Full Year 2024 The Glimpse Group Inc Earnings Call
Speaker Change: [inaudible]
Operator: Please continue to hold, ladies and gentlemen. Your conference will begin in a couple of minutes. Please continue to hold.
Speaker Change: Please continue to hold ladies and gentlemen, your conference will begin in a couple of minutes. Please continue to hold your conference will begin momentarily.
Operator: Your conference will begin momentarily. Thank you. .
Speaker Change: Thank you.
Speaker Change: [inaudible]
Speaker Change: [inaudible]
Speaker Change: Welcome to the Glims Group, fiscal year 2024 financial results webinar. At this time, all participants are an illicit only mode. A question and answer session will follow the formal presentation. As a reminder, this conference is being recorded.
Operator: The earnings release that accompanies this call is available on the Investors section of the company's website at httbscolon-fourthslash-fourthslash-ir.glimpsegroup.com-fourthslash.
Speaker Change: The Earnings release that accompanies this call is available on the investor's section of the company's website at httpscoinvordslash.comvordslash.
Lyron Bentovim: Before we begin the formal presentation, I'd like to remind everyone that statements made on today's call and webcast, including those regarding future financial results and industry prospects, are forward-looking and may be subject to a number of risks and uncertainties that could cause actual results to differ materially from those described in the call. Please refer to the company's regulatory filings for a list of associated risks, and we would also refer you to the company's website for more supporting industry information.
Speaker Change: Before we begin the formal presentation, I'd like to remind everyone that statements made on today's call and webcast including those regarding future financial results and industry prospects are forward-looking and may be subject to a number of risk and uncertainties that could cause actual results to differ materially from those described in the call.
Speaker Change: Please refer to the company's regulatory filings for a list of associated risks, and we would also refer you to the company's website for more supporting industry information.
Lyron Bentovim: I would now like to hand the call over to Lyron Bentovim, President and CEO of the Glimpse Group.
Speaker Change: I would now like to hand the call over to Lyron.
Speaker Change: President and CEO of the Glenn Scroope.
Lyron Bentovim: Lyron, the floor is yours.
Lyron Bentovim: Thank you, everyone, for joining us. I am pleased to welcome you to the Glimpse Group's fiscal year of 2024 financial results investor call for a year ended June 30th, 2024. During this fiscal year, we made significant stride in our strategic transition to focus on providing enterprise scale, spatial computing, cloud and AI driven, immersive recurring software solutions or spatial core as you were referred to internally, led by our subsidiary company Brightline Interactive. In August 2024, Brightline's General Manager, Tyler Davis, gave a detailed webinar on Spatial Core. If you are interested in the topic, I strongly recommend that you listen to the webinar; the link for which can be found on our IR website.
Lyron: Lyron, the floor's yours.
Lyron: Thank you, everyone for joining us.
Speaker Change: and please do welcome us at the Williams Group's fiscal year 2024 financial results in best or cold. For a year ended June 30th, 2024.
Speaker Change: During this fiscal year, we made significant strides in our strategic transition to focus on providing enterprise scale, spatial computing, cloud, and AI driven immersive recurring software solutions.
Speaker Change: or spatial core as you refer to it internally, laid by our subsidiary company Brighton directed.
Speaker Change: In August 2024, Brighton's General Manager tolerates, gave a detailed webinar on spatial core. If you are interested in the topic, I strongly recommend that you listen to the webinar, the link for which you can be found on our IR website.
Lyron Bentovim: Some examples of spatial core traction include, find a full plus and a million lower 12 month contract with a Department of Defense entity for a spatial computing ecosystem integrating AI workflows and accelerated compute for a variety of defense use cases. We entered into a cooperative research and development agreement with the US Army Combat Capabilities Development Command Control Communications Computers Fiber Intelligence Surveillance and Reconnaissance Center to develop, assess and improve workflows to create an augment synthetic imagery for use in training and assessing AI and machine learning algorithms. Extended partnership with a Fortune 500 government systems integrator for VR training in digital twin environments to a key US government agency with over 44,000 employees on a mid six-figure contract.
Speaker Change: Some examples of special core traction include, find a full plus a million more.
Speaker Change: 12 month contract with a department of defense entity for a special computing ecosystem integrating AI workflows and accelerated compute for a variety of defense use cases.
