Intellicheck Announces Record First Quarter 2025 Financial Results

MELVILLE, N.Y.--(BUSINESS WIRE)-- Intellicheck, Inc. (Nasdaq: IDN), an industry-leading identity company delivering on-demand digital and physical identity validation solutions, today announced its financial results for the first quarter ended March 31, 2025. Total revenue for the first quarter ended March 31, 2025 grew 5% to a record $4,894,000 compared to $4,680,000 in the same period of 2024. SaaS revenue increased 6% and totaled $4,868,000 compared to $4,609,000 in the same period of 2024.

“With the implementation of our strategic initiatives, we have made significant progress in successfully diversifying our client base. We are growing very quickly in retail banking, title insurance, auto, email account security, and background checks. Our progress also extends to the logistics and shipping market vertical. As our new partnerships and new opportunities come into focus, we believe our organizational revitalization will further our anticipated growth,” said Intellicheck CEO Bryan Lewis.

Gross profit as a percentage of revenues remained strong at 90%, in line with expectations, for the three months ended March 31, 2025 compared to 91% in the same period in 2024.

Operating expenses for the three months ended March 31, 2025, which consist of selling, general and administrative expenses and research and development expenses, decreased 1% to $4,740,000 for the first quarter of 2025 compared to $4,768,000 for the same period of 2024. Included within operating expenses for the first quarters of 2025 and 2024 were $177,000 and $324,000, respectively, of non-cash stock-based compensation expense.

Net loss for the three months ended March 31, 2025 decreased by $124,000 to ($318,000) or ($0.02) per diluted share compared to a net loss of ($442,000) or ($0.02) per diluted share for the same period in 2024.

Adjusted EBITDA (earnings before interest and other income, provision for income taxes, sales tax accruals, depreciation, amortization, stock-based compensation expense and certain non-recurring charges) improved by $100,000 to a loss of ($17,000) for the first quarter of 2025 as compared to a loss of ($117,000) for the same period of 2024. A reconciliation of adjusted EBITDA to net loss is provided in this release.

As of March 31, 2025, the Company had cash and cash equivalents that totaled $5.1 million and stockholders’ equity totaled $17.6 million.

Conference Call Information

The Company will hold an earnings conference call today, May 13, 2025 at 4:30 p.m. ET/1:30 p.m. PT to discuss operating results. To listen to the earnings conference call, please dial 877-407-8037. For callers outside the U.S., please dial 201-689-8037.

A replay of the conference call will be available shortly after completion of the live event. To listen to the replay, please dial 877-660-6853 and use conference identification number 13753197. For callers outside the U.S., please dial 201-612-7415 and use conference identification number 13753197. The replay will be available beginning approximately three hours after the completion of the live event and will remain available until May 20, 2025.

INTELLICHECK, INC.
UNAUDITED CONDENSED BALANCE SHEETS
MARCH 31, 2025 AND DECEMBER 31, 2024
(in thousands, except share and per share amounts)
	March 31, 2025				December 31, 2024
ASSETS
CURRENT ASSETS:
Cash and cash equivalents	$	5,148			$	4,666
Accounts receivable, net of allowance for credit losses of $100 and $100 at March 31, 2025 and December 31, 2024, respectively		7,506				4,675
Other current assets		873				571
Total current assets		13,527				9,912
PROPERTY AND EQUIPMENT, NET		497				536
GOODWILL		8,102				8,102
INTANGIBLE ASSETS, NET		2,434				2,374
OTHER ASSETS		1				9
Total assets	$	24,561			$	20,933
LIABILITIES AND STOCKHOLDERS’ EQUITY
CURRENT LIABILITIES:
Accounts payable	$	610			$	443
Accrued expenses		1,825				1,742
Deferred revenue		4,518				1,001
Total current liabilities		6,953				3,186
Total liabilities		6,953				3,186
COMMITMENTS AND CONTINGENCIES
STOCKHOLDERS’ EQUITY:
Preferred stock - $0.01 par value; 30,000 shares authorized; Series A convertible preferred stock, zero shares issued and outstanding at March 31, 2025 and December 31, 2024, respectively		—				—
Common stock - $0.001 par value; 40,000,000 shares authorized; 19,816,043 and 19,782,311 shares issued and outstanding at March 31, 2025 and December 31, 2024, respectively		19				19
Additional paid-in capital		152,390				152,211
Accumulated deficit		(134,801	)			(134,483	)
Total stockholders’ equity		17,608				17,747
Total liabilities and stockholders’ equity	$	24,561			$	20,933

