Protolabs reports financial results for the fourth quarter and full year 2022
Maple plain, minn.--(business wire)--proto labs, inc. (the "company" or "protolabs") (nyse: prlb), the world’s leading provider of digital manufacturing services, today announced financial results for the fourth quarter and full year ended december 31, 2022. fourth quarter 2022 highlights include: revenue for the fourth quarter of 2022 was $115.6 million, representing a 6.5 percent decrease compared to revenue of $123.6 million in the fourth quarter of 2021. revenue generated from our digital network powered by hubs was $14.8 million in the fourth quarter, representing growth of 49.6 percent over the fourth quarter of 2021 and 22.2 percent sequential growth compared to the third quarter of 2022. net loss for the fourth quarter of 2022 was $115.1 million, or ($4.24) per diluted share, driven by a goodwill impairment charge of $118.0 million. non-gaap net income was $7.0 million, or $0.26 per diluted share. see “non-gaap financial measures” below. expanded share repurchase program: on february 7, 2023, protolabs' board of directors approved $50 million increase to existing share repurchase program, bringing the total amount authorized under the program to $250 million. as of december 31, 2022, the company has purchased $117.7 million under the program, which expires december 31, 2024. with the increased authorization, the company has $132.3 million remaining to repurchase shares under the expanded program. “in a challenging economic environment, impacted by inflation, slowing growth and continued supply chain challenges, our protolabs and hubs teams continued to delight our customers as together we build the most comprehensive digital manufacturing capabilities in the world,” said rob bodor, president and chief executive officer. “following the launch of several new offers in 2022 and early 2023, we are well-positioned to extend our market differentiation with quality internal manufacturing at speed and the expansive breadth and depth afforded by our curated network of manufacturing partners.” full year 2022 highlights include: record annual revenue of $488.4 million in 2022. protolabs served 56,333 unique product developers during the year. gross margin was 44.1 percent of revenue in 2022, compared to 45.6 percent in 2021. ebitda margin was (12.2 percent) of revenue in 2022 driven by a fourth quarter goodwill impairment charge of $118.0 million, compared to 16.5 percent in 2021. adjusted ebitda margin was 17.1 percent of revenue in 2022, compared to 18.3 percent in 2021. see “non-gaap financial measures” below. net loss for 2022 was $103.5 million, or ($3.77) per diluted share. non-gaap net income was $41.1 million, or $1.50 per diluted share. see “non-gaap financial measures” below. cash and investments balance was $106.5 million as of december 31, 2022. “as we narrow our focus in 2023 on growth of our injection molding business and accelerating growth from the integrated protolabs and hubs cnc offer, we are managing expenses to enable continued strategic investments which we expect to drive profitable revenue growth,” said dan schumacher, chief financial officer. “combined with a healthy financial position and strong cash balance, disciplined cost management will help fuel growth of the business while returning capital to our shareholders.” expanded share repurchase program under the expanded $250 million share repurchase program, shares of the company’s common stock may be repurchased periodically, including in the open market or privately negotiated transactions. the actual timing, manner, number, and value of shares repurchased under the program will be determined by management at its discretion and will depend on several factors, including the market price of proto labs’ common stock, general market and economic conditions, applicable requirements, and other business considerations. the share repurchase program does not obligate the company to acquire any particular amount of shares of the company’s stock. non-gaap financial measures the company has included non-gaap revenue growth by region and by service line that excludes the impact of changes in foreign currency exchange rates and revenue earned from our acquisition of hubs (collectively, “non-gaap revenue growth”). management believes these metrics are useful in evaluating the underlying business trends and ongoing operating performance of the company. the company has included earnings before interest, taxes, depreciation and amortization (“ebitda”) and ebitda, adjusted for goodwill impairment