Executive Summary

Q1 2025 revenue was $0.30M, up 50% QoQ and 89% YoY, while net loss was $4.34M and loss per share was $0.40; operating expenses rose to $4.67M as the company continued to invest in sales and R&D .
RPO decreased sequentially to $13.85M from $14.26M in Q4 2024, though remained well above $4.03M a year ago; management expects recognition over typical 3-year terms .
Bookings stalled: gross bARR was just $0.01M and net bARR was negative $0.13M due to delays in customer go-lives and volume ramping; leadership reiterated its 2025 bookings target of $18M despite Q1 softness .
Capital cushions: the company raised ~$8.15M in April and ~$2.1M in May via registered direct offerings, broadening its investor base and adding two advisors to an advisory board—potential catalysts as large enterprise and channel deals close .

What Went Well and What Went Wrong

What Went Well

Revenue grew to $0.30M (+$0.11M QoQ; +$0.14M YoY), reflecting implementation progress and early usage with signed contracts .
Strategic momentum: confirmed as selected vendor by a major identity fraud platform; signed a paid live production trial with a Global Fortune 100/500 retailer; advanced to final stages with a Global Fortune 500 biometric hardware partner for reusable, interoperable identity credentials .
CEO confidence on bookings: “I am confident that we will sign new customers and continue to drive significant growth towards our $18 million bookings target for 2025.” .

What Went Wrong

Bookings miss: Q1 gross bARR was $0.01M with net bARR negative $0.13M as customers delayed go-lives and volume ramp, compressing near-term bookings .
RPO fell sequentially to $13.85M (from $14.26M in Q4 2024), reflecting contract modifications and timing of go-lives; deferred revenue rose to $1.01M .
Expense-revenue mismatch: operating expenses ($4.67M) substantially exceeded revenue ($0.30M); CFO highlighted builds in sales and R&D headcount to support enterprise-scale implementations and pipeline conversion .

Financial Results

Metric	Q3 2024	Q4 2024	Q1 2025
Revenue ($USD Millions)	$0.25	$0.20	$0.30
Net Loss ($USD Millions)	$(3.36)	$(4.59)	$(4.34)
Loss per Share ($USD)	$(0.31)	$(0.49)	$(0.40)
Operating Expenses ($USD Millions)	$3.76	$4.89	$4.67
Adjusted EBITDA Loss (Non-GAAP) ($USD Millions)	$(2.87)	$(4.08)	$(3.89)

KPI	Q3 2024	Q4 2024	Q1 2025
Total RPO ($USD Millions)	$3.80	$14.26	$13.85
Deferred Revenue ($USD Millions)	$0.33	$0.22	$1.01
Additional non-cancellable ($USD Millions)	$3.50	$14.04	$12.84
ARR ($USD Millions)	$1.00	$0.80	$1.20
bARR – Gross ($USD Millions)	$1.15	$7.13	$0.01
bARR – cARR ($USD Millions)	$0.61	$3.68	$0.00
bARR – UAC ($USD Millions)	$0.54	$3.45	$0.01
bARR – Net ($USD Millions)	$0.00	$6.86	$(0.13)

Note: Adjusted EBITDA, ARR, bARR are non-GAAP measures; see company reconciliations and definitions in press releases/8-K exhibits .

No segment breakdown reported in company materials for the periods reviewed.

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance	Change
Bookings (Gross bARR)	FY 2025	$18.00M target (reiterated)	$18.00M target (reiterated)	Maintained
Revenue (GAAP)	FY 2024	$0.80–$0.90M (revised in Q3)	$0.89M reported in Q4	Finalized at high end
Year-end RPO	FY 2024	$13–$14M expected (raised in Q3)	$14.26M reported in Q4	Achieved above midpoint

Management indicated expectation for “substantial” revenue growth later in 2025 as 2024 bookings go live, but did not provide quantitative revenue guidance ranges for 2025 quarters .

