Xometry, Inc. (XMTR): Business Model Canvas [Dec-2025 Updated]

You're digging into Xometry, Inc.'s financial engine, trying to see past the tech hype to the actual cash flow, and after running the numbers through Q3 2025, the core model is clear: it's a defintely high-leverage, AI-driven marketplace. Think about it-they've built a platform that instantly matches demand with over 4,300 vetted manufacturing partners, pulling in $167 million just from custom part transactions in the third quarter alone. I've seen a lot of two-sided models fail, but the way they are monetizing both the buyer side with instant quotes and the supplier side with capacity sales shows a clear path toward profitability that's worth a deep dive. Keep reading below to see the full nine-block breakdown of how they are structuring this growth.

Xometry, Inc. (XMTR) - Canvas Business Model: Key Partnerships

You're looking to understand the backbone of Xometry, Inc.'s (XMTR) marketplace-the critical relationships that keep the platform liquid and growing as of late 2025. Honestly, for a digital marketplace, the partners are as important as the technology itself; they are the supply and the trust.

Manufacturing Supplier Network

The core of Xometry, Inc.'s value proposition rests on the breadth and quality of its manufacturing base. This network is what allows the Instant Quoting Engine® to price complex parts in near real-time. You're looking at a global network of over 4,300 vetted manufacturing suppliers (Q3 2025), which is the engine driving marketplace revenue growth.

To give you some context on the network's scale and engagement, here are some related operational metrics from the Q3 2025 reporting period:

Metric	Value (Q3 2025 or Latest Available)	Context
Active Suppliers (FY 2024)	4,375	Reported growth of 28% year-over-year for FY 2024 [cite: 2 (second search)]
Active Buyers (Q3 2025)	78,282	Increased 21% year-over-year [cite: 8, 9, 12 (second search)]
Accounts with $\ge\$50\text{k}$ L12M Spend (Q3 2025)	1,724	Increased 14% year-over-year [cite: 7, 8, 9 (second search)]

The focus isn't just on volume; it's on quality and enterprise adoption. Nearly 98% of Q3 2025 revenue came from existing accounts, showing strong retention within this partner ecosystem.

Strategic Technology Partners

Xometry, Inc. relies heavily on external technology expertise to maintain its AI advantage. The primary partnership here is with Google Cloud, specifically leveraging their Vertex AI platform.

• Vertex AI acts as an accelerant for unlocking the power of Xometry, Inc.'s proprietary data.
• This collaboration helps speed up the deployment of new auto-quote methods within the Instant Quoting Engine®.
• The goal is to get new offerings to market faster, expanding the breadth of manufacturing technologies supported.

This relationship is key to their strategy of advancing generative AI applications for pricing and personalization.

Financial Institution Relationships

Managing capital structure is a clear partnership focus, especially in mid-2025. Xometry, Inc. executed a significant debt refinancing with institutional buyers.

The key financial transaction involved:

• Closing a $250 million offering of 0.75% Convertible Senior Notes due 2030 on June 12, 2025 [cite: 1, 2, 3, 4, 5 (first search)].
• Using approximately $216.7 million of the proceeds to repurchase existing 1.00% Convertible Senior Notes due 2027, totaling about $201.7 million in principal [cite: 1, 2, 4, 5 (first search)].
• The new notes were priced with an initial conversion price of approximately $47.06 per share, representing a 30% premium [cite: 1, 2 (first search)].

This move was designed to opportunistically refinance debt with improved terms and a lower coupon rate.

Certification and Credibility Partners

To bolster the credibility of the Thomasnet platform, which is part of Xometry, Inc.'s Supplier Services portfolio, a key partnership was established with NSF International.

As of May 2025, NSF became the preferred certification body for Thomasnet®, which connects buyers with more than 500,000 suppliers [cite: 1, 3 (second search)].

This partnership facilitates access to crucial certifications for suppliers, including:

• Management system certifications like ISO 9001.
• Industry-specific standards such as IATF 16949 (Automotive) and AS9100 (Aerospace).
• Compliance certifications like Cybersecurity Maturity Model Certification (CMMC), which is growing in importance for Department of Defense contracts [cite: 1, 2, 4 (second search)].