Speaker Change: We entered into a cooperative research and development agreement, Krayba, with the U.S. Army combat capabilities development command.
Speaker Change: Control Communications, Computers, Fiverr, Intelligence, Surveillance and Reconson Thunder To develop, assess and improve workflows to create and arguing synthetic imagery For use in training and assessing AI and machine learning algorithms
Speaker Change: Extended partnerships with a Fortune 500 government systems integrator for VR training in digital twin environments, to a CUS government agency with over 44,000 employees on a mid-6th-finger contract.
Lyron Bentovim: Brightline, CISUM, and NVIDIA teamed up at the Geospatial Intelligence Symposium in 2024 to introduce Briceline Spatial Core, which uses AI workflows for completeness. We successfully completed the cooperative research and development agreement with the US Naval Surface Warfare Center, Dalgrin Division, for the adaptation of immersive technology. We completed a contract to support a major immersive technology hardware provider to accelerate their computing interfaces into GPU and a most cloud with streaming and visualization capabilities. We are at an advanced process of securing several additional multimillion-dollar spatial core contracts with multiple government, DOD, and large enterprise customers. The short-term aggregate value for these contracts is in the 5-10 million dollar range.
Speaker Change: Brightline, Season & End video.
Speaker Change: Tindaf at the geospatial intelligence symposium 2024 to introduce Bryce Lyon.
Speaker Change: Special Corps, which uses AR workvots for complets, computation on top of real-life data sets, enabling powerful real-time massive data driven digital tool and simulation applications.
Speaker Change: We successfully completed the cooperative research and development agreed to create up with the U.S. Naval Service Warford Center, Dahlgren, Division for that adaptation of immersive technologies.
Speaker Change: We completed a contract to support a major immersive technology hardware provider to accelerate their computing interfaces into GPU and a most cloud with streaming and visualization capabilities.
Speaker Change: We are at an advanced process of securing several additional multi-million dollar spatial core contracts with multiple government, DOD and large enterprise customers.
Speaker Change: The short term aggregate value for these contracts is in the five to ten million dollar range.
Lyron Bentovim: While there is no guarantee that some or all of these will come to fruition, we anticipate that, subject to government annual budgeting timing. A good portion of these will be signed before year and 2024, with additional potential contract signings in calendar year 2025. Each of these potential contracts has significant growth elements built into them that could lead to significant annual recurring software revenue once their original contract has been successfully performed.
Speaker Change: While there is no guarantee that some or all of these will come to fruition.
Speaker Change: We anticipate that, subject to government annual budgeting timing.
Speaker Change: A good portion of this will be found before year and 2024.
Speaker Change: With additional potential contract signings in calendar year 2025.
Speaker Change: Each of these potential contracts has significant growth elements built into them that's could lead to significant annual recurring sufferer revenue once the original contract have been successfully deployed.
Lyron Bentovim: While spatial core is our strategic focus and growth engine, our other Glimpse entities, Curial, Spectrified Visual, Fortale Reality, and Glimpse Learning continue to generate meaningful enterprise revenues and positive momentum. Some recent examples include Glimpse Learning entered into a two-year, mid-six-figure contract with the College of Staten Island CUNY, technology incubator for the design, deployment, and integration of a suite of immersive technologies in its new innovation hub. This is a cross-glimpse project with a significant software-lifeness component. Fortale Reality entered into a six-figure partnership with a large university to develop an AI-driven VR training system, enabling students and trainees to learn various professional skills through conversation-centric simulations with an AI-based avatar in different immersive settings.
Speaker Change: Well, Special Court is our strategic focus and growth engine. Our other glimpse entities, curial, electrified visual, fortail reality and game slurling, continue to generate meaningful enterprise revenues in positive momentum.
Speaker Change: Some recent examples include, glimpse learning enters into a two-year mid-six-figure contract with the College of State Nylon to CUNY, technology incubator for the design, deployment, and integration of a suite of immersive technologies, and it's new innovation
Speaker Change: This is a cross glimpse project with a significant software-likeness component.
Speaker Change: Porto reality entered into a six-figure partnership with a large university to develop an AI-driven VR training system enabling students and training to learn various professional skills through conversation center simulations.
Speaker Change: with an AI-based avatar in different immersive settings.
