NexTech AR Solutions capitalizing on stay-at-home economy with total bookings for 3Q blowing past FY 2019 revenue

NexTech AR Solutions Corp (CSE:NTAR) (OTCQB:NEXCF) said its total bookings during 3Q came to C$6.7 million, which, if realized, exceeds its financial year 2019 revenue of C$6 million as the augmented reality company capitalizes on the new home-based paradigm. The 3Q 2020 figure is a 331% growth over the C$1.6 million it put up during the comparable period a year prior, thanks to burgeoning demand for its augmented reality (AR) solutions from industries like education, which is growing by around 200% every month, according to the company. In a statement accompanying the preliminary results released Friday, the New York- and Toronto-based firm attributed the growth to new customer acquisitions and expanding service offerings for existing customers amid larger demand for augmented reality and remote work solutions. READ: NexTech AR's InfernoAR video conferencing platform chosen for virtual TED event in Sweden NexTech uses the non-IFRS measure of total bookings as a metric for the business, which is comprised of all services included in signed contracts for the period. During the three-month period ended September 30, the company doubled in size to 140 employees and hired former SAP executive Eugen Winschel as its COO. On an operational level, it launched new distribution deals with well-known consumer brands, like Dyson, Philips Norelco, Mr Coffee, VitaMix, Breviel and Cusinart, and inked a $250,000 AR contract with Toronto’s Ryerson University. Financially, NexTech raised C$13.2 million through an underwritten public offering, helping it to end the period with a record C$16.3 million of cash on hand. CEO Evan Gappelberg told shareholders that the preliminary results were “extremely positive.” “We are uniquely positioned to see our business benefit from the new ‘stay at home' economy and the digital transformation that is underway,” Gappelberg said in a statement. “We are now landing bigger deals with global brands that are choosing our InfernoAR video conferencing and AR solutions because we have the only video conferencing platform which offers AR solutions. We are ‘firing on all cylinders’, and sales velocity is continuing to accelerate as we begin our Q4.” The firm’s bookings are mostly delivered within a three-month period of the signed contract, Gappelberg told investors. As NexTech continues to sign more annual and multi-year licenses, which bill monthly, booking will go further out, the CEO added. NexTech filed to uplist its stock to the Nasdaq exchange in July. Contact Angela at angela@proactiveinvestors.com Follow her on Twitter @AHarmantas