charges, stock-based compensation expense, unrealized (gain) loss on foreign currency, costs related to the japan closure activities and transaction costs (collectively, “adjusted ebitda”), in this press release to provide investors with additional information regarding the company’s financial results. the company has also included earnings before interest, taxes, depreciation and amortization margin (“ebitda margin”) and ebitda margin, adjusted for goodwill impairment charges, stock-based compensation expense, unrealized (gain) loss on foreign currency, costs related to the japan closure activities and transaction costs (collectively, “adjusted ebitda margin”), in this press release to provide investors with additional information regarding the company’s financial results. the company has included non-gaap gross margin, adjusted for stock-based compensation expense and amortization expense in this press release to provide investors with additional information regarding the company’s financial results. the company has included non-gaap operating margin, adjusted for goodwill impairment charges, stock-based compensation expense, amortization expense, costs related to the closure of japan, and transaction costs (collectively, “non-gaap operating margin”), in this press release to provide investors with additional information regarding the company’s financial results. the company has included non-gaap gross margin excluding japan, adjusted for stock-based compensation expense and amortization expense in this press release to provide investors with additional information regarding the company’s financial results. the company has included non-gaap operating margin excluding japan, adjusted for goodwill impairment charges, stock-based compensation expense, amortization expense, costs related to the japan closure activities and transaction costs (collectively, “non-gaap operating margin”), in this press release to provide investors with additional information regarding the company’s financial results. the company has included non-gaap net income, adjusted for goodwill impairment charges, stock-based compensation expense, amortization expense, unrealized (gain) loss on foreign currency, costs related to the closure of japan, and transaction costs (collectively, “non-gaap net income”), in this press release to provide investors with additional information regarding the company’s financial results. the company has provided below reconciliations of gaap to non-gaap net income, non-gaap gross margin, non-gaap gross margin excluding japan, non-gaap operating margin, non-gaap operating margin excluding japan, non-gaap revenue growth by region and by service, and adjusted ebitda and adjusted ebitda margin, the most directly comparable measures calculated and presented in accordance with gaap. these non-gaap measures are used by the company’s management and board of directors to understand and evaluate operating performance and trends and provide useful measures for period-to-period comparisons of the company’s business. accordingly, the company believes that these non-gaap measures provide useful information to investors and others in understanding and evaluating operating results in the same manner as our management and board of directors. conference call the company has scheduled a conference call to discuss its fourth quarter and full year 2022 financial results and first quarter 2023 outlook today, february 10, 2023 at 8:30 a.m. est. to access the call in the u.s. please dial 877-709-8150 or outside the u.s. dial 201-689-8354 at least five minutes prior to the 8:30 a.m. est start time. no participant code is required. a simultaneous webcast of the call and accompanying presentation will be available via the investor relations section of the protolabs website and the following link: https://edge.media-server.com/mmc/p/d3nzbm3z. a replay will be available for 14 days following the call on the investor relations section of the protolabs website. about protolabs protolabs is the fastest and most comprehensive digital manufacturing service in the world. our digital factories produce low-volume parts in days while our supply network powered by hubs unlocks advanced capabilities and volume pricing at higher quantities. the result? one manufacturing source—from prototyping to production—for product developers, engineers, and supply chain teams across the globe. see what's next at protolabs.com. forward-looking statements statements contained in this press release regarding matters that are not historical or current facts are “forward-looking