Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Feb. 22, 2024 | Jun. 30, 2023 | |
Document Information [Line Items] | |||
Entity Central Index Key | 0001438231 | ||
Entity Registrant Name | Digimarc CORP | ||
Amendment Flag | false | ||
Current Fiscal Year End Date | --12-31 | ||
Document Fiscal Period Focus | FY | ||
Document Fiscal Year Focus | 2023 | ||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2023 | ||
Document Transition Report | false | ||
Entity File Number | 001-34108 | ||
Entity Incorporation, State or Country Code | OR | ||
Entity Tax Identification Number | 26-2828185 | ||
Entity Address, Address Line One | 8500 SW Creekside Place | ||
Entity Address, City or Town | Beaverton | ||
Entity Address, State or Province | OR | ||
Entity Address, Postal Zip Code | 97008 | ||
City Area Code | 503 | ||
Local Phone Number | 469-4800 | ||
Title of 12(b) Security | Common Stock, $0.001 Par Value Per Share | ||
Trading Symbol | DMRC | ||
Security Exchange Name | NASDAQ | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
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 | ||
ICFR Auditor Attestation Flag | false | ||
Document Financial Statement Error Correction [Flag] | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 475,000,000 | ||
Entity Common Stock, Shares Outstanding | 20,443,596 | ||
Auditor Name | KPMG, LLP | ||
Auditor Location | Portland, Oregon | ||
Auditor Firm ID | 185 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Current assets: | ||
Cash and cash equivalents | $ 21,456 | $ 33,598 |
Marketable securities | 5,726 | 18,944 |
Trade accounts receivable, net | 5,813 | 5,427 |
Other current assets | 4,085 | 6,172 |
Total current assets | 37,080 | 64,141 |
Property and equipment, net | 1,570 | 2,390 |
Intangibles, net | 28,458 | 33,170 |
Goodwill | 8,641 | 8,229 |
Lease right of use assets | 4,017 | 4,720 |
Other assets | 786 | 1,127 |
Total assets | 80,552 | 113,777 |
Current liabilities: | ||
Accounts payable and other accrued liabilities | 6,672 | 5,989 |
Deferred revenue, current | 5,853 | 4,145 |
Total current liabilities | 12,525 | 10,134 |
Lease liabilities, long-term | 5,994 | 5,977 |
Other long-term liabilities | 106 | 76 |
Total liabilities | 18,625 | 16,187 |
Commitments and contingencies (Note 17) | ||
Shareholders’ equity: | ||
Preferred stock (par value $0.001 per share, 2,500 authorized, 10 shares issued and outstanding at December 31, 2023 and December 31, 2022) | 50 | 50 |
Common stock (par value $0.001 per share, 50,000 authorized, 20,379 and 20,260 shares issued and outstanding at December 31, 2023 and December 31, 2022, respectively) | 20 | 20 |
Additional paid-in capital | 376,189 | 367,692 |
Accumulated deficit | (311,768) | (265,809) |
Accumulated other comprehensive loss | (2,564) | (4,363) |
Total shareholders’ equity | 61,927 | 97,590 |
Total liabilities and shareholders’ equity | $ 80,552 | $ 113,777 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - $ / shares shares in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Preferred stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized (in shares) | 2,500 | 2,500 |
Preferred stock, shares issued (in shares) | 10 | 10 |
Preferred stock, shares outstanding (in shares) | 10 | 10 |
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized (in shares) | 50,000 | 50,000 |
Common stock, shares issued (in shares) | 20,379 | 20,260 |
Common stock, shares outstanding (in shares) | 20,379 | 20,260 |
Consolidated Statements of Oper
Consolidated Statements of Operations and Comprehensive Loss - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Revenue: | ||
Revenue | $ 34,851 | $ 30,197 |
Cost of revenue: | ||
Cost of revenue | 14,686 | 14,874 |
Gross profit | 20,165 | 15,323 |
Operating expenses: | ||
Sales and marketing | 22,409 | 29,718 |
Research, development and engineering | 26,577 | 26,490 |
General and administrative | 18,071 | 18,945 |
Amortization expense on acquired intangible assets | 1,065 | 1,064 |
Impairment of lease right of use assets and leasehold improvements | 250 | 915 |
Total operating expenses | 68,372 | 77,132 |
Operating loss | (48,207) | (61,809) |
Other income, net | 2,452 | 2,108 |
Loss before income taxes | (45,755) | (59,701) |
Provision for income taxes | (204) | (97) |
Net loss | $ (45,959) | $ (59,798) |
Loss per share: | ||
Loss per share — basic (in dollars per share) | $ (2.26) | $ (3.12) |
Loss per share — diluted (in dollars per share) | $ (2.26) | $ (3.12) |
Weighted average shares outstanding — basic (in shares) | 20,322 | 19,140 |
Weighted average shares outstanding — diluted (in shares) | 20,322 | 19,140 |
Comprehensive loss: | ||
Unrealized gain (loss) on marketable securities, net of tax of $0 | $ 138 | $ (144) |
Foreign currency translation adjustment, net of tax of $0 | 1,661 | (4,219) |
Other comprehensive income (loss) | 1,799 | (4,363) |
Net loss | (45,959) | (59,798) |
Comprehensive loss | (44,160) | (64,161) |
Subscription [Member] | ||
Revenue: | ||
Revenue | 18,973 | 15,219 |
Cost of revenue: | ||
Cost of revenue | 2,975 | 3,878 |
Service [Member] | ||
Revenue: | ||
Revenue | 15,878 | 14,978 |
Cost of revenue: | ||
Cost of revenue | 7,252 | 6,557 |
Amortization Expense On Acquired Intangible Assets [Member] | ||
Cost of revenue: | ||
Cost of revenue | $ 4,459 | $ 4,439 |
Consolidated Statements of Op_2
Consolidated Statements of Operations and Comprehensive Loss (Parentheticals) $ in Thousands | 12 Months Ended |
Dec. 31, 2023 USD ($) | |
Unrealized loss on marketable securities, tax | $ 0 |
Foreign currency translation adjustment, tax | $ 0 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity - USD ($) shares in Thousands, $ in Thousands | Preferred Stock [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] | Total |
Balance (in shares) at Dec. 31, 2021 | 10 | 16,940 | ||||
Balance at Dec. 31, 2021 | $ 50 | $ 17 | $ 261,324 | $ (206,011) | $ 0 | $ 55,380 |
Issuance of common stock (in shares) | 0 | 3,266 | ||||
Issuance of restricted common stock (in shares) | 0 | 54 | ||||
Vesting of restricted stock units (in shares) | 0 | 144 | ||||
Forfeiture of restricted common stock (in shares) | 0 | (31) | ||||
Purchase of common stock (in shares) | 0 | (113) | ||||
Purchase of common stock | $ 0 | $ 0 | (2,356) | 0 | 0 | (2,356) |
Stock-based compensation | 0 | 0 | 11,417 | 0 | 0 | 11,417 |
Unrealized gain (loss) on marketable securities, net of tax of $0 | 0 | 0 | 0 | 0 | (144) | (144) |
Foreign currency translation adjustment, net of tax of $0 | 0 | 0 | 0 | 0 | (4,219) | (4,219) |
Net loss | $ 0 | $ 0 | 0 | (59,798) | 0 | (59,798) |
Balance (in shares) at Dec. 31, 2022 | 10 | 20,260 | ||||
Balance at Dec. 31, 2022 | $ 50 | $ 20 | 367,692 | (265,809) | (4,363) | 97,590 |
Issuance of common stock | 0 | 3 | 95,706 | 0 | 0 | 95,709 |
Issuance of warrants for acquisition | $ 0 | $ 0 | 1,601 | 0 | 0 | 1,601 |
Issuance of common stock (in shares) | 0 | 10 | ||||
Issuance of restricted common stock (in shares) | 0 | 45 | ||||
Vesting of restricted stock units (in shares) | 0 | 161 | ||||
Vesting of performance stock units (in shares) | 0 | 2 | ||||
Forfeiture of restricted common stock (in shares) | 0 | (6) | ||||
Purchase of common stock (in shares) | 0 | (93) | ||||
Purchase of common stock | $ 0 | $ 0 | (2,724) | 0 | 0 | (2,724) |
Stock-based compensation | 0 | 0 | 11,221 | 0 | 0 | 11,221 |
Unrealized gain (loss) on marketable securities, net of tax of $0 | 0 | 0 | 0 | 0 | 138 | 138 |
Foreign currency translation adjustment, net of tax of $0 | 0 | 0 | 0 | 0 | 1,661 | 1,661 |
Net loss | $ 0 | $ 0 | 0 | (45,959) | 0 | (45,959) |
Balance (in shares) at Dec. 31, 2023 | 10 | 20,379 | ||||
Balance at Dec. 31, 2023 | $ 50 | $ 20 | $ 376,189 | $ (311,768) | $ (2,564) | $ 61,927 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Cash flows from operating activities: | ||
Net loss | $ (45,959) | $ (59,798) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Depreciation and write-off of property and equipment | 1,121 | 1,372 |
Amortization of acquired intangible assets | 5,524 | 5,503 |
Amortization and write-off of other intangible assets | 966 | 739 |
Amortization of lease right of use assets under operating leases | 517 | 965 |
Stock-based compensation | 11,158 | 11,289 |
Impairment of lease right of use assets and leasehold improvements | 250 | 915 |
Increase in allowance for doubtful accounts | 20 | 89 |
Changes in operating assets and liabilities: | ||
Trade accounts receivable | (335) | 2,232 |
Other current assets | 2,200 | (1,933) |
Other assets | 299 | (520) |
Accounts payable and other accrued liabilities | 660 | (3,856) |
Deferred revenue | 1,627 | (371) |
Lease liability and other long-term liabilities | (43) | (1,034) |
Net cash used in operating activities | (21,995) | (44,408) |
Cash flows from investing activities: | ||
Net cash paid for acquisition | 0 | (3,512) |
Purchase of property and equipment | (314) | (934) |
Capitalized patent costs | (426) | (533) |
Proceeds from maturities of marketable securities | 27,664 | 21,425 |
Purchases of marketable securities | (14,363) | (12,689) |
Net cash provided by investing activities | 12,561 | 3,757 |
Cash flows from financing activities: | ||
Issuance of common stock, net of issuance costs | 0 | 62,890 |
Purchase of common stock | (2,724) | (2,356) |
Repayment of loans | (36) | (35) |
Net cash (used in) provided by financing activities | (2,760) | 60,499 |
Effect of exchange rate on cash | 52 | (39) |
Net (decrease) increase in cash and cash equivalents | (12,142) | 19,809 |
Cash and cash equivalents at beginning of period | 33,598 | 13,789 |
Cash and cash equivalents at end of period | 21,456 | 33,598 |
Supplemental disclosure of cash flow information: | ||
Cash paid for income taxes, net | (233) | (61) |
Supplemental schedule of non-cash activities: | ||
Property and equipment and patent costs in accounts payable | 6 | (9) |
Stock-based compensation capitalized to software and patent costs | 63 | 128 |
Common stock issued for acquisition | 0 | 32,393 |
Warrants issued for acquisition | 0 | 1,601 |
Right of use assets obtained in exchange for lease obligations | $ 31 | $ 5,176 |
Insider Trading Arrangements
Insider Trading Arrangements | 12 Months Ended |
Dec. 31, 2023 | |
Insider Trading Arr Line Items | |
Material Terms of Trading Arrangement [Text Block] | 9B: OTHER INFORMATION During the three December 31, 2023, no “Rule10b5 1 Rule10b5 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 |
Note 1 - Description of Busines
