The Glimpse Group, Inc. (VRAR) 10-Q 14 Nov 23 2024 Q1 Quarterly report Financial data

Cover

Cover - shares	3 Months Ended
	Sep. 30, 2023	Nov. 09, 2023
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Quarterly Report	true
Document Transition Report	false
Document Period End Date	Sep. 30, 2023
Document Fiscal Period Focus	Q1
Document Fiscal Year Focus	2024
Current Fiscal Year End Date	--06-30
Entity File Number	001-40556
Entity Registrant Name	THE GLIMPSE GROUP, INC.
Entity Central Index Key	0001854445
Entity Tax Identification Number	81-2958271
Entity Incorporation, State or Country Code	NV
Entity Address, Address Line One	15 West 38th St., 12th Fl
Entity Address, City or Town	New York
Entity Address, State or Province	NY
Entity Address, Postal Zip Code	10018
City Area Code	(917)
Local Phone Number	292-2685
Title of 12(b) Security	Common Stock, par value $0.001 per share
Trading Symbol	VRAR
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	true
Elected Not To Use the Extended Transition Period	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		16,707,075

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($)	Sep. 30, 2023	Jun. 30, 2023
ASSETS
Cash and cash equivalents	$ 3,928,836	$ 5,619,083
Subscription receivable	2,984,001
Accounts receivable	1,202,363	1,453,770
Deferred costs/contract assets	156,718	158,552
Prepaid expenses and other current assets	618,367	562,163
Total current assets	8,890,285	7,793,568
Equipment, net	240,676	264,451
Right-of-use assets, net	723,559	627,832
Intangible assets, net	3,402,141	4,284,151
Goodwill	10,857,600	11,236,638
Other assets	73,272	71,767
Total assets	24,187,533	24,278,407
LIABILITIES AND STOCKHOLDERS’ EQUITY
Accounts payable	425,896	455,777
Accrued liabilities	405,491	635,616
Accrued non cash performance bonus	525,717	1,041,596
Deferred revenue/contract liabilities	208,514	466,393
Lease liabilities, current portion	426,282	405,948
Contingent consideration for acquisitions, current portion	3,620,015	5,120,791
Total current liabilities	5,611,915	8,126,121
Long term liabilities
Contingent consideration for acquisitions, net of current portion	3,121,100	4,505,000
Lease liabilities, net of current portion	418,280	423,454
Total liabilities	9,151,295	13,054,575
Commitments and contingencies
Stockholders’ Equity
Preferred Stock, par value $0.001 per share, 20 million shares authorized; 0 shares issued and outstanding
Common Stock, par value $0.001 per share, 300 million shares authorized; 14,812,518 and 14,701,929 issued and outstanding	14,813	14,702
Additional paid-in capital	68,801,845	67,854,108
Common stock subscribed but unissued	2,984,001
Accumulated deficit	(56,764,421)	(56,644,978)
Total stockholders’ equity	15,036,238	11,223,832
Total liabilities and stockholders’ equity	$ 24,187,533	$ 24,278,407

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - $ / shares	Sep. 30, 2023	Jun. 30, 2023
Statement of Financial Position [Abstract]
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	20,000,000	20,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	300,000,000	300,000,000
Common stock, shares issued	14,812,518	14,701,929
Common stock, shares outstanding	14,812,518	14,701,929

Consolidated Statements of Oper

Consolidated Statements of Operations (Unaudited) - USD ($)	3 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Revenue
Total Revenue	$ 3,104,880	$ 3,951,024
Cost of goods sold	1,181,509	1,214,597
Gross Profit	1,923,371	2,736,427
Operating expenses:
Research and development expenses	1,680,787	2,002,379
General and administrative expenses	1,096,042	1,375,325
Sales and marketing expenses	813,742	1,744,239
Amortization of acquisition intangible assets	368,120	443,967
Intangible asset impairment (inclusive of $379,038 goodwill impairment)	892,929
Change in fair value of acquisition contingent consideration	(2,757,530)	2,603,398
Total operating expenses	2,094,090	8,169,308
Loss from operations before other income	(170,719)	(5,432,881)
Other income
Interest income	51,276	50,154
Net Loss	$ (119,443)	$ (5,382,727)
Basic net loss per share	$ (0.01)	$ (0.40)
Diluted net loss per share	$ (0.01)	$ (0.40)
Weighted-average shares used to compute basic net loss per share	14,730,386	13,317,188
Weighted-average shares used to compute diluted net loss per share	14,730,386	13,317,188
Software Services [Member]
Revenue
Total Revenue	$ 3,012,071	$ 3,862,514
Software License [Member]
Revenue
Total Revenue	$ 92,809	$ 88,510

Consolidated Statements of Op_2

Consolidated Statements of Operations (Unaudited) (Parenthetical)	3 Months Ended
	Sep. 30, 2023 USD ($)
Income Statement [Abstract]
Goodwill impairment loss	$ 379,038

Consolidated Statement of Stock

Consolidated Statement of Stockholders' Equity (Unaudited) - USD ($)	Common Stock [Member]	Additional Paid-in Capital [Member]	Subscription Receivable [Member]	Retained Earnings [Member]	Total
Balance at Jun. 30, 2022	$ 12,749	$ 56,885,815		$ (28,081,695)	$ 28,816,869
Balance, shares at Jun. 30, 2022	12,747,624
Common stock issued for exercise of options	$ 24	39,891			$ 39,915
Common stock issued for exercise of options, shares	24,681				66,853
Common stock issued for contingent acquisition obligation	$ 107	318,464			$ 318,571
Common stock issued for contingent acquisition obligation, shares	107,143
Stock option-based board of directors expense		146,784			146,784
Net loss				(5,382,727)	(5,382,727)
Common stock issued for acquisition	$ 714	2,845,430			2,846,144
Common stock issued for acquisition, shares	714,286
Stock based compensation expense		628,594			628,594
Balance at Sep. 30, 2022	$ 13,594	60,864,978		(33,464,422)	27,414,150
Balance, shares at Sep. 30, 2022	13,593,734
Balance at Jun. 30, 2022	$ 12,749	56,885,815		(28,081,695)	28,816,869
Balance, shares at Jun. 30, 2022	12,747,624
Balance at Sep. 30, 2023	$ 14,813	68,801,845	2,984,001	(56,764,421)	15,036,238
Balance, shares at Sep. 30, 2023	14,812,518
Balance at Jun. 30, 2023	$ 14,702	67,854,108		(56,644,978)	11,223,832
Balance, shares at Jun. 30, 2023	14,701,929
Common stock subscribed but unissued			2,984,001		2,984,001
Common stock issued to vendors for compensation	$ 11	26,925			26,936
Common stock issued to vendors for compensation, shares	10,900
Common stock issued for exercise of options	$ 9	(9)
Common stock issued for exercise of options, shares	8,819				25,000
Common stock issued for contingent acquisition obligation	$ 36	127,109			$ 127,145
Common stock issued for contingent acquisition obligation, shares	35,714
Common stock and stock option based compensation expense	$ 55	719,611			719,666
Common stock and stock option based compensation expense, shares	55,156
Stock option-based board of directors expense		74,101			74,101
Net loss				(119,443)	(119,443)
Balance at Sep. 30, 2023	$ 14,813	$ 68,801,845	$ 2,984,001	$ (56,764,421)	$ 15,036,238
Balance, shares at Sep. 30, 2023	14,812,518

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($)	3 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Cash flows from operating activities:
Net loss	$ (119,443)	$ (5,382,727)
Adjustments to reconcile net loss to net cash used in operating activities:
Amortization and depreciation	398,923	477,016
Common stock and stock option based compensation for employees and board of directors	666,620	973,350
Accrued non cash performance bonus fair value adjustment	(388,734)
Acquisition contingent consideration fair value adjustment	(2,757,530)	2,603,398
Impairment of intangible assets	892,929
Issuance of common stock to vendors as compensation	26,936
Adjustment to operating lease right-of-use assets and liabilities	(80,566)
Changes in operating assets and liabilities:
Accounts receivable	251,407	357,563
Deferred costs/contract assets	1,834	323,083
Prepaid expenses and other current assets	(56,204)	(180,212)
Other assets	(1,505)	6,135
Accounts payable	(29,881)	(525,673)
Accrued liabilities	(230,124)	(77,241)
Deferred revenue/contract liabilities	(257,879)	(1,653,711)
Net cash used in operating activities	(1,683,217)	(3,079,019)
Cash flow from investing activities:
Purchases of equipment	(7,030)	(83,765)
Acquisitions, net of cash acquired		(2,478,756)
Purchase of investments		(3,290)
Net cash used in investing activities	(7,030)	(2,565,811)
Cash flows provided by financing activities:
Proceeds from exercise of stock options		39,915
Net change in cash, cash equivalents and restricted cash	(1,690,247)	(5,604,915)
Cash, cash equivalents and restricted cash, beginning of year	5,619,083	18,249,666
Cash, cash equivalents and restricted cash, end of period	3,928,836	12,644,751
Non-cash Investing and Financing activities:
Common stock subscription receivable	2,984,001
Issuance of common stock for satisfaction of contingent liability	127,145
Issuance of common stock for non cash performance bonus	127,145
Lease liabilities arising from right-of-use assets	113,182	1,155,769
Common stock issued for acquisition		2,846,144
Contingent acquisition consideration liability recorded at closing		6,139,000
Issuance of common stock for satisfaction of contingent liability, net of note extinguishment		318,571
Extinguishment of note receivable for satisfaction of contingent liability		$ 250,000

DESCRIPTION OF BUSINESS

DESCRIPTION OF BUSINESS	3 Months Ended
	Sep. 30, 2023
Accounting Policies [Abstract]
DESCRIPTION OF BUSINESS	NOTE 1. DESCRIPTION OF BUSINESS The Glimpse Group, Inc. (“Glimpse” and together with its wholly owned subsidiaries, collectively, the “Company”) is an Immersive technology company, comprised of a diversified portfolio of wholly owned Virtual (VR), Augmented (AR) Reality and Spatial Computing software and services companies. Glimpse’s subsidiary companies are located in the United States and Turkey. The Company was incorporated in the State of Nevada in June 2016. Glimpse’s robust Immersive technology ecosystem, collaborative environment and business model strive to simplify the many challenges faced by companies in an emerging industry. Glimpse aims to cultivate, optimize and manages business operations while providing a strong network of professional relationships, thereby allowing the subsidiary company to maximize their time and resources in pursuit of mission-critical endeavors, reducing time to market, optimizing costs, improving product quality and leveraging joint go-to-market strategies, while simultaneously providing investors an opportunity to invest directly into the Immersive technology industry via a diversified platform. The Company completed an initial public offering (“IPO”) of its common stock on the Nasdaq Capital Market Exchange (“Nasdaq”) on July 1, 2021, under the ticker VRAR.

GOING CONCERN

GOING CONCERN	3 Months Ended
	Sep. 30, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
GOING CONCERN	NOTE 2. GOING CONCERN At each reporting period, the Company evaluates whether there are conditions or events that raise doubt about the Company’s ability to continue as a going concern within one year after the date that the financial statements are issued. The Company’s evaluation entails analyzing expectations for the Company’s cash needs and comparing those needs to the current cash and cash equivalent balances. The Company is required to make certain additional disclosures if it concludes substantial doubt exists and it is not alleviated by the Company’s plans or when its plans alleviate substantial doubt about the Company’s ability to continue as a going concern. The Company has incurred recurring losses since its inception, including a net loss of $ 0.1 56.8 Outside of potential revenue growth generated by the Company, in order to alleviate the going concern the Company may take actions which could include but are not limited to: further cost reductions, equity or debt financings and restructuring of potential future cash contingent acquisition liabilities. There is no assurance that these actions will be taken or be successful if pursued. The financial statements have been prepared on a going concern basis, which contemplates the realization of assets and satisfaction of liabilities in the ordinary course of business. The financial statements do not include any adjustments relating to the recoverability and classification of recorded asset amounts or the amounts and classification of liabilities that might result from the outcome of the uncertainties described. THE GLIMPSE GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) SEPTEMBER 30, 2023 AND 2022 Potential liquidity resources Potential liquidity resources may include the further sale of common stock pursuant to the unused portion of the $ 100

