Nextech AR Solutions Corp. (CSE:NTAR, OTCQB:NEXCF, NEO:NTAR) has announced 2021 full-year results showing a significant increase in revenue as it moved its business model to a much stronger annual recurring revenue (ARR) formula.
Revenue for the 12 months ended December 31, 2021, rose by 47% from a year earlier to $25.9 million, with ARR of $975,000 due to a substantial uptick in annual repeat customers and those signing 12-month ARR contracts.
"2021 was a transformative year for Nextech as we became a Metaverse company and we succeeded in moving our business model to a much stronger annual recurring revenue formula,” NextTech AR CEO Evan Gappelberg said in a statement.
“In 2022 we are successfully signing up new customers while simultaneously building out our Metaverse suite of products, which I believe will give us a major competitive edge in the 3D/AR e-commerce market,” he added.
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Nextech grew 2021 annual product sales by 38% to $19.2 million while revenue from technology services rose by 55% to $5.3 million. Renewable software licenses jumped 316% to $1.4 million. Gross profit for the year was steady at $9.8 million.
"For 2022, we are well-positioned with our end-to-end vertically-integrated technology stack extending beyond just 3D models for e-commerce into exciting and lucrative markets like 3D human holograms, NFTs and spatial mapping,” Gappelberg continued. "We are seizing on a substantial business opportunity with our 3D model making and AR capabilities and believe that the demand for everything 3D will not only continue but accelerate into 2022 and beyond.”
Gappelberg noted that Nextech is well on the path to achieving its “ambitious” mission to build the first vertically integrated artificial intelligence (AI) powered 3D model factory for the Metaverse.
“With a successful 2021 now in the rearview mirror, I believe that 2022 will go down in history as the breakout year for everything 3D and a great year of growth for Nextech and our shareholders,” he concluded.
Nextech is a metaverse company that develops and operates augmented reality platforms.
Contact the author at stephen.gunnion@proactiveinvestors.com