Note 1 - Description of Business and Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] | 1 Description of Business Digimarc, an Oregon corporation, is a pioneer and global leader in digital watermarking technologies. For nearly 30 one two The Digimarc Illuminate platform is a distinctive SaaS cloud-based platform for digital connectivity that provides the tools for the application of advanced digital watermarks and dynamic QR codes, software (digital twins) that enables various systems and devices to interact with those data carriers, and a centralized platform for capturing insights about digital interactions and automating activities based on that information. The Digimarc product suite is built on top of the Digimarc Illuminate platform to power a trusted and scalable ecosystem that can address specific business needs in areas like automation, authenticity, sustainability, and customer trust and connectivity. All of the Company’s products are complementary to each other, providing exponential benefits when combined. By enabling customers to create and connect digital twins to physical and digital items, Digimarc’s products provide many benefits including: • Digimarc Validate • Digimarc Engage • Digimarc Recycle • Digimarc Retail Experience first Principles of Consolidation The consolidated financial statements include the accounts of Digimarc and its wholly-owned subsidiaries. All intercompany transactions and balances have been eliminated. Digimarc acquired EVRYTHNG on January 3, 2022. Note 8 Use of Estimates The preparation of the consolidated financial statements in accordance with U.S. GAAP requires management to make estimates and judgments that affect the reported amounts of assets, liabilities, revenue and expenses, and related disclosure of contingent assets and liabilities. The Company’s accounting policy for revenue recognition requires a higher degrees of judgment than others in their application. Management bases its estimates on historical experience and on other assumptions that are believed to be reasonable in the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not may Cash Equivalents The Company considers all highly liquid marketable securities with original maturities of 90 December 31, 2023 2022 Marketable Securities The Company considers all investments with original maturities over 90 one The Company’s marketable securities are now classified as available-for-sale, as the Company sold a marketable security during 2022, A decline in the market value of any security that is deemed to be other-than-temporary is charged to earnings. To determine whether an impairment is other-than-temporary, the Company considers whether it has the ability and intent to hold the investment until a market price recovery and considers whether evidence indicating that the cost of the investment is recoverable outweighs evidence to the contrary. There have been no Concentrations of Business and Credit Risk A significant portion of the Company’s business depends on a limited number of large contracts. The loss of any large contract may The Company places its cash and cash equivalents with major banks and financial institutions and at times deposits may may one one no one The Company manages credit risk on accounts receivable by evaluating a customer’s credit worthiness before extending any significant amount of credit. There is a significant concentration of accounts receivable at various times from our two not Contingencies The Company evaluates all pending or threatened contingencies or commitments, if any, that are reasonably likely to have a material adverse effect on the Company’s operations or financial position. The Company assesses the probability of an adverse outcome and determines if it is remote, reasonably possible or probable as defined in accordance with ASC 450 Contingencies no one 450 not Goodwill The Company tests goodwill for impairment annually and whenever events or changes in circumstances indicate that the carrying value may 350 Intangibles Goodwill and Other. June 30, 2023 2022 Impairment of Long-Lived Assets The Company assesses long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not 360 Property, Plant and Equipment Recoverability of assets to be held and used is evaluated by a comparison of the carrying amount of the assets to future net undiscounted cash flows expected to be generated by the assets over their remaining useful life. If such assets are considered to be impaired, the impairment would be recognized in operating results at the amount by which the carrying amount of the assets exceeds the fair value of the assets. Fair value is determined based on discounted cash flows, observable market values or appraised values, depending on the nature of the assets. Assets to be disposed of are reported at the lower of the carrying amount or fair value less costs to sell. Research and Development Research and development costs are expensed as incurred in accordance with ASC 730 Research and Development Software Development Costs Under ASC 985 Software not Patent Costs Costs associated with the application and award of patents in the U.S. and various other countries are capitalized and amortized on a straight-line basis over the term of the patents as determined at award date, which varies depending on the pendency period of the application. Capitalized patent costs, also referred to as patent prosecution costs, include internal legal labor, professional legal fees, government filing fees and translation fees related to expanding the Company’s patent portfolio. Costs associated with the maintenance and annuity fees of patents are accounted for as prepaid assets at the time of payment and amortized over the shorter of the maintenance period or remaining life of the related patent. Revenue Recognition See Note 3 Stock-Based Compensation The Company accounts for stock-based compensation in accordance with ASC 718 Compensation Stock Compensation Income Taxes The Company accounts for income taxes in accordance with ASC 740 Income Taxes The Company records valuation allowances on deferred tax assets if, based on available evidence, it is more-likely-than- not not The Company is subject to income taxes within the U.S. and other countries, and, in the ordinary course of business, there are transactions and calculations where the ultimate tax determination is uncertain. The Company reports a liability (or contra asset) for unrecognized tax benefits resulting from uncertain tax positions taken (or expected to be taken) on a tax return. The Company recognizes interest and penalties, if any, related to the unrecognized tax benefits in the provision for income taxes. Business Combinations The Company allocates the purchase price consideration to tangible and intangible assets acquired and liabilities assumed based on their estimated fair values. The purchase price is determined based on the fair value of the assets transferred, liabilities assumed and equity interests issued, after considering any transactions that are separate from the business combination. The fair value of equity issued as part of a business combination is determined based on the closing price of the Company’s stock on the date the acquisition closed. The excess of fair value of purchase price consideration over the fair values of the identifiable assets and liabilities is recorded as goodwill. Such fair value calculations require the Company to make significant estimates and assumptions, especially with respect to intangible assets and contingent liabilities. Significant estimates in valuing certain intangible assets include, but are not The estimates are inherently uncertain and subject to revision as additional information is obtained during the measurement period for an acquisition, which may one may Liquidity Under ASC 205 40 Presentation of Financial Statements-Going Concern , one one may not may 12 Accounting Pronouncements Adopted In June 2016, No. 2016 13 Financial Instruments - Credit Losses (Topic 326 Measurement of Credit Losses on Financial Instruments , December 15, 2022. January 1, 2023. not Accounting Pronouncements Issued But Not In November 2023, No. 2023 07 Segment Reporting (Topic 280 . December 31, 2024 first December 31, 2025 In December 2023, No. 2023 09 Income Taxes (Topic 740 December 31, 2025, |
Note 2 - Fair Value of Financia
Note 2 - Fair Value of Financial Instruments | 12 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Fair Value Disclosures [Text Block] | ( 2 The Company’s fair value hierarchy for its cash equivalents and marketable securities as of December 31, 2023 2022 December 31, 2023 Level 1 Level 2 Level 3 Total Money market securities $ 1,515 $ — $ — $ 1,515 Commercial Paper — 14,622 — 14,622 U.S. Treasuries — 5,953 — 5,953 Federal agency notes — 998 — 998 Total $ 1,515 $ 21,573 $ — $ 23,088 December 31, 2022 Level 1 Level 2 Level 3 Total Money market securities $ 2,073 $ — $ — $ 2,073 Commercial paper — 35,468 — 35,468 Corporate notes — 4,423 — 4,423 Federal agency notes — 8,432 — 8,432 Total $ 2,073 $ 48,323 $ — $ 50,396 The fair value maturities of the Company’s cash equivalents and marketable securities as of December 31, 2023 Maturities by Period Less than 1 5 5 10 More than Total 1 year years years 10 years Cash equivalents and marketable securities $ 23,088 $ 23,088 $ — $ — $ — |
Note 3 - Revenue Recognition
Note 3 - Revenue Recognition | 12 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Revenue from Contract with Customer [Text Block] | 3 The Company recognizes revenue in accordance with ASC 606 Step 1: Step 2: Step 3: Step 4: Step 5: The Company derives its revenue primarily from software subscriptions and software development services. Applicable revenue recognition criteria are considered separately for each performance obligation as follows: • Subscription revenue consists primarily of revenue earned from subscription fees for access to the Company’s SaaS platform and products and, to a lesser extent, licensing fees for software products. The majority of subscription contracts are recurring, paid in advance and recognized over the term of the subscription, which is typically one three • Service revenue consists primarily of revenue earned from the performance of software development services and, to a lesser extent, professional services. The majority of software development contracts are structured as time and materials agreements. Revenue for services is generally recognized as the services are performed. Billing for services rendered generally occurs within one Customer arrangements may may not not not All revenue recognized in the Consolidated Statements of Operations is considered to be revenue from contracts with customers. The following table provides information about disaggregated revenue by major target market in the Company’s single reporting segment: Year Ended December 31, 2023 2022 Commercial: Subscription $ 17,773 $ 13,832 Service 1,042 2,056 Total Commercial 18,815 15,888 Government: Subscription $ 1,200 $ 1,387 Service 14,836 12,922 Total Government 16,036 14,309 Total $ 34,851 $ 30,197 The Company has contract assets from contracts with customers that are classified as “trade accounts receivable” in the Consolidated Balance Sheets. See Note 7 The Company has contract assets from capitalized contract acquisition costs that are classified as “other current assets” and “other assets.” These contract acquisition costs are recognized in proportion to the revenue recognized from the contract they are associated with. The following table provides information about contract assets: December 31, December 31, 2023 2022 Contract acquisition costs, current $ 113 $ 197 Contract acquisition costs, long-term 9 104 Total $ 122 $ 301 The Company has contract liabilities from contracts with customers that are classified as “deferred revenue” in the Consolidated Balance Sheets. Deferred revenue consists of billings in advance for subscriptions and services for which the performance obligation has not The following table provides information about contract liabilities: December 31, December 31, 2023 2022 Deferred revenue, current $ 5,853 $ 4,145 Deferred revenue, long-term 7 15 Total $ 5,860 $ 4,160 The Company recognized $4,085 December 31, 2023 December 31, 2022 The aggregate amount of the transaction prices from contractual obligations that are unsatisfied or partially unsatisfied was $31,798 and $29,600, as of December 31, 2023 2022 |
Note 4 - Segment Information
Note 4 - Segment Information | 12 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Segment Reporting Disclosure [Text Block] | ( 4 Geographic Information The Company derives its revenue from a single Revenue by geographic area, based upon the “bill-to” location, was as follows: Year Ended December 31, 2023 2022 Domestic $ 11,380 $ 10,029 International (1) 23,471 20,168 Total $ 34,851 $ 30,197 ( 1 Revenue from the Central Banks, consisting of a consortium of central banks around the world, is classified as international revenue. Reporting revenue by country for this customer is not Major Customers The following customers accounted for 10% Year Ended December 31, 2023 2022 Customer A 46 % 46 % Customer B 21 % 17 % Long-lived tangible assets by geographical area Long-lived tangible assets by geographic area were as follows: December 31, December 31, 2023 2022 United States $ 1,535 $ 2,324 Europe 35 66 Total $ 1,570 $ 2,390 |
