Mr. Evan Gappelberg reports

NEXTECH3D.AI REPORTS $5 MILLION IN 2023 REVENUE, GROWTH UP +56% PRELIMINARY UNAUDITED RESULTS

Nextech3D.AI Corp. has released its preliminary unaudited financial and operating results for the full-year 2023, ended Dec. 31, 2023. These preliminary unaudited results show strong annual revenue growth of 56 per cent to $5-million compared with $3.2-million in 2022. Annual gross profit margin for 2024 is estimated at 30 per cent, which, with the company's pivot to India in Q4 2023 and improvements in its artificial intelligence, is projected to increase dramatically in 2024.

Chief executive officer commentary

Nextech3D.AI CEO and founder Evan Gappelberg commented: "While 2023 was a solid year of growth for our company, we are expecting even stronger gains in 2024 as the 3-D modelling revolution gains steam and our business gains more economies of scale. Moving operations to India was a major positive for our production capability, but especially our profits as we are now seeing consistent profit margins of over 50 per cent in our businesses, which is approximately an 80-per-cent improvement over 2023." He continued: "We are currently negotiating multiple major contracts for our 3-D modelling business while simultaneously building important AI technology that will continue to drive our revenue and profits forward. We are seeing a convergence of AR and AI technology begin to drive the adoption of all our portfolio of technologies, including 3-D modelling, spatial computing and AI texturing ... we are excited for releasing the technology we are building and for record results in 2024!"

Preliminary annual 2023 financial highlights:

• 2023 annual revenue growth of 56 per cent;
• 2023 annual revenue of $5-million compared with $3.2-million in 2022;
• 70,000 3-D models created to date.

2024 outlook and highlights:

• Several significant enterprise 3-D modelling contracts expected to close in Q1;
• MapD anticipates a jump of 51 per cent or more in the average contract value due to increased pricing which has already been implemented and accepted by many customers. The company is also projecting another 50-per-cent growth in new business, leading to a projected 100-plus-per-cent growth in 2024 revenue.

3-D model report and projection

Nextech3D.AI has created a total of 70,000 3-D models to date, and it is expected to surpass 250,000 models by 2025. This achievement is projected to be reached due to the company's AI-powered technology enabling the scale of production of 3-D models, as well as its contracts with enterprise clients.

About Nextech3D.AI Corp.

Nextech3D.AI is a versatile augmented reality and AI technology company that utilizes its proprietary artificial intelligence (AI) to craft immersive 3-D experiences at scale for e-commerce. The company's primary focus lies in creating high-quality 3-D WebAR photorealistic models for Amazon and various other on-line retailers. Nextech3D.AI has adopted a unique approach to creating shareholder value beyond its operating business of creating 3-D models.

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