Revenue Performance - Total revenue for the three months ended December 31, 2024, was approximately $3.17 million, an increase of 52% compared to $2.08 million for the same period in 2023[148]. - Software Services revenue for the three months ended December 31, 2024, was approximately $3.13 million, reflecting a 54% increase from $2.03 million in the same period of 2023[151]. - Total revenue for the six months ended December 31, 2024, was approximately $5.61 million, an increase of 8% compared to $5.18 million for the same period in 2023[148]. - Software License revenue for the six months ended December 31, 2024, increased by 79% to approximately $0.25 million compared to $0.14 million for the same period in 2023[152]. Profitability and Margins - Gross profit margin for the three months ended December 31, 2024, was approximately 64%, down from 68% in the same period of 2023[154]. - Net income for the three months ended December 31, 2024, was approximately $0.02 million, an improvement from a loss of $0.74 million in 2023; the net loss for the six months was approximately $0.98 million compared to $0.86 million in 2023[165]. - Adjusted EBITDA income was $0.28 million for the three months ended December 31, 2024, compared to a loss of $1.33 million in 2023; for the six months, the loss improved to $0.17 million from $2.61 million[171]. Expenses and Cost Management - Total operating expenses for the three months ended December 31, 2024, were approximately $2.02 million, a decrease of 9% from $2.23 million in 2023; for the six months, expenses increased by 15% to $4.97 million from $4.33 million[157]. - Internal staffing costs for the three months ended December 31, 2024, were approximately $0.86 million, representing 75% of total cost of revenue, compared to $0.44 million (67%) in 2023, indicating a strategic shift to Spatial Core[155]. - Research and development expenses decreased by 53% to approximately $0.66 million for the three months ended December 31, 2024, and by 42% to $1.78 million for the six months, reflecting a divestiture and headcount reductions[158]. - General and administrative expenses decreased by 19% to approximately $0.85 million for the three months ended December 31, 2024, and by 17% to $1.78 million for the six months, due to headcount reductions and cost savings[159]. - Sales and marketing expenses decreased by 51% to approximately $0.38 million for the three months ended December 31, 2024, and by 29% to $1.12 million for the six months, reflecting the divestiture of QReal/Turkey[160]. Strategic Changes - The company divested its wholly owned entities QReal, LLC and its related operating entity in Turkey, effective October 1, 2024, as part of a strategic realignment[143]. - The company shifted its business focus to immersive technology solutions driven by Spatial Computing, Cloud, and AI, referred to as "Spatial Core"[141]. - Customer concentration was high, with three customers accounting for approximately 80% of total gross revenues during the three months ended December 31, 2024[153]. Cash Flow and Financial Position - Net cash used in operating activities improved to approximately $0.25 million for the six months ended December 31, 2024, from $3.36 million in 2023, reflecting better profit margins and expense reductions[173]. - Net cash provided by financing activities was approximately $6.87 million for the six months ended December 31, 2024, compared to $2.97 million in 2023, primarily from securities purchase agreements with institutional investors[175]. - Cash, cash equivalents, and restricted cash at the end of the period increased by 62% to $8.44 million from $5.22 million in 2023[172]. - As of December 31, 2024, the Company had cash and cash equivalents of $8.45 million[176]. - The Company had no outstanding debt obligations as of December 31, 2024[176]. - There was no issued and outstanding preferred stock as of December 31, 2024[177]. - Contingent consideration for acquisition liabilities includes cash components up to $3.0 million, potentially payable through September 2025[177].

Financial Performance - Q2 FY '25 revenue was approximately $3.17 million, a 52% increase compared to Q2 FY '24 revenue of approximately $2.08 million[2] - Positive adjusted EBITDA of approximately $0.28 million in Q2 FY '25, compared to an adjusted EBITDA loss of approximately -$1.33 million for Q2 FY '24[2] - The company expects Q3 FY '25 revenue to decline to between $1.5 million and $2 million, but anticipates a strong Q4 FY '25 with revenue between $3.3 million and $4 million[2] - For FY '25, the company expects aggregate revenue to exceed $11 million, representing a 25%+ increase compared to $8.8 million for FY '24[2] - The company reported a net loss of $988,320 for the six months ended December 31, 2024, compared to a net loss of $857,810 for the same period in 2023[17] - Adjusted EBITDA for the six months ended December 31, 2024, was a loss of $0.17 million, improving from a loss of $2.61 million in the same period of 2023[18] Cash and Liquidity - The company's cash and equivalents as of December 31, 2024, were approximately $8.5 million, with an additional $1.4 million in accounts receivable[2] - Cash and cash equivalents at the end of the period increased to $8,445,288, up from $5,220,653 at the beginning of the year[17] - The company experienced a net cash used in operating activities of $253,153 for the six months ended December 31, 2024, significantly lower than $3,358,180 for the same period in 2023[17] - The company generated $6,785,552 from securities purchase agreements in financing activities, compared to $2,968,501 in the prior year[17] - The company’s accounts receivable decreased by $668,847 for the six months ended December 31, 2024[17] Contracts and Business Development - Brightline Interactive delivered a significant milestone on its $4 million+ Department of Defense contract during the quarter[9] - Brightline Interactive entered into an initial contract with the US Navy for an Immersive, AI-Driven Simulator System, setting the stage for potential follow-on contracts[9] - The company has made strong progress in commercializing its AI-driven immersive training product, experiencing encouraging initial traction with customers and partners[9] Capital Structure and Compliance - The company maintains a clean capital structure with no debt, no convertible debt, and no preferred equity[2] - The company regained compliance with Nasdaq Listing Rule 5550(a)(2), which requires a minimum bid price of $1.00 per share[2] Expenses and Divestitures - Stock-based compensation expenses for the six months ended December 31, 2024, were $407,231, down from $1,135,048 in the same period of 2023[17] - The company reported a depreciation and amortization expense of $272,615 for the six months ended December 31, 2024, compared to $720,458 in the same period of 2023[17] - The company recorded a net gain on divestiture of subsidiaries amounting to $1,397,066 for the six months ended December 31, 2024[17] - The company had a loss on subsidiary divestiture of $0.10 million for the three months ended December 31, 2024[18]

