Document And Entity Information
Document And Entity Information - shares | 3 Months Ended | |
Mar. 31, 2024 | Jun. 12, 2024 | |
Document Information [Line Items] | ||
Entity Central Index Key | 0001019034 | |
Entity Registrant Name | BIO KEY INTERNATIONAL INC | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Period Focus | Q1 | |
Document Fiscal Year Focus | 2024 | |
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2024 | |
Document Transition Report | false | |
Entity File Number | 1-13463 | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 41-1741861 | |
Entity Address, Address Line One | 101 CRAWFORDS CORNER ROAD, SUITE 4116 | |
Entity Address, City or Town | HOLMDEL | |
Entity Address, State or Province | NJ | |
Entity Address, Postal Zip Code | 07733 | |
City Area Code | 732 | |
Local Phone Number | 359-1100 | |
Title of 12(b) Security | Common Stock, par value $0.0001 per share | |
Trading Symbol | BKYI | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 1,814,228 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Current Period Unaudited) - USD ($) | Mar. 31, 2024 | Dec. 31, 2023 |
ASSETS | ||
Cash and cash equivalents | $ 690,449 | $ 511,400 |
Accounts receivable, net | 701,776 | 1,201,526 |
Due from factor | 8,250 | 99,320 |
Inventory | 440,194 | 445,740 |
Prepaid expenses and other | 427,685 | 364,171 |
Total current assets | 2,268,354 | 2,622,157 |
Equipment and leasehold improvements, net | 198,238 | 220,177 |
Capitalized contract costs, net | 349,145 | 229,806 |
Operating lease right-of-use assets | 23,220 | 36,905 |
Intangible assets, net | 1,329,985 | 1,407,990 |
Total non-current assets | 1,900,588 | 1,894,878 |
TOTAL ASSETS | 4,168,942 | 4,517,035 |
LIABILITIES | ||
Accounts payable | 1,212,071 | 1,316,014 |
Accrued liabilities | 1,189,520 | 1,305,848 |
Government loan – BBVA Bank, current portion | 135,835 | 138,730 |
Deferred revenue, current | 755,405 | 414,968 |
Operating lease liabilities, current portion | 23,797 | 37,829 |
Total current liabilities | 3,316,628 | 3,213,389 |
Deferred revenue, long term | 143,727 | 28,296 |
Deferred tax liability | 22,998 | 22,998 |
Government loan – BBVA Bank – net of current portion | 149,861 | 188,787 |
Total non-current liabilities | 316,586 | 240,081 |
TOTAL LIABILITIES | 3,633,214 | 3,453,470 |
Commitments and Contingencies | ||
STOCKHOLDERS’ EQUITY | ||
Common stock — authorized, 170,000,000 shares; issued and outstanding; 1,814,414 and 1,032,777 of $.0001 par value at March 31, 2024 and December 31, 2023, respectively | 181 | 103 |
Additional paid-in capital | 126,092,496 | 126,047,851 |
Accumulated other comprehensive loss | (39,454) | 22,821 |
Accumulated deficit | (125,517,495) | (125,007,210) |
TOTAL STOCKHOLDERS’ EQUITY | 535,728 | 1,063,565 |
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | $ 4,168,942 | $ 4,517,035 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - $ / shares | Mar. 31, 2024 | Dec. 31, 2023 |
Common stock, shares authorized (in shares) | 170,000,000 | 170,000,000 |
Common stock, shares issued (in shares) | 1,814,414 | 1,032,777 |
Common stock, shares outstanding (in shares) | 1,814,414 | 1,032,777 |
Common stock, par value (in dollars per share) | $ 0.0001 | $ 0.0001 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations and Comprehensive Loss (Unaudited) - USD ($) | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Revenues | ||
Revenues | $ 2,181,203 | $ 2,183,767 |
Costs and other expenses | ||
Costs and other expenses | 299,643 | 1,320,274 |
Gross profit | 1,881,560 | 863,493 |
Operating Expenses | ||
Selling, general and administrative | 1,782,973 | 1,931,732 |
Research, development and engineering | 607,521 | 690,159 |
Total Operating Expenses | 2,390,494 | 2,621,891 |
Operating loss | (508,934) | (1,758,398) |
Other income (expense) | ||
Interest income | 5 | 4 |
Loss on foreign currency transactions | 0 | (15,000) |
Change in fair value of convertible note | 0 | (141,991) |
Change in fair value of convertible note | 0 | 141,991 |
Interest expense | (1,356) | (56,919) |
Total other income (expense), net | (1,351) | 70,076 |
Loss before provision for income tax | (510,285) | (1,688,322) |
Provision for (income tax) tax benefit | 0 | 0 |
Net loss | (510,285) | (1,688,322) |
Comprehensive loss: | ||
Net loss | (510,285) | (1,688,322) |
Other comprehensive income (loss) – Foreign currency translation adjustment | (62,275) | 72,146 |
Comprehensive loss | $ (572,560) | $ (1,616,176) |
Basic and Diluted Loss per Common Share (in dollars per share) | $ (0.32) | $ (3.51) |
Weighted Average Common Shares Outstanding: | ||
Basic and diluted (in shares) | 1,615,323 | 480,833 |
Service [Member] | ||
Revenues | ||
