Business
Digimarc Reports Fourth Quarter and Fiscal Year 2022 Financial Results
BEAVERTON, Ore.--(BUSINESS WIRE)-- Digimarc Corporation (NASDAQ: DMRC) reported financial results for the fourth quarter and fiscal year ended December 31,
About this update from Digimarc Corporation
[{"type":"text","content":" BEAVERTON, Ore.--(BUSINESS WIRE)--\nDigimarc Corporation (NASDAQ: DMRC) reported financial results for the fourth quarter and fiscal year ended December 31, 2022.\n\nFourth Quarter 2022 Financial Results\n\nSubscription revenue for the fourth quarter of 2022 increased 13% to $4.1 million compared to $3.6 million in the fourth quarter of 2021, primarily reflecting subscription revenue from new commercial contracts and the contribution of subscription revenue post acquisition from EVRYTHNG, partially offset by $1.0 million of revenue from the sale of 10 non-core patents in the fourth quarter of 2021, and $0.6 million of lower subscription revenue as a result of sunsetting our Piracy Intelligence product.\n\nService revenue for the fourth quarter of 2022 decreased 11% to $3.1 million compared to $3.5 million in the fourth quarter of 2021, primarily reflecting lower service revenue from HolyGrail 2.0 recycling projects, partially offset by the contribution of service revenue post acquisition from EVRYTHNG.\n\nTotal revenue for the fourth quarter of 2022 increased 1% to $7.2 million compared to $7.1 million in the fourth quarter of 2021.\n\nGross profit for the fourth quarter of 2022 was $3.8 million compared to $5.0 million in the fourth quarter of 2021, primarily reflecting $1.1 million of amortization expense recognized in the fourth quarter of 2022 on the developed technology intangible asset acquired in the EVRYTHNG acquisition.\n\nNon-GAAP gross profit for the fourth quarter of 2022 was $5.2 million compared to $5.3 million in the fourth quarter of 2021.\n\nOperating expenses for the fourth quarter of 2022 increased 30% to $17.1 million compared to $13.2 million in the fourth quarter of 2021, primarily reflecting $2.9 million of operating expenses from EVRYTHNG post acquisition, $1.2 million of higher compensation costs due to annual compensation adjustments and higher headcount, and $0.3 million in non-cash lease impairment charges, partially offset by a reduction in other expenses.\n\nNon-GAAP operating expenses for the fourth quarter of 2022 increased 38% to $14.3 million compared to $10.3 million in the fourth quarter of 2021.\n\nNet loss for the fourth quarter of 2022 was $12.4 million or $(0.62) loss per common share compared to $8.2 million or $(0.50) loss per common share in the fourth quarter of 2021.\n\nNon-GAAP net ...