INTELLICHECK, INC.
UNAUDITED CONDENSED STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDED MARCH 31, 2025 AND 2024
(in thousands, except share and per share amounts)
	Three months ended March 31,
		2025				2024
REVENUES	$	4,894			$	4,680
COST OF REVENUES		(502	)			(435	)
Gross profit		4,392				4,245
OPERATING EXPENSES
Selling, general and administrative		3,453				3,949
Research and development		1,287				819
Total operating expenses		4,740				4,768
Loss from operations		(348	)			(523	)
OTHER INCOME AND EXPENSE
Other income and expense, net		30				83
Total other income and expense, net		30				83
Net loss before provision for income taxes		(318	)			(440	)
Provision for income taxes		—				2
Net loss	$	(318	)		$	(442	)
PER SHARE INFORMATION
Loss per common share -
Basic/Diluted	$	(0.02	)		$	(0.02	)
Weighted average common shares used in computing per share amounts -
Basic/Diluted		19,816,043				19,404,561

INTELLICHECK, INC.
UNAUDITED CONDENSED STATEMENTS OF STOCKHOLDERS’ EQUITY
FOR THE THREE MONTHS ENDED MARCH 31, 2025 AND 2024
(in thousands, except share amounts)
	Three months ended March 31, 2025
	Common Stock					Additional Paid-in Capital			Accumulated Deficit				Total Stockholders’ Equity
	Shares		Amount
BALANCE, December 31, 2024	19,782,311		$	19		$	152,211		$	(134,483	)		$	17,747
Stock-based compensation	–			–			179			–				179
Issuance of shares for vested restricted stock grants	33,732			–			–			–				–
Net loss	–			–			–			(318	)			(318	)
BALANCE, March 31, 2025	19,816,043		$	19		$	152,390		$	(134,801	)		$	17,608

	Three months ended March 31, 2024
	Common Stock					Additional Paid-in Capital			Accumulated Deficit				Total Stockholders’ Equity
	Shares		Amount
BALANCE, December 31, 2023	19,354,335		$	19		$	150,822		$	(133,565	)		$	17,276
Stock-based compensation	–			–			344			–				344
Issuance of shares for vested restricted stock grants	50,226			–			–			–				–
Net loss	–			–			–			(442	)			(442	)
BALANCE, March 31, 2024	19,404,561		$	19		$	151,166		$	(134,007	)		$	17,178

INTELLICHECK, INC.
UNAUDITED CONDENSED STATEMENTS OF CASH FLOWS
FOR THE THREE MONTHS ENDED MARCH 31, 2025 AND 2024
	Three months ended March 31,
		2025				2024
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	$	(318	)		$	(442	)
Adjustments to reconcile net loss to net provided by operating activities
Depreciation and amortization		154				72
Stock-based compensation		177				334
Credit loss expense		14				16
Changes in assets and liabilities:
(Increase) Decrease in accounts receivable		(2,846	)			1,944
(Increase) Decrease in other current assets and long-term assets		(200	)			38
Increase (Decrease) in accounts payable and accrued expenses		251				(353	)
Increase (Decrease) in deferred revenue		3,518				(740	)
Net cash provided by operating activities		750				869
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property and equipment		(9	)			(9	)
Proceeds from maturity of short-term investments		—				5,000
Software development costs		(164	)			(601	)
Net cash (used in) provided by investing activities		(173	)			4,390
CASH FLOWS FROM FINANCING ACTIVITIES:
Repayment of insurance financing arrangements		(95	)			—
Net cash (used in) financing activities		(95	)			—
Net increase in cash		482				5,259
CASH, beginning of period		4,666				3,980
CASH, end of period	$	5,148			$	9,239
Supplemental disclosures of cash flow information:
Cash paid for interest	$	(3	)		$	—
Cash paid for income taxes	$	—			$	—

Adjusted EBITDA

We use Adjusted EBITDA as a non-GAAP financial performance measurement. Adjusted EBITDA is calculated by adjusting net loss for certain reductions such as interest and other income and certain addbacks such as income taxes, sales tax accrual, depreciation, amortization, and stock-based compensation expense. Adjusted EBITDA is provided to investors to supplement the results of operations reported in accordance with GAAP. Management believes that Adjusted EBITDA provides an additional tool for investors to use in comparing our financial results with other companies that also use Adjusted EBITDA in their communications to investors. By excluding non-cash charges such as sales tax accrual, amortization, depreciation, and stock-based compensation, as well as non-operating charges for interest and income taxes, investors can evaluate our operations and can compare the results on a more consistent basis to the results of other companies. In addition, Adjusted EBITDA is one of the primary measures management uses to monitor and evaluate financial and operating results.

We consider Adjusted EBITDA to be an important indicator of our operational strength and performance of our business and a useful measure of our historical operating trends. However, there are significant limitations to the use of Adjusted EBITDA since it excludes interest and other income, sales tax accrual, stock-based compensation expense, all of which impact our profitability, as well as depreciation and amortization related to the use of long-term assets which benefit multiple periods. We believe that these limitations are compensated by providing Adjusted EBITDA only with GAAP net loss and clearly identifying the difference between the two measures. Consequently, Adjusted EBITDA should not be considered in isolation or as a substitute for net loss presented in accordance with GAAP. Adjusted EBITDA as defined by us may not be comparable with similarly named measures provided by other entities.

