Cuộc họp công bố kết quả kinh doanh quý 1 năm tài chính 2027 của Virtuix (VTIX): Lượng đơn hàng tăng 72%, biên lợi nhuận mở rộng

Virtuix (NASDAQ: VTIX) đã báo cáo doanh thu quý 1 năm tài chính giảm do các đợt giao hàng tồn đọng từ trước kết thúc, nhưng các đơn đặt hàng OmniOne mới và biên lợi nhuận gộp đã cải thiện. Ban lãnh đạo nhấn mạnh nhu cầu tiêu dùng do Meta thúc đẩy, các chương trình quốc phòng của Mỹ đang mở rộng và sự đón nhận ban đầu của các doanh nghiệp như Tesla và NASA.

Các điểm chính

• Doanh thu thuần quý 1 năm tài chính 2027 giảm 26% so với cùng kỳ năm trước xuống còn 767.000 USD, phản ánh việc hoàn thành các đợt giao hàng OmniOne còn tồn đọng từ trước. Doanh thu quý hiện tại đến từ các khách hàng mới thu hút được.
• Các đơn đặt hàng OmniOne mới tăng 72% so với cùng kỳ năm trước và cao hơn khoảng 150% sau khi ra mắt OmniOne cho Quest hợp tác với Meta vào cuối tháng 6.
• Lợi nhuận gộp tăng 29% lên 227.000 USD, trong khi biên lợi nhuận gộp mở rộng lên 30% từ mức 17%, chủ yếu do giá bán các hệ thống OmniOne hoàn chỉnh cao hơn.
• Lỗ thuần mở rộng lên 7,2 triệu USD từ mức 2,3 triệu USD. Khoảng 4 triệu USD bao gồm các khoản chi phí phi tiền mặt, phần lớn là chi phí lãi vay phi tiền mặt và các khoản mục liên quan đến tài trợ vốn.
• Virtuix kết thúc quý với 7,4 triệu USD tiền và các khoản tương đương tiền. Dòng tiền ra từ hoạt động kinh doanh là 3,3 triệu USD, và ban lãnh đạo mô tả tỷ lệ đốt tiền hiện tại vào khoảng 1 triệu USD mỗi tháng.
• Ban lãnh đạo kỳ vọng tăng trưởng phân khúc tiêu dùng sẽ dẫn dắt kết quả kinh doanh trong ngắn hạn. Các hợp đồng quốc phòng lớn hơn được đánh giá có nhiều khả năng diễn ra hơn trong năm tài chính 2028, mặc dù một số doanh thu quốc phòng dự kiến sẽ có trong năm tài chính 2027.

Dữ liệu tài chính cốt lõi

Chi phí quản lý doanh nghiệp tăng lên 3,1 triệu USD từ mức 1,0 triệu USD. Mức tăng bao gồm 1,2 triệu USD chi phí dịch vụ chuyên nghiệp, 0,2 triệu USD chi phí bảo hiểm và 0,7 triệu USD chi phí thù lao bằng cổ phiếu phi tiền mặt.

Hiệu quả hoạt động và kinh doanh

Hợp tác với Meta thúc đẩy đơn hàng tiêu dùng

Virtuix đã ra mắt OmniOne cho Quest vào cuối tháng 6 theo chương trình Made for Meta. Sản phẩm hoạt động với kính thực tế ảo Quest và thư viện trò chơi hiện có của khách hàng. Ban lãnh đạo cho biết sự gia tăng đơn hàng tiếp tục kéo dài sang quý hiện tại và các sản phẩm thường được giao trong vòng vài ngày.

Công ty đang thảo luận về hoạt động tiếp thị chung và một gói sản phẩm tiềm năng kết hợp OmniOne cho Quest với kính Quest. Giá bán lẻ cho người tiêu dùng hiện tại bao gồm 2.595 USD cho OmniOne cho Quest và 2.495 USD cho OmniOne Core. Ban lãnh đạo cho biết hiệu quả kinh tế trên mỗi đơn vị sản phẩm tiêu dùng đang tiến tới mức biên lợi nhuận gộp 40% và mục tiêu duy trì mức đó khi cơ cấu sản phẩm thay đổi.

Virtuix tuyên bố rằng cơ sở hạ tầng sản xuất của công ty có thể hỗ trợ tối đa khoảng 3.000 sản phẩm mỗi tháng, tương đương khoảng 100 triệu USD doanh thu hàng năm theo hiệu quả kinh tế hiện tại.

Các chương trình quốc phòng mở rộng

Virtuix là nhà tích hợp hệ thống chính cho thiết bị huấn luyện tiểu đội bộ binh của Thủy quân lục chiến Mỹ, với sự hỗ trợ từ KBR. Hệ thống dành cho bốn người kết hợp thảm chạy đa hướng, mô hình súng trường M4 và kính Meta Quest. Việc giao hàng đến Quantico, Virginia dự kiến diễn ra vào quý 4 năm 2026.

Công ty cũng đang phát triển hệ thống Virtual Terrain Walk theo hợp đồng SBIR Giai đoạn I của Không quân Mỹ và đã bước vào lĩnh vực huấn luyện chống máy bay không người lái thông qua việc tích hợp với thiết bị huấn luyện chống UAS của Leetech. Hệ thống đó dự kiến sẽ được Bộ chỉ huy Huấn luyện và Giáo dục Thủy quân lục chiến đánh giá.

