XMReality AB (publ) Interim report, January–March 2021

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The Annual Recuring Revenue (ARR) increased by 95 precent. Net sales during the quarter rose by 68 percent with a corresponding cost growth of 16 percent.

January – March 2021

  • Net sales amounted to SEK 5 845 thousand (3 483).
  • Costs totaled SEK –12 598 thousand (-10 856).
  • The operating loss before appropriations was SEK -6 254 thousand (-6 600).
  • Cash flow for the period was SEK 50 408 thousand (28 985) and equity/assets ratio at the end of the period was 81,6 (71,6) precent.

The growth in Net Sales was 68 percent. The corresponding cost growth was only 16 percent which shows a very nice scalability. The Annual Recurring Revenues (ARR) rose 95 percent to SEK 19 400 thousand (9 926). The absolute majority of the revenues is continued recurring software subscriptions. The gross margin remained high and 90 percent for the quarter.

Order Intake grew with 26 percent to SEK 7 137 thousand (5 653). In terms of cash flow, the company was positively affected primarily as a result of the completed new share issue. Cash and cash equivalents amounted to SEK 69,023 thousand at the end of the quarter.

Notable events during the quarter January – March 2021

  • Panasonic Homes use XMReality to enter New Zealand housing market. Panasonic Homes, a subsidiary to Panasonic Corp., are active within the housing business with an expertise in home construction. They recently undertook their first project outside of Asia with a delivery of a prefabricated prototype home.
  • XMReality received approximately SEK 56.3 million through a heavily oversubscribed new share issue. The Board of XMReality AB has, with the support of authorization from the Annual General Meeting on April 27, 2020, decided on a directed new share issue of approximately 6.8 million shares to Investment Aktiebolaget Spiltan, Adrigo Small & Midcap and about thirty qualified private investors and family offices.
  • XMReality signs a three-year contract with Heineken, one of the top three brewing companies in the world. XMReality has signed a three-year software subscription contract with Heineken. The contract is worth SEK 2.2 million over a three-year period. The prioritized use cases are equipment diagnostics, technical support and training, auditing, installation, and commissioning.
  • XMReality released several new product features where the most notable new functionality is a fully web-based solution, i.e. runs in the browser without the need to download any software. 

Notable events after the end of the period

  • Kongsberg Precision Cutting Systems, a manufacturer of state-of-the-art digital cutting systems used for precision cuts at high speeds has signed a two-year software contract for XMReality Remote Guidance
  • XMReality has received orders from a global food and beverage production company totalling 800 000 SEK. The orders cover annual software subscriptions with automatic renewal and contain as such no hardware. The amount is for the first year. The main use case is maintenance, covering both predictive and unscheduled work which might also include the original equipment manufacturer.

In this video Jörgen Remmelg, CEO of XMReality, together with Caroline Palm, Content Manager, talks about the reported result for the company and which events that are particularly interesting to highlight for the investors.

Link to the interim report website: https://xmreality.com/investors/finansiella-rapporter-analyser-och-dokument/

The information has been released by the above-mentioned contact person for publication on Wednesday April 28, 2021, 08:30 CET.

For more information, please contact:
Jörgen Remmelg, CEO XMReality
Phone: +46 739 822 409
E-mail: jorgen.remmelg@xmreality.se

About XMReality AB
XMReality develops and sells solutions that revolutionizes knowledge sharing through Augmented Reality (AR). The company is a market leader in Remote Guidance, which uses AR to guide onsite staff to enable quick dispositions, resolutions and/or problem prevention. The product is currently used in almost 60 countries. ABB, Nestlé, Electrolux, AB Inbev, Sidel, Hexagon, Bühler and Minibea Intec are some of the more than 80 customers. With operations in Sweden and US, XMReality is listed on Nasdaq First North (ticker: XMR). Further information is available under www.xmreality.com

The company’s Certified Adviser is Redeye AB
Phone: +46 (0)8 121 576 90
Certifiedadviser@redeye.se 
www.redeye.se