Lyron Bentovim: In recent months, Curial has seen an increase in its revenues with SNAP for AI-3D models and lenses. Spectrified Visual entered into a six-figure engagement with one of the world's largest architectural firms to visualize an AR, the new business campus of a multinational retail company. Looking forward, we expect overall revenues to be significantly higher in the coming months and quarters based on signed contracts in our advanced revenue pipeline. We also expect to be cash flow positive and increase our cash balance between now and year-end 2024 and beyond, without the need for a capital raise.
Speaker Change: In recent months, Curio has seen an increase in its revenues with snacks for AR-3D models and lenses.
Speaker Change: Certified Digital.
Speaker Change: entered into a six-figure engagement with one of the world's largest architectural firms to visualise an AR, the new business campus of multinational retail company.
Speaker Change: Looking forward, we expect overall revenues to be significantly higher in the coming market and quarters, based on signed contracts in our advanced revenue pipeline.
Speaker Change: We also expect to be cash flow positive and increase our cash balance between now and year end 2024 and beyond.
Lyron Bentovim: These developments, significant traction, and are positioning at the intersection of spatial computing, AI, and cloud are not currently reflected in our public company valuation, which has come under significant and consistent pressure. As our result of that, on September 3rd, 2024, the company received a letter from Nasdaq notifying the company that it no longer met the minimum bid price requirements for continued listing of a dollar. We have until March 3rd, 2025, to cure this deficiency, and if it's not cured by then, the company can apply for an additional 180-day extension to cure. to approximately September of 2025.
Speaker Change: Without the means for a capital race.
Speaker Change: These developments, significant traction and our positioning at the intersection of station computing, AI and cloud are not currently reflected in our public company valuation, which has come under significant and consistent pressure.
Speaker Change: As our results have dealt, on September 3, 2024, the company received a letter from Nasdaq, notifying the company that no longer met the minimum big price requirement for continued listing of a dollar.
Speaker Change: We have until March 3rd, 2025, to cure this deficiency, and if not cured by them, the company can apply for an additional 180-day extension to cure.
Lyron Bentovim: In order to regain compliance with NASDAQ, the company may consider various potential measures to resolve the deficiency, such as leveraging unutilized share buy-back pool inside a buying and press releases announcing significant business developments when it's those materialized. Such measures, if any are taken, may help hear the deficiency in due time. The company is not considering a reverse stock fleet of this time, a position that may change in the future. In life of special course AI and cloud-driven revenues with large DOD entities, our strong pipeline of revenues and our expectations to generate positive cash flows going forward.
Speaker Change: to approximately September of 2024.
Speaker Change: In order to regain compliance with NASBEC, the company may consider various potential measures to resolve a deficiency.
Speaker Change: That shows neverting its unusualized survival act pool inside of buying and press releases and mounting significant business developments when if those materialize.
Speaker Change: Such measures, if any or taken, may help cure the deficiency in due time.
Speaker Change: The company is not considering a reverse stock police at this time, a position that may change in the future.
Speaker Change: In life of special course AI and cloud-driven revenues, with large DOD entities, our strong pipeline of revenues and our expectations to generate positive cash flow is going forward.
Lyron Bentovim: We believe that there is a sharp disconnect between our intrinsic value and our current public company valuation.
Speaker Change: We believe that there is a sharp disconnect between our intrinsic value and our current public company valuation. As such, the board of directors of the company is exploring strategic options to maximize your whole value.
Lyron Bentovim: As such, the board of directors of the company is exploring strategic options to maximize shareholder value.
Maydan Rothblum: With that, I will now turn it over to Maydan Rothblum, Glimpse Group's CFO and COO, to review the financial results.
Speaker Change: With that, I will now turn it over to Maydan Rothblum, Klimpsen CFO and CLO to review the financial results. Maydan.
Maydan Rothblum: Maydan?
Maydan Rothblum: Thanks, Lyron. I will limit my portion to a summary review of our financial results. A full breakdown is available in our 10-K and press release that were filed after market closed today. Please note that I'll refer to adjusted EBITDA and other non-GAAP measures. For the calculation of adjusted EBITDA and other non-CASH measures, please refer to the MD&A section of our 10-K filing, which you can find on our website under SEC filings.
Maydan Rothblum: Thank you, Lyron. I will limit my portion to a summary review of our financial results. A full breakdown is available in our 10K, and press release that will file after market closed today.