Virtuix hiện có các dự án tham gia với Không quân, Thủy quân lục chiến, Lục quân, Hải quân và Lực lượng Không quân Quốc gia Mỹ. Ban lãnh đạo mục tiêu chuyển đổi các dự án thử nghiệm và công việc Giai đoạn I thành các hợp đồng và đợt triển khai lớn hơn, nhưng cho biết nguồn vốn chính phủ và thời điểm ký hợp đồng vẫn chưa chắc chắn.

Ủy ban đặc biệt của Hội đồng quản trị đang xem xét các mục tiêu thâu tóm trong lĩnh vực quốc phòng có doanh thu hàng năm từ 10 triệu USD đến 50 triệu USD. Ban lãnh đạo tuyên bố riêng mục tiêu hoàn tất một hoặc nhiều thương vụ thâu tóm với doanh thu hàng năm từ 10 triệu USD đến 15 triệu USD, tập trung vào việc bổ sung các công cụ hợp đồng chính phủ, kênh bán hàng, doanh thu định kỳ và hồ sơ năng lực kinh nghiệm.

Mở rộng sang doanh nghiệp và y tế

Virtuix đã bán hệ thống OmniOne Enterprise đầu tiên cho bộ phận robot hình người Optimus của Tesla để điều khiển robot từ xa. NASA cũng chọn OmniOne cho các hoạt động mô phỏng bên ngoài không gian trong một sứ mệnh mô phỏng Mặt Trăng và Sao Hỏa kéo dài một năm.

Trong lĩnh vực y tế, Virtuix đã ký kết quan hệ đối tác với Serica Therapeutics và giao hai hệ thống OmniOne cho một trung tâm điều trị ở Khu vực Vịnh San Francisco để ứng dụng trong trị liệu tự kỷ. Công ty cũng đang hỗ trợ nghiên cứu của các trường đại học liên quan đến trị liệu tự kỷ, vật lý trị liệu và phục hồi chức năng thần kinh.

Ban lãnh đạo mô tả các hệ thống doanh nghiệp là nguồn doanh thu bán phần cứng có biên lợi nhuận cao hơn, cấp bản quyền phần mềm và doanh thu dịch vụ tiềm năng. Y tế vẫn là một mảng kinh doanh mới nổi hơn là trọng tâm chính trong ngắn hạn.

Triển vọng của ban lãnh đạo

Virtuix không cung cấp dự báo doanh thu chính thức. Ban lãnh đạo kỳ vọng đợt ra mắt cùng Meta vào cuối tháng 6 sẽ có tác động doanh thu lớn hơn trong quý hiện tại vì chỉ có một phần nhỏ nhu cầu ban đầu được phản ánh vào quý 1 năm tài chính.

Các sản phẩm tiêu dùng và quốc phòng vẫn là những ưu tiên chính của công ty. Ban lãnh đạo kỳ vọng sẽ có một số doanh thu quốc phòng trong năm tài chính 2027, trong khi các hợp đồng lớn hơn và việc triển khai rộng rãi hơn được coi là có nhiều khả năng hơn trong năm tài chính 2028.

Công ty có kế hoạch phát triển dựa trên biên lợi nhuận gộp hợp nhất 30%, hướng tới biên lợi nhuận trên mỗi đơn vị sản phẩm tiêu dùng gần 40%, tăng doanh số bán hàng doanh nghiệp và theo đuổi các hợp đồng quốc phòng có giá trị cao hơn trong nỗ lực tiến tới có lợi nhuận.

Rủi ro và các yếu tố cần theo dõi

• Tiền và các khoản tương đương tiền giảm xuống còn 7,4 triệu USD, trong khi dòng tiền sử dụng cho hoạt động kinh doanh hàng quý đạt 3,3 triệu USD. Ban lãnh đạo ước tính tỷ lệ đốt tiền vào khoảng 1 triệu USD mỗi tháng.
• Tổng nợ phải trả tăng lên 15,7 triệu USD, và vốn chủ sở hữu chuyển sang mức âm 3,1 triệu USD.
• Chi phí công ty đại chúng đã làm tăng đáng kể cơ sở chi phí hoạt động sau khi Virtuix niêm yết trên Nasdaq.
• Thời điểm trao các hợp đồng lớn hơn của chính phủ phụ thuộc vào nguồn vốn khả thi và quy trình ký kết hợp đồng.
• Các thương vụ thâu tóm trong lĩnh vực quốc phòng có thể yêu cầu thêm vốn và phụ thuộc vào định giá cụ thể của công ty mục tiêu cũng như các cân nhắc về mặt thực thi.
• Việc thay đổi đơn vị kiểm toán đã làm chậm trễ báo cáo quý vài ngày. Bảng cân đối kế toán được điều chỉnh ngày 31 tháng 3 năm 2026 bao gồm các thay đổi phân loại không trọng yếu liên quan đến các công cụ tài chính phức tạp và nợ phải trả phái sinh, theo ban lãnh đạo.

