XMReality Interim report, Group overview, January–March 2022
Order backlog increased with 10 percent compared with the same quarter last year, Net sales decreased with 16 percent and the Gross margin increased from 90 to 94 percent.
January – March 2022, The Group
- Net sales amounted to SEK 4,810 thousand (5,757)
- Costs totaled SEK -16,593 thousand (-12,518)
- The operating loss before appropriations and taxes was SEK -10,789 thousand (-6,257)
- Cash flow for the period was SEK -9,040 thousand (50,416) and the equity/assets ratio at the end of the period was 65.0 (81.7) percent
Net sales decreased with 16 percent to SEK 4,810 thousand (5,757). The Annual Recurring Revenues (ARR) decreased with 7 percent to SEK 18,130 thousand (19,400). The absolute majority of the revenues were recurring software subscriptions. The Gross margin continued to be high at 94 (90) percent for the quarter. About half of the Net sales reduction was a result of less hardware sales, also the root cause for the increased Gross margin. The increase in cost mainly comes from additional sales resources in our wholly owned U.S. subsidiary. The Order backlog, Order intake that at the end of the period remains to be recognized as Net sales, increased 10 percent to SEK 15,532 thousand (14,117).
The Order intake for the quarter was significantly lower compared with last year and decreased 54 percent to SEK 3,259 thousand (7,137). The main reason being absence of larger deals during the quarter. The first quarter 2021 had one large three-year-order and one large two-year-order totaling some SEK 3 million in order value. The difference in Order intake from hardware was about SEK 0.5 million less in Q1 2022.
Note that the wholly owned U.S. subsidiary (XMReality Inc.) since Jan 1st 2022 has been upgraded to a profit and loss Business unit resulting in all financial reporting going forward will be at group level.
Notable events during the quarter January – March 2022
- Procurement for Housing (PfH) and XMReality signed a framework agreement for XMReality Remote Guidance. The availability of Remote Guidance has been requested by the PfH member organizations and is now a catalogue product. PfH is a respected leading brand within the UK’s social housing sector with 1000+ member organizations collectively managing over 3.9 million properties.
- As of January 1st, Tim Koeppl joined XMReality as its new President of XMReality Inc., the U.S. based subsidiary of XMReality AB. Tim most recently led an advanced technologies integration program to enable the US Department of Defense.
- Verisure SARL, the Swiss headquarter of Verisure, and XMReality AB have signed a global framework agreement for XMReality Remote Guidance. Verisure will initially make a deployment of XMReality Remote Guidance in their technical support function for home alarms in Sweden.
- As of March 1st, Lotta Ekerbring took over as Chief Finance Officer (CFO) at XMReality. Lotta will contribute with significant experience in the field and has previous experience as CFO in a high-tech company with subsidiaries in North America.
- XMReality has launched two new product plans available for purchase directly online. As adoption of the technology has grown, and with that user sophistication, XMReality is now launching two new product plans, Professional and Professional Plus. Both plans are more comprehensive with extended functionality compared to the previous Business version.
In this video Jörgen Remmelg, CEO of XMReality, together with Johanna Edepil, CMO, talks about the reported result for the company and which events that are particularly interesting to highlight for the investors.
Link to the report website: https://xmreality.com/investors/finansiella-rapporter-analyser-och-dokument/
This disclosure contains information that XMReality is obliged to make public pursuant to the EU Market Abuse Regulation (EU nr 596/2014). The information was submitted for publication, through the agency of the contact person, on 2022-04-28 08:30 CEST.
The company’s Certified Adviser is Redeye AB
Phone: +46 (0)8 121 576 90
Certifiedadviser@redeye.se
www.redeye.se
For more information, please contact:
Jörgen Remmelg, CEO XMReality
Phone: +46 739 822 409
E-mail: jorgen.remmelg@xmreality.com
About XMReality Remote Guidance™
XMReality Remote Guidance is an AR-enabled knowledge sharing tool that lets you communicate with gestures, speech, chat and pointers with someone at a completely different place. It includes:
- A unique hands-overlay technology that lets you guide someone else’s hands—as if you were there.
- A web portal to manage teams and users, and to measure usage
- Integration through client-side API’s (Application Programming Interfaces)
About XMReality
XMReality AB (publ) develops and sells solutions that revolutionize knowledge transfer through so-called Augmented Reality (AR). The company is a market leader in remote guidance where you guide a person on site via AR to solve problems or prevent them from occurring. The product is used globally in more than 60 countries. ABB, Nestlé, Electrolux, Sidel, Heineken and Saab are examples of the more than 100 customers. XMReality is based in Linköping and in the U.S. and is listed on the Nasdaq First North Growth Market (ticker: XMR). For more information, visit: www.xmreality.com