Revenues | $ 213,122 | $ 532,522 |
Costs and other expenses | ||
Costs and other expenses | 138,849 | 154,801 |
License [Member] | ||
Revenues | ||
Revenues | 1,950,434 | 1,578,556 |
Costs and other expenses | ||
Costs and other expenses | 148,221 | 620,881 |
Hardware [Member] | ||
Revenues | ||
Revenues | 17,647 | 72,689 |
Costs and other expenses | ||
Costs and other expenses | 12,573 | 44,592 |
Hardware Reserve [Member] | ||
Costs and other expenses | ||
Costs and other expenses | $ 0 | $ 500,000 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($) | Common Stock [Member] | Additional Paid-in Capital [Member] | AOCI Attributable to Parent [Member] | Retained Earnings [Member] | Total |
Balance (in shares) at Dec. 31, 2022 | 552,739 | ||||
Balance at Dec. 31, 2022 | $ 55 | $ 122,029,476 | $ (242,602) | $ (116,485,373) | $ 5,301,556 |
Issuance of common stock for directors’ fees (in shares) | 855 | ||||
Issuance of common stock for directors’ fees | $ 0 | 12,002 | 0 | 12,002 | |
Issuance of common stock to employees | $ 0 | 4 | 0 | 0 | 4 |
Restricted stock forfeited (in shares) | (1,102) | ||||
Restricted stock forfeited | $ 0 | 3,105 | 0 | 0 | 3,105 |
Other comprehensive income (loss) – Foreign currency translation adjustment | 0 | 0 | 72,146 | 0 | 72,146 |
Share-based compensation | 0 | 62,474 | 0 | 0 | 62,474 |
Net loss | $ 0 | 0 | 0 | (1,688,322) | (1,688,322) |
Issuance of common stock to employees (in shares) | 2,222 | ||||
Restricted stock forfeited | $ 0 | (3,105) | 0 | 0 | (3,105) |
Balance (in shares) at Mar. 31, 2023 | 554,714 | ||||
Balance at Mar. 31, 2023 | $ 55 | 122,100,851 | (170,456) | (118,173,695) | 3,756,755 |
Balance (in shares) at Dec. 31, 2023 | 1,032,777 | ||||
Balance at Dec. 31, 2023 | $ 103 | 126,047,851 | 22,821 | (125,007,210) | 1,063,565 |
Issuance of common stock for directors’ fees (in shares) | 4,287 | ||||
Issuance of common stock for directors’ fees | $ 0 | 9,003 | 0 | 9,003 | |
Issuance of common stock to employees | $ 0 | 0 | 0 | 0 | 0 |
Restricted stock forfeited (in shares) | (316) | ||||
Restricted stock forfeited | $ 0 | 0 | 0 | 0 | 0 |
Exercise of warrants (in shares) | 777,666 | ||||
Exercise of warrants | $ 78 | 1,322 | 0 | 0 | 1,400 |
Other comprehensive income (loss) – Foreign currency translation adjustment | 0 | (62,275) | 0 | (62,275) | |
Share-based compensation | 0 | 47,790 | 0 | 0 | 47,790 |
Issuance costs | 0 | (13,470) | 0 | 0 | (13,470) |
Net loss | 0 | 0 | 0 | (510,285) | (510,285) |
Restricted stock forfeited | $ 0 | 0 | 0 | 0 | 0 |
Balance (in shares) at Mar. 31, 2024 | 1,814,414 | ||||
Balance at Mar. 31, 2024 | $ 181 | $ 126,092,496 | $ (39,454) | $ (125,517,495) | $ 535,728 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
CASH FLOW FROM OPERATING ACTIVITIES: | ||
Net loss | $ (510,285) | $ (1,688,322) |
Adjustments to reconcile net loss to net cash used for operating activities: | ||
Depreciation | 23,808 | 13,242 |
Amortization of intangible assets | 78,005 | 81,237 |
Change in fair value of convertible note | 0 | (141,991) |
Amortization of capitalized contract costs | 38,665 | 37,529 |
Reserve for inventory | 0 | 500,000 |
Operating leases right-of-use assets | 13,686 | 66,132 |
Share and warrant-based compensation for employees and consultants | 47,790 | 59,373 |
Stock based directors’ fees | 9,003 | 12,002 |
Bad debts | 100,000 | 0 |
Change in assets and liabilities: | ||
Accounts receivable | 399,749 | (898,881) |
Due from factor | 91,070 | (33,000) |
Capitalized contract costs | (158,005) | (8,739) |
Inventory | 5,545 | 6,554 |
Prepaid expenses and other | (63,513) | 2,219 |
Accounts payable | (116,012) | 88,040 |
Accrued liabilities | (104,257) | (135,417) |
Deferred revenue | 455,868 | 178,755 |
Operating lease liabilities | (14,033) | (67,544) |
Net cash provided by (used in) operating activities | 297,084 | (1,928,811) |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Capital expenditures | (1,869) | 0 |
Net cash used in investing activities | (1,869) | 0 |
CASH FLOW FROM FINANCING ACTIVITIES: | ||
Offering costs | (13,470) | 0 |
Proceeds for exercise of warrants | 1,400 | 0 |
Repayment of government loan | (41,821) | (34,289) |
Net cash used in financing activities | (53,891) | (34,289) |
Effect of exchange rate changes | (62,275) | 49,913 |
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | 179,049 | (1,913,187) |
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD | 511,400 | 2,635,522 |
CASH AND CASH EQUIVALENTS, END OF PERIOD | 690,449 | 722,335 |
Cash paid for: | ||
Interest | $ 1,356 | $ 56,919 |
Note 1 - Nature of Business and
Note 1 - Nature of Business and Basis of Presentation | 3 Months Ended |
Mar. 31, 2024 | |
Notes to Financial Statements | |
