Q1 2025 Vuzix Corp Earnings Call and Business Update
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Speaker Change: Greetings and welcome to the Vuzix first quarter ending March 31, 2025 financial results and business update conference call.
Speaker Change: At this time, all participants are in a listen only mode. A brief question and answer session will follow the formal presentation. If anyone should require operator assistance during the call, please press star zero on your telephone keypad. As a reminder, this call is being recorded.
Speaker Change: Now I would like to turn the call over to Ed McGregor, Director of Investor Relations at Vuzix. This McGregor, you may begin.
Speaker Change: Thank you operator and welcome to the Vuzix first quarter 2025 ending March 31st financial results and business update conference call. With us today are Vuzix CEO Paul Travers and our CFO Grant Russell.
Speaker Change: Before I turn the call over to Paul, I would like to remind you that on this call, Managing for paired remarks may contain forward-looking statements which are subject to risks and uncertainties and managing make additional forward-looking statements during the question and answer session.
Speaker Change: Therefore, the company claims the protection of the safe harbor for forward-looking statements that are contained in the Private Securities Litigation Reform Act of 1995.
Speaker Change: Actual results could differ materially from those contemplated by any forward looking statements as a result of certain factors, including but not limited to general economic and business conditions competitive factors changes in business strategy or development plans the.
Speaker Change: The ability to attract and retain qualified personnel as well as changes in legal and regulatory requirements.
Speaker Change: In addition, any projections as to the Companys future performance represent managements estimates as of today.
Speaker Change: <unk> 2025.
Speaker Change: <unk> assumes no obligation to update these projections in the future as market conditions change.
Speaker Change: This afternoon, the company issued a press release announcing its Q1 2025 financial results.
Speaker Change: Its 10-Q with the SEC. So participants in this call who may not already done so they wish to look at those documents as the company will only provide a summary of the results discussed on today's call.
Speaker Change: Today's call May include certain non-GAAP financial measures when required reconciliation to the most directly comparable financial measures calculated and presented in accordance with GAAP can be found in the company's filings at the FCC Dot Gov.
Speaker Change: Which is also available at Www Vuzix dotcom.
Speaker Change: I'll now turn the call over to Vuzix CEO, Paul Travers, who will give an overview of the company's operating results and business outlook.
Speaker Change: Paul will then turn the call over to grant Russell Vuzix CFO will provide an overview of the company's first quarter results after which we'll move on to the Q&A session.
Speaker Change: Paul.
Speaker Change: Thank you Ed and thank you to everyone. Joining us today. It has just been a couple of short months since our last formal update but a lot continues to be happening at vuzix and the smart glasses markets overall usage in the entire industry are gaining further commercial momentum as it begins to enter a new phase driven by further.
Speaker Change: Our OEM and enterprise smart glasses engagements, our vision and investment are translating into further commercial traction and at the same time the broader tech industry is amplifying its focus on developing and delivering AI powered smart glasses signaling that the race to bring these products at scale.
Speaker Change: The larger markets is very much underway.
Speaker Change: In our OEM business, we are actively engaged with a growing number of ODM and OEM partners spanning enterprise defense and consumer oriented segments. Indeed, 20 twenty-five has thus far been marked by important developments for vuzix that spanned relationships technologies and solutions each of which.
Speaker Change: I will touch upon collectively we feel these developments and the large market opportunities. They represent are putting the company on a path of significant and sustained revenue growth.
Speaker Change: From a broader industry perspective, we are witnessing announcements of large scale strategic investments being made by leading Oems and semiconductor firms in our country.
Speaker Change: Which underscore our concerted effort to deepen economic ties with the United States enhanced supply chain resilience and navigate the evolving global trade landscape.
Speaker Change: With Vuzix being a U S based manufacturer we believe this shift within the supply chain may provide strategic opportunities for vuzix.
Speaker Change: Further bolster and expand our brand and global presence within the wave guide and AI driven smart glasses market.
Speaker Change: Now our collaboration with Quanta continues to expand with ongoing development around previously announced smart glasses, ODM and OEM reference platforms, along with several additional new programs that are also in motion. These.
Speaker Change: These joint efforts will combine Qantas world class manufacturing and global OEM, our reach with Vuzix advanced wave guides display engines and smart glasses architecture. Together, we are building a strong foundation to enable and participate with our wave guides and the mass production of a are enabled wearables at scale.
Speaker Change: And at reasonable price points needed for mass adoption.
