Glimpse Group Reports 25% Revenue Decline to $1.42 Million in Latest Quarter

The Glimpse Group, Inc. reported a total revenue of approximately $1.42 million for the three months ended March 31, 2025, a decrease of 25% compared to $1.90 million for the same period in 2024. For the nine months ended March 31, 2025, revenue remained relatively flat at approximately $7.03 million, down slightly from $7.08 million in the prior year. The decline in quarterly revenue was attributed to the timing of revenue recognition for certain projects and license renewals, while the annual figures reflect a transition to new customers aligned with the company's strategic focus on Spatial Core technology.

The company's gross profit for the three months ended March 31, 2025, was approximately $1.02 million, resulting in a gross profit margin of 72%, up from 70% in the prior year. For the nine-month period, gross profit increased to approximately $4.97 million, representing a 6% rise from $4.67 million in 2024. Operating expenses for the quarter decreased by 11% to approximately $2.60 million, while for the nine months, they increased by 4% to $7.58 million. The reduction in quarterly expenses was primarily due to the divestiture of the QReal business and a strategic shift towards more efficient operations.

In terms of strategic developments, Glimpse Group completed a Securities Purchase Agreement in December 2024, raising approximately $6.79 million through the sale of 2.75 million shares of common stock. The company also divested its subsidiary QReal, which is expected to yield operational cost savings moving forward. As of March 31, 2025, Glimpse Group had approximately 44 full-time employees, reflecting a streamlined workforce aligned with its strategic objectives.

Customer concentration remains a significant factor for Glimpse Group, with three customers accounting for approximately 52% of total gross revenues in the latest quarter. This concentration underscores the importance of maintaining strong relationships with key clients while also expanding the customer base. The company reported a net loss of approximately $1.50 million for the three months ended March 31, 2025, a slight improvement from a loss of $1.54 million in the prior year. For the nine-month period, the net loss was approximately $2.49 million, compared to $2.40 million in 2024.

Looking ahead, Glimpse Group remains optimistic about its future, emphasizing its commitment to the immersive technology market and the potential for growth through its diversified business model. The company believes it is well-positioned to meet operational plans and obligations, with sufficient liquidity to support its strategic initiatives. As of March 31, 2025, Glimpse Group reported cash and cash equivalents of approximately $7.06 million, reflecting a significant increase from $4.29 million at the same time last year.