The Glimpse (US:VRAR)2025-02-13 13:30Revenue 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].