XMReality

The Quarter April - June 2023, The Group

• Net Sales amounted to SEK 4,939 thousand (4,616)
• Costs totaled SEK -16,979 thousand (-18,431)
• The operating loss before taxes was SEK -9,414 thousand (-9,395)
• Cash flow was SEK -8,741 thousand (-12,349) and the equity/assets ratio at the end of the period was 43.1 (60.6) percent

The Order Intake during the quarter was lower than the corresponding level in Q2 2022 and decreased by 5 percent to SEK 2,217 thousand (2,344). Net Sales increased year over year by 7 percent to SEK 4,939 thousand (4,616). The Annual Recurring Revenues (ARR) remained unchanged and amounted to SEK 18,252 thousand (18,270). The absolute majority of the revenues continues to be recurring software subscriptions. The Gross Margin remained high at 96 (95) percent for the quarter. The Order Backlog, orders received that at the end of the period remains to be recognized as Net Sales, decreased to SEK 10,139 thousand (12,827) compared to Q1 2023.

The company’s financial goals to no later than the end of 2024 start to generate a positive cash-flow, and by 2025 reach an ARR of SEK 75,000 thousand with a 15 percent EBITDA, remain.

The period January - June 2023, The Group

• Net Sales amounted to SEK 10,061 thousand (9,426)
• Costs totaled SEK -31,583 thousand (-35,023)
• The operating loss before taxes was SEK -16,007 thousand (-20,184)
• Cash flow was SEK 6,906 thousand (-21,389)

Notable events during the period

• Andreas Jonsson was appointed new CEO of XMReality AB starting May 15th 2023.
• The utilization of warrants TO1 that were issued in connection with the Company's preferential issue of units during the fourth quarter of 2022 was terminated. The utilization rate amounted to 11.3 percent and XMReality received approximately SEK 1.5 million before issue costs.
• The company has launched a secure cloud-based storage service with the industry's first Microsoft OneDrive integration. As several suppliers use their own types of cloud storage, XMReality has chosen, after dialogue with our customer base, a widely available integration where the customer owns and has full control over their own data.
• The annual general meeting was held in XMReality AB (publ) on Thursday, May 4, 2023, whereby the general meeting decided to determine the profit and loss account and balance sheet for 2022.
• XMReality Inc. signed an annual subscription agreement with the Technology Resource Center of America (TRCA), a leader in the development and implementation of enterprise technology for multi-site management across the United States. They will use XMReality to further improve their industry-leading customer service.

Notable events after the period

• XMReality received an order of licenses from Yaskawa Nordic, which are part of Yaskawa Electric Corporation. They will use XMReality to strengthen service and support towards their customer base.

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

The information in this release is such that XMReality AB (publ) is required to make public in accordance with the Market Abuse Regulation issued by the EU. The information was released by the below mentioned contact person for publication on Thursday, July 20, 2023, 08:30 CEST.

The company’s Certified Adviser is Redeye AB
www.redeye.se