Business Description and Accounting Policies [Text Block] | 1. NATURE OF BUSINESS AND BASIS OF PRESENTATION Nature of Business The Company, founded in 1993, Basis of Presentation The accompanying unaudited interim condensed consolidated financial statements include the accounts of BIO-key International, Inc. and its wholly-owned subsidiaries (collectively, the “Company” or “BIO-key”) and are stated in conformity with accounting principles generally accepted in the United States of America (“GAAP”), pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). The operating results for interim periods are not may In the opinion of management, the accompanying unaudited interim consolidated financial statements contain all necessary adjustments, consisting only of those of a recurring nature, and disclosures to present fairly the Company’s financial position and the results of its operations and cash flows for the periods presented. The balance sheet at March 31, 2024 not 10 December 31, 2023 May 31, 2024. Foreign Currencies The Company accounts for foreign currency transactions pursuant to ASC 830, Foreign Currency Matters 830” 830, Recently Issued Accounting Pronouncements Effective January 1, 2023, 2016 13, Financial Instruments-Credit Losses 326 2016 13, not 2016 13 2016 13 no not may not 2016 13. 2016 13 In August 2020, 2020 06, Debt with Conversion and Other Options (Subtopic 470 20 s Own Equity (Subtopic 815 40 2020 06” 2020 06 2020 06 2020 06 January 1, 2024 2016 13 not Management does not not |
Note 2 - Going Concern
Note 2 - Going Concern | 3 Months Ended |
Mar. 31, 2024 | |
Notes to Financial Statements | |
Substantial Doubt about Going Concern [Text Block] | 2. GOING CONCERN The accompanying financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America ("GAAP"), which contemplate continuation of the Company as a going concern, and assumes continuity of operations, realization of assets and the satisfaction of liabilities and commitments in the normal course of business. The Company has suffered substantial net losses and negative cash flows from operations in recent years and is dependent on debt and equity financing to fund its operations all of which raise substantial doubt about the Company’s ability to continue as a going concern. Recoverability of a major portion of the recorded asset amounts shown in the accompanying balance sheet is dependent upon the Company’s ability to increase its revenue and meet its financing requirements on a continuing basis and become profitable in its future operations. The accompanying consolidated financial statements do not As of the date of this report, the Company does not twelve |
Note 3 - Revenue From Contracts
Note 3 - Revenue From Contracts With Customers | 3 Months Ended |
Mar. 31, 2024 | |
Notes to Financial Statements | |
Revenue from Contract with Customer [Text Block] | 3. REVENUE FROM CONTRACTS WITH CUSTOMERS Disaggregation of Revenue The following table summarizes revenue from contracts with customers for the three March 31, 2024 March 31, 2023 North March 31, America Africa EMESA* Asia 2024 License fees $ 519,244 $ 1,266,553 $ 164,637 $ - $ 1,950,434 Hardware 17,408 - 239 - 17,647 Services 191,481 20,254 1,387 - 213,122 Total Revenues $ 728,133 $ 1,286,807 $ 166,263 $ - $ 2,181,203 North March 31, America Africa EMESA* Asia 2023 License fees $ 408,530 $ 552,630 $ 546,746 $ 70,650 $ 1,578,556 Hardware 24,781 - 47,008 900 72,689 Services 263,858 23,787 239,927 4,950 532,522 Total Revenues $ 697,169 $ 576,417 $ 833,681 $ 76,500 $ 2,183,767 *EMESA – Europe, Middle East, South America Deferred Revenue Deferred revenue includes customer advances and amounts that have been paid by customer for which the contractual maintenance terms have not 12 March 31, 2024 December 31, 2023 three March 31, 2024 March 31, 2023 not |
Note 4 - Accounts Receivable
Note 4 - Accounts Receivable | 3 Months Ended |
Mar. 31, 2024 | |
Notes to Financial Statements | |
Loans, Notes, Trade and Other Receivables Disclosure [Text Block] | 4. ACCOUNTS RECEIVABLE Accounts receivable are carried at original amount less an estimate made for credit losses based on a review of all outstanding amounts on a monthly basis. Management determines the allowance for credit losses by regularly evaluating individual customer receivables and considering a customer’s financial condition, credit history, current economic conditions and other relevant factors, including specific reserves for certain accounts. Accounts receivable are written off when deemed uncollectible. Accounts receivable at March 31, 2024 December 31, 2023 March 31, December 31, 2024 2023 Accounts receivable $ 1,607,561 $ 2,207,311 Allowance for credit losses (905,785 ) (1,005,785 ) Accounts receivable, net of allowances for credit losses $ 701,776 $ 1,201,526 Bad debt expenses are recorded in selling, general, and administrative expense. |
