The Glimpse (US:VRAR)2025-11-13 22:30Financial Data and Key Metrics Changes - Q1 fiscal year 2026 revenue was approximately $1.4 million, reflecting a 43% decrease compared to $2.4 million in Q1 fiscal year 2025, attributed to timing of Department of Defense contracts and U.S. government budgetary delays [18] - Gross margin for Q1 fiscal year 2026 was approximately 72%, up from approximately 68% for fiscal year 2025, with expectations to remain in the 65%-75% range [19] - Adjusted EBITDA loss for Q1 fiscal year 2026 was $0.92 million compared to a loss of $0.46 million in Q1 fiscal year 2025, indicating the impact of lower revenues [19] - Cash and equivalents as of September 30, 2025, were approximately $5.56 million, with an additional $0.66 million in accounts receivable, maintaining a clean capital structure with no debt [19] Business Line Data and Key Metrics Changes - Brightline Interactive made an initial successful delivery on a multi-million dollar annual SpatialCore contract with a Department of Defense entity, indicating progress in key contracts [13] - The AI software product, Fortel AI, is gaining traction in education and healthcare segments, with increasing enterprise interest and new licenses [14] Market Data and Key Metrics Changes - The company is closely monitoring the imposition of tariffs and has seen strong quoting activity as customers evaluate near-shore manufacturing strategies for North America and China [5] - Nortech operates under a Maquiladora structure, which reduces direct exposure to tariffs on goods produced in Mexico [8] Company Strategy and Development Direction - The immediate strategic focus is on the potential IPO spinoff of Brightline as an independent publicly traded company, expected to occur in the first half of calendar year 2026 [15] - The company is exploring value creation alternatives as a clean, healthy, NASDAQ-listed technology company, with a focus on growing the Fortel AI software licenses [16] Management's Comments on Operating Environment and Future Outlook - Management acknowledges the challenges posed by government shutdowns and budgetary delays but remains optimistic about contract materialization in 2026 [13] - The company expects continued growth in its business, particularly through the Fortel AI software licenses [21] Other Important Information - The company will not provide revenue guidance for the remainder of fiscal year 2026 due to the many moving parts currently in play [19] Q&A Session Summary Question: Are there any questions from the phone lines? - There were no questions from the phone lines [22] Question: Are there any questions submitted via the webcast? - There were no questions submitted via the webcast [24]