Glimpse Group, Inc. Q3 FY2025 earnings call

• The company continued strong momentum from the previous quarter with Spatial Core's traction in DoD and enterprise segments.
• Second consecutive quarter of positive cash flow from operations due to reorganization and cost control efforts.
• Spatial Core developments: Brightline to deliver $4+ million DoD contract, first full motion immersive simulator system delivered to U.S. Navy, new seven-figure Spatial Core deal received.
• Other segments performing well: Fortell Reality, Sector 5 Digital, Glimpse Lenses, Glimpse Learning all had positive developments.
• Mentioned potential utilization of $2 million common share buyback plan if circumstances warrant.

In Q3 Fiscal Year 2025, revenue was approximately $1.4 million, a 25% decrease compared to Q3 Fiscal Year 2024's ~$1.9 million. Spatial Core, led by Brightline Interactive, is a key growth driver. Brightline is expected to deliver a $4+ million DoD contract this month, successfully delivered a full motion immersive simulator system to the U.S. Navy, and received a new seven-figure Spatial Core deal. Other segments: Fortell Reality had AI-driven immersive training contracts, Sector 5 Digital had agreements with Halliburton, Ecolab, etc., Glimpse Lenses' Snap revenues grew, and Glimpse Learning had software license contracts in healthcare and education.

• Q4 Fiscal Year 2025 revenues expected $3.2 million to $3.8 million and profitable.
• FY2025 revenues expected $10 million to $11 million, a 15%-25% increase.
• Going forward gross margin expected 55%-75%.
• Q4 FY2025 EBITDA expected positive due to higher revenue.
• FY2025 adjusted EBITDA less negative than FY2024.

• U.S. government's continuing resolution and lack of federal budget for 2025 delayed potential awarding of multiple government and DoD opportunities.
• Sharp disconnect between intrinsic value and current public company valuation, both standalone and versus comps.

Q: I am not showing any questions from the phone lines at this moment. We'll turn into some write-in questions, if available.

A: There does not seem to be any questions out there, so I thank everyone for joining our conference call. We will continue to update you on our ongoing progress and growth. If we were unable to answer any of your questions, please reach out to us directly.