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	3 Months Ended
	Sep. 30, 2023
Accounting Policies [Abstract]
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	NOTE 3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of presentation The unaudited consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) for interim financial information and the rules and regulations of the SEC. In the opinion of management, the unaudited consolidated financial statements have been prepared on the same basis as the annual consolidated financial statements and reflect all adjustments, which include only normal recurring adjustments, necessary to present fairly the financial position as of September 30, 2023, the results of operations for the three months ended September 30, 2023 and 2022, and cash flows for the three months ended September 30, 2023 and 2022. The financial data and other information disclosed in these notes to the interim financial statements related to these periods are unaudited. The results for the three months ended September 30, 2023 are not necessarily indicative of the results to be expected for the entire year ending June 30, 2024 or for any subsequent periods. The consolidated balance sheet at June 30, 2023 has been derived from the audited consolidated financial statements at that date. Certain information and footnote disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to the SEC’s rules and regulations. These unaudited consolidated financial statements should be read in conjunction with our audited consolidated financial statements and notes thereto for the year ended June 30, 2023. Principles of Consolidation The accompanying consolidated financial statements include the balances of Glimpse and its wholly owned subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation. Use of Accounting Estimates The preparation of the accompanying consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the accompanying consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. The principal estimates relate to the valuation of allowance for doubtful accounts, stock options, warrants, revenue recognition, cost of goods sold, allocation of the purchase price of assets relating to business combinations, calculation of contingent consideration for acquisitions and fair value of intangible assets. Cash and Cash Equivalents, Restricted Cash Cash and cash equivalents consist of cash and deposits in bank checking accounts with immediate access and cash equivalents that represent highly liquid investments. THE GLIMPSE GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) SEPTEMBER 30, 2023 AND 2022 Restricted cash represented escrowed cash related to the Sector 5 Digital, LLC (“S5D”) acquisition and was fully disbursed during the year ended June 30, 2023. The components of cash, cash equivalents and restricted cash on the consolidated statements of cash flows as of September 30, 2023 and 2022 are as follows: SCHEDULE OF COMPONENTS OF CASH, CASH EQUIVALENTS AND RESTRICTED CASH As of As of 2023 2022 Cash and cash equivalents $ 3,928,836 $ 10,644,751 Restricted cash - 2,000,000 Total $ 3,928,836 $ 12,644,751 Accounts Receivable Accounts receivable consists primarily of amounts due from customers under normal trade terms. Allowances for uncollectible accounts are provided for based upon a variety of factors, including historical amounts written-off, an evaluation of current economic conditions, and assessment of customer collectability. As of September 30, 2023 and 2022 no allowance for doubtful accounts was recorded as all amounts were considered collectible. Customer Concentration and Credit Risk Two customers accounted for approximately 50 33 17 60 34 26 Two customers accounted for approximately 33 18 15 43 29 14 The Company maintains cash in accounts that, at times, may be in excess of the Federal Deposit Insurance Corporation limit. The Company has not experienced any losses on such accounts. Business Combinations The results of a business acquired in a business combination are included in the Company’s consolidated financial statements from the date of the acquisition. Purchase accounting results in assets and liabilities of an acquired business generally being recorded at their estimated fair values as of the acquisition date. Any excess consideration over the fair value of assets acquired and liabilities assumed is recognized as goodwill. Acquisition-related expenses are recognized separately from the business combination and are expensed as incurred. The Company performs valuations of assets acquired and liabilities assumed and allocates the purchase price to its respective assets and liabilities. Determining the fair value of assets acquired and liabilities assumed may require management to use significant judgment and estimates, including the selection of valuation methodologies, estimates of future revenues, costs and cash flows. Estimates of fair value are based upon assumptions believed to be reasonable, but which are inherently uncertain and unpredictable and, as a result, actual results may differ from estimates. During the measurement period, which is typically one year from the acquisition date, if new information is obtained about facts and circumstances that existed as of the acquisition date, changes in the estimated values of the net assets recorded may change the amount of the purchase price allocated to goodwill. Upon the conclusion of the measurement period, any subsequent adjustments are recorded in the consolidated statement of operations. At times, the Company engages the assistance of valuation specialists in concluding on fair value measurements in connection with determining fair values of assets acquired and liabilities assumed in a business combination. THE GLIMPSE GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) SEPTEMBER 30, 2023 AND 2022 Intangible assets (other than Goodwill) Intangible assets represent the allocation of a portion of an acquisition’s purchase price. They include acquired customer relationships and developed technology purchased. Intangible assets are stated at allocated cost less accumulated amortization and less impairments. Amortization is computed using the straight-line method over the estimated useful lives of the related assets. The Company reviews intangibles, being amortized, for impairment when current events indicate that the fair value may be less than the carrying value. Goodwill Goodwill represents the excess of the purchase price over the fair value of identifiable net assets acquired in business combinations accounted for under the acquisition method. Goodwill is not amortized but instead is tested at least annually for impairment, or more frequently when events or changes in circumstances indicate that goodwill might be impaired. Impairment of Long-Lived Assets The Company reviews long-lived assets to be held and used, other than goodwill, whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. If an evaluation of recoverability is required, the estimated undiscounted future cash flows directly associated with the asset are compared with the asset’s carrying amount. If the estimated future cash flows from the use of the asset are less than the carrying value, an impairment charge would be recorded to write down the asset to its estimated fair value. Fair Value of Financial Instruments Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Valuation techniques used to measure fair value must maximize the use of observable inputs and minimize the use of unobservable inputs. The fair value hierarchy, which is based on three levels of inputs, the first two of which are considered observable and the last unobservable, that may be used to measure fair value, is as follows: ● Level 1 — quoted prices (unadjusted) in active markets for identical assets or liabilities; ● Level 2 — inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; or ● Level 3 — unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. The Company classifies its cash equivalents and investments within Level 1 of the fair value hierarchy on the basis of valuations based on quoted prices for the specific securities in an active market. THE GLIMPSE GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) SEPTEMBER 30, 2023 AND 2022 The Company’s contingent consideration is categorized as Level 3 within the fair value hierarchy. Contingent consideration is recorded within contingent consideration, current, and contingent consideration, non-current, in the Company’s consolidated balance sheets as of September 30 and June 30, 2023. Contingent consideration has been recorded at its fair values using unobservable inputs and have included using the Monte Carlo simulation option pricing framework, incorporating contractual terms and assumptions regarding financial forecasts, discount rates, and volatility of forecasted revenue. The development and determination of the unobservable inputs for Level 3 fair value measurements and fair value calculations are the responsibility of the Company’s management with the assistance of a third-party valuation specialist. The Company’s other financial instruments consist primarily of accounts receivable, accounts payable, accrued liabilities and other liabilities, and approximate fair value due to the short-term nature of these instruments. Revenue Recognition Nature of Revenues The Company reports its revenues in two categories: ● Software Services: Virtual and Augmented Reality projects, solutions and consulting services. ● Software License and Software-as-a-Service (“SaaS”): Virtual and Augmented Reality software that is sold either as a license or as a SaaS subscription. The Company applies the following steps in order to determine the appropriate amount of revenue to be recognized as it fulfills its obligations under each of its agreements: ● identify the contract with a customer; ● identify the performance obligations in the contract; ● determine the transaction price; ● allocate the transaction price to performance obligations in the contract; ● recognize revenue as the performance obligation is satisfied; ● determine that collection is reasonably assured. Revenue is recognized when the Company satisfies its performance obligation under the contract by transferring the promised product to its customer or service is performed and collection is reasonably assured. A performance obligation is a promise in a contract to transfer a distinct product or service to a customer. A portion of the Company’s contracts have a single performance obligation, as the promise to transfer products or services is not separately identifiable from other promises in the contract and, therefore, not distinct. Other contracts can include various services and products which are at times capable of being distinct, and therefore may be accounted for as separate performance obligations. Revenue is measured as the amount of consideration the Company expects to receive in exchange for transferring products or providing services. As such, revenue is recorded net of returns, allowances, customer discounts, and incentives. Sales taxes and other taxes are excluded from revenues. For distinct performance obligations recognized at a point in time, any unrecognized portion of revenue and any corresponding unrecognized expenses are presented as deferred revenue/contract liability and deferred costs/contract asset, respectively, in the accompanying consolidated balance sheets. Contract assets include cash payroll costs and may include payments to consultants and vendors. For distinct performance obligations recognized over time, the Company records a contract asset (costs in excess of billings) when revenue is recognized prior to invoicing, or a contract liability (billings in excess of costs) when revenue is recognized subsequent to invoicing. THE GLIMPSE GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) SEPTEMBER 30, 2023 AND 2022 Significant Judgments The Company’s contracts with customers may include promises to transfer multiple products/services. Determining whether products/services are considered distinct performance obligations that should be accounted for separately versus together may require significant judgment. Further, judgment may be required to determine the standalone selling price for each distinct performance obligation. Disaggregation of Revenue The Company generated revenue for the three months ended September 30, 2023 and 2022 by delivering: (i) Software Services, consisting primarily of VR/AR software projects, solutions and consulting services, and (ii) Software Licenses & SaaS, consisting primarily of VR and AR software licenses or SaaS. The Company currently generates its revenues primarily from customers in the United States. Revenue for a significant portion of Software Services projects and solutions (projects whereby, the development of the project leads to an identifiable asset with an alternative use to the Company) is recognized at the point of time in which the customer obtains control of the project, customer accepts delivery and confirms completion of the project. Certain other Software Services revenues are custom project solutions (projects whereby, the development of the custom project leads to an identifiable asset with no alternative use to the Company, and, in which, the Company also has an enforceable right to payment under the contract) and are therefore recognized based on the percentage of completion using an input model with a master budget. The budget is reviewed periodically and percentage of completion adjusted accordingly. Revenue for Software Services consulting services and website maintenance is recognized when the Company performs the services, typically on a monthly retainer basis. Revenue for Software Licenses is recognized at the point of time in which the Company delivers the software and customer accepts delivery. Software Licenses often include third party components that are a fully integrated part of the Software License stack and are therefore considered as one deliverable and performance obligation. If there are significant contractually stated ongoing service obligations to be performed during the term of the Software License or SaaS contract, then revenues are recognized ratably over the term of the contract. Timing of Revenue The timing of revenue recognition for the three months ended September 30, 2023 and 2022 was as follows: SCHEDULE OF TIMING REVENUE RECOGNITION For the Three Months Ended September 30, 2023 2022 Products and services transferred at a point in time $ 2,475,603 $ 2,996,948 Products and services transferred/recognized over time 629,277 954,076 Total Revenue $ 3,104,880 $ 3,951,024 Remaining Performance Obligations Timing of revenue recognition may differ from the timing of invoicing to customers. The Company generally records a receivable/contract asset when revenue is recognized prior to invoicing, or deferred revenue/contract liability when revenue is recognized subsequent to invoicing. THE GLIMPSE GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) SEPTEMBER 30, 2023 AND 2022 For certain Software Services project contracts the Company invoices customers after the project has been delivered and accepted by the customer. Software Service project contracts typically consist of designing and programming software for the customer. In most cases, there is only one distinct performance obligation, and revenue is recognized upon completion, delivery and customer acceptance. Contracts may include multiple distinct projects that can each be implemented and operated independently of subsequent projects in the contract. In such cases, the Company accounts for these projects as separate distinct performance obligations and recognizes revenue upon the completion of each project or obligation, its delivery and customer acceptance. For contracts recognized over time, contract liabilities include billings invoiced for software projects for which the contract’s performance obligations are not complete. For certain other Software Services project contracts, the Company invoices customers for a substantial portion of the project upon entering into the contract due to their custom nature and revenue is recognized based upon percentage of completion. Revenue recognized subsequent to invoicing is recorded as a deferred revenue/contract liability (billings in excess of cost) and revenue recognized prior to invoicing is recorded as a deferred cost/contract asset (cost in excess of billings). For Software Services consulting or retainer contracts, the Company generally invoices customers monthly at the beginning of each month in advance for services to be performed in the following month. The sole performance obligation is satisfied when the services are performed. Software Services consulting or retainer contracts typically consist of ongoing support for a customer’s software or specified business practices. For Software License contracts, the Company generally invoices customers when the software has been delivered to and accepted by the customer, which is also when the performance obligation is satisfied. For SaaS contracts, the Company generally invoices customers in advance at the beginning of the service term. For multi-period Software License contracts, the Company generally invoices customers annually at the beginning of each annual coverage period. Software License contracts consist of providing clients with software designed by the Company. For Software License contracts, there are generally no ongoing support obligations unless specified in the contract (becoming a Software Service). Unfulfilled performance obligations represent amounts expected to be earned by the Company on executed contracts. As of September 30, 2023, the Company had approximately $ 1.07 Employee Stock-Based Compensation The Company recognizes stock-based compensation expense related to grants to employees or service providers based on grant date fair values of common stock or the stock options, which are amortized over the requisite period, as well as forfeitures as they occur. The Company values the options using the Black-Scholes Merton (“Black Scholes”) method utilizing various inputs such as expected term, expected volatility and the risk-free rate. The expected term reflects the application of the simplified method, which is the weighted average of the contractual term of the grant and the vesting period for each tranche. Expected volatility is based upon historical volatility for a rolling previous year’s trading days of the Company’s common stock. The risk-free rate is based on the implied yield of U.S. Treasury notes as of the grant date with a remaining term approximately equal to the expected life of the award. THE GLIMPSE GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) SEPTEMBER 30, 2023 AND 2022 Research and Development Costs Research and development expenses are expensed as incurred, and include payroll, employee benefits and stock-based compensation expense. Research and development expenses also include third-party development and programming costs. Given the emerging industry and uncertain market environment the Company operates in, research and development costs are not capitalized. Earnings Per Share Basic earnings per share (“EPS”) is computed based on the weighted average number of shares of common stock outstanding during the period. Diluted EPS is computed based on the weighted average number of shares of common stock plus the effect of dilutive potential shares of common stock outstanding during the period using the treasury stock method. Dilutive potential common shares include the issuance of potential shares of common stock for outstanding stock options, warrants and convertible debt. Reclassifications Certain accounts in the prior period financial statements have been reclassified for comparative purposes to conform with the presentation in the current period financial statements. Significant Accounting Policies There have been no material changes in the Company’s significant accounting policies from those disclosed in its Annual Report on Form 10-K for the year ended June 30, 2023, other than those associated with the recently adopted guidance on accounting for expected credit losses and income taxes as further described below. Recently Adopted Accounting Pronouncements In September 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) No. 2016-13, Financial Instruments – Credit Losses (Topic 326) which requires measurement and recognition of expected credit losses for financial assets held. The Company adopted this guidance on July 1, 2023 and the impact of the adoption was not material to our consolidated financial statements as credit losses are not expected to be significant based on historical collection trends, the financial condition of payment partners, and external market factors. In December 2019, the FASB issued ASU No. 2019-12 to simplify the accounting in Accounting Standards Codification (“ASC”) 740, Income Taxes. This standard removes certain exceptions related to the approach for intra-period tax allocation, the methodology for calculating income taxes in an interim period, and the recognition of deferred tax liabilities for outside basis differences. This guidance also clarifies and simplifies other areas of ASC 740. The Company adopted this guidance on July 1, 2023 using the prospective transition method. The adoption of this guidance did not have a material impact on the Company’s consolidated financial statements. Recent Accounting Pronouncements Management does not believe that any recently issued, but not yet effective, accounting standards if currently adopted would have a material effect on the Company’s financial statements. THE GLIMPSE GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) SEPTEMBER 30, 2023 AND 2022

