NexTech AR Solutions Corp (OTCMKTS:NEXCF) (CSE:NTAR) said Friday that it has completed a 2019 year-end audit which saw over $6 million in revenue and $3.2 million in profit for the 12-month period, helped immeasurably by a series of technological breakthroughs.
The company’s financial year has been changed from end-May to end December.
For the seven-month audited period from end-May to end-December, Nextech reported $4 million in revenue with gross profit of $2.3 million.
NexTech had cash of $2.8 million and positive working capital of $3.3 million as of December 31, 2019.
The company said it achieved a “technological breakthrough” last year that enables dynamic 3D renderings of complicated objects in its web-based augmented reality (AR) platforms for Android, iOS devices and Mac and Windows computers.
It also launched ARitize University, an app-based solution that allows educational institutions to leverage their existing two-dimensional assets — YouTube videos, PDF documents, PowerPoint decks, and images — and overlay immersive three dimensional augmented reality experiences on top of the original 2D content to enhance the learning process.
In a statement, NexTech CEO Evan Gappelberg pointed out that the company has an “amazing team” that continues to execute on generating revenue and scaling its multiple business segments despite the coronavirus pandemic.
“I am especially pleased with the execution of our AR e-commerce initiative and really excited about the upside in our new acquisition of remote video training, live streaming software company Jolokia,” said Gappelberg.
NexTech has integrated Zoom Video Communications Inc (NYSE:ZM) technology with its soon-to-be-acquired live streaming software company, Jolokia, effectively extending the range of Zoom meetings to include 100,000 people at once.
“The coronavirus has caused a mass cancellation of all conferences and live events forcing companies to look for alternates like virtual conferences, augmented reality and virtual reality-driven events,” noted Gappelberg.
“With our extensive AR/VR technology stack, growing AR e-commerce businesses plus this acquisition, NexTech has positioned itself at the right place at the right time to participate in the shop from home (SFH), work from home (WFH), new global paradigm shift,” he added.
Meanwhile, NexTech achieved $800,000 in revenue in January this year and gross profits of $528,000. This is the highest revenue in a single month for NexTech, which represents a 110% increase in revenue and 172% increase in gross profit year-over-year.
The company recently launched it’s 3D/AR Ad Network which it believes will "drive substantial revenue growth in 2020." Nextech 360 is an advertising platform for brands, publishers, and developers which powers immersive advertising across all browsers and devices, on web and mobile.
The company’s first-quarter 2020 financial results are expected to be released in May.
NexTech is one of the leaders in the rapidly growing augmented reality industry, estimated to hit $120 billion by 2022, according to Statista. The company also offers AR for e-commerce companies, AR in Chat, an ARitize App, AR University for education and “v-commerce,” an in-store virtual reality experience.
Contact the author Uttara Choudhury at email@example.com
Follow her on Twitter: @UttaraProactive