Versus Systems Inc. SEC 10-Q Report

Versus Systems Inc., a company specializing in interactive gaming and advertising technology, has released its Form 10-Q report for the third quarter. The report highlights significant financial improvements and operational advancements, driven by strategic partnerships and market expansion efforts.

Financial Highlights

• Revenues: $2.18 million, driven by the recognition of the ASPIS license revenue and professional services.
• Gross Margin: $2.16 million, reflecting a significant increase due to the ASPIS license revenue.
• Operating Income (Loss): $0.94 million, a substantial improvement from the previous year's loss, primarily due to increased revenue and reduced operating expenses.
• Net Income (Loss): $0.94 million, marking a turnaround from a loss in the prior year, attributed to higher revenue and cost management.
• Basic and Diluted Earnings (Loss) Per Share to Shareholders: $0.14, compared to a loss per share in the previous year, indicating improved profitability.

Business Highlights

• Revenue Segments: The company's revenue is primarily derived from its license agreement with ASPIS Cyber Technologies, Inc., a related party, which contributed significantly to the revenue increase during the reporting period.
• Customer Segments: The company serves sports teams, venues, and advertising agencies, with ASPIS being a significant shareholder and customer, contributing to the company's revenue through a licensing agreement.
• Geographical Performance: The company has made significant progress in the Brazilian market, engaging with major soccer franchises, leagues, festival promoters, and tennis tournaments, which is expected to generate revenue in the upcoming quarter.
• Product Offerings: The company offers three principal software products: the XEO platform for in-venue main-board work, the Filter Fan Cam for mobile and in-venue applications, and the Winfinite gaming and prizing product for mobile devices.
• Operational Strategy: The company is focusing on increasing cash flow from operations and exploring strategic alternatives to address liquidity concerns, including potential equity or debt financing.
• Future Outlook: Management plans to secure additional funding through equity or debt financing and is exploring partnerships or strategic agreements to enhance its technology offerings and operational capabilities.

SEC Filing: Versus Systems Inc. [ VS ] - 10-Q - Aug. 14, 2025