Note 5 - Share Based Compensati
Note 5 - Share Based Compensation | 3 Months Ended |
Mar. 31, 2024 | |
Notes to Financial Statements | |
Share-Based Payment Arrangement [Text Block] | 5. SHARE BASED COMPENSATION The following table presents share-based compensation expenses included in the Company’s unaudited condensed interim consolidated statements of operations: Three Months Ended March 31, 2024 2023 Selling, general and administrative $ 47,642 $ 55,453 Research, development and engineering 9,151 15,922 $ 56,793 $ 71,375 |
Note 6 - Inventory
Note 6 - Inventory | 3 Months Ended |
Mar. 31, 2024 | |
Notes to Financial Statements | |
Inventory Disclosure [Text Block] | 6. INVENTORY Inventory is stated at the lower of cost, determined on a first first March 31, 2024 December 31, 2023: March 31, December 31, 2024 2023 Finished goods $ 4,367,510 $ 4,373,056 Fabricated assemblies 59,184 59,184 Reserve on finished goods (3,986,500 ) (3,986,500 ) Total inventory $ 440,194 $ 445,740 |
Note 7 - Commitments and Contin
Note 7 - Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2024 | |
Notes to Financial Statements | |
Commitments Disclosure [Text Block] | 7. COMMITMENTS AND CONTINGENCIES Distribution Agreement Swivel Secure has a distribution agreement with Swivel Secure Limited (“SSL”). Terms of the agreement include the following: 1. The initial term of the agreement ends on January 31, 2027 one not 30 not 2. SSL appoints Swivel Secure as the exclusive distributor of SSL’s products, to market, sell and distribute in the EMEA (Europe, Middle East and Africa), excluding the United Kingdom and Republic of Ireland, for a defined discount on the sale price. 3. Swivel Secure is expected to generate a certain minimum level of orders of SSL products each year during the term of the agreement. If Swivel Secure fails to meet such minimum level of orders in any year, the exclusive distribution rights will terminate and Swivel Secure will serve as a non-exclusive distributer of SSL Products. The Company expects the revenue targets to continue to be met based on historical performance and increasing distribution by Swivel Secure. Litigation From time to time, the Company may March 31, 2024 not |
Note 8 - Leases
Note 8 - Leases | 3 Months Ended |
Mar. 31, 2024 | |
Notes to Financial Statements | |
Lessee, Operating Leases [Text Block] | 8. LEASES The Company’s leases office space in New Jersey, Minnesota, New Hampshire, Madrid and Hong-Kong with lease termination dates in 2024. August 11, 2023, one September 1, 2023 3 Months ended 3 Months ended March 31, March 31, 2024 2023 Lease cost Total lease cost $ 14,553 $ 63,973 March 31, December 31, Balance sheet information 2024 2023 Operating right-of-use assets $ 23,220 $ 36,905 Operating lease liabilities, current portion $ 23,797 $ 37,829 Operating lease liabilities, non-current portion - - Total operating lease liabilities $ 23,797 $ 37,829 Weighted average remaining lease term (in years) – operating leases 0.42 0.67 Weighted average discount rate – operating leases 5.50 % 5.50 % Cash paid for amounts included in the measurement of operating lease liabilities for the three months ended March 31, 2024 and 2023: $ 22,613 $ 69,821 Maturities of operating lease liabilities were as follows as of March 31, 2024 2024 (5 months remaining) $ 24,255 2025 - Total future lease payments $ 24,255 Less: imputed interest (458 ) Total $ 23,797 |
Note 9 - Convertible Note Payab
Note 9 - Convertible Note Payable | 3 Months Ended |
Mar. 31, 2024 | |
Notes to Financial Statements | |
Debt Disclosure [Text Block] | 9. CONVERTIBLE NOTE PAYABLE Securities Purchase Agreement dated December 22, 2022 On December 22, 2022, The principal amount of the Note was due six one six six seven In connection with the issuance of the Note, the Company issued to the investor 38,889 shares of Common Stock (the “Commitment Shares”) valued at $18.00 per share and a warrant (the “Warrant”) to purchase 11,112 shares of common stock (the “Warrant Shares”) at an exercise price of $54.00 per share, exercisable commencing on the date of issuance with a term of five On October 31, 2023 December 21, 2023 As of December 31, 2023 |
Note 10 - Earnings (Loss) Per S
Note 10 - Earnings (Loss) Per Share - Common Stock ("EPS") | 3 Months Ended |
