VerifyMe Reports Third Quarter 2024 Financial Results

Core Insights - VerifyMe, Inc. reported a quarterly revenue of $5.4 million for Q3 2024, a decrease from$5.6 million in Q3 2023, indicating a decline in overall sales performance [1][3][4] - The company experienced a net loss of $2.4 million in Q3 2024, which includes$1.8 million of one-time adjustments, compared to a net loss of $0.9 million in Q3 2023 [1][7] - Adjusted EBITDA remained stable at$0.2 million for both Q3 2024 and Q3 2023, marking the fifth consecutive quarter of positive adjusted EBITDA [2][8][9] Financial Performance - Revenue for Q3 2024 was $5.4 million, down by$0.2 million from Q3 2023, with the Precision Logistics segment accounting for 98% of total revenue [3][4] - Gross profit for Q3 2024 was $1.9 million, representing a gross margin of 35$2.0 million and a margin of 37% in Q3 2023 [1][5] - The operating loss increased to $2.9 million in Q3 2024, primarily due to$2.3 million in goodwill and intangible asset impairments in the Authentication segment [6][7] Strategic Decisions - The CEO announced a strategic shift to discontinue the codes portion of the Authentication Segment, redirecting investments towards Precision Logistics and other growth opportunities [2][9] - The company is optimistic about the growth potential in its Proactive services within the Precision Logistics segment, which saw a 9% revenue increase compared to Q3 2023 [4][5] Cash Position - As of September 30, 2024, VerifyMe had a cash balance of $2.6 million and$2.1 million in working capital, indicating a stable liquidity position [9][10]