Other operating income was kEUR 767 for the fourth quarter of 2021 compared to kEUR 345 in the fourth quarter of 2020. The increase was mainly due to higher gains from foreign currency transactions, amounting to kEUR 490 compared to kEUR 360 in the last year’s fourth quarter. Furthermore, the increase in other operating income is due to cost reimbursement (kEUR 110) and the receipt of government grant (kEUR 59) for R&D expenses incurred in the fourth quarter of 2021.
The changes in foreign currency losses and gains were primarily driven by the valuation of the intercompany loans granted by the parent company to our US subsidiary.
Operating loss was kEUR 791 in the fourth quarter of 2021, compared to an operating loss of kEUR 2,674 in the comparative period in 2020. The improvement was mainly due to a positive net impact of the quarter over quarter changes in other operating expenses and other operating income amounting to kEUR 1,131. In addition, gross profit for the fourth quarter of 2021 increased by kEUR 600 compared to last year’s fourth quarter. Further, research and development expenses as well as administrative expenses declined by kEUR 386 and kEUR 141, respectively. This was partially offset by higher operating expenses from our functions sales and marketing showing an quarter over quarter increase of kEUR 355.
Financial result was positive kEUR 1,955 in the fourth quarter of 2021, compared to a negative financial result of kEUR 1,286 in the comparative period in 2020. This was mainly due to a finance income related to the revaluation of derivative financial instruments, amounting to kEUR 2,693 in the fourth quarter of 2021, compared to a finance expense of kEUR 807 in the last year’s same period. The derivative financial instruments are related to a Performance Participation Interest (PPI) for the first (tranche A) and second tranche (tranche B1) of the loan granted by the European Investment Bank (“EIB”) and are revalued on each balance sheet date, with changes in the fair value between reporting periods recorded within financial result of the consolidated statements of comprehensive loss. An increase in our share price results in a finance expense, while a decrease leads to a finance income. In addition, interest expense included interest from long term debt amounting to kEUR 552 for the fourth quarter of 2021, compared to kEUR 508 in the comparative period in 2020.
Net profit for the fourth quarter of 2021 was kEUR 1,047 or EUR 0.15 per share, as compared to net loss of kEUR 3,722, or EUR 0.77 per share, in the fourth quarter of 2020.
Year Ended December 31, 2021 Results
Revenues for the year ended December 31, 2021 increased by 15.1% to kEUR 24,826 compared to kEUR 21,567 in the prior year period.
Systems revenues were kEUR 15,728 for the year ended December 31, 2021 compared to kEUR 12,556 in last year’s period. The Company sold ten new and four used and refurbished 3D printers during the year ended December 31, 2021 compared to eight new and five used and refurbished 3D printers in the prior year period. Revenue from the sale of 3D printers significantly increased in 2021 compared to last year, due to a more favorable product mix, as we sold more larger scale platforms in 2021 as opposed to smaller platforms in the comparative period in 2020. Systems revenues also include all Systems-related revenues from consumables, spare parts and maintenance. Those Systems-related revenues also increased, which reflects the recovery from the economic slow-down mainly due to the ongoing COVID-19 situation. Currently, we are able to perform installations of 3D printers as well as to offer service visits in most regions of the world. There remain some COVID-19 government regulation constraints which could delay service visits, however the situation is normalizing progressively. Systems revenues represented 63.4% of total revenue for the year ended December 31, 2021 compared to 58.2% for the last year’s same period.
Services revenues were kEUR 9,098 for the year ended December 31, 2021 compared to kEUR 9,011 for the same period last year. The slight increase was mainly due to higher revenue contributions from the German operation, but also our Chinese service center recorded a slight growth in revenues. This was partially offset by lower revenue contributions from our subsidiary voxeljet America. Even though there was an increase in revenues starting in the third quarter of 2021, it did not fully compensate for the negative impact of the COVID-19 situation in the first half of 2021.
Cost of sales for the year ended December 31, 2021 was kEUR 16,876, which represents increase of kEUR 2,064 compared to cost of sales amounting to kEUR 14,812 for the same period in 2020.
Gross profit and gross margin for the year ended December 31, 2021 were kEUR 7,950 and 32.0%, respectively, compared to kEUR 6,755 and 31.3%, respectively, in the prior year period.
Gross profit for our Systems segment increased to kEUR 5,251 for the year ended December 31, 2021 from kEUR 4,441 in the same period of 2020. The gross profit margin for this segment slightly decreased to 33.4% compared to 35.4% for the prior period. The increase in gross profit was due to higher gross profit from the sale of 3D printers, while gross profit from System-related goods and services, including consumables, spare parts and maintenance decreased. This was mainly due to the year over year change in the reserve for slow-moving inventory amounting to kEUR 851 negative. This is also the reason for the decrease in gross profit margin from Systems-related revenues. Gross profit margin from the sale of 3D printers was almost flat.
Gross profit for our Services segment increased to kEUR 2,699 for the year ended December 31, 2021 from kEUR 2,314 in the same period of 2020. The gross profit margin for this segment increased to 29.7% for the year ended December 31, 2021 from 25.7% for the same period in 2020. This increase was mainly related to significantly higher gross profit as well as gross profit margin contribution from our subsidiary voxeljet America, as a result of an improved utilization of the American service center due to the recovery since the third quarter of 2021. Also regarding the German service center, both gross profit and gross profit margin slightly improved. These positive trends were partially offset by weaker gross profit and gross profit margin contribution from our Chinese subsidiary.
Selling expenses were kEUR 6,420 for the year ended December 31, 2021 compared to kEUR 5,816 in the same period in 2020, representing a significant increase of kEUR 604, or 10.4%. This was mainly due to higher distribution expenses primarily corresponding to the increase in revenues. Shipping and packaging expenses as a main driver of the selling expenses could vary from quarter to quarter depending on quantity and types of products, as well as the destinations where those goods are being delivered.
Administrative expenses increased by kEUR170 to kEUR 6,577 for the year ended December 31, 2021 from kEUR 6,407 in the prior year period. The increase was mainly related to higher legal advisor fees related to our stock market listing as well as our communication to financial institutions in connection with funding activities.
Research and development expenses decreased to kEUR 6,149 for the year ended December 31, 2021 from kEUR 6,500 in the same period in 2020, a decrease of kEUR 351, or 5.4%. This was mainly due to lower personnel expenses as well as lower material expenses, partially offset by higher usage of external services.
Other operating expenses for the year ended December 31, 2021 were kEUR 618 compared to kEUR 2,799 in the prior year period. This was mainly due to lower losses from foreign currency translations. Foreign currency losses amounted to kEUR 460 for the year ended December 31, 2021, compared to kEUR 2,545 in the same period in 2020.
Other operating income was kEUR 2,970 for the year ended December 31, 2021 compared to kEUR 1,603 in the prior year period. The increase was mainly due to higher gains from foreign currency transactions of kEUR 1,812 in 2021 compared to kEUR 849 in 2020. In addition, we received government grants awarded for research and development project funding in 2021 amounting to kEUR 617. In 2020, our subsidiary voxeljet America received a government grant from the United States Small Business Administration (“SBA”) under the COVID-19 funding program amounting to kEUR 295. The full amount was recognized in profit and loss, in the second quarter of 2020, as the related costs for which the grant is intended to compensate occurred in this period and we assume that we comply with the conditions of the funding. The assessment of SBA, which was finalized in September 2021, resulted in voxeljet being fully in compliance with the conditions.