This directly addresses supply chain resilience by providing a mechanism to verify supplier credentials.

Logistics and Shipping Providers

While specific carrier names aren't always public, Xometry, Inc. partners with logistics providers to ensure global fulfillment, as they explicitly state they take care of logistics for their partners [cite: 15 (second search)]. The platform's AI-driven routing is a key element here.

The platform functions as a liquid, scalable, global marketplace, which permits it to:

• Route work intelligently to support a more robust and resilient supply chain.
• Gain visibility into the supply and demand balance locally, regionally, and globally.

This intelligent routing, powered by millions of data points, is how Xometry, Inc. manages delivery expectations across its global network without skipping a beat.

Xometry, Inc. (XMTR) - Canvas Business Model: Key Activities

You're looking at how Xometry, Inc. is deploying capital and effort to drive growth as of late 2025. The focus is clearly on scaling the high-margin marketplace, which is where the real financial leverage is found.

Continuous development of the AI-powered Instant Quoting Engine

The core activity here is refining the technology that automates quoting and supplier matching. This investment directly impacts gross margin, which is a key metric for the business model's health. The marketplace gross margin hit a record of 35.7% in the third quarter of 2025, up 210 basis points year-over-year from Q3 2024's 33.6%. This expansion is attributed to record marketplace gross margin, which was 35.4% in Q2 2025. Recent platform enhancements include the rollout of AI tools in North America that can generate instant quotes directly from technical drawings, a feature launched in Q2 2025. Furthermore, Xometry, Inc. expanded its quoting capabilities internationally by launching Instant Quoting for Injection Molding in Europe during Q1 2025.

Key Technology Milestones and Metrics:

• Marketplace Gross Margin (Q3 2025): 35.7%
• Marketplace Gross Margin Improvement (Q3 2025 vs Q3 2024): 210 basis points
• AI Tool Launch for Technical Drawing Quotes (North America): Q2 2025
• Instant Quoting for Injection Molding Launch (Europe): Q1 2025

Onboarding and quality assurance for the global supplier network

The network is the backbone, and Xometry, Inc. is actively vetting and expanding it, though the Supplier Services revenue stream is currently shrinking. As of March 31, 2025, the platform hosted more than 4,375 global suppliers. The network spans facilities across 50+ countries and 49 US states. Quality assurance is maintained through the network's facilities holding critical certifications. For instance, U.S. facilities include those certified to ITAR, ISO 9001:2015, ISO 13485, IATF 16949:2016, AS9100D, and CMMC Level 2 standards. A recent quality-focused activity involved a partnership between Thomasnet and the NSF certification organization.

Supplier Network Snapshot (Latest Available Data Points):

Metric	Value	Context/Date
Active Global Suppliers	More than 4,375	As of March 31, 2025
Geographic Span	50+ countries and 49 US states	Network Backbone
Supplier Services Revenue (Q3 2025)	$14.1 million	Down 4% year-over-year
FY 2025 Supplier Services Revenue Outlook	Down approximately 5% year-over-year	Full Year Guidance

Enterprise sales and account management for high-value clients

This segment is the primary driver of the marketplace's accelerated growth. In Q3 2025, Marketplace revenue reached $167 million, representing a 31% increase year-over-year. The focus on high-value clients is evidenced by the growth in large spenders. Accounts with a Last Twelve-Months Spend of at least $50,000 grew 14% from Q3 2024 to reach 1,724 in Q3 2025. To be fair, the company noted that in FY24, Accounts with LTM spend over $500K exceeded 100 and grew revenue by over 40% year-over-year. The total number of Marketplace Active Buyers grew 21% year-over-year to 78,282 as of September 30, 2025.

