Melbourne, Oct 24, 2022 AEST (ABN Newswire) - Crowd Media Holdings Limited (
ASX:CM8) (CM3:FRA) is pleased to provide this quarterly activities report alongside its Appendix 4C for the quarter ended 30 September 2022.
Q1 FY23 Highlights:
- Positive operating cash flow of $36K vs outflow of $(4)K in Q4 FY22 and a 210% improvement in comparison to the operating cash flow of the prior financial year.
- Cash at Bank of $2.57 million at 30 September 2022, and no debt
- A Big Five tech company purchased 3 licenses for the Talking Head platform
- Technical milestones achieved for Talking Head platform including extended device support, improved voice recognition and stability features (example below*), as well as integration being enabled with third-party 3D animated characters in the gaming industry for conversational AI integrations
- Strategic partnership with SrcFlare for media search activities extended, having exceeded expectations with $258k revenue generated for Crowd Media
- Mobile Subscription division shows ongoing profitability alongside implementing growth measures on all business fronts; growing profitability per user
- Mobile Subscription expands markets, with Bedtime Stories now in Oman and Kuwait; AstroVIP in Czech Republic, Portugal and The Netherlands; and Potion Games in Oman.
Commenting on the strong quarterly growth achieved over Q1 FY23, Crowd Media's CEO Idan Schmorak, said:
"Crowd is capitalizing on the excellent work of our development team by expanding Subscription products into new markets and regions, and creating larger opportunities for digital avatars.
"This was evidenced by the new Big 5 tech company that has licensed Crowd's Talking Head platform for a conversational AI solution to address their business challenges that can be scaled across multiple languages without additional hires and provide humanized interactions at scale globally. This milestone, together with all the other commercial and operational achievements of the past quarter, validate Crowd's vision. In addition, the insights we gather from clients further supports the scaling of our software development.
"Conversational AI has the potential to transform workplaces, delivering better experiences for both employees and customers. We are delighted to be working with such a forward-thinking company that has employees located around the world, and millions of customers. This is just one example of how progressive businesses can utilize conversational AI to automate procedures in a humanized way."
Q1 FY23 Financial Updates:
- Cash at 30 September 2022 was $2.57 million, up $0.34 million from 30 June 2022
- Net cash flow from operating activities was $36K, with net trading receipts of $45K
- Net cash flow from investing activities for the period was $(214)K, which was used for further investment in intellectual property
- Net cash flow from financing activities was $0.57 million, reflecting $0.6 million cash from the share placement in August 2022. The lease liability repayment was $0.06 million for the quarter.
Talking Head Technology Division Update:
- A Tier 1 Big Five tech company (which cannot be named as per confidentiality clauses) has purchased 3 licenses for Crowd Media's Talking Head platform for 2 years to provide them with digital avatars. Each will be powered by conversational AI for information delivery.
The digital avatars will be designed in collaboration with the Tier 1 client and be programmed with conversational AI functionalities to support daily operations. This initial 2-year license is a cornerstone in Crowd's relationship with the company and opens further commercial opportunities. The subscription is expandable to significantly material figures over time with the licensing of more digital avatars and deep-tech applications.
- Crowd's development team successfully reached a technical milestone that enables the Talking Head platform to be integrated with third-party 3D animated characters. This technology integration will create potential opportunities to partner with video game creators and animators to apply conversational AI within the gaming industry where interactions have previously been scripted with limited text-based responses from nonplaying characters
- An example of this technical update can be viewed at the link below with digital avatars Lana and Ava
- Crowd's partnership with media search company SrcFlare was extended after a successful Proof of Concept validated the application of conversational AI to reduce online lead generation costs for SrcFlare clients, generating $286k revenue for Crowd Media since May 2022.
Mobile Subscription Update:
- Average revenue per user increased 17% (compared to Q4 FY22) by refocusing marketing budgets on new products and markets with higher margins
- Commercial interest accelerated following Crowd Media's feature at the World Telemedia conference in Spain with a keynote presentation, and the Global Carrier Billing Summit in Germany
- Optimization measures are continuously being implemented across personnel, sales and marketing functions, with this division delivering ongoing profitability
- Exploring new marketing channels, particularly social media channels, for the distribution of new products based on the in-house AI-powered Talking Head technology
- Secured further mobile network approvals to mass distribute artificial intelligence-powered Talking Head technology for entertainment applications in Czech Republic, Oman and Kuwait; increasing the total number of markets available for distribution of the new AI products to 6
- Bedtime Stories and AstroVIP have commenced localisation for Spanish, Slovakian, Latvian, Lithuanian and Bulgarian as new languages to be supported.
*To view the Full Quarterly, please visit:
https://abnnewswire.net/lnk/BDH0WE7E
To view Ava and Lana Avatars, please visit:
https://youtu.be/tBzwWxv-7Bk
About Unith Ltd
Unith Ltd (ASX:UNT) is a leading digital human brand. It unifies the research and development of facial movement deep learning, audio machine learning, and conversational design (NLP) to generate the first customizable, interactive avatar of its kind.
Businesses can create their own digital humans to immerse, assist, and educate customers in real time and in multiple languages, all through one full stack platform. For further information, please visit: unith.ai
| ||
|
