• Revenue for the three months ended September 30, 2022 was $443,613 compared to $28,037 for the three months ended September 30, 2021, a revenue increase of 1582%
• Revenue for the nine months ended September 30, 2022 was $968,617, compared to $68,917 for the nine months ended September 30, 2021, a revenue increase of 1405%
• Synthesis VR has seen significant year over year growth in 2022
  • Over 27 million minutes of gameplay, which is an increase of 153% compared to last year
  • Over 43,885 customer accounts were created on the platform which is a 109% increase compared to last year
  • Platform subscription has gone up by 108% compared to last year
• The Company appointed LBVR pioneers A Shabeer Sinnalebbe as the CEO and Kamen Petrov as the CTO
  

VANCOUVER, British Columbia, Nov. 30, 2022 (GLOBE NEWSWIRE) -- XR Immersive Tech Inc. (“XRi” or “Immersive Tech”, or the “Company”) (CSE:VRAR) (FSE:79W) (OTCQB: FNTTF), the company behind the Synthesis VR (“SVR”) software platform which has grown to become the largest VR out of home entertainment marketplace for games, educational and training experiences worldwide, today announced results for its third quarter ended September 30, 2022 as well as providing a corporate update.

“We had a great third quarter with revenues climbing sharply including a number of strategic key milestones reached which I am excited to share,” said A Shabeer Sinnalebbe, XRi CEO.

Financial Highlights

XRi delivered the following results for its third quarter and nine months ended September 30, 2022:

Revenue:

Revenue for the three months ended September 30, 2022, was $443,613 compared to $28,037 for the three months ended September 30, 2021, a revenue increase of 1582% quarter over quarter. For the nine months ended September 30, 2022, revenue was $968,617 compared to $68,917 for the nine months ended September 30, 2021, a revenue increase of 1405% year over year.

Cost of Goods Sold:

Cost of goods sold for the three months ended September 30, 2022, was $172,896 compared to $17,167 for the three months ended September 30, 2021. For the nine months ended September 30, 2022, cost of goods sold was $327,020 compared to $45,913 for the comparative period.

Gross Margin:

Gross margin for the three months ended September 30, 2022, was $270,717 or 61% compared to $10,870 or 39% for the three months ended September 30, 2021. For the nine months ended September 30, 2022, gross margin was $641,597 or 66% compared to $23,004 or 33% for the comparative period.

The Company’s financial statements for the quarter ending September 30, 2022 along with its Management Discussion and Analysis (MD&A) are available under the Company’s profile on SEDAR (www.sedar.com).

Business Highlights:

The Company has achieved several key corporate, M&A and operational milestones over the nine months of 2022 building a strong foundation for future growth and innovation. Some of these key milestones are reflected in the corporate update below:

The SVR Division Has Seen Incredible Month-Over-Month Growth In 2022

The Company closed on its acquisition of Synthesis VR Inc. (“SVR”) earlier in 2022 and has successfully transitioned the SVR management, development and support teams into the overall Immersive Tech team. The acquisition adds revenue and experienced team members to the Company, but most importantly a software SaaS platform which powers over 450 VR arcades globally and a marketplace of nearly 375 VR games and content that are licensed to this operator network. SVR is rapidly becoming the largest VR out-of-home entertainment marketplace for games, educational and training experiences worldwide. Here are some highlights for 2022:

• Over 27 million minutes of gameplay, which is an increase of 153% compared to last year (on track for over 32 million minutes of gameplay for 2022)
• Over 43,885 customer accounts were created on the platform which is a 109% increase compared to last year (on track for over 51,000 customer accounts for 2022)
• Platform subscription has gone up by 108% compared to last year
• Launching Support for Android based headsets such as Quest 2, Pico and Vive Focus 3 with games for Android headsets unlike any other platform. (https://svr.li/mail/w/AZrxopQkwdNdQ3g2ETbZqA)
• Partnered with multiple developers in bringing popular games to VR locations worldwide:
  • Bugs From Space
  • Kaireyhs
  • Rotten Apple
• SynthesisVR brings enterprise training to VR locations. Foraying into enterprise: https://svr.li/mail/w/GBtHDQD763ThZ2q763zi8z16oA
• iRacing: one of the most popular games is now available on SynthesisVR: https://svr.li/mail/w/5yf763zvGPJWApmlv3DgyvDg
• Ultimechs joins SynthesisVR: https://svr.li/mail/w/9mEzWrn7WgeOsluUmgMBKA
  

XR Immersive Tech Files Two Full Patent Applications For Its Patent-Pending Technology

The Company announced on January 19, 2022, it filed two full patent applications for its patent-pending technology with the Canadian Intellectual Property Office. These applications add to the Company’s growing patent portfolio as the Company has previously filed U.S. provisional patent applications for its technology. The Company elected to file these Canadian patent applications in priority to U.S. Patent office filings, to further protect its valuable intellectual property (“IP”) as it continues to innovate and pursue development of cutting edge VR/AR technology to support sales growth and opportunities for both clients looking to provide hyper-immersive experiences and for creators of the Metaverse.