BUSINESS ACQUISITION

BUSINESS ACQUISITION	3 Months Ended
	Sep. 30, 2023
Business Combination and Asset Acquisition [Abstract]
BUSINESS ACQUISITION	NOTE 4. BUSINESS ACQUISITION Acquisition - BLI In August 2022, Glimpse closed on the acquisition of Brightline Interactive, LLC (“BLI”). BLI is an immersive technology company that provides VR and AR based training scenarios and simulations for commercial and government customers. The acquisition significantly expanded the Company’s operating and financial scale, introduces new tier 1 customers specifically in the communication, entertainment and government segments, and bolsters the executive management team. Unaudited Pro Forma Results The unaudited pro forma financial information in the table below summarizes the combined results of operations for the Company and BLI, as if the companies were combined for the three months ended September 30, 2022. The unaudited pro forma financial information includes the business combination accounting effects resulting from this acquisition, including adjustments to reflect recognition of intangible asset amortization. The unaudited pro forma financial information as presented below is for informational purposes only and is not necessarily indicative of the results of operations that would have been achieved if the acquisitions had taken place at July 1, 2022. The approximate unaudited pro forma financial information if BLI was included since July 1, 2022 would be: SCHEDULE OF PROFORMA FINANCIAL INFORMATION For the Three Months Ended September 30,2022 Revenue $ 3,954,000 Net Loss $ (5,534,000 ) The pro forma net loss was adjusted to exclude approximately $ 0.27 0.17 Costs related to the acquisition, which include legal, accounting and valuation fees, in the amount of approximately $ 0.27 The Company recognized approximately $ 1.46 0.97 1.31 The Company recognized approximately $ 1.51 0.25 0.17 THE GLIMPSE GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) SEPTEMBER 30, 2023 AND 2022

IMPAIRMENT OF GOODWILL AND LONG

IMPAIRMENT OF GOODWILL AND LONG-LIVED ASSETS	3 Months Ended
	Sep. 30, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
IMPAIRMENT OF GOODWILL AND LONG-LIVED ASSETS	NOTE 5. IMPAIRMENT OF GOODWILL AND LONG-LIVED ASSETS PulpoAR, LLC (“Pulpo”) The assets of Pulpo were acquired by the Company in May 2022. Pulpo has not and is not expected to meet any future revenue performance milestones as defined in the asset acquisition agreement. In addition, Pulpo has generated negative cash flows and is expected to continue doing so for the foreseeable future, and its business has become less strategically aligned with the Company’s current focus. As a result, as of September 30, 2023, a decision was made by the Company to work towards a divestiture of the operations of its wholly owned subsidiary Pulpo. Accordingly, the fair value of intangible assets, including goodwill, originally recorded at the time of the purchase, were determined to be to be zero as of September 30, 2023. The net assets of $ 0.89 0.51 0.38 For the three months ended September 30, 2023 and 2022, Pulpo had revenue was $ 0.08 0.07 0.26 0.26

GOODWILL AND INTANGIBLE ASSETS

GOODWILL AND INTANGIBLE ASSETS	3 Months Ended
	Sep. 30, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
GOODWILL AND INTANGIBLE ASSETS	NOTE 6. GOODWILL AND INTANGIBLE ASSETS The composition of goodwill at September 30, 2023 is as follows: SCHEDULE OF COMPOSITION OF GOODWILL XRT Pulpo BLI Total Three Months ended September 30, 2023 XRT Pulpo BLI Total Goodwill - beginning of year $ 300,000 $ 379,038 $ 10,557,600 $ 11,236,638 Impairments - (379,038 ) - (379,038 ) Goodwill - end of period $ 300,000 $ - $ 10,557,600 $ 10,857,600 Intangible assets, their respective amortization period, and accumulated amortization at September 30, 2023 are as follows: SCHEDULE OF INTANGIBLE ASSETS, AMORTIZATION PERIOD AND ACCUMULATED AMORTIZATION XR Terra BLI inciteVR Total As of September 30, 2023 Value ($) Amortization Period (Years) XR Terra BLI inciteVR Total Intangible Assets Customer Relationships $ - $ 3,310,000 $ - $ 3,310,000 5 Technology 300,000 880,000 326,435 1,506,435 3 Intangible Assets 300,000 880,000 326,435 1,506,435 3 Less: Accumulated Amortization (199,995 ) (1,114,555 ) (99,744 ) (1,414,294 ) Intangible Assets, net $ 100,005 $ 3,075,445 $ 226,691 $ 3,402,141 Intangible asset amortization expense for the three months ended September 30, 2023 and 2022 was approximately $ 0.37 0.44 0.08 THE GLIMPSE GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) SEPTEMBER 30, 2023 AND 2022 Estimated intangible asset amortization expense for the remaining lives are as follows: SCHEDULE OF INTANGIBLE ASSET AMORTIZATION EXPENSE Fiscal Year Ended June 30, 2024 $ 873,000 Fiscal Year Ended June 30, 2025 $ 1,089,000 Fiscal Year Ended June 30, 2026 $ 723,000 Fiscal Year Ended June 30, 2027 $ 662,000 Fiscal Year Ended June 30, 2028 $ 55,000

FINANCIAL INSTRUMENTS

FINANCIAL INSTRUMENTS	3 Months Ended
	Sep. 30, 2023
Investments, All Other Investments [Abstract]
FINANCIAL INSTRUMENTS	NOTE 7. FINANCIAL INSTRUMENTS Cash and Cash Equivalents The Company’s money market funds are categorized as Level 1 within the fair value hierarchy. As of September 30, and June 30, 2023, the Company’s cash and cash equivalents were as follows: SCHEDULE OF CASH AND CASH EQUIVALENTS AND INVESTMENTS As of September 30, 2023 Cost Unrealized Gain (Loss) Fair Value Cash and Cash Equivalents Cash $ 673,118 $ - - $ 673,118 Level 1: Money market funds 3,255,718 - $ 3,255,718 3,255,718 Total cash and cash equivalents $ 3,928,836 $ - $ 3,255,718 $ 3,928,836 As of June 30, 2023 Cost Unrealized Gain (Loss) Fair Value Cash and Cash Equivalents Cash $ 242,271 $ - - $ 242,271 Level 1: Money market funds 5,376,812 - $ 5,376,812 5,376,812 Total cash and cash equivalents $ 5,619,083 $ - $ 5,376,812 $ 5,619,083 Contingent Consideration As of September 30 and June 30, 2023, the Company’s contingent consideration liabilities related to acquisitions are categorized as Level 3 within the fair value hierarchy. Contingent consideration was valued at the time of acquisitions and at September 30 and June 30, 2023 using unobservable inputs and have included using the Monte Carlo simulation model. This model incorporates revenue volatility, internal rate of return, and a risk-free rate. The development and determination of the unobservable inputs for Level 3 fair value measurements and fair value calculations are the responsibility of the Company’s management with the assistance of a third-party valuation specialist. THE GLIMPSE GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) SEPTEMBER 30, 2023 AND 2022 As of September 30, 2023, the Company’s contingent consideration liabilities current and non-current balances were as follows: SCHEDULE OF FAIR VALUE OF CONTINGENT CONSIDERATION As of September 30, 2023 Contingent Consideration at Purchase Date Consideration Paid Changes in Fair Value Fair Value Contingent Consideration Level 3: Contingent consideration, current - S5D $ 2,060,300 $ (1,359,001 ) $ 348,101 $ 1,049,400 $ 1,049,400 Contingent consideration, current - BLI 1,264,200 - 1,240,700 2,504,900 2,504,900 Contingent consideration, current - XRT - (458,931 ) 524,646 65,715 65,715 Total contingent consideration, current portion $ 3,324,500 $ (1,817,932 ) $ 2,113,447 $ 3,620,015 $ 3,620,015 Level 3: Contingent consideration, non-current - S5D $ 7,108,900 $ (2,050,000 ) $ (4,330,400 ) $ 728,500 $ 728,500 Contingent consideration, non-current - BLI 6,060,700 - (3,668,100 ) 2,392,600 2,392,600 Total contingent consideration, net of current portion $ 13,169,600 $ (2,050,000 ) $ (7,998,500 ) $ 3,121,100 $ 3,121,100 A summary of the quantitative significant inputs used to value S5D’s contingent consideration as of September 30, 2023 was: $ 1.84 63.5 15.0 5.3 zero 14.0 A summary of the quantitative significant inputs used to value BLI’s contingent consideration as of September 30, 2023 was: $ 1.84 74.4 15.8 5.1 zero 24.5 12.0 The change in fair value of contingent consideration for S5D and BLI for the three months ended September 30, 2023 was a non-cash gain of approximately $ 1.38 1.32 The change in fair value of contingent consideration for XRT for the three months ended September 30, 2023 reflects the payout to the sellers of XRT for consideration earned in prior periods. This payout was made in September 2023 in the form of Company common stock, fair valued at $ 0.13 0.06 zero 1.0 The range of potential additional contingent consideration related to the previous divestiture of AUGGD assets at September 30, 2023 is zero 0.65 The range of potential additional contingent consideration related to the Pulpo acquisition (see Note 5) at September 30, 2023 is zero 13.0 12.5 0.5 THE GLIMPSE GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) SEPTEMBER 30, 2023 AND 2022 As of June 30, 2023, the Company’s contingent consideration liabilities current and non-current balances were as follows: As of June 30, 2023 Contingent Consideration at Purchase Date Consideration Paid Changes in Fair Value Fair Value Contingent Consideration Level 3: Contingent consideration, current - S5D $ 2,060,300 $ (1,359,001 ) $ 1,207,501 $ 1,908,800 $ 1,908,800 Contingent consideration, current - BLI 1,264,200 - 1,693,500 2,957,700 2,957,700 Contingent consideration, current - AUGGD - (568,571 ) 568,571 - - Contingent consideration, current - XRT - (331,786 ) 586,077 254,291 254,291 Total contingent consideration, current portion $ 3,324,500 $ (2,259,358 ) $ 4,055,649 $ 5,120,791 $ 5,120,791 Level 3: Contingent consideration, non-current - S5D $ 7,108,900 $ (2,050,000 ) $ (3,807,200 ) $ 1,251,700 $ 1,251,700 Contingent consideration, non-current - BLI 6,060,700 - (2,807,400 ) 3,253,300 3,253,300 Total contingent consideration, net of current portion $ 13,169,600 $ (2,050,000 ) $ (6,614,600 ) $ 4,505,000 $ 4,505,000 A summary of the quantitative significant inputs used to value S5D’s contingent consideration as of June 30, 2023 was: $ 3.56 66.6 15.7 5.1 A summary of the quantitative significant inputs used to value BLI’s contingent consideration as of June 30, 2023 was: $ 3.56 75.6 16.4 4.8 The change in fair value of contingent consideration for S5D and BLI for the three months ended September 30, 2022 was a non-cash expense of approximately $ 2.24 0.17 0.20

DEFERRED COSTS_CONTRACT ASSETS

DEFERRED COSTS/CONTRACT ASSETS and DEFERRED REVENUE/CONTRACT LIABILITIES	3 Months Ended
	Sep. 30, 2023
Revenue from Contract with Customer [Abstract]
DEFERRED COSTS/CONTRACT ASSETS and DEFERRED REVENUE/CONTRACT LIABILITIES	NOTE 8. DEFERRED COSTS/CONTRACT ASSETS and DEFERRED REVENUE/CONTRACT LIABILITIES At September 30 and June 30, 2023, deferred costs/contract assets totaling $ 156,718 158,552 92,894 158,552 63,824 0 208,514 466,393 205,406 459,510 3,108 6,883 THE GLIMPSE GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) SEPTEMBER 30, 2023 AND 2022 The following table shows the reconciliation of the costs in excess of billings and billings in excess of costs for contracts recognized over time: SCHEDULE OF RECONCILIATION OF COST IN EXCESS OF BILLING FOR CONTRACT RECOGNIZED OVER TIME As of As of Cost incurred on uncompleted contracts $ 186,540 $ 78,771 Estimated earnings 378,040 226,096 Earned revenue 564,580 304,867 Less: billings to date 503,864 311,750 Billings in excess of costs, net $ 60,716 $ (6,883 ) Balance Sheet Classification Contract assets includes, costs and estimated earnings in excess of billings on uncompleted contracts $ 63,824 $ - Contract liabilities includes, billings in excess of costs and estimated earnings on uncompleted contracts (3,108 ) (6,883 ) Billings in excess of costs, net $ 60,716 $ (6,883 )

