Mitek Systems(MITK) - 2025 Q1 - Quarterly Results

Financial Performance - Mitek reported fiscal 2025 first quarter revenue of $37.3 million, relatively flat year-over-year compared to $36.9 million[5]. - GAAP net loss for the quarter was $4.6 million, an improvement from a net loss of $5.8 million a year ago[5]. - Adjusted EBITDA increased to $7.8 million, up from $5.9 million a year ago, with an adjusted EBITDA margin of 21%, compared to 16% a year ago[5]. - Non-GAAP net income was $6.6 million, slightly up from $6.3 million a year ago, with non-GAAP net income per diluted share at $0.15[5]. - Total revenue for the three months ended December 31, 2024, was $37,254,000, representing an increase of 0.9% compared to $36,917,000 in the same period of 2023[19]. - GAAP net loss for Q4 2024 was $4,612,000, an improvement from a loss of $5,793,000 in Q4 2023[25]. - Adjusted EBITDA for Q4 2024 was $7,845,000, with an adjusted EBITDA margin of 21%, compared to $5,949,000 and 16% in Q4 2023[25]. - Non-GAAP net income for the same period was $6,633 thousand, compared to $6,325 thousand in 2023, reflecting a year-over-year increase of 4.9%[28]. - Non-GAAP income per share—basic and diluted for Q4 2024 was $0.15, up from $0.14 in Q4 2023[28]. Revenue Segmentation - SaaS products grew 29% year-over-year, contributing positively to the overall performance[2]. - Total deposits revenue decreased to $19,285,000 in Q4 2024, down 8.5% from $21,077,000 in Q4 2023[19]. - Total identity revenue increased to $17,969,000 in Q4 2024, up 13.4% from $15,840,000 in Q4 2023[19]. Cash and Investments - Total cash and investments decreased to $137.9 million from $141.8 million at the end of the previous fiscal year[5]. - Total current assets decreased to $176,837,000 as of December 31, 2024, down from $185,051,000 as of September 30, 2024[18]. - Free cash flow for the twelve months ended December 31, 2024, was $40,184 thousand, compared to $15,742 thousand for the twelve months ended December 31, 2023, indicating a significant increase[30]. - Operating cash flow for the three months ended December 31, 2024, was $7,064 thousand, compared to $6,301 thousand in the same period of 2023[30]. Guidance and Future Outlook - Mitek is maintaining its fiscal 2025 full-year revenue guidance of between $170 million and $180 million[5]. - The company raised the lower end of its fiscal 2025 adjusted EBITDA margin guidance by 100 basis points to a range of 25%-28%[5]. - The company is focused on strengthening its foundation for durable, profitable revenue growth in fiscal 2026 and beyond[2]. Expenses and Liabilities - Non-GAAP operating expenses for Q4 2024 were $24,021,000, a decrease from $25,955,000 in Q4 2023[23]. - Total liabilities decreased to $195,042,000 as of December 31, 2024, compared to $198,952,000 as of September 30, 2024[18]. - Stockholders' equity decreased to $200,917,000 as of December 31, 2024, down from $214,801,000 as of September 30, 2024[18]. - Total stock-based compensation expense for Q4 2024 was $4,465 thousand, an increase from $3,430 thousand in Q4 2023[32]. Taxation - The estimated cash tax rate for fiscal 2025 is 15%, compared to 9% for fiscal 2024, reflecting a change in tax strategy[28]. - The effective tax rate for GAAP net income was 6% for fiscal 2025, down from 23% for fiscal 2024, indicating improved tax efficiency[28]. Strategic Initiatives - The company utilized third-party experts for product portfolio evaluation and competitive landscape analysis during Q4 2023, indicating a focus on strategic positioning[28]. - Mitek repurchased 0.4 million shares at an average price of $8.99, totaling approximately $3.3 million[5]. - Restructuring costs for the three months ended December 31, 2024, were $808 thousand, significantly higher than $48 thousand in the same period of 2023[28].