Mr. Evan Gappelberg reports

NEXTECH3D.AI REPORTS FISCAL YEAR 2023 AND FOURTH QUARTER 2023 AUDITED FINANCIAL RESULTS

Nextech3D.AI Corp. has released its fiscal year 2023 and fourth quarter 2023 financial results the year ended Dec. 31, 2023.

• 2023 annual revenue growth of plus 56 per cent;
• 2023 annual revenue of $5-million.

Please join Evan Gappelberg, chief executive officer, and Andrew Chan, chief financial officer, today after the close where Nextech3D.ai will host a conference call to discuss these financial results.

Evan Gappelberg -- CEO commentary

Preliminary annual 2023 financial highlights

• 2023 annual revenue growth of plus 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

• New demand for 3-D models expected to gain momentum throughout the year driven by large enterprise customers;
• 2023 cost-cutting measures and pivot to India to reduce the company's burn in 2024 by as much as 75 per cent;
• Q1 2024 gross profit margins estimated to be 50 to 55 per cent;
• Q2 2024 gross margin estimated to be 80 per cent;
• Q2 improved margins puts India 3-D modelling business as a stand-alone business unit projected to go cash flow positive;
• New 3-D photography and artificial-intelligence-driven product launches expected to drive additional revenue and growth in 2024;
• Multiple patents already issued in 2024 with additional patent issuances expected.

Company is launching several enhanced AI 3-D productivity tools in Q2, Q3 2024

Conference call details

Title:  Nextech3D.ai full year 2023 and q4 2023 financial results

Call date:  Monday, April 29, 2024

Time:   5 p.m. Eastern Time (United States and Canada)

Participant details:

North America toll-free:   888-330-2024

North America toll:  646-960-0187

International toll:  1-646-960-0187

Conference ID:  7778367

For those unable to join the live event, a recording of the presentation will be posted on the company's investor relations website.

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.

The company also develops or acquires disruptive AI technologies, which are subsequently spun out to shareholders as stand-alone public companies. This spinout strategy allows Nextech3D.AI to issue stock dividends to its shareholders while maintaining significant ownership in the public spinout, without dilution to the parent company Nextech3D.AI.

Notably, Nextech3D.AI successfully spun out ARway, its spatial computing platform, as a stand-alone public company on Oct. 26, 2022. The company retains a 49 per cent stake with 13 million shares in ARway Corp. while distributing four million shares to Nextech shareholders.

Similarly, Nextech3D.AI accomplished its second spinout launching Toggle3D.AI, an AI-powered 3-D design studio aimed at competing with Adobe. The company retains a 44-per-cent stake with 13 million shares in Toggle3D.AI Corp.

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