Enterprise Customer Metrics (Q3 2025):

• Marketplace Revenue: $167 million
• Marketplace Revenue Growth YoY: 31%
• Marketplace Active Buyers: 78,282
• Accounts Spending $\ge$$50,000 LTM: 1,724

Operating and monetizing the Thomasnet industrial sourcing platform

The Thomasnet platform is monetized primarily through supplier services, which includes marketing and advertising. This segment's revenue was $14.1 million in Q3 2025, marking a 4% decrease year-over-year. Management's full-year 2025 guidance projects Supplier Services revenue to be down approximately 5% year-over-year. The platform activity includes testing new search tools on Thomasnet that use natural language processing to better understand buyer intent. Also, Xometry, Inc. is embedding its tools deeper into customer operations, with a growing number of enterprise buyers connecting the marketplace directly to their procurement systems.

International expansion, particularly in Europe and Asia Pacific

International growth remains a strategic focus, contributing significantly to the overall marketplace performance. In Q2 2025, the company reported international revenue growth of 31% year-over-year, with international operations accounting for 18% of Marketplace revenue for that quarter. The long-term target for International revenue is to represent 30-40% of Marketplace revenue. Key expansion activities included the launch of the Teamspace collaboration software in Europe, the U.K., and Turkey during Q2 2025. The overall Q3 2025 revenue was $181 million, up 28% year-over-year, supported by this strategic global network expansion.

International Performance Indicators (Latest Data):

Metric	Value	Period
International Revenue Growth YoY	31%	Q2 2025
International Share of Marketplace Revenue	18%	Q2 2025
Long-Term International Share Target	30-40%	Target

Finance: draft 13-week cash view by Friday.

Xometry, Inc. (XMTR) - Canvas Business Model: Key Resources

You're looking at the core assets Xometry, Inc. (XMTR) relies on to run its digital manufacturing marketplace. These aren't just line items on a balance sheet; they are the engine driving their growth, especially as they scale toward that $1 billion revenue target they've been discussing. Honestly, the strength here is a mix of proprietary tech and a massive, engaged user base.

The financial foundation is solid, giving them the runway to keep investing in that technology. As of the end of the third quarter of 2025, Xometry, Inc. reported holding $225 million in cash, cash equivalents, and marketable securities. That's a significant war chest for a company that just hit a record $181 million in revenue for the quarter. This liquidity supports ongoing technology development, like the capital expenditures focused on software, which totaled $7.4 million in Q3 2025 alone.

The network effect is clearly a massive resource, built on years of platform development. Their global network of buyers is substantial and growing. You can see the scale in the latest figures:

• Global network of active buyers reached 78,282 as of September 30, 2025.
• Accounts with at least $50,000 in spend over the last twelve months grew 14% year-over-year to 1,724 in Q3 2025.
• Marketplace revenue per active buyer increased 9% year-over-year in Q3 2025.

The proprietary technology is what ties the buyer and supplier networks together efficiently. This is where the AI/Machine Learning algorithms come into play, specifically noted as driving margin expansion. Here's a quick look at the key quantitative resources as of Q3 2025:

Resource Category	Specific Metric/Asset	Value (Q3 2025 or latest)
Financial Strength	Cash, Cash Equivalents, and Marketable Securities	$225 million
Marketplace Scale (Demand Side)	Active Buyers	78,282
Technology Investment (CapEx)	Q3 2025 Software-Related CapEx	$7.4 million
Platform Performance	Marketplace Gross Margin	35.7%
High-Value Customer Base	Accounts with >=$50k L12M Spend	1,724

The digital platforms themselves are critical infrastructure. You have the core Xometry Marketplace, which is described as a global AI-powered marketplace connecting buyers and suppliers. Furthermore, the integration of Thomasnet is a key differentiator, especially for supplier services, which includes dynamic ad-serving capabilities. They are also actively developing the user experience, evidenced by the launch of the Workcenter mobile app, which is Xometry, Inc.'s proprietary all-in-one quote-to-cash solution for its partners.

Finally, the human capital-the technical talent-is essential to maintain and advance these systems. The company's ability to improve its marketplace gross margin to 35.7% is directly linked to its AI-powered pricing and selection capabilities. This requires deep expertise in software engineering and data science to continue accelerating platform innovation, such as auto-quoting for injection molding and expanded automated CAD/drawing extraction. That investment in technology, reflected in the CapEx figures, is really an investment in their specialized technical teams.

