Global Mofy AI Limited

Good day and thank you for standing by. Welcome to the Global Murphy AI Limited Fiscal Year 2025 Financial Results Conference call. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question and answer session. To ask a question during the session, please press star 1 and 1 on your telephone. You will then hear an automated message advising your hand is raised. To withdraw your question, please press star 1 and 1 again. Please be advised that today's conference is being recorded. I would now like to turn the conference over to your first speaker today, Celine Meng. Please go ahead.

Thank you, operator. Welcome everyone to Global Mophie's fiscal 2025 financial results conference call, covering the period between September 30th, 2024 and September 30th, 2025. Thank you all for joining us on such short notice. My name is Celine, and I'm the company's Securities Affairs Representative. Today, I'll be presenting our prepared comments, and then followed by a Q&A session with our CTO, Mrs. Wenjun Jiang, and CFO, Mr. Chen Chen. Fiscal year 2025 marked a pivotal year of strategic transformation for GlobalMofi. Beyond strong financial performance, this year represents our transition from AI-driven tools to AI-native production workflows. laying the foundation for scalable, defensible, and margin-accredited growth. During today's call, we will review our financial results, strategic milestones, core technologies, and growth outlook. Before we begin, I would like to remind everyone that today's discussion contains forward-looking statements, which involve risks and uncertainties that may cause actual results to differ materially from those indicated. These forward-looking statements are subject to risk described in our filings with the U.S. Securities and Exchange Commission. We encourage you to review our Form 20F and other SEC filings for additional information. Today's conference call is being recorded, and a replay will be made available on the company's website. Fiscal year 2025 delivered record financial performance. while also marking a strategic inflection point for Global Mophie. Highlights include total revenue of $55.9 million, representing 35.3% year-over-year growth, a gross profit of $22.5 million in U.S.

dollars.

which entered into a digital cultural tourism cooperation framework with Leningrad's hydro high-tech district. We completed a total of $10.3 million in strategic private placement financings, established Gov's AI lab, and entered an AI-powered content framework, expanded our global AI data and training capabilities through Eagle Point AI, Inc. These milestones reflect not only not incremental optimization, but a fundamental transformation in how digital content is produced. For those who are new to Global Mophie, let me briefly introduce the company. Global Mophie is an AI-driven technology solutions provider focused on virtual content production and 3D digital asset development for partners across the digital content value chain. advanced AI and 3D reconstruction technologies. We create high-precision digital representations of characters, scenes, and props, enabling deployments across film, television, gaming, XR, and emerging AI native workflows. We operate across Beijing and Zhejiang, China. And since our NASDAQ listing in October 10, 2023, under the ticker GMM.US, we've continued to scale both our technology platform and asset base. According to a Frost and Sullivan report, Group of Murphy is now recognized as one of China's leading digital asset banks with more than 150,000 high precision 3D digital assets. This slide highlights Global Murphy's evolution from a traditional digital content provider into an AI native production platform. Team milestones include early leadership in virtual production and software IP accumulation, strategic partnerships with Alibaba Davenport Academy and leading industry players, NASDAQ listing in 2023 and establishment of our Zhejiang headquarters, launch of Godspeed flagship AIGC platform built on NVIDIA Omniverse, expansion into global AI training and data engineering through EaglePoint AI, Our roadmap reflects a deliberate multi-year transition toward AI-native infrastructure rather than short-term experimentation. Over the last five years, Global Automobility has received competitive recognition for its leadership in technology and innovation. Highlights include national high-tech enterprise designation, multiple most valuable investment Chinese concept stocks, and innovation awards. Membership and leadership roles in MIIT, metaverse, and digital economy organizations. Recognization as a specialized and new SME in Beijing. These honors reinforce our credibility with enterprise customers, government partners, and institutional investors. Innovation remains at the core of Global Mophie's long-term strategy. In IFY 2025, RMD spending reached $7.5 million, representing 14.1% of revenue. RMD to revenue ratio significantly exceeds industry average of 5% to 8%. We hold 45 independent intellectual properties with over 10 new IPs added annually. Beginning in fiscal year 2025, We intensify development of generated AI production tools, AI native workflows, AI agent-driven data governance frameworks. We believe that our scale advantage in 3D digital assets, combined with deep production expertise, positions us uniquely for the next generation of AI-driven content creation. Now let's turn to our mission, vision, and values, which define who we are as a company and guide us in everything we do. Starting with our mission, we aim to empower creativity through the innovative use of AI and digital technology. This mission drifts our efforts to push boundaries and redefine what's possible in the digital content industry. Our vision is clear, to drive technological advancements while cultivating a culturally rich corporate environment. Our values, first, foster innovation, encouraging both ideas and groundbreaking solutions. Second, we prioritize and exceed customer expectations, delivering value that goes beyond the ordinary. Ultimately, our ambition is to build the world's leading digital asset bank, serving as a foundational infrastructure for AI-native content industries. The Godspeed platform is a flagship AIGC platform designed for industrial-grade cinematic production. Built on NVIDIA Omniverse, Godspeed enables professional-grade visual generation. Godspeed creates stunning, realistic visuals with advanced AI technology, ensuring top-quality results for virtual projects. Storyboard and Shot Design. It provides intuitive tools for detailed storyboard and shot design. allowing creators to visualize and plan each scene precisely, reducing the need for costly revision. A precise pre-production planning. Godspeed offers advanced privacy capabilities for accurate pre-production planning, helping clients define service needs and minimizing trial costs. Editable assets. The videos, scenes, and 3D digital assets generated by Godspeed can be re-edited to meet more customized demands. providing flexibility and adaptability for various project needs. We are confident in Gospry's ability to transform the filmmaking industry by providing a powerful AI-driven tool that enhances creativity and efficiency. Our 150,000 plus high precision 4K 3D digital assets form the backbone of AI capabilities. These assets span characters, scenes, and props, natural environments, science fiction, historical eras, and architecture. This asset bank enables faster production cycles, higher visual fidelity, scalable AI training, and interference.