XR Immersive Tech Receives Fast Company’s 2022 World Changing Ideas Honorable Mention in Media & Entertainment Awards Category

XR Immersive Tech Inc. announced that the Company’s UNCONTAINED Hyper-immersive VR experience product has received an honorable mention in the Media & Entertainment Category of Fast Company’s 2022 World Changing Ideas Awards.

Now in its sixth year, the World Changing Ideas Awards showcase 39 winners, 350 finalists, and more than 600 honorable mentions—with climate, social justice, and AI and data among the most popular categories. A panel of eminent Fast Company editors and reporters selected winners and finalists from a pool of more than 2,997 entries across transportation, education, food, politics, technology, health, social justice, and more. In addition, several new categories have been added this year including climate, nature, water, and workplace. The 2022 awards feature entries from across the globe, from Switzerland to Hong Kong to Australia. Read the full press release here.

XR Immersive Tech Announces SynthesisVR Android Platform

SVR announced an industry-first Android Platform was officially launched and available to the Company’s operator network worldwide. This first to market Android-based VR headset wireless streaming solution enables operators to access commercially licensed games in the SVR marketplace, as well as educational and enterprise content for the Meta Quest 2 VR headset. The platform immediately provides six Android-based free roam arena and room scale games for the popular Quest 2 device. In addition, operators are now able to launch content, control and track bookings and sessions on all Android-based VR Headsets such as Vive Focus 3, Pico Neo 3 Pro and Quest 2 from one centralized location to make operations simple, effective, and reliable. Read the full press release here.

XR Immersive Tech Announces Partnership with QuarkXR For Industry First VR Streaming Solution

The SVR Android Platform is a great addition to the VR operation arsenal the Company now offers including the recently announced partnership with QuarkXR, another industry-first Android VR streaming solution for all PC-based VR content. QuarkXR, a pioneering company focused on VR streaming and a trusted solution provider for companies like Deutsche Telekom, Orange, Vodafone, and Ericsson, among others. Read the full press release here.

XR Immersive Tech Partners with Educational VR Platform VictoryXR To Provide New Content Experiences

Wholly-owned subsidiary, Synthesis VR, a leading location-based virtual reality (LBVR) content distribution and facility management platform, has joined forces with VictoryXR in bringing their educational content to LBVR operators worldwide, accessible through the Synthesis VR content marketplace.

VictoryXR is one of the largest providers of virtual reality (“VR”) educational content for levels starting in Kindergarten and up to Grade 12. The company’s foresight and understanding of the potential that VR brings has resulted in a wider category of experiences to inspire, train, and amaze with content that opens up the opportunity to, for example, take a field trip and learn about the history of Rome, its forums, the Colosseum, the Pantheon, the Basilica of Maxentius, visit and walk the Great Wall of China or enjoy gamified immersive VR learning experiences in science, literature, math, computer engineering, art, drama and much more. Read the full press release here.

XR Immersive Tech Announces Addition of Health & Safety VR Training Content to SynthesisVR Marketplace

Wholly-owned subsidiary, Synthesis VR (“SVR”) , a leading location-based virtual reality (“LBVR”) content distribution and facility management platform, has partnered up with Gold Finch Works (“GFW”) to bring their health and safety Virtual Reality (“VR”) training modules for industrial application to their global operator network.

In total 6 VR training modules are being added to the SynthesisVR marketplace including:

• Fire Safety VR Training - Office
• Fire Safety VR Training - Hangar
• Hot Work VR Training
• Lockout Tagout (LOTO) VR Training
• Work At Height VR Training
• Confined Space Entry VR Training

VR Training modules were developed for professionals by professionals (including NEBOSH certified HSE). Read the full press release here.

XR Immersive Tech Announces it has Appointed LBVR Pioneer A Shabeer Sinnalebbe as the Company’s New CEO

Immersive Tech has appointed VR Industry leader A Shabeer Sinnalebbe as the Company’s new CEO effective September 1, 2022.

