On Thursday, February 9, 2023, D-BOX Technologies Inc. (TSX: DBO) a world leader in haptic and immersive experiences, reported financial results for the third quarter of fiscal 2023 ended December 31, 2022.
Compared to the same quarter a year earlier, total revenues grew 87% to $10.5 million and system sales revenues increased 143% to $8.4 million.
Gross profit excluding amortization related to cost of goods sold increased to $5.0 million from $3.6 million for the same period last year. Gross margin excluding amortization decreased to 48% from 64%. The decrease was due to a higher proportion (market mix) of sales to theatrical exhibitors and themed entertainment system sales in the quarter. Theatrical exhibitor and themed entertainment system sales were also impacted by higher transportation costs.
This was the company's sixth consecutive quarter of positive adjusted EBITDA*
Accelerating into Sim Racing
While D-BOX is perhaps best known for their haptic movie theatre seats that help immerse the audience in popular cinema blockbusters, the company is quickly gaining traction in the sim racing market. When reporting their third quarter results, the company provided the following update on their sim racing business:
"During the quarter, Kindred Concepts opened its first state-of-the art F1 racing simulation center called F1 Arcade, featuring 60 D-BOX-equipped simulators in London, England, with 30 locations planned over the next five years; and we announced collaborations with leading sim racing equipment designers, manufacturers and marketers, RSEAT and Trak Racer. And last month, we announced our Mercedes-branded multipurpose haptic platform, which will be available for on-line purchase by the end of February." - Sébastien Mailhot, Chief Executive Officer.
The Mercedes and RSEAT modular motion platforms are compatible with most sim racing chassis manufacturers and can also be used in conjunction with chairs, sofas, fitness devices, and more in-home and commercial entertainment. They are also compatible with the D-BOX ecosystem, allowing users to benefit from a haptic experience for the more than 2,500 films and television series available in the content catalogue on D‑BOX PLUS.
Sim racing is an exciting market for D-BOX and one the company see lots of growth potential in.
* Adjusted EBITDA provides useful and complementary information, which can be used, in particular, to assess profitability and cash flows from operations. It consists of profit (loss) excluding amortization, financial expenses net of income, income taxes (recovery), impairment charges, share-based payments, foreign exchange (gain) loss and non-recurring expenses related to restructuring costs.
Source: D-BOX Technologies Inc.
Roku and DoorDash Partner to Deliver Delight to Roku Users with Free DashPass and Access to On-Demand Delivery from their TVs
Roku (Nasdaq: ROKU), the #1 TV streaming platform in the U.S., Canada, and Mexico, and DoorDash (NYSE: DASH), the local commerce platform, announced a multi-year partnership to build a better TV experience and unlock new ways for consumers to access their favorite restaurants and more.
The partnership includes:
According to internal Roku research, 1 in 3 Roku users order take-out or food delivery weekly. Furthermore, 36% of Roku users are interested in receiving interactive offers including a scannable QR code or text message.
“Streaming and delivery just go together, which is why we're making it easier than ever for Roku users to order their favorite food right from their TV,” said Gidon Katz, President, Consumer Experience, Roku. “Just in time for the Big Game, we’re bringing consumers and marketers the same leading scale, data, and tech that have made buying a new device or signing up for a service simple and delightful.”
DoorDash merchant partners can run ads directly on Roku. Consumers simply interact with the TV ad offer, receive the promotion through SMS/email, and are led to the storefront directly in the DoorDash app to redeem. With this integration, brands can easily track and measure ROI from beginning to end.
“We are thrilled to partner with Roku on this unique partnership,” said Rob Edell, GM & Head of Consumer Engagement, DoorDash. “While this offer unlocks DashPass benefits and perks for Roku users everywhere, it also provides our merchant partners with an opportunity to promote DoorDash offers through TV streaming. Consumers can conveniently and affordably get the best of their neighborhood delivered to their door, while brands can reach diners at the right time and drive instant conversion from the comfort of the living room.”
Source: Roku, Inc.