Intellicheck Announces Record First Quarter 2023 Financials

Total Revenues Grew 25% Year Over Year
SaaS Revenues Grew 26% Year Over Year

MELVILLE, NY – May 9, 2023 - 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, 2023. Total revenue for the first quarter ended March 31, 2023 grew 25% to $4,254,000 compared to $3,395,000 in the same period of 2022. SaaS revenue grew 26% and totaled $4,228,000 compared to $3,352,000 in the same period of 2022.

“Market diversification continues to be an important part of our focus this year and will continue to be an integral part of our growth strategy going forward as businesses ranging from title companies to financial services operations recognize the impact of our industry leading technology solutions in securing more strong lifetime customers. Intellicheck has proven to be instrumental to client users who enjoy the benefits associated with simple to deploy and easy to use technology solutions that deliver better experiences across all channels with more accuracy, advanced decisioning, and greater than a 99% completion rate, distinguishing distinguishes our product offerings from our competitors. Our client users also value expedited onboarding with fewer steps to complete the onboarding process providing their clients with a seamless and engaging experience rather than one that makes potential good clients jump through onerous hoops,” said Intellicheck CEO Bryan Lewis.

Gross profit as a percentage of revenues improved to 92.2% for the three months ended March 31, 2023 compared to 90.7% in the same period in 2022.

Operating expenses for the three months ended March 31, 2023, which consist of selling, general and administrative expenses and research and development expenses, increased 15% to $5,232,000 for the first quarter of 2023 compared to $4,547,000 for the same period of 2022. Included within operating expenses for the first quarters of 2023 and 2022 were $682,000 and $592,000, respectively, of non-cash equity compensation expense.

Net loss for the three months ended March 31, 2023 improved to ($1,316,000) or ($0.07) per diluted share compared to Net loss of ($1,468,000) or ($0.08) per diluted share for the same period in 2022.

Adjusted EBITDA (earnings before gains on debt forgiveness, interest and other income, provision for income taxes, depreciation, amortization, stock-based compensation expense and certain non- recurring charges) improved to $(558,000) for the first quarter of 2023 as compared to ($807,000) for the same period of 2022. A reconciliation of adjusted EBITDA to net loss is provided in this release.

As of March 31, 2023, the Company had cash and short-term investments in the form of U.S. Treasuries that totaled $10.2 million, and stockholders’ equity totaled $17.8 million.

The unaudited 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, 2023.

Conference Call Information

The Company will hold an earnings conference call on May 9 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 13734992. For callers outside the U.S., please dial 201-612-7415 and use conference identification number 13734992. The replay will be available beginning approximately three hours after the completion of the live event and will remain available until May 16, 2023