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Victory Square (OTC:VSQTF) announced its Q2 numbers showing some more information about its investments and subsidiaries although it had preannounced its NAV as of June 30th earlier. The report showed total revenues of $1.2 million with $713,638 attributed to Hydreight and $414,812 to XR Immersive. Hydreight revenues were slightly down sequentially, but we expect them to pick up steam as DRIPBar revenues start. XR immersive is benefitting from revenues from its acquisition of SynthesisVR in Q1. In the first six months of 2022, SynthesisVR contributed 64% of XR Immersive's revenues.
The Hydreight spin off is moving forward and the company has hopes that this investment could be a home run. The company had its best month ever for partner sign ups in August. Management also believes it could be a good acquisition target. Investors may discover that owning VST stock could be a discounted way to get exposure to Hydreight. Victory Square trades at a market cap of US$10 million while Hydreight is valued at US$17.5 million.
XR Immersive continues to perform well due to the business added by SynthesisVR. On August 17, 2022, Shabeer Sinnalebbe and Kamen Petrov were added to the Board of Directors replacing Alvin Wang Graylin and Cathy Hackl. On September 1, Sinnalebbe, the founder and former CEO of SynthesisVR was appointed the new CEO of Immersive. Shafin Diamond Tejani joined the board of XR immersive on that date also. VST feels that with funding, SynthesisVR can grow even faster and roll out new innovative products including kiosks for bars and a subscription service for in-home VR game play. After the quarter ended, the company's first UNCONTAINED installation went live at the Pacific National Exhibition in Vancouver.
Turnium, although public, has not yet been spun off to VST shareholders and management will reassess when that might happen at the end of this year. In Q2 Turnium booked $1.1 million in revenues versus $1.0 million last year while reducing losses. Stardust Solar continues to perform well but management is delaying and plans to go public due to market conditions and the distractions of being a public company.
While the company has suffered a decline in valuation with the rest of the market, that market decline has a silver lining as VST seeks out new opportunities for investment at new lower prices. It hopes to take advantage of current prices.
VST trades an 85% discount to its current estimated NAV of US$0.68 per share, well below comparable companies. With the imminent listing of IV Hydreight, investors could buy VST just to own shares of it at a discount.
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