statements” within the meaning of the private securities litigation reform act of 1995. these statements involve known and unknown risks, uncertainties and other factors which may cause the results of protolabs to be materially different than those expressed or implied in such statements. certain of these risk factors and others are described in the “risk factors” section within reports filed with the securities and exchange commission. other unknown or unpredictable factors also could have material adverse effects on protolabs’ future results. the forward-looking statements included in this press release are made only as of the date hereof. protolabs cannot guarantee future results, levels of activity, performance or achievements. accordingly, you should not place undue reliance on these forward-looking statements. finally, protolabs expressly disclaims any intent or obligation to update any forward-looking statements to reflect subsequent events or circumstances. proto labs, inc. condensed consolidated balance sheets (in thousands) december 31, december 31, 2022 2021 (unaudited) assets current assets cash and cash equivalents $ 56,558 $ 65,929 short-term marketable securities 23,568 11,580 accounts receivable, net 76,225 80,051 inventory 13,578 13,161 income taxes receivable 4,042 1,321 prepaid expenses and other current assets 12,597 11,450 total current assets 186,568 183,492 property and equipment, net 257,785 280,346 goodwill 273,991 400,610 other intangible assets, net 31,250 37,998 long-term marketable securities 26,419 14,340 operating lease assets 3,844 5,578 finance lease assets 17,532 1,898 other long-term assets 4,779 4,320 total assets $ 802,168 $ 928,582 liabilities and shareholders' equity current liabilities accounts payable $ 17,356 $ 25,364 accrued compensation 12,743 13,704 accrued liabilities and other 22,384 11,980 current operating lease liabilities 1,561 3,298 current finance lease liabilities 17,537 550 total current liabilities 71,581 54,896 long-term operating lease liabilities 2,255 2,245 long-term finance lease liabilities - 1,351 long-term deferred tax liabilities 26,322 35,892 other long-term liabilities 4,362 5,705 shareholders' equity 697,648 828,493 total liabilities and shareholders' equity $ 802,168 $ 928,582 proto labs, inc. condensed consolidated statements of operations (in thousands, except share and per share amounts) (unaudited) three months ended year ended december 31, december 31, 2022 2021 2022 2021 revenue injection molding $ 44,885 $ 53,905 $ 200,578 $ 226,117 cnc machining 46,563 44,858 188,372 166,811 3d printing 19,530 18,727 78,988 72,721 sheet metal 4,432 5,607 19,498 20,397 other 197 485 962 2,052 total revenue 115,607 123,582 488,398 488,098 cost of revenue 67,000 68,170 272,933 265,407 gross profit 48,607 55,412 215,465 222,691 operating expenses marketing and sales 20,517 20,229 82,752 82,175 research and development 8,906 10,386 38,222 44,241 general and administrative 17,774 11,747 67,544 55,933 goodwill impairment 118,008 - 118,008 - closure of japan business 534 - 6,922 - total operating expenses 165,739 42,362 313,448 182,349 (loss) income from operations (117,132 ) 13,050 (97,983 ) 40,342 other income (expense), net 429 (118 ) 106 (158 ) (loss) income before income taxes (116,703 ) 12,932 (97,877 ) 40,184 provision for income taxes (1,638 ) 1,022 5,585 6,812 net (loss) income $ (115,065 ) $ 11,910 $ (103,462 ) $ 33,372 net (loss) income per share: basic $ (4.24 ) $ 0.43 $ (3.77 ) $ 1.21 diluted $ (4.24 ) $ 0.43 $ (3.77 ) $ 1.21 shares used to compute net (loss) income per share: basic 27,136,821 27,555,357 27,409,838 27,617,627 diluted 27,136,821 27,562,694 27,409,838 27,653,099 proto labs, inc. condensed consolidated statements of cash flows (in thousands) (unaudited) year ended december 31, 2022 2021 operating activities net (loss) income $ (103,462 ) $ 33,372 adjustments to reconcile net income to net cash provided by operating activities: depreciation and amortization 39,425 40,488 stock-based compensation expense 17,545 19,095 deferred taxes (9,499 ) 339 changes in fair value of contingent consideration - (13,253 ) loss on impairment of goodwill 118,008 - impairments related to closure of japan business 2,842 - gain on disposal of property and equipment (1,211 ) - other 35 842 changes in operating assets and liabilities (1,604 ) (25,641 ) net cash provided by operating activities 62,079 55,242 investing activities purchases of property, equipment and other capital assets (21,686 ) (34,209 ) proceeds from sales of property, equipment and other capital assets 4,108 - cash