Datavault AI Inc. Q3 FY2024 earnings call

• WiSA had financial improvement in Q3 with revenue up 240%, improved gross margins, and reduced inventory. • Announced shipping WiSA IP for a set-top box with a customer, expected to be on shelves by Christmas season in Europe and worldwide in 2025. • Acquired assets from Data Vault Holdings in early September, including IP and trademarks for Data Vault and Adio. • Nate Bradley's background in inventing and monetizing IP, and Data Vault's initiatives in events (MMA, concerts, sports), holographic content (HyperVision, DBHollow), scientific data indexing, and degree credential holograms. • Collaboration between WiSA and Data Vault to combine technologies for better ultrasonic signal control and monetization through ad networks and data exchanges.

For WiSA: In Q3, revenue was $1.2 million, up 240%. Gross margins improved, inventory was reduced by 17%, and ended the quarter with $3.9 million in cash. WiSA E is part of the recent acquisition from Data Vault Holdings. WiSA's revenue contribution was $1.2 million with a significant growth rate, and the gross margin improvement was a key factor.

• WiSA E-related revenue is expected to have a significant uptick in Q4 compared to Q3. • As WiSA E and Data Vault's software licensing come into play, higher gross margin percentages are anticipated for 2025 and beyond. • No specific 2025 guidance on WiSA E revenue was formally given, but growth is expected as initiatives progress.

• Forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from these statements. Risks are discussed in the earnings release and SEC filings, and WiSA assumes no obligation to update forward-looking statements except as required by law.

Q: On the third quarter, was the revenue solely driven by Gen 1 WiSA HT sales and was there any WiSA E in there?

A: Yes, there was WiSA E in the Q3 revenue, but it was primarily Gen 1 WiSA HT.

Q: What are the initial expectations for WiSA E in the fourth quarter and 2025 guidance?

A: WiSA E-related revenue will have a significant uptick in Q4 versus Q3. No 2025 guidance was formally given, but WiSA E is expected to ramp up with higher gross margins as software licensing kicks in.

Q: What are the near-term monetization drivers for Data Vault as we enter 2025?

A: Adio in sports entertainment venues, live events, and their broadcast corollaries; Data Vault's high science with holograms and data indexing; the ad network and information data exchange on Data Vault.

Q: How will Data Vault monetize its digital twin side and what's the split for revenue?

A: There's a 70-30 split on the information data exchange, with 30% of the yield of a trade coming to Data Vault. Partnerships on buy and sell sides will be announced.

Q: Plans for investor day after the proxy is approved?

A: It'll either be at or immediately following CES in early January, with both Brett and Nate planning to be at CES showing off both technologies