The Glimpse (VRAR) - 2026 Q2 - Quarterly Results

Financial Performance - Q2 FY '26 revenue was approximately $1.30 million, a 59% decrease from $3.17 million in Q2 FY '25 and a 7% decrease from $1.40 million in Q1 FY '26[11] - Adjusted EBITDA loss for Q2 FY '26 was -$0.89 million, compared to a gain of $0.28 million in Q2 FY '25, reflecting the revenue decline[11] - The company reported a net loss of $1.23 million for Q2 FY '26, compared to a net income of $0.03 million in Q2 FY '25[18] - For the six months ended December 31, 2025, the net loss was $2.26 million, compared to a net loss of $0.98 million for the same period in 2024, representing a 130% increase in losses[20] - Adjusted EBITDA for the six months ended December 31, 2025, was a loss of $1.83 million, compared to a loss of $0.17 million for the same period in 2024, indicating a significant decline in performance[21] Cash and Assets - The company's cash and equivalents as of December 31, 2025, were approximately $3.34 million, with an additional $0.56 million in accounts receivable[11] - Total current assets decreased from $8.17 million as of June 30, 2025, to $4.91 million as of December 31, 2025[16] - Cash and cash equivalents at the end of the period were $3.34 million, down from $8.45 million at the end of the same period in 2024, showing a decline of 60%[20] - Cash used in operating activities for the six months ended December 31, 2025, was $2.03 million, compared to $0.25 million for the same period in 2024, reflecting an increase in cash outflow[20] - The company experienced a significant change in accounts receivable, with an increase of $0.28 million for the six months ended December 31, 2025, compared to a decrease of $0.67 million in 2024[20] Liabilities and Expenses - Total liabilities decreased from $2.34 million as of June 30, 2025, to $0.77 million as of December 31, 2025[16] - Stock-based compensation expenses for the six months ended December 31, 2025, were $0.57 million, compared to $0.41 million in 2024, representing a 39% increase[21] - The company incurred a payment of $1.5 million for contingent consideration related to acquisitions during the six months ended December 31, 2025[20] - The depreciation and amortization expense for the six months ended December 31, 2025, was $0.08 million, down from $0.27 million in 2024, indicating a reduction in asset depreciation[21] Strategic Initiatives - The company is pursuing a potential IPO for Brightline Interactive (BLI) in the first half of CY '26, having filed a confidential S1 registration statement with the SEC[6] - The strategic realignment process includes optimizing immersive businesses and leveraging assets to create shareholder value outside the immersive segment[6] - The company plans to change its ticker symbol to "GGRP" from "VRAR" by the end of February 2026[7] Other Financial Highlights - The company reported a net gain on divestiture of subsidiaries of $1.4 million in 2024, which was not repeated in 2025, impacting overall financial performance[20]