Note 5 - Stock-based Compensati
Note 5 - Stock-based Compensation | 12 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Share-Based Payment Arrangement [Text Block] | ( 5 Stock-based compensation includes expense charges for all stock-based awards to employees and directors. These awards include stock options, restricted stock awards, restricted stock units, and performance restricted stock units. Stock-based compensation expense related to internal labor is capitalized to software and patent costs based on direct labor hours charged to capitalized software and patent costs. Determining Fair Value Stock Options The Company estimates the fair value of stock options on the date of grant (measurement date) using the Black-Scholes option pricing model. The Company recognizes the fair value of stock option awards on a straight-line basis over the vesting period of the award. No stock options were granted during the year ended December 31, 2023 e 1 stock December 31, 2022 Restricted Stock Awards The fair value of restricted stock awards (“RSA”) that vest upon meeting a service condition is based on the fair market value of the Company’s common stock on the date of the grant (measurement date) and is recognized on a straight-line basis over the service period of the award, which is generally three four one three Restricted Stock Units The fair value of restricted stock unit (“RSU”) awards that vest upon meeting a service condition is based on the fair market value of the Company’s common stock on the date of the grant (measurement date) and is recognized on a straight-line basis over the service period of the award, which is generally three four Performance Restricted Stock Units The fair value of performance restricted stock unit (“PRSU”) awards that vest upon meeting a service condition and a performance condition, such as the Company exceeding a future annual recurring revenue target, is determined based on the probability of achievement of the performance criteria as of each reporting date (measurement date). The probability of achievement is subject to judgment, and could change from period to period, impacting the amount of expense to be recognized. The Company recognizes the fair value of the award, after adjusting for any changes in the probability of achievement, on a straight-line basis over the service period of the award, which is generally three The fair value of performance restricted stock units awards that vest upon meeting a service condition and a market condition, such as the Company exceeding shareholder returns as compared to an index of peer companies, is determined on the date of grant (measurement date) using the Monte Carlo valuation model. The Company recognizes the fair value of the award on a straight-line basis over the service period of the award, which is generally three The following inputs are used in the Monte Carlo Simulation model to estimate the fair value: Stock Price. Expected Volatility. Risk-Free Interest Rate. Monte Carlo Simulation Inputs: Year Ended December 31, 2023 2022 Stock price $ 22.37 $ 32.02 Expected volatility 74.7 % 82.8 % Risk-free interest rate 4.3 % 1.8 % Stock-based Compensation Year Ended December 31, 2023 2022 Stock-based compensation: Cost of revenue $ 1,126 $ 913 Sales and marketing 2,640 3,842 Research, development and engineering 2,962 2,646 General and administrative 4,430 3,888 Stock-based compensation expense 11,158 11,289 Capitalized to software and patent costs 63 128 Total stock-based compensation $ 11,221 $ 11,417 The following table sets forth total unrecognized compensation cost related to non-vested stock-based awards granted under the Company’s equity compensation plans: December 31, December 31, 2023 2022 Total unrecognized compensation costs $ 15,370 $ 16,051 Total unrecognized compensation costs will be adjusted for any future forfeitures if and when they occur. The Company expects to recognize the total unrecognized compensation costs as of December 31, 2023 December 31, 2027 RSAs RSUs PRSUs Weighted average period (in years) 0.76 1.50 1.64 As of December 31, 2023 shares r Stock Option Activity The following tables present the outstanding stock option activity: Weighted Weighted Average Average Aggregate Number of Exercise Grant Date Intrinsic Options Price Fair Value Value Options outstanding, December 31, 2021 50 $ 39.54 $ 22.23 Granted 1 $ 22.15 $ — Exercised — $ — $ — Forfeited or expired — $ — $ — Options outstanding, December 31, 2022 51 $ 39.14 $ 21.72 Granted — $ — $ — Exercised — $ — $ — Forfeited or expired (50 ) $ 39.54 $ 22.23 Options outstanding, December 31, 2023 1 22.15 $ — 16 Options exercisable, December 31, 2023 1 $ 22.15 $ 16 Options unvested, December 31, 2023 — $ — $ — The aggregate intrinsic value is based on the closing price of $36.12 per share of Digimarc common stock on December 31, 2023 The following table summarizes information about stock option awards outstanding December 31, 2023 Options Outstanding Options Exercisable Weighted Weighted Remaining Average Remaining Average Number Contractual Exercise Number Contractual Exercise Exercise Price Outstanding Life (Years) Price Outstanding Life (Years) Price $21-$24 1 6.85 $ 22.15 1 6.85 $ 22.15 Restricted Stock Awards Activity The following table reconciles the unvested balance of RSAs: Weighted Average Number of Grant Date Shares Fair Value Unvested balance, December 31, 2021 360 $ 34.90 Granted 54 $ 18.36 Vested (187 ) $ 32.72 Forfeited (31 ) $ 36.90 Unvested balance, December 31, 2022 196 $ 32.06 Granted 45 $ 22.10 Vested (130 ) $ 30.18 Forfeited (6 ) $ 34.89 Unvested balance, December 31, 2023 105 $ 29.89 The fair value of RSAs vested is as follows: Year Ended December 31, 2023 2022 Fair value of RSA vested $ 3,273 $ 4,445 Restricted Stock Units Activity The following table reconciles the unvested balance of RSU awards: Weighted Average Number of Grant Date Units Fair Value Unvested balance, December 31, 2021 — $ — Granted 601 $ 26.31 Vested (144 ) $ 30.25 Forfeited (87 ) $ 26.31 Unvested balance, December 31, 2022 370 $ 24.77 Granted 298 $ 23.20 Vested (161 ) $ 24.46 Forfeited (65 ) $ 25.17 Unvested balance, December 31, 2023 442 $ 23.77 The fair value of RSU awards vested is as follows: Year Ended December 31, 2023 2022 Fair value of RSU awards vested $ 4,893 $ 2,509 Performance Restricted Stock Units Activity The following table reconciles the unvested balance of PRSU awards: Weighted Average Number of Grant Date Units Fair Value Unvested balance, December 31, 2020 124 $ 11.08 Granted — $ — Vested (1) (82 ) $ 15.54 Forfeited (1) (42 ) $ 11.08 Unvested balance, December 31, 2021 — $ — Granted 73 $ 31.93 Vested — $ — Forfeited (6 ) $ 32.02 Unvested balance, December 31, 2022 67 $ 31.92 Change in units based on performance expectations (6 ) $ 32.02 Granted 134 $ 27.75 Vested (2 ) $ 32.02 Forfeited (1 ) $ 32.02 Unvested balance, December 31, 2023 192 $ 29.01 ( 1 Includes the impact of modification of 21 PRSUs which were cancelled and reissued at a grant date fair value of $28.93. The fair value of PRSU awards vested is as follows: Year Ended December 31, 2023 2022 Fair value of PRSU awards vested $ 54 $ — |
Note 6 - Earnings Per Common Sh
Note 6 - Earnings Per Common Share | 12 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | ( 6 The Company calculates basic and diluted earnings per common share in accordance with ASC 260 Earnings Per Share Basic earnings per common share excludes dilution and is calculated by dividing earnings to common shares by the weighted-average number of common shares outstanding for the period. Diluted earnings per common share is calculated by dividing earnings to common shares by the weighted-average number of common shares, as adjusted for the potentially dilutive effect of stock options, and unvested RSUs and PRSUs. The dilutive effect of stock options, and unvested RSUs and PRSUs is determined using the treasury stock method. RSAs are included in shares outstanding on the date of grant. The following table reconciles earnings (loss) per common share: Year Ended December 31, 2023 2022 Basic Earnings (Loss) per Share: Net loss — basic $ (45,959 ) $ (59,798 ) Weighted average shares outstanding — basic 20,322 19,140 Basic loss per share $ (2.26 ) $ (3.12 ) Diluted Earnings (Loss) per Share: Net loss — diluted $ (45,959 ) $ (59,798 ) Weighted average shares outstanding — diluted 20,322 19,140 Diluted loss per share $ (2.26 ) $ (3.12 ) The following table indicates the common stock equivalents related to stock options, and unvested RSAs, RSUs and PRSUs that were anti-dilutive and excluded from diluted earnings (loss) per common share calculations: Year Ended December 31, 2023 2022 Anti-dilutive shares due to: Exercise prices higher than the average market price — 50 Net loss 134 — |
Note 7 - Trade Accounts Receiva
Note 7 - Trade Accounts Receivable | 12 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Loans, Notes, Trade and Other Receivables Disclosure [Text Block] | ( 7 Trade Accounts Receivable Trade accounts receivable are recorded at the contractual or invoiced amount. December 31, December 31, 2023 2022 Trade accounts receivable, current $ 5,947 $ 5,541 Trade accounts receivable, long-term 9 37 Allowance for doubtful accounts (134 ) (114 ) Trade accounts receivable, net $ 5,822 $ 5,464 Unpaid deferred revenue included in trade accounts receivable $ 2,073 $ 2,183 Allowance for Doubtful Accounts The Company s accounts receivables are subject to concentrations of credit risk. The Company maintains an allowance for its doubtful accounts receivable to reflect any estimated credit losses. The allowance is established in accordance with the current expected credit loss model , which requires the estimation of expected credit losses over the contractual life of financial assets. The allowance is calculated using a forward-looking probability-weighted approach based on historical loss experience, current economic conditions, and reasonable and supportable forecasts. The Company records the allowance in general and administrative expense in the Consolidated Statements of Operations, up to the amount of revenue recognized to date for each account. Any incremental allowance is recorded as an offset to deferred revenue in the Consolidated Balance Sheets. Account receivables are written off and charged against the recorded allowance when the Company has exhausted collection efforts without success. Unpaid Deferred Revenue The unpaid deferred revenue that is included in trade accounts receivable is billed in accordance with the provisions of the contracts with the Company’s customers. Major Customers The following customers accounted for 10% December 31, December 31, 2023 2022 Company A 56 % 55 % Company B 13 % * * Less than 10% |
Note 8 - Business Combination
