Results demonstrate the ability to combine active-level protection with passive-like usabilityBURLINGTON, Mass., March 31, 2026 (GLOBE NEWSWIRE) -- As generative AI accelerates the sophistication of identity fraud, Aware, Inc. (NASDAQ: AWRE), a global leader in biometric identity and authentication solutions, today announced strong performance in the U.S. Department of Homeland Security (DHS) Remote Identity Validation Rally (RIVR) Track 3, reinforcing the company’s commitment to delivering secure, real-tim ...

PresentationJoakim NydemarkChief Executive Officer Good morning, everyone, and thank you for joining today's investor call. Earlier today, we announced the proposed merger between Precise Biometrics and Fingerprint Cards. And Adam and I really appreciate the opportunity to walk you through the strategic rationale behind the proposed merger. Before we begin to practical matters, participants will be in listen only mode during the presentation, and you're welcome to submit questions via the webcast chat. We w ...

Management View - Aware, Inc. (AWRE) CEO Ajay Amlani described fiscal 2025 as a "foundational year" for the company, highlighting significant strategic progress in technology, leadership, certifications, and market positioning [2] - The company made advancements in three key transformation pillars, focusing on enhancing its core biometric technology [2]

Financial Data and Key Metrics Changes - Revenue for Q4 2025 was $4.7 million, a slight decrease from $4.8 million in the prior year, primarily due to lower perpetual software license revenue, partially offset by higher maintenance and services revenue [22] - For the full year, revenue was $17.3 million compared to $17.4 million in 2024, with a net loss of $5.9 million or $0.28 per diluted share, compared to a net loss of $4.4 million or $0.21 per diluted share in the same period last year [24][25] - Adjusted EBITDA loss for the year was $4.6 million, compared to a loss of $3.9 million in the prior year [25] Business Line Data and Key Metrics Changes - The company saw a decrease in perpetual software license revenue, which was partially offset by increases in maintenance and services and other revenue [22][24] - Operating expenses improved to $6.1 million in Q4 2025 from $6.3 million in the prior year, reflecting lower one-time costs [23] Market Data and Key Metrics Changes - The company experienced variability in financial results due to revenue trends, particularly within the federal market [4] - Engagement with U.S. federal agencies increased, with successful deployments of mobile biometric solutions and continued growth in law enforcement customer base [11][12] Company Strategy and Development Direction - The company is focused on a three-pronged transformation strategy: advancing core biometric technology, strengthening a customer-obsessed go-to-market model, and deepening strategic partnerships and certifications [5][11] - Aware aims to build a more predictable and scalable biometric identity business, balancing innovation with discipline to lead in the digital identity sector [34] Management's Comments on Operating Environment and Future Outlook - Management acknowledged that procurement cycles and funding timelines can shift, leading to variability in quarterly results, particularly in government and large enterprise markets [27][29] - The company expects to see greater consistency in bookings and revenue over time as efforts to convert pilot programs into production deployments take hold [52] Other Important Information - Aware achieved several certifications, including ISO 30107-3 for presentation attack detection and ISO 27001 for information security management, enhancing its credibility with enterprise and government customers [16][32] - The company is actively working on expanding its partner ecosystem and enhancing its technology to defend against sophisticated threats [14][19] Q&A Session Summary Question: How should investors think about the drivers of potential growth going forward? - Management noted that government procurement cycles can vary, but there has been increased activity in federal government meetings leading to pipeline acceleration [36] Question: How should investors think about the mix between perpetual licenses, recurring software services, and maintenance going forward? - The mix will likely evolve depending on secured programs, with a focus on expanding presence in live programs [38] Question: What is the process and timeline from evaluation to production deployment? - Evaluations can lead to pilot programs, with the goal of exceeding customer expectations to grow business over time [39][40] Question: How did recent certifications and platform enhancements strengthen Aware's competitive position? - Certifications are crucial for qualifying bids and serve as strategic differentiators in a competitive landscape [42][44] Question: Why are deals not announced as they are signed? - Many contracts do not require separate SEC disclosures, and confidentiality provisions often apply to government and security-focused customers [45][46] Question: Are there new AI-native competitors or customers insourcing algorithms? - Aware is well-positioned to leverage AI technologies to improve efficacy and productivity, utilizing existing customer data for model training [47][48] Question: What should investors look for in 2026 to measure success? - Investors should look for improved execution, stronger conversion of pipeline into program wins, and greater consistency in bookings and revenue over time [50][52]