Mr. Sinnalebbe currently serves as the Company’s Head of XR Networks. Prior to this role Mr. Sinnalebbe served as the CEO of SynthesisVR which XR Immersive Tech acquired at the beginning of 2022. Mr. Sinnalebbe has extensive global leadership experience in scaling a highly successful Virtual Reality entertainment platform business from start-up to exit. Mr. Sinnalebbe has made a profound impact in the VR Industry achieving many important industry firsts along the way, including establishing one of the world's first VR arcade centers in Los Angeles in 2016 with his co-founder Kamen Petrov. The pair continued to pioneer the next generation of room-scale, free roam, racing simulators, coin-op, online widgets and payments, education, online business VR environments, and enterprise experiences. Mr. Sinnalebbe and Mr. Petrov have since built SynthesisVR into one of the largest VR out of home entertainment marketplace for games, educational and training experiences worldwide. Synthesis has over 450 VR arcades globally and a market of over 375 VR games and content with over 20M player minutes. Mr. Sinnalebbe has shown he has vision, drive and understanding of the intricacies of the VR industry are driving factors in the growth of not only SynthesisVR and its own technological development, but also to XR Immersive and its products and services as well. Read the full press release here.

“Looking forward; with the stellar revenue growth we are seeing from the SynthesisVR operator network, including subscriptions and its marketplace game licensing, the Company will continue to focus on growing SVR SaaS & licensing revenues, global reach of operators and partnership opportunities through the remainder of 2022. This overall strategy of revenue and network growth incorporates a focus on further securing strong partnerships and releasing additional cutting-edge technology products that will see SVR’s growth explode in the coming years,” said A Shabeer Sinnalebbe, XRi CEO.

On behalf of the Board of Directors

A Shabeer Sinnalebbe, Director and Chief Executive Officer
XR Immersive Tech Inc.
https://www.immersivetech.co/

For further information about Immersive Tech, please contact:

Contact - Alex Tzillios
Email: investors@immersivetech.co
Telephone: +1-604-283-3029

ABOUT XR IMMERSIVE TECH INC.

XR Immersive Tech is building the industry's premier location-based Platform. Since 2016 the Company has been an industry leader in Social Entertainment, Virtual Reality (VR) and Augmented Reality (AR) entertainment attractions. The Company builds experiences on its platforms for some of the world's largest companies including: Intel, Bayer, Capital One, Scotia Bank, the US Food and Drug Administration, Allegiant Airlines and more. With the acquisition of Synthesis VR Inc in Jan 2022, the company is able to provide a SaaS platform that can manage large scale enterprises and the ability to support a vast number of business scenarios including but not limited to room-scale, free roam, racing simulators, coin-op, online widgets and payments, education, VR training and many more.

FORWARD-LOOKING INFORMATION

This news release contains “forward-looking information” and “forward-looking statements” (collectively, “forward-looking information”) within the meaning of applicable securities laws. Such forward-looking statements may, without limitation, be preceded by, followed by, or include words such as “believes”, “expects”, “anticipates”, “estimates”, “intends”, “plans”, “continues”, “project”, “potential”, “possible”, “contemplate”, “seek”, “goal”, or similar expressions, or may employ such future or conditional verbs as “may”, “might”, “will”, “could”, “should” or “would”, or may otherwise be indicated as forward-looking statements by grammatical construction, phrasing or context. All statements other than statements of historical facts contained in this news release are forward-looking statements. Forward-looking information in this news release includes, without limitation, statements regarding the future plans and objectives of the Company and SynthesisVR, future performance and future growth, development initiatives, business prospects, synergies and opportunities of Immersive Tech and SynthesisVR and their related subsidiaries, the Company’s expansion initiatives and pursuit of M&A activity, and other factors beyond the Company’s control.

Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the Company's actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking information. Forward-looking information is based on the reasonable assumptions, estimates, analysis and opinions of management made in light of its experience and perception of trends, current conditions and expected developments, and other factors that management believes are relevant and reasonable in the circumstances at the date such statements are made, including, but not limited to, the Company being able to capitalize on the services and business of SynthesisVR, the easing of world-wide COVID restrictions and effect on the LBVR industry, the increase in VR arcades and demand for VR entertainment and educational content, the Company’s and SynthesisVR’s operations and development initiatives, and such other assumptions presented in the Company’s disclosure record. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information. All forward-looking information herein is qualified in its entirety by this cautionary statement, and Immersive Tech disclaims any obligation to revise or update any such forward-looking information or to publicly announce the result of any revisions to any of the forward-looking information contained herein to reflect future results, events or developments, except as required by law.

Neither the CSE nor its Regulation Services Provider (as that term is defined in the policies of the CSE) accepts responsibility for the adequacy or accuracy of this release.