Speaker Change: Please note that I'll refer to adjusted even thought in other non-gap measures.
Speaker Change: for the calculation of adjusted EVIDA and other non-cash measures. Please refer to the MTA section of our 10K filing, which you can find on our website under SEC filings.
Maydan Rothblum: fiscal year 24 revenue of approximately 8.8 million, a 35% decrease compared to fiscal year 23 revenue of approximately 13.5 million. Revenue for Q4 fiscal year 24, that's the quarter ending June 24, was approximately 1.7 million, a 41% decrease compared to Q4 fiscal 23 revenue of approximately 2.9 million. The decrease in revenue was primarily driven by one, our strategic shift to spatial core, which led to a turnover in our legacy customer base, which was more immersive marketing oriented. Two, a consolidation and divestiture of several of our entities. And three, a general slowdown in corporate disposable spending in general and in the immersive industry in particular.
Speaker Change: fiscal year 24 revenue of approximately 8.8 million, a 35% decrease compared to fiscal year 23 revenue of approximately 13.5 million.
Speaker Change: Revenue for Q4, fiscal year 24, that's the quarter ending June 24, with approximately 1.7 million, a 41% decrease compared to Q4, fiscal 23 revenue of approximately 2.9 million.
Speaker Change: The decrease in revenue was primarily driven by
Speaker Change: 1. Our strategic shift to spatial core, which led to a turnover in our legacy customer base, which was more immersive marketing oriented.
Speaker Change: 2, a consolidation and a vestiture of some of our enemies, and 3, a general slowdown and corporate disposable spending in general, and the immersive industry in particular.
Maydan Rothblum: Looking forward, we expect one, revenue for Q1 fiscal year 25, that's the quarter ending September 24, to be significantly higher than Q4 fiscal year 24. And two, revenue for Q2 fiscal year 25, that's the quarter ending December 24, and revenue for Q3 fiscal year 25, that's the quarter ending March 25, will each exceed $3 million per quarter. Gross margin for fiscal year 24 was approximately 67%, compared to 68% for fiscal year 23. We expect our gross margins to continue to remain in the 60-70% range. Adjusted EBITDA loss for Fiscal Year 24 was approximately 4.6 million, compared to an EBITDA loss of approximately 6.4 million in Fiscal Year 23.
Speaker Change: Looking forward, we expect one.
Speaker Change: Revenue for Q1 fiscal year, 25, that's the quarter ending September 24, to be significantly higher than fiscal year, and Q4 fiscal year, 24.
Speaker Change: and to revenue for...
Speaker Change: Q2, this way you're 25.
Speaker Change: That's the quarter ending December 24th and revenue for...
Speaker Change: Q3, 5th gear, 25th, that's the quarter ending March 25th.
Speaker Change: with each exceed three million dollars per quarter.
Speaker Change: Gross margin from fiscal year 24 was approximately.
Speaker Change: 67%
Speaker Change: Compared to 68% for 6 for fiscal year 23.
Speaker Change: We expect our growth margins to continue to remain in the 60-70% range.
Speaker Change: Adjusted EVETS ALOSS, a fiscal year 24, was approximately 4.6 million, compared to an EVETS ALOSS of approximately 6.4 million in fiscal year 23.
Maydan Rothblum: Our current cash operating expense base pre-revenue is approximately $1 million per month. Given our projected revenue for Q2 fiscal year 25 and Q3 fiscal year 25, we expect to generate positive cash flow in each of those two quarters based on existing contracts only and our current operating cash expense base. As of June 30, 2024, the company had cash equivalent of approximately $1.85 million and an additional $0.7 million in accounts receivable. We do not intend to raise capital in the foreseeable future, especially since we expect our operations to generate positive cash and add to our cash balance between now and year end 24.
Speaker Change: Our current cash operating expense base, pre-revenue, is approximately $1 million per month.
Speaker Change: Given our projected revenue for Q2 fiscal year 25 and Q3 fiscal year 25.
Speaker Change: We expect to generate positive cash flow in each of those two quarters based on existing contracts only and our current operating cash expense base.
Speaker Change: As of June 30th, 2024, the company had cash, the cash equivalent of approximately 1.85 million and an additional 0.7 million in accounts receivable.