EQUITY

EQUITY	3 Months Ended
	Sep. 30, 2023
Equity [Abstract]
EQUITY	NOTE 9. EQUITY Securities Purchase Agreement (“SPA”) On September 28, 2023, the Company entered into a SPA with certain institutional investors to sell 1,885,715 3.30 1.75 2.98 Common Stock Issued Common stock issued for Business Acquisitions During the three months ended September 30, 2022, the Company issued approximately 714,000 2.85 Common stock issued to satisfy contingent acquisition obligations During the three months ended September 30, 2023, the Company issued approximately 36,000 0.13 During the three months ended September 30, 2022, the Company issued approximately 107,000 0.32 0.57 0.25 THE GLIMPSE GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) SEPTEMBER 30, 2023 AND 2022 Common stock issued for Exercise of Stock Options During the three months ended September 30, 2023 and 2022, the Company issued approximately 9,000 25,000 0.0 0.04 Common stock issued to Vendors During the three months ended September 30, 2023, the Company issued approximately 11,000 0.03 Common stock issued to Employees as Compensation During the three months ended September 30, 2023, the Company issued approximately 55,000 0.20 Employee Stock-Based Compensation Stock Option issuance to Executives In February 2023, pursuant to the Equity Incentive Plan, the Company granted certain executive officers 2.32 7.00 0.22 Equity Incentive Plan The Company’s 2016 Equity Incentive Plan (the “Plan”), as amended, has approximately 11.3 2.4 2.1 The Company recognizes compensation expense relating to awards ratably over the requisite period, which is generally the vesting period. THE GLIMPSE GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) SEPTEMBER 30, 2023 AND 2022 Stock options have been recorded at their fair value. The Black-Scholes option-pricing model assumptions used to value the issuance of stock options under the Plan, are noted in the following table: SCHEDULE OF STOCK OPTION FAIR VALUE ASSUMPTIONS For the Three Months Ended September 30, 2023 2022 Weighted average expected terms (in years) 6.5 6.5 Weighted average expected volatility 97.8 % 101.4 % Weighted average risk-free interest rate 4.6 % 2.9 % Expected dividend yield 0.0 % 0.0 % The weighted average expected term (in years) excludes the executive Target Options. The grant date fair value for options granted during the three months ended September 30, 2023 and 2022 was approximately $ 0.40 1.25 The following is a summary of the Company’s stock option activity for the three months ended September 30, 2023 and 2022, excluding the executive Target Options: SUMMARY OF STOCK OPTION ACTIVITY Weighted Average Remaining Exercise Contractual Intrinsic Options Price Term (Yrs) Value Outstanding at July 1, 2023 6,128,381 $ 4.84 7.0 $ 1,676,966 Options Granted 259,747 2.57 10.0 102,407 Options Exercised (25,000 ) 2.00 3.1 22,741 Options Forfeited / Cancelled (609,977 ) 4.79 6.9 102,407 Outstanding at September 30, 2023 5,753,151 $ 4.76 7.0 $ - Exercisable at September 30, 2023 3,585,072 $ 4.16 5.6 $ - The above table excludes executive Target Options: 2,100,000 7.00 9.7 no Weighted Average Remaining Exercise Contractual Intrinsic Options Price Term (Yrs) Value Outstanding at July 1, 2022 4,484,616 $ 4.68 7.0 $ 2,404,249 Options Granted 321,787 7.00 9.9 - Options Exercised (66,853 ) 4.13 7.1 93,945 Options Forfeited / Cancelled (72,099 ) 8.86 9.0 13,273 Outstanding at September 30, 2022 4,667,451 $ 4.77 6.9 $ 6,429,851 Exercisable at September 30, 2022 3,509,358 $ 3.59 6.0 $ 6,382,458 The intrinsic value of stock options at September 30, 2023 and 2022 was computed using a fair market value of the common stock of $ 1.84 5.29 THE GLIMPSE GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) SEPTEMBER 30, 2023 AND 2022 The Company’s stock option-based expense for the three months ended September 30, 2023 and 2022 consisted of the following: SCHEDULE OF STOCK OPTION-BASED EXPENSE For the Three Months Ended 2023 2022 Stock option-based expense: Research and development expenses $ 271,129 $ 387,440 General and administrative expenses 97,726 54,274 Sales and marketing expenses 153,424 186,660 Cost of goods sold - 694 Board option expense 74,101 146,784 Total $ 596,380 $ 775,852 There is no expense included for the executive officers’ Target Options. At September 30, 2023 total unrecognized compensation expense to employees, board members and vendors related to stock options was approximately $ 6.15 8.53 2.71

EARNINGS PER SHARE

EARNINGS PER SHARE	3 Months Ended
	Sep. 30, 2023
Earnings Per Share [Abstract]
EARNINGS PER SHARE	NOTE 10. EARNINGS PER SHARE The following table presents the computation of basic and diluted net loss per common share: SCHEDULE OF COMPUTATION OF BASIC AND DILUTED NET LOSS PER SHARE For the Three Months Ended September 30, 2023 2022 Numerator: Net loss $ (119,443 ) $ (5,382,727 ) Denominator: Weighted-average common shares outstanding for basic and diluted net loss per share 14,730,386 13,317,188 Basic and diluted net loss per share $ (0.01 ) $ (0.40 ) Potentially dilutive securities that were not included in the calculation of diluted net loss per share attributable to common stockholders because their effect would be anti-dilutive are as follows (in common equivalent shares): SCHEDULE OF POTENTIALLY DILUTIVE SECURITIES At At Stock Options 7,853,151 8,228,381 Warrants 837,500 837,500 Total 8,690,651 9,065,881 September 30, 2023 Stock Options include 2,100,000 THE GLIMPSE GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) SEPTEMBER 30, 2023 AND 2022

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	3 Months Ended
	Sep. 30, 2023
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	NOTE 11. COMMITMENTS AND CONTINGENCIES Lease Costs The Company made cash payments for all operating leases for the three months ended September 30, 2023 and 2022, of approximately $ 0.20 0.14 1.5 8.3 The total rent expense for all operating leases for the three months ended September 30, 2023 and 2022, was approximately $ 0.11 0.13 Lease Commitments The Company has various operating leases for its offices. These existing leases have remaining lease terms ranging from 1 to 3 years. Certain lease agreements contain options to renew, with renewal terms that generally extend the lease terms by 1 to 3 years for each option. The Company determined that none of its current leases are reasonably certain to renew. Future approximate undiscounted lease payments for the Company’s operating lease liabilities and a reconciliation of these payments to its operating lease liabilities at September 30, 2023 are as follows: SCHEDULE OF UNDISCOUNTED LEASE PAYMENTS Years Ended June 30, 2024 (remaining 9 months) $ 350,000 2025 381,000 2026 188,000 Total future minimum lease commitments, including short-term leases 919,000 Less: future minimum lease payments of short -term leases (9,000 ) Less: imputed interest (66,000 ) Present value of future minimum lease payments, excluding short term leases $ 844,000 Current portion of operating lease liabilities $ 426,000 Non-current portion of operating lease liabilities 418,000 Total operating lease liability $ 844,000 THE GLIMPSE GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) SEPTEMBER 30, 2023 AND 2022 Contingent Consideration for Acquisitions Contingent consideration for acquisitions, consists of the following as of September 30, 2023 and June 30, 2023, respectively (see Note 7): SCHEDULE OF CONTINGENT CONSIDERATION FOR ACQUISITIONS As of September 30, As of 2023 2023 S5D, current portion $ 1,049,400 $ 1,908,800 BLI, current portion 2,504,900 2,957,700 XRT 65,715 254,291 Subtotal current portion 3,620,015 5,120,791 S5D, net of current portion 728,500 1,251,700 BLI, net of current portion 2,392,600 3,253,300 Net of current portion 2,392,600 3,253,300 Total contingent consideration for acquisitions $ 6,741,115 $ 9,625,791 Employee Bonus It is anticipated that a certain employee will meet the revenue threshold to earn a bonus payout of approximately $ 0.53 7.00 0.39 Potential Future Distributions Upon Divestiture or Sale In some instances, upon a divestiture or sale of a subsidiary company, the Company is contractually obligated to distribute up to 10

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	3 Months Ended
	Sep. 30, 2023
Subsequent Events [Abstract]
SUBSEQUENT EVENTS	NOTE 12. SUBSEQUENT EVENTS Securities Purchase Agreement (“SPA”) On September 28, 2023, the Company entered into a SPA with certain institutional investors to sell 1,885,715 3.30 1.75 2.98 The SPA shares were issued on October 3, 2023. Simultaneously, the exercise price on warrants to purchase 750,000 14.63 1.75

