3-D Systems Inc. Profit Drops 96% in 3rd Quarter

3-D Systems Inc., a Canadian company whose sole operating unit is 3D Systems in Valencia, said its third-quarter profit plummeted 96% from a year earlier, and it warned of more problems ahead.

3D Systems makes a machine that uses a computer, laser and chemicals to rapidly make plastic-like models that manufacturers use as prototypes for new products. In the quarter that ended Sept. 30, its parent company reported earnings of $14,722, down from $358,108 a year earlier. Its sales rose 30%, however, to $7.21 million from $5.53 million.

The company said start-up costs for its new SLA-500 machine dragged down profits. But it also said that the weakening economy has caused many companies to postpone buying decisions, and that it does not expect “any significant change in the market or in the psychology of potential customers for some time.”

3-D Systems earned $544,506 in the first nine months of 1990, compared to a year-earlier loss of $2.38 million. Its nine-month sales nearly doubled, to $21.5 million from $10.8 million.