Velo3D Inc (NYSE:VELO) shares are trading lower Friday morning as investors continued to react to the company's fourth-quarter results, which were released after the close on Tuesday and came in ahead of Wall Street expectations.

This week’s move lower came despite a mix of earnings beats, improving liquidity, a growing backlog and commentary about demand heading into 2026. Here’s what investors need to know.

Velo3D Q4 Revenue, EPS Top Estimates

Velo3D reported fourth-quarter revenue of $9.44 million, topping analyst estimates of $8.68 million. The company posted an adjusted loss of 54 cents per share, also beating estimates for a loss of 56 cents per share.

CEO Arun Jeldi said Velo3D set a new record for bookings in the quarter and entered 2026 with "tremendous momentum," supported by a backlog that grew to $31 million at year-end.

Velo3D Guides For 2026 Growth, EBITDA Improvement

Velo3D ended 2025 with about $39 million in cash and cash equivalents and said it completed an aggregated $15 million debt-to-equity conversion during the quarter, reducing debt by roughly 60%. Management guided for 2026 revenue of $60 million to $70 million and said it expects to turn EBITDA positive in the second half of 2026.

The company also unveiled a long-term capacity plan envisioning up to 400 production systems over the next decade as it scales deeper into defense and aerospace programs.

VELO Shares Edge Lower Friday

VELO Price Action: Velo3D shares were down 4.70% at $9.53 at the time of publication on Friday, according to Benzinga Pro data.

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