used for acquisitions, net of cash acquired - (127,413 ) purchases of marketable securities (46,872 ) (16,159 ) proceeds from sales of marketable securities 1,998 64,913 proceeds from call redemptions and maturities of marketable securities 19,360 18,204 net cash used in investing activities (43,092 ) (94,664 ) financing activities proceeds from exercises of stock options and other 3,950 5,862 purchases of shares withheld for tax obligations (1,682 ) (4,225 ) repurchases of common stock (29,659 ) (23,279 ) principal repayments of finance lease obligations (531 ) (552 ) other - (4 ) net cash used in financing activities (27,922 ) (22,198 ) effect of exchange rate changes on cash and cash equivalents (436 ) (54 ) net decrease in cash and cash equivalents (9,371 ) (61,674 ) cash and cash equivalents, beginning of period 65,929 127,603 cash and cash equivalents, end of period $ 56,558 $ 65,929 proto labs, inc. reconciliation of gaap to non-gaap net income per share (in thousands, except share and per share amounts) (unaudited) three months ended year ended december 31, december 31, 2022 2021 2022 2021 non-gaap net (loss) income, adjusted for stock-based compensation expense, amortization expense, unrealized (gain) loss on foreign currency, goodwill impairment, costs related to japan closure activities and transaction costs gaap net (loss) income $ (115,065 ) $ 11,910 $ (103,462 ) $ 33,372 add back: stock-based compensation expense 4,210 3,556 17,545 19,095 amortization expense 1,514 1,552 6,096 6,153 unrealized (gain) loss on foreign currency (490 ) 215 252 556 goodwill impairment 118,008 - 118,008 - costs related to japan closure activities 534 - 6,922 - transaction costs 1 - (4,705 ) - (10,575 ) total adjustments 2 123,776 618 148,823 15,229 income tax benefits on adjustments 3 (1,753 ) (1,150 ) (4,271 ) (5,789 ) non-gaap net income $ 6,958 $ 11,378 $ 41,090 $ 42,812 non-gaap net income per share: basic $ 0.26 $ 0.41 $ 1.50 $ 1.55 diluted $ 0.26 $ 0.41 $ 1.50 $ 1.55 shares used to compute non-gaap net income per share: basic 27,136,821 27,555,357 27,409,838 27,617,627 diluted 27,151,991 27,562,694 27,433,257 27,653,099 1 transaction costs include direct costs incurred in the company's acquisition of hubs, inc. and the impact of changes in the fair value of acquisition-related contingent consideration obligations. 2 stock-based compensation expense, amortization expense, unrealized (gain) loss on foreign currency, goodwill impairment, costs related to japan closure activities and transaction costs were included in the following gaap consolidated statement of operations categories: three months ended year ended december 31, december 31, 2022 2021 2022 2021 cost of revenue $ 840 $ 990 $ 3,541 $ 3,964 marketing and sales 816 895 3,295 3,736 research and development 488 689 2,190 2,833 general and administrative 3,580 (2,171 ) 14,615 4,140 goodwill impairment 118,008 - 118,008 - closure of japan business 534 - 6,922 - total operating expenses 123,426 (587 ) 145,030 10,709 other (income) expense, net (490 ) 215 252 556 total adjustments $ 123,776 $ 618 $ 148,823 $ 15,229 3 for the three-month and year-ended periods ended december 31, 2022 and 2021, income tax effects were calculated using the effective tax rate for the relevant jurisdictions. the company's non-gaap tax rates differ from its gaap tax rates due primarily to the mix of activity incurred in domestic and foreign tax jurisdictions and removing effective tax rate benefits from stock-based compensation activity in the quarter. proto labs, inc. reconciliation of gaap to non-gaap gross margin (in thousands) (unaudited) three months ended year ended three months ended december 31, december 31, september 30, 2022 2021 2022 2021 2022 2021 revenue $ 115,607 $ 123,582 $ 488,398 $ 488,098 $ 121,721 $ 125,342 gross profit 48,607 55,412 215,465 222,691 53,632 55,324 gaap gross margin 42.0 % 44.8 % 44.1 % 45.6 % 44.1 % 44.1 % add back: stock-based compensation expense 498 648 2,172 2,595 560 644 amortization expense 342 342 1,369 1,369 342 342 total adjustments 840 990 3,541 3,964 902 986 non-gaap gross profit $ 49,447 $ 56,402 $ 219,006 $ 226,655 $ 54,534 $ 56,310 non-gaap gross margin 42.8 % 45.6 % 44.8 % 46.4 % 44.8 % 44.9 % proto labs, inc. reconciliation of gaap to non-gaap gross margin excluding japan (in thousands) (unaudited) three months ended year ended december 31, december 31, 2022 2021 2022 2021 revenue $ 115,607 $ 123,582 $ 488,398 $ 488,098 revenue excluding japan $ 115,607 $ 120,074 $ 480,169 $ 474,857 gross profit 48,607 55,412 215,465 222,691 gaap gross margin 42.0 % 