Nextech3D.ai Reports Fiscal Year 2023 and Fourth Quarter 2023 Audited Financial Results

2023 Annual revenue growth of + 56%

2023 Annual revenue of $5 million

TORONTO, ON / ACCESSWIRE / April 29, 2024 / Nextech3D.AI (OTCQX:NEXCF)(CSE:NTAR)(FSE:EP2), a patented 2D-3D Generative AI-Powered 3D model supplier (Patent #11,948,248) for Amazon, Miele, P&G, Kohls, Wesfarmers Group "Bunnings" and other major e-commerce retailers reports its Fiscal Year 2023 and Fourth Quarter 2023 Financial Results the year ended December 31, 2023.

Please join Evan Gappelberg, Chief Executive Officer and Andrew Chan, Chief Financial Officer today after the close where Nextech3D.ai will host a conference call to discuss these financial results.

Evan Gappelberg - CEO Commentary:

Preliminary Annual 2023 Financial Highlights

2023 Annual revenue growth of + 56%

2023 Annual revenue of $5 million compared to $3.2 million in 2022

70,000 3D models created to date

2024 Outlook

New demand for 3D models expected to gain momentum throughout the year driven by large enterprise customers

2023-Cost cutting measures and pivot to India to reduce the company's burn in 2024 by as much as 75%

Q1 2024 Gross Profit margins estimated to be 50-55%

Q2 2024 Gross margin estimated to be 80%

Q2 Improved margins puts India 3D modeling business as a stand alone business unit projected to go cash flow positive

New 3D photography and AI driven product launches expected to drive additional revenue and growth in 2024

Multiple patents already issued in 2024 with additional patent issuances expected

Company is Launching Several Enhanced AI 3D Productivity Tools in Q2, Q3 2024

NexTech3D.AI Corporation
Statement of Financial Position
December 31, 2023

		31-Dec-23				31-Dec-22
ASSETS
Current
Cash & cash equivalents			907,847				3,777,117
Receivables			357,398				744,331
Contract asset			51,320				589,015
Finance lease receivable on sublease CP			199,933				-
Prepaid expenses			294,471				310,906
Inventory			-				45,289
Non current assets held for sale			-				501,188
Total current assets			1,810,969				5,967,846
Equipment			325,633				278,463
Deferred consideration			206,850				-
Right of use asset			-				829,278
Finance lease receivable on sublease			642,983				-
Intangible assets			-				3,313,741
Goodwill			-				6,746,378
Total assets			2,986,435				17,135,706
LIABILITIES
Current
Accounts payable and accrued liabilities			3,531,460				2,641,918
Deferred revenue			342,192				437,746
Lease liability			143,722				222,250
Liabilities associated with assets held for sale			-				92,532
Total current liabilities			4,017,374				3,394,446
Lease liability - non current			469,624				582,586
Deferred tax liabilities			-				29,974
Total liabilities			4,486,998				4,007,006
Shareholders' Equity
Share capital			91,909,495				83,271,707
Reserves			14,166,972				12,754,706
Accumulated Other Comprehensive Income			678,143				827,101
Shareholder's equity attributable to Nextech shareholders			(112,211,223	)			(85,898,862	)
Total common shareholders' equity			(5,456,613	)			10,954,652
Non controlling interest			3,956,050				2,174,048
Total equity			(1,500,563	)			13,128,700
Total liabilities and shareholders' equity			2,986,435				17,135,706

NexTech3D.AI Corporation
Statement of Loss and Comprehensive Loss
December 31, 2023

								YTD
								31-Dec-23				31-Dec-22
									$				$
Revenue									5,033,202				3,224,791
Cost of sales									(3,586,162	)			(1,593,076	)
Gross profit									1,447,040				1,631,715
Operating expenses:
Sales and marketing									4,546,502				5,013,367
General and administrative									9,362,610				13,377,575
Research and development									3,249,799				3,892,208
Stock based compensation									1,775,695				1,715,690
Amortization									2,105,689				2,655,652
Right of use amortization									55,728				76,905
Depreciation									87,824				122,930
Operating profit (loss)									(19,736,807	)			(25,222,612	)
Other income (expense):
Gain on sublease recognition									120,626				-
Loss on asset disposal									(85,679	)			-
Gain on liability									-				381,019
Impairment of intangible assets and goodwill									(7,575,263	)			(476,113	)
Foreign exchange gain (loss)									(14,393	)			1,345,593
Profit (Loss) before income taxes									(27,291,516	)			(23,972,113	)
Current income tax expense									-				(34,937	)
Deferred income tax recovery									29,974				672,148
Net income (loss) from continuing operations									(27,261,542	)			(23,334,902	)
Income (loss) from discontinued operations									(452,814	)			(4,043,424	)
Net loss									(27,714,356	)			(27,378,326	)
Other comprehensive income (loss)
Exchange differences on translating foreign operations, continuing operations									(148,958	)			(432,845	)
Comprehensive income (loss)									(27,863,314	)			(27,811,171	)
Net loss from C/O attributed to:
Parent									(25,109,547	)			(22,896,701	)
Non controlling interest - PL									(2,151,995	)			(438,201	)
Net loss from D/O attributed to:
Parent									(452,814	)			(4,043,424	)
Non controlling interest - PL									-				-
Comprehensive loss attributed to:
Parent									(25,711,319	)			(27,372,970	)
Non controlling interest									(2,151,995	)			(438,201	)
Loss per share from C/O - basic and diluted									(0.22	)			(0.24	)
Loss per share from D/O - basic and diluted									(0.00	)			(0.04	)
Weighted average number of common shares outstanding
Basic and diluted									114,085,494				100,201,691