Earnings Call Themes & Trends

Topic	Previous Mentions (Q3 2024 and Q4 2024)	Current Period (Q1 2025)	Trend
PrivacyKey and data privacy	Introduced PrivacyKey; first to offer biometric auth without storing biometrics; emphasized speed (700ms), accuracy (1-in-1B), compliance (BIPA/GDPR/CCPA)	Reaffirmed PrivacyKey as core differentiator; customers demanding privacy-preserving biometrics; management says “where we are winning”	Strengthening differentiation
ADIA reusable identity standard	Joined ADIA; building reusable identity solution with major hardware provider; planning US–Japan identity exchange demo	Final stages to embed authID into reusable identity solution for large enterprise workforces	Advancing towards commercialization
Partnerships/OEM channels	Zendesk integration; multiple OEM/reseller deals; largest $10M India AI partner	Channel ecosystem highlighted; onboarding, joint selling; timelines to bookings discussed in Q&A	Scaling partner go-to-market
Pipeline/bookings	Pipeline >$33M in Q3; 2024 bARR target $9M achieved	Q1 added $13M new pipeline; mid-Q2 at $8.5–$9M; 2025 bookings target $18M reaffirmed	Building; bookings timing pushed
Public sector	Early entry into public sector, interoperable digital credentials	Accelerating efforts; issuing interoperable credentials for government workforces	Expanding
India/regional expansion	$10M, 3-year India contract; APAC OEM reseller	Smart cities in South America and India via blockchain partner; Indian banking opportunities	Broadening regional footprint
Regulatory/legal	Compliance emphasis; non-storage mitigates liability	Continued emphasis; forward-looking risk factors include tariffs and macro	Ongoing focus
R&D/product execution	Liveness detection, speed and accuracy improvements; enterprise integration	Continued integration and SDKs; training partner sales orgs	Execution continuing

Management Commentary

CEO strategic message: “We have solidified our foundation to become a leader in the evolving and fast-growing biometric authentication market while making progress on our ambitious 2025 goals… confident that we will sign new customers and drive significant growth towards our $18 million bookings target for 2025.” .
PrivacyKey positioning: “We have now built this into our core product, making us among the first to offer biometric authentication without the need to store any biometrics… a 1:1 billion false match rate, the highest accuracy in the market today.” .
Pipeline and deal size: “FAT 100 deals are big deal sizes… at least $1 million and above and some $2 million to $3 million; maybe 4 or 5 [deals]… we have one potential deal that can cover the whole [$18M]” .
CFO on expenses and leverage: “Current expense rate is driven by investments… in headcount… sales and R&D… expecting the growth in revenue… to start to outpace the growth in our expenses” .
CFO on RPO and recognition: “As of March 31, 2025, our total RPO was $13.85M… We expect to recognize the full RPO… over… 3-year term” .

Q&A Highlights

Partnerships → bookings timing: Management outlined multi-step enablement and joint go-to-market with OEMs/fraud platforms; initial benefits already visible; onboarding over 100 banks via partner over first year was referenced .
Expense profile vs revenue: CFO detailed investment in sales/R&D to support large enterprise implementations; management expects revenue growth to begin outpacing expense growth through 2025 .
Bookings target math: To reach $18M, “maybe 4 or 5” large enterprise deals; one potential partnership could alone make the $18M number .
Demand pull for biometrics: Pipeline generation of $13M in Q1 and ~$9M mid-Q2 cited; privacy-preserving public/private key approach resonating with technical teams and financial institutions .

Estimates Context

S&P Global consensus: No published quarterly consensus estimates (EPS or revenue) available for AUID for Q1 2025; comparison to Street was therefore unavailable. Values retrieved from S&P Global.*

Key Takeaways for Investors

Near-term bookings softness but structural moat: Q1 bookings were minimal and net negative, yet product-market fit is strengthening via PrivacyKey and ADIA-aligned reusable identities—key to winning Fortune 500/OEM deals .
Watch RPO and go-lives: Sequential RPO dip suggests timing/concessions; deferred revenue grew. As 2024 contracts go live and volume ramps, GAAP revenue should accelerate in H2 2025 .
Capital runway: ~$10.25M gross raised in April–May supports execution and enterprise onboarding; advisory board additions may catalyze channel access and government relationships .
Concentration risk and timing: Management’s comment that one partner deal could cover the entire $18M target both highlights upside and dependence on a few large closures—monitor signatures and conversion .
KPI focus: Track ARR, bARR mix (cARR vs UAC), and deferred revenue; rising ARR and deferred revenue are leading indicators of ramp even when near-term bARR is light .
Trading implications: Shares may be sensitive to announcements of signed Fortune 500/OEM contracts and evidence of revenue conversion from RPO; conversely, further delays in go-lives could pressure sentiment .
Medium-term thesis: If authID converts enterprise and channel opportunities while maintaining privacy/accuracy leadership, recurring revenues can inflect with operating leverage as implementations mature—execution on H2 2025 go-live milestones is critical .

Footnote: *Values retrieved from S&P Global.

authID Inc. (AUID)·Q1 2025 Earnings Summary