It is a foundational competitive mode for global multi.

Mophie Lab integrates over 40 preparatory software systems into a one-stop content generation platform. Key capabilities include high-precision 3D reconstruction technology, digital content editing middleware, low-code and low-code production tools, asset reuse, invocation, and workflow optimization. Global Mophie allows us to deliver systematic, repeatable, and scalable production outcomes. This slide summarizes several defining moments of Global Mophie in the past few years. NASDAQ listing and increased global visibility. Launch of a Zhejiang headquarters. Entry into the AIGC field through strategic partnerships. Completion of a major strategic transformation. Each milestone reflects progress towards an AI-native operating model. Our management team brings deep expertise across technology, finance, and operations. Led by our CEO, Mr. Haogang Yang, and supported by CFO, Mr. Chen Chen, CTO, Mrs. Wenjing Jiang, and CMO, Mr. Nan Zhang, the team continues to execute our strategy with discipline and a long-term focus. Financial data-wise, now let me talk specifically walk you through our financial performance for the fiscal year end of September 30th, 2025, and provide some additional context around the key drivers behind these results. As of September 30th, 2025, the company's total asset increased to $78 million, compared to $59.2 million as of September 30th, 2024, representing a 31.9% year-over-year increase. This growth was primarily driven by our continued investment in intangible assets, particularly those related to 3D digital assets and AI-related technologies. These investments reflect our deliberate strategy to strengthen Global Mophie's long-term technology foundation, expand our digital asset bank, and support the transition toward AI-native production workflows. Revenue for fiscal year 2025 increased to $55.9 million, representing a 35.3% increase from $41.4 million in fiscal year end 2024. This growth was driven by sustained demand for virtual content production and 3D digital assets licensing business across multiple end markets, including film, television, advertising, game and digital tourism, and etc. Demand remained resilient throughout the year, reflecting both the recovery of content production activity and increasing adoption of digital and AI-enabled production solutions. In addition, during fiscal year 2025, the company proactively responded to the active expansion of the short-form drama market, by adopting an innovative cooperation model to participate in short-form drama investments and production projects. While still at a very early stage, we believe the continued expansion of this business line will further diversify our revenue streams and provide incremental revenue support over time, complementing our core virtual technology services. Gross profit and gross margin. Gross profit for fiscal year 2025 was at $22.5 million compared to $20.8 million in fiscal year 2024. Gross margin was 40.2% for the year. The year-over-year margin profile reflects a period of intentional investment. As we continue to scale our AI-initiated production infrastructure, expanded R&D initiatives, and deployed AI-agent-based workflows, designed to support long-term automation and efficiency. While these investments weighed modestly on near-term margins, we believe they are critical to unlocking structural margin expansion in future periods, particularly as AI workflow, mature and production efficiency continues to improve. Research and development expenses. for the fiscal year of 2025 totaled to around $7.9 million, compared to $7.4 million in fiscal year 2024, representing a 6.7% year-over-year increase. These investments were primarily focused on expanding and enhancing our 3D digital asset library to support growing AI-driven demand, advancing the development of AI-based generative tools and initiating AI-native production workflow research through the launch of Ghost AI Lab. We believe that these R&D efforts are essential to support long-term efficiency, scalability, and intelligence production capabilities, and position Global Mophie for sustained growth as AI-native adoption accelerates across the digital content industry. Global Mophie is transitioning from using AI tool to embed in AI natively across production, data, and workflows. Our growth strategy focused on international market expansion, especially in June 2025, Google mostly made a strategic investment in B-Truck AI, a digital freight platform headquartered in Ethiopia, marking the company's first direct market entry into Africa, and represents an important step in expanding the application for AI capabilities beyond digital content into real-world infrastructure and logistics scenarios in emerging markets. Building on this foundation, in January 2026, the company recently established EaglePoint AI Inc., a Delaware-based AI infrastructure company, majority owned through a wholly owned US subsidiary, GMM Discovery LLC. EaglePoint AI focused on AI data engineering, data governance, and AI model training support, serving as a critical component of a global AI infrastructure plan out. Additional growth strategies also include strategic alliance and selective acquisition, brand positioning as an AI-native content infrastructure provider, continued R&D investment in AIGC and asset expansion, enhanced customer experience through intelligent workflows, These strategic strategies together underpin our long-term margin expansion and scalability. Thank you for your attention, and before we open the floor for questions, please note that a management team will be answering in Chinese for any discrepancies between the translated responses and the original answers. The original answers should be considered accurate. Please feel free to ask any questions you may have about our financial performance, strategic initiatives, our market outlook, Operator, please open the line now for questions.