SUMMARY OF SIGNIFICANT ACCOUN_2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	3 Months Ended
	Sep. 30, 2023
Accounting Policies [Abstract]
Basis of presentation	Basis of presentation The unaudited consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) for interim financial information and the rules and regulations of the SEC. In the opinion of management, the unaudited consolidated financial statements have been prepared on the same basis as the annual consolidated financial statements and reflect all adjustments, which include only normal recurring adjustments, necessary to present fairly the financial position as of September 30, 2023, the results of operations for the three months ended September 30, 2023 and 2022, and cash flows for the three months ended September 30, 2023 and 2022. The financial data and other information disclosed in these notes to the interim financial statements related to these periods are unaudited. The results for the three months ended September 30, 2023 are not necessarily indicative of the results to be expected for the entire year ending June 30, 2024 or for any subsequent periods. The consolidated balance sheet at June 30, 2023 has been derived from the audited consolidated financial statements at that date. Certain information and footnote disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to the SEC’s rules and regulations. These unaudited consolidated financial statements should be read in conjunction with our audited consolidated financial statements and notes thereto for the year ended June 30, 2023.
Principles of Consolidation	Principles of Consolidation The accompanying consolidated financial statements include the balances of Glimpse and its wholly owned subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation.
Use of Accounting Estimates	Use of Accounting Estimates The preparation of the accompanying consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the accompanying consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. The principal estimates relate to the valuation of allowance for doubtful accounts, stock options, warrants, revenue recognition, cost of goods sold, allocation of the purchase price of assets relating to business combinations, calculation of contingent consideration for acquisitions and fair value of intangible assets.
Cash and Cash Equivalents, Restricted Cash	Cash and Cash Equivalents, Restricted Cash Cash and cash equivalents consist of cash and deposits in bank checking accounts with immediate access and cash equivalents that represent highly liquid investments. THE GLIMPSE GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) SEPTEMBER 30, 2023 AND 2022 Restricted cash represented escrowed cash related to the Sector 5 Digital, LLC (“S5D”) acquisition and was fully disbursed during the year ended June 30, 2023. The components of cash, cash equivalents and restricted cash on the consolidated statements of cash flows as of September 30, 2023 and 2022 are as follows: SCHEDULE OF COMPONENTS OF CASH, CASH EQUIVALENTS AND RESTRICTED CASH As of As of 2023 2022 Cash and cash equivalents $ 3,928,836 $ 10,644,751 Restricted cash - 2,000,000 Total $ 3,928,836 $ 12,644,751
Accounts Receivable	Accounts Receivable Accounts receivable consists primarily of amounts due from customers under normal trade terms. Allowances for uncollectible accounts are provided for based upon a variety of factors, including historical amounts written-off, an evaluation of current economic conditions, and assessment of customer collectability. As of September 30, 2023 and 2022 no allowance for doubtful accounts was recorded as all amounts were considered collectible.
Customer Concentration and Credit Risk	Customer Concentration and Credit Risk Two customers accounted for approximately 50 33 17 60 34 26 Two customers accounted for approximately 33 18 15 43 29 14 The Company maintains cash in accounts that, at times, may be in excess of the Federal Deposit Insurance Corporation limit. The Company has not experienced any losses on such accounts.
Business Combinations	Business Combinations The results of a business acquired in a business combination are included in the Company’s consolidated financial statements from the date of the acquisition. Purchase accounting results in assets and liabilities of an acquired business generally being recorded at their estimated fair values as of the acquisition date. Any excess consideration over the fair value of assets acquired and liabilities assumed is recognized as goodwill. Acquisition-related expenses are recognized separately from the business combination and are expensed as incurred. The Company performs valuations of assets acquired and liabilities assumed and allocates the purchase price to its respective assets and liabilities. Determining the fair value of assets acquired and liabilities assumed may require management to use significant judgment and estimates, including the selection of valuation methodologies, estimates of future revenues, costs and cash flows. Estimates of fair value are based upon assumptions believed to be reasonable, but which are inherently uncertain and unpredictable and, as a result, actual results may differ from estimates. During the measurement period, which is typically one year from the acquisition date, if new information is obtained about facts and circumstances that existed as of the acquisition date, changes in the estimated values of the net assets recorded may change the amount of the purchase price allocated to goodwill. Upon the conclusion of the measurement period, any subsequent adjustments are recorded in the consolidated statement of operations. At times, the Company engages the assistance of valuation specialists in concluding on fair value measurements in connection with determining fair values of assets acquired and liabilities assumed in a business combination. THE GLIMPSE GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) SEPTEMBER 30, 2023 AND 2022
Intangible assets (other than Goodwill)	Intangible assets (other than Goodwill) Intangible assets represent the allocation of a portion of an acquisition’s purchase price. They include acquired customer relationships and developed technology purchased. Intangible assets are stated at allocated cost less accumulated amortization and less impairments. Amortization is computed using the straight-line method over the estimated useful lives of the related assets. The Company reviews intangibles, being amortized, for impairment when current events indicate that the fair value may be less than the carrying value.
Goodwill	Goodwill Goodwill represents the excess of the purchase price over the fair value of identifiable net assets acquired in business combinations accounted for under the acquisition method. Goodwill is not amortized but instead is tested at least annually for impairment, or more frequently when events or changes in circumstances indicate that goodwill might be impaired.
Impairment of Long-Lived Assets	Impairment of Long-Lived Assets The Company reviews long-lived assets to be held and used, other than goodwill, whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. If an evaluation of recoverability is required, the estimated undiscounted future cash flows directly associated with the asset are compared with the asset’s carrying amount. If the estimated future cash flows from the use of the asset are less than the carrying value, an impairment charge would be recorded to write down the asset to its estimated fair value.
Fair Value of Financial Instruments	Fair Value of Financial Instruments Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Valuation techniques used to measure fair value must maximize the use of observable inputs and minimize the use of unobservable inputs. The fair value hierarchy, which is based on three levels of inputs, the first two of which are considered observable and the last unobservable, that may be used to measure fair value, is as follows: ● Level 1 — quoted prices (unadjusted) in active markets for identical assets or liabilities; ● Level 2 — inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; or ● Level 3 — unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. The Company classifies its cash equivalents and investments within Level 1 of the fair value hierarchy on the basis of valuations based on quoted prices for the specific securities in an active market. THE GLIMPSE GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) SEPTEMBER 30, 2023 AND 2022 The Company’s contingent consideration is categorized as Level 3 within the fair value hierarchy. Contingent consideration is recorded within contingent consideration, current, and contingent consideration, non-current, in the Company’s consolidated balance sheets as of September 30 and June 30, 2023. Contingent consideration has been recorded at its fair values using unobservable inputs and have included using the Monte Carlo simulation option pricing framework, incorporating contractual terms and assumptions regarding financial forecasts, discount rates, and volatility of forecasted revenue. The development and determination of the unobservable inputs for Level 3 fair value measurements and fair value calculations are the responsibility of the Company’s management with the assistance of a third-party valuation specialist. The Company’s other financial instruments consist primarily of accounts receivable, accounts payable, accrued liabilities and other liabilities, and approximate fair value due to the short-term nature of these instruments.
Revenue Recognition	Revenue Recognition Nature of Revenues The Company reports its revenues in two categories: ● Software Services: Virtual and Augmented Reality projects, solutions and consulting services. ● Software License and Software-as-a-Service (“SaaS”): Virtual and Augmented Reality software that is sold either as a license or as a SaaS subscription. The Company applies the following steps in order to determine the appropriate amount of revenue to be recognized as it fulfills its obligations under each of its agreements: ● identify the contract with a customer; ● identify the performance obligations in the contract; ● determine the transaction price; ● allocate the transaction price to performance obligations in the contract; ● recognize revenue as the performance obligation is satisfied; ● determine that collection is reasonably assured. Revenue is recognized when the Company satisfies its performance obligation under the contract by transferring the promised product to its customer or service is performed and collection is reasonably assured. A performance obligation is a promise in a contract to transfer a distinct product or service to a customer. A portion of the Company’s contracts have a single performance obligation, as the promise to transfer products or services is not separately identifiable from other promises in the contract and, therefore, not distinct. Other contracts can include various services and products which are at times capable of being distinct, and therefore may be accounted for as separate performance obligations. Revenue is measured as the amount of consideration the Company expects to receive in exchange for transferring products or providing services. As such, revenue is recorded net of returns, allowances, customer discounts, and incentives. Sales taxes and other taxes are excluded from revenues. For distinct performance obligations recognized at a point in time, any unrecognized portion of revenue and any corresponding unrecognized expenses are presented as deferred revenue/contract liability and deferred costs/contract asset, respectively, in the accompanying consolidated balance sheets. Contract assets include cash payroll costs and may include payments to consultants and vendors. For distinct performance obligations recognized over time, the Company records a contract asset (costs in excess of billings) when revenue is recognized prior to invoicing, or a contract liability (billings in excess of costs) when revenue is recognized subsequent to invoicing. THE GLIMPSE GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) SEPTEMBER 30, 2023 AND 2022 Significant Judgments The Company’s contracts with customers may include promises to transfer multiple products/services. Determining whether products/services are considered distinct performance obligations that should be accounted for separately versus together may require significant judgment. Further, judgment may be required to determine the standalone selling price for each distinct performance obligation. Disaggregation of Revenue The Company generated revenue for the three months ended September 30, 2023 and 2022 by delivering: (i) Software Services, consisting primarily of VR/AR software projects, solutions and consulting services, and (ii) Software Licenses & SaaS, consisting primarily of VR and AR software licenses or SaaS. The Company currently generates its revenues primarily from customers in the United States. Revenue for a significant portion of Software Services projects and solutions (projects whereby, the development of the project leads to an identifiable asset with an alternative use to the Company) is recognized at the point of time in which the customer obtains control of the project, customer accepts delivery and confirms completion of the project. Certain other Software Services revenues are custom project solutions (projects whereby, the development of the custom project leads to an identifiable asset with no alternative use to the Company, and, in which, the Company also has an enforceable right to payment under the contract) and are therefore recognized based on the percentage of completion using an input model with a master budget. The budget is reviewed periodically and percentage of completion adjusted accordingly. Revenue for Software Services consulting services and website maintenance is recognized when the Company performs the services, typically on a monthly retainer basis. Revenue for Software Licenses is recognized at the point of time in which the Company delivers the software and customer accepts delivery. Software Licenses often include third party components that are a fully integrated part of the Software License stack and are therefore considered as one deliverable and performance obligation. If there are significant contractually stated ongoing service obligations to be performed during the term of the Software License or SaaS contract, then revenues are recognized ratably over the term of the contract. Timing of Revenue The timing of revenue recognition for the three months ended September 30, 2023 and 2022 was as follows: SCHEDULE OF TIMING REVENUE RECOGNITION For the Three Months Ended September 30, 2023 2022 Products and services transferred at a point in time $ 2,475,603 $ 2,996,948 Products and services transferred/recognized over time 629,277 954,076 Total Revenue $ 3,104,880 $ 3,951,024 Remaining Performance Obligations Timing of revenue recognition may differ from the timing of invoicing to customers. The Company generally records a receivable/contract asset when revenue is recognized prior to invoicing, or deferred revenue/contract liability when revenue is recognized subsequent to invoicing. THE GLIMPSE GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) SEPTEMBER 30, 2023 AND 2022 For certain Software Services project contracts the Company invoices customers after the project has been delivered and accepted by the customer. Software Service project contracts typically consist of designing and programming software for the customer. In most cases, there is only one distinct performance obligation, and revenue is recognized upon completion, delivery and customer acceptance. Contracts may include multiple distinct projects that can each be implemented and operated independently of subsequent projects in the contract. In such cases, the Company accounts for these projects as separate distinct performance obligations and recognizes revenue upon the completion of each project or obligation, its delivery and customer acceptance. For contracts recognized over time, contract liabilities include billings invoiced for software projects for which the contract’s performance obligations are not complete. For certain other Software Services project contracts, the Company invoices customers for a substantial portion of the project upon entering into the contract due to their custom nature and revenue is recognized based upon percentage of completion. Revenue recognized subsequent to invoicing is recorded as a deferred revenue/contract liability (billings in excess of cost) and revenue recognized prior to invoicing is recorded as a deferred cost/contract asset (cost in excess of billings). For Software Services consulting or retainer contracts, the Company generally invoices customers monthly at the beginning of each month in advance for services to be performed in the following month. The sole performance obligation is satisfied when the services are performed. Software Services consulting or retainer contracts typically consist of ongoing support for a customer’s software or specified business practices. For Software License contracts, the Company generally invoices customers when the software has been delivered to and accepted by the customer, which is also when the performance obligation is satisfied. For SaaS contracts, the Company generally invoices customers in advance at the beginning of the service term. For multi-period Software License contracts, the Company generally invoices customers annually at the beginning of each annual coverage period. Software License contracts consist of providing clients with software designed by the Company. For Software License contracts, there are generally no ongoing support obligations unless specified in the contract (becoming a Software Service). Unfulfilled performance obligations represent amounts expected to be earned by the Company on executed contracts. As of September 30, 2023, the Company had approximately $ 1.07
Employee Stock-Based Compensation	Employee Stock-Based Compensation The Company recognizes stock-based compensation expense related to grants to employees or service providers based on grant date fair values of common stock or the stock options, which are amortized over the requisite period, as well as forfeitures as they occur. The Company values the options using the Black-Scholes Merton (“Black Scholes”) method utilizing various inputs such as expected term, expected volatility and the risk-free rate. The expected term reflects the application of the simplified method, which is the weighted average of the contractual term of the grant and the vesting period for each tranche. Expected volatility is based upon historical volatility for a rolling previous year’s trading days of the Company’s common stock. The risk-free rate is based on the implied yield of U.S. Treasury notes as of the grant date with a remaining term approximately equal to the expected life of the award. THE GLIMPSE GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) SEPTEMBER 30, 2023 AND 2022
Research and Development Costs	Research and Development Costs Research and development expenses are expensed as incurred, and include payroll, employee benefits and stock-based compensation expense. Research and development expenses also include third-party development and programming costs. Given the emerging industry and uncertain market environment the Company operates in, research and development costs are not capitalized.
Earnings Per Share	Earnings Per Share Basic earnings per share (“EPS”) is computed based on the weighted average number of shares of common stock outstanding during the period. Diluted EPS is computed based on the weighted average number of shares of common stock plus the effect of dilutive potential shares of common stock outstanding during the period using the treasury stock method. Dilutive potential common shares include the issuance of potential shares of common stock for outstanding stock options, warrants and convertible debt.
Reclassifications	Reclassifications Certain accounts in the prior period financial statements have been reclassified for comparative purposes to conform with the presentation in the current period financial statements.
Significant Accounting Policies	Significant Accounting Policies There have been no material changes in the Company’s significant accounting policies from those disclosed in its Annual Report on Form 10-K for the year ended June 30, 2023, other than those associated with the recently adopted guidance on accounting for expected credit losses and income taxes as further described below.
Recently Adopted Accounting Pronouncements	Recently Adopted Accounting Pronouncements In September 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) No. 2016-13, Financial Instruments – Credit Losses (Topic 326) which requires measurement and recognition of expected credit losses for financial assets held. The Company adopted this guidance on July 1, 2023 and the impact of the adoption was not material to our consolidated financial statements as credit losses are not expected to be significant based on historical collection trends, the financial condition of payment partners, and external market factors. In December 2019, the FASB issued ASU No. 2019-12 to simplify the accounting in Accounting Standards Codification (“ASC”) 740, Income Taxes. This standard removes certain exceptions related to the approach for intra-period tax allocation, the methodology for calculating income taxes in an interim period, and the recognition of deferred tax liabilities for outside basis differences. This guidance also clarifies and simplifies other areas of ASC 740. The Company adopted this guidance on July 1, 2023 using the prospective transition method. The adoption of this guidance did not have a material impact on the Company’s consolidated financial statements.
Recent Accounting Pronouncements	Recent Accounting Pronouncements Management does not believe that any recently issued, but not yet effective, accounting standards if currently adopted would have a material effect on the Company’s financial statements. THE GLIMPSE GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) SEPTEMBER 30, 2023 AND 2022

SUMMARY OF SIGNIFICANT ACCOUN_3

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)	3 Months Ended
	Sep. 30, 2023
Accounting Policies [Abstract]
SCHEDULE OF COMPONENTS OF CASH, CASH EQUIVALENTS AND RESTRICTED CASH	The components of cash, cash equivalents and restricted cash on the consolidated statements of cash flows as of September 30, 2023 and 2022 are as follows: SCHEDULE OF COMPONENTS OF CASH, CASH EQUIVALENTS AND RESTRICTED CASH As of As of 2023 2022 Cash and cash equivalents $ 3,928,836 $ 10,644,751 Restricted cash - 2,000,000 Total $ 3,928,836 $ 12,644,751
SCHEDULE OF TIMING REVENUE RECOGNITION	The timing of revenue recognition for the three months ended September 30, 2023 and 2022 was as follows: SCHEDULE OF TIMING REVENUE RECOGNITION For the Three Months Ended September 30, 2023 2022 Products and services transferred at a point in time $ 2,475,603 $ 2,996,948 Products and services transferred/recognized over time 629,277 954,076 Total Revenue $ 3,104,880 $ 3,951,024

BUSINESS ACQUISITION (Tables)

BUSINESS ACQUISITION (Tables)	3 Months Ended
	Sep. 30, 2023
Brightline Interactive, LLC [Member]
Business Acquisition [Line Items]
SCHEDULE OF PROFORMA FINANCIAL INFORMATION	The approximate unaudited pro forma financial information if BLI was included since July 1, 2022 would be: SCHEDULE OF PROFORMA FINANCIAL INFORMATION For the Three Months Ended September 30,2022 Revenue $ 3,954,000 Net Loss $ (5,534,000 )

GOODWILL AND INTANGIBLE ASSETS

GOODWILL AND INTANGIBLE ASSETS (Tables)	3 Months Ended
	Sep. 30, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
SCHEDULE OF COMPOSITION OF GOODWILL	The composition of goodwill at September 30, 2023 is as follows: SCHEDULE OF COMPOSITION OF GOODWILL XRT Pulpo BLI Total Three Months ended September 30, 2023 XRT Pulpo BLI Total Goodwill - beginning of year $ 300,000 $ 379,038 $ 10,557,600 $ 11,236,638 Impairments - (379,038 ) - (379,038 ) Goodwill - end of period $ 300,000 $ - $ 10,557,600 $ 10,857,600
SCHEDULE OF INTANGIBLE ASSETS, AMORTIZATION PERIOD AND ACCUMULATED AMORTIZATION	Intangible assets, their respective amortization period, and accumulated amortization at September 30, 2023 are as follows: SCHEDULE OF INTANGIBLE ASSETS, AMORTIZATION PERIOD AND ACCUMULATED AMORTIZATION XR Terra BLI inciteVR Total As of September 30, 2023 Value ($) Amortization Period (Years) XR Terra BLI inciteVR Total Intangible Assets Customer Relationships $ - $ 3,310,000 $ - $ 3,310,000 5 Technology 300,000 880,000 326,435 1,506,435 3 Intangible Assets 300,000 880,000 326,435 1,506,435 3 Less: Accumulated Amortization (199,995 ) (1,114,555 ) (99,744 ) (1,414,294 ) Intangible Assets, net $ 100,005 $ 3,075,445 $ 226,691 $ 3,402,141
SCHEDULE OF INTANGIBLE ASSET AMORTIZATION EXPENSE	Estimated intangible asset amortization expense for the remaining lives are as follows: SCHEDULE OF INTANGIBLE ASSET AMORTIZATION EXPENSE Fiscal Year Ended June 30, 2024 $ 873,000 Fiscal Year Ended June 30, 2025 $ 1,089,000 Fiscal Year Ended June 30, 2026 $ 723,000 Fiscal Year Ended June 30, 2027 $ 662,000 Fiscal Year Ended June 30, 2028 $ 55,000