Mar. 31, 2024 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | 10. EARNINGS (LOSS) PER SHARE - COMMON STOCK (“EPS”) The Company’s basic EPS is calculated using net income (loss) available to common shareholders and the weighted-average number of shares outstanding during the reporting period. Diluted EPS includes the effect from potential issuance of common stock, such as stock issuable pursuant to the exercise of stock options and warrants and the assumed conversion of preferred stock. The following table summarizes the weighted average securities that were excluded from the diluted per share calculation because the effect of including these potential shares was antidilutive. Years ended December 31, 2023 2022 Stock options - - Warrants 126,131 - Total 126,131 - The following table sets forth options and warrants which were excluded from the diluted per share calculation because the exercise price was greater than the average market price of the common shares: Three Months ended March 31, 2024 2023 Stock options 9,236 11,313 Warrants 1,722,695 270,672 Total 1,731,931 281,985 |
Note 11 - Stockholders' Equity
Note 11 - Stockholders' Equity | 3 Months Ended |
Mar. 31, 2024 | |
Notes to Financial Statements | |
Equity [Text Block] | 11. STOCKHOLDERS’ EQUITY Issuances of Common Stock During the three March 31, 2024 2023, not Issuances to Directors, Executive Officers & Consultants Issuances of Restricted Stock Restricted stock consists of shares of common stock that are subject to restrictions on transfer and risk of forfeiture until the fulfillment of specified conditions. The fair value of nonvested shares is determined based on the market price of the Company's common stock on the grant date. Nonvested stock is expensed ratably over the term of the restriction period. During the three March 31, 2024 2023 three During the three March 31, 2024 2023 Share based compensation for the three March 31, 2024 2023 Issuances to Directors During the three March 31, 2024 2023 $12,002, Employees ’ exercise options During the three March 31, 2024 2023 no 3. There were no three March 31, 2024 2023 777,666 three March 31, 2024. |
Note 12 - Fair Values of Financ
Note 12 - Fair Values of Financial Instruments | 3 Months Ended |
Mar. 31, 2024 | |
Notes to Financial Statements | |
Fair Value Disclosures [Text Block] | 12. FAIR VALUES OF FINANCIAL INSTRUMENTS Cash and cash equivalents, accounts receivable, due from factor, accounts payable and accrued liabilities are carried at, or approximate, fair value because of their short-term nature. The carrying value of the Company’s government loan payable approximates fair value as the interest rate related to the financial instruments approximated market. |
Note 13 - Major Customers and A
Note 13 - Major Customers and Accounts Receivable | 3 Months Ended |
Mar. 31, 2024 | |
Notes to Financial Statements | |
Concentration Risk Disclosure [Text Block] | 13. MAJOR CUSTOMERS AND ACCOUNTS RECEIVABLE During each of the three March 31, 2024 2023 one one three March 31, 2024 2023 two Three March 31, 2024 December 31, 2023 one |
Note 14 - Income Taxes
Note 14 - Income Taxes | 3 Months Ended |
Mar. 31, 2024 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | 14. INCOME TAXES United States, Hong Kong and Nigeria The Company recorded no three March 31, 2024 2023 zero As of March 31, 2024 December 31, 2023 not not Spain Due to the current loss for the three March 31, 2024, not |
Note 15 - Subsequent Events
Note 15 - Subsequent Events | 3 Months Ended |
Mar. 31, 2024 | |
Notes to Financial Statements | |
Subsequent Events [Text Block] | 15 SUBSEQUENT EVENTS On May 6, 2024, The Company has reviewed subsequent events through the date of this filing. |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Mar. 31, 2024 | |
Insider Trading Arr Line Items | |
Material Terms of Trading Arrangement [Text Block] | 5. Rule 10b5 1 10b5 1 During the three March 31, 2024, none 16a 1 1934, 10b5 1 10b5 1 408 |
Rule 10b5-1 Arrangement Adopted [Flag] | false |
Non-Rule 10b5-1 Arrangement Adopted [Flag] | false |
Rule 10b5-1 Arrangement Terminated [Flag] | false |
Non-Rule 10b5-1 Arrangement Terminated [Flag] | false |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
Basis of Accounting, Policy [Policy Text Block] | Basis of Presentation The accompanying unaudited interim condensed consolidated financial statements include the accounts of BIO-key International, Inc. and its wholly-owned subsidiaries (collectively, the “Company” or “BIO-key”) and are stated in conformity with accounting principles generally accepted in the United States of America (“GAAP”), pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). The operating results for interim periods are not may In the opinion of management, the accompanying unaudited interim consolidated financial statements contain all necessary adjustments, consisting only of those of a recurring nature, and disclosures to present fairly the Company’s financial position and the results of its operations and cash flows for the periods presented. The balance sheet at March 31, 2024 not 10 December 31, 2023 May 31, 2024. |