Note 8 - Business Combination | 12 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Business Combination Disclosure [Text Block] | ( 8 On January 3, 2022, In August 2022, In January 2023, The Company entered into a Loan Agreement with EVRYTHNG (the “Loan Agreement”) on December 10, 2021 December 9, 2022. January 3, 2022, The following table presents the final purchase price allocation: Purchase Price Allocation January 3, 2022 Trade accounts receivable, net $ 762 Other current assets 2,178 Property and equipment, net 99 Lease right of use assets and other long-term assets 484 Intangibles 35,720 Goodwill 7,970 Accounts payable and other accrued liabilities (5,395 ) Deferred revenue (1,678 ) Loan payable to related party (2,001 ) Lease liability and other long-term liabilities (205 ) Total purchase price $ 37,934 The Company allocated $35,720 of the purchase price to intangible assets, which was comprised of $24,170 of developed technology and $11,550 of customer relationships. Goodwill recognized of $7,970 from the acquisition was primarily attributed to an assembled workforce and expected synergies. The Company incurred transaction costs related to the acquisition of $1,140 during 2021 2022, Developed Technology Developed technology primarily consists of intellectual property of proprietary software products and platforms that are marketed for sale. The Company valued the developed technology by applying the cost method. The significant assumption and estimate used under the cost method was development costs. The Company is amortizing the developed technology intangible asset on a straight-line basis over an estimated useful life of five Customer Relationships The Company recorded the customer relationships intangible asset separately from goodwill based on determination of the length, strength and contractual nature of the relationships that EVRYTHNG shared with its customers. The Company valued the single group of customer relationships using the multi-period excess earnings method, which is an income approach. The significant assumptions used in the income approach include estimates about future expected cash flows from customer contracts, the customer attrition rate and the discount rate. The Company is amortizing the customer relationships intangible asset on a straight-line basis over an estimated useful life of 10 The following unaudited pro forma consolidated results of operations include the financial results of Digimarc and EVRYTHNG assuming the acquisition was completed on January 1, 2021, not may Year Ended December 31, 2023 2022 Revenue $ 34,851 $ 30,197 Net loss $ (45,959 ) $ (59,326 ) Loss per share: Basic $ (2.26 ) $ (3.10 ) Diluted $ (2.26 ) $ (3.10 ) |
Note 9 - Property and Equipment
Note 9 - Property and Equipment | 12 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Property, Plant and Equipment Disclosure [Text Block] | ( 9 Property and equipment are stated at cost. Repairs and maintenance are charged to expense when incurred. Depreciation on property and equipment is calculated using the straight-line method over the estimated useful lives of the assets, generally two ten December 31, December 31, 2023 2022 Office furniture and fixtures $ 1,435 $ 1,613 Software 5,497 5,747 Equipment 2,472 4,785 Leasehold improvements 1,861 1,861 Gross property and equipment 11,265 14,006 Less accumulated depreciation (9,695 ) (11,616 ) Property and equipment, net $ 1,570 $ 2,390 |
Note 10 - Goodwill
Note 10 - Goodwill | 12 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Goodwill Disclosure [Text Block] | ( 10 Balance at December 31, 2021 $ 1,114 Goodwill acquired on January 3, 2022 and measurement period adjustments (1) 7,970 Currency translation adjustments (855 ) Balance at December 31, 2022 8,229 Currency translation adjustments 412 Balance at December 31, 2023 $ 8,641 ( 1 Measurement period adjustments include adjustments to acquired intangible assets, accounts receivable, income tax receivables, deferred revenue, and accounts payable as well as the release of holdback shares. |
Note 11 - Intangibles
Note 11 - Intangibles | 12 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Intangible Assets Disclosure [Text Block] | ( 11 Patent costs associated with the application and award of patents in the U.S. and various other countries are capitalized and amortized on a straight-line basis over the term of the patents as determined at the award date, which varies depending on the pendency period of the application, but generally approximates seventeen Amortization of intangible assets acquired is calculated using the straight-line method over the estimated useful lives of the assets. Estimated Life December 31, December 31, (years) 2023 2022 Capitalized patent costs ~17 $ 9,231 $ 10,646 Intangible assets acquired: Purchased intellectual property 10 250 250 Developed technology 5 22,836 21,661 Customer relationships 10 10,913 10,351 Gross intangible assets 43,230 42,908 Accumulated amortization (14,772 ) (9,738 ) Intangibles, net $ 28,458 $ 33,170 The amortization of capitalized patent costs, purchased intellectual property, and developed technology is recorded in “cost of revenue” and the amortization of customer relationships is recorded in “operating expenses” in the Consolidated Statements of Operations. Amortization expense on intangible assets was as follows: Year Ended December 31, 2023 2022 Amortization expense $ 6,097 $ 6,078 For intangible assets recorded at December 31, 2023 December 31, 2024 December 31, 2028 Amortization Year Ended December 31, Expense 2024 $ 6,194 2025 6,175 2026 6,142 2027 1,542 2028 1,531 |
Note 12 - Leases
Note 12 - Leases | 12 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Lessee, Operating Leases [Text Block] | ( 12 The Company accounts for leases in accordance with ASC 842, Leases. The Company entered into a sublease agreement and lease extension agreement for office space in Beaverton, Oregon in February 2022 September 2030. December 31, 2023 first 26 The Company continues to lease its former corporate headquarters in Beaverton, Oregon. The lease expires in March 2024. December 31, 2023 March 2022 The Company leased office space in London, England under a lease entered into by EVRYTHNG in July 2019. July 2023, no December 31, 2023 All of the Company’s leases are operating leases. The following table provides additional details of leases presented in the Consolidated Balance Sheets: December 31, December 31, 2023 2022 Lease right of use assets $ 4,017 $ 4,720 Lease liabilities, current $ 582 $ 939 Lease liabilities, long-term $ 5,994 $ 5,977 Weighted-average remaining life (in years) 6.5 6.7 Weighted-average discount rate 9 % 9 % The current lease liabilities are included in “accounts payable and other accrued liabilities” in the Consolidated Balance Sheets. The carrying value of the lease right of use assets is evaluated for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset may not December 31, 2023 2022 Operating lease expense is included in “operating expenses” in the Consolidated Statements of Operations and in “cash flows from operating activities” in the Consolidated Statements of Cash Flows. The operating leases include variable lease payments, which are included in operating lease expense. Additional details of the Company’s operating leases are presented in the following table: Year Ended December 31, 2023 2022 Operating lease expense $ 1,556 $ 1,905 Cash paid for operating leases $ 1,151 $ 1,572 The table below reconciles the cash payment obligations for the next five December 31, 2023 Cash Payment Year Ended December 31, Obligations 2024 $ 1,186 2025 1,317 2026 1,356 2027 1,397 2028 1,296 Thereafter 2,455 Total lease payments 9,007 Imputed interest (2,431 ) Total minimum lease payments $ 6,576 |
Note 13 - Shareholders' Equity
Note 13 - Shareholders' Equity | 12 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Equity [Text Block] | ( 13 Equity Preferred Stock In June 2008, one may may The Board of Directors authorized 10 no may The Series A Preferred is redeemable based on the stated fair value of $5.00 per share. The Series A Preferred has no dividend rights and no rights to the undistributed earnings of the Company. Common Stock In June 2008, one may may no no In May 2019, may For the year ended December 31, 2022 December 31, 2022, There were no shares sold for the year ended December 31, 2023 As of December 31, 2023 , $1,948 remained available for future issuance under the Equity Distribution Agreement. Registered Direct Offering On April 5, 2022, April 7, 2022. Stock Incentive Plan In March 2018, 2018 “2018 2018 April 2018. 2018 2008 “2008 2018 may In May 2023, 2018 2023 The 2018 2008 2018 2018 2018 2018 2018 not 2018 not 2018 |
Note 14 - Defined Contribution
Note 14 - Defined Contribution Plan | 12 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Retirement Benefits [Text Block] | ( 14 The Company sponsors an employee retirement savings plan (the “Plan”) which qualifies as a deferred salary arrangement under Section 401 one 401 401 may The Company made matching contributions in the aggregate amount as follows: Year Ended December 31, 2023 2022 Matching contributions $ 1,217 $ 1,365 |
Note 15 - Other Income
Note 15 - Other Income | 12 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Other Income and Other Expense Disclosure [Text Block] | ( 15 The following table provides information about other income, net: Year Ended December 31, 2023 2022 Interest income $ 1,680 $ 744 Refundable tax credit 684 1,260 Foreign currency gains (losses) 96 86 Other income (loss) (8 ) 18 Total other income, net $ 2,452 $ 2,108 |
Note 16 - Income Taxes
Note 16 - Income Taxes | 12 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | ( 16 The provision for income taxes reflects current taxes and deferred taxes. The effective tax rate for each of the years ended December 31, 2023 2022 0% . not Components of the provision for income taxes allocated to continuing operations include the following: Year Ended December 31, 2023 2022 Current: Federal $ (141 ) $ (60 ) State (9 ) (20 ) Foreign (37 ) (34 ) Sub-total $ (187 ) $ (114 ) Deferred: Federal $ (17 ) $ 17 State — — Foreign — — Sub-total $ (17 ) $ 17 Total $ (204 ) $ (97 ) The reconciliation of the statutory federal income tax rate to the Company’s effective income tax rate is as follows: Year Ended Year Ended December 31, December 31, 2023 % 2022 % Income taxes computed at statutory rates $ 9,609 (21 )% $ 12,537 (21 )% (Increases) decreases resulting from: Change in valuation allowance (11,716 ) 26 % (13,463 ) 22 % NOL surrendered for refundable tax credit (1,607 ) 4 % (2,164 ) 4 % Foreign research deductions and credits 803 (2 )% 1,329 (2 )% Federal and state research and experimentation credits 1,412 (3 )% 1,037 (2 )% State income taxes, net of federal tax benefit 468 (1 )% 491 (1 )% Other 827 (3 )% 136 — % Total $ (204 ) — % $ (97 ) $ — Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. The tax effects of significant items comprising the Company’s deferred tax assets and deferred tax liabilities are as follows: December 31, December 31, 2023 2022 Deferred tax assets: Federal and state net operating losses $ 77,201 $ 74,270 Federal and state research and experimentation credits 12,406 10,869 Research and experimental costs 9,458 4,837 ASC 842 - lease liabilities 1,468 1,508 Stock based compensation 1,474 482 Fixed asset differences 185 87 Goodwill — 36 Accrued compensation 610 69 Other 59 43 Total gross deferred tax assets 102,861 92,201 Less valuation allowance (95,256 ) (83,000 ) Net deferred tax assets $ 7,605 $ 9,201 Deferred tax liabilities: Patent expenditures $ (1,096 ) $ (1,464 ) ASC 842 - right of use assets (897 ) (1,049 ) Fixed asset differences (9 ) (28 ) Intangible asset differences (5,603 ) (6,644 ) Total gross deferred tax liabilities $ (7,605 ) $ (9,185 ) Total net deferred tax assets and liabilities $ — $ 16 The Company had a valuation allowance of $95,256 and $83,000 on deferred tax assets as of December 31, 2023 2022 December 31, 2023 As of December 31, 2023 rwards of $247,472, $178,519, As of December 31, 2023 A summary reconciliation of the Company’s uncertain tax positions is as follows: Year Ended December 31, 2023 2022 Beginning balance $ 1,046 $ 918 Addition for current year tax positions 94 98 Addition for prior year tax positions — 30 Reduction for prior year positions (77 ) — Reduction for prior year positions resolved during the current year — — Ending balance $ 1,063 $ 1,046 The Company records accrued interest and penalties associated with uncertain tax positions in the “provision for income taxes” in the Consolidated Statements of Operations. For the years ended December 31, 2023 2022 not 12 The Company’s open tax years subject to examination in the U.S. federal jurisdiction are 2020 2022, 2020 2022, 2022. may |
Note 17 - Commitments and Conti
Note 17 - Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | ( 17 Certain of the Company’s product and services agreements include an indemnification provision for claims from third 450 Contingencies no The Company is subject from time to time to other legal proceedings and claims arising in the ordinary course of business. At this time, the Company does not |
