Protolabs (NYSE:PRLB) reported Q3 FY2 revenue growth of 7.4% YoY to $130.71 million, beating the consensus of $122.77 million. The company posted an adjusted EPS of $0.51, an improvement from $0.40 in 3Q22, beating the consensus of $0.30. The gross margin expanded by 130 bps to 45.4%, and the operating margin expanded by 300 bps to 7.9%. Revenue from the digital network was $22.6 million, an increase of 86.9% YoY. PRLB shares are trading higher by 23% at $29.89.