• xReality Group is a market leader in immersive Extended Reality (XR) for Defence and Law Enforcement
• Rapid growth of Operator XR, the company's core product, with new product releases and global expansion planned
• Significant contract wins, including a $5.7M deal with Texas Department of Public Safety

xReality Group Ltd (XRG) is a market leader in immersive Extended Reality (XR) solutions, delivering advanced training and operational planning systems for global Defence and Law Enforcement markets. The company's core product, Operator XR, has become its primary growth vehicle, rapidly outpacing the legacy entertainment segment in revenue and scalability. XRG outlined its growth strategy, including the release of new products such as Operator XR Sentinel, a larger-scale fully interoperable system for military and government customers, and Operator XR C-UAS for counter-drone tactics training. The company also plans to expand its global footprint outside the USA, leveraging its growing distribution network across Europe and Asia-Pacific.The presentation highlighted significant contract wins, including a $5.7M deal with the Texas Department of Public Safety, the largest order to date for Operator XR's OP-2 training systems. This award validates the technology at scale and establishes a high-profile reference customer in one of the largest US law enforcement agencies. The company also provided an update on its $5.6M R&D project with the US Department of Defense, which is progressing well and will result in new training capabilities.XRG's financial performance has been strong, with Operator XR's Annual Recurring Revenue (ARR) reaching $6M at the end of the quarter, up 28% sequentially. The company has also seen significant growth in total contract value, with $6.3M in new sales YTD for FY26. The presentation outlined XRG's plans to continue its rapid growth across global markets, underpinned by a large and expanding US pipeline, a evolving product roadmap, and valuable outputs from the US DoD project.

Operator XR Annual Recurring Revenue (ARR) at the end of the quarter was $6.0m (up 28% in the quarter). Total Contract Value for FY26 YTD is $6.3m after a strong first quarter.

The company has already delivered a strong start to FY26 with major contract wins, including the $5.7m Texas State contract and a $2.1m government grant, which confirm strong momentum. The qualified Sales Pipeline has increased to $51m (up 40% QoQ), and Operator XR is scaling rapidly, underpinned by a large and expanding US pipeline, a fast-evolving product roadmap, and valuable outputs from the US DoD project that enhance capability and future sales prospects.