3D Systems Corporation has just announced in a press release that Abraham Reichental has resigned as president, CEO and director of the company, effective at the close of business on October 28, 2015.
His departure follows a major decline in the share prices of 3D Systems, a high-profile 3D printing company.
Fortune adds that the company's share prices have fallen nearly 90 percent following its peak price in 2014.
3D Systems stock price went up as high as $97.25 in 2014.
Fortune adds that 3D printing has been on the rise as it quickly expanded into industries such as medicine, manufacturing and cooking.
One of the sectors that 3D Systems have targeted is consumer 3D printing, but its market viability is still questionable.
Fortune adds that the 3D Systems year-over-year revenues in the second quarter were at $170.5 million, a 13 percent growth.
However, the results were about $3 million short of analysts' expectations.
Fortune adds that Reichental said during the company's earnings call that they are not happy with the results that came out.
"Overall, we're disappointed with our results," he said. He also blames the company's "rapid expansion" that created "the operating efficiencies" that the company is "currently addressing."
Terry Wohlers, the president of consulting firm Wohlers Associates, told Fortune that the departure of Reichental is a good opportunity for the company.
He said that Reichental stepping down "is an opportunity for 3D Systems to hit the 'restart button' and more deeply penetrate the incredibly vast market that 3D printing presents."
3D Systems said in the press release its board of directors will immediately commence a comprehensive search and evaluation process to select a permanent successor to Reichental.
The company has appointed Andrew Johnson, the chief legal officer of 3D Systems, as the interim president and CEO.
3D Systems adds in the press release that they have established an Executive Management Committee that will provide the company an ongoing leadership and support the company's operations and strategic initiatives.
Charles Hull, the co-founder, director and chief technology officer of 3D Systems, will serve as the chairman of the committee.