FINANCIAL INSTRUMENTS (Tables)

FINANCIAL INSTRUMENTS (Tables)	3 Months Ended
	Sep. 30, 2023
Investments, All Other Investments [Abstract]
SCHEDULE OF CASH AND CASH EQUIVALENTS AND INVESTMENTS	SCHEDULE OF CASH AND CASH EQUIVALENTS AND INVESTMENTS As of September 30, 2023 Cost Unrealized Gain (Loss) Fair Value Cash and Cash Equivalents Cash $ 673,118 $ - - $ 673,118 Level 1: Money market funds 3,255,718 - $ 3,255,718 3,255,718 Total cash and cash equivalents $ 3,928,836 $ - $ 3,255,718 $ 3,928,836 As of June 30, 2023 Cost Unrealized Gain (Loss) Fair Value Cash and Cash Equivalents Cash $ 242,271 $ - - $ 242,271 Level 1: Money market funds 5,376,812 - $ 5,376,812 5,376,812 Total cash and cash equivalents $ 5,619,083 $ - $ 5,376,812 $ 5,619,083
SCHEDULE OF FAIR VALUE OF CONTINGENT CONSIDERATION	As of September 30, 2023, the Company’s contingent consideration liabilities current and non-current balances were as follows: SCHEDULE OF FAIR VALUE OF CONTINGENT CONSIDERATION As of September 30, 2023 Contingent Consideration at Purchase Date Consideration Paid Changes in Fair Value Fair Value Contingent Consideration Level 3: Contingent consideration, current - S5D $ 2,060,300 $ (1,359,001 ) $ 348,101 $ 1,049,400 $ 1,049,400 Contingent consideration, current - BLI 1,264,200 - 1,240,700 2,504,900 2,504,900 Contingent consideration, current - XRT - (458,931 ) 524,646 65,715 65,715 Total contingent consideration, current portion $ 3,324,500 $ (1,817,932 ) $ 2,113,447 $ 3,620,015 $ 3,620,015 Level 3: Contingent consideration, non-current - S5D $ 7,108,900 $ (2,050,000 ) $ (4,330,400 ) $ 728,500 $ 728,500 Contingent consideration, non-current - BLI 6,060,700 - (3,668,100 ) 2,392,600 2,392,600 Total contingent consideration, net of current portion $ 13,169,600 $ (2,050,000 ) $ (7,998,500 ) $ 3,121,100 $ 3,121,100 As of June 30, 2023 Contingent Consideration at Purchase Date Consideration Paid Changes in Fair Value Fair Value Contingent Consideration Level 3: Contingent consideration, current - S5D $ 2,060,300 $ (1,359,001 ) $ 1,207,501 $ 1,908,800 $ 1,908,800 Contingent consideration, current - BLI 1,264,200 - 1,693,500 2,957,700 2,957,700 Contingent consideration, current - AUGGD - (568,571 ) 568,571 - - Contingent consideration, current - XRT - (331,786 ) 586,077 254,291 254,291 Total contingent consideration, current portion $ 3,324,500 $ (2,259,358 ) $ 4,055,649 $ 5,120,791 $ 5,120,791 Level 3: Contingent consideration, non-current - S5D $ 7,108,900 $ (2,050,000 ) $ (3,807,200 ) $ 1,251,700 $ 1,251,700 Contingent consideration, non-current - BLI 6,060,700 - (2,807,400 ) 3,253,300 3,253,300 Total contingent consideration, net of current portion $ 13,169,600 $ (2,050,000 ) $ (6,614,600 ) $ 4,505,000 $ 4,505,000

DEFERRED COSTS_CONTRACT ASSET_2

DEFERRED COSTS/CONTRACT ASSETS and DEFERRED REVENUE/CONTRACT LIABILITIES (Tables)	3 Months Ended
	Sep. 30, 2023
Revenue from Contract with Customer [Abstract]
SCHEDULE OF RECONCILIATION OF COST IN EXCESS OF BILLING FOR CONTRACT RECOGNIZED OVER TIME	The following table shows the reconciliation of the costs in excess of billings and billings in excess of costs for contracts recognized over time: SCHEDULE OF RECONCILIATION OF COST IN EXCESS OF BILLING FOR CONTRACT RECOGNIZED OVER TIME As of As of Cost incurred on uncompleted contracts $ 186,540 $ 78,771 Estimated earnings 378,040 226,096 Earned revenue 564,580 304,867 Less: billings to date 503,864 311,750 Billings in excess of costs, net $ 60,716 $ (6,883 ) Balance Sheet Classification Contract assets includes, costs and estimated earnings in excess of billings on uncompleted contracts $ 63,824 $ - Contract liabilities includes, billings in excess of costs and estimated earnings on uncompleted contracts (3,108 ) (6,883 ) Billings in excess of costs, net $ 60,716 $ (6,883 )

EQUITY (Tables)

EQUITY (Tables)	3 Months Ended
	Sep. 30, 2023
Equity [Abstract]
SCHEDULE OF STOCK OPTION FAIR VALUE ASSUMPTIONS	Stock options have been recorded at their fair value. The Black-Scholes option-pricing model assumptions used to value the issuance of stock options under the Plan, are noted in the following table: SCHEDULE OF STOCK OPTION FAIR VALUE ASSUMPTIONS For the Three Months Ended September 30, 2023 2022 Weighted average expected terms (in years) 6.5 6.5 Weighted average expected volatility 97.8 % 101.4 % Weighted average risk-free interest rate 4.6 % 2.9 % Expected dividend yield 0.0 % 0.0 %
SUMMARY OF STOCK OPTION ACTIVITY	The following is a summary of the Company’s stock option activity for the three months ended September 30, 2023 and 2022, excluding the executive Target Options: SUMMARY OF STOCK OPTION ACTIVITY Weighted Average Remaining Exercise Contractual Intrinsic Options Price Term (Yrs) Value Outstanding at July 1, 2023 6,128,381 $ 4.84 7.0 $ 1,676,966 Options Granted 259,747 2.57 10.0 102,407 Options Exercised (25,000 ) 2.00 3.1 22,741 Options Forfeited / Cancelled (609,977 ) 4.79 6.9 102,407 Outstanding at September 30, 2023 5,753,151 $ 4.76 7.0 $ - Exercisable at September 30, 2023 3,585,072 $ 4.16 5.6 $ - Weighted Average Remaining Exercise Contractual Intrinsic Options Price Term (Yrs) Value Outstanding at July 1, 2022 4,484,616 $ 4.68 7.0 $ 2,404,249 Options Granted 321,787 7.00 9.9 - Options Exercised (66,853 ) 4.13 7.1 93,945 Options Forfeited / Cancelled (72,099 ) 8.86 9.0 13,273 Outstanding at September 30, 2022 4,667,451 $ 4.77 6.9 $ 6,429,851 Exercisable at September 30, 2022 3,509,358 $ 3.59 6.0 $ 6,382,458
SCHEDULE OF STOCK OPTION-BASED EXPENSE	The Company’s stock option-based expense for the three months ended September 30, 2023 and 2022 consisted of the following: SCHEDULE OF STOCK OPTION-BASED EXPENSE For the Three Months Ended 2023 2022 Stock option-based expense: Research and development expenses $ 271,129 $ 387,440 General and administrative expenses 97,726 54,274 Sales and marketing expenses 153,424 186,660 Cost of goods sold - 694 Board option expense 74,101 146,784 Total $ 596,380 $ 775,852

EARNINGS PER SHARE (Tables)

EARNINGS PER SHARE (Tables)	3 Months Ended
	Sep. 30, 2023
Earnings Per Share [Abstract]
SCHEDULE OF COMPUTATION OF BASIC AND DILUTED NET LOSS PER SHARE	The following table presents the computation of basic and diluted net loss per common share: SCHEDULE OF COMPUTATION OF BASIC AND DILUTED NET LOSS PER SHARE For the Three Months Ended September 30, 2023 2022 Numerator: Net loss $ (119,443 ) $ (5,382,727 ) Denominator: Weighted-average common shares outstanding for basic and diluted net loss per share 14,730,386 13,317,188 Basic and diluted net loss per share $ (0.01 ) $ (0.40 )
SCHEDULE OF POTENTIALLY DILUTIVE SECURITIES	Potentially dilutive securities that were not included in the calculation of diluted net loss per share attributable to common stockholders because their effect would be anti-dilutive are as follows (in common equivalent shares): SCHEDULE OF POTENTIALLY DILUTIVE SECURITIES At At Stock Options 7,853,151 8,228,381 Warrants 837,500 837,500 Total 8,690,651 9,065,881

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Tables)	3 Months Ended
	Sep. 30, 2023
Commitments and Contingencies Disclosure [Abstract]
SCHEDULE OF UNDISCOUNTED LEASE PAYMENTS	Future approximate undiscounted lease payments for the Company’s operating lease liabilities and a reconciliation of these payments to its operating lease liabilities at September 30, 2023 are as follows: SCHEDULE OF UNDISCOUNTED LEASE PAYMENTS Years Ended June 30, 2024 (remaining 9 months) $ 350,000 2025 381,000 2026 188,000 Total future minimum lease commitments, including short-term leases 919,000 Less: future minimum lease payments of short -term leases (9,000 ) Less: imputed interest (66,000 ) Present value of future minimum lease payments, excluding short term leases $ 844,000 Current portion of operating lease liabilities $ 426,000 Non-current portion of operating lease liabilities 418,000 Total operating lease liability $ 844,000
SCHEDULE OF CONTINGENT CONSIDERATION FOR ACQUISITIONS	Contingent consideration for acquisitions, consists of the following as of September 30, 2023 and June 30, 2023, respectively (see Note 7): SCHEDULE OF CONTINGENT CONSIDERATION FOR ACQUISITIONS As of September 30, As of 2023 2023 S5D, current portion $ 1,049,400 $ 1,908,800 BLI, current portion 2,504,900 2,957,700 XRT 65,715 254,291 Subtotal current portion 3,620,015 5,120,791 S5D, net of current portion 728,500 1,251,700 BLI, net of current portion 2,392,600 3,253,300 Net of current portion 2,392,600 3,253,300 Total contingent consideration for acquisitions $ 6,741,115 $ 9,625,791

GOING CONCERN (Details Narrativ

GOING CONCERN (Details Narrative) - USD ($)		3 Months Ended
	Oct. 28, 2022	Sep. 30, 2023	Sep. 30, 2022	Jun. 30, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Net loss		$ 119,443	$ 5,382,727
Accumulated deficit		$ 56,764,421		$ 56,644,978
Proceeds from issuance or sale of equity	$ 100,000,000

SCHEDULE OF COMPONENTS OF CASH,

SCHEDULE OF COMPONENTS OF CASH, CASH EQUIVALENTS AND RESTRICTED CASH (Details) - USD ($)	Sep. 30, 2023	Jun. 30, 2023	Sep. 30, 2022
Accounting Policies [Abstract]
Cash and cash equivalents	$ 3,928,836	$ 5,619,083	$ 10,644,751
Restricted cash			2,000,000
Total	$ 3,928,836		$ 12,644,751

SCHEDULE OF TIMING REVENUE RECO

SCHEDULE OF TIMING REVENUE RECOGNITION (Details) - USD ($)	3 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Disaggregation of Revenue [Line Items]
Total Revenue	$ 3,104,880	$ 3,951,024
Transferred at Point in Time [Member]
Disaggregation of Revenue [Line Items]
Total Revenue	2,475,603	2,996,948
Transferred over Time [Member]
Disaggregation of Revenue [Line Items]
Total Revenue	$ 629,277	$ 954,076

SUMMARY OF SIGNIFICANT ACCOUN_4

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($) $ in Thousands	3 Months Ended		12 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Jun. 30, 2023
Product Information [Line Items]
Revenue remaining performance obligation	$ 1,070
Revenue Benchmark [Member] | Customer Concentration Risk [Member] | Two Customers [Member]
Product Information [Line Items]
Concentration risk percentage	50%
Revenue Benchmark [Member] | Customer Concentration Risk [Member] | Customer One [Member]
Product Information [Line Items]
Concentration risk percentage	33%	34%
Revenue Benchmark [Member] | Customer Concentration Risk [Member] | Customer Two [Member]
Product Information [Line Items]
Concentration risk percentage	17%	26%
Revenue Benchmark [Member] | Customer Concentration Risk [Member] | Three Customers [Member]
Product Information [Line Items]
Concentration risk percentage		60%
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Two Customers [Member]
Product Information [Line Items]
Concentration risk percentage	33%		43%
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Customer One [Member]
Product Information [Line Items]
Concentration risk percentage	18%		29%
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Customer Two [Member]
Product Information [Line Items]
Concentration risk percentage	15%		14%

SCHEDULE OF PROFORMA FINANCIAL

SCHEDULE OF PROFORMA FINANCIAL INFORMATION (Details) - Brightline Interactive, LLC [Member]	3 Months Ended
	Sep. 30, 2023 USD ($)
Business Acquisition [Line Items]
Revenue	$ 3,954,000
Net Loss	$ (5,534,000)