Foreign Currency Transactions and Translations Policy [Policy Text Block] | Foreign Currencies The Company accounts for foreign currency transactions pursuant to ASC 830, Foreign Currency Matters 830” 830, |
New Accounting Pronouncements, Policy [Policy Text Block] | Recently Issued Accounting Pronouncements Effective January 1, 2023, 2016 13, Financial Instruments-Credit Losses 326 2016 13, not 2016 13 2016 13 no not may not 2016 13. 2016 13 In August 2020, 2020 06, Debt with Conversion and Other Options (Subtopic 470 20 s Own Equity (Subtopic 815 40 2020 06” 2020 06 2020 06 2020 06 January 1, 2024 2016 13 not Management does not not |
Note 3 - Revenue From Contrac_2
Note 3 - Revenue From Contracts With Customers (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Notes Tables | |
Disaggregation of Revenue [Table Text Block] | North March 31, America Africa EMESA* Asia 2024 License fees $ 519,244 $ 1,266,553 $ 164,637 $ - $ 1,950,434 Hardware 17,408 - 239 - 17,647 Services 191,481 20,254 1,387 - 213,122 Total Revenues $ 728,133 $ 1,286,807 $ 166,263 $ - $ 2,181,203 North March 31, America Africa EMESA* Asia 2023 License fees $ 408,530 $ 552,630 $ 546,746 $ 70,650 $ 1,578,556 Hardware 24,781 - 47,008 900 72,689 Services 263,858 23,787 239,927 4,950 532,522 Total Revenues $ 697,169 $ 576,417 $ 833,681 $ 76,500 $ 2,183,767 |
Note 4 - Accounts Receivable (T
Note 4 - Accounts Receivable (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Notes Tables | |
Schedule of Accounts, Notes, Loans and Financing Receivable [Table Text Block] | March 31, December 31, 2024 2023 Accounts receivable $ 1,607,561 $ 2,207,311 Allowance for credit losses (905,785 ) (1,005,785 ) Accounts receivable, net of allowances for credit losses $ 701,776 $ 1,201,526 |
Note 5 - Share Based Compensa_2
Note 5 - Share Based Compensation (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Notes Tables | |
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Table Text Block] | Three Months Ended March 31, 2024 2023 Selling, general and administrative $ 47,642 $ 55,453 Research, development and engineering 9,151 15,922 $ 56,793 $ 71,375 |
Note 6 - Inventory (Tables)
Note 6 - Inventory (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Notes Tables | |
Schedule of Inventory, Current [Table Text Block] | March 31, December 31, 2024 2023 Finished goods $ 4,367,510 $ 4,373,056 Fabricated assemblies 59,184 59,184 Reserve on finished goods (3,986,500 ) (3,986,500 ) Total inventory $ 440,194 $ 445,740 |
Note 8 - Leases (Tables)
Note 8 - Leases (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Notes Tables | |
Lessee, Operating Lease, Costs, Assets and Liabilities [Table Text Block] | 3 Months ended 3 Months ended March 31, March 31, 2024 2023 Lease cost Total lease cost $ 14,553 $ 63,973 March 31, December 31, Balance sheet information 2024 2023 Operating right-of-use assets $ 23,220 $ 36,905 Operating lease liabilities, current portion $ 23,797 $ 37,829 Operating lease liabilities, non-current portion - - Total operating lease liabilities $ 23,797 $ 37,829 Weighted average remaining lease term (in years) – operating leases 0.42 0.67 Weighted average discount rate – operating leases 5.50 % 5.50 % Cash paid for amounts included in the measurement of operating lease liabilities for the three months ended March 31, 2024 and 2023: $ 22,613 $ 69,821 2024 (5 months remaining) $ 24,255 2025 - Total future lease payments $ 24,255 Less: imputed interest (458 ) Total $ 23,797 |
Note 10 - Earnings (Loss) Per_2
Note 10 - Earnings (Loss) Per Share - Common Stock ("EPS") (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Notes Tables | |
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share [Table Text Block] | Years ended December 31, 2023 2022 Stock options - - Warrants 126,131 - Total 126,131 - Three Months ended March 31, 2024 2023 Stock options 9,236 11,313 Warrants 1,722,695 270,672 Total 1,731,931 281,985 |
Note 3 - Revenue From Contrac_3
Note 3 - Revenue From Contracts With Customers (Details Textual) - USD ($) | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Contract with Customer, Liability | $ 899,000 | $ 443,000 | |
Contract with Customer, Liability, Revenue Recognized | $ 274,000 | $ 223,000 | |
Minimum [Member] | |||
Capitalized Contract Cost, Amortization Period (Month) | 12 months | ||
Maximum [Member] | |||
Capitalized Contract Cost, Amortization Period (Month) | 60 months |
Note 3 - Revenue From Contrac_4
