XMReality

The Quarter April - June 2024, The Group

• Net Sales amounted to SEK 4,086 thousand (4,939)
• Costs totaled SEK -14,759 thousand (-16,979)
• The operating loss before taxes was SEK -8,106 thousand (-9,414)
• Cash flow was SEK 3,210 thousand (-8,741) and the equity/assets ratio at the end of the period was -20.0 (43.1) percent

Order intake during the quarter was lower than the corresponding level in Q2 2023 and decreased by 10.6 percent to SEK 1,983 thousand (2,217). Net sales decreased by 17 percent to SEK 4,086 thousand (4,939) compared to the previous year. Costs for the half-year decreased by 5.2 MSEK compared to the same period last year. During the first half-year, one-time costs equivalent to 3.7 (0) MSEK were recognized, with a large part related to strategic development. Excluding one-time costs, the decrease was 8.9 MSEK in the first half of 2024 compared to the previous year. The annual recurring revenues (ARR) decreased by 13 percent and amounted to SEK 15,885 thousand (18,252) compared to Q1 2023. The gross margin remained high, 97 (96) percent for the quarter. The order backlog, order intake that remains to be recognized as revenue, increased to SEK 10,370 thousand (10,139) compared to Q2 2023. The quarter shows a positive cash flow of SEK 3,210 thousand due to short-term loans of 6.4 MSEK being taken.

The period January - June 2024, The Group

• Net Sales amounted to SEK 8,796 thousand (10,061)
• Costs totaled SEK -26,374 thousand (-31,583)
• The operating loss before taxes was SEK -12,384 thousand (-16,007)
• Cash flow was SEK 2,320 thousand (6,906)
• Order intake amounted to SEK 8,333 thousand (6,346)

Company Goal
XMReality's financial goal, to start generating positive cash flow by the end of 2024, remains.

Notable events during the period

• The Board of XMReality AB (publ) decided, conditional on the subsequent approval of the Extraordinary General Meeting, on a new issue of shares of approximately 36.7 MSEK with preferential rights for the Company's existing shareholders. Additionally, bridge financing of approximately 8 MSEK was raised to finance the short-term liquidity needs before the proceeds from the Rights Issue are received.
• XMReality signed a new agreement with HIMA Americas, a leading provider of smart secure automation solutions for industrial applications.
• The Board of XMReality chose to prepare a balance sheet for liquidation purposes for precautionary reasons. The balance sheet showed that the share capital in XMReality was intact.
• XMReality received a shareholder loan of 1.5 MSEK in May. This came after the company communicated on April 12 that the existing working capital was sufficient until mid-May.
• XMReality signed a new customer agreement with Mission Restaurant Supply, one of the largest resellers of restaurant equipment and supplies in the USA.
• Amico Group of Companies, a leading manufacturer and global distributor of hospital equipment, is implementing XMReality to improve support for medical equipment.

Notable events after the period

• XMReality signed an agreement with the global technology company GiveX to assist them with support for their 132,000 active trading locations.

Link to the report website: https://www.xmreality.com/en/investors/reports-and-analyzes

This information is information that XMReality is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out above, at 2024-08-01 08:30 CEST.