The Glimpse Group, Inc.

AI into our immersive products, the filing of seven new patents primarily focused on the integration of AI with immersive technologies, all while maintaining high gross margins and a clean balance sheet. Our software products and services are at the forefront of several key emerging technology segments, immersive, spatial computing, AI, cloud. We have established a track record of working with major customers across industries, as well as relationships with some of the leading companies in the tech world and have a significant pipeline and growth potential. However, these have not translated into significant shareholder value creation, which has led us to strategically review and with the board's approval of the plan that will unlock and create far more value for all of us as shareholders. I will go into more details later in my prepared remarks. Driving our growth going forward, our main engine is our subsidiary Brightline Interactive. As a quick reminder, VLI, through its product Spatial Core, provides advanced spatial computing, AI-driven operational simulation middleware software and solutions to the Department of War and big data-driven enterprises. Spatial Core sits at the intersection of spatial computing, immersive technologies, AI, cloud, and geospatial data. We view it as an operating system for computing, processing, and visualizing information in three-dimensional space on the cloud. DLI specializes in creating AI-supported workflows on top of dynamic synthetic environments that integrate multi-model and real-time data to accelerate decision-making enhance mission readiness, and expand human and non-human training capabilities that can be used in a variety of arenas, including digital twins, robotics, drone, and autonomous vehicles. While spatial core is at the cutting edge of technology, it is not science fiction. It is based on BLI's established 15 years of technological development, deep knowledge base, and rooted in proven, paid-for contracts with major entities with high operational and executional requirements. In fiscal year 2025 alone, Rightline achieved several critical milestones, including successfully executing and delivering the development of a unified synthetic training ecosystem for a major DOW entity, a four plus million dollars initial contract. The system enables soldiers to train, plan, and execute missions in a fully virtualized environment, providing interfaces for collaboration and digital twin integration and functionality. Entered in a two plus million dollar spatial core contract with another DOW entity as the direct prime to be delivered over the next 12 months. While we can't go into any additional details just yet, it has similar AI and deep tech characteristics as other spatial core contracts. Successfully delivered first full-motion immersive simulator to the U.S. Navy, providing the U.S. Navy with advanced simulation capabilities that bridge the gap between the real and virtual worlds. This state-of-the-art system incorporates spatial computing elements to enable high-level cost-effective simulations, ensuring that military personnel can train in realistic and immersive environments. delivered an advanced immersive simulation to a large government service integrator. PLI was able to create a sophisticated spatial simulation in record time, setting what we believe has the potential to become a new industry standard. This initial simulation project was developed with the goal of allowing the GSI to gather simulation needs from others to then add to this build for further deployments in a cost-effective and scalable manner. entered into a cooperative research and development agreement, CRADA, with the U.S. Army Combat Capabilities Development Command, Command Control, Communication, Computer, Cyber, Intelligence, Surveillance, and Reconnaissance Center. Brightline to develop, assess, and improve workflows to create and augment synthetic imagery for use in training and assessing artificial intelligence and machine learning algorithms. These, in addition to prior recent years' achievements, represent initial contracting validation of VLI's technology and delivery capabilities. All of these have the potential to expand into multi-million, multi-year follow-on contracts, leading to, eventually, possible inclusion in programs of record, which are exceptionally large, long-term, DOW contracts. In addition, BLI has a robust pipeline of new potential customers, both in the DOW space and in the enterprise big data segment, oil and gas, aviation, tech, and many others. We believe that BLI's growth potential is immense, even if it does not immediately materialize to its fullest extent and takes time to fully develop. DOW contracting, for example, is notoriously slow and quite complex. In parallel to Brightline, our other entities also achieved major milestones during the fiscal year, including an NIH grant in partnership with Yale Medical, Drexel University, and New Jersey Institute of Technology to advance VR education for adolescents and young adult cancer patients. Partnership with Montefiore Einstein for VR study for teen mental health. Reedy Immersive Enterprise Service Agreement with the leading global energy tech company. Mortel Reality, our subsidiary, entered into several contracts for its AI-driven immersive training product, while Glimpse Learning entered into multiple software license contracts in the healthcare and educational segments. Despite all of this, we don't believe that our intrinsic value, and certainly not Brightline's, is reflected in Glimpse's current valuation, not even remotely in our view. Indeed, based on our internal analysis, we believe that BLI's public company comps alone in the defense tech AI segment trade at vast multiples of trailing annual revenue. Even if a significantly discounted revenue multiple was to be applied to BLI, its valuation would far exceed Glimpse's current valuation. We believe that Whiteline's true value and potential is hidden within the Glimpse umbrella and is potentially encumbered by it. This being the case, And in light of Glimpse's current position as a largely abundant illiquid microcap, we have reached a conclusion that the best way to maximize shareholder value for Glimpse shareholders and to increase VLI's chances of success is to spin out VLI. If successful, VLI will become an independent, publicly traded company, a pure play, well-funded, standalone spatial computing, AI-driven, cloud operational simulation middleware provider to the DOW and big data-driven enterprises. While the final methodology has not been determined yet and success is not guaranteed, our board of directors has approved the strategy and general process, which we expect to play out in the coming months. As part of the process, the plan is for Glimpse shareholders to be issued shares in the spun-out VLI public entity as a distribution. In parallel, current Glimpse shareholders will maintain their holdings in Glimpse which we believe could have considerable and attractive going forward alternatives to pursue as a clean, healthy NASDAQ technology company. With that, I will now turn it over to Meydan Rothblum, Clemson CFO and COO, to review the financial results. Meydan?

Thanks, Liron. I will limit my portion to a summary review of our financial results. A full breakdown is available in our 10-K and press release that were filed earlier today and yesterday afternoon. Please note that I may refer to non-GAAP measures. For the calculation of non-GAAP measures, please refer to the MD&A section of our 10-K filing. Fiscal year 25 revenue of approximately $10.5 million, an increase of approximately 20% compared to fiscal year 24 revenue of approximately $8.8 million. The increase was primarily driven by an increase in spatial core revenues and despite the divestiture of non-core assets and entities. Q4 fiscal year 25, that's the April to June 25 quarter, revenue of approximately 3.5 million, an approximate 105% increase compared to Q4 fiscal year 24 revenue of approximately $1.7 million and an approximate 150% increase compared to Q3 fiscal year 25, that's the January to March 25 quarter, revenue of approximately $1.4 million. We expect fiscal year 26 revenue to exceed fiscal year 25 revenue. However, given the nature of Brightline's DOW-driven contracts, revenue recognition timing and potential US government budget delays, the per quarter revenue in fiscal year 25 is expected to be quite choppy with significant movement from quarter to quarter. We expect Q1 fiscal year 26 to be significantly lower than Q4 fiscal year 25 and revenues to grow sequentially in the following quarters. Gross margin for fiscal year 25 was approximately 67.5% on par with 67% for fiscal year 24. We expect our gross margins to remain in the 65% to 75% range due to a larger portion of revenue coming from spatial core and software license sales. We were essentially cash break even for the fiscal year, marking an extraordinary turnaround. Net operating cash loss in fiscal year 25 was approximately negative 0.27 million compared to a net operating cash loss of approximately negative 5.2 million for fiscal year 24 reflecting our significant reorganization efforts cost reductions revenue growth and the main maintenance of high gross margins the company's cash and equivalent position as of june 30 2025 was approximately 6.85 million with an additional $0.85 million in accounts receivable. We continue to maintain a clean capital structure, no debt, no convertible debt, and no preferred equity. I'd now like to pass it back to Yaron for some closing remarks, after which we will begin our Q&A session.

Yaron? Thank you, Maydan.