Note 3 - Revenue From Contracts With Customers - Disaggregation of Revenue (Details) - USD ($) | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | ||
Revenues | $ 2,181,203 | $ 2,183,767 | |
North America [Member] | |||
Revenues | 728,133 | 697,169 | |
South America [Member] | |||
Revenues | 1,286,807 | 576,417 | |
EMESA [Member] | |||
Revenues | [1] | 166,263 | 833,681 |
Asia [Member] | |||
Revenues | 0 | 76,500 | |
License [Member] | |||
Revenues | 1,950,434 | 1,578,556 | |
License [Member] | North America [Member] | |||
Revenues | 519,244 | 408,530 | |
License [Member] | South America [Member] | |||
Revenues | 1,266,553 | 552,630 | |
License [Member] | EMESA [Member] | |||
Revenues | [1] | 164,637 | 546,746 |
License [Member] | Asia [Member] | |||
Revenues | 0 | 70,650 | |
Hardware [Member] | |||
Revenues | 17,647 | 72,689 | |
Hardware [Member] | North America [Member] | |||
Revenues | 17,408 | 24,781 | |
Hardware [Member] | South America [Member] | |||
Revenues | 0 | 0 | |
Hardware [Member] | EMESA [Member] | |||
Revenues | [1] | 239 | 47,008 |
Hardware [Member] | Asia [Member] | |||
Revenues | 0 | 900 | |
Service [Member] | |||
Revenues | 213,122 | 532,522 | |
Service [Member] | North America [Member] | |||
Revenues | 191,481 | 263,858 | |
Service [Member] | South America [Member] | |||
Revenues | 20,254 | 23,787 | |
Service [Member] | EMESA [Member] | |||
Revenues | 1,387 | 239,927 | |
Service [Member] | Asia [Member] | |||
Revenues | $ 0 | $ 4,950 | |
[1]EMESA – Europe, Middle East, South America |
Note 4 - Accounts Receivable -
Note 4 - Accounts Receivable - Summary of Accounts Receivable (Details) - USD ($) | Mar. 31, 2024 | Dec. 31, 2023 |
Accounts receivable | $ 1,607,561 | $ 2,207,311 |
Allowance for credit losses | (905,785) | (1,005,785) |
Accounts receivable, net of allowances for credit losses | $ 701,776 | $ 1,201,526 |
Note 5 - Share Based Compensa_3
Note 5 - Share Based Compensation - Expenses for Continuing Operations (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Share-based compensation expense | $ 56,793 | $ 71,375 |
Selling, General and Administrative Expenses [Member] | ||
Share-based compensation expense | 47,642 | 55,453 |
Research and Development Expense [Member] | ||
Share-based compensation expense | $ 9,151 | $ 15,922 |
Note 6 - Inventory (Details Tex
Note 6 - Inventory (Details Textual) | Mar. 31, 2024 USD ($) |
NIGERIA | |
Inventory Valuation Reserves | $ 3,300,000 |
Note 6 - Inventory - Components
Note 6 - Inventory - Components of Inventory (Details) - USD ($) | Mar. 31, 2024 | Dec. 31, 2023 |
Finished goods | $ 4,367,510 | $ 4,373,056 |
Fabricated assemblies | 59,184 | 59,184 |
Reserve on finished goods | (3,986,500) | (3,986,500) |
Total inventory | $ 440,194 | $ 445,740 |
Note 8 - Leases (Details Textua
Note 8 - Leases (Details Textual) | Aug. 11, 2023 |
Office Space in New Jersey [Member] | |
Lessee, Operating Lease, Term of Contract (Year) | 1 year |
Note 8 - Leases - Operating Lea
Note 8 - Leases - Operating Lease Balance Sheet Information (Details) - USD ($) | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Total lease cost | $ 14,553 | $ 63,973 | |
Operating lease right-of-use assets | 23,220 | $ 36,905 | |
Operating lease liabilities, current portion | 23,797 | 37,829 | |
Operating lease liabilities, non-current portion | 0 | $ 0 | |
Total operating lease liabilities | $ 23,797 | ||
Weighted average remaining lease term (in years) – operating leases (Year) | 5 months 1 day | 8 months 1 day | |
Weighted average discount rate – operating leases | 5.50% | 5.50% | |
Cash paid for amounts included in the measurement of operating lease liabilities for the three months ended March 31, 2024 and 2023: | $ 22,613 | $ 69,821 | |
2024 (5 months remaining) | 24,255 | ||
2025 | 0 | ||
Total future lease payments | 24,255 | ||
Less: imputed interest | (458) | ||
Total | 23,797 | ||
Approximation [Member] | |||
Operating lease right-of-use assets | 23,220 | 36,905 | |
Total operating lease liabilities | 23,797 | 37,829 | |
Total | $ 23,797 | $ 37,829 |
Note 9 - Convertible Note Pay_2
Note 9 - Convertible Note Payable (Details Textual) - USD ($) | 3 Months Ended | ||||
Dec. 21, 2023 | Oct. 31, 2023 | Dec. 22, 2022 | Mar. 31, 2024 | Mar. 31, 2023 | |
Class of Warrant or Right, Issued During Period (in shares) | 0 | 0 | |||
Warrants Issued in Connection with Convertible Notes [Member] | |||||
Class of Warrant or Right, Issued During Period (in shares) | 11,112 | ||||
Class of Warrant or Right, Exercise Price of Warrants or Rights (in dollars per share) | $ 54 | ||||
Warrants and Rights Outstanding, Term (Year) | 5 years | ||||
Warrants and Rights Outstanding | $ 94,316 | ||||
The Note [Member] | |||||