Speaker Change: We do not intend to raise capital in the foreseeable future.
Speaker Change: Especially since we expect our operations to generate positive cash and answer a cash balance between now and year-end 24.
Maydan Rothblum: The company has no outstanding corporate debt or preferred equity applications.
Speaker Change: The company has no family corporate that will offer equity obligations.
Maydan Rothblum: I now like to pass it back to Lyron for some closing remarks, after which we will begin our question and answer session.
Speaker Change: I'd now like to pass it back to Lyron for some closing remarks after which we will begin our question and answer session.
Lyron Bentovim: Lyron, thank you very much. We have executed on the strategic transition plan we outlined in previous quarters and expect to increase revenue and cash profitability in the coming quarters. We continue to make strong strides in our special core business; however, in our view, our stock is extremely undervalued, and the assets we are in the process of exploring all potential options to unlock its value.
Maydan Rothblum: Thank you, Maydan.
Speaker Change: We have executed on the strategic transition plan we outline in previous quarters and expect to increase revenue and cash profitability in the coming quarters.
Speaker Change: We continue to make strong strides in our special cold business.
Speaker Change: However, in our view, our soft is extremely undervalued and the such rule and the process of exploring all potential options to unlock its value.
Lyron Bentovim: I thank you all for your interest in and support of the Beans Group, and now I'll turn the call back over to the operator to take some questions.
Speaker Change: I thank you all for your interest in and support all of the Williams Group and now I'll turn the call back over to the operator to take some questions.
Operator: Thank you, Lyron. If you'd like to submit a question, you can either type it in the chat box below or raise your hand by simply pressing star one on your touch-tone phone. Pressing star two will remove you from the queue. We'll start with any audio questions and follow that with some writing questions as time allows. One moment, please, while we pull for questions.
Speaker Change: Thank you Lyron.
Speaker Change: If you'd like to submit a question, you can either type it in the chat box below or raise your hand by simply pressing star one on your touch tone phone. Pressing star two will remove you from the queue. We'll start with any audio questions and follow that with some writing questions as time allows.
Speaker Change: 1 moment please while we pull for questions.
Speaker Change: 2nd of June, Maydan Rothblum, Maydan
Casey Ryan: Our first question comes from Casey Ryan with West Park.
Speaker Change: Our first question comes from K.C. Ryan with West Park, please proceed.
Casey Ryan: Lyron, made on Good afternoon. It's a very good transition quarter, yeah, thank you, and I think the outlook is fantastic on the revenue front.
Speaker Change: Good afternoon.
Speaker Change: It's a very good transition core. Yeah, thank you. And I think the outlook's fantastic on the revenue front. I want to ask a few questions about spatial computing. I think in terms of pursuing DOD opportunities.
Lyron Bentovim: I want to ask you questions about spatial computing. I think in terms of pursuing DOD opportunities, I think typically you guys are partnering with some other firms, and I'm just curious if there's one partner that you're leaning on in particular, or if you're working with multiple partners to secure different branches and different opportunities and different types of engagements.
Speaker Change: I think typically you guys are partnering with some other firms and I'm just curious that there's one partner that you're leaning on in particular or if you're working with multiple partners to secure different branches and different opportunities and different types of engagements.
Lyron Bentovim: So the answer that is we're working with multiple partners; we actually work directly with the variety of the end customers, and then based on the needs, we bring the partners in to work with us.
Speaker Change: So the answer that is we're working with multiple partners. We actually worked directly with the variety of the end customers and then based on the needs we bring the partners in to work with us.
Lyron Bentovim: Oh, I see. And typically, is the agency, whether it be Army, Navy, Air Force, or maybe some other government entity, do they have preferences for partners for you to bring in? Or do you guys have a lot of latitude with that? I guess in terms of recommending things. Many times it goes with their preferences. Okay, usually partners they've had history working with, but sometimes we come with the partner; sometimes they introduce us to the partner, which obviously opens up a lot of other opportunities that we were pursuing.
Speaker Change: Oh, I see. And typically, is the agency, whether it be Army Navy Air Force or maybe some other government entity, do they have preferences for partners for you to bring in? Or do you guys have a lot of latitude with that? I guess in terms of recommending things.