Speaker Change: Over the last eight months the Vuzix team has been in lockstep with quantum to drive strategic initiatives together and we are aligned towards unlocking the much larger opportunity to support the broader markets.
Speaker Change: It just has made tremendous progress towards achieving the milestones required to receive the remaining two investment tranches from quanta, which would provide a further $10 million in growth capital.
Speaker Change: Not surprisingly, our smart glasses market presence design experience and most importantly, our proprietary low cost scalable waveguide manufacturing ability are being recognized by a growing number of leading Oems.
Speaker Change: A major development late in Q1 was our acquisition of a state of the art Wave guide R&D and tooling facility in Milpitas, California.
Speaker Change: Previously operated by one of the largest global Tech firms. This facility will serve as a new hub for wave guide and tool development and rapid prototyping. It can also handle highly custom small batch manufacturing needs if required by our customers.
Speaker Change: This acquisition was highly strategic for its location technical logical advancement.
Speaker Change: And financial efficiency. The facility is already in operation, which resulted in practically zero startup cost.
Speaker Change: The total cost of acquisition and expect an incremental operational costs for the first year is in the low seven figures a remarkable value given the equipment and capabilities we acquired.
Speaker Change: The facility anchors, our presence in Silicon Valley, and strengthens our ability to support customers there that need rapid secure high quality waived out solutions to bring their smart glasses offerings into commercial production. Our recent collaboration with Fraunhofer I P. M. S on a high performance Cmos micro rally.
The back plane was engineered to meet the specialized needs of select Vuzix customers early working samples has confirmed the designs promise for next generation display applications supporting 10, 80 P plus resolution the back plane accommodates both monochrome and full color micron sized micro.
Speaker Change: L. A D arrays. This effort has been co developed by Vuzix.
Speaker Change: Brown Hopper and a third party with specific use cases in mind as a result, this cutting edge back plane is tailored for high end enterprise and defense applications, where performance precision and customization are essential and it's also capable of driving our new large format wave guide, which can be used for a variety of.
Speaker Change: Specialized see through display systems.
Speaker Change: Helix offers and expanding family of smart glasses reference designs, including the ultra light pro and Ultra light audio introduced at CES 2025, and also of course, our industry, leading ultralight Wang less than 38 grams and having over two days of run time on a single charge.
Speaker Change: These new AI, driven smart glass designs offer a range of features from the lightest weight lowest power smart glasses ever built to advanced functionalities, such as voice activated commands real time photo and video capture and the immersive experiences and at the core of each is vuzix state of the art.
Speaker Change: Waveguide technology and behind closed doors Vuzix remains methodical in our current spending and investment in the future with several new unannounced products slated for later released this year in 2025 each.
Speaker Change: Each designed to meet the evolving needs of select enterprise defense and OEM customers. These new offerings build on our core strengths and waveguide optics, and AI enhanced wearable computing, while integrating customer feedback performance breakthroughs and platform flexibility.
Speaker Change: We are seeing continuing OEM interest and engagement from wave guide supply to full white label solutions, notably, we just announced a design win with a six figure initial order for wave guides related to smart thermal AAR glasses being developed by a European OEM customer.
Speaker Change: This product merge is visible and infrared light to Ashish, who head up display offering transformative capabilities for firefighters inspection and search and rescue use cases Vuzix is actively building our part of the deliverables and the customer expects volume production of their smart glasses to begin in the fall.
Speaker Change: Of 2025 led by one of the worlds largest contract ODM electronics manufacturers to reiterate we have been selling into this customer product for production. This is a design win for the company that is going into production.
Speaker Change: As a reminder, on the D O D front, we have multiple major programs in the works with prime contractors.
Speaker Change: The wave guide based solutions, we have developed have gone through multiple iterations beyond proof of concept and are being actively shown to the select final defense customers. They were intended for to reiterate we fully expect at least a couple of these programs to start production Rollouts in 2025.
Speaker Change: We received our largest reorder to date from Xander glasses.
Speaker Change: Private label product for captioning, the spoken word in real time to assess the hearing impaired.
Speaker Change: Unlike other such Wearables Zander glasses are 100% self contained designed for ease of use operate with a simple on and off function and do not require a smartphone or cloud connectivity.
Speaker Change: Our Z 100, smart glasses platform is also actively supporting the hearing impaired space transcribe glass, who is reselling ours 100, smart glasses and been placing a monthly cadence of reorders with their transcription software and under their own brand name.