Điểm nhấn phiên hỏi đáp với chuyên viên phân tích

• Chuyển đổi đơn hàng: Ban lãnh đạo cho biết các đơn hàng OmniOne thường được giao trong vòng vài ngày. Vì đợt ra mắt với Meta diễn ra vào cuối tháng 6, hầu hết doanh thu liên quan dự kiến sẽ xuất hiện trong quý hiện tại.
• Cơ hội mùa lễ hội: Virtuix cho biết các cuộc thảo luận với Meta về gói sản phẩm kết hợp OmniOne và kính Quest đang diễn ra tích cực, với mục tiêu hoàn thành sáng kiến này trong thời gian ngắn tới.
• Công suất sản xuất: Công suất sản xuất hiện tại là khoảng 3.000 sản phẩm mỗi tháng và ban lãnh đạo cho biết có thể đáp ứng nhu cầu hiện tại.
• Thời điểm mảng quốc phòng: Thiết bị huấn luyện tiểu đội của Thủy quân lục chiến dự kiến sẽ chuyển đến Quantico trong quý 4 năm 2026. Việc triển khai các hợp đồng lớn hơn có nhiều khả năng diễn ra trong năm tài chính 2028.
• Tỷ lệ đốt tiền: Ban lãnh đạo ước tính tốc độ đốt tiền hiện tại vào khoảng 1 triệu USD mỗi tháng và cho biết họ có kế hoạch giảm bớt các chi phí công ty đại chúng đang ở mức cao.
• Cơ cấu kinh doanh: Doanh số bán hàng tiêu dùng dự kiến sẽ thúc đẩy tăng trưởng trong ngắn hạn, mảng quốc phòng có thể tạo ra doanh thu đột phá thông qua các hợp đồng lớn hơn, và mảng y tế được coi là một lĩnh vực tiềm năng trong dài hạn.

Toàn văn biên bản cuộc họp báo cáo kết quả kinh doanh

Toàn văn cuộc gọi công bố kết quả kinh doanh

Phần trình bày của ban lãnh đạo

Operator

Good morning and welcome to the Virtuex Earnings Conference Call. So... the first quarter of fiscal year 2027 ended June 30th, 2026. All lines have been placed in a list only mode and the floor will be open for your questions following the presentation. During today's call, we may make statements relating to our goals and objectives. future operations, financial and business trends, business prospects, and management's expectations for future performance that constitute forward-looking statements under federal securities laws. Any such forward-looking statements reflect management's expectations based upon currently available information or not guarantees of future performance and they involve certain risks and uncertainties that are more fully described in our SEC filings. Actual results, performance, or achievements may differ materially from those expressed in or applied by such forward-looking statements. We undertake no obligation to update or revise any forward-looking statements to reflect events or developments after the date of this call.

Today's discussion also includes adjusted EBITDA, a non-GAAP financial measure. A reconciliation of net loss to most directly comparable gap measure to adjust the EBITDA is included in the financial tables of the earnings press release issued yesterday after market closed last night. A press release detailing these results was issued last night and is available on the company's investor relations website at invest.virtuix.com. Hosting today's call are Virtuix founder, chief executive officer and chairman, Jan Gokulik, and chief financial officer, Thomas McGinnis. Thank you. to provide a corporate overview, review the quarter's key highlights, discuss the company's defense momentum and its expansion into enterprise and healthcare applications, financial results and outline the company's priorities and outlook.

Jan Goetgeluk

With that, I'll turn the call over to Mr. Gukuluk. Please go ahead, sir. Thank you, operator, and good morning, everyone. Thank you for joining us. First, let me share a brief note on timing. We recently changed auditors. We appointed Eisner Amber as our independent registered public accounting firm. They're consistently recognized as a leading mid-tier accounting and advisory practice, so we're really excited to work with them. Now, the transition required additional time to complete the quality review, and that's what pushed back our filing by a few days. But our form, thank you, has now been filed.

And now let's review our results for the first quarter. quarter of fiscal year 2027. I'd say that this first quarter was one of the strongest commercial quarters in our company's recent history. And I want to spend most of my time this morning here on why that is. Before I do, let me share a brief overview for those of you who are new to our story. Now, we're Vertrix. We're a leading developer of AI-driven full-body simulation systems. We're trading on the NASDAQ global markets under the ticker VTIX since our debut on January 27, 2026. As our technology enables natural full body movements in 360 degrees, walking, running, crouching, strafing, and jumping in every direction, inside video games, simulations, and so on. and other AI-generated worlds.

Our flagship product is OmniOne, which is our most advanced omnidirectional treadmill to date. And the folder comprises of five products now, protected by more than 25 patents. We have OmniOne, OmniOne for Quest, and OmniOne Core on the consumer side. We have OmniOne Enterprise for industrial training, robotics, healthcare, and other enterprise applications. And we have Virtual Terrain Walker, VTW, which is our defense platform. simulation system. We are hardware experts with a proven track record of execution. Our manufacturing facility is established and is ready to support increased levels of production.

We're pursuing a multi-use platform strategy with high-volume consumer sales that we aim to supplement with high-value defense and enterprise contracts, all with recurring revenue from software licensing, subscriptions, and our custom simulation developments. What I would highlight about this quarter in particular is the high caliber of the parties now working with our technology. In the space of just a few months, we sold our first OmniOne Enterprise System to Tesla. We were selected by NASA for a year-long Moon and Mars mission. We became the lead systems integrator on the US Marine Corps training project. And of course, we launched our made-for-Meta certified products in collaboration with Meta. So that's a meaningful validation for a platform that initially began in consumer gaming and now is expanding across various end markets.

So let me walk you through the quarter's highlights before we take a deeper dive. On the demand side, the headline number here is orders. New orders for OmniOne systems increased 72% year-over-year, and and new orders are up approximately 150%, roughly two and a half times compared to the same period last year. since our June launch of OmniOne for Quest in collaboration with Meta. So those are some great growth numbers on the other side. On unit economics, gross profit increased 29% year-over-year, and gross margin expanded to 30% from 17% in the prior year period. So approximately 13 percentage points of improvement. And we ended the quarter with $7.4 million of cash.

