Teen-focused augmented reality developer Thred says its new “Sweep” app is good to go — they just need people to start paying for it.

Despite key launches of the app’s new augmented reality features at Schoolies week in November, Thred is yet to report any revenue according to its latest quarterly report.

Thred (ASX:THD) pivoted from social media to augmented reality in September.

In December, Thred outlined nine revenue models for the app: GeoChats, sponsored venues, in-app purchases, sponsored posts, enterprise data warehouse, augmented reality advertising and white-labelling to third parties via its “Agent Reality” program.

Today Thred told investors commercialisation of the technology through the Agent Reality business was continuing to mature.

“The company can report that its business development for Agent Reality is well-advanced, having presented to numerous large marquee brands. We have revenue-generating proposals with five of these prospective enterprises and expect commercial decisions in the near future.”

Thred (THD) shares over the past six months.
Thred (THD) shares over the past six months.

Thred had $3.3 million left in the bank at the end of the quarter, with estimated outgoings of $1.2 in the current period.

Just like the unruly teens it is targeting, Thred told the market a little fiscal and strategic discipline went a long way.

“Management continues to focus on reducing spend across the business… we expect the third quarter forecast cash outflows to remain conservative, as our goal is to employ cash reserves even more judiciously and strategically.

“There will now be a shift from Sweep and technology expenditure to Agent Reality sales pipeline expenditure. Over the next quarter, marketing related expenditure on Sweep will be reduced to also positively impact cash outflows.”

Shares in the company were trading flat at 1c, down from heights of 1.9c in November. The company is valued at $8.7 million.

Further trials of the augmented reality features are scheduled later this month at O-Week university celebrations in NSW.