Core Insights - zSpace, Inc. reported its financial results for Q4 and the full year 2025, highlighting a strategic focus on software and services, which now comprise 53% of revenue, up from 43% a year ago, contributing to a gross margin expansion of over 840 basis points [2][4][6]. Financial Performance - Q4 2025 revenue was $4.8 million, down from $8.5 million in Q4 2024, while full year 2025 revenue totaled $27.9 million compared to $38.1 million in 2024, primarily due to a freeze in orders and shipments during the U.S. Federal Government shutdown [4][6]. - Gross margin for Q4 2025 increased to 49% from 41% in Q4 2024, and for the full year, it rose to 48% from 41% in 2024, driven by improved hardware cost profiles and more company-owned software content [4][7]. - The net loss for Q4 2025 was ($7.3) million compared to ($3.6) million in Q4 2024, and the full year net loss was ($25.4) million versus ($20.8) million in 2024 [4][10]. Business Highlights - zSpace launched the zStylus One, an AI-enabled stylus, on November 18, 2025, enhancing AR deployment across its product lines [4]. - A strategic restructuring initiative completed on December 11, 2025, reduced operating expenses by over 30% [4]. - zSpace secured a $3 million strategic investment from Planet One Education on January 29, 2026, aimed at enhancing liquidity and supporting international collaboration [4]. - The company expanded its presence in Italy with new school deployments and training initiatives, gaining national visibility [4]. - On March 17, 2026, zSpace announced a $4.3 million senior secured convertible note to enhance working capital and support corporate purposes [4]. Key Metrics - Annualized Contract Value (ACV) of renewable software as of December 31, 2025, was $9.9 million, a 12% decrease year-over-year [7]. - Net Dollar Revenue Retention (NDRR) for customers with over $50,000 of ACV was 71% as of December 31, 2025 [8]. - Bookings in Q4 2025 were $3.4 million, down 21% year-over-year, while full year bookings were $26.1 million, down 34% year-over-year [8]. Balance Sheet - As of December 31, 2025, zSpace had approximately $1.0 million in cash and cash equivalents, down from $4.9 million a year earlier [11]. - Total liabilities increased to $30.1 million from $28.2 million in 2024, with stockholders' deficit growing to ($22.5) million from ($14.7) million [11][23].

Core Insights - zSpace, Inc. is enhancing career exploration and Career Technical Education (CTE) pathways through immersive AR/VR technology at Mayfair High School [1][6][14] Group 1: Implementation of AR/VR Technology - Mayfair High School has established a 36-station zSpace Inspire AR/VR laptop lab for interactive learning [2] - The lab serves as a central hub for teachers to facilitate career exploration through immersive 3D experiences [2][4] - Students engage in hands-on activities across various subjects, including health science, biology, and construction [7][10] Group 2: Educational Impact - The immersive platform allows students to visualize complex concepts and connect classroom learning to real-world applications [3][6] - Students can examine human anatomy and investigate biological processes through interactive 3D models [7] - The hands-on approach fosters academic understanding and awareness of high-demand career pathways [7][13] Group 3: Role of Technology Technician - The CTE Technology Technician, Javier Beanes, plays a crucial role in integrating immersive technology into lessons and promoting innovation [8][9] - Beanes collaborates with educators to enhance student learning through AR, VR, and AI tools [8] - His leadership demonstrates how school technicians can drive the adoption of emerging technologies across multiple subjects [9] Group 4: Future Directions and Conferences - Beanes will present the immersive learning model at the CUE Conference, sharing strategies for scaling immersive technologies [11][12] - The conference will provide educators with opportunities to experience zSpace technology firsthand [12] - The initiative aims to prepare students for future careers by expanding access to real-world skills and industries [13][14]

Core Viewpoint - zSpace, Inc. has issued an additional $4,301,075 senior secured convertible note to strengthen its capital structure and support working capital needs [1][3]. Group 1: Financing Details - The additional note was issued on March 16, 2026, as part of a previously announced financing agreement that began on April 10, 2025, which included an initial note of $13,978,495 [2]. - The newly issued note is convertible into shares of the company's common stock [2]. Group 2: Use of Proceeds - zSpace plans to use the net proceeds from the additional note to repay outstanding debt, enhance working capital, and support general corporate purposes [3]. Group 3: Company Overview - zSpace, Inc. provides augmented and virtual reality solutions aimed at improving STEM, CTE, and career readiness programs, serving over 3,500 educational institutions [4]. - The company holds more than 80 patents and has research validating the impact of its technologies on student knowledge gains [4].

