NedSense publishes trading update for Q3 2015
The NedSense portfolio encompasses the customer experience solution LOFT and roOomy. The LOFT core technology enables easy conversion of 2D photos into an interactive 3D environment which can be decorated with real products of leading retail brands. The roOomy platform connects home furnishings retailers and the real-estate community with consumers at the moment they are considering a home purchase or property rental, creating a new sales channel for brokers, developers and retailers. Real-estate brokers and property owners can use roOomy by subscription, to virtually stage their listings at low cost with furnishing products from participating brands. RoOomy’s virtual staging technology is a breakthrough for the real estate industry where it is widely acknowledged that staged properties sell better. In turn, consumers can view 3D room environments of real estate listings in roOomy, and re-decorate them in a few clicks with furnishings from participating brands. Leading US retail brands have already signed on as affiliates, making their products available for ‘e-decoration’ and promotion in the roOomy app. The company is currently working with leading real estate companies in the US, rolling out roOomy to their agents and clients.
Q3 Financial update
Revenue for the first 9 months 2015 decreased by EUR 151k versus 2014. The decrease in revenue in 2015 is due to the company transitioning away from customized implementations of LOFT, to focus on managing the roOomy platform with a subscription and referral fee business model, and the related generic version of LOFT. NedSense’ operating expenses for the first 9 months decreased by EUR 194k versus the same period in 2014, resulting in an operating result of approximately EUR -2.3 million.
Sale LOFT division
In August 2015, NedSense announced that the company had appointed Foghorn Capital LLC, a corporate finance advisor, to examine its strategic options. The Supervisory Board and Board of Directors have carefully reviewed the various options for the company in the interest of NedSense, the related company and in the interest of all stakeholders including shareholders, other capital providers, employees, customers and suppliers. To meet the approximately EUR 2 million repayment obligations arising from the convertible loans and the innovation credit (which obligations are due by the end of 2015), to secure the continuity for its employees and customers and to obtain the required working capital going forward, the Supervisory Board and Board of Directors have decided to pursue the sale of the Loft division. Management expects, although there is no guarantee, to complete the sale of the Loft division before the end of 2015. NedSense will make further announcements, if appropriate, in due course.
November 10, 2015 07:50