Strategically, this was a very eventful quarter. You know, we launched our major Meta products in collaboration with Meta, which is off to a great start, you know, resulting in strong order growth in our consumer business. Our defense business continues to expand. We were selected as the lead systems integrator for the development of an infantry fire team trainer for the US Marine Corps. We also entered the counter drone training space for the Marine Corps. In our enterprise business, as mentioned, we're now working with Tesla, with NASA, and we also signed a partnership with Sirica Therapeutics for use of OmniOne in autism therapy for children. One point of clarification before Thomas gets into the numbers later. reported net sales actually declined year-over-year to approximately 800,000 from 1 million that is a result of timing not of demand the prior quarter included the final shipments of our legacy only one order backlog that in included orders accumulated since our pre-order period began in August 2020-2023, and that is now cleared.

This quarter's revenue, however, came from sales to new customers. Okay. And we believe new orders are the better forward indicator of the demand we are seeing today. So let me stay on that point, because I think that's the most important trend in our business right now. So we officially launched OmniOne for Quest in collaboration with Meta in late June. And through that META program, OmniOne is certified for the META ecosystem, for the Quest ecosystem. META sold more than 20 million Quest headsets, giving OmniOne access to the world's largest XR user base with an estimated 6 million active users. And those users now can pair OmniOne with their existing headsets. game library that they already own in a plug-and-play experience.

So this materially expands our addressable markets. And the effect on our order profile was immediate. New orders are up approximately 150% since that launch. And that's a trend that we see continuing in the current quarter. We also see a room for additional growth there. We're exploring joint marketing opportunities with Meta, and most importantly, bundling the Meta and the Vertex products so we can offer a complete system, OmniOne for... for Quest plus a Quest headset to gather to customers. So we believe we've only scratched the surface of the opportunities of our collaboration with Meta.

Turning to defense, as I mentioned, Virtuex is serving as the lead systems integrator for the development of an infantry fireteam trainer for the U.S. Marine Corps, supported by our strategic partner, KBR. And this is an important distinction. This is not Virtuex simply supplying a component. of this system, we are responsible for integrating the full solution and delivering the complete training system to the Marine Corps. Now, that system puts a four-person, a four-marine fire team on omnidirectional treadmills using M4 rifle surrogates and MetaQuest headsets, trading together in scenarios that include close-quarter battles, patrols, and tactical decision-making. During this past quarter, we selected ABRT as our partner to provide a tracked weapon system, an instructor tool, and immersive training content for this program. And delivery to the U.S. Marine Corps in Quantico, Virginia, is expected in the fourth quarter of 2026.

Now, to clarify, this infantry fire team trainer, that's in addition to our virtual terrain walk system, or VTW, and that's that system that uses AI-driven Gaussian splatting to convert 360-degree camera footage into photorealistic walkable geospecific terrain. It cuts the time to build virtual worlds from weeks to merely hours. That's VTW. That's a system that uses the slogan, walk the trail before you fight on it. Explore the battlefields before we put boots on the ground. And VTW, that's a system for which we received a Phase I CBER award from the U.S. Air Force, which we are working on as we speak. We also entered a hot new defense fence market this quarter, the counter drone training.

You know, OmniOne has been integrated into Leetech's counter UAS personal trainer, which is an AI-enabled platform that recreates military training ranges for realistic counter drone marksmanship training. Combined with the Omni, the trainees walk naturally through virtual environments to navigate buildings and they can communicate over tactical radios all while engaging drones with realistic ballistics across both individual and multi-user scenarios. So that system will be evaluated by the U.S. Marine Corps Training and Education Command in Quantico, Virginia, with teams from 29 Palms and Camp Pendleton. Counter drone training, needless to say, is among the fastest growing priorities of Western militaries today. So this is an exciting development for us. So here's the overview of our expanding defense business.

You know, we now have active engagements across the U.S. Air Force, Marine Corps, Army, and Navy, as well as this quarter, the Air National Guard. With US Air Force, we hold a NAFW Works Ciber Phase I award for VTW. And we've also sold test units to the US Air Force Academy and to Yokota Air Force Base. During the quarter, we also delivered, as I mentioned, the first OmniOne system to a Pennsylvania Air National Guard unit in Horsham for evaluation of our system for virtual reality military training. And that's our first Air National Guard deployment. As mentioned previously, we're also the lead systems integrator on the infantry fire team trainer with US Marine Corps.

And also our counter drone trainer is entering evaluation by the Marine Corps Training and Education Command. With the U.S. Army, we've sold only one to the U.S. Military Academy at West Point. And with U.S. Navy, we signed a Cooperative Research and Development Agreement with the U.S. Navy. the Naval Postgraduate School. So lots of momentum there in just a short time frame, and our goal is to keep this strong early momentum going and moving that forward towards bigger awards and contracts. Now, alongside this organic progress, as we've talked about before, our board special committee is actively reviewing acquisition targets in the defense industry. space around defense training and services, looking at companies with annual revenues in the $10 to $50 million range. And so specifically, we're looking at companies that give us immediate access to, in addition to those revenues, to government contract vehicles, sales channels, recurring defense revenue, and the past performance credentials that are critical to winning large government contracts.