Financial Data and Key Metrics Changes - Revenue for Q4 2025 was $4.7 million, a slight decrease from $4.8 million in the prior year, primarily due to lower perpetual software license revenue, partially offset by higher maintenance and services revenue [17] - Full year revenue was $17.3 million, down from $17.4 million in 2024, driven by lower perpetual license revenue but offset by increases in maintenance and services [18] - Net loss for Q4 was $1.5 million, or $0.07 per diluted share, compared to a net loss of $1.2 million, or $0.06 per diluted share in the prior year [18] - Full year net loss was $5.9 million, or $0.28 per diluted share, compared to a net loss of $4.4 million, or $0.21 per diluted share in the same period last year [18] - Adjusted EBITDA loss for the year was $4.6 million, compared to a loss of $3.9 million in the prior year [19] Business Line Data and Key Metrics Changes - The company focused on advancing core biometric technology, particularly in liveness detection and biometric orchestration, which are critical for secure digital identity [4][5] - Customer testing activity remained strong across government and commercial sectors, with demand centered on mitigating risks from evolving threats like facial deepfakes and injection attacks [7][8] - The company successfully deployed its first mobile biometric solution within a U.S. federal agency during Q4, indicating growth in law enforcement customer engagement [9] Market Data and Key Metrics Changes - The company is expanding its presence in both U.S. federal and international markets, with a pilot program launched in a Caribbean nation for biometric time and attendance systems [10] - Engagement in aviation and border-related use cases is increasing, with successful testing of biometric boarding at Orlando International Airport [11] Company Strategy and Development Direction - The company is focused on a three-pronged transformation strategy: advancing core biometric technology, strengthening customer engagement, and building strategic partnerships [4] - The company aims to enhance its competitive position through certifications and strategic relationships, which are critical for government and enterprise opportunities [9][15] - The company is positioning itself as a trusted biometric identity solutions provider, with a focus on innovation and operational improvements [4][24] Management's Comments on Operating Environment and Future Outlook - Management acknowledged that variability in results is expected due to the nature of government procurement cycles and customer conversion timing [19][22] - The company anticipates continued uneven quarterly results but believes that structural progress made in 2025 will strengthen its competitive position and support long-term growth [24] - Management emphasized the importance of certifications in meeting customer requirements and enhancing competitive differentiation [32] Other Important Information - The company achieved several key certifications, including ISO 30107-3 Level 3 for Presentation Attack Detection and ISO 27001 for information security management, which enhance its credibility with enterprise and government customers [15][23] - The company ended the year with $22.3 million in cash equivalents and no debt, reflecting increased investments in technology and team enhancements [19] Q&A Session Summary Question: How should investors think about the drivers of potential growth going forward? - Management noted that government procurement cycles can vary, but increased activity in federal government meetings has resulted in pipeline acceleration and opportunities [26] Question: How should investors think about the mix between perpetual licenses, recurring software services, and maintenance going forward? - Management indicated that the mix will evolve based on secured programs, focusing on expanding presence in live programs for long-term maintenance [28] Question: What is the process and timeline from evaluation to production deployment? - Management explained that evaluations lead to pilot programs, which can then progress to production deployments, emphasizing a "land and expand" strategy [30][31] Question: How did recent certifications and platform enhancements strengthen competitive position? - Management highlighted that certifications are crucial for qualifying bids and serve as strategic differentiators in a competitive landscape [32] Question: Why are deals not announced as they are signed? - Management clarified that SEC requirements and customer confidentiality often prevent immediate announcements, and contract signing is not always a meaningful milestone [34] Question: Are there new AI-native competitors or customers insourcing algorithms? - Management stated that the company is well-positioned to leverage AI technologies to improve efficacy and productivity, enhancing its competitive edge [36] Question: What should investors look for in 2026 to measure success? - Management suggested that investors should look for improved execution, stronger conversion of the pipeline into program wins, and greater consistency in bookings and revenue over time [39]