Speaker Change: Another white label partner mentor Labs is supporting seating Z 100 to support developers and end users mattress augment O S. Smart glasses operating system brings a suite of critical smart glasses, AI agents and apps to Vuzix is ultra light platform using augment Oss SDK.
Speaker Change: <unk> can make apps like an AI tour guide.
Speaker Change: Super memory tools chest.
Speaker Change: Chess Master helper face recognition name memory Shazam speech coach live captioning translation and much more easily come to life.
Speaker Change: These are all tangible examples of how Vuzix smart glasses are beginning to deliver life changing solutions to smart glasses adopters on a daily basis.
Speaker Change: Solutions that are game changing because of their noninvasive delivery of information and assistance through the use of Vuzix smart glasses information that is practically impossible to deliver through most any other wearable or handheld device.
Speaker Change: Turning to the enterprise market in Mexico, Nacho, one of the country's largest pharmaceutical distributors continues to scale and now has over 500 reviews X M 400, smart glasses deployed across 14 of its warehouses are there through.
Speaker Change: Through our partner accurate flow and teen viewers frontline software Nashville is realizing over 30% improvements in order picking efficiency and dramatic reductions in training time. These are real numbers that translate into bottom line savings and faster workflows.
Speaker Change: Our enterprise customers are increasingly seeking smart glasses solutions help and that's where movie and small billion software platform comes in Moline has accelerated the expansion of our enterprise solutions beyond traditional logistics by enhancing its mobility and software to deliver comprehensive workflow efficiencies.
Speaker Change: Initial implementations are already showing remarkable operational gains with productivity improvements of up to 250% in certain warehouse applications, highlighting our leadership position and AI enhanced enterprise solutions.
Speaker Change: One such movie and win recently announced was with Airbus helicopters, who has committed to a broad rollout of their platform along with the Vuzix M 400, smart glasses across its north American operations. After a successful pilot over the last two years using our devices hands free on the assembly.
Speaker Change: Line and in logistics.
Speaker Change: We are also progressing with other notable movement driven engagements, which we look forward to announcing in due course as well as working with software solution providers that can address specific customers needs.
Speaker Change: The Max a one stop shop solutions provider for increasing productivity with smart glasses recently placed a follow on $500000 reorder for M. Four hundreds.
Speaker Change: Odd Max bundles their robust software solutions with Vuzix smart glasses products for key supply chain customers in the United Kingdom and across Europe, and expect its demand for our smart glasses to grow by an order of magnitude over the next several years.
Speaker Change: Indicative of our growing pipeline of opportunities, we expect our enterprise business will be more characterized by hardware and software solution bundles that are based on customer feedback and more tailored to meet specific cost performance and functionality needs.
To wrap up our OEM wave guide business is scaling.
Speaker Change: Our enterprise deployments are delivering results are.
Speaker Change: Our strategic footprint is expanding.
Speaker Change: Our strategic relationship with Quanta is in great shape and growing the AAR smart glasses industry is realigning around practical AI driven use cases and as mentioned earlier, we have several new unannounced products slated for release later in 2025, each designed to meet the evolving needs of select enterprise.
Speaker Change: Price defense and OEM customers.
Speaker Change: And with that I'll turn the call over to grant for the financial overview.
Speaker Change: Grant.
Grant Russell: Thank you Paul as Ed mentioned the 10-Q, we filed this afternoon with the SEC offers a detailed explanation of our quarterly financials.
Grant Russell: It's going to provide you with a bit of color on some of the quarterly numbers.
Grant Russell: Our first quarter 2025, total revenue was $1 6 million down 21% year over year due to decreased sales of smart glasses, particularly are in 400, but up 24% sequentially from the prior quarter.
Grant Russell: Engineering services $4 3 million for the three months ended March 31, 2025 versus <unk> 2 million in the prior year's period, an increase of 47%.
Grant Russell: We are continuing to see increased interest and activity in our custom waveguide development capability. There was an overall gross loss of <unk> 3 million for the three months ended March 31, 2025, as compared to a gross loss of <unk> 1 million for the same period in 2024.
Grant Russell: While our direct product cost of sales only.
Grant Russell: Remained flat year over year manufacturing overhead costs on applied increased both as a percentage of total product sales and in absolute dollar terms. The increase the debt net dollar amount of these unemployed overhead costs was primarily driven by our plan further decrease in actual production levels during the first.