So stay tuned for more announcements in this regard. All right, beyond defense, we're also gaining strong traction in our enterprise business. We sold our first OmniOne Enterprise System to Tesla for its Optimus humanoid robot division. that uses a system for teleoperation of robots, enabling an operator to remotely control a humanoid robot in real time. Teleoperation is central to how humanoid robots are trained and supervised today. And full body movement is just a natural interface. for that. Additionally, we won our second consecutive Augie Awards at the Augmented World Expo for Best Interaction Product. once more, recognizing OmniOne as part of a humanoid robot tail operation system built by the University of Central Florida. And this is yet another validation of our technology as a key input device for Enterprise XR applications.

Lastly, we were selected by NASA for their Moon and Mars Exploration Analog Mission. OMNI-1 will support simulated extravehicular activities during this year-long study. begin in 2007, in which four volunteers will live in a 650-square-foot habitat to simulate astronaut performance during upcoming deep space missions. And so the key here is that these enterprise sales like these, it generates high margin hardware revenues plus recurring revenue from software licensing and potential services revenue alongside the hardware sale. So our enterprise business is yet another part of our strategy. And lastly, as you know, we've also been exploring the healthcare and therapeutics markets for OmniOne, which could be a potential major new vertical for us. And we made some major progress there this quarter. We signed a strategic partnership with Serica Therapeutics advanced AI-driven autism therapy for children.

And so we deliver two OmniOne systems to Syracuse Treatment Center in the San Francisco Bay Area. And they've announced plans to establish approximately 100 treatment centers nationwide. Now, for context, there are an estimated 12,000 ABA therapy centers in the U.S., And we believe that that creates a potential scalable channel for only one enterprise in the healthcare space. Now, that commercial partnership with Sirica sits on top of our university work that we have discussed previously. Rutgers University, WinLab, is applying OmniOne to AI-assisted neurodivergent therapy, and they are actively developing an application for autism therapy. for kids. And at the Florida Gulf Coast University, the Marriott College of Health and Human Services is evaluating OmniOne for physical therapy and neurorehabilitation. Now, we believe that full-body movements within AI-enabled environments may play an increasingly important role across next-generation healthcare and therapeutic applications.

So we intend to keep advancing these developments and potentially have healthcare and therapeutics be another major market for our technology. All right, with that, I'll hand the call over to Thomas to walk us through the financials.

Thomas McGinnis

Thank you, Jan, and good morning, everyone. Net sales for the fiscal quarter for the first quarter of fiscal 2027 were $767,000 compared to $1 million in the prior year period, a decrease of 26%. As Jan noted, the prior year quarter included the fulfillment of the final batch of the A large legacy backlog of OmniWin orders accumulated since the start of our pre-order period in August of 2023, whereas revenue in the current quarter resulted from sales to newly acquired customers. New orders for the OmniOne actually increased 72% year over year, and new orders are up approximately 150% since the launch of our OmniOne for Quest in collaboration with Meta. We're seeing this momentum continue in this current quarter. The metric I would like to draw your attention to most is gross margin. Gross profit increased 29% to $227,000 from $176,000 in the prior year period.

Gross margin as a percentage of revenues increased approximately 13 percentage points from 17% to 30% this quarter. That improvement was driven by higher selling prices of the complete OmniOne system compared to the prior year period. Turning to operating expenses, total operating expenses increased by 1.9 million or 86% to 4.1 million compared to 2.2 million in the prior year period. That increase was driven primarily by $2.1 million increase in general and administrative to $3.1 million from $1 million, reflecting the cost of operating the public company that largely did not exist in the prior year quarter, which predates our NASDAQ listing, and the cost of operating the public company And within that increase, professional services accounted for $1.2 million, insurance for $0.2 million, and non-cash stock compensation for $0.7 million. Selling expenses moved the other way, decreasing approximately $0.3 million to $0.7 million, development expenses increased approximately 0.1 million to 0.3 million as we added staff to advance OmniOne's request. Loss from operations was $3.9 million compared to $2 million in the prior year period. And that loss for the quarter was $7.2 million compared to $2.3 million in the prior year period.

And it is important to understand that the composition of that loss, approximately $4 million of that are non-cash charges, including $2.5 million of largely non-cash interest expense, which includes an amortization of debt discount on our convertible notes, a $.6 million financing expense related to our warrant modifications, $0.4 million loss on extinguishment of debt, partially offset by a $0.4 million gain on the change in fair value of financial instruments. These items relate to capital that we have raised, not the operating performance of the business. Net loss per basic and diluted shares was 0.22. compared to $0.28 in the prior year period, reflecting a substantially higher weighted average share count following our listing. before interest, income taxes, and depreciation and amortization, further adjusted to exclude stock-based compensation and certain non-cash and non-recurring items. We believe it gives investors a clearer view of the performance of our ongoing operations by removing the financing-related and non-cash charges that I just described. Adjusted Able to Loss for the first quarter fiscal 2027 was negative 3.1 million compared to negative 1.9 million in the prior year period The year-over-year change is driven by the step-up in public company operating expenses rather than by unit economics, which improved. full reconciliation of net loss, the most directly comparable gap measure to adjusted EBITDA, is included in the financial tables of yesterday's press release. Turning to the balance sheet, cash and cash equivalents were $7.4 million as of June 30, 2026, compared to $9.5 million at March 31, 2026, a decline of approximately $2 million. Inventory increased approximately $0.2 million to $1.4 million. as we build to support the order growth that Jan has previously described.