Core Insights - The Glimpse Group, Inc. is a diversified Immersive Technology platform company focused on enterprise Virtual Reality, Augmented Reality, and Spatial Computing software and services [1][2] - The President & CEO, Lyron Bentovim, will be interviewed on Schwab Network's "Trading 360" on January 22, 2025, at 11:30 am ET [1][2] Company Overview - The Glimpse Group operates a unique business model that builds scale and a robust ecosystem, providing investors an opportunity to invest in the emerging Immersive Technology industry through a diversified platform [2] - The company is listed on NASDAQ under the ticker VRAR and also trades on FSE under 9DR [1][2] Event Details - The interview will cover topics related to The Glimpse Group, Immersive Technology, Spatial Computing, AI, and key partnerships [2] - The event can be accessed live via the Schwab Network website and will also be available for replay [2]

Core Insights - The Glimpse Group, Inc. is a diversified Immersive Technology platform company focused on enterprise Virtual Reality, Augmented Reality, and Spatial Computing software and services [1][2] - The President & CEO, Lyron Bentovim, will be interviewed on Schwab Network's "Trading 360" on January 22, 2025, at 11:30 am ET [1][2] Company Overview - The Glimpse Group operates a unique business model that builds scale and a robust ecosystem, providing investors an opportunity to invest in the emerging Immersive Technology industry [2] - The company is listed on NASDAQ under the ticker VRAR and also trades on the Frankfurt Stock Exchange under the ticker 9DR [1][2] Event Details - The interview will cover topics related to The Glimpse Group, Immersive Technology, Spatial Computing, AI, and key partnerships [2] - The event can be accessed live via the Schwab Network website and will also be available for replay [2]

Financial Data and Key Metrics Changes - Q1 fiscal year 2025 revenue was approximately $2.44 million, reflecting a 44% increase compared to Q4 fiscal year 2024 revenue of approximately $1.7 million, but a 21% decrease compared to Q1 fiscal year 2024 revenue of approximately $3.1 million [16] - Gross margin for Q1 fiscal year 2025 was approximately 79%, compared to 62% for Q1 fiscal year 2024, driven by increased Spatial Core revenues and higher software license revenues [18] - Adjusted EBITDA loss for Q1 fiscal year 2025 was approximately $0.46 million, an improvement from an adjusted EBITDA loss of approximately $1.29 million for Q1 fiscal year 2024 [19] - The company expects revenue in the next three quarters to exceed $3 million on average per quarter, with aggregate revenue for fiscal year 2025 projected to be in the $11 million to $12 million range, representing a 25% to 35% increase compared to fiscal year 2024 [17] Business Line Data and Key Metrics Changes - The company delivered the first phase of a large DoD contract and made significant progress towards securing multimillion-dollar contracts in spatial computing and AI-driven immersive software solutions, with short-term aggregate value expected between $5 million to $10 million [5] - Other immersive businesses continued positive momentum, including contracts with a global water and hygiene infrastructure company and a global energy company, both in the mid-six figure range [6] - QReal, a subsidiary, saw a significant increase in revenue driven by demand for AR lenses and 3D models [6] Market Data and Key Metrics Changes - The company has faced challenging headwinds in the immersive industry over the past two years but is now experiencing concrete positive growth indicators [7] - The divestiture of QReal is expected to create approximately $4 million of net cash value over the next two years, simplifying operations and eliminating Turkey country risk [12][13] Company Strategy and Development Direction - The company is exploring aggressive strategic options to unlock value inherent in its business and assets, while focusing on profitable growth [10][23] - The divestiture of QReal is part of a strategic realignment to streamline operations and focus on core business areas [11] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about revenue growth and cash flow positivity in the upcoming quarters, despite the current disconnect between intrinsic value and market valuation [8][9] - The company expects to maintain a clean capital structure with no debt and does not intend to raise capital in the foreseeable future [21][22] Other Important Information - The company’s cash and equivalent position as of September 30, 2024, was approximately $1.4 million, with an additional $0.9 million in accounts receivable [21] - The company anticipates that the transformation and positive developments achieved recently will not yet be reflected in its stock price [9] Q&A Session Summary Question: Discussion on operating expense level - Management confirmed that the current operating expense is under $1 million per month, which includes cost savings related to QReal [26][27] Question: Customer opportunities and industry diversity - Management noted that many customers are approaching the company with needs, indicating a strong network of relationships and potential for future growth [28][29] Question: Software license revenue segment - Management indicated that the recent doubling of software license revenue is expected to be a more durable figure moving forward, with potential for growth as contracts expand [32][34] Question: Government contracts and budgetary processes - Management clarified that government contracts are tied to the upcoming budgetary process, with expectations for approvals early in 2025 [36]