Xometry, Inc. (XMTR) - Canvas Business Model: Value Propositions

For Buyers: Instant, transparent pricing and lead times for custom parts.

The platform delivered a record Q3 2025 marketplace revenue of $167 million, a 31% increase year-over-year. The marketplace gross margin expanded to 35.7% in Q3 2025. The number of active buyers reached 78,282 as of September 30, 2025. Accounts spending at least $50,000 in the last twelve months totaled 1,724 in Q3 2025. Revenue per active buyer saw a 9% year-over-year increase in Q3 2025. New capabilities include the introduction of auto-quotes for injection molding services in the U.S. Also, Xometry EU expanded its marketplace with faster lead times.

Metric	Buyer/Supplier Data Point	Value (as of late 2025)
Active Buyers (Q3 2025)	Total platform users	78,282
High-Value Accounts (Q3 2025)	Accounts with LTM spend of at least $50,000	1,724
Marketplace Revenue (Q3 2025)	Quarterly revenue from marketplace sales	$167 million
Marketplace Gross Margin (Q3 2025)	Profitability of marketplace transactions	35.7%
Supplier Services Revenue (Q3 2025)	Revenue from supplier-facing services	$14.1 million
Active Suppliers (Nov 2025)	Global supplier network size	Over 4,500

For Buyers: Access to diverse manufacturing processes (CNC, 3D Printing, Injection Molding).

The platform continues to grow its offering, with Q1 2025 growth fueled by strategic investments in advanced manufacturing technologies, particularly 3D printing and additive manufacturing. The introduction of auto-quotes for injection molding services in the U.S. demonstrates expansion in process coverage.

For Suppliers: Digital monetization of excess manufacturing capacity.

The marketplace model connects suppliers to a demand pipeline, though supplier services revenue was $14.1 million in Q3 2025, a 4% decrease year-over-year. In Q2 2025, supplier services revenue saw a 6% decrease year-over-year. The company launched the new Workcenter mobile app to enhance supplier management capabilities.

For Suppliers: Access to a global demand pipeline at minimal customer acquisition cost.

The global supplier network expanded to over 4,500 active suppliers as of November 2025. The marketplace revenue grew by 31% year-over-year in Q3 2025, showing strong demand pull. The full-year 2025 marketplace growth outlook was raised to 27%-28%.

Supply chain resilience through a geographically diversified supplier base.

The company is actively expanding its localized supplier networks across the United States, Europe, and Asia. A joint survey conducted in August 2025 indicated that 74% of executives are reshoring or planning to reshore operations. Separately, a February 2025 survey found nearly 85% of automotive executives plan to rely more heavily on North American suppliers in 2025. That same automotive survey showed 41% plan to reshore at least a portion of their supply chain operations. However, a survey of European manufacturers in August 2025 showed only 29% feel 'very prepared' for supply chain disruptions, despite 73% having a business continuity plan.

Xometry, Inc. (XMTR) - Canvas Business Model: Customer Relationships

You're looking at how Xometry, Inc. manages its relationships with the thousands of buyers and suppliers on its platform as of late 2025. It's a mix of high-tech automation for the masses and dedicated human touch for the biggest spenders.

Automated self-service via the Instant Quoting Engine.

The core of the self-service relationship is the AI-powered Instant Quoting Engine℠. This system handles the initial, high-volume interaction, providing instant pricing and DFM (design for manufacturing) feedback. The efficiency of this engine directly impacts customer satisfaction and marketplace margin. For instance, in Q3 2025, the marketplace gross margin reached a record 35.7%, reflecting continued refinement in these algorithmic quoting systems. This engine is constantly being enhanced; by Q3 2025, Xometry launched auto-quoting for injection molding in the United States, following a successful rollout in Europe, which offers instant pricing across more than 35 materials and finishes. Xometry Europe alone has provided job offers to over 5000 Manufacturing Partners through this platform.

Dedicated sales teams for enterprise accounts spending $\ge$ $50,000 annually.