And that cash used in operating activities was $3.3 million for the quarter compared to $1.5 million in the prior year period with the increase reflecting the public company costs that step up and working capital invested in inventory. Total assets were $12.6 million compared to $14.8 million at fiscal year-end. Total liabilities were $15.7 million compared to $13.7 million, including $10.7 million of notes payable net of discount compared to $7.8 million at March 31st. And total stockholders' equity was a deficit of $3.1 million compared to a positive equity of $1.1 million at fiscal year end. That $4.2 million change reflects the quarter's net loss of $7.2 million, partially offset by a $3 million increase in additional paid capital from financing and equity activities during the year. We are managing the balance sheet to support the growth opportunity in front of us, and we will continue to evaluate our capital structure with that objective in mind.

Operator

With that, I'll turn the call back over to Jan.

Jan Goetgeluk

John, please go ahead. Thank you. Sorry about that. My call dropped for some reason. Are we at the...

Unknown Speaker

slide 16, priorities and outlooks? That's correct, John. Yes, I just...

Jan Goetgeluk

That's correct. Thank you. Super. Thank you, Thomas. All right. Well, looking ahead, we have six clear priorities. First, accelerate consumer revenue growth. The order momentum from the launch of OmniOne for Quest with Meta is is the most important trend in our consumer business today, and our focus is on sustaining that momentum and accelerating revenue growth together with Meta. And we believe we've only scratched the surface of the marketing opportunities we have with Meta. Second is to advance our defense programs towards larger awards. That means bringing the Marine Corps infantry fire team trainer to Quantico. the fourth calendar quarter this year completing our Air Force phase one Cibber and aiming to move that to a phase two advancing our counter drone trainer toward potential awards. and also exploring additional partnerships and programs that we can be part of. Third is advance our defense M&A.

Our objective is to complete one or more acquisitions with $10 million to $15 million of annual revenue that would add government contract vehicles, past performance, sales channels, and recurring defense revenue. Fourth is to expand enterprise sales. We intend to build on the Tesla sale, the NASA collaboration, all our other recent enterprise traction to grow high margin OmniOne enterprise sales. Fifth, build out our healthcare and therapeutics vertical, which we believe can become a third large end market for our technology. That means developing the channel with Circa Therapeutics and other ABA partners and obtaining clinical validation from our university research collaborations. And sixth, ultimately, drive toward profitability. We intend to build on this quarter's 30% gross margin. continue to grow revenue, and add high-value defense and enterprise contracts as we drive towards profitability.

We believe Virtuix is well positioned to convert our current momentum into long-term growth and value for our shareholders. All right, with that, we'll now open up the call for questions. Operator?.

Operator

Thank you, and I'll be conducting a question and answer session. If you'd like to be placed into question queue, please press star 1 on your telephone keypad. A confirmation tone will indicate your line is in the question queue. You may press star 2 if you'd like to remove your question from the queue. One moment, please, while we poll for questions. Our first question today is coming from Jack Van Aert from Maxim Group. Your line is now live.

Unknown Speaker

Okay, great. Good morning, Jan and team. This is great to see the momentum continuing. You know, maybe I'll start with a question, Jan, for some of the key growth drivers you're expecting this year. You touched on the made for meta partnership, obviously. That's a big catalyst that I believe just began in June. As we're looking at the, I guess the back half of this year, I'm heading into the holiday season. Can you just touch on how this made for meta partnership, I guess is incrementally adding, I guess, to the game portfolio and the demand strength, versus say where Virtuix was last year entering the holiday season.

Thanks.

Jan Goetgeluk

Yes, hey Jack, good morning. Thanks for joining. Yes, we're seeing that strong momentum that we reported starting with the launch of our Meta product. We're seeing that continuing this quarter And so we believe that that momentum can continue. It's not just a one-time flash in the pan after the launch, as it's looking like right now. It's going to continue. And the reason is that if you think about it, you know, Meta sold over 20 million headsets by recent estimates, you know, 6 million active users who can now for the first time – buy our products directly and use it with their existing headsets and games. It's a very nice offering at a good price point, and it expands our addressable market. So that was the plan all along, but it seems to be paying off where it translates to meaningful sales growth and order growth, 2.5x. from what it was before.

So that is looking promising for the second half of the year, especially going into our holiday period.

Unknown Speaker

Okay, great. And you know, as part of this, I guess this equation here is going to be the production side of the business. Can you just touch on your capacity today? I think I think you've been able to produce actually quite a bit of these Omni ones per month. As high production started, high volume production, since the meta relationship was announced? And just touch on your overall, I guess, capacity expansion and current run rates.

Jan Goetgeluk

Yep, yep. Our capacity is set up, our production as well, production facility and capacity is well established. We are certainly now firing on all cylinders, producing units, meeting the demands. But on the production side, we are set up and can meet the demand we're seeing. I think we reported before that our production capacity right now is up to 3,000 units a month or so, which would translate to about $100 million in annual revenues.

Unknown Speaker

Excellent. And then, you know what, if we just shift really quick to the defense side then, I'm Obviously, you're talking about your M&A strategy here with targeting 10 to 50 million kind of revenue opportunities. Yes. It sounds like there's a few targets in your pipeline. I would say before we get into the acquisitions, though, can you just touch on kind of what you're seeing with recently with your organic expansion in the defense sector? You're in every arm of the US government now, I believe. Can you just maybe give an update on what you're hearing the feedback is from each, you know, from the actual troops? that are using this in training modes today, is there room for expansion in follow-on orders? Thanks.

