Company: DMRC
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001437749-25-026996
Chunk: 32

Company: Digimarc CORP
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 8
Chunk 32
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 majority of software development contracts are structured as time and materials agreements. Revenue for services is generally recognized as the services are performed. Billing for services rendered generally occurs within one month after the services are provided. Service contracts can range from days to several years in length. Our contract with the Central Banks, which accounts for the majority of our service revenue, has a contract term through December 31, 2029. The contract is subject to work plans that are reviewed and agreed upon quarterly. The contract provides for predetermined billing rates, which are adjusted annually to account for cost of living variables, and provides for the reimbursement of third party costs incurred to support the work plans.

The $0.6 million decrease in service revenue for the three months ended June 30, 2025, compared to the corresponding three months ended June 30, 2024, primarily reflects $0.5 million of lower government service revenue from the Central Banks. 

The $0.7 million decrease in service revenue for the six months ended June 30, 2025, compared to the corresponding six months ended June 30, 2024, primarily reflects $1.1 million of lower government service revenue from the Central Banks, partially offset by $0.4 million of higher commercial service revenue from HolyGrail 2.0 recycling projects. 

Revenue by geography

      Three Months Ended June 30, 

      Dollar 

      Percent 

      Six Months Ended June 30, 

      Dollar 

      Percent 

      2025 

      2024 

      Increase/(Decrease) 

      Increase/(Decrease) 

      2025 

      2024 

      Increase/(Decrease) 

      Increase/(Decrease) 

      Revenue by geography: 

      Domestic 
      
     $
     2,327

     $
     3,471

     $
     (1,144
     )

     (33
     )%
      
     $
     4,473

     $
     6,345

     $
     (1,872
     )

     (30
     )%

      International 

     5,683

     6,908

     (1,225
     )

     (18
     )%

     12,905

     13,972

     (1,067
     )

     (8
     )%

      Total 
      
     $
     8,010