Intellicheck reports higher cloud ID verification revenue in steady financial results
Year-end financial results for Intellicheck indicate a steady uptick in cloud-based identity verification adoption, providing a source of optimism for future earnings.
The company preliminarily reports revenues from its digital identity technologies in the fourth quarter of 2022 of $4.55 million, up 17 percent over the same quarter a year earlier. Similar gains were reported in SaaS revenue. Gross profit as a percentage of revenue also ticked up during the quarter, as did expenses. Net loss for the quarter was $561,000 or $0.03 per diluted share, compared to a net loss of $992,000 or $0.05 per diluted share a year earlier. Adjusted EBITDA improved to $389,000, compared to an adjusted EBITDA loss of $555,000 in Q4 2021.
For full-year 2022, Intellicheck’s revenue declined by 3 percent from just over to just under $16 million, including non-recurring hardware sales lasts year worth $3.2 million. SaaS revenue grew by 21 percent from 2021 to 2022. The growth of SaaS revenue also improved the company’s gross profit as a percentage of revenue.
Net loss in 2022 was $3.85 million, or $0.20 per diluted share, an improvement compared to a net loss of $7.48 million or $0.40 per diluted share the previous year. Adjusted EBITDA was negative $924,000 in both years.
“I am very pleased with the progress we have made in diversifying our business as we expand our presence in more market verticals,” says Intellicheck CEO Bryan Lewis in a statement. “Our broad and growing client base and the continued adoption of our technology with expanded use cases by both existing and new clients underscores the quality and value of our identity validation solutions. As bad actors continue to expand their efforts at every turn, our clients know that by partnering with Intellicheck they have the advantage of technology that delivers a frictionless customer experience that onboards more good clients faster, without the need for expensive hardware, while virtually eliminating fraud quickly, easily, and effectively.”
Since the end of Intellicheck’s fiscal year, which aligns with the calendar year, a multi million-dollar customer onboarding technology contract the company holds with a banking customer has expanded with a minimum 20 percent increase in transaction volume.