Jan Goetgeluk

Yes, definitely. If you think about it, the military has always had simulators for aircraft. They have simulators for vehicles, tanks. They've never before had a simulator for ground troops, for infantry, until today, thanks to our technology. infantry war fighters can walk around in virtual environments for training, mission planning, mission rehearsal. And we believe that's a revolutionary capability for the US military that they didn't have before. And that's why we're seeing all this traction and excitement, by the Marine Corps, by the Air Force, and the other branches as well. In a very short, I'd say a very quick timeframe, I really only started this effort about a year ago, and now we're already working with all four major branches of the US military in the US. involved in various programs and projects and awards that we're moving forward. And there's more on the horizon as well.

There's many more various applications where technology can be really useful in the context of military training. And so the objective here is to move those projects forward to the next phase, phase one, CBER to phase two. to CBER, move these pilot programs to potentially bigger awards and bigger rollouts to, you to military facilities and customers and whatnot. So we see it as a major part of our business that can really drive growth and meaningful revenues, but also...

Unknown Speaker

margin going forward. Jan, if I could ask you just maybe one more follow-up here. There's clearly a lot of different growth angles here, a lot of irons in the fire with big... very big, well-established companies, obviously. Made for Meta is obviously a 800 pound gorilla in the space. But then you also have a lot of real momentum in the defense sector with potential acquisitions on the way. How do you see, I guess, the revenue profile of Virtuix kind of evolving over the next two to five years across these segments? all going to be accelerating kind of hockey stick-like growth? Is one going to come first or faster than the other? And then one's a faster, longer-term leg? I'd just like to get your thoughts there and also how that impacts the gross margin longer term.

Jan Goetgeluk

Yep, yep, thank you for that. Yes, it's, and by the way, one thing I keep stressing to the team here and also as our strategy. is to stay focused. Certainly, consumer and defense today are our biggest focus areas. And an enterprise and healthcare is emerging in the background and growing in the background. I think if you look at timing, I mean, consumer is what's driving most growth and revenues today. particularly with the big catalyst there being our meta collaboration. And we believe we're only seeing the start there and scratching the surface of what's possible there. So that is happening today. defense military business, a lot of traction there, working towards bigger awards, bigger contracts.

That will, I think we announced that, you know, that's probably to get to bigger awards is probably next calendar year, kind of fiscal year 2028. work towards that. But that could come in a step change where you win a big award, certainly makes an immediate big impact on revenues. And so consumer and defense are core focus areas. But an enterprise is emerging with these various pockets of demand and applications that are very interesting, like the human robots application, robots, that could become a meaningful revenue stream in the future. And then healthcare specifically, I believe could become a third big vertical in addition to consumer and defense. The healthcare market could become a big vertical. It's not a core focus just yet of our company as we're moving the development forwards with Sirica with Rutgers but there's a lot of potential there specifically with you know 12,000 or so ABA centers nationwide that could use our technology, plus a private market besides that.

It's potentially a big vertical, but that will come a bit later. It's a bit more of a staggered approach so that we don't want to get pulled into a thousand directions all at once. We stay focused on consumer defense, enterprises and develops, and then health care.

Unknown Speaker

as a potential big market in the future. Okay, I really appreciate the color there. That's it for me. Look forward to tracking the story. Thanks.

Operator

Thank you. Our next question today is coming from Gauchi Shreeve from Singular Research, who is now live.

Phần hỏi đáp

Gowshihan Sriharan

Good morning, gentlemen. Can you both hear me? Hey, good morning, Gauchy. Yes, good morning. Yans, congrats on the order number. That's a step up. Can you help me understand the mechanics a bit? When someone places an OmniOne order today, roughly how long before it ships. I'm trying to figure out how much of that 72% kind of lands in the next quarter versus later.

Jan Goetgeluk

Yes, we ship within days, but the launch of the Meta product came in late June. So only a small fraction of that fell in the prior quarter. So really this current quarter is where we're seeing that momentum continuing. And then those revenues, I think you'll see that this quarter.

Gowshihan Sriharan

Awesome, okay. And you called out the Quest offering, to become dominant so that you haven't got a couple of months of data and and the auto growth is mostly a quest. Is that a complete system holding its own and does that mix kind of push the margin towards that 40% target?.

Jan Goetgeluk

Yes, it's not a complete system yet. Omni on for Quest is a standalone Omni treadmill that works with Quest, we are looking at bundling. And that's one of the conversations we're having with Meta is bundling Omnion for Quest with an actual Quest headset and offering a complete system But margin-wise, I think we just closed it. We're pushing that margin on our OmniOne consumer units on a per-unit basis, a kind of unit economics basis. to close to 40%. So we're aiming to hold that. And we'll see how that evolves over time as the mix changes.

Gowshihan Sriharan

Yes. And some of them might have already asked this question. My call just dropped. So I'll ask it again. The release mentioned you bundling Vertrix with Metaproduct. Is that something meaningful that could be live for the holiday season or is this more of a fiscal 28 conversation?.

Jan Goetgeluk

It's a current conversation that we're having today. So aiming to get that done here. Yes.

Gowshihan Sriharan

okay on the on the t-con delivery timing you said the marine a firearm trader. When we spoke last, I think you mentioned the delivery system could be, the first system around September, and now we're kind of shifting to the fourth quarter. Is that schedule kind of tightening on their end, or is the scope has changed, and does it still land inside this fiscal year?.

