Materialise NV 2026 Q2 Earnings Call

Please go ahead. Thank you, Michelle, and thank you everyone for joining us today for Materialise's quarterly conference call.

With us on the call are Brigitte de Vet, Chief Executive Officer, and Koen Berges, Chief Financial Officer. Today's call and webcast are being accompanied by a slide presentation that reviews Materialise's strategic, financial, and operational performance for the second quarter and first half of 2026. To access the slides, if you have not already done so, please go to the investor relations section of the company's website at www.materialise.com. The earnings press release that was issued earlier today can also be found on that page.

These forward-looking statements are subject to known and unknown uncertainties and risks that could cause actual results to differ materially from the expectations expressed, including competitive dynamics and industry change. Any forward-looking statements, including those related to the company's future results and activities, represent management's estimates as of today and should not be relied upon as representing their estimates as of any subsequent day. Management disclaims any duty to update or revise any forward-looking statements to reflect future events or changes in expectations. A more detailed description of the risks and uncertainties and other factors that may impact the company's future business or financial results can be found in the company's most recent report on Form 20-F filed with the SEC. Finally, management will discuss certain non-IFRS measures on today's conference call. A reconciliation table is contained in the earnings release and at the end of the slide presentation.

With that, I would now like to turn the call over to Brigitte.

Good morning, Brigitte. Good morning and good afternoon.

Thank you everyone for joining us today. You can find the agenda for our call on slide 3. First, I will summarize the business highlights for the second quarter of 2026. Then I will pass the floor to Koen, who will take you through the second quarter and half year financials. Finally, I will come back and explain what we expect the remaining months of 2026 to bring. When we have completed our prepared remarks, we will be happy to respond to questions. Moving to slide 4 for the highlights of the second quarter 2026. I would like to open by drawing your attention to our first half year report, now available on our investor relations website. This report reflects our compliance with the European reporting requirements.

Requirements that, as announced in our first quarter earnings call, led us to deliberately schedule this second quarter earnings release later in the quarter. I am also pleased to announce some changes in our executive committee taking place as of early September. Those changes will further strengthen our leadership team and strategy execution. Annelies Smits-Ottens will join us as Chief Human Resource Officer to further strengthen our human resource agenda. Annelies brings more than 30 years of international HR leadership experience with a strong record in shaping people and organization strategies that support business growth, transformation, and employee engagement. Throughout her career, she has worked primarily in the life science sector, as well as in telecom and fast-moving consumer goods in both Belgian and international environments.

Most recently, Annelies served as CHRO of Galapagos, now Lakefront Biotherapeutics, where she acted as strategic advisor to the CEO and executive committee and led the HR function across all disciplines in an international setting. She played an important role in supporting the company through periods of growth, transformation, and organizational change, while also strengthening HR as a strategic partner to the business. She brings a wealth of experience, strong energy, and a people-centered leadership style that will help us further our people agenda across the organization. Second, Philippe Verlinden will join us in the newly created role as Chief Digital and Information Officer. This new role reflects the strategic importance of digital capabilities to simplify, scale, and execute more effectively. Philippe brings more than 35 years of experience in technology, digital, and transformation leadership.

He spent 26 years at Philips, and most recently, he served as the Chief Digital and Information Officer at Barco, where he led IT and software across a global footprint. Throughout his career, he led large-scale technology, product, and digital transformation initiatives across engineering, consumer electronics, and healthcare technology. He brings deep experience in cloud and connected platform capabilities, as well as AI, to further drive our digital agenda across our units and markets. We are also making a leadership change in Medical. Our Medical unit is delivering strong results as evidenced by the strong growth this quarter. In addition, we see significant opportunities ahead. To fully capitalize on these opportunities, we have decided to look for a new leader for the Medical segment, and Koen Peters will leave the company in September.

The second quarter also marked the 30th anniversary of Materialise in the U.S., a market that has been central to our growth strategy from the beginning. Over the years, we made several strategic acquisitions in the U.S., including OrthoView, the market leader in orthopedic digital pre-operative planning software, Link3D, an additive workflow and digital manufacturing software company, and Identify3D, a company that developed software to encrypt, distribute, and trace the flow of digital parts across complex supply chains. Today, we are one of the leading players globally, and our U.S. office and team have been very instrumental in our global success. Looking now further at our business segment highlights at the second quarter on slide 5, starting with Medical.

In the second quarter, we saw further evidence of the growing maturity of personalized care and 3D printing during the eighth edition of our 3D Planning and Printing in Hospitals Forum in Leuven, where we welcomed around 200 surgeons, radiologists, clinical engineers from hospitals across Europe and beyond to discuss the use of 3D printing in the hospital. What stood out in this year's discussion was the clear shift from what is the value of personalized 3D solutions to how can we scale this in clinical practice. The continued rise of in-house hospital 3D labs is evidence that 3D printing is becoming more established and operational. The discussions also confirmed that Materialise is at the center of this trend, not only as a software and service provider, but as a long-term partner, helping hospitals integrate personalized care more broadly into daily practice.

In the second quarter, we also announced an investment in Replasia, a Belgian medtech startup developing personalized 3D printed solutions and anatomical analysis software for hip preservation. Our goal is more personalized, less invasive orthopedic treatments that help patients maintain their natural anatomy and their quality of life for as long as possible. Our current hip portfolio is focused on replacements. Strategically, the investment in Replasia strengthens our position across the full spectrum of personalized hip care and complements our existing portfolio to hip preservation solutions. Preservation will play an important role as the market shifts towards less invasive approaches. A similar shift to less invasive approaches is happening in markets outside of orthopedics. One example in CMF, craniomaxillofacial, is minimally invasive orthognathic surgery, or MIOS, a technique that allows surgeons to perform jaw surgery through smaller incisions. Smaller incisions mean that more patients will opt for surgery.

At the same time, smaller incisions require a high level of precision during the surgery, and that is an area where Materialise is well-positioned with our software and device portfolio. The strong proof point of our position was the International MIOS meeting in Brazil in June, which brought together more than 200 maxillofacial experts from 13 countries, and where we trained surgeons in hands-on cadaver labs to perform the surgeries in a safe and effective way. Turning now to Software. In the second quarter, we officially released CO-AM Pro to the market on May 15th, one month ahead of schedule. CO-AM Pro is our cloud-based solution integrated with Magics that brings AM data management and build preparation together in one workflow, making it easier for teams to collaborate, standardize processes, and automate recurring tasks. It centralizes AM data, giving users one source of the truth of the data across teams.