Repayments of Notes Payable | $ 800,000 | $ 1,400,000 | |||
The Note [Member] | Senior Secured Promissory Note [Member] | |||||
Debt Instrument, Face Amount | 2,200,000 | ||||
Proceeds from Debt, Net of Issuance Costs | $ 2,002,000 | ||||
Debt Instrument, Interest Rate, Stated Percentage | 10% | 12% | |||
The Note [Member] | Senior Secured Convertible Note [Member] | |||||
Stock Issued During Period, Shares, Commitment Fees (in shares) | 38,889 | ||||
Shares Issued, Price Per Share (in dollars per share) | $ 18 |
Note 10 - Earnings (Loss) Per_3
Note 10 - Earnings (Loss) Per Share - Common Stock ("EPS") - Securities Excluded From the Diluted Per Share Calculation (Details) - shares | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | |
Exercise Price Less Than Average Market Price Of Common Shares [Member] | ||||
Antidilutive securities (in shares) | 126,131 | |||
Exercise Price Less Than Average Market Price Of Common Shares [Member] | Share-Based Payment Arrangement, Option [Member] | ||||
Antidilutive securities (in shares) | ||||
Exercise Price Less Than Average Market Price Of Common Shares [Member] | Warrant [Member] | ||||
Antidilutive securities (in shares) | 126,131 | |||
Exercise Price Greater Than Average Market Price Of Common Shares [Member] | ||||
Antidilutive securities (in shares) | 1,731,931 | 281,985 | ||
Exercise Price Greater Than Average Market Price Of Common Shares [Member] | Share-Based Payment Arrangement, Option [Member] | ||||
Antidilutive securities (in shares) | 9,236 | 11,313 | ||
Exercise Price Greater Than Average Market Price Of Common Shares [Member] | Warrant [Member] | ||||
Antidilutive securities (in shares) | 1,722,695 | 270,672 |
Note 11 - Stockholders' Equity
Note 11 - Stockholders' Equity (Details Textual) - USD ($) | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Share-Based Payment Arrangement, Expense | $ 56,793 | $ 71,375 |
Shares Issued, Value, Share-Based Payment Arrangement, after Forfeiture | $ 9,003 | $ 12,002 |
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Exercises in Period (in shares) | 0 | 0 |
Class of Warrant or Right, Issued During Period (in shares) | 0 | 0 |
Common Stock [Member] | ||
Stock Issued During Period, Shares, Restricted Stock Award, Net of Forfeitures (in shares) | 2,222 | |
Stock Issued During Period, Shares, Restricted Stock Award, Forfeited (in shares) | 316 | 1,102 |
Shares Issued, Shares, Share-Based Payment Arrangement, after Forfeiture (in shares) | 4,287 | 855 |
Shares Issued, Value, Share-Based Payment Arrangement, after Forfeiture | $ 0 | $ 0 |
Common Stock [Member] | Director [Member] | ||
Shares Issued, Shares, Share-Based Payment Arrangement, after Forfeiture (in shares) | 4,287 | 855 |
Shares Issued, Value, Share-Based Payment Arrangement, after Forfeiture | $ 9,003 | $ 12,002 |
Restricted Stock [Member] | ||
Stock Issued During Period, Shares, Restricted Stock Award, Net of Forfeitures (in shares) | 0 | 2,222 |
Share-Based Compensation Arrangement by Share-Based Payment Award, Award Vesting Period (Year) | 3 years | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Fair Value | $ 0 | $ 31,200 |
Stock Issued During Period, Shares, Restricted Stock Award, Forfeited (in shares) | 316 | 1,102 |
Share-Based Payment Arrangement, Expense | $ 47,791 | $ 62,474 |
Note 13 - Major Customers and_2
Note 13 - Major Customers and Accounts Receivable (Details Textual) - Customer Concentration Risk [Member] | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Revenue Benchmark [Member] | One Customer [Member] | |||
Concentration Risk, Number of Major Customers | 1 | 1 | |
Concentration Risk, Percentage | 59% | 19% | |
Revenue Benchmark [Member] | Two Customers [Member] | |||
Concentration Risk, Number of Major Customers | 2 | 2 | |
Concentration Risk, Percentage | 70% | 56% | |
Accounts Receivable [Member] | One Customer [Member] | |||
Concentration Risk, Number of Major Customers | 1 | ||
Concentration Risk, Percentage | 35% | ||
Accounts Receivable [Member] | Three Customers [Member] | |||
Concentration Risk, Number of Major Customers | 3 | ||
Concentration Risk, Percentage | 77% |
Note 14 - Income Taxes (Details
Note 14 - Income Taxes (Details Textual) - USD ($) Pure in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Income Tax Expense (Benefit) | $ 0 | $ 0 |
Effective Income Tax Rate Reconciliation, Percent | 0% | 0% |
SPAIN | ||
Income Tax Expense (Benefit) | $ 0 |
Note 15 - Subsequent Events (De
Note 15 - Subsequent Events (Details Textual) | May 06, 2024 shares |
Restricted Stock [Member] | Share-Based Payment Arrangement, Employee [Member] | Subsequent Event [Member] | |
Shares Issued, Shares, Share-Based Payment Arrangement, Forfeited (in shares) | 186 |