Global Mofy AI Ltd (GMM) 2025 Q4 法說會逐字稿

Good day and thank you for standing by. Welcome to the Global Mofy AI Limited fiscal year 2025 financial results conference call. (Operator Instructions) I would now like to turn the conference over to your first speaker today, Celine Meng. Please go ahead.

Thank you, operator. Welcome everyone to Global Mofy fiscal 2025 financial results conference call, covering the period between September 30, 2024 and September 30, 2025.

Thank you all for joining us on such short notice. My name is Celine and I am the Company's Securities Affairs Representative. Today I will be presenting our prepared comments and then followed by a Q&A session with our CTO Mrs. Wenjun Jiang; and CFO Mr. Chen Chen.

Fiscal year 2025 marked a pivotal year of strategic transformation for Global Mofy . Beyond strong financial performance, this year represents our transition from AI-driven tools to AI native production workflows, laying the foundation for scalable, defensible, and margin accredited growth.

During today's call, we will review our financial results, strategic milestones, core technologies, and growth outlook. Before we begin, I would like to remind everyone that today's discussion contains forward-looking statements, which involve risks and uncertainties that may cause actual results to differ materially from those indicated.

These forward-looking statements are subject to risks described in our filings with the US Securities and Exchange Commission. May I encourage you to review our [Form 20F] and other SEC filings for additional information.

Today's conference call is being recorded, and a replay will be made available on the company's website. Fiscal year 2025 delivered record financial performance while also marking a strategic inflection point for Global Mofy.

Highlights include total revenue of $55.9 million representing 35.3% year over year growth, a gross profit of $22.5 million. (technical difficulty) We entered into a digital cultural tourism cooperation framework with Lian Gang's Hydrou High-tech District.

We completed a total of $10.3 million in strategic private placement financing, established Gang's AI lab, and enter an AI power content framework, expanded our Global AI data and training capabilities through Eagle Point AI Inc.

These milestones reflect not in not incremental optimization, but a fundamental transformation and how digital content is produced. For those who are new to Global Mofy , let me briefly introduce the company. Global Mofy is an AI driven technology solutions provider focused on virtual content production and 3D digital asset development for partners across the digital content and value chain.

Advanced AI and 3D reconstruction technologies, they create high precision digital representations of characters, scenes, and props. Enabling deployment across film, television, gaming, XR, and emerging AI native workflows.

We operate across Beijing and Zhejiang, China, and since our NASDAQ listing on October 10, 2023, under the ticker GMM.us. We've continued to scale both our technology platform and asset base. According to a Frost and Sullivan report, Global Mofy is now recognized as one of China's leading digital asset banks with more than 150,000 high precision 3D digital assets.

This slide highlights Global Mofy evolution from a traditional digital content provider into an AI native production platform. Key milestones include early leadership in virtual production and software IP accumulation, strategic partnerships with Alibaba Damala Academy and leading industry players, Nasdaq listing in 2023, and establishment of a Zhejiang headquarters, launch of God speeder flagship.

AIGC platform built on Nvidia Omnibus, expansion into global AI training and data engineering through Eagle Point AI. Our roadmap reflects a deliberate multi-year transition toward AI native infrastructure rather than short-term experimentation.

And Mofy has received competitive for its leadership in technology and innovation. Highlights include national high-tech enterprise designation, multiple most valuable investment Chinese concept stop, and innovation awards, membership and leadership roles in MIIT metaverse, and digital economy organizations.

Recognition as A specialized and new SME in Beijing. These honours reinforce our credibility with enterprise customers, government partners, and institutional investors.

Innovation remains at the core of Global Mofy long-term strategy. In 2025, R&D spending reached $7.5 million representing 14.1% of revenue. RMD to revenue ratio significantly exceeds industry average of 5% to 8%. We hold 45 independent intellectual properties with over 10 new IPs added annually.

Beginning in fiscal year 2025, we intensified development of generative AI production tools, AI native workflows, AI agent-driven data governance frameworks. We believe that our scaled advantage in 3D digital assets, combined with the production expertise positions us uniquely for the next generation of AI-driven content creation.