Grant Russell: Quarter 2025.
Grant Russell: There to the same period in 2024 as we feel we have sufficient finished goods on hand to meet currently expected demand of course, we anticipate we can successfully turning the bulk of our current finished goods inventory into cash before those new model introductions occur as well as supporting existing and four.
Grant Russell: 100 deployment programs with our customers beyond that date.
Grant Russell: And while our gross margins are expected to improve incrementally as we work through the remaining inventory.
Grant Russell: Prior obsolescence provisions continuing tariff policy changes may make that difficult in the short and long term as we adjust our supply and manufacturing teams.
Grant Russell: Research and development expense was $2 6 million for the three months ended March 31, 2025, compared to $2 7 million for the comparable 2024 periods decrease of approximately 5% reduction in R&D expense was largely due to a $5 million decrease in salary and benefits related expenses, partially offset.
Grant Russell: By $1 $3 million increase in external development costs on new products sales.
Grant Russell: Sales and marketing expense was $1 5 million for the three months ended March 31, 2025, as compared to $2 2 million in the same 2024 quarterly period.
Grant Russell: A decrease of approximately 31%.
Grant Russell: A reduction in sales and marketing expense was largely due to a $4 million decrease in salary and benefits related expenses, driven by head count and cash salary decreases in exchange for equity compensation.
Grant Russell: A decrease of <unk> $2 million in advertising and trade show expenses and appoint $1 million decrease in external contractor expenses.
Grant Russell: General and administrative expenses for the three months ended March 31, 2025 was 4 million versus $4 1 million for the comparable period.
Grant Russell: In 2024, a decrease of approximately 3%.
Grant Russell: The net loss for the three months ended March 31, 2025 was $8 6 million or <unk> 11 per share versus a net loss of $10 million or <unk> <unk> per share for the same period in 2024.
Grant Russell: Now for some balance sheet and cash flow highlights our cash and cash equivalents position as of March 31, 2025 was $15 2 million and our networking capital position was $19 5 million.
Grant Russell: For the quarter ended March 31, 2025, and net cash flows used for operating activities was $3 5 million as compared to $8 8 million in the prior year's period. This is a material improvement post our many cost reductions implemented in 2024.
Grant Russell: Cash used for investing activities for the first quarter of $2025 8 million versus $1 2 million in the prior year period.
Grant Russell: This investment level will continue for the balance of 2025.
Grant Russell: As Paul mentioned, we believe we are also on track to meet the performance milestone required for the second and third quarter investment tranches, which should bring in an additional $10 million of capital.
Grant Russell: Once that funding is received by Vuzix portion of those investment proceeds are expected to be allocated to further expanding our waveguide manufacturing capabilities to meet expected demand growth and as a result overall investment activity rates would increase.
Grant Russell: As of March 31, 2025, the company continues to have no current or long term debt obligations outstanding.
Grant Russell: Let me close by reiterating that we believe our overall cash position along with maintaining a disciplined cost structure further conversions over finished goods into cash and general business expansion, particularly on the ODM OEM side and the achievement of any expected funding by quanta of tranches, two and three gives us.
Grant Russell: Sufficient runway to execute on our current operating plan well into 2026.
Grant Russell: With that I would like to turn the call over to the operator for Q&A.
Speaker Change: Thank you we will now be conducting a question and answer session. If you'd like to ask a question. Please press star one on your telephone keypad. The confirmation tone will indicate your line is in the question queue. You May press star two to remove yourself from the queue.
Speaker Change: For participants using speaker equipment, it may be necessary to pick up the handset before pressing the star keys.
Speaker Change: And while we poll for questions.
Speaker Change: Okay.
Speaker Change: Okay.
Speaker Change: And our first question comes from Christian Schwab with Craig Hallum. Please proceed with your question.
Christian Schwab: Great. Thanks for taking my question I'm, sorry, I missed it how much of the 9 million 400, inventoried and still are involved.
Christian Schwab: Well we.
Christian Schwab: It's the bulk of our inventory at the end of the quarter, which was.
Christian Schwab: Little over 4 million Bucks.
Christian Schwab: But we've written off Theres, probably provisions against that.
Christian Schwab: The 5 million so in actual fact, we got about $9 million of product five knowing we.
Christian Schwab: Fully provided for so but right now we're selling our finished goods and that's down to.
Christian Schwab: Well 2 million approximately at the end of March.