Note 18 - Subsequent Events
Note 18 - Subsequent Events | 12 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Subsequent Events [Text Block] | ( 18 On February 24, 2024, February 27, 2024. On February 27, 2024, s intention to terminate the Equity Distribution Agreement effective on March 1, 2024. |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Description of Business [Policy Text Block] | Description of Business Digimarc, an Oregon corporation, is a pioneer and global leader in digital watermarking technologies. For nearly 30 one two The Digimarc Illuminate platform is a distinctive SaaS cloud-based platform for digital connectivity that provides the tools for the application of advanced digital watermarks and dynamic QR codes, software (digital twins) that enables various systems and devices to interact with those data carriers, and a centralized platform for capturing insights about digital interactions and automating activities based on that information. The Digimarc product suite is built on top of the Digimarc Illuminate platform to power a trusted and scalable ecosystem that can address specific business needs in areas like automation, authenticity, sustainability, and customer trust and connectivity. All of the Company’s products are complementary to each other, providing exponential benefits when combined. By enabling customers to create and connect digital twins to physical and digital items, Digimarc’s products provide many benefits including: • Digimarc Validate • Digimarc Engage • Digimarc Recycle • Digimarc Retail Experience first |
Consolidation, Policy [Policy Text Block] | Principles of Consolidation The consolidated financial statements include the accounts of Digimarc and its wholly-owned subsidiaries. All intercompany transactions and balances have been eliminated. Digimarc acquired EVRYTHNG on January 3, 2022. Note 8 |
Use of Estimates, Policy [Policy Text Block] | Use of Estimates The preparation of the consolidated financial statements in accordance with U.S. GAAP requires management to make estimates and judgments that affect the reported amounts of assets, liabilities, revenue and expenses, and related disclosure of contingent assets and liabilities. The Company’s accounting policy for revenue recognition requires a higher degrees of judgment than others in their application. Management bases its estimates on historical experience and on other assumptions that are believed to be reasonable in the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not may |
Cash and Cash Equivalents, Policy [Policy Text Block] | Cash Equivalents The Company considers all highly liquid marketable securities with original maturities of 90 December 31, 2023 2022 |
Marketable Securities, Policy [Policy Text Block] | Marketable Securities The Company considers all investments with original maturities over 90 one The Company’s marketable securities are now classified as available-for-sale, as the Company sold a marketable security during 2022, A decline in the market value of any security that is deemed to be other-than-temporary is charged to earnings. To determine whether an impairment is other-than-temporary, the Company considers whether it has the ability and intent to hold the investment until a market price recovery and considers whether evidence indicating that the cost of the investment is recoverable outweighs evidence to the contrary. There have been no |
Concentration Risk, Credit Risk, Policy [Policy Text Block] | Concentrations of Business and Credit Risk A significant portion of the Company’s business depends on a limited number of large contracts. The loss of any large contract may The Company places its cash and cash equivalents with major banks and financial institutions and at times deposits may may one one no one The Company manages credit risk on accounts receivable by evaluating a customer’s credit worthiness before extending any significant amount of credit. There is a significant concentration of accounts receivable at various times from our two not |
Commitments and Contingencies, Policy [Policy Text Block] | Contingencies The Company evaluates all pending or threatened contingencies or commitments, if any, that are reasonably likely to have a material adverse effect on the Company’s operations or financial position. The Company assesses the probability of an adverse outcome and determines if it is remote, reasonably possible or probable as defined in accordance with ASC 450 Contingencies no one 450 not |
Goodwill and Intangible Assets, Goodwill, Policy [Policy Text Block] | Goodwill The Company tests goodwill for impairment annually and whenever events or changes in circumstances indicate that the carrying value may 350 Intangibles Goodwill and Other. June 30, 2023 2022 |
Impairment or Disposal of Long-Lived Assets, Policy [Policy Text Block] | Impairment of Long-Lived Assets The Company assesses long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not 360 Property, Plant and Equipment Recoverability of assets to be held and used is evaluated by a comparison of the carrying amount of the assets to future net undiscounted cash flows expected to be generated by the assets over their remaining useful life. If such assets are considered to be impaired, the impairment would be recognized in operating results at the amount by which the carrying amount of the assets exceeds the fair value of the assets. Fair value is determined based on discounted cash flows, observable market values or appraised values, depending on the nature of the assets. Assets to be disposed of are reported at the lower of the carrying amount or fair value less costs to sell. |
In Process Research and Development, Policy [Policy Text Block] | Research and Development Research and development costs are expensed as incurred in accordance with ASC 730 Research and Development |
Research, Development, and Computer Software, Policy [Policy Text Block] | Software Development Costs Under ASC 985 Software not |
Patent Costs [Policy Text Block] | Patent Costs Costs associated with the application and award of patents in the U.S. and various other countries are capitalized and amortized on a straight-line basis over the term of the patents as determined at award date, which varies depending on the pendency period of the application. Capitalized patent costs, also referred to as patent prosecution costs, include internal legal labor, professional legal fees, government filing fees and translation fees related to expanding the Company’s patent portfolio. Costs associated with the maintenance and annuity fees of patents are accounted for as prepaid assets at the time of payment and amortized over the shorter of the maintenance period or remaining life of the related patent. |
Revenue [Policy Text Block] | Revenue Recognition See Note 3 |
Share-Based Payment Arrangement [Policy Text Block] | Stock-Based Compensation The Company accounts for stock-based compensation in accordance with ASC 718 Compensation Stock Compensation |
Regulatory Income Taxes, Policy [Policy Text Block] | Income Taxes The Company accounts for income taxes in accordance with ASC 740 Income Taxes The Company records valuation allowances on deferred tax assets if, based on available evidence, it is more-likely-than- not not The Company is subject to income taxes within the U.S. and other countries, and, in the ordinary course of business, there are transactions and calculations where the ultimate tax determination is uncertain. The Company reports a liability (or contra asset) for unrecognized tax benefits resulting from uncertain tax positions taken (or expected to be taken) on a tax return. The Company recognizes interest and penalties, if any, related to the unrecognized tax benefits in the provision for income taxes. |
Business Combinations Policy [Policy Text Block] | Business Combinations The Company allocates the purchase price consideration to tangible and intangible assets acquired and liabilities assumed based on their estimated fair values. The purchase price is determined based on the fair value of the assets transferred, liabilities assumed and equity interests issued, after considering any transactions that are separate from the business combination. The fair value of equity issued as part of a business combination is determined based on the closing price of the Company’s stock on the date the acquisition closed. The excess of fair value of purchase price consideration over the fair values of the identifiable assets and liabilities is recorded as goodwill. Such fair value calculations require the Company to make significant estimates and assumptions, especially with respect to intangible assets and contingent liabilities. Significant estimates in valuing certain intangible assets include, but are not The estimates are inherently uncertain and subject to revision as additional information is obtained during the measurement period for an acquisition, which may one may |
Liquidity [Policy Text Block] | Liquidity Under ASC 205 40 Presentation of Financial Statements-Going Concern , one one may not may 12 |
New Accounting Pronouncements, Policy [Policy Text Block] | Accounting Pronouncements Adopted In June 2016, No. 2016 13 Financial Instruments - Credit Losses (Topic 326 Measurement of Credit Losses on Financial Instruments , December 15, 2022. January 1, 2023. not Accounting Pronouncements Issued But Not In November 2023, No. 2023 07 Segment Reporting (Topic 280 . December 31, 2024 first December 31, 2025 In December 2023, No. 2023 09 Income Taxes (Topic 740 December 31, 2025, |
Note 2 - Fair Value of Financ_2
Note 2 - Fair Value of Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Notes Tables | |
Fair Value, Assets Measured on Recurring Basis [Table Text Block] | December 31, 2023 Level 1 Level 2 Level 3 Total Money market securities $ 1,515 $ — $ — $ 1,515 Commercial Paper — 14,622 — 14,622 U.S. Treasuries — 5,953 — 5,953 Federal agency notes — 998 — 998 Total $ 1,515 $ 21,573 $ — $ 23,088 December 31, 2022 Level 1 Level 2 Level 3 Total Money market securities $ 2,073 $ — $ — $ 2,073 Commercial paper — 35,468 — 35,468 Corporate notes — 4,423 — 4,423 Federal agency notes — 8,432 — 8,432 Total $ 2,073 $ 48,323 $ — $ 50,396 |
Investments Classified by Contractual Maturity Date [Table Text Block] | Maturities by Period Less than 1 5 5 10 More than Total 1 year years years 10 years Cash equivalents and marketable securities $ 23,088 $ 23,088 $ — $ — $ — |
Note 3 - Revenue Recognition (T
Note 3 - Revenue Recognition (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Notes Tables | |
Disaggregation of Revenue [Table Text Block] | Year Ended December 31, 2023 2022 Commercial: Subscription $ 17,773 $ 13,832 Service 1,042 2,056 Total Commercial 18,815 15,888 Government: Subscription $ 1,200 $ 1,387 Service 14,836 12,922 Total Government 16,036 14,309 Total $ 34,851 $ 30,197 |
Contract With Customers, Contract Acquisition Costs [Table Text Block] | December 31, December 31, 2023 2022 Contract acquisition costs, current $ 113 $ 197 Contract acquisition costs, long-term 9 104 Total $ 122 $ 301 |
Contract with Customer, Contract Asset, Contract Liability, and Receivable [Table Text Block] | December 31, December 31, 2023 2022 Deferred revenue, current $ 5,853 $ 4,145 Deferred revenue, long-term 7 15 Total $ 5,860 $ 4,160 |
Note 4 - Segment Information (T
Note 4 - Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Notes Tables | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | Year Ended December 31, 2023 2022 Domestic $ 11,380 $ 10,029 International (1) 23,471 20,168 Total $ 34,851 $ 30,197 |
Schedule of Revenue by Major Customers by Reporting Segments [Table Text Block] | Year Ended December 31, 2023 2022 Customer A 46 % 46 % Customer B 21 % 17 % |
