Intellicheck Announces First Quarter 2022 Financials

Total Revenues Grew 19% as Compared to the Same Period In 2021

MELVILLE, NY – June 13, 2022 - Intellicheck, Inc. (Nasdaq: IDN), an industry-leading identity company delivering on-demand digital and physical identity validation solutions, today announced its financial results for the first quarter ended March 31, 2022. Total revenue for the first quarter ended March 31, 2022 grew 19% to $3,395,000 compared to $2,863,000 in the same period of 2021. Quarter-over- Quarter SaaS revenue grew 21% and totaled $3,353,000 compared to $2,776,000 in the same period of 2021.

“The growth that we experienced during the quarter shows that our clients continue to find new uses for our products and demonstrates that we continue to expand in our core markets and are successfully entering new markets. At the same time, we have continued to advance our strategic priorities to achieve our longer-term growth objectives. The investments we have made in technology and operations are yielding results in serving our market growth and expansion and our clients well,” said Intellicheck CEO Bryan Lewis.

Gross profit as a percentage of revenues was 90.7% for the three months ended March 31, 2022 compared to 92.3% in the same period in 2021. The decrease in gross profit percentage was driven by higher cost of revenue related to higher cloud services costs and other web-based support.

Operating expenses for the three months ended March 31, 2022, which consist of selling, general and administrative expenses, marketing, and research and development expenses were $4,547,000 for the first quarter of 2022 compared to $7,281,000 for the same period of 2021. Included within operating expenses for the first quarters of 2022 and 2021 were $592,000 and $4,545,000, respectively, of non- cash equity compensation expense. On a non-GAAP basis, excluding the impact of non-cash compensation expense in both periods, operating expenses increased $1,219,000, or 45%. This increase was driven by higher professional services and marketing expenses.

Net loss for the three months ended March 31, 2022 was ($1,468,000) or ($0.08) per diluted share compared to Net loss of ($4,624,000) or ($0.25) per diluted share for the same period in 2021.

Adjusted EBITDA (earnings before gains on debt forgiveness, other income, income taxes, depreciation, amortization, equity compensation expense, as well as liability classified awards) was ($806,000) for the first quarter of 2022 as compared to ($51,000) for the same period of 2021. A reconciliation of adjusted EBITDA to net loss is provided in this release.

As of March 31, 2022, Cash totaled $11.1 million, and stockholders’ equity totaled $18.9 million.

The financial results reported today do not consider any adjustments that may be required in connection with the completion of the Company’s review process and should be considered preliminary until Intellicheck files its Form 10-Q for the three months ended March 31, 2022.

Conference Call Information

The Company will hold an earnings conference call on June 13th at 4:30 p.m. ET/1:30 p.m. PT to discuss operating results. To listen to the earnings conference call, please dial 877-407-8037. For callers outside the U.S., please dial 201-689-8037.

A replay of the conference call will be available shortly after completion of the live event. To listen to the replay, please dial 877-660-6853 and use conference identification number 13730249. For callers outside the U.S., please dial 201-612-7415 and use conference identification number 13730249. The replay will be available beginning approximately two hours after the completion of the live event and will remain available until June 20, 2022.