NexTech3D.AI Corporation
Statement of Cash Flow
December 31, 2023

		YTD
		31-Dec-23				31-Dec-22
Operating activities:
Net loss			(27,714,356	)			(27,378,326	)
Adjustment for:
Interest income from sublease			(39,903	)			-
Interest expense from lease			30,217				28,668
Stock based compensation			1,775,695				1,715,690
Amortization of intangible assets			2,105,689				2,655,652
Amortization of ROU			55,728				261,101
Depreciation of property and equipment			87,824				143,567
Gain on sublease recognition			(120,626	)			-
Loss on asset disposal			85,679				-
Gain on short-term investment			-				(381,019	)
Impairment of intangible assets & goodwill			7,759,360				3,178,426
Expenses paid by shares			648,891				1,917,837
Loss on PET disposal			173,534				-
Income tax expense (recovery)			-				-
Changes in non-cash working capital balances
Receivables			386,933				269,873
Contract asset			537,695				(202,813	)
Prepaid expenses			16,435				408,743
Inventory			45,289				2,954,342
Accounts payable and accrued liabilities			917,814				(24,574	)
Deferred revenue			(95,554	)			(171,255	)
Deferred tax liability			-				(673,290	)
Total operating cash flow			(13,343,656	)			(15,297,378	)
Cashflows from investing activities
Purchase of equipment			(227,250	)			(101,784	)
Payments received from sublease			66,554				-
Net cash provided by (used in) investing activities, continuing operations			(160,696	)			(101,784	)
Cashflows from financing activities
NTAR - Net proceeds from private placements			5,726,654				8,890,349
NTAR - Proceeds from Employee Pay Program			2,269,704				2,496,628
Proceeds from securities issuances to NCI			2,813,107				1,657,354
Repayment of loan			-				(90,896	)
Payments of lease liability			(203,762	)			(388,804	)
Net cash provided by (used in) financing activities, continuing operations			10,605,703				12,564,631
Effects of foreign exchange on cash			29,379				(616,272	)
Change in cash during the period			(2,898,649	)			(2,834,531	)
Cash, beginning of period			3,777,117				7,237,296
Cash, end of period, continuing operations			907,847				3,786,493
Cash, end of period, continuing operations			907,847				3,777,117
Cash, end of period, discontinuing operations			-				9,376
Taxes paid			-				27,005
Interest paid			30,217				30,910
Cash interest received			121,122				108,390

Conference Call Details:

Title: Nextech3D.ai Full Year 2023 and Q4 2023 Financial Results
Call Date: Monday, April 29, 2024
Time: 05:00 PM (GMT-04:00) Eastern Time (US and Canada)

Participant Details:

North America Toll-Free: [phone]
North America Toll: [phone]
International Toll: [phone]
Conference ID: 7778367
Webcast Attendee URL: https://events.q4inc.com/attendee/810085104

For those unable to join the live event, a recording of the presentation will be posted on the Company's investor relations website.

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For further information, please contact:

Investor Relations Contact

Julia Viola
[e-mail]

Nextech3D.ai
Evan Gappelberg
CEO and Director
866-ARITIZE (274-8493)

About Nextech3D.ai
Nextech3D.ai or the "Company," (OTCQX:NEXCF)(CSE:NTAR)(FSE:1SS), is a versatile augmented reality and AI technology company that utilizes its proprietary artificial intelligence (AI) to craft immersive 3D experiences at scale for E-COMMERCE. The Company's primary focus lies in creating high-quality 3D WebAR photorealistic models for Amazon and various other online retailers with patented 2D-3D technology. Nextech3D.ai has adopted a unique approach to creating shareholder value beyond its operating business of creating 3D models.

The Company also develops or acquires disruptive AI-technologies, which are subsequently spun out to shareholders as standalone public companies. This spin-out strategy allows Nextech3D.ai to issue stock dividends to its shareholders while maintaining significant ownership in the public spin-out, without dilution to the parent company Nextech3D.ai.

Notably, Nextech3D.ai successfully spun out "ARway," (OTCQB:ARWYF)(CSE:ARWY)(FSE:E65) its spatial computing platform, as a standalone public company on October 26, 2022. The Company retains a 49% stake with 13 million shares in ARway Corp. while distributing 4 million shares to Nextech shareholders.

Similarly, Nextech3D.ai accomplished its second spin-out launching Toggle3D.ai, (OTCQB:TGGLF)(CSE:TGGL)(FSE:Q0C) an AI-powered 3D design studio aimed at competing with Adobe. The Company retains a 44% stake with 13 million shares in Toggle3D.ai Corp.

To learn more, please follow us on Twitter, YouTube, Instagram, LinkedIn, and Facebook, or visit our website: https://www.Nextechar.com.

Forward-looking Statements
The CSE has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

Certain information contained herein may constitute "forward-looking information" under Canadian securities legislation. Generally, forward-looking information can be identified by the use of forward-looking terminology such as, "will be" or variations of such words and phrases or statements that certain actions, events or results "will" occur. Forward-looking statements regarding the completion of the transaction are subject to known and unknown risks, uncertainties and other factors. There can be no assurance that such statements will prove to be accurate, as future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information. Nextech will not update any forward-looking statements or forward-looking information that are incorporated by reference herein, except as required by applicable securities laws.

Foto: Accesswire

SOURCE: Nextech3D.ai

View the original press release on accesswire.com


The NexTech AR Solutions Stock at the time of publication of the news with a raise of 0,00 % to 0,471CAD on Lang & Schwarz stock exchange (14. Juni 2023, 07:57 Uhr).