Speaker Change: Many times it goes with their preferences. Okay. As we usually partners, they've had history working with, but sometimes we come with the partner, sometimes they introduce us to the partner, which obviously opens up a lot of other opportunities that we're pursuing.
Lyron Bentovim: Well, yeah, so that was really where I was going with the question: was does getting these sort of new relationships, I guess, with these contracting partners. Expand the like top end of your funnel, essentially, first spatial computing. Absolutely.
Speaker Change: Well, yeah, so, so that was really where I was going with the question was
Speaker Change: Does getting these sort of new relationships, I guess, with these contracting partners.
Speaker Change: Expand the Lycopen to your funnel, essentially, for a spatial computing.
Casey Ryan: Okay, all right, terrific.
Casey Ryan: And then one question on the op-x, I think I sort of missed it. Maydan was explaining it clearly, but I think I was distracted. So the op-x was roughly 2.8, 2.9 for this quarter is what it looks like. Are you suggesting that that run rate is going to be similar or kind of even potentially lower, you know, per quarter moving forward? Maydan, do you want to fix that?
Speaker Change: Absolute Lift.
Speaker Change: All right terrific and then one question on the op-ax I think I sort of missed it made on was explaining it clearly but I think I was distracted.
Speaker Change: So the opx was roughly 2.8, 2.9, for this quarter is what it looks like. Are you suggesting that that run rate is going to be similar or potentially lower per quarter moving forward?
Maydan Rothblum: Yeah, now our cash expense operating base is around $3 million a year.
Speaker Change: and Lyron at the start.
Speaker Change: Yeah, our cash expense, operating base.
Maydan Rothblum: Okay, sorry. Now then, how far you have $3 million per quarter order. Again, there's, you know, a large degree those are variable expenses that we have, you know, we have good control over, given the growth of the business that we've been experiencing and expected. I think that that $3 million base of cash operating expense for quarter is a good assumption. Okay, terrific.
Speaker Change: I'm a variable of expenses. We have good control over, given the growth of the business that we've been experiencing and expected.
Speaker Change: This year is going forward. I think that's a $3 million base of cash operating expensive quarter is.
Casey Ryan: And then the last question, you're talking about strategic maybe alternatives and trying to unlock the value, and shares would certainly, you know, agree with you the shares are not where they should be, but. Tell me about, have you had any investors that maybe maybe maybe meaningful in the future in terms of getting equity interest in things that you've divested or. You know, tell me what's been happening with investors of sort of non-core pieces of your business. Yeah, so we've divested some, some of our businesses mostly hold both kind of equity position as well as other vehicles in those positions that might.
Speaker Change: Egoysonction.
Speaker Change: Okay, okay terrific and then the last question.
Speaker Change: You're talking about strategic maybe alternatives and trying to unlock the value and the shares would certainly agree with you the shares are not where they should be, but um
Speaker Change: Tell me about, have you had any divestasures that may be meaningful in the future in terms of getting equity and trust and things that you've divested are.
Speaker Change: You know, tell me what's been happening with divestious shows of sort of non-core pieces of your business.
Speaker Change: Yes, so we've devastated some of our businesses and obviously hold...
Speaker Change: both equity position as well as other vehicles in those positions that might in good scenarios.
Lyron Bentovim: In good scenarios, if those companies are successful, kind of both raising capital on their own and growing, will be coming for now. We're taking the conservative approach of basically valuing those as nothing on our balance. Okay, but it does have a potential down the road. If those companies are successful, we will be well rewarded. Yeah, well, and that was going to be my question: is sort of, where do we see that on the balance sheet? But you're saying that right now you guys are saying, hey look, these are kind of lottery tickets. We try to be conservative where we can be, the guidance of public accounting.
Speaker Change: If those companies are successful, kind of both raising capital on their own and growing.
Speaker Change: We are meaningful for now we are taking the conservative approach of this livolian those as nothing on our balance. But it has a potential down the road if those companies are successful we will be well-rewarded.
Speaker Change: Well, and that was going to be my question and sort of where do we see that on the balance sheet? But you're saying that right now you guys are saying, hey, look, these are kind of lottery tickets.
Speaker Change: We tried the process where we had the guidance of public accounting, so we had rather have them kind of basically kind of go on the public.
Lyron Bentovim: So, rather have them kind of basically kind of see there on the public kind of if you read the filings, you will see that kind of kind of some of those they vestuatures, but kind of we hold them at zero value on the balance sheet.
