Financial Data and Key Metrics Changes - The ending ARR for Q4 was $13.7 million, down from $20 million in Q4 last year, primarily due to the loss of two large customer contracts [26] - Total revenue for Q4 was $8.9 million, an increase of $200,000 or 3% from $8.7 million in Q4 last year [28] - Subscription revenue accounted for 60% of total revenue for the quarter, increasing 6% from $5 million to $5.3 million [29] - Non-GAAP net income per diluted share for the quarter was $0.05 compared to a non-GAAP net loss of $0.22 in Q4 last year [33] - The company ended the quarter with $12.9 million in cash and short-term investments and no debt, generating positive free cash flow of $700,000 [34] Business Line Data and Key Metrics Changes - ARR from the anti-counterfeiting solution continued to grow, driven by customer upsells and new customer wins [16] - The Secure Gift Card solution achieved its first commercial order, representing over $500,000 in ARR [12] - The company secured an upsell with an existing customer to expand their use of the anti-counterfeiting solution to authenticate tax stamps [17] Market Data and Key Metrics Changes - The U.S. serviceable addressable market for the Secure Gift Card solution is estimated at 3 billion to 5 billion cards annually, with a global SAM of 7.5 billion to 17 billion cards [9] - The company is advancing initial rollout plans with 8 North American retailers, including 4 of the largest [4] Company Strategy and Development Direction - The company is focused on building a trust layer for the modern world, addressing the increasing need for trust and authenticity in the wake of AI advancements [7][38] - The strategic focus areas include retail loss prevention, product authentication, and digital trust and integrity, with significant emphasis on the Secure Gift Card solution [6][39] - The company aims to maximize holiday orders for the Secure Gift Card solution and expects significant ARR growth in 2026 [27] Management's Comments on Operating Environment and Future Outlook - Management highlighted the increasing demand for solutions that provide verifiable trust and authenticity due to the rapid advancement of AI [7][39] - The company expects to generate significant ARR growth in 2026, driven primarily by the Secure Gift Card solution [26][41] - Management expressed confidence in the company's positioning to benefit from the ongoing trends in the market [38] Other Important Information - The company signed IP licensing agreements with two major technology companies, validating the relevance and value of its inventions [4][40] - Operating expenses were reduced by 31% year-over-year, reflecting lower headcount costs and ongoing corporate streamlining efforts [32] Q&A Session Summary Question: Technical difficulties during the call - The company experienced technical issues with the conference call service, preventing a Q&A session from occurring [41]

Investor Presentation Fourth Quarter 2025 March 11, 2026 1 Safe Harbor Statement This presentation includes "forward-looking statements" within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and Section 27A of the Securities Act of 1933, as amended, which reflect management's current view regarding future events and performance. Although we believe these statements are based on reasonable expectations and beliefs, they are subject to risks and uncertainties that are difficult ...