Brand authentication firm VerifyMe beats Q3 revenue estimates

Reuters
2025.11.17 13:08
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VerifyMe's Q3 2025 revenue exceeded analyst expectations despite a year-over-year decline. The company reported a net loss of $3.4 million due to $3.9 million in one-time adjustments, while adjusted EBITDA improved to $0.8 million. Gross margin increased to 41% from 35%. VerifyMe aims for organic revenue growth in 2026 and is exploring strategic acquisitions. Analysts rate the stock as a "strong buy," with a 12-month price target of $1.50, 46.7% above its recent closing price.

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Overview

  • VerifyMe Q3 2025 revenue beats analyst expectations despite a year-over-year decline
  • Company reports net loss of $3.4 mln due to $3.9 mln in one-time adjustments
  • Adjusted EBITDA improved to $0.8 mln in Q3 2025 from $0.2 mln in Q3 2024

Outlook

  • Company aims for organic revenue growth in 2026 with higher margins
  • VerifyMe exploring strategic acquisitions to complement services

Result Drivers

  • REVENUE DECLINE - Revenue decreased due to $0.8 mln loss from discontinued Proactive services customers, partially offset by growth in Precision Logistics
  • GROSS MARGIN IMPROVEMENT - Gross margin rose to 41% from 35% due to decreased costs in Precision Logistics
  • NET LOSS INCREASE - Net loss driven by $3.9 mln goodwill and intangible asset impairments in Precision Logistics

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Beat $5 mln $4.70

Revenue mln (2

Analysts

)

Q3 Net -$3.40

Income mln

Q3 $800,000

Adjusted

EBITDA

Q3 Gross 41.00%

Margin

Q3 Gross $2.10

Profit mln

Q3 -$3.40

Operatin mln

g Income

Analyst Coverage

  • The current average analyst rating on the shares is “strong buy” and the breakdown of recommendations is 2 “strong buy” or “buy”, no “hold” and no “sell” or “strong sell”
  • The average consensus recommendation for the software peer group is “buy.”
  • Wall Street’s median 12-month price target for VerifyMe Inc is $1.50, about 46.7% above its November 14 closing price of $0.80

Press Release: For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact . (This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)