Speaker Change: Kind of you read the filing, you will see that kind of some of those investors but kind of we hold them at zero value on the boundaries.
Casey Ryan: Okay, and maybe for everyone's education, how many of those sort of opportunities are there, like have you done three or four or other 10? I'm just sort of curious about the number of opportunities without any insight into scale or necessarily where they are. We have two that are out there right now and potentially kind of might have a couple of more.
Speaker Change: Okay.
Speaker Change: and maybe for everyone's education, how many of those sort of...
Speaker Change: Opportunities are there, like have you done three or four or they're ten, I'm just sort of curious about the number of opportunities without any insight into scale or necessarily really. We have two that are out there right now and potentially kind of might have a couple of more.
Casey Ryan: Okay, terrific. Well, I'd look, I think that looks terrific, and obviously, you know, getting to a casual positive position here before the end of the year is really encouraging. So, good job, and I'll jump off and let others ask questions. Thank you.
Speaker Change: I'm going to download.
Speaker Change: Okay, terrific. Well, I'd look, I think the outlook's terrific and obviously, you know, getting to a cash flow positive position here before then the year is really encouraging. So, good job and um.
Speaker Change: and I'll jump off from what others ask questions. Thank you.
Darryl Zaint: The next question comes from Darryl Zaint, private investor. Darryl, please proceed. Well, you must have my name right. Hello, Laurent. Hello, Medan.
K.S.F.: Thank you, K.S.F.
K.S.F.: The next question comes from Darrell Vainth, Private Investor Darrell, please proceed.
Darrell Vainth: Will Yomaskap in the name right? Hello Lyron, hello Middan
Lyron Bentovim: My, oh, congratulations on the recent crowd announcement. I was wondering if you could provide any details on how significant a revenue-generating opportunity this could be. So, first of all, for those of you that don't know, create us are this relationship between a arm of the US government and a private entity kind of working together, usually to explore some potential. So, the credit itself does not have any financial elements in it, but a successful execution on the credo needs to kind of has obviously does the spring kind of positives in the credo. Obviously, a successful execution of this great that could lead to very significant.
Speaker Change: My, oh, congratulations on the recent crowd announcement. I was wondering if you could provide any details on how significant a revenue generating opportunity this could be.
Speaker Change: So, first of all, for those of you that don't know, create as our, this relationship, which will be a arm of the US government and a private entity, kind of working together, usually to explore some potential. So, the create itself does not have any...
Speaker Change: Financial Elements in it, but a successful execution on the creed out.
Speaker Change: Leeds to kind of have, obviously there's three kind of positives in the creator. One obviously is successful execution.
Lyron Bentovim: And I'm talking kind of multi-million lower opportunities that will open out from that.
Speaker Change: of the state that could lead to a very significant, and I'm talking kind of multi-knowing more opportunities that will open out from that. So that is obviously kind of the big excitement that the answer or their question.
Lyron Bentovim: So, that is obviously kind of the big excitement. That's the answer, Darryl, to your question. The second thing, kind of, that is critical is the fact that this pretty well established entity chose us to do the creative with, which is very significant. Both in terms of assuring us that we're on the right place, but also kind of serves as a kind of a sign for others of kind of our positioning in the marketplace. And the third is those great, as in addition to opening up those opportunities, which we talked about are pretty significant.
Speaker Change: The second thing that is critical is the fact that this pretty well-established entity chose us to do the creative with, which is very significant.
Speaker Change: Both in terms of assuring us that we're on the right place, but also kind of flares as a sign for others of kind of opposition in the marketplace.
Speaker Change: And the third is those great as in addition to opening up those opportunities which we talked about as our free significant.
Lyron Bentovim: Also, open up other opportunities as we get to work closely with the people in the DOD and past credit as a proven that kind of not only kind of successful execution opens up pretty significant opportunities, which we're working on, but also leads to additional opportunities as well.
Speaker Change: Also open up other opportunities as we get to work closely with...
Speaker Change: the people in the DOD. And past creators have proven that not only kind of successful, it's the kitchen opens up pretty significant opportunities, which we're working on. But also leads to additional opportunities as well.