Core Insights - zSpace plans to release its financial results for Q4 and the full year ended December 31, 2025, on March 30, 2026, after market close [1] - A conference call will be held on the same day at 5:00 p.m. ET / 2:00 p.m. PT, featuring the CEO and CFO [2] Company Overview - zSpace, Inc. is a provider of AR/VR solutions aimed at enhancing education, particularly in STEM, CTE, and career readiness programs [3] - The company is trusted by over 3,500 educational institutions, including school districts and universities, and focuses on hands-on learning experiences [3] - zSpace holds more than 80 patents and has research validating the effectiveness of its technologies on student knowledge gains [3]

Core Insights - zSpace, Inc. has partnered with Eight Million Stories, Inc. to provide immersive AR/VR technology aimed at helping formerly incarcerated and disconnected youth close academic gaps and explore career pathways [1][3][4] Company Overview - zSpace, Inc. is a leading provider of augmented and virtual reality solutions for education, focusing on enhancing student engagement and outcomes through hands-on learning experiences [1][10] - Eight Million Stories, Inc. is a nonprofit organization established in 2017, dedicated to serving students who have faced incarceration or disengagement from traditional schooling [2][8] Educational Impact - The partnership utilizes zSpace's headset-free AR/VR platform to expose students to various career pathways, including healthcare, automotive technology, and gaming, thereby fostering critical thinking and real-world connections [3][6] - Eight Million Stories combines personalized instruction with immersive technology to create individualized learning pathways, enabling students to explore multiple industries within a week [5][9] Goals and Objectives - The collaboration aims to close academic skill gaps, increase career awareness, improve student engagement, and support successful reintegration into education and employment pathways [9][7] - The organization emphasizes the importance of access to high-quality educational tools as a means to break cycles of generational poverty and justice involvement [6][4]

Core Insights - zSpace, Inc. is showcasing its impact in Italy through classroom implementation, educator partnerships, and university research, emphasizing the effectiveness of experiential learning in enhancing understanding and technical skills [1] Group 1: Classroom Implementation - zSpace has been implemented at I.C. Carducci–Trezza in Cava de' Tirreni, marking it as the first school in the district to adopt zSpace technology [2] - A mathematics lesson using 22 zSpace Inspire AR/VR workstations demonstrated high levels of student participation and understanding, highlighting the benefits of immersive visualization in learning complex subjects [3] Group 2: Educator-Led Training - zSpace is expanding through educator-led training initiatives in Italian lower secondary schools, with courses focused on augmented reality and 3D modeling [4] - Educator Marco Pisano noted that zSpace fosters creativity and active learning, aligning with modern STEM education goals [6] Group 3: Partnerships and Support - The expansion of zSpace in Italy is supported by L'ABCD Edutainment, a long-term partner that has facilitated the introduction and scaling of zSpace solutions across various educational sectors since 2017 [7][8] Group 4: Research and Recognition - A research study led by Ing. Raffaele Palladino is examining zSpace's effectiveness in maintenance operator training and workplace safety education, showcasing the platform's strengths [9] - zSpace received national visibility during a visit by the President of Italy to the University of Naples Federico II, where its technology was featured in an advanced educational setting [10] Group 5: Bridging Education and Training - zSpace's initiatives illustrate its role in connecting K–12 education, professional training, and academic research, enabling learners to explore complex systems through immersive technology [11] - CEO Paul Kellengerber emphasized the versatility of zSpace in engaging students and supporting advanced training, demonstrating the scalability of immersive learning across education and workforce development [12] Group 6: Company Overview - zSpace, Inc. provides innovative AR/VR experiences aimed at improving engagement and outcomes in STEM and career readiness programs, trusted by over 3,500 educational institutions [13]

Core Insights - zSpace, Inc. is expanding its Career and Technical Education (CTE) application suite, showcasing new applications in various fields at the ACTE CareerTech VISION event [1][2] - The introduction of the zStylus One enhances the precision of AR learning experiences, supporting hands-on practice across multiple disciplines [7][8] Automotive Technology - The automotive pathway now includes applications focused on electric, hybrid, and heavy vehicle systems, emphasizing high-voltage safety and battery diagnostics [3] - Educators are transforming traditional automotive labs into immersive environments, allowing students to engage with complex systems before working on actual vehicles [4] Health Science - The health science suite features new applications such as Medical Assistant Skills, Virtual ECG for hands-on practice, and BodyViz for interactive anatomy experiences [4] Advanced Manufacturing and Robotics - New simulations in advanced manufacturing and robotics provide students with realistic experiences in materials, tools, automation, and safety, building confidence for real lab environments [5] Career Exploration - The Career Explorer application enables students to investigate high-demand career fields and understand the skills required for various jobs, linking classroom concepts to real-world applications [6] zStylus One - The zStylus One is designed to enhance CTE learning applications with advanced sensors and machine learning, facilitating realistic practice in various technical fields [7] Future of CTE - The CEO of zSpace emphasizes the need for accessible technology in CTE programs that reflects industry standards, aiming to prepare students for high-demand technical careers [8] Company Overview - zSpace, Inc. specializes in AR/VR experiences that enhance STEM and CTE programs, trusted by over 3,500 educational institutions [9]

