zSpace, Inc. ( (ZSPC) ) has released its Q2 earnings. Here is a breakdown of the information zSpace, Inc. presented to its investors.
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zSpace, Inc. is a San Jose-based company specializing in augmented and virtual reality solutions for education, focusing on immersive learning experiences in STEM, career readiness, and technical education.
In its second quarter of 2025 financial report, zSpace highlighted strategic advancements such as the launch of its Career Explorer application and major deployments in New York and California. Despite macroeconomic challenges, the company remains optimistic about its growth potential and continued customer engagement.
Financially, zSpace reported stable revenue of $7.5 million, with an improved gross margin of 43% compared to 40% in the previous year. However, the company faced a net loss of $6.1 million, up from $4.7 million the previous year, attributed to increased operating expenses and funding uncertainties. Notably, the company’s Annualized Contract Value of renewable software saw an 11% increase, and its Net Dollar Revenue Retention was at 131% for significant customers.
zSpace’s recent achievements include winning the Future’s Best of Show Award for its AR/VR laptop solution and launching the Career Explorer application, which aims to enhance career exploration for students through immersive simulations. These innovations underscore zSpace’s commitment to advancing educational technology.
Looking ahead, zSpace’s management remains confident in its strategic direction, emphasizing its alignment with educational priorities and the demand for flexible instructional tools. The company aims to leverage its strong foundation to drive growth and deliver long-term value to shareholders.