Lyron Bentovim: Great, with that in mind, I'd like to get a little bit of an elaboration on our relationship within video Microsoft and AT&T. Obviously, in the last presentation, you showed their relationship with regard to the spatial core product. But I want to know, is it exclusive to Glimps group? Are there any other companies approaching them with similar offerings, or do we basically have a technological moat regarding Spatial Core? So even though our relationship is not exclusive in terms of kind of, we've not signed an exclusive contract with them, there are multiple in a sense, exclusive elements in terms of the uniqueness of what we're doing and how we're partnering with them creates this kind of relationship that allows us to drive forward and the more success we have together.
Speaker Change: Great, with that in mind, I'd like to get a little bit of an elaboration on our relationship within video Microsoft and AT&T.
Speaker Change: Obviously, in the last presentation, you showed their relationship with regard to the spatial core product.
Speaker Change: But I want to know, is it exclusive to glimpse group? Are there any other companies approaching them with similar offerings? Or do we basically have a technological, remote regarding spatial core?
Speaker Change: So, even though our relationship is not exclusive in terms of kind of with not signing an exclusive contract with them.
Speaker Change: There is a multiple...
Speaker Change: in a sense of exclusive elements in terms of the uniqueness of what we're doing and how we're partnering with them.
Speaker Change: creates this kind of relationship that allows us to drive forward in the more success.
Lyron Bentovim: The more that mode becomes bigger and less swimmable against, we are in a very competitive space that is fast evolving and we need to stay on top of our game and constantly push forward.
Speaker Change: We have to gather the more that mode becomes bigger and less slimmer mode. Again, we are in a very competitive space that is fast evolving.
Speaker Change: and we need to stay on top of our game and constantly push forward, but right now we're positioned very well in these partnerships but kind of the more success we have together, the more success we will have in the future as well.
Lyron Bentovim: But right now we're positioned very well in these partnerships, but kind of the more success we have together, the more success we will have in the future as well.
Darryl Zaint: Great, thanks for your response, and I don't have any further questions at this time, so we'll dial out and let someone else give some questions. Thank you. Thank you there.
Speaker Change: Great, thanks for your response and I don't have any further questions at this time, so I'll dial out and let someone else give some questions. Thank you.
Operator: At this time, we'll turn to some writing questions again. If you'd like to ask a question, please use the chat function.
Speaker Change: Thank you there.
Speaker Change: At this time we'll turn to some writing questions again if you'd like to ask a question please use the chat function.
Lyron Bentovim: Our first online question is: do you believe that you need to do a land grab and maximize short-term revenues, or is there a prospect for smoother ARR opportunity within the space? Very good question, so the focus is on a long-term ARR; that's kind of the holy grail. That's what we're working towards. The way to get there is to position yourself in as many of these opportunities, prove the value of our solutions and our ability to integrate them within a very specific customer setting. And then create a fund that will come from those ARR opportunities.
Speaker Change: Our first online question is, do you believe that you need to do a land grab and maximize short-term revenues? Or is there a prospect for a smoother ARR opportunity within this space?
Speaker Change: Very good question. So the focus is on a long-term ARR. That's kind of the holy grail. That's what we're...
Speaker Change: Working towards...
Speaker Change: The way to get there is to position yourself.
Speaker Change: In as many of these opportunities prove the value of our solutions and our ability to integrate them within a very specific customer setting and then create a fundat for what comes those ARR opportunities.
Speaker Change: Episode 2
Operator: Okay, looks like we have no further questions.
Speaker Change: Okay, it looks like we have no further questions.
Lyron Bentovim: I'd like to turn the call back over to Leeron for any emailed questions.
Speaker Change: I'd like to turn the call back over to Lyron.
Operator: There will ask these questions, so we will not have any email questions. We'll take this time to thank each and every one of you for joining our earnings call from school. We look forward to continuing to update you on an ongoing basis on our progress and growth. If we were unable to answer any of your questions, please feel free to reach out to us directly.
Speaker Change: For any email of questions?
Speaker Change: There will ask these questions, so we will not have any email questions, so I'll take this time to thank each and every one of you for joining our earnings conference call. We look forward to continuing to update you on ongoing basis on our progress and growth.
Speaker Change: If you were unable to answer any of your questions, please feel free to reach out to us directly.
Operator: This does conclude today's webinar. Thank you for your participation, and have a wonderful day.
Speaker Change: i