Business
VerifyMe Reports Second Quarter 2025 Financial Results
VerifyMe, Inc. (NASDAQ: VRME) ("VerifyMe," "we," "our," or the "Company") provides brand owners time and temperature sensitive logistics, and brand protection and enhancement solutions, announced today the Company's financial results for its second quarter ended June 30, 2025 ("Q2 2025").
About this update from Verifyme, Inc.
LAKE MARY, Fla., Aug. 13, 2025 /PRNewswire/ -- VerifyMe, Inc. (NASDAQ: VRME) ("VerifyMe," "we," "our," or the "Company") provides brand owners time and temperature sensitive logistics, and brand protection and enhancement solutions, announced today the Company's financial results for its second quarter ended June 30, 2025 ("Q2 2025"). Adam Stedham, VerifyMe's CEO and President stated, "We are pleased with our year-to-date adjusted EBITDA growth over 2024, our positive cash generation in Q2 2025, and our new partnership with the other major parcel carrier in the US. We continue to look for strategic acquisitions to complement our services. In the meantime, we are setting the stage for organic revenue growth in 2026, accompanied by a higher margin profile and continued cash generation." Key Financial Highlights for Q2 2025: Financial Results for the Three Months Ended June 30, 2025: Revenue in Q2 2025 was $4.5 million, compared to $5.4 million in Q2 2024. Revenue for the quarter decreased by $0.9 million. The decrease is primarily due to a $0.6 million decrease from a discontinued contract with one customer in our Premium services, a $0.5 million decrease related to discontinued services to two customers in our Proactive services, partially offset by increased revenues from new and existing customers in the Precision Logistics segment. The decrease in revenue in our Authentication segment is primarily due to the divestiture of our Trust Codes Global business in December 2024. Gross profit in Q2 2025 was $1.6 million, compared to $2.1 million in Q2 2024. The resulting gross margin percentage was 35% for the three months ended June 30, 2025, compared to 39% for the three months ended June 30, 2024. The decrease in gross margin was principally due to the discontinued contract in Premium services in the Precision Logistics segment which has higher margins. The Proactive services gross margin percentage improved in Q2 2025 compared to Q2 2024. Operating loss was ($0.3) million in Q2 2025, compared to ($0.5) million in Q2 2024. The decrease in gross profit was more than offset by the decrease in operating expenses in the quarter. In addition to the reduction in operating costs with the divestiture of Trust Codes, the Company also implemented cost cutting measures in Precision Logistics. Our net l...