Aware | 10-Q: FY2025 Q3 Revenue: USD 5.129 M

Revenue: As of FY2025 Q3, the actual value is USD 5.129 M.

EPS: As of FY2025 Q3, the actual value is USD -0.05.

EBIT: As of FY2025 Q3, the actual value is USD -1.542 M.

Segment Revenue

• Software Licenses: Revenue increased 115% from $1.2 million in Q3 2024 to $2.5 million in Q3 2025. For the nine months ended September 30, 2025, revenue increased 2% to $5.3 million from $5.1 million in the same period in 2024.
• Software Maintenance: Revenue increased 5% from $2.3 million in Q3 2024 to $2.4 million in Q3 2025. For the nine months ended September 30, 2025, revenue increased 2% to $6.7 million from $6.6 million in the same period in 2024.
• Services and Other: Revenue decreased 45% from $0.4 million in Q3 2024 to $0.2 million in Q3 2025. For the nine months ended September 30, 2025, revenue decreased 27% to $0.6 million from $0.9 million in the same period in 2024.

Operational Metrics

• Operating Loss: For Q3 2025, the operating loss was $1.3 million, compared to $1.5 million in Q3 2024. For the nine months ended September 30, 2025, the operating loss was $5.1 million, compared to $4.1 million in the same period in 2024.
• Net Loss: For Q3 2025, the net loss was $1.053 million, compared to $1.167 million in Q3 2024. For the nine months ended September 30, 2025, the net loss was $4.417 million, compared to $3.239 million in the same period in 2024.

Cash Flow

• Operating Cash Flow: Net cash used in operating activities was - $6.444 million for the nine months ended September 30, 2025, compared to - $3.844 million in the same period in 2024.
• Investing Cash Flow: Net cash used in investing activities was - $0.154 million for the nine months ended September 30, 2025, compared to $5.040 million provided by investing activities in the same period in 2024.
• Financing Cash Flow: Net cash used in financing activities was - $0.082 million for the nine months ended September 30, 2025, compared to $0.025 million provided by financing activities in the same period in 2024.

Future Outlook and Strategy

• Core Business Focus: Aware, Inc. plans to continue focusing on its legacy government biometrics markets while expanding into new commercial biometrics markets. The company anticipates fluctuations in software license revenue due to the timing of projects with customers and partners.
• Non-Core Business: The company is investing in strategic product development initiatives and plans to increase engineering expenses to support these efforts. Additionally, there are plans to backfill the chief product officer position and make additional hires across the sales organization to support pipeline growth and capitalize on market opportunities.