Gary Brode's questions to authID (AUID) leadership • Q3 2024
Question
Questioned the $9 million bARR guidance for the year, as his calculation suggested a much higher number based on recent contract announcements. He also asked for the reason behind the projected revenue decline in Q3 and Q4, given the existing and newly implemented customer base.
Answer
The CFO clarified the bARR calculation for the new $10 million RPO contract, explaining it translates to $6.6 million in bARR, which aligns with the $9 million year-end target when combined with year-to-date figures and pipeline expectations. The quarter-over-quarter revenue decline was attributed to contract concessions for customers with delayed go-lives, which extends the revenue recognition period and reduces the short-term run rate.