Now let's turn to our mission, vision and values which define who we are as a company and guide us in everything we do. Starting with our mission, we aim to empower creativity through the innovative use of AI and digital technology.

This mission is our efforts to push boundaries and redefine what's possible in the digital content industry. Our vision is clear, to drive technological advancements while cultivating a culturally rich corporate environment.

Our values, first, foster innovation, encouraging both ideas and groundbreaking solutions. Second, we prioritize and exceed customer expectations, delivering value that goes beyond the ordinary. Ultimately, our ambition is to build the world's leading digital asset bank, serving as a foundational infrastructure for AI native content industries.

The Gauss platform is a flagship AIGC platform designed for industrial grade cinematic production. Built on Nvidia omnivores. Gauss by enables professional grade visual generation. Gauss by creates stunning, realistic visuals with advanced AI technology, ensuring top quality results for virtual projects.

Storyboard and shot design. It provides intuitive tools for detailed storyboard and shot design, allowing creators to visualize and plan each scene precisely, reducing the need for costly revision a precise pre-production planning.

Gauss offers advanced privacy capabilities for accurate pre-production planning, helping clients define service needs and minimizing trial costs editable assets. The videos, scenes, and three digital assets generated by Gauss speed can be re-edited to meet more customized demands, providing flexibility and adapt adaptability for various project needs.

We are confident in Gauss speed's ability to transform the filmmaking industry by providing a powerful AI driven tool that enhances creativity and efficiency. Our 150,000 plus high precision 4K 3D digital assets form the backbone of AI capabilities.

These assets span characters, scenes, and props, natural environments, science fiction, historical eras, and architecture. This asset bank enables faster production cycles, higher visual fidelity, scalable AI training, and interference. It is a foundational competitive mode for Global Mofy .

Mofy Lab integrates over 40 preparatory software systems into a one-stop content generation platform. Key capabilities include high precision 3D reconstruction technology, digital content editing middleware, low code and no code production tools, as a reuse, invocation, and workflow optimization.

Global Mofy allows us to deliver systematic, repeatable, and scalable production outcomes. This slide summarizes several defining moments of Global Mofy in the past few years. Nasdaq listing and increased global visibility, launch of Zhejiang headquarters.

Entry into the AIGC field through strategic partnerships, completion of a major strategic transformation. Each milestone reflects progress towards an AI native operating model.

Our management team brings deep expertise across technology, finance, and operations. Led by our CEO Mr. Haogang Yang, and supported by CFO, Mr. Chen Chen; CTO, Mrs. Wenjun Jiang; and CMO Mr. Nan Zhang. The team continues to execute our strategy with discipline and a long-term focus.

Financial data wise, now let me talk, walk you through our financial performance for the fiscal year end this September 30th, 2025 and provide some additional context around the key drivers behind these results.

As of September 30, 2025, the company's total assets increased to $78 million compared to $59.2 million as of September 30, 2024, representing a 31.9% year over year increase. Growth was primarily driven by our continued investment in intangible assets, particularly those related to 3D digital assets and AI related technologies.

These investments reflect our deliberate techno strategy to strengthen Global Moy's long-term technology foundation, expand our digital asset bank, and support the transition toward AI native production workflows. Revenue for fiscal year 2025 increased to $55.9 million representing a 35.3% increase from $41.4 million in fiscal year and 2024.

This growth was driven by sustained demand for virtual content production and 3D digital assets licensing business across multiple and markets including film, television, advertising, game, and digital tourism, and etc.

Demand remained resilient throughout the year, reflecting both the recovery of content production activity and increasing adoption of digital and AI enabled production solutions. In addition, during fiscal year 2025, the company proactively responded to the active expansion of the short form drama market by adopting an innovative cooperation model to participate in short form drama investment and production projects.

While still at a very early stage, we believe the continued expansion of this business line will further diversify our revenue streams and provide incremental revenue support over time, complementing our core virtual technology services.

Gross profit and gross margin. Gross profit for fiscal year 2025 was at $22.5 million compared to $20.8 million in fiscal year 2024. Gross margin was 40.2% for the year.

