Vividthree posts widening losses despite surging revenue

CATALIST-listed virtual reality, visual effects and computer-generated imagery production studio Vividthree saw its net loss widen to S$1.8 million for the six months ended Sep 30, 2021, from S$1.5 million a year ago.

Loss per share widened to 0.54 cents from 0.45 cents from the previous year.

However, its revenue surged 297.5 per cent to S$1.2 million in the same period, from S$299,816 the year before.

This was mainly due to recovery in the company's post-production segment, while the company's content production segment did not generate any revenue as some projects were put on hold due to Covid-19 capacity restrictions.

By geographical region of its customers, Vividthree saw its strongest revenue growth from Singapore, with revenue rising to S$1.1 million for the half-year, from S$182,311 a year ago.

The group said that it is cautiously optimistic about its recovery, especially in the post-production segment. Managing director of Vividthree Charles Yeo said that the group is also exploring opportunities in the fast-growing gaming sector to increase future revenue streams as well.

"The group has started preliminary discussions with several parties, including GammaR, to capitalise on trends such as blockchain and non-fungible tokens (NFT) in the gaming sector. (In the) meantime, post-production will continue to be a key revenue contributor to the group," he said.

Shares of Vividthree closed unchanged at S$0.06 on Monday before results were announced on Monday.

Amendment note: An earlier version of the headline for this article incorrectly stated that Vividthree's profit surged. The headline has been revised to reflect this.