Jan Goetgeluk

year for revenue? Yes. We're planning to show that and bring it to Quantico in the fourth calendar quarter here this year. And then with the goal of moving that forward towards bigger rollouts. Now, the timing of that is hard to say. That's one item of uncertainty with dealing with the government, is the timing of when funds are available, when contracts can move forward. So that is still uncertain. But our aim is to bring this first system here to Quantico, which.

Gowshihan Sriharan

in the fourth calendar quarter this year. Okay. And I know you mentioned the defense revenues could only materialize in fiscal meaningfully. So are we saying, Is it a question of what counts as meaningful or are we not expecting anything on the defense side in fiscal 27?.

Jan Goetgeluk

Now we're expecting some revenues in this fiscal year because of all these various projects that were part of under the Syberfees One Award, for example, but to get to larger contracts where there's a big rollout to, you know, a number of installations or a phase two Cibra award, whatever it may be, that I'd say is more likely for the next fiscal year than this fiscal year.

Gowshihan Sriharan

And on the Omni Arena resale rate, I know you did about $150,000. Is that kind of resale? Is it a one-off thing or is there a real secondary market kind of forming here?.

Jan Goetgeluk

No, the OmniArena business is a maintenance mode. We continue to serve our existing customers. We continue to get revenues there from Omnicare maintenance agreements, from game play, selling replacement parts, secondary sales as well. Although I wouldn't say that that's a big driver or a big market, but we facilitate.

Gowshihan Sriharan

that wherever needed. Okay. And just my last question, any color on the multiples kind of on the M&A side? I know you said 10 to 50 million revenue. What are the kind of multiples that those kind of businesses go for?.

Jan Goetgeluk

Yes, it's on a case-by-case basis, depending on the company and their business and the and their metrics. So it's not a one-size-fits-all answer there. Okay.

Gowshihan Sriharan

Okay, awesome. Thank you, John, and congrats. Thank you.

Operator

Thank you. Our next question today is coming from Andrew White from Emerging Growth Research. Your line is now live.

Andrew White

morning y'all morning tums i think you have a great quarter i'm looking forward to writing on it I did have a couple of financial questions. The first one is you mentioned a change in average selling prices in the quarter. I'm wondering what the new levels are versus the old levels.

Jan Goetgeluk

Yes, this is a change that happened a while back, but when we initially launched it, launched OmniOne, the pricing until, I guess, until November last year. was 3,495 for the complete system. and then we had the OmniOne Core system. Now that we launched OmniOne for Quest, we changed our pricing. OmniOne for Quest now is $2,595. OmniOne Core is $2,495. And the complete system is... But before the original pricing, when we sold OmniOne units in the pre-order period, those the post-complete system was sold at $2,595 as a complete system to pre-order customers. And that price got increased at $3,495 in November last year. And so a lot of the early backlog, the early orders, were sold at a lower price.

And we accumulated a large backlog since that pre-order period that I think started in 2023. So it is a large backlog that we delivered on throughout several quarters and... And some of the early orders there were at a lower pricing, whereas the new pricing, that came into effect in November last year was 3,495. So that's where our market margin, the primary driver of our margin increasing compared to.

Andrew White

the periods last year. Okay, thank you. As you march towards profitability, what would you say is your cash burn run rate right now?.

Thomas McGinnis

Yes, I think you can do the math. Roughly speaking, I think if you do the calculation, I think you end up at around a million dollars a month. It's a bit elevated since we went public and getting adjusted to being a public company. There's a bit more expenses there, specifically compared to, of course, before going public. to tighten that up a bit. But yes, I think that's what you can roughly infer from the financials.

Andrew White

Okay, thank you. And last but not least, I noticed in the 10Q that March 31st, 2026 balance sheet is listed as as revised. I was wondering if you could detail what that means.

Thomas McGinnis

Yes, that's related to, you know, we changed our auditors. Aydin Ramp are a great firm. Excited to work with them. And then they did a review of our um, of our quarter, uh, as well as the starting balance of the quarter. And, uh, based on their review, we made a, a few changes there, uh, not material, so we did a little, what I call a little R revision, not related to any of the operational metrics or revenues or costs or nothing like that. It's really only related to the classification of these complex funding systems instruments that we have and a derivative liability associated with which is comparable notes highly technical but that's what that's what it stems from.

Andrew White

That sounds good. Well, thank you very much, guys. Thank you, Andy.

Operator

Thank you. I would now like to turn the call back over to Mr. Kukula for his closing remarks.

Jan Goetgeluk

Yes thank you uh operator thank you all for joining us today um i'll just uh close by uh saying the first quarter of fiscal 2027, we believe was one of the strongest commercial quarters in our recent history. Our orders accelerated, our margins expanded, and our technology found its way to the hands of the U.S. Marine Corps, Tesla, NASA, and a growing set of healthcare partners. That's a remarkable range of customers as we expand OmniOne beyond just consumer gaming. to becoming a multi-use platform across a variety of industries, consumer, defense, enterprise, healthcare, and more. I want to thank our team, our partners, our shareholders for their continued support, and we are proud of what we accomplished this quarter, and we look forward to providing additional updates in the coming months. If we were unable to address any of your questions today, please reach out to our investor relations team at MZ Group and they will be happy to assist. Thank you again for joining us and have a great day.

Operator

Thank you. That does conclude today's teleconference. You may disconnect your line at this time and have a wonderful day. We thank you for your participation today.

This live transcript is auto-generated without human intervention or review.

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