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

Company: Digimarc CORP
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 8
Chunk 10
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 assets” and “other assets” in the Consolidated Balance Sheets. These contract acquisition costs are recognized in proportion to the revenue recognized from the contract they are associated with.
    
   The following table provides information about contract assets:

       June 30,    December 31,  
   2025    2024  
 Contract acquisition costs, current  $104  $38 
 Contract acquisition costs, long-term   225   — 
 Total  $329  $38 

   The Company has contract liabilities from contracts with customers that are classified as “deferred revenue” in the Consolidated Balance Sheets. Deferred revenue consists of billings in advance for subscriptions and services for which the performance obligation has not been satisfied.
    
   The following table provides information about contract liabilities:

       June 30,    December 31,  
   2025    2024  
 Deferred revenue, current  $3,951  $4,020 
 Deferred revenue, long-term   —   2 
 Total  $3,951  $4,022 

   The Company recognized $3,716 of revenue during the six months ended  June 30, 2025, that was included in the contract liability balance as of  December 31, 2024.
    
   The aggregate amount of the transaction prices from contractual obligations that are unsatisfied or partially unsatisfied was $25,125 and $25,215 as of  June 30, 2025, and  December 31, 2024, respectively. As of  June 30, 2025, the Company expects $21,303 of the $25,125 to be recognized as revenue during the next twelve months.

       9

        DIGIMARC CORPORATION

        NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)

        (In thousands, except per share data)

        (UNAUDITED)

   4. Segment Information
    
   Significant Segment Expenses
    
   The Company derives its revenue from a single reporting segment: product digitization solutions. Revenue is generated in this segment primarily through software subscriptions and software development services. The Company manages its business activities on a consolidated basis. In addition, the Chief Executive Officer of the Company, as the chief operating decision-maker (“CODM”), reviews the Company’s operating results and makes decisions to allocate resources