The Glimpse Group, Inc.

Greetings, and welcome to the Glimpse Group Fiscal Year 2021 Financial Results Conference Call. At this time, all participants are in a listen-only mode. A question and answer session will follow the formal presentation. As a reminder, this conference is being recorded. Before we begin the formal presentation, I'd like to remind everyone that statements made on today's call and webcast, including those regarding future financial results and industry prospects, are forward-looking and may be subject to a number of risks and uncertainties, that could cause actual results to differ materially from those described in the call. Please refer to the company's regulatory filings for a list of associated risks, and we would also refer you to the company's website for more supporting industry information. I would now like to hand the call over to Leron Bentivim, President and CEO of the Glimpse Group. Leron, the floor is yours.

Thank you, Operator, and thank you, everyone, for joining us. I'm pleased to welcome you to the Glimpse Group's fiscal year 2021 financial results for year-ending June 30, 2021 conference call. Since this is our first public earnings call, I want to take this opportunity to provide a quick overview of the Glimpse Group to anyone who is new to our story. The Glimpse Group is a diversified virtual reality and augmented reality platform company comprised of multiple wholly-owned integrated VR and AR enterprise-focused software and services subsidiary companies, providing investors an opportunity to invest directly into this emerging VR and AR industry via a diversified platform. We created Glymphs with the vision of cultivating companies in the emerging VR AR industry, simplifying the challenges they face, creating a robust ecosystem capturing wide IP, while creating scale and cost efficiencies rarely seen in early stage industries and mitigating risk for the investors and the entrepreneurs. Fiscal year 2021 was our fifth year of operation and a pivotal year for the Glimpse Group, highlighted by several achievements as we look to continue to establish our unique business model and strengthen our market position in the rapidly growing immersive technology space. We successfully completed a $14.1 million initial public offering and the listing of Glimpse common shares on the NASDAQ Stock Exchange, establishing ourselves as the first pure-play, NASDAQ-listed, diversified, virtual and augmented reality software and services company. Although our fiscal 2021 was impacted by the pandemic, we still saw continued strong top-line revenue growth, 76% year-over-year, This growth was fully organic and a result of new customer engagement and existing customer follow-on engagement, including several multi-year commitments. Our software license SaaS revenue grew by approximately 100% year-over-year. Our pure software and related service revenues, which does not include our VR and AR projects, grew by approximately 240% year-over-year and now comprise approximately 50% of our total revenue. During fiscal 2021, both our EBITDA loss and cash loss for operations improved significantly year over year as we continue to manage our growth efficiently. In conjunction with continued organic growth, select accretive acquisitions are a core part of our growth strategy. As an example, last month we acquired our 10th subsidiary company, OGGD, a provider of augmented reality software and services. This acquisition expanded Glymphs into a new vertical in the architecture, engineering, and construction AEC segment and allowed us to establish our footprint in Australia. We expect to close on additional acquisitions of various sizes in the coming months. We also added to our intellectual property portfolio with the issuance of our fourth patent. We have an additional nine patents previously filed and in the process with the Patent Office. We're striving to capture very wide and far-reaching concepts with significant potential when the industry matures. We improved the composition of our board by expanding the number of directors and adding new independent directors with significant industry expertise. With a clean capital structure, approximately $13 million of cash, and no material liabilities, we have the ability to capitalize on the significant growth opportunities in this emerging market and are well positioned for further organic and inorganic growth. After the recent acquisition of OGGD, The Glimpse Group has 10 subsidiary companies that are serving a diverse set of industries ranging from healthcare to corporate training, from financial services to therapy and support, from media and entertainment to education. We are constantly looking to add high quality companies that will expand us into new industry segments, increase our scale, further diversify and deepen the Glymph ecosystem, or enhance and strengthen our positioning in existing markets. We are very proud of the caliber and diversity of the partners and customers we are working with, and we look forward to continuing to expand these relationships and add new ones as we continue to grow. The diversity of our subsidiaries and of our customer base is evident from some of the recent announcements we've made over the last few months. Our learning and corporate training subsidiary company, AdeptXR, announced a multi-year partnership with higher education disruptor Edstudia to integrate its VR platform, elevate into Edstudia's curriculum, and build a unique, immersive virtual campus that would be the heart of Edstudia's educational activities. In July, we announced an innovative AR collaboration with Swiss Chalet, a recipe company which is one of Canada's largest full-service restaurant companies. to gamify the experience of the takeout shopper and connect them with the brand and the restaurant experience. Early adopter, our K-12 education subsidiary company announced the extension of its multi-year relationship with Avenues World School to bring a new dimension to the experience of its students, teachers, and parents using our Common Realm product, which allows students to present their work in augmented reality. Our subsidiary company, Fortel Reality, announced a multi-year license with Northstar Care to integrate its virtual reality support group solution with NSC's innovative addiction telehealth treatment. Our subsidiary company, Pagoni VR, announced its third year of working with Temple University to use its patent-pending Chimera platform to broadcast live interactive classes to students around the world. And our subsidiary company, Curio, announced its status as a preferred augmented reality partner of Snap, working in partnership with the Snap team to use Curio's lifelike AR content to bring dozens of brands to life on Snap lenses. These are just a few examples, and we hope to share more of the work of our subsidiaries and their partners with you over the coming months.

Overall opportunities in the immersive world