Revenue Performance - Q1 FY '25 revenue was approximately $2.44 million, a 44% increase from Q4 FY '24 but a 21% decrease from Q1 FY '24[1][2] - The company expects average quarterly revenue to exceed $3 million in the next three quarters, with total FY '25 revenue projected between $11-12 million, representing a 25-35% increase from FY '24[2] Gross Margin and EBITDA - Gross Margin for Q1 FY '25 was approximately 79%, up from 62% in Q1 FY '24, driven by increased Spatial Core revenues[3] - Adjusted EBITDA loss for Q1 FY '25 was approximately $0.46 million, an improvement from a loss of approximately $1.29 million in Q1 FY '24[3] - Adjusted EBITDA loss improved to $(0.46) from $(1.29) year-over-year, showing a reduction in operational losses[26] Cash Flow and Expenses - The company's cash operating expense base is now less than $1.0 million per month, with expectations of generating positive cash flow in the remaining quarters[4] - Cash used in operating activities was $(425,045), a decrease from $(1,683,217) in the previous year, indicating improved cash flow management[25] - Cash and cash equivalents at the end of the period were $1,413,794, down from $3,928,836, a decline of 64.0%[25] Contracts and Divestitures - The company secured several multi-million dollar contracts in Spatial Computing, with an aggregate short-term value of $5-10 million expected[6] - The divestiture of QReal is projected to create approximately $4.0 million in net cash value over two years, including annual cash expense savings of $1.2 to $1.5 million[11] Financial Position - As of September 30, 2024, the company had approximately $1.4 million in cash and equivalents, along with $0.9 million in accounts receivable[4] - The company maintains a clean capital structure with no debt and does not intend to raise capital in the foreseeable future[5] - Total assets as of September 30, 2024, were approximately $15.17 million, a decrease from $15.56 million as of June 30, 2024[21] Operating Expenses and Losses - Total operating expenses increased to $2,957,969 from $2,094,090, representing a 41.2% increase year-over-year[23] - Net loss for the period was $1,014,192 compared to a net loss of $119,443 in the previous year, indicating a significant increase in losses[24] - Basic and diluted net loss per share was $(0.06), compared to $(0.01) in the prior year[24] Share Count and Income - Weighted-average shares used to compute basic and diluted net loss per share increased to 18,164,217 from 14,730,386, reflecting a 23.5% increase in share count[24] - Interest income decreased to $20,711 from $51,276, a drop of 59.6% year-over-year[24] Research and Development - Research and development expenses decreased to $1,120,522 from $1,680,787, a reduction of 33.3%[23] Amortization and Depreciation - Total amortization and depreciation expenses were $155,594, down from $398,923, a decrease of 60.0%[25]

Glimpse Group, Inc. (NASDAQ:VRAR) Q3 2024 Earnings Conference Call May 15, 2024 4:30 PM ET Company Participants Lyron Bentovim - Chairman & CEO Maydan Rothblum - Co-Founder, CFO, COO, Secretary, Treasurer & Non Independent Director Conference Call Participants Operator Welcome to The Glimpse Group Quarter Three Fiscal Year 2024 Financial Results Webinar. [Operator Instructions]. As a reminder, this conference is being recorded. The earnings release that accompanies this call is available on the Investors se ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-40556 THE GLIMPSE GROUP, INC. (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporat ...

Exhibit 99.1 The Glimpse Group Reports Q3 Fiscal Year 2024 Financial Results NEW YORK, NY, May 15, 2024 — The Glimpse Group, Inc. ("Glimpse") (NASDAQ: VRAR, FSE: 9DR), a diversified Immersive Technology platform company providing enterprise-focused Virtual Reality ("VR"), Augmented Reality ("AR") and Spatial Computing software and services, provided financial results for its third quarter fiscal year 2024, ended March 31, 2024 ("Q3 FY'24"). Business Summary by President & CEO Lyron Bentovim ● Earlier today, ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended December 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ____ to ____ Commission File Number: 001-40556 THE GLIMPSE GROUP, INC. (Exact name of registrant as specified in its charter) Nevada 81-2958271 (State or o ...