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas [Table Text Block] | December 31, December 31, 2023 2022 United States $ 1,535 $ 2,324 Europe 35 66 Total $ 1,570 $ 2,390 |
Note 5 - Stock-based Compensa_2
Note 5 - Stock-based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Notes Tables | |
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Table Text Block] | Year Ended December 31, 2023 2022 Stock-based compensation: Cost of revenue $ 1,126 $ 913 Sales and marketing 2,640 3,842 Research, development and engineering 2,962 2,646 General and administrative 4,430 3,888 Stock-based compensation expense 11,158 11,289 Capitalized to software and patent costs 63 128 Total stock-based compensation $ 11,221 $ 11,417 |
Share-Based Payment Arrangement, Nonvested Award, Cost [Table Text Block] | December 31, December 31, 2023 2022 Total unrecognized compensation costs $ 15,370 $ 16,051 |
Employee Service Share Based Compensation Non Vested Awards Compensation Cost Not Yet Recognized Period for Recognition [Table Text Block] | RSAs RSUs PRSUs Weighted average period (in years) 0.76 1.50 1.64 |
Share-Based Payment Arrangement, Option, Activity [Table Text Block] | Weighted Weighted Average Average Aggregate Number of Exercise Grant Date Intrinsic Options Price Fair Value Value Options outstanding, December 31, 2021 50 $ 39.54 $ 22.23 Granted 1 $ 22.15 $ — Exercised — $ — $ — Forfeited or expired — $ — $ — Options outstanding, December 31, 2022 51 $ 39.14 $ 21.72 Granted — $ — $ — Exercised — $ — $ — Forfeited or expired (50 ) $ 39.54 $ 22.23 Options outstanding, December 31, 2023 1 22.15 $ — 16 Options exercisable, December 31, 2023 1 $ 22.15 $ 16 Options unvested, December 31, 2023 — $ — $ — |
Share-Based Payment Arrangement, Option, Exercise Price Range [Table Text Block] | Options Outstanding Options Exercisable Weighted Weighted Remaining Average Remaining Average Number Contractual Exercise Number Contractual Exercise Exercise Price Outstanding Life (Years) Price Outstanding Life (Years) Price $21-$24 1 6.85 $ 22.15 1 6.85 $ 22.15 |
Nonvested Restricted Stock Shares Activity [Table Text Block] | Weighted Average Number of Grant Date Shares Fair Value Unvested balance, December 31, 2021 360 $ 34.90 Granted 54 $ 18.36 Vested (187 ) $ 32.72 Forfeited (31 ) $ 36.90 Unvested balance, December 31, 2022 196 $ 32.06 Granted 45 $ 22.10 Vested (130 ) $ 30.18 Forfeited (6 ) $ 34.89 Unvested balance, December 31, 2023 105 $ 29.89 |
Schedule of Fair Value of Restricted Stock Awards Vested [Table Text Block] | Year Ended December 31, 2023 2022 Fair value of RSA vested $ 3,273 $ 4,445 |
Share-Based Payment Arrangement, Restricted Stock Unit, Activity [Table Text Block] | Weighted Average Number of Grant Date Units Fair Value Unvested balance, December 31, 2021 — $ — Granted 601 $ 26.31 Vested (144 ) $ 30.25 Forfeited (87 ) $ 26.31 Unvested balance, December 31, 2022 370 $ 24.77 Granted 298 $ 23.20 Vested (161 ) $ 24.46 Forfeited (65 ) $ 25.17 Unvested balance, December 31, 2023 442 $ 23.77 |
Schedule of Fair Value of Restricted Stock Units Vested [Table Text Block] | Year Ended December 31, 2023 2022 Fair value of RSU awards vested $ 4,893 $ 2,509 |
Share-Based Payment Arrangement, Performance Shares, Activity [Table Text Block] | Weighted Average Number of Grant Date Units Fair Value Unvested balance, December 31, 2020 124 $ 11.08 Granted — $ — Vested (1) (82 ) $ 15.54 Forfeited (1) (42 ) $ 11.08 Unvested balance, December 31, 2021 — $ — Granted 73 $ 31.93 Vested — $ — Forfeited (6 ) $ 32.02 Unvested balance, December 31, 2022 67 $ 31.92 Change in units based on performance expectations (6 ) $ 32.02 Granted 134 $ 27.75 Vested (2 ) $ 32.02 Forfeited (1 ) $ 32.02 Unvested balance, December 31, 2023 192 $ 29.01 |
Schedule of Fair Value of Performance Stock Units Vested [Table Text Block] | Year Ended December 31, 2023 2022 Fair value of PRSU awards vested $ 54 $ — |
Black Scholes Option Valuation [Member] | |
Notes Tables | |
Schedule of Share-Based Payment Award, Stock Options, Valuation Assumptions [Table Text Block] | Year Ended December 31, 2023 2022 Stock price $ 22.37 $ 32.02 Expected volatility 74.7 % 82.8 % Risk-free interest rate 4.3 % 1.8 % |
Note 6 - Earnings Per Common _2
Note 6 - Earnings Per Common Share (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Notes Tables | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Year Ended December 31, 2023 2022 Basic Earnings (Loss) per Share: Net loss — basic $ (45,959 ) $ (59,798 ) Weighted average shares outstanding — basic 20,322 19,140 Basic loss per share $ (2.26 ) $ (3.12 ) Diluted Earnings (Loss) per Share: Net loss — diluted $ (45,959 ) $ (59,798 ) Weighted average shares outstanding — diluted 20,322 19,140 Diluted loss per share $ (2.26 ) $ (3.12 ) |
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share [Table Text Block] | Year Ended December 31, 2023 2022 Anti-dilutive shares due to: Exercise prices higher than the average market price — 50 Net loss 134 — |
Note 7 - Trade Accounts Recei_2
Note 7 - Trade Accounts Receivable (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Notes Tables | |
Schedule of Accounts, Notes, Loans and Financing Receivable [Table Text Block] | December 31, December 31, 2023 2022 Trade accounts receivable, current $ 5,947 $ 5,541 Trade accounts receivable, long-term 9 37 Allowance for doubtful accounts (134 ) (114 ) Trade accounts receivable, net $ 5,822 $ 5,464 Unpaid deferred revenue included in trade accounts receivable $ 2,073 $ 2,183 |
Schedule of Accounts Receivable By Major Customers By Reporting Segments [Table Text Block] | December 31, December 31, 2023 2022 Company A 56 % 55 % Company B 13 % * |
Note 8 - Business Combination (
Note 8 - Business Combination (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Notes Tables | |
Schedule of Business Acquisitions, by Acquisition [Table Text Block] | Purchase Price Allocation January 3, 2022 Trade accounts receivable, net $ 762 Other current assets 2,178 Property and equipment, net 99 Lease right of use assets and other long-term assets 484 Intangibles 35,720 Goodwill 7,970 Accounts payable and other accrued liabilities (5,395 ) Deferred revenue (1,678 ) Loan payable to related party (2,001 ) Lease liability and other long-term liabilities (205 ) Total purchase price $ 37,934 |
Business Acquisition, Pro Forma Information [Table Text Block] | Year Ended December 31, 2023 2022 Revenue $ 34,851 $ 30,197 Net loss $ (45,959 ) $ (59,326 ) Loss per share: Basic $ (2.26 ) $ (3.10 ) Diluted $ (2.26 ) $ (3.10 ) |
Note 9 - Property and Equipme_2
Note 9 - Property and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Notes Tables | |
Property, Plant and Equipment [Table Text Block] | December 31, December 31, 2023 2022 Office furniture and fixtures $ 1,435 $ 1,613 Software 5,497 5,747 Equipment 2,472 4,785 Leasehold improvements 1,861 1,861 Gross property and equipment 11,265 14,006 Less accumulated depreciation (9,695 ) (11,616 ) Property and equipment, net $ 1,570 $ 2,390 |
Note 10 - Goodwill (Tables)
Note 10 - Goodwill (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Notes Tables | |
Schedule of Goodwill [Table Text Block] | Balance at December 31, 2021 $ 1,114 Goodwill acquired on January 3, 2022 and measurement period adjustments (1) 7,970 Currency translation adjustments (855 ) Balance at December 31, 2022 8,229 Currency translation adjustments 412 Balance at December 31, 2023 $ 8,641 |
Note 11 - Intangibles (Tables)
Note 11 - Intangibles (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Notes Tables | |
Schedule of Finite-Lived Intangible Assets [Table Text Block] | Estimated Life December 31, December 31, (years) 2023 2022 Capitalized patent costs ~17 $ 9,231 $ 10,646 Intangible assets acquired: Purchased intellectual property 10 250 250 Developed technology 5 22,836 21,661 Customer relationships 10 10,913 10,351 Gross intangible assets 43,230 42,908 Accumulated amortization (14,772 ) (9,738 ) Intangibles, net $ 28,458 $ 33,170 |
Finite-Lived Intangible Assets Amortization Expense [Table Text Block] | Year Ended December 31, 2023 2022 Amortization expense $ 6,097 $ 6,078 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block] | Amortization Year Ended December 31, Expense 2024 $ 6,194 2025 6,175 2026 6,142 2027 1,542 2028 1,531 |
Note 12 - Leases (Tables)
Note 12 - Leases (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Notes Tables | |
Lessee Operating Lease Details of Leases Presented in Balance Sheets [Table Text Block] | December 31, December 31, 2023 2022 Lease right of use assets $ 4,017 $ 4,720 Lease liabilities, current $ 582 $ 939 Lease liabilities, long-term $ 5,994 $ 5,977 Weighted-average remaining life (in years) 6.5 6.7 Weighted-average discount rate 9 % 9 % |
Lease, Cost [Table Text Block] | Year Ended December 31, 2023 2022 Operating lease expense $ 1,556 $ 1,905 Cash paid for operating leases $ 1,151 $ 1,572 |
Lessee, Operating Lease, Liability, to be Paid, Maturity [Table Text Block] | Cash Payment Year Ended December 31, Obligations 2024 $ 1,186 2025 1,317 2026 1,356 2027 1,397 2028 1,296 Thereafter 2,455 Total lease payments 9,007 Imputed interest (2,431 ) Total minimum lease payments $ 6,576 |
Note 14 - Defined Contributio_2
Note 14 - Defined Contribution Plan (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Notes Tables | |
Defined Contribution Plan Disclosures [Table Text Block] | Year Ended December 31, 2023 2022 Matching contributions $ 1,217 $ 1,365 |
Note 15 - Other Income (Tables)
Note 15 - Other Income (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Notes Tables | |
Schedule of Other Nonoperating Income (Expense) [Table Text Block] | Year Ended December 31, 2023 2022 Interest income $ 1,680 $ 744 Refundable tax credit 684 1,260 Foreign currency gains (losses) 96 86 Other income (loss) (8 ) 18 Total other income, net $ 2,452 $ 2,108 |
Note 16 - Income Taxes (Tables)
Note 16 - Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Notes Tables | |
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | Year Ended December 31, 2023 2022 Current: Federal $ (141 ) $ (60 ) State (9 ) (20 ) Foreign (37 ) (34 ) Sub-total $ (187 ) $ (114 ) Deferred: Federal $ (17 ) $ 17 State — — Foreign — — Sub-total $ (17 ) $ 17 Total $ (204 ) $ (97 ) |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | Year Ended Year Ended December 31, December 31, 2023 % 2022 % Income taxes computed at statutory rates $ 9,609 (21 )% $ 12,537 (21 )% (Increases) decreases resulting from: Change in valuation allowance (11,716 ) 26 % (13,463 ) 22 % NOL surrendered for refundable tax credit (1,607 ) 4 % (2,164 ) 4 % Foreign research deductions and credits 803 (2 )% 1,329 (2 )% Federal and state research and experimentation credits 1,412 (3 )% 1,037 (2 )% State income taxes, net of federal tax benefit 468 (1 )% 491 (1 )% Other 827 (3 )% 136 — % Total $ (204 ) — % $ (97 ) $ — |
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | December 31, December 31, 2023 2022 Deferred tax assets: Federal and state net operating losses $ 77,201 $ 74,270 Federal and state research and experimentation credits 12,406 10,869 Research and experimental costs 9,458 4,837 ASC 842 - lease liabilities 1,468 1,508 Stock based compensation 1,474 482 Fixed asset differences 185 87 Goodwill — 36 Accrued compensation 610 69 Other 59 43 Total gross deferred tax assets 102,861 92,201 Less valuation allowance (95,256 ) (83,000 ) Net deferred tax assets $ 7,605 $ 9,201 Deferred tax liabilities: Patent expenditures $ (1,096 ) $ (1,464 ) ASC 842 - right of use assets (897 ) (1,049 ) Fixed asset differences (9 ) (28 ) Intangible asset differences (5,603 ) (6,644 ) Total gross deferred tax liabilities $ (7,605 ) $ (9,185 ) Total net deferred tax assets and liabilities $ — $ 16 |
Summary of Income Tax Contingencies [Table Text Block] | Year Ended December 31, 2023 2022 Beginning balance $ 1,046 $ 918 Addition for current year tax positions 94 98 Addition for prior year tax positions — 30 Reduction for prior year positions (77 ) — Reduction for prior year positions resolved during the current year — — Ending balance $ 1,063 $ 1,046 |