Christian Schwab: Great. Thank you for that clarity and then.
Christian Schwab: On the last conference call, you talked to quite a bit about optimism regarding multiple.
Christian Schwab: Product design partnerships with quanta that could begin to pick up in the second half of 'twenty five ship more materially.
Speaker Change: In 2006.
Christian Schwab: A couple of months.
Speaker Change: So is there any update on where your comfort or does he hasn't regarding that.
Christian Schwab:
Christian Schwab: It's not less.
Speaker Change: [laughter], it's every bit as enthusiastic Christian it has only been a couple of months, but if things are moving forward great guns right now the.
Speaker Change: The relationship with Quanta and Vuzix is very good at first of all and it helps and I have an amazing team of team of people over there and Theres moat like we said before there's multiple programs at least two of which should be rolling before the end of this year.
Speaker Change: Great.
Speaker Change: And then regarding the two tranches that are left with.
Speaker Change: With quanta and certain performance milestones.
Speaker Change:
Speaker Change: Is that something that you would expect.
Speaker Change: <unk> tranches by the end of this.
Speaker Change: Calendar year, 'twenty, five or or how do you see that playing out.
Speaker Change: Currently yeah it.
Speaker Change: It should not be until the end of 2025, we are.
Speaker Change: I had a schedule by all rights.
Speaker Change: In fact, our friends were here, even just this last week for multiple days crossing T's and dotting I's around it.
Speaker Change: Feels really good Christian we're in a good spot and we can hit yield rates and run rates.
Speaker Change: Right in the zone in fact better than what the requirements are.
Speaker Change: Great no other questions. Thanks, guys.
Christian Schwab: Youre welcome Christian.
Speaker Change: Thank you.
Speaker Change: And with that I would like to turn the call back to Paul Travers for further remarks.
Speaker Change: We did get a few other questions and I thought.
Speaker Change: A bunch of them actually were answered I think through the conference call today, but I thought a few of these would be good to elaborate on just a bit.
Speaker Change: And one of them was the competitiveness.
Speaker Change: Our wave guides and the competitive environment.
Speaker Change: And yes, there's lots of people talking wave guys out there these days.
Speaker Change: So to answer that.
Speaker Change: It's 100% correct. There are a bunch of companies out there that make waveguides well a handful.
Speaker Change: Most of them in fact, all of them for the most part are incredibly expensive.
Speaker Change: Or.
Speaker Change: And or if you asked for a thousand or 2000 wave guides for your production runs neck.
Speaker Change: Next week, you wouldn't get them four months, because they don't have processes, yet that can run the volumes and that have scaled.
Speaker Change: Literally.
Speaker Change: In the last week.
Speaker Change: <unk> has run thousands of wave guides through our plant floor and they're all yielding amazingly high.
Speaker Change: So today, you can come to Vuzix and say I want 5000 wave guys and in short order of users can manufacture those wave guides for you one number two because of the way we scale and the processes that we developed its quite inexpensive for us to manufacture. These wave guides now, but that doesn't mean, we're giving them away.
Speaker Change: It means we can sell them for some decent margin comp.
Speaker Change: Competitors are companies that do things like they stacked prisms together and it can be as much as 400 steps and maybe you can make that yield but all of those steps cost money and there is material loss along the way and so in the end.
Speaker Change: Besides being very difficult to change that wave guide design into an industrial design.
Speaker Change: It's very very expensive to manufacture the parts, we're talking hundreds of dollars of cost.
Speaker Change: But you need to if you think about it for a wave guide. So that's like $400 just for wave guides to go into a pair of smart glasses is it cost prohibitive for the volume markets. There are other companies that use semiconductor process equipment to do this and the way. They do that is they start with a wafer just like I said.
Speaker Change: Conductor excuse me silicon wafer three.
Speaker Change: 300 millimeter circle typically.
Speaker Change: And you process. This thing and you can get 12 wave guys out and it takes hours to get those 12 wave guides out did you gave you our plant floor you'd see it's kind of like the chocolate factory, where there just that we just pound amount it's quite amazing.
Speaker Change: And that story goes on with a couple of other companies that manufacture and are trying to manufacture wave guides and are getting partners to do it in volume, but let me add to that.
Speaker Change: We have feature capabilities, and our glasses, which stand apart from the competition.
Speaker Change: We enable this thing called incognito, where there's very little if any forward late when you're wearing the glasses one of the problems with glasses. Today. If you look at holo lens I recommend everybody to go out and do a search for hollow lens images on the web and you will see every single person you look at it looks like a zombie because where.