44.8 % 44.1 % 45.6 % less: japan gross (loss) profit (93 ) 1,568 3,057 5,413 gross profit excluding japan 48,700 53,844 212,408 217,278 gaap gross margin excluding japan 42.1 % 44.8 % 44.2 % 45.8 % add back: stock-based compensation expense 498 648 2,172 2,595 amortization expense 342 342 1,369 1,369 less: japan stock-based compensation expense - 26 61 96 japan amortization expense - - - - total adjustments 840 964 3,480 3,868 non-gaap gross profit excluding japan $ 49,540 $ 54,808 $ 215,888 $ 221,146 non-gaap gross margin excluding japan 42.9 % 45.6 % 45.0 % 46.6 % proto labs, inc. reconciliation of gaap to non-gaap operating margin (in thousands) (unaudited) three months ended year ended december 31, december 31, 2022 2021 2022 2021 revenue $ 115,607 $ 123,582 $ 488,398 $ 488,098 (loss) income from operations (117,132 ) 13,050 (97,983 ) 40,342 gaap operating margin (101.3 )% 10.6 % (20.1 )% 8.3 % add back: stock-based compensation expense 4,210 3,556 17,545 19,095 amortization expense 1,514 1,552 6,096 6,153 transaction costs 1 - (4,705 ) - (10,575 ) goodwill impairment 118,008 - 118,008 - costs related to japan closure activities 534 - 6,922 - total adjustments 124,266 403 148,571 14,673 non-gaap income from operations $ 7,134 $ 13,453 $ 50,588 $ 55,015 non-gaap operating margin 6.2 % 10.9 % 10.4 % 11.3 % 1 transaction costs include direct costs incurred in the company's acquisition of hubs, inc. and the impact of changes in the fair value of acquisition-related contingent consideration obligations. proto labs, inc. reconciliation of gaap to non-gaap operating margin excluding japan (in thousands) (unaudited) three months ended year ended december 31, december 31, 2022 2021 2022 2021 revenue $ 115,607 $ 123,582 $ 488,398 $ 488,098 revenue excluding japan $ 115,607 $ 120,074 $ 480,169 $ 474,857 (loss) income from operations (117,132 ) 13,050 (97,983 ) 40,342 gaap operating margin (101.3 )% 10.6 % (20.1 )% 8.3 % less: japan (loss) income from operations (594 ) 154 (1,424 ) (1,020 ) (loss) income from operations excluding japan (116,538 ) 12,896 (96,559 ) 41,362 gaap operating margin excluding japan (100.8 )% 10.7 % (20.1 )% 8.7 % add back: stock-based compensation expense 4,210 3,556 17,545 19,095 amortization expense 1,514 1,552 6,096 6,153 transaction costs 1 - (4,705 ) - (10,575 ) goodwill impairment 118,008 - 118,008 - costs related to japan closure activities 534 - 6,922 - less: japan stock-based compensation expense 20 163 406 626 japan amortization expense - - - - total adjustments 124,246 240 148,165 14,047 non-gaap income from operations excluding japan $ 7,708 $ 13,136 $ 51,606 $ 55,409 non-gaap operating margin excluding japan 6.7 % 10.9 % 10.7 % 11.7 % 1 transaction costs include direct costs incurred in the company's acquisition of hubs, inc. and the impact of changes in the fair value of acquisition-related contingent consideration obligations. proto labs, inc. reconciliation of gaap net income to ebitda and adjusted ebitda (in thousands) (unaudited) three months ended year ended december 31, december 31, 2022 2021 2022 2021 revenue $ 115,607 $ 123,582 $ 488,398 $ 488,098 gaap net (loss) income (115,065 ) 11,910 (103,462 ) 33,372 gaap net (loss) income margin (99.5 )% 9.6 % (21.2 )% 6.8 % add back: amortization expense $ 1,514 $ 1,552 $ 6,096 $ 6,153 depreciation expense 7,930 8,705 33,329 34,335 interest income, net (509 ) (23 ) (968 ) (230 ) tax expense (1,638 ) 1,022 5,585 6,812 ebitda (107,768 ) 23,166 (59,420 ) 80,442 ebitda margin (93.2 )% 18.7 % (12.2 )% 16.5 % add back: stock-based compensation expense 4,210 3,556 17,545 19,095 unrealized (gain) loss on foreign currency (490 ) 215 252 556 costs related to japan closure activities 534 - 6,922 - goodwill impairment 118,008 - 118,008 - transaction costs 1 - (4,705 ) - (10,575 ) total adjustments 122,262 (934 ) 142,727 9,076 adjusted ebitda $ 14,494 $ 22,232 $ 83,307 $ 89,518 adjusted ebitda margin 12.5 % 18.0 % 17.1 % 18.3 % 1 transaction costs include direct costs incurred in the company's acquisition of hubs, inc. and the impact of changes in the fair value of acquisition-related contingent consideration obligations. proto labs, inc. comparison of gaap to non-gaap revenue growth by region (in thousands) (unaudited) three months ended december 31, 2022 three months ended december 31, 2021 gaap foreign currency1 hubs acquisition non-gaap gaap % change3 % change organic4 revenues united states $ 92,278 $ - $ - $ 92,278 $ 97,934 (5.8) % (5.8 )% europe 23,329 3,216 - 26,545 22,140 5.4 19.9 japan - - - - 3,508 (100.0 ) (100.0 ) total revenue $ 115,607 $ 3,216 $ - $ 