The Company Has Recorded Over CAD 6.9 Million of Total Revenue for the Nine-Month Period Ended April 30, 2022
VANCOUVER, BC, June 14, 2022 /CNW/ - Looking Glass Labs Ltd. ("LGL" or the "Company") (NEO: NFTX) (FRA: H1N), a leading Web3 platform specializing in non-fungible token ("NFT") architecture, immersive metaverse environments, play-to-earn tokenization and virtual asset royalty streams, is pleased to announce that it has filed its unaudited financial results for the third quarterly period ending April 30, 2022, the highlights of which are included in this news release. The full set of Consolidated Financial Statements and Management Discussion and Analysis can be viewed by visiting the Company's website at www.lgl.io or its profile page on SEDAR at www.sedar.com.
Financial Highlights (all amounts expressed in Canadian Dollars unless otherwise noted)
- Total revenues for the nine-month period ended April 30, 2022 was CAD 6,925,008 as compared to CAD nil for the same period of the prior year, which was attributable to the receipt of proceeds from NFT sales, royalty income and consulting income; total revenues for the three-month period ended April 30, 2022 was CAD 116,320, as compared to CAD nil for the same period of the prior year, which was primarily due from the receipt of royalty income;
- Total comprehensive loss for the nine-month period ended April 30, 2022 was CAD 6,730,076, as compared to total comprehensive loss of CAD 38,967 reported for the same period of the prior year, primarily due to stock-based compensation of CAD 5,103,796 as well as significant marketing and development costs; total comprehensive loss for the three-month period ended April 30, 2022 was CAD 9,000,391, as compared to total comprehensive loss of CAD 11,043 reported for the same period of the prior year, primarily due to stock-based compensation of CAD 4,940,087 as well as significant marketing, office expenses and development costs;
- Net loss per share for the three-month period ended April 30, 2022 was CAD 0.08 on a basic shares outstanding basis, as compared to CAD nil for the same period of the prior year; net loss per share for the nine-month period ended April 30, 2022 was CAD 0.07 on a basic shares outstanding basis, as compared to CAD nil for the same period of the prior year; and
- Total assets for the period ended April 30, 2022 increased to CAD 13,949,175 from CAD 2,442 for the audited period ending July 31, 2021, which was mainly attributable to changes in goodwill, intangible assets, digital assets and cash and cash equivalents.
Dorian Banks, Chief Executive Officer of LGL said, "I am happy to report the Company's financial results of the third quarter of our 2022 fiscal year. We received passive revenue from royalties on our previously sold NFTs while focusing significant effort on the marketing of LGL's GenZeroes roadmap into the summer months." Mr. Banks added, "I am excited about the future of the Company and the projects that our talented team has under development. From NFT drops, to the live-action series, to our Overlords P2E game and ground-breaking client engagements, among other things, we have no shortage of avenues to demonstrate LGL's industry-leading capabilities."
Subsequent Highlighted Events (all amounts expressed in Canadian Dollars unless otherwise noted)
- Announcement of GenZeroes Roadmap Including NFT Drop (May 4, 2022) – The Company announced the release of the GenZeroes roadmap, which includes a series of broadcasts, launches and other events occurring into the summer months.
- Dorian Banks Interviewed on Own the Moment Podcast (May 11, 2022) – The Company announced that its Chief Executive Officer, Dorian Banks, had recorded an interview on the "Own the Moment" ("OTM") podcast for Own the Moment NFT, Inc., which was hosted by the founders of OTM, TJ Laessig and Justin Herzig, and was scheduled to be released on May 12, 2022
- Presented at the HC Wainwright Conference Held in Miami (May 20, 2022) – The Company announced that Dorian Banks, Chief Executive Officer, would present virtually as part of the HC Wainwright Global Investment Conference that took place in Miami from May 23-26, 2022
- Appointment of Ron Moravek to Strategic Advisory Board (June 1, 2022) – The Company announced that Ron Moravek had been appointed as a member of its Advisory Board. Mr. Moravek has over 25 years of experience in business development; is passionate about business and software innovation; and he specializes in video game industry design and development, online web platform technology, software development, mobile game development, free-to-play gaming systems and more.