For the largest customers, Xometry, Inc. shifts to a dedicated, high-touch model. The focus is clearly on deepening engagement with these high-value accounts. As of Q3 2025, the number of Marketplace Accounts with Last Twelve-Months Spend exceeding $50,000 grew 14% year-over-year to 1,724 accounts. This segment shows strong stickiness; revenue retention from existing accounts reached 98%. The company is even targeting deeper engagement with accounts showing potential annual expenditures of $10 million or more.

Here's a snapshot of the growth in these key enterprise tiers:

Metric/Period End Date	Accounts Spending $\ge$ $50,000 (LTM)	Year-over-Year Growth (Approximate)
Q3 2025	1,724 accounts	14%
Q2 2025	1,653 accounts	15%
Q1 2025	1,545 accounts	12%

Community-based support and tools through the Workcenter mobile app for suppliers.

Supplier relationships are managed through a proprietary cloud platform, extended by mobile access to keep them engaged on the shop floor. Xometry, Inc. introduced the new Workcenter Mobile App in Q3 2025 to enhance supplier management capabilities. This app extends the original Workcenter platform, which is Xometry, Inc.'s quote-to-cash system launched in 2022. The mobile tool allows manufacturing partners to manage key activities directly from the field, including:

• View and accept job offers.
• Track production progress.
• Update job status in real time.
• Communicate with Xometry, Inc.'s support personnel.

This focus on supplier experience helps ensure higher-quality data feeds back into the AI models, which is vital for the automated quoting engine.

Direct integration with large customer procurement systems (API/Teamspace).

For seamless adoption within large organizations, Xometry, Inc. is embedding its tools directly into customer operations. The Teamspace collaboration software is a key part of this, seeing expansion in Europe, the U.K., and Turkey. This expansion contributed to international business growth of 31% year-over-year in Q2 2025. Furthermore, Xometry, Inc. EU launched specific integration capabilities allowing enterprise buyers to order custom parts directly from the Xometry, Inc. site while remaining within their own procurement platform, automating data transfer between systems.

Xometry, Inc. (XMTR) - Canvas Business Model: Channels

You're looking at how Xometry, Inc. gets its value proposition-instant quoting and a vast manufacturing network-into the hands of buyers and how it services its suppliers. The channel strategy is clearly weighted toward digital, but they still maintain a direct touch for the biggest players.

The Xometry.com online marketplace is the undisputed primary transaction channel. In the third quarter of 2025, this segment was responsible for $167 million in revenue, which was a 31% increase year-over-year. Honestly, this marketplace is the engine, making up more than 92% of the total $181 million revenue reported for Q3 2025. The platform's reach is quantified by its active buyer base, which hit 78,282 as of September 30, 2025, a 21% jump from the prior year.

The Thomasnet industrial sourcing and advertising platform serves as a key channel, though its financial contribution is categorized differently. Supplier services revenue, which includes Thomasnet advertising and other supplier tools, was $14.1 million in Q3 2025, representing a 4% year-over-year decline. Management expects this segment to decline about 5% for the full year 2025 as resources shift focus to the higher-margin marketplace. Still, Thomasnet is being actively developed, including a partnership with NSF to offer certifications, which helps increase supplier credibility and visibility on the platform.

For the largest customers, the direct sales team is crucial for embedding Xometry, Inc. deeper into their operations. This effort targets high-spend enterprise accounts, which is showing up in the numbers. The count of accounts with at least $50,000 in trailing twelve-month spend reached 1,724 in Q3 2025, marking a 14% increase year-over-year. This enterprise adoption is a core driver of that 31% marketplace revenue acceleration.

To support the supplier side of the marketplace, Xometry, Inc. rolled out specific tools. The Workcenter mobile app is a new channel for supplier interaction, specifically launched to enhance job management and allow suppliers to upload work in progress. This is part of the ongoing investment in platform innovation that also includes AI tools for faster quoting.