BUSINESS ACQUISITION (Details N

BUSINESS ACQUISITION (Details Narrative) - USD ($)	2 Months Ended	3 Months Ended
	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Business Acquisition [Line Items]
Change in fair value of acquisition contingent consideration		$ 2,757,530	$ (2,603,398)
Net loss		(119,443)	(5,382,727)
Brightline Interactive, LLC [Member]
Business Acquisition [Line Items]
Revenues	$ 1,510,000	1,460,000
Net loss	250,000	970,000
Inclusive of contingent consideration fair value adjustment gain	$ 170,000	1,310,000
Membership Interest Sale Agreement [Member] | Sector 5 Digital, LLC [Member]
Business Acquisition [Line Items]
Business combination, acquisition related costs		270,000
Change in fair value of acquisition contingent consideration		$ 170,000
Membership Interest Sale Agreement [Member] | Sector 5 Digital, LLC [Member] | General and Administrative Expense [Member]
Business Acquisition [Line Items]
Business combination, acquisition related costs			$ 270,000

SCHEDULE OF COMPOSITION OF GOOD

SCHEDULE OF COMPOSITION OF GOODWILL (Details)	3 Months Ended
	Sep. 30, 2023 USD ($)
Restructuring Cost and Reserve [Line Items]
Goodwill - beginning of year	$ 11,236,638
Impairments	(379,038)
Goodwill - end of period	10,857,600
XR Terra, LLC. [Member]
Restructuring Cost and Reserve [Line Items]
Goodwill - beginning of year	300,000
Impairments
Goodwill - end of period	300,000
PulpoAR LLC [Member]
Restructuring Cost and Reserve [Line Items]
Goodwill - beginning of year	379,038
Impairments	(379,038)
Goodwill - end of period
Brightline Interactive, LLC [Member]
Restructuring Cost and Reserve [Line Items]
Goodwill - beginning of year	10,557,600
Impairments
Goodwill - end of period	$ 10,557,600

SCHEDULE OF INTANGIBLE ASSETS,

SCHEDULE OF INTANGIBLE ASSETS, AMORTIZATION PERIOD AND ACCUMULATED AMORTIZATION (Details)	Sep. 30, 2023 USD ($)
Finite-Lived Intangible Assets [Line Items]
Less: Accumulated Amortization	$ (1,414,294)
Intangible Assets, net	3,402,141
Customer Relationships [Member]
Finite-Lived Intangible Assets [Line Items]
Intangible Assets	$ 3,310,000
Intangible assets amortization period	5 years
Technology-Based Intangible Assets [Member]
Finite-Lived Intangible Assets [Line Items]
Intangible Assets	$ 1,506,435
Intangible assets amortization period	3 years
XR Terra, LLC. [Member]
Finite-Lived Intangible Assets [Line Items]
Less: Accumulated Amortization	$ (199,995)
Intangible Assets, net	100,005
XR Terra, LLC. [Member] | Customer Relationships [Member]
Finite-Lived Intangible Assets [Line Items]
Intangible Assets
XR Terra, LLC. [Member] | Technology-Based Intangible Assets [Member]
Finite-Lived Intangible Assets [Line Items]
Intangible Assets	300,000
Brightline Interactive, LLC [Member]
Finite-Lived Intangible Assets [Line Items]
Less: Accumulated Amortization	(1,114,555)
Intangible Assets, net	3,075,445
Brightline Interactive, LLC [Member] | Customer Relationships [Member]
Finite-Lived Intangible Assets [Line Items]
Intangible Assets	3,310,000
Brightline Interactive, LLC [Member] | Technology-Based Intangible Assets [Member]
Finite-Lived Intangible Assets [Line Items]
Intangible Assets	880,000
Incite VR [Member]
Finite-Lived Intangible Assets [Line Items]
Less: Accumulated Amortization	(99,744)
Intangible Assets, net	226,691
Incite VR [Member] | Customer Relationships [Member]
Finite-Lived Intangible Assets [Line Items]
Intangible Assets
Incite VR [Member] | Technology-Based Intangible Assets [Member]
Finite-Lived Intangible Assets [Line Items]
Intangible Assets	$ 326,435

IMPAIRMENT OF GOODWILL AND LO_2

IMPAIRMENT OF GOODWILL AND LONG-LIVED ASSETS (Details Narrative) - USD ($)	3 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Jun. 30, 2023
Finite-Lived Intangible Assets [Line Items]
Intangible asset impairment	$ 10,857,600		$ 11,236,638
Net loss	(119,443)	$ (5,382,727)
MotionZone, LLC [Member]
Finite-Lived Intangible Assets [Line Items]
Intangible assets written off	890,000
Intangible asset impairment	380,000
Net loss	260,000	260,000
MotionZone, LLC [Member] | Technology-Based Intangible Assets [Member]
Finite-Lived Intangible Assets [Line Items]
Intangible assets written off	510,000
Pulpo AR [Member]
Finite-Lived Intangible Assets [Line Items]
Revenue	$ 80,000	$ 70,000

SCHEDULE OF INTANGIBLE ASSET AM

SCHEDULE OF INTANGIBLE ASSET AMORTIZATION EXPENSE (Details)	Sep. 30, 2023 USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]
Fiscal Year Ended June 30, 2024	$ 873,000
Fiscal Year Ended June 30, 2025	1,089,000
Fiscal Year Ended June 30, 2026	723,000
Fiscal Year Ended June 30, 2027	662,000
Fiscal Year Ended June 30, 2028	$ 55,000

GOODWILL AND INTANGIBLE ASSET_2

GOODWILL AND INTANGIBLE ASSETS (Details Narrative) - USD ($)	3 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Restructuring Cost and Reserve [Line Items]
Intangible asset amortization expense	$ 368,120	$ 443,967
PulpoAR LLC [Member]
Restructuring Cost and Reserve [Line Items]
Intangible asset amortization expense		$ 80,000

SCHEDULE OF CASH AND CASH EQUIV

SCHEDULE OF CASH AND CASH EQUIVALENTS AND INVESTMENTS (Details) - USD ($)	Sep. 30, 2023	Jun. 30, 2023	Sep. 30, 2022
Impairment Effects on Earnings Per Share [Line Items]
Cash and Cash Equivalents	$ 3,928,836	$ 5,619,083	$ 10,644,751
Cash [Member]
Impairment Effects on Earnings Per Share [Line Items]
Cost	673,118	242,271
Cash and Cash Equivalents	673,118	242,271
Money Market Funds [Member] | Fair Value, Inputs, Level 1 [Member]
Impairment Effects on Earnings Per Share [Line Items]
Cost	3,255,718	5,376,812
Cash and Cash Equivalents	3,255,718	5,376,812
Fair Value	3,255,718	5,376,812
Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 1 [Member]
Impairment Effects on Earnings Per Share [Line Items]
Cost	3,928,836	5,619,083
Cash and Cash Equivalents	3,928,836	5,619,083
Fair Value	$ 3,255,718	$ 5,376,812

SCHEDULE OF FAIR VALUE OF CONTI

SCHEDULE OF FAIR VALUE OF CONTINGENT CONSIDERATION (Details) - Fair Value, Inputs, Level 3 [Member] - USD ($)	Sep. 30, 2023	Jun. 30, 2023
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total contingent consideration, current portion	$ 3,620,015	$ 5,120,791
Total contingent consideration, net of current portion	3,121,100	4,505,000
Sector 5 Digital, LLC [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total contingent consideration, current portion	1,049,400	1,908,800
Total contingent consideration, net of current portion	728,500	1,251,700
Brightline Interactive, LLC [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total contingent consideration, current portion	2,504,900	2,957,700
Total contingent consideration, net of current portion	2,392,600	3,253,300
XR Terra, LLC. [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total contingent consideration, current portion	65,715	254,291
AUGGD [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total contingent consideration, current portion
Estimate of Fair Value Measurement [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total contingent consideration, current portion	3,324,500	3,324,500
Total contingent consideration, net of current portion	13,169,600	13,169,600
Estimate of Fair Value Measurement [Member] | Sector 5 Digital, LLC [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total contingent consideration, current portion	2,060,300	2,060,300
Total contingent consideration, net of current portion	7,108,900	7,108,900
Estimate of Fair Value Measurement [Member] | Brightline Interactive, LLC [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total contingent consideration, current portion	1,264,200	1,264,200
Total contingent consideration, net of current portion	6,060,700	6,060,700
Estimate of Fair Value Measurement [Member] | XR Terra, LLC. [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total contingent consideration, current portion
Estimate of Fair Value Measurement [Member] | AUGGD [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total contingent consideration, current portion
Portion at Other than Fair Value Measurement [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total contingent consideration, current portion	(1,817,932)	(2,259,358)
Total contingent consideration, net of current portion	(2,050,000)	(2,050,000)
Portion at Other than Fair Value Measurement [Member] | Sector 5 Digital, LLC [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total contingent consideration, current portion	(1,359,001)	(1,359,001)
Total contingent consideration, net of current portion	(2,050,000)	(2,050,000)
Portion at Other than Fair Value Measurement [Member] | Brightline Interactive, LLC [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total contingent consideration, current portion
Total contingent consideration, net of current portion
Portion at Other than Fair Value Measurement [Member] | XR Terra, LLC. [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total contingent consideration, current portion	(458,931)	(331,786)
Portion at Other than Fair Value Measurement [Member] | AUGGD [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total contingent consideration, current portion		(568,571)
Changes Measurement [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total contingent consideration, current portion	2,113,447	4,055,649
Total contingent consideration, net of current portion	(7,998,500)	(6,614,600)
Changes Measurement [Member] | Sector 5 Digital, LLC [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total contingent consideration, current portion	348,101	1,207,501
Total contingent consideration, net of current portion	(4,330,400)	(3,807,200)
Changes Measurement [Member] | Brightline Interactive, LLC [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total contingent consideration, current portion	1,240,700	1,693,500
Total contingent consideration, net of current portion	(3,668,100)	(2,807,400)
Changes Measurement [Member] | XR Terra, LLC. [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total contingent consideration, current portion	524,646	586,077
Changes Measurement [Member] | AUGGD [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total contingent consideration, current portion		568,571
Reported Value Measurement [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total contingent consideration, current portion	3,620,015	5,120,791
Total contingent consideration, net of current portion	3,121,100	4,505,000
Reported Value Measurement [Member] | Sector 5 Digital, LLC [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total contingent consideration, current portion	1,049,400	1,908,800
Total contingent consideration, net of current portion	728,500	1,251,700
Reported Value Measurement [Member] | Brightline Interactive, LLC [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total contingent consideration, current portion	2,504,900	2,957,700
Total contingent consideration, net of current portion	2,392,600	3,253,300
Reported Value Measurement [Member] | XR Terra, LLC. [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total contingent consideration, current portion	$ 65,715	254,291
Reported Value Measurement [Member] | AUGGD [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total contingent consideration, current portion

FINANCIAL INSTRUMENTS (Details

FINANCIAL INSTRUMENTS (Details Narrative)	3 Months Ended
	Sep. 30, 2023 USD ($)	Sep. 30, 2022 USD ($)	Jun. 30, 2023 USD ($)
Company common stock	$ 14,813		$ 14,702
Sector 5 Digital, LLC [Member]
Fair value of contingent consideration	1,380,000
Sector 5 Digital, LLC [Member] | Changes Measurement [Member]
Noncash expense		$ 2,240,000
Brightline Interactive, LLC [Member]
Fair value of contingent consideration	1,320,000
Brightline Interactive, LLC [Member] | Changes Measurement [Member]
Noncash expense		170,000
XR Terra, LLC. [Member]
Fair value of contingent consideration	60,000
Company common stock	130,000
XR Terra, LLC. [Member] | Changes Measurement [Member]
Contingent consideration		$ 200,000
XR Terra, LLC. [Member] | Minimum [Member]
Company common stock	0
XR Terra, LLC. [Member] | Maximum [Member]
Company common stock	1,000,000
MotionZone, LLC [Member] | Maximum [Member]
Company common stock	650,000
PulpoAR LLC [Member]
Cash	500,000
Company common stock	12,500,000
PulpoAR LLC [Member] | Minimum [Member]
Company common stock	0
PulpoAR LLC [Member] | Maximum [Member]
Company common stock	$ 13,000,000
Measurement Input, Commodity Market Price [Member] | Sector 5 Digital, LLC [Member]
Business combination, contingent consideration, measurement input	1.84		3.56
Measurement Input, Commodity Market Price [Member] | Sector 5 Digital, LLC [Member] | Common Stock [Member] | Minimum [Member]
Company common stock	$ 0
Measurement Input, Commodity Market Price [Member] | Sector 5 Digital, LLC [Member] | Common Stock [Member] | Maximum [Member]
Company common stock	$ 14,000,000
Measurement Input, Commodity Market Price [Member] | Brightline Interactive, LLC [Member]
Business combination, contingent consideration, measurement input	1.84		3.56
Measurement Input, Commodity Market Price [Member] | Brightline Interactive, LLC [Member] | Common Stock [Member] | Minimum [Member]
Company common stock	$ 0
Measurement Input, Commodity Market Price [Member] | Brightline Interactive, LLC [Member] | Common Stock [Member] | Maximum [Member]
Company common stock	24,500,000
Cash	$ 12,000,000
Measurement Input, Price Volatility [Member] | Sector 5 Digital, LLC [Member]
Business combination, contingent consideration, measurement input	63.5		66.6
Measurement Input, Price Volatility [Member] | Brightline Interactive, LLC [Member]
Business combination, contingent consideration, measurement input	74.4		75.6
Measurement Input, Discount Rate [Member] | Sector 5 Digital, LLC [Member]
Business combination, contingent consideration, measurement input	15		15.7
Measurement Input, Discount Rate [Member] | Brightline Interactive, LLC [Member]
Business combination, contingent consideration, measurement input	15.8		16.4
Measurement Input, Risk Free Interest Rate [Member] | Sector 5 Digital, LLC [Member]
Business combination, contingent consideration, measurement input	5.3		5.1
Measurement Input, Risk Free Interest Rate [Member] | Brightline Interactive, LLC [Member]
Business combination, contingent consideration, measurement input	5.1		4.8