Core Insights - Aware, Inc. has announced independent third-party evaluations validating its biometric identity verification technologies amid rising identity fraud risks due to generative AI advancements [1][2][3] Group 1: Technology Validation - Aware's biometric liveness and identity verification technologies have undergone rigorous third-party evaluations to assess their security, fairness, and performance under realistic conditions [4] - The Aware Intelligent Liveness technology was evaluated according to ISO/IEC 30107-3 standards, demonstrating zero false rejections at Levels 1 and 2, and 100% successful user completion at Level 3 [5][6] - The evaluation confirmed that Aware's system effectively detects sophisticated spoofing attempts, achieving zero successful attacks at Levels 2 and 3 [6] Group 2: Fairness and Bias Testing - Aware completed independent biometric bias testing, confirming consistent performance across all demographic groups, which is crucial for maintaining trust in biometric systems [7][8] - The results from the bias testing provide assurance that Aware's solutions apply liveness and matching decisions fairly across diverse populations [8] Group 3: Real-World Evaluation - Aware participated in the DHS 2025 Remote Identity Validation Rally (RIVR), where it was one of only five vendors to meet all high-performance goals defined by DHS [9][10][11] - Aware achieved zero failure-to-extract rates for both selfie and identity document images, indicating high-quality processing under real-world conditions [11] Group 4: Enhanced Security Measures - Aware has achieved FIDO2 Server Certification, validating its capability to support passkey-based authentication layered with biometric verification [12][13] - This certification aligns with increasing expectations for security in regulated environments, helping to mitigate phishing and automated attacks while ensuring user-friendly identity flows [13]

Company Overview - Proactive provides fast, accessible, informative, and actionable business and finance news content to a global investment audience [2] - The news team operates from key finance and investing hubs including London, New York, Toronto, Vancouver, Sydney, and Perth [2] Expertise and Focus Areas - The company specializes in medium and small-cap markets while also covering blue-chip companies, commodities, and broader investment stories [3] - Proactive delivers news and insights across various sectors including biotech and pharma, mining and natural resources, battery metals, oil and gas, crypto, and emerging digital and EV technologies [3] Technology Adoption - Proactive is recognized as a forward-looking technology adopter, utilizing automation and software tools, including generative AI, to enhance workflows [4][5] - All content published by Proactive is edited and authored by humans, ensuring adherence to best practices in content production and search engine optimization [5]

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Financial Data and Key Metrics Changes - Revenue in Q3 2025 reached $5.1 million, reflecting a 33% year-over-year growth, primarily driven by a $1 million perpetual license expansion sale and a $600,000 new term license contract [10][11] - Operating expenses increased to $6.4 million from $5.4 million in the prior year, attributed to investments in sales, marketing, and product development [10][11] - Net loss for the quarter improved to $1.1 million or $0.05 per diluted share, compared to a net loss of $1.2 million or $0.06 per diluted share in the prior year [11] - Adjusted EBITDA loss was $800,000, an improvement from a loss of $1.1 million in the prior year [11] - Cash, cash equivalents, and marketable securities at the end of the quarter totaled $22.5 million, with no debt [11][12] Business Line Data and Key Metrics Changes - The company is focused on two core markets: government and commercial enterprises, with growing demand for biometric solutions in both sectors [12][14] - In the government sector, there is an emphasis on modernization initiatives and compliance with Buy American requirements, particularly within the Department of Homeland Security [9][14] - On the commercial side, enterprises are increasingly adopting biometric solutions for workforce and customer use cases, emphasizing privacy and interoperability [9][15] Market Data and Key Metrics Changes - The shift in customer perceptions around biometrics has been significant, with everyday use of biometric technologies making them familiar and expected [4][5] - The federal government is experiencing tailwinds from funding for biometric modernization, although the federal shutdown has caused delays in appropriations [6][14] - The commercial sector is seeing a trend towards biometric-anchored digital identity solutions, particularly in fraud-prone verticals like financial services and travel [15][16] Company Strategy and Development Direction - The company is executing a three-pronged transformation strategy focused on advancing core biometric technology, strengthening the go-to-market model, and deepening strategic relationships [4][5] - Aware aims to deliver adaptive liveness detection and interoperability, positioning itself as a trusted provider in the biometric space [5][17] - The strategy includes prioritizing large, durable opportunities in federal and enterprise markets to drive multi-year recurring revenue [17][18] Management's Comments on Operating Environment and Future Outlook - Management acknowledges the impact of the federal budget delays on near-term bookings but expects significant deal flow once the shutdown is resolved [23][24] - The company is focused on building a sustainable revenue model and improving pipeline conversion patterns to achieve more consistent growth [21][22] - Aware is committed to investing in certifications and partnerships that enhance its competitive position and reduce adoption friction for customers [30][32] Other Important Information - The company has upgraded leadership across revenue, marketing, and product to align the organization for disciplined scaling [8] - Aware's platform has achieved significant certifications, including FIDO Alliance certification, which enhances its credibility and reduces compliance friction [8][30] Q&A Session Summary Question: Q3 revenue grew 33% year-over-year but was flat year to date. Can you elaborate on the drivers of that variance? - The variance is due to the timing of customer decisions and license mix, with a focus on building a more sustainable revenue model [21] Question: Can you give more color to the pipeline conversion patterns? - There is healthy engagement and visibility into opportunities, but customer decision timing can still affect quarterly results [22] Question: How significant has the federal budget delays been to near-term bookings? - The government shutdown has impacted near-term bookings, but there is still ongoing conversation and expected urgency to deploy budgets once resolved [23][24] Question: Who do you view as your primary competitors in the biometric space? - The primary competition includes internal development within large enterprises, with Aware focusing on providing scalable solutions [25][26] Question: How do you prioritize new certifications like ISO or FedRAMP? - Certifications are crucial for customer trust and are prioritized to ensure compliance with modern cybersecurity threats [30][32] Question: How should we think about expense levels and operating leverage in FY2026? - Operating expenses will continue to rise as investments are made in growth, with a focus on efficiency and driving top-line revenue [34]

Core Insights - Aware, Inc. has achieved FIDO Alliance Certification for its identity verification technology, highlighting its commitment to secure and equitable biometric solutions [1][5][10] - The certification was awarded after rigorous testing by BixeLab, ensuring the technology meets high standards for accuracy, security, and fairness [2][3][5] Company Overview - Aware, Inc. is a global leader in biometric identity and authentication solutions, focusing on transforming biometric data into actionable intelligence [12] - The company is headquartered in Burlington, Massachusetts, and is publicly traded on NASDAQ under the ticker AWRE [12] Technology and Performance - Aware's identity verification solution successfully met all FIDO performance criteria, achieving a 0% False Non-Match Rate (FNMR) and a 1.05% Spoof Accept Rate across over 1,000 attack attempts [3] - The technology is designed to detect sophisticated presentation attacks, including morphs, deepfakes, and masks, ensuring high levels of security [3][5] Industry Context - Face verification is increasingly essential in validating user identity in remote and hybrid environments, addressing rising concerns around identity theft and AI-generated attacks [4][5] - The FIDO Face Verification Certification allows biometric providers to validate "selfie-match" solutions against trusted identity documents, enhancing security and compliance [5][6] Future Outlook - The certification supports the broader mission of reducing reliance on passwords, promoting strong, user-friendly authentication methods [6][7] - Aware's technology is positioned to play a foundational role in the development of digital wallets and verifiable credential frameworks globally [8][9] Strategic Partnerships - Aware collaborates with FIDO and BixeLab to advance biometric technology, emphasizing transparency and innovation in the field [10][11] - The company is recognized for its leadership in developing technology that meets rigorous standards for performance and equity in biometric identity verification [11]