Aware, Inc. has issued its results for the first quarter of 2021, showing a “strong topline performance”, in the words of CEO Bob Eckel.
Revenues were up year-over-year, coming in at $4.4 million for the quarter ended March 31, 2021, compared to revenues of $3.5 million in the first quarter of 2020.
Aware has also shrunk its net loss sequentially. In the fourth quarter of 2020, Aware saw a net loss of $1.6 million, which came down to a net loss of $1.4 million in the most recent quarter. Its net loss for Q1 last year, however, amounted to just $1.1 million.
In any case, Aware’s transition to a subscription-based revenue model appears to be delivering some results. The company’s executives have stressed the importance of this long-term effort in recent corporate updates, and Aware is now reporting that subscription revenues are “already approaching FY2020 levels”.
For his part, Bob Eckel credited Aware’s Q1 performance to the company’s “continued success transforming our business to a more subscription and consumption-based model, as demonstrated by our 5x year-over-year increase in subscription revenue,” adding that Aware’s recent acquisition of AFIX and its partnership with Intercede were also important developments.
“Our new model enables us to deliver solutions at any scale—whether it’s for local law enforcement agencies or the largest financial institutions—and benefit from high margins, SaaS-like revenues and robust retention rates,” Eckel said.
Eckel also highlighted the ongoing success of Knomi, Aware’s mobile biometric onboarding solution, asserting that it processed a record number of transactions during the quarter. That’s helping to set Aware up for anticipated “material growth by the end of the year,” he said.
The update arrives about a month after Aware’s announcement of changes to the roster of its Board of Directors.
April 28, 2021 – by Alex Perala