The over year over year margin profile reflects a period of intentional investment as we continue to scale our AI native production infrastructure, expanded R&D initiatives, and deployed AI agent-based workflows designed to support long-term automation and efficiency.

While these investments weighed modestly on near-term margins. We believe they are critical to unlocking structural margin expansion in future periods, particularly as AI workflow mature and production efficiency continues to improve.

Research and development expenses. For the fiscal year of 2025 totalled to around $7.9 million compared to $7.4 million in fiscal year 2024, representing a 6.7% year over year increase. These investments were primarily focused on expanding and enhancing our 3D digital asset library to support growing AI-driven demand.

Advancing the development of AI-based generative tools and initiating AI native production workflow research through the launch of Gauss AI lab. We believe that these R&D efforts are essential to support long-term efficiency, scalability, and intelligence production capabilities, and position Global Mofy for sustained growth as AI native adoption accelerates across the digital content industry.

Global Mofy is transitioning from using AI tool to embedding AI natively across production data and workflows. Our growth strategy focused on international market expansion, especially in June 2025, Global Mofy made a strategic investment in Brck AI, a digital.

Right platform headquartered in Ethiopia, marking the company's first direct market entry into Africa and represents an important step in expanding the application of our AI capabilities beyond digital content into real-world infrastructure and logistics scenarios in emerging markets.

Building on this foundation, in January 2026, the company recently established Eagle Point AI Inc. A Delaware-based AI infrastructure company, majority owned through a wholly owned US subsidiary GM and Discovery LLC, Eagle Point AI focused on AI data engineering, data governance, and AI model training support, serving as a critical component of our global AI infrastructure plan now.

Additional growth strategies also include strategic alliance and selective acquisitions, brand positioning as an AI native content infrastructure provider, continued R&D investment in AIGC and asset expansion, enhanced customer experience through intelligent workflows. These strategic strategies together underpin our long-term margin expansion and scalability.

Thank you for your attention and before we open the floor for questions, please note that a management team will be answering in Chinese for any discrepancies between the translated responses and the original answers.

The original answers should be considered accurate. Please feel free to ask any questions you may have about our financial performance, strategic initiatives, or market outlook. Operator, please open the line now for questions.

(Operator Instructions) [Donna Yang, Red Dragon].

Okay, here is my first question, could you explain how the company maintains a stable and a strong revenue growth trajectory?

Okay. So I will now translate the question for our CFO Mr. Chen Chen for answer.

(Spoken in foreign language) Still le touzer and Wen so, gongsun nong fooshongming gongshiru Hewei shishoru and ding zheng jhang.

(Spoken in foreign language) Then, soda shong. Oh that for sure. Yeah. Yeah Zhongqi the father, yeah, I don't want to do it. They don't go to the sun to go on the future, so you told me it's sun and they got shizda who's the what they got tong xing the water that they got you told the yue yeah see for the squad yo. Now, so it's the 2 a year with the 3 jian woman say part yeah jiang i jihua so. Kong poo on the quadruple.

I will now translate the answers from Mr. Chen Chen. In fiscal year 2025, the company achieved a revenue of US dollars, $55.94 million representing a 35.3% year over year increase and marking a record high in our history.

Mr. Chen Chen emphasized that this growth was primarily driven by three factors. Thus, continued demand growth for 3D digital assets and models across multiple application areas, including film, television, advertising, and virtual cultural tourism.

Second, the overall expansion of the film, TV, and short drama markets, which increased demand for high-quality virtual content production services. Third, in response to the rapid growing short drama market, the company adopted innovative cooperation models to enter short drama investment and production, further diversifying our revenue sources.

Mr. Chen Chen emphasized that we believe the continued development of the short drama business will provide additional revenue support and diversification going forward.

Okay, thank you very much for the answer.

And following the following that I have the second question. Can you provide an outlook on the company's future performance?

Thank you for your question, and I will now translate the question for Mr. Chen Chen's answer. (Spoken in foreign language)

(Spoken in foreign language) Ejian.I don't or or g ozong they don't guan yan ying.