Thank you. At this time, we will conduct the question and answer session. As a reminder, to ask a question, you need to press star 1 and 1 on your telephone and wait for your name to be announced. To withdraw your question, please press star 1 and 1 again. Once again, please press star 1 and 1 on your telephone and wait for your name to be announced. To withdraw your question, please press star 1 and 1 again. Please stand by while we compile the Q&A roster. We are now going to proceed with our first question. Once again, if the question is withdrawn, please press star one, one on your telephone and wait for your name to be announced. To withdraw your question, please press star one and one again. Please stand by while we compile the Q&A roster. Thank you. We're going to proceed with our first question. Questions come from the line of Donna Young from Red Dragon. Please ask your question.

Okay, here's my first question. Could you explain how the company maintains a stable and strong revenue growth trajectory?

Okay, so I will now translate the question for our CFO, Mr. Chen Chen, for answer. This investor asks, can the company explain how the company maintains a stable income growth?

OK, let me answer this question. First of all, our annual income in 2025 reached $5594 million. and increased by 35.3% in 2024. This is also a record high for our company. Our growth has been affected by three factors. First, our private assets are constantly increasing in demand for many applications such as movies, advertisements, and literature. Secondly, the overall development of our current market It also led to the demand for high-quality virtual production content. The last aspect is to adapt to the rapid growth of the short-term market. The company has entered the short-term investment and production field through this innovative cooperation model, and has further expanded its right-hand side. We also believe that as the short-term production business continues to advance, our board will also provide more diversified sustainable support for group acquisition structures.

I will now translate the answers from Mr. Chen Chen. In fiscal year 2025, the company achieved a revenue of US dollars, $55.94 million, representing a 35.3% year-over-year increase and marking a record high in our history. Mr. Chen Chen emphasized that this growth was primarily driven by three factors. First, continued demand grows for 3D digital assets and models across multiple application areas, including film, television, advertising, and virtual cultural tourism. Second, the overall expansion of the film, TV, and short drama markets, which increase demand for high-quality virtual content production services. Third, in response to the rapid-growing short drama market, The company adopted innovative cooperation models to enter short drama investment and production, further diversifying our revenue sources. Mr. Chen Chen emphasized that we believe the continued development of the short drama business will provide additional revenue support and diversification going forward.

Okay, thank you very much for the answer.

And following that...

I have the second question. Can you provide an outlook on the future performance?

Thank you for your question. And I will now translate the question for Mr. Chen Chen's answer. Okay.

On the basis of the stable growth of the existing two core lines, the company has also expanded its short-term production business in the fiscal year of 2025, and simultaneously promoted strategic planning in the field of AI Agents. This is also the basis for the development of e-sports in the future. Looking forward to the fiscal year of 2026, I expect the company to continue to maintain this high-growth fast pace, Thank you, Mr. Chen Chen.