Note 1 - Description of Busin_2
Note 1 - Description of Business and Significant Accounting Policies (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2023 | Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | |
Cash Equivalents, at Carrying Value | $ 17,362 | $ 31,452 | ||
Percentage of Concentration Risk Credit Risk Financial Instruments Under Option One | 5% | |||
Concentration Risk Credit Risk Financial Instruments Under Option Two | $ 1,000 | |||
Percentage of Credit Exposure Limits Based on Cash and Cash Equivalents and Marketable Securities | 40% | |||
Credit Exposure Limits of Cash and Cash Equivalents and Marketable Securities Under Option Two | $ 15,000 | |||
Goodwill, Impairment Loss | $ 0 | $ 0 |
Note 2 - Fair Value of Financ_3
Note 2 - Fair Value of Financial Instruments - Summary of Fair Value Hierarchy for Financial Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Assets, fair value | $ 23,088 | |
Fair Value, Recurring [Member] | ||
Assets, fair value | 23,088 | $ 50,396 |
Fair Value, Recurring [Member] | Money Market Securities [Member] | ||
Assets, fair value | 1,515 | 2,073 |
Fair Value, Recurring [Member] | Commercial Paper, Not Included with Cash and Cash Equivalents [Member] | ||
Assets, fair value | 14,622 | 35,468 |
Fair Value, Recurring [Member] | US Treasury Securities [Member] | ||
Assets, fair value | 5,953 | |
Fair Value, Recurring [Member] | Corporate Debt Securities [Member] | ||
Assets, fair value | 4,423 | |
Fair Value, Recurring [Member] | Federal Agency Notes [Member] | ||
Assets, fair value | 998 | 8,432 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Assets, fair value | 1,515 | 2,073 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Money Market Securities [Member] | ||
Assets, fair value | 1,515 | 2,073 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Commercial Paper, Not Included with Cash and Cash Equivalents [Member] | ||
Assets, fair value | 0 | 0 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | US Treasury Securities [Member] | ||
Assets, fair value | 0 | |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Corporate Debt Securities [Member] | ||
Assets, fair value | 0 | |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Federal Agency Notes [Member] | ||
Assets, fair value | 0 | 0 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Assets, fair value | 21,573 | 48,323 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Money Market Securities [Member] | ||
Assets, fair value | 0 | 0 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Commercial Paper, Not Included with Cash and Cash Equivalents [Member] | ||
Assets, fair value | 14,622 | 35,468 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | US Treasury Securities [Member] | ||
Assets, fair value | 5,953 | |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Corporate Debt Securities [Member] | ||
Assets, fair value | 4,423 | |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Federal Agency Notes [Member] | ||
Assets, fair value | 998 | 8,432 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Assets, fair value | 0 | 0 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | Money Market Securities [Member] | ||
Assets, fair value | 0 | 0 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | Commercial Paper, Not Included with Cash and Cash Equivalents [Member] | ||
Assets, fair value | 0 | 0 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | US Treasury Securities [Member] | ||
Assets, fair value | 0 | |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | Corporate Debt Securities [Member] | ||
Assets, fair value | 0 | |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | Federal Agency Notes [Member] | ||
Assets, fair value | $ 0 | $ 0 |
Note 2 - Fair Value of Financ_4
Note 2 - Fair Value of Financial Instruments - Summary of Fair Value Maturities for Financial Asset (Details) $ in Thousands | Dec. 31, 2023 USD ($) |
Assets, fair value | $ 23,088 |
Cash equivalents and marketable securities, less than 1 year | 23,088 |
Cash equivalents and marketable securities, 1-5 years | 0 |
Cash equivalents and marketable securities, 5-10 years | 0 |
Cash equivalents and marketable securities, more than 10 years | $ 0 |
Note 3 - Revenue Recognition (D
Note 3 - Revenue Recognition (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Subscription Revenue Term, Minimum (Year) | 1 year | |
Subscription Revenue Term, Maximum (Year) | 3 years | |
Period of Revenue From Services (Month) | 1 month | |
Contract with Customer, Liability, Revenue Recognized | $ 4,085 | |
Contract With Customer Liability, Transaction Price From Contractual Obligations | $ 31,798 | $ 29,600 |
Note 3 - Revenue Recognition -
Note 3 - Revenue Recognition - Schedule of Disaggregated Revenue By Major Product Line in Single Reporting Segment (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Revenue | $ 34,851 | $ 30,197 |
The Government [Member] | ||
Revenue | 16,036 | 14,309 |
Commercial [Member] | ||
Revenue | 18,815 | 15,888 |
Subscription [Member] | ||
Revenue | 18,973 | 15,219 |
Subscription [Member] | The Government [Member] | ||
Revenue | 17,773 | 13,832 |
Subscription [Member] | Commercial [Member] | ||
Revenue | 1,200 | 1,387 |
Service [Member] | ||
Revenue | 15,878 | 14,978 |
Service [Member] | The Government [Member] | ||
Revenue | 1,042 | 2,056 |
Service [Member] | Commercial [Member] | ||
Revenue | $ 14,836 | $ 12,922 |
Note 3 - Revenue Recognition _2
Note 3 - Revenue Recognition - Schedule of Contract Liabilities from Contracts with Customers from Acquisition (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Contract acquisition costs, current | $ 113 | $ 197 |
Contract acquisition costs, long-term | 9 | 104 |
Total | $ 122 | $ 301 |
Note 3 - Revenue Recognition _3
Note 3 - Revenue Recognition - Schedule of Contract Liabilities from Contracts with Customers (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Deferred revenue, current | $ 5,853 | $ 4,145 |
Deferred revenue, long-term | 7 | 15 |
Total | $ 5,860 | $ 4,160 |
Note 4 - Segment Information (D
Note 4 - Segment Information (Details Textual) | 12 Months Ended |
Dec. 31, 2023 | |
Number of Reportable Segments | 1 |
Note 4 - Segment Information -
Note 4 - Segment Information - Geographical Segment Revenue (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | ||
Revenue | $ 34,851 | $ 30,197 | |
UNITED STATES | |||
Revenue | 11,380 | 10,029 | |
Non-US [Member] | |||
Revenue | [1] | $ 23,471 | $ 20,168 |
[1]Revenue from the Central Banks, consisting of a consortium of central banks around the world, is classified as international revenue. Reporting revenue by country for this customer is not practicable. |
Note 4 - Segment Information _2
Note 4 - Segment Information - Customers Accounted for 10% or More of Revenue (Details) - Revenue Benchmark [Member] - Customer Concentration Risk [Member] | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Customer A [Member] | ||
Entity wide revenue major customers percentage | 46% | 46% |
Customer B [Member] | ||
Entity wide revenue major customers percentage | 21% | 17% |
Note 4 - Segment Information _3
Note 4 - Segment Information - Long-Lived Tangible Assets by Geographical Area (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Long-lived tangible assets | $ 80,552 | $ 113,777 |
Operating Segments [Member] | ||
Long-lived tangible assets | 1,570 | 2,390 |
Operating Segments [Member] | UNITED STATES | ||
Long-lived tangible assets | 1,535 | 2,324 |
Operating Segments [Member] | Europe [Member] | ||
Long-lived tangible assets | $ 35 | $ 66 |
Note 5 - Stock-based Compensa_3
Note 5 - Stock-based Compensation (Details Textual) - $ / shares shares in Thousands | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Jan. 03, 2022 | |
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Grants in Period, Gross (in shares) | 0 | 1 | ||
Share Price (in dollars per share) | $ 40.84 | |||
Restricted Stock [Member] | Employee [Member] | Minimum [Member] | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Award Vesting Period (Year) | 3 years | |||
Restricted Stock [Member] | Employee [Member] | Maximum [Member] | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Award Vesting Period (Year) | 4 years | |||
Restricted Stock [Member] | Director [Member] | Minimum [Member] | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Award Vesting Period (Year) | 1 year | |||
Restricted Stock [Member] | Director [Member] | Maximum [Member] | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Award Vesting Period (Year) | 3 years | |||
Restricted Stock Units (RSUs) [Member] | Minimum [Member] | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Award Vesting Period (Year) | 3 years | |||
Restricted Stock Units (RSUs) [Member] | Maximum [Member] | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Award Vesting Period (Year) | 4 years | |||
Performance Shares [Member] | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Award Vesting Period (Year) | 3 years | |||
Share-Based Compensation Arrangement by Share-Based Payment Award, Equity Instruments Other than Options, Cancelled and Reissued (in shares) | 21 | |||
Share-Based Compensation Arrangement by Share-Based Payment Award, Equity Instruments Other than Options, Cancelled and Reissued, Weighted Average Grant Date Fair Value (in dollars per share) | $ 28.93 | |||
Share-Based Payment Arrangement [Member] | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Number of Shares Available for Grant (in shares) | 1,447 | |||
Share-Based Compensation Arrangement by Share-Based Payment Award, Number of Shares Requiring Re-registration (in shares) | 137 | |||
Share-Based Payment Arrangement, Option [Member] | ||||
Share Price (in dollars per share) | $ 36.12 |
Note 5 - Stock-Based Compensa_4
Note 5 - Stock-Based Compensation - Stock Option Valuation Assumptions (Details) - $ / shares | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Stock price (in dollars per share) | $ 0 | $ 22.15 |
Share-Based Payment Arrangement, Option [Member] | ||
Stock price (in dollars per share) | $ 22.37 | $ 32.02 |
Expected volatility | 74.70% | 82.80% |
Risk-free interest rate | 4.30% | 1.80% |
Note 5 - Stock-Based Compensa_5
Note 5 - Stock-Based Compensation - Allocation of Stock-Based Compensation (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Stock-based compensation expense | $ 11,158 | $ 11,289 |
Stock-based compensation capitalized to software and patent costs | 63 | 128 |
Total stock-based compensation | 11,221 | 11,417 |
Cost of Sales [Member] | ||
Stock-based compensation expense | 1,126 | 913 |
Selling and Marketing Expense [Member] | ||
Stock-based compensation expense | 2,640 | 3,842 |
Research and Development Expense [Member] | ||
Stock-based compensation expense | 2,962 | 2,646 |
General and Administrative Expense [Member] | ||
Stock-based compensation expense | $ 4,430 | $ 3,888 |
Note 5 - Stock-Based Compensa_6
Note 5 - Stock-Based Compensation - Unrecognized Compensation Cost Related to Non-Vested Stock-Based Awards Granted (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Total unrecognized compensation costs | $ 15,370 | $ 16,051 |
Note 5 - Stock-Based Compensa_7
Note 5 - Stock-Based Compensation - Weighted Average Period for Recognition of Unrecognized Compensation Cost for Stock Options and Restricted Stock (Details) | 12 Months Ended |
Dec. 31, 2023 | |
Restricted Stock [Member] | |
Weighted average period (in years) (Year) | 9 months 3 days |
Restricted Stock Units (RSUs) [Member] | |
Weighted average period (in years) (Year) | 1 year 6 months |
Performance Shares [Member] | |
Weighted average period (in years) (Year) | 1 year 7 months 20 days |
Note 5 - Stock-based Compensa_8
Note 5 - Stock-based Compensation - Stock Option Activity (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Jan. 01, 2022 | |
