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VSBLTY Groupe Technologies (VSBY) investor relations material

VSBLTY Groupe Technologies Q3 2024 earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
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Q3 2024 earnings summary5 Dec, 2024

Executive summary

  • Q3 2024 revenue reached $0.35 million, up 250% year-over-year, with YTD revenue at $868,000, driven by the Winkel Master Service Agreement and Shelf9 acquisition.

  • Operating loss narrowed to $1.4 million from $2.9 million in Q3 2023, attributed to cost controls and cloud architecture improvements.

  • Deferred revenue from the Winkleville JV totals $2.1M, with $2.7M in JV debt due to be recovered in 2025.

  • Broad austerity initiatives led to $1.3 million in cost reductions, including a 50% decrease in cloud computing costs.

  • Shelf9 underperformed expectations but has entered a pilot with a major partner for up to 3,000 retail locations in 2025.

Financial highlights

  • Q3 2024 revenue up 250% year-over-year to $0.35 million; YTD revenue at $868,000 versus $319,000 last year.

  • Operating loss improved to $1.4 million in Q3 2024 from $2.9 million in Q3 2023; YTD operational loss reduced to $4.3M from $7.7M.

  • Cost reductions of $1.3 million achieved, with cloud computing costs cut by 50%.

  • Deferred revenue and loans from Winkleville JV total $4.8M, expected to be recognized/collected in 2025.

Outlook and guidance

  • Expectation to recognize deferred revenue and recover JV debt in 2025 as Winkleville JV is now a going concern.

  • Management anticipates further growth, supported by a robust sales pipeline in retail and security sectors.

  • Plans to deploy an additional 1,000 Winkel stores in Mexico in 2025, focusing on high-revenue markets.

  • Shelf9 pilot with a $1B partner could lead to significant scale if pilot metrics are met.

  • Anticipates cash flow positivity possible by year-end on a cash receipts basis, but not on an audited revenue recognition basis.

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Frequently asked questions

VSBLTY Groupe Technologies Corp. is a provider of artificial intelligence-driven security and retail analytics technology. Their solutions are at the intersection of marketing and security, transforming retail spaces and public areas into interactive, smart environments. Through edge and cloud-enabled digital display solutions, VSBLTY allows retailers to enhance customer experiences with proximity-aware, interactive brand messaging based on demographics, identity, or sentiment. The company is headquartered in Philadelphia, Pennsylvania, and its shares are listed on the Canadian Securities Exchange.

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