And I will now translate Mr. Chen Chen's answer for your question. Mr. Chen Chen answered that building on the stable growth of existing core business lines The company expanded into short drama production in fiscal year 2025 as part of our virtual technology services and continued to advance our strategic planning in the AI agent space, which together strengthened our growth foundation. Looking ahead to fiscal year 2026, we expect to maintain strong growth momentum and further expand our market presence across key application areas through ongoing technological innovation, supporting sustainable and steady revenue growth over the long term.

Okay, thank you.

Okay, thank you. Thank you.

As a reminder, to ask a question, please press cell 1 on your telephone and wait for your name to be announced. To withdraw your question, please press cell 1 and 1 again. Please stand by while we compile the Q&A rollout. We are now going to proceed with our next question. And the questions come from . I am showing no further questions. Please do not turn back to closing remarks.

Hi operator, can you repeat one more time the directions to join the call? Sure, thank you. As a reminder, to ask a question, please press star 1 1 on your telephone and wait for your name to be announced.

To withdraw your question, please press star 1 1 again. Once again, please press star 1 1 on your telephone and wait for your name to be announced. To withdraw your question, please press star 1 1 again. We are now going to proceed with our next question.

The next questions come from the line of Jason Liu from Clash AI. Please ask your question. Can you hear me? Yes, we can hear you.

I've got two questions. And the first one is, over the next three to four years, Will the company prioritize the technical tips or ecosystem expansion and how will resources be allocated?

And then I'll now translate the question for our CTO, Mrs. Wenjun Jiang, for answers. The investor just asked if the company's strategic center in the next three to five years technology development or ecological expansion, and how do we plan to allocate our resources? Thank you for your question.

I will answer this question. At present, we believe that there is no conflict between technology development and ecological expansion. There should be mutual support between them. In fact, in terms of technology development, we continue to consolidate the core competitiveness of the company in order to deal with the market environment of rapid change. The expansion of the ecosystem is based on a technical advantage. In order to attract more digital content, literature, and entertainment projects, the relationship between them should be to expand the application for a long time. Our resource allocation can actually be described as technology first and service first. In terms of technology, we will continue to expand in the core technology field of AIGC and 3D reconstruction. Thank you.

Thank you, Mrs. Wenjingjia, and I will now translate the answers from Mrs. Wenjingjia. As CTO, Mrs. Wenjingjia has just answered that we believe the technological depth and ecosystem expansion are complementary other than conflicting. Deepening our technology enables us to respond effectively to evolution market dynamics. While ecosystem expansion allows us to leverage existing technological strengths to attract more digital content, cultural tourism, and entertainment projects, our resource allocation philosophy can be summarized as technology-first and service-driven. Technology priority includes continued investment in AIGC and 3D reconstruction technologies, both of which form our core competitive advantages. So the expansion, including leveraging these technologies to broaden application scenarios and deliver more comprehensive solutions to clients. The company, Global Mophie, will remain technology driven while steadily expanding its ecosystem to achieve balanced growth and innovation. Thank you. We hope we have answered your question well. And if you have further questions, you may ask now.

Yeah, I got one more question. The second one is short-term investment, long-term strategy, or short-term materialization approach.

And I will now translate the question for our CTO, Mrs. Wen Junjiang for Asus. This investor just asked, Is short-term investment our company's strategic strategy, or is it just a short-term flow transformation?

Thank you for your question. I will answer this question. In fact, short-term investment is not a transformation method for our short-term flow. It is actually a key component of the long-term strategic layout of the company. Through some of the technical deficiencies, we are expanding and user experience optimization. Short-term investment is not only helpful for us to enhance the influence of the brand, but it is also a new entrance for the company to expand the market and verify technical capabilities. Okay, thank you, Mrs. Leng Junjiao.

And I will now translate your answers in English. First of all, short drama investment is not merely a short-term monetization tool. but rather than an integral part of the company's long-term strategic planning. Driven by technology, ecosystem expansion, as mentioned before, and user experience optimization, ShortDraw must enhance brand visibility while serving as a strategic entry point for a broader market and technology application. We build the segment as a platform for aligning technical capabilities with sustainable commercial values. Thank you, Lucy. We hope that we have answered your questions, and if you have any more questions, you may raise them now. If not, you may hang up.

No, I'm good. Thank you so much. Thank you so much.

I am showing no further questions at this time, so I'll send the call back to management.

Thank you. Thank you all for your insightful questions and for joining us today. On behalf of the entire Global Mophie team, we thank you for your continued support and interest in our journey. We look forward to reconnecting with you again soon. If you have any further questions, please do not hesitate to reach out to our investor relations team through email. Have a great day.

Conference, this does conclude the program. You may now disconnect.