118,823 $ 123,582 (6.5 )% (3.9 )% year ended december 31, 2022 year ended december 31, 2021 gaap foreign currency1 hubs acquisition2 non-gaap gaap % change3 % change organic4 revenues united states $ 387,399 $ - $ (1,049 ) $ 386,350 $ 384,458 0.8 % 0.5 % europe 92,770 10,381 (1,279 ) 101,872 90,399 2.6 12.7 japan 8,229 1,226 - 9,455 13,241 (37.9 ) (28.6 ) total revenue $ 488,398 $ 11,607 $ (2,328 ) $ 497,677 $ 488,098 0.1 % 2.0 % 1 revenue for the three-month and year-ended periods ended december 31, 2022 has been recalculated using 2021 foreign currency exchange rates in effect during comparable periods to provide information useful in evaluating the underlying business trends excluding the impact of changes in foreign currency exchange rates. 2 revenue for the year-ended period ended december 31, 2022 has been recalculated to exclude revenue earned from the company's acquisition of hubs, inc. for the period from january 1, 2022 to january 21, 2022 to provide information useful in evaluating the underlying business trends excluding the impact of acquisitions. the hubs, inc. acquisition occurred on january 22, 2021 and was included in 2021 revenue after that date. 3 this column presents the percentage change from gaap revenue for the three-month and year-ended periods ended december 31, 2021 to gaap revenue for the three-month and year-ended periods ended december 31, 2022. 4 this column presents the percentage change from gaap revenue for the three-month and year-ended periods ended december 31, 2021 to non-gaap revenue for the three-month and year-ended periods ended december 31, 2022 (as recalculated using the foreign currency exchange rates in effect during the three-month and year-ended periods ended december 31, 2021, excluding the impact of hubs, inc. acquisition) in order to provide a constant-currency comparison. proto labs, inc. comparison of gaap to non-gaap revenue growth by service line (in thousands) (unaudited) three months ended december 31, 2022 three months ended december 31, 2021 gaap foreign currency1 hubs acquisition non-gaap gaap % change3 % change organic4 revenues injection molding $ 44,885 $ 1,383 $ - $ 46,268 $ 53,905 (16.7 )% (14.2 )% cnc machining 46,563 1,083 - 47,646 44,858 3.8 6.2 3d printing 19,530 726 - 20,256 18,727 4.3 8.2 sheet metal 4,432 24 - 4,456 5,607 (21.0 ) (20.5 ) other 197 - - 197 485 (59.4 ) (59.4 ) total revenue $ 115,607 $ 3,216 $ - $ 118,823 $ 123,582 (6.5 )% (3.9 )% year ended december 31, 2022 year ended december 31, 2021 gaap foreign currency1 hubs acquisition2 non-gaap gaap % change3 % change organic4 revenues injection molding $ 200,578 $ 5,485 $ (189 ) $ 205,874 $ 226,117 (11.3 )% (9.0 )% cnc machining 188,372 3,776 (1,637 ) 190,511 166,811 12.9 14.2 3d printing 78,988 2,279 (408 ) 80,859 72,721 8.6 11.2 sheet metal 19,498 63 (84 ) 19,477 20,397 (4.4 ) (4.5 ) other 962 4 (10 ) 956 2,052 (53.1 ) (53.4 ) total revenue $ 488,398 $ 11,607 $ (2,328 ) $ 497,677 $ 488,098 0.1 % 2.0 % 1 revenue for the three-month and year-ended periods ended december 31, 2022 has been recalculated using 2021 foreign currency exchange rates in effect during comparable periods to provide information useful in evaluating the underlying business trends excluding the impact of changes in foreign currency exchange rates. 2 revenue for the year-ended period ended december 31, 2022 has been recalculated to exclude revenue earned from the company's acquisition of hubs, inc. for the period from january 1, 2022 to january 21, 2022 to provide information useful in evaluating the underlying business trends excluding the impact of acquisitions. the hubs, inc. acquisition occurred on january 22, 2021 and was included in 2021 revenue after that date. 3 this column presents the percentage change from gaap revenue for the three-month and year-ended periods ended december 31, 2021 to gaap revenue for the three-month and year-ended periods ended december 31, 2022. 4 this column presents the percentage change from gaap revenue for the three-month and year-ended periods ended december 31, 2021 to non-gaap revenue for the three-month and year-ended periods ended december 31, 2022 (as recalculated using the foreign currency exchange rates in effect during the three-month and year-ended periods ended december 31, 2021, excluding the impact of hubs, inc. acquisition) in order to provide a constant-currency comparison. proto labs, inc. product developer information (unaudited) three months ended year ended december 31, december 31, 2022 2021 2022 2021 unique product developers and engineers served 22,205 23,376 56,333 55,330