International expansion is a distinct channel strategy. Xometry EU and other international extensions are seeing strong growth, with the international business growing 31% in Q2 2025. Key to this is the expansion of the Teamspace collaboration software across Europe, the U.K., and Turkey. However, these investments are reflected in the Q3 2025 International segment Adjusted EBITDA loss, which was $4.2 million, up from a $2 million loss in Q3 2024. Xometry EU also added new materials and faster lead times in Q3 2025.

Here's a quick look at the key channel metrics as of the third quarter of 2025:

Channel Component	Metric	Value (Q3 2025)
Xometry.com Marketplace Revenue	Revenue	$167 million
Xometry.com Marketplace Revenue	Year-over-Year Growth	31%
Xometry.com Marketplace	Active Buyers	78,282
Xometry.com Marketplace	Accounts with $\ge \$50,000$ LTM Spend	1,724
Supplier Services (incl. Thomasnet)	Revenue	$14.1 million
Supplier Services (incl. Thomasnet)	Year-over-Year Change	-4%
International Operations	Adjusted EBITDA Loss	$4.2 million

You can see the marketplace gross margin is a key focus for efficiency, hitting 35.7% in Q3 2025, up 210 basis points year-over-year. The company is definitely pushing customers toward the automated quoting and ordering process on the main site.

• Enterprise customer growth: Accounts spending $\ge \$50,000$ increased 14% year-over-year to 1,724 in Q3 2025.
• Supplier engagement: New Workcenter mobile app launched for job tracking.
• International focus: Xometry EU expanded materials and launched a parts library in Q3 2025.
• Platform integration: AI tools read technical drawings for faster quoting in North America.

Finance: draft 13-week cash view by Friday.

Xometry, Inc. (XMTR) - Canvas Business Model: Customer Segments

You're looking at the core users Xometry, Inc. serves with its digital manufacturing marketplace as of late 2025. The customer base is clearly bifurcated, moving aggressively toward larger spenders while maintaining a broad base of individual users.

The platform serves a wide spectrum, from small operations needing a single prototype to major corporations integrating Xometry, Inc.'s supply chain solutions. The engine of growth is clearly the enterprise side, but the foundation remains the broader user base.

Here's a breakdown of the key customer segments Xometry, Inc. is serving, based on the latest figures from Q3 2025:

• Small to Medium-sized Businesses (SMBs) needing rapid prototyping/low-volume production. This segment is captured within the total active buyer count.

• Large Enterprise Accounts (spending $\ge$ $50,000 LTM), which grew 14% to 1,724 as of Q3 2025.

• Engineers and product designers, the end-users interacting with the Instant Quoting Engine and AI-powered Design for Manufacturing (DFM) capabilities.

• Manufacturing suppliers (job shops and production facilities) that form the global network; active suppliers grew 28% year-over-year for fiscal year 2024.

• Customers in high-growth verticals, including aerospace, defense, automotive, and energy, which showed strong marketplace growth momentum in Q3 2025.

The focus on high-value customers is evident in the metrics showing increased spending per user. The total active buyer base is substantial, but the enterprise segment is driving the margin expansion.

Customer Metric	Value as of Q3 2025	Year-over-Year Change
Total Active Buyers	78,282	21% increase
Accounts Spending $\ge$ $50,000 LTM	1,724	14% increase
Marketplace Revenue per Active Buyer	Not explicitly stated, but revenue per buyer increased	9% increase
Accounts Spending $\ge$ $50,000 LTM (Q3 2024)	1,506	N/A

The growth in enterprise engagement is a key driver for the marketplace segment, which generated $167 million in revenue for Q3 2025, a 31% year-over-year increase. This indicates that the segment of engineers and designers working at larger firms is rapidly adopting the platform for their supply chain needs. To be fair, existing customers accounted for 98% of total Q3 2025 revenue, showing deep relationships are the norm.

Geographically, international expansion is also a customer focus area, with international revenue increasing 23% year-over-year, now making up 18% of marketplace revenue.

• Marketplace Revenue (Q3 2025): $167 million

• International Marketplace Revenue Share: 18%

• Net New Active Buyers Added in Q3 2025: 3,505

Finance: draft 13-week cash view by Friday.

