Company: AWRE
Filing Date: 2025-05-02
Form Type: 10-Q
Source: 0000950170-25-062767
Chunk: 7

Company: AWARE INC /MA/
Filing Date: 2025-05-02
Form: 10-Q
Item: Item 2
Chunk 7
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 Chief Executive Officer and a member of our Board of Directors, would resign from these positions effective December 31, 2024. Following this announcement, we retained an executive search firm and conducted an extensive search for his successor. As a result of that process, on February 3, 2025, Ajay Amlani was appointed Chief Executive Officer and a member of our Board of Directors.

Summary of Financial Results

We use revenue and results of operations to summarize financial results as we believe these measurements are the most meaningful way to understand our operating performance.

Revenue and operating loss for the three months ended March 31, 2025 were $3.6 million and $1.9 million, respectively.  These results compared to revenue of $4.4 million and operating loss of $1.3 million for the three months ended March 31, 2024.  The decrease in revenue and operating loss in the current three month period was primarily due to a $0.8 million decrease in software license revenue.  The impact of the decrease in revenue on our operating loss was partially offset by $0.2 million decrease in operating expenses resulting from temporary cost reductions related to reduced headcount in the first quarter of 2025.

These and all other financial results are discussed in more detail in the results of operations section that follows.	

Results of Operations

Software licenses. Software licenses consist of revenue from the sale of biometrics and imaging software products. Sales of software products depend on our ability to win proposals to supply software for biometrics systems projects either directly to end user customers or indirectly through channel partners.