring.