authID (AUID)2024-08-11 07:13Financial Data and Key Metrics Changes - Total revenue for Q2 2024 was $0.28 million, a 75% increase from $0.16 million in Q1 2024 and compared to $0.04 million a year ago [23][20] - For the six months ended June 30, 2024, total revenue was $0.44 million, up from $0.07 million in the same period last year [23] - Net loss for Q2 2024 was $3.3 million, significantly improved from a net loss of $10.9 million a year ago [24] - Adjusted EBITDA loss was $2.5 million for Q2 2024, compared to a loss of $1.7 million for the same period last year [28] Business Line Data and Key Metrics Changes - The company signed six new committed partners in Q2 2024, expanding its sales reach significantly [8] - The sales pipeline grew to over $25 million, a 20% increase from $21 million in Q1 2024 [20][21] - Booked Annual Recurring Revenue (BARR) in Q2 was over $630,000, approximately triple the amount from Q2 2023 [21] Market Data and Key Metrics Changes - The Remaining Performance Obligation (RPO) as of June 30, 2024, was $4.24 million, an increase from approximately $0.4 million a year ago [25][26] - The current pipeline includes 71 opportunities valued at over $100,000 and 12 deals valued at over $500,000 [21] Company Strategy and Development Direction - The company focuses on enhancing its biometric authentication technology, emphasizing speed, accuracy, and privacy [10][13] - A new biometric privacy option was introduced, allowing facial images to be converted into a public-private key pair, eliminating the need to store biometric data [15][16] - The company aims to achieve $9 million in BARR for 2024, representing a 3x year-over-year growth [33] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to deliver on its mission to eliminate authentication fraud and achieve growth targets [22][34] - The urgency for biometric solutions is driven by the increasing threat of AI-generated attacks, which is a key focus for the company [19] Other Important Information - The company raised approximately $10 million in a fund raise in June 2024, which will be used to expand sales and partnerships [27] - The company has improved its balance sheet and continues to post strong metrics reflecting growth [34] Q&A Session Summary Question: How does the company plan to convert the $25 million pipeline into $9 million in bookings? - The company categorizes deals into three buckets: Fast 100, strategic large enterprise accounts (FAT 100), and channel partner deals, with expectations for bookings to materialize in the second half of the year [36][39] Question: What is the activity level for existing customers? - Existing customers are ramping up significantly, with new onboardings converting into monthly active users [44] Question: What are the biggest challenges currently faced by the company? - The challenge lies in balancing the development of additional capabilities requested by FAT 100 accounts while ensuring customer retention [48] Question: Will the recent accuracy improvements lead to increased activity? - The company has received interest from key customers regarding the new accuracy capabilities, and plans to market these advancements soon [50] Question: What is the strategy for channel partners moving forward? - The company emphasizes a mutual business plan with channel partners to ensure profitability and commitment, differentiating its approach from past experiences [56]