Thank you, Mr. Chen Chen, and I will now translate Mr. Chen Chen's answer for your question. Mr. Chen Chen answered that building on the stable growth of existing core business lines, the company expanded into short drama production in fiscal year 2025 as part of our virtual technology services and continued to advance our strategic planning in the AI.

Agent space which together strengthened our growth foundation. Looking ahead to fiscal year 2026, we expect to maintain strong growth momentum and further expand our market presence across key application areas through ongoing techno technological innovation, supporting sustainable and steady revenue growth over the long-term. Thank you.

(Operator Instructions)

[Naya, Red Dragon] lack of questions.

(Operator Instructions)

I am showing no further questions. No questions, so I'll not turn back to my closing remarks closing remarks.

Hi, operator. Can you repeat one more time the directions to join the call?

(Operator Instructions) [Jason Liu, Clash AI].

Oh yeah? Can you hear me?

Yeah. Yes, I can hear you.

I've got two questions, and the first one is over the next three to five years, where the company prioritize the technical tips or ecosystem expansion and how will resource be allocated.

And then I'll now translate the question for our CTO Mrs. Wenjun Jiang for answers. (Spoken in foreign langauge) Ganghozer and Wendao so gongsiwelai sanda wu yanna zhang yu zhong xinhuizai, jihufa fang mian hai shi tai kohang fang and bing xie jihuaru He fenpei woman.

(Spoken in foreign langauge) The CNY. Ngong. Yank. Da da. Kong hong kong shi jiang hui hunggongihongshi jian hongtaiko ya ye hog yi jing jian liang xinhua.

Thank you, Mrs. Wenjun Jiang, and I will now translate the answers from Mrs. Wenjun Jiang. As CTO Mrs. Wenjun Jiang have just answered that we believe the technological depth and ecosystem expansion are complementary other than conflicting.

Deepening our technology enables us to respond effectively to evolution market dynamics. While ecosystem expansion allows us to leverage existing technological strengths to attract more digital content, cultural tourism, and entertainment projects, our resource allocation philosophy can be summarized as technology first and service driven.

Technology priority includes continued investment in AIGC and 3D reconstruction technologies. Both of which form our core competitive advantages. So the expansion including leveraging these technologies to broaden application scenarios and deliver more comprehensive solutions to clients.

The company Global Mofy will remain technology-driven, while steadily expanding its ecosystem to achieve balanced growth and innovation. Thank you. We hope we have answered your question well and if you have further questions, you may ask now.

Yeah, I got one more question. The second one is short-term investment, a long-term strategy or short-term, materialization approach?

And I will now translate the question for our CTO Mrs. Wenjun Jiang for answers. (Spoken in foreign language) Gang delazer and yo wen dao shodju to Zhi shi woman gongs to the halibuzu hai shi zhi i go zwan sit the liliangbianxian sho.

(Spoken in foreign language) Lig. I jiang g z hong jiang you know.

Okay. Thank you, Mrs. Wenjun Jiang and I will now translate your answers in English. First of all, short drama investment is not merely a short-term monetization tool, but rather than an integral part of the company's long-term strategic planning.

Driven by technology, ecosystem expansion as mentioned before, and user experience optimization. Shorter must enhance brand visibility while serving as a strategic entry point for a broader market.

And technology application we view the segment as a platform for aligning capabilities with sustainable commercial value.

Thank you. We hope that we have answered your questions, and if you have any more questions, you may raise them now. If not, you may hang up.

No, I'm good, yeah, thank you so much.

I am showing no further questions at this time, so I will send the call back to management by closing remarks.

Thank you. Thank you all for your insightful questions and for joining us today. On behalf of the entire Global Mofy team, we thank you for your continued support and interest in our journey. We look forward to reconnecting with you again soon. If you have any further questions, please do not hesitate to reach out to our Investor Relations team through email. Have a great day.

Conference this does conclude the program you may now disconnect.

Portions of this transcript that are marked (interpreted) were spoken by an interpreter present on the live call. The interpreter was provided by the company sponsoring this event.