Press Release, Wrocław, 22 January, 2025

XTPL posts its highest-ever sales in Q4 2024 with growth prospects for 2025

According to preliminary estimates, in Q4 2024 XTPL generated PLN 5.4 million in revenues from the sale of products and services. This is the strongest result in the Company’s history. Sales grew by 28% year-on-year, mainly driven by the delivery of five Delta Printing System prototyping devices to the market, including three in North America. In the whole of 2024, the global supplier of ground-breaking nanoprinting solutions for the global next generation electronics market achieved PLN 12.1 million in commercial sales, down 9.9% year-on-year. The Company's estimated cash position at the end of December 31, 2024 was PLN 27.9 million as a result of the successful public offering. The cash held fully secures the execution of the investment process as part of the Company’s 2023–2026 Strategy. XTPL maintains its goal to achieve PLN 100 million in commercial sales in 2026. This vision will be significantly supported by development on the North American market, monetization of the first industrial implementation in China and progress in subsequent projects, as well as an increase in sales in the Delta Printing System device segment.

“The last few months have been a very good period for us, which makes us optimistic about the whole of 2025 and the long-term development prospects for XTPL. The intensified activities in North America, where we sold five Delta Printing System devices last year, including three over the last quarter, allowed our unit to break even. Our Boston Demo Center, which opened in November, also began its first product demonstrations, attracting significant attention from the local high-tech ecosystem. We expect this region to have a significant contribution to revenues in 2025. Asia will be another key area, where earlier this year we announced the first-ever industrial implementation of our technology on the production line of a leading display manufacturer in China. The project implementation may take a few years and include orders for several tens of the Company’s UPD modules in total. For XTPL, this is a milestone and the elimination of fundamental risk in the eyes of other partners. In this way, we are proving the industrial application of our technology. We expect the implementation to have a positive impact on the development of other projects evaluated with global partners, including in South Korea, the USA and Taiwan. We anticipated the increase in sales of DPS devices in the last quarter, which is why we are all the more pleased with the number of entities interested in buying the device in 2025. And this allows us to expect a significant increase in orders year-on-year. We are well poised for 2025 and on track to achieve our goal of PLN 100 million in commercial sales in 2026” says Filip Granek, CEO of XTPL S.A.

XTPL commercializes three business lines and generates additional revenues from grants, which contribute to the financing of part of its R&D projects. In Q4 2024, the Company obtained grants of PLN 1.1 million compared to PLN 0.7 million in the same period last year. In the whole of 2024, the value of grants was PLN 2.2 million versus PLN 3.4 million in the year-ago period. In accordance with the principle of settling grants, only part of the funds will be included in the income statement for the fourth quarter of 2024, while the remaining part will be recorded in the balance sheet under deferred income. The Company's cash position as at December 31, 2024 was PLN 27.9 million, including funds raised from the public offering in December, the value of which amounted to PLN 27.6 million gross.

On January 3, 2025, XTPL announced the first-ever industrial implementation of its proprietary UPD (Ultra-Precise Dispensing) technology. The direct partner to receive the first batch of six of the Company's UPD modules (printheads) in the first half of 2025 is a leading Chinese manufacturer of machines for the mass production of modern FPD displays. As a next step, the partner will build industrial devices using XTPL modules, which will be put on the production line of one of the world’s largest display manufacturers from China. The project may take up to several years to complete and involve a total order volume of several tens of the Company’s UPD modules, which will be used to repair defects in ultra-high-resolution FPDs, significantly reducing the number of rejects on the production line.

“In the fourth quarter, we successfully completed a public offering of PLN 27.6 million gross. The funds raised secure the finalization of the XTPL investment plan adopted as part of the Strategy, with approximately PLN 60 million to be invested in 2023–2026. We will continue to strengthen key areas such as sales, production and R&D, preparing for a significant scaling of commercial revenues – we maintain the goal to increase our revenues from the sale of products and services 10-fold to PLN 100 million in 2026. With the prospect of achieving further industrial implementations, as well as the progressing work on the development of a new business line of Delta Printing System+ devices in response to market demand, we’ll need to select potential partners to manufacture our devices in a significantly higher volume beyond 2026. This is a process we started a few months ago and that will continue in the upcoming quarters. We want to remain a business that focuses on groundbreaking technology which is constantly being developed to remain competitive and quickly adapt to customer needs. This is what gives the XTPL brand its edge and strength in the global additive technology market” says Jacek Olszański, CFO of XTPL S.A.

XTPL’s business model is based on three complementary business lines. These are UPD modules (printheads) for industrial implementation on the production lines of global manufacturers of electronics, the Delta Printing System (DPS, technology demonstrator) prototyping devices, and High Performance Materials (HPM, nanoinks). XTPL is developing a new business line – DPS+ devices – which addresses the niche between DPS systems and UPD modules, and is intended for HMLV (High-Mix Low-Volume) industrial production.

The Company has 9 projects at least at the second stage of processes aimed at industrial implementation of its technology (completed initial contact, identified customer needs, started technology evaluation and development by XTPL). Once positively validated and fully deployed, their total potential is estimated at PLN 400 million in average annual revenues over their respective lives. The most advanced are four projects covering areas the Company considers strategic: semiconductors and displays. The Company’s end clients or partners are global entities responsible for the production of next generation electronics, including a Chinese manufacturer of machines for the sector of modern displays, a leading semiconductor manufacturer from Taiwan, one of the world’s largest producers of FPDs from South Korea and a top manufacturer of industrial machines from the United States, listed on the Nasdaq 100 index.