zSpace Inc(US:ZSPC)2026-03-30 21:30Revenue Performance - Fourth quarter 2025 revenue was $4.8 million, down from $8.5 million in Q4 2024, while full year revenue decreased to $27.9 million from $38.1 million in 2024[4]. - Bookings in Q4 2025 were $3.4 million, down 21% year-over-year, while full year bookings totaled $26.1 million, a decrease of 34%[8]. Profitability and Loss - Net loss for Q4 2025 was ($7.3) million compared to ($3.6) million in Q4 2024, with a full year net loss of ($25.4) million versus ($20.8) million in 2024[10]. - Operating expenses in Q4 2025 were $6.5 million, up from $5.9 million in Q4 2024, with full year operating expenses at $28.3 million compared to $25.5 million in 2024[9]. Revenue Composition - Software and services accounted for 53% of revenue in Q4 2025, up from 43% in Q4 2024, contributing to a gross margin increase of 840 basis points to 49%[4][7]. - Annualized Contract Value (ACV) of renewable software at December 31, 2025, was $9.9 million, representing a 12% decrease year-over-year[7]. - Net Dollar Revenue Retention (NDRR) was 71% for customers with over $50,000 of ACV as of December 31, 2025, compared to the same customers a year prior[8]. Strategic Initiatives - zSpace launched the zStylus One on November 18, 2025, enhancing AR deployment capabilities across its product lines[4]. - The company completed a strategic restructuring initiative on December 11, 2025, reducing operating expenses by over 30%[4][5]. - zSpace announced a $3 million strategic investment from Planet One Education on January 29, 2026, aimed at enhancing liquidity and supporting international collaboration[12].