The reconciliation of GAAP net loss to Non-GAAP Adjusted EBITDA is as follows:

	Three Months Ended March 31
		2025				2024
Net loss	$	(318	)		$	(442	)
Reconciling items:
Provision for income taxes		—				2
Other income and expense, net		(30	)			(83	)
Depreciation and amortization		154				72
Stock-based compensation, including liability classified awards		177				334
Adjusted EBITDA	$	(17	)		$	(117	)

Adjusted Gross Profit

We use Adjusted Gross Profit as a non-GAAP financial performance measurement. Adjusted Gross Profit is calculated by adjusting gross profit for the reduction of amortization expense. Adjusted Gross Profit is provided to investors to supplement the results of operations reported in accordance with GAAP. We believe Adjusted Gross Profit is important because it focuses on the current operating performance, as amortization expense does not accurately reflect the current costs required to maintain the operational usage of our service. Rather, amortization expense reflects the allocation of historical software development costs over their estimated useful lives.

As an indicator of our operating performance, Adjusted Gross Profit should not be considered an alternative to, or more meaningful than, gross profit as determined in accordance with GAAP. Our Adjusted Gross Profit may not be comparable to a similarly titled measure of another company because other entities may not calculate Adjusted Gross Profit in the same manner.

The reconciliation of GAAP gross profit to Non-GAAP Adjusted Gross Profit is as follows:

	Three Months Ended March 31
		2025				2024
Revenue	$	4,894			$	4,680
Cost of revenue, exclusive of amortization	$	399			$	411
Amortization allocable to cost of revenues		103				24
Gross Profit		4,392				4,245
Add:
Amortization allocable to cost of revenues		103				24
Adjusted Gross Profit		4,495				4,269
Gross profit as a percentage of revenues		89.7	%			90.7	%
Adjusted Gross Profit as a percentage of revenues		91.8	%			91.2	%

About Intellicheck

Intellicheck, the industry leader in identity verification management, prevents the unauthorized use of IDs to stop identity-based fraud. Intellicheck is the only SaaS-based validation and proofing service that uses a unique and proprietary analysis of DMV-issued IDs to create trusted, real-time customer identity verification experiences across a wide variety of sectors, both in-person and digitally. Each year, we validate around 100 million identities across North America, providing a seamless, invisible ID verification with 100% decisioning in under a second. For more information on Intellicheck, visit us on the web and follow us on LinkedIn, X, Facebook, and YouTube.

Safe Harbor Statement

Statements in this news release about Intellicheck’s future expectations, including: the advantages of our products, future demand for Intellicheck’s existing and future products, whether revenue and other financial metrics will improve in future periods, whether Intellicheck will be able to execute its turn-around plan or whether successful execution of the plan will result in increased revenues, whether sales of our products will continue at historic levels or increase, whether brand value and market awareness will grow, whether the Company can leverage existing partnerships or enter into new ones, whether there will be any impact on sales and revenues due to an epidemic, pandemic or other public health issue and all other statements in this release, other than historical facts, are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 (PSLRA). These statements, which express management’s current views concerning future events, trends, contingencies or results, appear at various places in this release and use words like “anticipate,” “assume,” “believe,” “continue,” “estimate,” “expect,” “forecast,” “future,” “intend,” “plan,” “potential,” “predict,” “project,” “sense”, “strategy,” “target” and similar terms, and future or conditional tense verbs like “could,” “may,” “might,” “should,” “will” and “would” are forward-looking statements within the meaning of the PSLRA. This statement is included for the express purpose of availing Intellicheck, Inc. of the protections of the safe harbor provisions of the PSLRA. It is important to note that actual results and ultimate corporate actions could differ materially from those in such forward-looking statements based on such factors as: market acceptance of our products and the presently anticipated growth in the commercial adoption of our products and services; our ability to successfully transition pilot programs into formal commercial scale programs; continued adoption of our SaaS product offerings; changing levels of demand for our current and future products; our ability to reduce or maintain expenses while increasing sales; our ability to successfully expand the sales of our products and services into new areas including health care and auto dealerships; customer results achieved using our products in both the short and long term; success of future research and development activities; the impact of inflation on our business and customer’s businesses and any effect this has on economic activity with our customer’s businesses; our ability to successfully market and sell our products, any delays or difficulties in our supply chain coupled with the typically long sales and implementation cycle for our products; our ability to enforce our intellectual property rights; changes in laws and regulations applicable to the our products; our continued ability to access government-provided data; the risks inherent in doing business with the government including audits and contract cancellations; liability resulting from any security breaches or product failure, together with other risks detailed from time to time in our reports filed with the SEC. We do not assume any obligation to update the forward-looking information.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250513595360/en/

Investor Relations: Gar Jackson (949) 873-2789 / gjackson@intellicheck.com

Media and Public Relations: Sharon Schultz (302) 539-3747 / sschultz@intellicheck.com

Source: Intellicheck, Inc.