Core Insights - zSpace, Inc. has enhanced the Dental Assistant Program at the Greater Altoona Career & Technology Center (GACTC) through its AR/VR technology, improving students' understanding of dental anatomy and clinical readiness [1][11] The Challenge - Dental Assisting students at GACTC required a more effective method to comprehend complex dental anatomy beyond what traditional typodonts and textbooks could offer [2] - Traditional tools failed to reveal internal structures such as roots and layers, limiting students' understanding [2] The Solution: zSpace AR/VR for Dental Assisting - GACTC implemented the zSpace Inspire 2, a headset-free AR/VR laptop, enabling students to explore realistic 3D dental models and examine structures not accessible through physical tools [4] A New Level of Understanding - Students reported that zSpace significantly improved their comprehension of dental anatomy, allowing them to visualize and interact with structures like roots that typodonts could not provide [5][6] Support for All Learners - zSpace technology supports diverse learners by allowing them to practice at their own pace, repeat exercises as needed, and build confidence before entering clinical settings [7] Stronger Engagement and Skill Readiness - The use of zSpace has led to increased student engagement and interest, with students eager to explore content more deeply than traditional methods allowed [9][11] - The technology has improved retention and confidence, enabling students to practice skills independently and efficiently [10][11] Results - GACTC students are gaining a clearer understanding of dental structures, practicing skills more independently, and entering clinical environments with increased confidence due to the immersive technology [11]

Core Insights - zSpace, Inc. has launched "Precision Measurement," an immersive AR/VR training application aimed at enhancing Career and Technical Education (CTE) programs in manufacturing, machining, and quality assurance [1][5]. Group 1: Product Features - Precision Measurement allows learners to explore measurement concepts and interact with precision tools through hands-on simulations, revolutionizing student engagement with geometric tolerances and mechanical processing fundamentals [2][3]. - The application provides realistic 3D simulations where students can use virtual measuring instruments, evaluate tolerances, and detect errors in real time, creating a safe and engaging learning environment [3][6]. - It is designed for high school and postsecondary CTE programs, offering a scalable and cost-effective alternative to expensive physical equipment [5]. Group 2: Educational Impact - The application enables students to gain hands-on experience in geometric tolerances, precision tools, and error detection, building confidence and accuracy in real-world inspection tasks [6]. - Educators can utilize the application to reinforce lessons, assess student progress, and align learning outcomes with real-world technical standards and certifications [5][6]. Group 3: Market Position and Future Events - Precision Measurement is part of zSpace's expanding portfolio of immersive CTE applications that support pathways in Advanced Manufacturing, Automotive Technology, Health Science, and Engineering, helping schools meet industry demands [7]. - zSpace will showcase Precision Measurement and its full portfolio at ACTE's CareerTech VISION on December 10-11, 2025, in Nashville, Tennessee [8].

Core Insights - zSpace, Inc. is introducing its immersive AR/VR technology to Hopi Day School in Arizona, aiming to enhance STEM education for rural students [1][2] - The initiative focuses on providing hands-on learning experiences that were previously inaccessible due to geographic and technological barriers [2][6] Company Overview - zSpace, Inc. specializes in augmented and virtual reality solutions for education, with a strong presence in over 3,500 educational institutions [7] - The company holds over 70 patents and emphasizes "learning by doing" to improve student engagement and academic performance [7][8] Educational Impact - The integration of zSpace Imagine AR/VR laptops allows students to engage in various STEM activities, such as virtual dissections and engineering simulations, without the need for specialized equipment [5][6] - The program aims to foster curiosity and career readiness among students, particularly in underserved communities [3][6] Community Engagement - Hopi Day School's initiative is part of a broader effort to provide equitable educational opportunities in Native American schools, following successful implementations in other districts [6] - The school aims to create an active, student-led learning environment that connects students with real-world applications of STEM [6][7]