XMReality AB Reports Improved EBITDA Amid Cost Cuts

XMReality AB ( (XMMRF) ) has released its Q4 earnings. Here is a breakdown of the information XMReality AB presented to its investors.

XMReality AB, a company specializing in remote guidance software, primarily operates in the technology sector, offering solutions to enhance communication and support through augmented reality. In its latest earnings report, XMReality AB highlighted notable efforts in cost reduction, which have significantly impacted its financial performance despite ongoing reorganization costs. The company reported a 66% improvement in EBITDA for the fourth quarter of 2024 compared to the same period in the previous year, attributed to a 49% reduction in operating expenses. XMReality aims to achieve positive cash flow by spring 2025 and expects EBITDA to turn positive in the first quarter of 2025. During the quarter, the company saw a substantial increase in product usage, doubling for the second consecutive quarter, which positions them well for future growth. The company’s annual recurring revenue (ARR) increased to 16,426 TSEK by the end of the quarter, although the order intake was slightly lower than the fourth quarter of 2023. Moving forward, XMReality anticipates the completion of its cost-saving measures and plans to implement a new go-to-market strategy focusing on a hybrid sales model to enhance customer acquisition. The management remains optimistic about achieving profitability in 2025, supported by its strategic initiatives and continued customer engagement.