SCHEDULE OF RECONCILIATION OF C

SCHEDULE OF RECONCILIATION OF COST IN EXCESS OF BILLING FOR CONTRACT RECOGNIZED OVER TIME (Details) - USD ($)	Sep. 30, 2023	Jun. 30, 2023
Disaggregation of Revenue [Line Items]
Contract assets includes, costs and estimated earnings in excess of billings on uncompleted contracts	$ 156,718	$ 158,552
Contract liabilities includes, billings in excess of costs and estimated earnings on uncompleted contracts	(208,514)	(466,393)
Transferred over Time [Member]
Disaggregation of Revenue [Line Items]
Cost incurred on uncompleted contracts	186,540	78,771
Estimated earnings	378,040	226,096
Earned revenue	564,580	304,867
Less: billings to date	503,864	311,750
Billings in excess of costs, net	60,716	(6,883)
Contract assets includes, costs and estimated earnings in excess of billings on uncompleted contracts	63,824
Contract liabilities includes, billings in excess of costs and estimated earnings on uncompleted contracts	(3,108)	(6,883)
Billings in excess of costs, net	$ 60,716	$ (6,883)

DEFERRED COSTS_CONTRACT ASSET_3

DEFERRED COSTS/CONTRACT ASSETS and DEFERRED REVENUE/CONTRACT LIABILITIES (Details Narrative) - USD ($)	Sep. 30, 2023	Jun. 30, 2023
Disaggregation of Revenue [Line Items]
Contract assets	$ 156,718	$ 158,552
Contract with customer liabilities	208,514	466,393
Transferred at Point in Time [Member]
Disaggregation of Revenue [Line Items]
Contract assets	92,894	158,552
Contract with customer liabilities	205,406	459,510
Transferred over Time [Member]
Disaggregation of Revenue [Line Items]
Contract assets	63,824
Contract with customer liabilities	$ 3,108	$ 6,883

SCHEDULE OF STOCK OPTION FAIR V

SCHEDULE OF STOCK OPTION FAIR VALUE ASSUMPTIONS (Details)	3 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Equity [Abstract]
Weighted average expected terms (in years)	6 years 6 months	6 years 6 months
Weighted average expected volatility	97.80%	101.40%
Weighted average risk-free interest rate	4.60%	2.90%
Expected dividend yield	0%	0%

SUMMARY OF STOCK OPTION ACTIVIT

SUMMARY OF STOCK OPTION ACTIVITY (Details) - USD ($)	3 Months Ended		12 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Equity [Abstract]
Options Outstanding, Beginning Balance	6,128,381	4,484,616	4,484,616
Weighted Average Exercise Price, Outstanding, Beginning Balance	$ 4.84	$ 4.68	$ 4.68
Weighted Average Remaining Contractual Term (Yrs), Outstanding Beginning			7 years	7 years
Intrinsic Value, Outstanding Beginning Balance	$ 1,676,966	$ 2,404,249	$ 2,404,249
Options, Granted	259,747	321,787
Weighted Average Exercise Price, Options Granted	$ 2.57	$ 7
Weighted Average Remaining Contractual Term (Yrs), Options Granted	10 years	9 years 10 months 24 days
Intrinsic Value, Options Granted	$ 102,407
Options, Exercised	(25,000)	(66,853)
Weighted Average Exercise Price, Options Exercised	$ 2	$ 4.13
Weighted Average Remaining Contractual Term (Yrs), Options Exercised	3 years 1 month 6 days	7 years 1 month 6 days
Intrinsic value, options exercised	$ 22,741	$ (93,945)
Options, Forfeited / Cancelled	(609,977)	(72,099)
Weighted Average Exercise Price, Options Forfeited/Cancelled	$ 4.79	$ 8.86
Weighted Average Remaining Contractual Term (Yrs), Options Forfeited/Cancelled	6 years 10 months 24 days	9 years
Intrinsic value, options forfeited/Cancelled	$ 102,407	$ (13,273)
Options Outstanding, Ending Balance	5,753,151	4,667,451	6,128,381	4,484,616
Weighted Average Exercise Price, Outstanding, Ending Balance	$ 4.76	$ 4.77	$ 4.84	$ 4.68
Weighted Average Remaining Contractual Term (Yrs), Outstanding Ending	7 years	6 years 10 months 24 days
Intrinsic Value, Outstanding Ending Balance		$ 6,429,851	$ 1,676,966	$ 2,404,249
Options Exercisable, Ending Balance	3,585,072	3,509,358
Weighted Average Exercise Price, Exercisable, Ending Balance	$ 4.16	$ 3.59
Weighted Average Remaining Contractual Term (Yrs), Exercisable Ending	5 years 7 months 6 days	6 years
Intrinsic Value, Exercisable Ending Balance		$ 6,382,458
Intrinsic Value, Options Exercised	(22,741)	93,945
Intrinsic Value, Options Forfeited/Cancelled	$ (102,407)	$ 13,273

SCHEDULE OF STOCK OPTION-BASED

SCHEDULE OF STOCK OPTION-BASED EXPENSE (Details) - USD ($)	3 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Total	$ 596,380	$ 775,852
Research and Development Expense [Member]
Total	271,129	387,440
General and Administrative Expense [Member]
Total	97,726	54,274
Selling and Marketing Expense [Member]
Total	153,424	186,660
Cost of Sales [Member]
Total		694
Board Option Expense [Member]
Total	$ 74,101	$ 146,784

EQUITY (Details Narrative)

EQUITY (Details Narrative) - USD ($)			1 Months Ended	3 Months Ended		12 Months Ended		15 Months Ended
	Oct. 03, 2023	Sep. 28, 2023	Feb. 28, 2023	Sep. 30, 2023	Sep. 30, 2022	Jun. 30, 2023	Jun. 30, 2022	Sep. 30, 2023
Accumulated Other Comprehensive Income (Loss) [Line Items]
Stock issued during period, value, new issues					$ 2,846,144
Common stock issued for exercise of stock options				25,000	66,853
Proceeds from stock option exercised					$ 39,915
Options granted				259,747	321,787
Exercise price				$ 2.57	$ 7
Options vested			220,000
Options granted, fair value				$ 400,000	$ 1,250,000
Exercise price				$ 4.76	$ 4.77	$ 4.84	$ 4.68	$ 4.76
Remaining term						7 years	7 years
Intrinsic value					$ 6,429,851	$ 1,676,966	$ 2,404,249
2016 Equity Incentive Plan [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Stock issued during period shares				11,300,000				11,300,000
Shares available for issuance				2,400,000				2,400,000
Stock options intrinsic value per share				$ 1.84	$ 5.29
Unrecognized compensation expense to employees and vendors				$ 6,150,000				$ 6,150,000
Vendors [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Number of common stock for services, shares				11,000
Share-based compensation				$ 30,000
Employees [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Number of common stock for services, shares				55,000
Share-based compensation				$ 200,000
Executive Officer [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Options granted			2,320,000
Exercise price			$ 7
Share-Based Payment Arrangement, Option [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Common stock issued for exercise of stock options				9,000	25,000
Proceeds from stock option exercised				$ 0	$ 40,000
Target Options [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Options granted				2,100,000
Exercise price				$ 7				$ 7
Remaining term				9 years 8 months 12 days
Intrinsic value				$ 0				$ 0
Target Options [Member] | 2016 Equity Incentive Plan [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Shares available for issuance				2,100,000				2,100,000
Unrecognized compensation expense to employees and vendors				$ 8,530,000				$ 8,530,000
Weighted average period				2 years 8 months 15 days
Common Stock [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Stock issued during period, shares, new issues					714,286
Stock issued during period, value, new issues					$ 714
Common stock issued for exercise of stock options				8,819	24,681
Common Stock [Member] | Brightline Interactive, LLC [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Stock issued during period, shares, new issues								714,000
Stock issued during period, value, new issues								$ 2,850,000
Common Stock [Member] | XR Terra, LLC. [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Stock issued during period, shares, new issues				36,000
Fair value				$ 130,000
Common Stock [Member] | AUGGD [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Stock issued during period, value, new issues				$ 250,000
Stock issued during period, shares, new issues				107,000
Fair value				$ 320,000
Contingent acquisition obligation				$ 570,000
Investor [Member] | Securities Purchase Agreement [Member] | Common Stock [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Sale of stock, shares		1,885,715
Sale of stock		$ 3,300,000
Sale of stock, per share		$ 1.75
Investor [Member] | Securities Purchase Agreement [Member] | Common Stock [Member] | Subsequent Event [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Net proceeds	$ 2,980,000

SCHEDULE OF COMPUTATION OF BASI

SCHEDULE OF COMPUTATION OF BASIC AND DILUTED NET LOSS PER SHARE (Details) - USD ($)	3 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Earnings Per Share [Abstract]
Net loss	$ (119,443)	$ (5,382,727)
Weighted-average common shares outstanding for basic net loss per share	14,730,386	13,317,188
Weighted-average common shares outstanding for diluted net loss per share	14,730,386	13,317,188
Basic net loss per share	$ (0.01)	$ (0.40)
Diluted net loss per share	$ (0.01)	$ (0.40)

SCHEDULE OF POTENTIALLY DILUTIV

SCHEDULE OF POTENTIALLY DILUTIVE SECURITIES (Details) - shares	3 Months Ended	12 Months Ended
	Sep. 30, 2023	Jun. 30, 2023
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total	8,690,651	9,065,881
Share-Based Payment Arrangement, Option [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total	7,853,151	8,228,381
Warrant [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total	837,500	837,500

EARNINGS PER SHARE (Details Nar

EARNINGS PER SHARE (Details Narrative) - shares	3 Months Ended	12 Months Ended
	Sep. 30, 2023	Jun. 30, 2023
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Stock options	8,690,651	9,065,881
Share-Based Payment Arrangement, Option [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Stock options	7,853,151	8,228,381
Share-Based Payment Arrangement, Option [Member] | Target Options [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Stock options	2,100,000

SCHEDULE OF UNDISCOUNTED LEASE

SCHEDULE OF UNDISCOUNTED LEASE PAYMENTS (Details) - USD ($)	Sep. 30, 2023	Jun. 30, 2023
Commitments and Contingencies Disclosure [Abstract]
2024 (remaining 9 months)	$ 350,000
2025	381,000
2026	188,000
Total future minimum lease commitments, including short-term leases	919,000
Less: future minimum lease payments of short -term leases	(9,000)
Less: imputed interest	(66,000)
Present value of future minimum lease payments, excluding short term leases	844,000
Current portion of operating lease liabilities	426,282	$ 405,948
Non-current portion of operating lease liabilities	418,280	$ 423,454
Total operating lease liability	$ 844,000

SCHEDULE OF CONTINGENT CONSIDER

SCHEDULE OF CONTINGENT CONSIDERATION FOR ACQUISITIONS (Details) - USD ($)	Sep. 30, 2023	Jun. 30, 2023
Asset Acquisition [Line Items]
Subtotal current portion	$ 3,620,015	$ 5,120,791
Net of current portion	3,121,100	4,505,000
Total contingent consideration for acquisitions	6,741,115	9,625,791
Sector 5 Digital, LLC [Member]
Asset Acquisition [Line Items]
Subtotal current portion	1,049,400	1,908,800
Net of current portion	728,500	1,251,700
Brightline Interactive, LLC [Member]
Asset Acquisition [Line Items]
Subtotal current portion	2,504,900	2,957,700
Net of current portion	2,392,600	3,253,300
X R T [Member]
Asset Acquisition [Line Items]
Subtotal current portion	$ 65,715	$ 254,291

COMMITMENTS AND CONTINGENCIES_2

COMMITMENTS AND CONTINGENCIES (Details Narrative) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Commitments and Contingencies Disclosure [Abstract]
Payments for rent	$ 200	$ 140
Weighted average remaining lease term	1 year 6 months
Weighted average discount rate	8.30%
Operating lease rent expense	$ 110	$ 130
Employee bonus payment threshold amount	$ 530
Share conversion price	$ 7
Fair value of bonus	$ 390
Maximum distribution percentage of net proceeds from divestiture	10%

SUBSEQUENT EVENTS (Details Narr

SUBSEQUENT EVENTS (Details Narrative) - Securities Purchase Agreement [Member] - USD ($) $ / shares in Units, $ in Thousands	Oct. 03, 2023	Sep. 28, 2023
Common Stock [Member] | Minimum [Member]
Subsequent Event [Line Items]
Reprice per share	$ 14.63
Common Stock [Member] | Maximum [Member]
Subsequent Event [Line Items]
Reprice per share	$ 1.75
Warrant [Member]
Subsequent Event [Line Items]
Sale of stock, shares	750,000
Investor [Member] | Common Stock [Member]
Subsequent Event [Line Items]
Sale of stock, shares		1,885,715
Sale of stock		$ 3,300
Sale of stock, per share		$ 1.75
Investor [Member] | Common Stock [Member] | Subsequent Event [Member]
Subsequent Event [Line Items]
Net proceeds	$ 2,980