Speaker Change: You normally would see People's eyes, you see a glow coming out the front of the glasses.
Speaker Change: We can get rid of that glow.
Speaker Change: Another incredibly important feature for the capability of wave guides in order to be accepted in the mass market.
Speaker Change: If you walk into a nice evening, having funded the bar and you put your glasses Han and you've looked like you were in need of glasses that glow like you just stepped off the starship enterprise you might not get out of there alive, even let alone youll get picked on quite a bit so its not socially acceptable features like that feature.
Speaker Change: Like integrated prescriptions. These are things that we offer along with fast turn design. We are a one stop shop that can deliver some of the best wave guides at the best price on the planet today. So there's a lot of things that stand allow us to stand apart. It's why people at quanta and other Oems are starting to come to us.
Speaker Change: And so we do have a lot of advantages compared to many of the competitors today.
Speaker Change: Another question was regarding the.
Speaker Change: Facilities, the new facilities that we have.
Speaker Change: These facilities were designed to make the state of the art.
Speaker Change: Nano features.
Speaker Change: In.
Speaker Change: Towards materials.
Speaker Change: And I'm, sorry, it's going to sound, all Turkey, and everything but in order to make decent wave guide you need to make tools to produce those wave guides on.
Speaker Change: And the better you can make those tools. The sharper you can make the cuts in the courts. The more control you can control the depths with.
Speaker Change: Et cetera.
Speaker Change: Better the tools perform and then the more precise the feature sets can be.
Speaker Change: And this equipment is state of the art, it's brand new it's probably been run for.
Speaker Change: For a grand total of six months. It took 18 months just to get installed and the cool thing is this stuff is installed and operational it's not like Vuzix has to go and then move this equipment and somehow get it installed and run all these extra gas is because these are etching tools that are reactive etching.
Speaker Change: Tools that require special gases and all that stuff is done it's a beautiful facility, it's available for our customers around the world today.
Speaker Change: Including Odm's like Quanta that we work with and it will allow us to build some of the best performing tool sets to run on our custom manufacturing equipment here in Rochester, New York, So Theres a lot of great Big advantages that we're getting out of this.
Speaker Change: And it was a very inexpensive acquisition as I had said earlier on the call.
Speaker Change: Yeah, I think there was another question related to our products in general and how they compete and how AI is changing the game. There. We did talk about augment OS. That's one example.
Speaker Change: The reality of it is smart glasses. When they first started people thought this is going to be a better way to have excel spreadsheets and word documents and they were gonna put them up around their monitor and stuff. That's not with these glasses are about there are about connecting digital information to the real world and when you can enable AI.
Speaker Change: To help you do that it's contextual aware because of the intelligence of the vision systems and the glasses and what AI can see and connect you to so you can imagine you're a Boeing technique.
Speaker Change: Technician and Youre, putting doors on and you forgot to put the bolts on the doors. The glass is no that the AI engine, that's running and.
Speaker Change: You'll see some press releases coming with some other companies that were working but that showed US you have the glasses on it watches every single thing that Youre doing it helps you write the reports just with the voice just a voice can you. Please start building the reports for the assemblies that we went through today, Oh and by the way did you record. This so we can use it to train others in the process.
Speaker Change: All of that AI, driven and it makes the glasses absolutely game changing there is no other way to do this you can't hold up a phone and do it.
Speaker Change: Whole sorting and facilities, 250% faster is because AI engines supporting the use of the glasses to make that all come together.
Speaker Change: It's taken a long time, but when you put all that stuff together it starts to make applications that are sell compelling its really hard to turn your back on them and that's why we feel so confident in our enterprise side of our business, but also in the core OEM side of our business because it's those applications and that kind of capability, that's really going to drive that performance.
Speaker Change: And the need for these glasses.
Speaker Change: With that I want to thank everybody once again for joining US today, we look forward to speaking with you again in the August in August for our Q2 update there should be a lot that we share between now and the end of this year, it's going to be an exciting 2025 and again. Thank you very much for the continued support of users have a nice evening every.
Speaker Change: Body.
Speaker Change: Thank you and with that this does conclude today's teleconference. We thank you for your participation you may disconnect your lines at this time.
Speaker Change: Yeah.
Speaker Change: [music].
Speaker Change: Hum.
Speaker Change: Uh huh.
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