ABOUT LOOKING GLASS LABS
Headquartered in Vancouver, British Columbia, Looking Glass Labs ("LGL") is a Web3 platform specializing in non-fungible token ("NFT") architecture, immersive metaverse environments, play-to-earn tokenization and virtual asset royalty streams. Its leading brand, House of Kibaa ("HoK"), designs and curates a next generation metaverse for 3D assets, which allows functional art and collectibles to exist simultaneously across different NFT blockchain environments. HoK has successfully released digital assets to include GenZeroes, which sold out in just 37 minutes for total proceeds to LGL of CAD 6.2 million, in addition to a perpetual 5% royalty stream on secondary market sales. HoK plans to launch a hyper-realistic metaverse built on the latest version of Unreal Engine in 2022.
On behalf of LOOKING GLASS LABS LTD.
Dorian Banks, Chief Executive Officer
This news release contains "forward-looking statements." Statements in this news release that are not purely historical are forward-looking statements and include any statements regarding beliefs, plans, expectations, or intentions regarding the future. Such forward-looking statements include, among other things: the development of the Project Origin metaverse, the Company's goal to become the leading digital studio specializing in NFT architecture, immersive metaverse design and virtual asset display monetization streams; intention to build out a portfolio of perpetual NFT royalty streams through collaborations, accretive acquisitions and other arrangements, to potentially result in consistent, de-risked and passive revenue; and the near-term projects and future projects.
The material assumptions supporting these forward-looking statements include, among others, that: the Company could mitigate the risks associated with the blockchain and NFT industry; the ability to compete with other businesses in the NFT market; the availability of sufficient funding to carry out the Company's business development plans; favourable market conditions; the ability of HoK to sell all or substantially all of its offerings; and the ability to complete the development of Overlords in a timely manner.
Although management considers these assumptions to be reasonable based on information currently available to it, they may prove to be incorrect. These forward-looking statements are only predictions and involve known and unknown risks, uncertainties and other factors, including: the continued growth and adoption of NFT and metaverse offerings by the consumer market; the cost of developing and designing NFTs and metaverses is economically viable; the Company being able to attract and retain a sufficient workforce with desired skillsets to develop the Company's NFT and metaverse offerings; the availability of offerings provided by third-parties in the NFT, metaverse development and online gaming market to identify potential transactions; the increasing adoption of NFTs as a solution for various online gaming, entertainment and collectible uses; the Company having the ability to mitigate the risks associated with the blockchain and NFT industry; and the ability to compete with other businesses in the NFT, metaverse development, content creation and collectibles market.
Although management considers these assumptions to be reasonable based on information currently available to it, they may prove to be incorrect. These forward-looking statements are only predictions and involve known and unknown risks, uncertainties and other factors, including: the risk that the Company's offerings are not accepted by the consumer, the risk that other competitors may offer similar digital offerings; the risk that there may be negative changes in general economic and business conditions; the risk that the Company may have negative operating cash flow and not enough capital to complete the development of any of its technologies; the risk that the Company may not be able to obtain additional financing as necessary; the risk that there may be increases in capital and operating costs; the risk that the NFT technology may be subject to fraud and other failures; the risk that there may be technological changes and developments in the blockchain that make the NFT solutions obsolete; risks relating to regulatory changes or actions which may impede the development or operation of the blockchain solutions; the risk that other competitors may release similar blockchain offerings; the potential future unviability of the NFT market in general; the volatile cost of the amount of computational effort required to execute specific operations on the blockchain, and other general risks involved in the blockchain solutions.
Risks and uncertainties about the Company's business are more fully discussed in the Company's disclosure materials, including its reports filed with the Canadian securities regulators and which can be obtained from www.sedar.com.
Any of these risks may cause the Company's actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements. Further, although the Company has attempted to identify factors that could cause actual results, levels of activity, performance or achievements to differ materially from those described in forward-looking statements, there may be other factors that cause results, levels of activity, performance or achievements not to be as anticipated, estimated or intended. These forward-looking statements are made as of the date of this news release, and the Company assumes no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements, except as required by applicable law, including the securities laws of the United States and Canada. Although the Company believes that any beliefs, plans, expectations and intentions contained in this news release are reasonable, there can be no assurance that any such beliefs, plans, expectations or intentions will prove to be accurate. The Company does not assume any liability for disclosure relating to any other company mentioned herein.