Xometry, Inc. (XMTR) - Canvas Business Model: Cost Structure

You're looking at the cost side of the Xometry, Inc. (XMTR) engine as of late 2025. This is where the revenue Xometry generates gets spent to keep the AI marketplace running and growing. The structure heavily favors the direct cost of fulfilling orders, which makes sense for a platform connecting buyers to a vast supplier network.

Cost of Revenue (CoR) is the largest component, representing the direct costs associated with servicing customer orders. This is primarily the payouts to the global supplier network and any associated materials or direct service costs. Based on Q3 2025 figures, this cost is substantial.

The operational spending is broken down into several key areas, showing a clear focus on scaling the marketplace while maintaining cost discipline, especially in areas like advertising. Here are the key expense drivers for Xometry, Inc. as reflected in their Q3 2025 financial performance:

• Cost of Revenue (CoR) was approximately $109 million in Q3 2025, derived from $181 million in total revenue and $72.0 million in gross profit for the quarter.
• Sales and Marketing (S&M) expenses were held to 15.9% of revenue in Q3 2025.
• Operations and Support costs for managing the global network represented 8.2% of revenue in Q3 2025.
• Product Development (R&D) for AI/platform innovation was reported at $12.5 million for Q3 2025.
• General and Administrative (G&A) expenses were reported as $19.5 million for Q3 2025.

To give you a clearer picture of these costs relative to the Q3 2025 revenue base of $181 million, here is the breakdown:

Cost Component	Q3 2025 Financial Figure	Basis/Context
Cost of Revenue (CoR)	$109 million	Inferred from $181M Revenue minus $72.0M Gross Profit
Sales and Marketing (S&M)	15.9% of Revenue	Reported percentage of revenue for Q3 2025
Operations and Support	8.2% of Revenue	Reported percentage of revenue for Q3 2025
Product Development (R&D)	$12.5 million	Required figure for AI/platform innovation investment
General and Administrative (G&A)	$19.5 million	Required figure for G&A expenses

The focus on AI is clear when you look at R&D spending, which is a fixed dollar amount, while S&M is managed as a percentage of sales, showing a variable cost control mechanism. Operations and Support is also being driven down as a percentage of revenue, which management attributes to increasing automation with AI across those functions. Honestly, managing the supplier payout component (CoR) is the real lever here, as it directly impacts the gross margin, which hit a record marketplace gross margin of 35.7% in the quarter.

Xometry, Inc. (XMTR) - Canvas Business Model: Revenue Streams

You're looking at how Xometry, Inc. actually brings in the cash flow, which is key for any investment thesis. Honestly, their model splits pretty clearly into two main buckets: the marketplace activity and the value-added services for their supplier network.

Let's look at the most recent snapshot we have, which shows the marketplace is still the heavy lifter. For the third quarter of 2025, the Marketplace Revenue, which comes from those transaction fees on custom parts sales, hit $167 million.

The other side, Supplier Services Revenue, which supports the ecosystem, brought in $14.1 million for that same Q3 2025 period. Here's a quick look at how those two streams stacked up for the quarter:

Revenue Stream	Q3 2025 Amount
Marketplace Revenue	$167 million
Supplier Services Revenue	$14.1 million

That Supplier Services bucket is where they monetize the network beyond just the part transaction itself. It's not just one thing, you see. It's a collection of offerings designed to keep suppliers engaged and profitable on the platform.

The components making up that $14.1 million in Supplier Services Revenue include several distinct areas:

• Fees from financial services like quick-pay options for suppliers.
• Advertising revenue from the Thomasnet platform.
• Revenue from Software as a Service (SaaS) offerings.

To give you the big picture for the year, the full-year 2025 revenue guidance Xometry, Inc. is working toward is set between $676 million to $678 million. That gives you the scale we're talking about for the entire operation.

The quick-pay options are defintely a nice feature for suppliers needing immediate cash flow, and that fee structure is a direct revenue generator. Also, don't forget the Thomasnet advertising; that platform drives significant top-of-funnel traffic, and monetizing that attention is a solid secondary income stream.