Options outstanding, shares (in shares) | 51 | 50 | |
Options outstanding, weighted average exercise price (in dollars per share) | $ 39.14 | $ 39.54 | |
Options outstanding, weighted average grant date fair value (in dollars per share) | $ 0 | $ 21.72 | $ 22.23 |
Granted, shares (in shares) | 0 | 1 | |
Stock price (in dollars per share) | $ 0 | $ 22.15 | |
Granted, weighted average grant date fair value (in dollars per share) | $ 0 | $ 0 | |
Exercised, shares (in shares) | 0 | 0 | |
Exercised, weighted average exercise price (in dollars per share) | $ 0 | $ 0 | |
Exercised, weighted average grant date fair value (in dollars per share) | $ 0 | $ 0 | |
Forfeited or expired, shares (in shares) | (50) | 0 | |
Forfeited or expired, weighted average exercise price (in dollars per share) | $ 39.54 | $ 0 | |
Forfeited or expired, weighted average grant date fair value (in dollars per share) | $ 22.23 | $ 0 | |
Options outstanding, shares (in shares) | 1 | 51 | |
Options outstanding,, weighted average exercise price (in dollars per share) | $ 22.15 | $ 39.14 | |
Options outstanding, aggregate intrinsic value | $ 16 | ||
Options exercisable, shares (in shares) | 1 | ||
Options exercisable, weighted average exercise price (in dollars per share) | $ 22.15 | ||
Options exercisable, aggregate intrinsic value | $ 16 | ||
Options unvested, shares (in shares) | 0 |
Note 5 - Stock-based Compensa_9
Note 5 - Stock-based Compensation - Summary of Option Exercise Prices by Grouped Ranges (Details) shares in Thousands | 12 Months Ended |
Dec. 31, 2023 $ / shares shares | |
Shares Outstanding (in shares) | shares | 1 |
Outstanding, Weighted Average Remaining Contractual Term (Year) | 6 years 10 months 6 days |
Outstanding, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 22.15 |
Shares Exercisable (in shares) | shares | 1 |
Exercisable, Weighted Average Remaining Contractual Term (Year) | 6 years 10 months 6 days |
Exercisable, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 22.15 |
Note 5 - Stock-Based Compens_10
Note 5 - Stock-Based Compensation - Schedule of Unvested Restricted Stock Activity (Details) - Restricted Stock [Member] - $ / shares shares in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Balance (in shares) | 196 | 360 |
Balance, weighted average grant date fair value (in dollars per share) | $ 32.06 | $ 34.9 |
Granted (in shares) | 45 | 54 |
Granted, weighted average grant date fair value (in dollars per share) | $ 22.1 | $ 18.36 |
Vested (in shares) | (130) | (187) |
Vested, weighted average grant date fair value (in dollars per share) | $ 30.18 | $ 32.72 |
Forfeited (in shares) | (6) | (31) |
Forfeited, weighted average grant date fair value (in dollars per share) | $ 34.89 | $ 36.9 |
Balance (in shares) | 105 | 196 |
Balance, weighted average grant date fair value (in dollars per share) | $ 29.89 | $ 32.06 |
Note 5 - Stock-Based Compens_11
Note 5 - Stock-Based Compensation - Fair Value of Vested Restricted Stock Awards (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Restricted Stock [Member] | ||
Fair value of RSA vested | $ 3,273 | $ 4,445 |
Note 5 - Stock-Based Compens_12
Note 5 - Stock-Based Compensation - Schedule of Unvested Restricted Stock Units (Details) - Restricted Stock Units (RSUs) [Member] - $ / shares shares in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Balance (in shares) | 370 | 0 |
Balance, weighted average grant date fair value (in dollars per share) | $ 24.77 | $ 0 |
Granted (in shares) | 298 | 601 |
Granted, weighted average grant date fair value (in dollars per share) | $ 23.2 | $ 26.31 |
Vested (in shares) | (161) | (144) |
Vested, weighted average grant date fair value (in dollars per share) | $ 24.46 | $ 30.25 |
Forfeited (in shares) | (65) | (87) |
Forfeited, weighted average grant date fair value (in dollars per share) | $ 25.17 | $ 26.31 |
Balance (in shares) | 442 | 370 |
Balance, weighted average grant date fair value (in dollars per share) | $ 23.77 | $ 24.77 |
Note 5 - Stock-Based Compens_13
Note 5 - Stock-Based Compensation - Fair Value of Vested Restricted Stock Units (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Restricted Stock Units (RSUs) [Member] | ||
Fair value of RSA vested | $ 4,893 | $ 2,509 |
Note 5 - Stock-Based Compens_14
Note 5 - Stock-Based Compensation - Schedule of Unvested Performance Stock Unit (Details) - Performance Shares [Member] - $ / shares shares in Thousands | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | ||
Balance (in shares) | 67 | 0 | 124 | |
Balance, weighted average grant date fair value (in dollars per share) | $ 31.92 | $ 0 | $ 11.08 | |
Granted (in shares) | 134 | 73 | 0 | |
Granted, weighted average grant date fair value (in dollars per share) | $ 27.75 | $ 31.93 | $ 0 | [1] |
Vested (in shares) | (2) | 0 | (82) | [1] |
Vested, weighted average grant date fair value (in dollars per share) | $ 32.02 | $ 0 | $ 15.54 | [1] |
Forfeited (in shares) | (1) | (6) | (42) | [1] |
Forfeited, weighted average grant date fair value (in dollars per share) | $ 32.02 | $ 32.02 | $ 11.08 | |
Change in units based on performance expectations (in shares) | (6) | |||
Change in units based on performance expectations (in dollars per share) | $ 32.02 | |||
Balance (in shares) | 192 | 67 | 0 | |
Balance, weighted average grant date fair value (in dollars per share) | $ 29.01 | $ 31.92 | $ 0 | |
[1]Includes the impact of modification of 21 PRSUs which were cancelled and reissued at a grant date fair value of $28.93. |
Note 5 - Stock-Based Compens_15
Note 5 - Stock-Based Compensation - Fair Value of Vested Performance Stock Units (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Performance Shares [Member] | ||
Fair value of PRSU awards vested | $ 54 | $ 0 |
Note 6 - Earnings Per Share - S
Note 6 - Earnings Per Share - Summary of Reconciliation of Earnings (Loss) Per Common Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Net loss — basic | $ (45,959) | $ (59,798) |
Weighted average shares outstanding — basic (in shares) | 20,322 | 19,140 |
Basic loss per share (in dollars per share) | $ (2.26) | $ (3.12) |
Weighted average shares outstanding — diluted (in shares) | 20,322 | 19,140 |
Diluted loss per share (in dollars per share) | $ (2.26) | $ (3.12) |
Note 6 - Earnings Per Common _3
Note 6 - Earnings Per Common Share - Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share (Details) - shares shares in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Common stock equivalents related to stock options that were anti-dilutive and excluded from diluted net income per share (in shares) | 134 | 0 |
Higher Than Average Market Price [Member] | ||
Common stock equivalents related to stock options that were anti-dilutive and excluded from diluted net income per share (in shares) | 0 | 50 |
Note 7 - Trade Accounts Recei_3
Note 7 - Trade Accounts Receivable - Summary of Trade Accounts Receivable (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Trade accounts receivable, current | $ 5,947 | $ 5,541 |
Trade accounts receivable, long-term | 9 | 37 |
Allowance for doubtful accounts | (134) | (114) |
Trade accounts receivable, net | 5,822 | 5,464 |
Unpaid deferred revenue included in trade accounts receivable | $ 2,073 | $ 2,183 |
Note 7 - Trade Accounts Recei_4
Note 7 - Trade Accounts Receivable - Customers Accounted for 10% or More of Trade Accounts Receivable, Net (Details) - Customer Concentration Risk [Member] - Accounts Receivable [Member] | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Company A [Member] | ||
Entity wide revenue major customers percentage | 56% | 55% |
Company B [Member] | ||
Entity wide revenue major customers percentage | 13% |
Note 8 - Business Combination_2
Note 8 - Business Combination (Details Textual) $ / shares in Units, shares in Thousands, $ in Thousands | 1 Months Ended | 12 Months Ended | ||||||
Jan. 03, 2022 USD ($) $ / shares shares | Jan. 31, 2023 USD ($) shares | Aug. 30, 2022 USD ($) shares | Dec. 31, 2023 USD ($) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | Dec. 30, 2021 USD ($) | Dec. 10, 2021 USD ($) | |
Share Price (in dollars per share) | $ / shares | $ 40.84 | |||||||
Goodwill, Ending Balance | $ 8,641 | $ 8,229 | $ 1,114 | |||||
EVRYTHING [Member] | ||||||||
Financing Receivable, before Allowance for Credit Loss | $ 2,001 | |||||||
EVRYTHING [Member] | Digimarc Corporation [Member] | ||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 2,000 | |||||||
Debt Instrument, Interest Rate, Stated Percentage | 1% | |||||||
EVRYTHING [Member] | ||||||||
Business Combination, Consideration Transferred, Total | 36,634 | |||||||
Business Combination, Payments for Closing Cost | 3,986 | |||||||
Cash Acquired from Acquisition | 474 | |||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Indefinite-Lived Intangible Assets | 35,720 | |||||||
Goodwill, Ending Balance | 7,970 | |||||||
Business Combination, Separately Recognized Transactions, Additional Disclosures, Acquisition Costs | $ 447 | $ 1,140 | ||||||
EVRYTHING [Member] | Developed Technology Rights [Member] | ||||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Indefinite-Lived Intangible Assets | 24,170 | |||||||
Acquired Finite-Lived Intangible Assets, Weighted Average Useful Life (Year) | 5 years | |||||||
EVRYTHING [Member] | Customer Relationships [Member] | ||||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Indefinite-Lived Intangible Assets | $ 11,550 | |||||||
Acquired Finite-Lived Intangible Assets, Weighted Average Useful Life (Year) | 10 years | |||||||
EVRYTHING [Member] | Warrants to Purchase Common Stock [Member] | ||||||||
Class of Warrant or Right, Exercise Price of Warrants or Rights (in dollars per share) | $ / shares | $ 36.56 | |||||||
EVRYTHING [Member] | Warrants to Purchase Common Stock [Member] | Measurement Input, Price Volatility [Member] | ||||||||
Warrants and Rights Outstanding, Measurement Input | 60 | |||||||
EVRYTHING [Member] | Common Stock [Member] | ||||||||
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares (in shares) | shares | 772 | |||||||
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable | $ 31,519 | |||||||
EVRYTHING [Member] | Warrants to Purchase Common Stock [Member] | ||||||||
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares (in shares) | shares | 231 | |||||||
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable | $ 1,601 | |||||||
EVRYTHING [Member] | Common Stock Original Held for Post Closing Adjustments [Member] | ||||||||
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares (in shares) | shares | 22 | |||||||
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable | $ 872 | |||||||
EVRYTHING [Member] | Common Stock Originally Held for Indemnification Obligations [Member] | ||||||||
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares (in shares) | shares | 10 | |||||||
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable | $ 428 |
Note 8 - Business Combination -
Note 8 - Business Combination - Purchase Price Allocation (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 | Jan. 03, 2022 | Dec. 30, 2021 |
Goodwill, Ending Balance | $ 8,641 | $ 8,229 | $ 1,114 | |
EVRYTHING [Member] | ||||
Trade accounts receivable, net | $ 762 | |||
Other current assets | 2,178 | |||
Property and equipment, net | 99 | |||
Lease right of use assets and other long-term assets | 484 | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Indefinite-Lived Intangible Assets | 35,720 | |||
Goodwill, Ending Balance | 7,970 | |||
Accounts payable and other accrued liabilities | (5,395) | |||
Deferred revenue | (1,678) | |||
Loan payable to related party | (2,001) | |||
Lease liability and other long-term liabilities | (205) | |||
Total purchase price | $ 37,934 |
Note 8 - Business Combination_3
Note 8 - Business Combination - Pro Forma Results (Details) - EVRYTHING [Member] - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Revenue | $ 34,851 | $ 30,197 |
Net loss | $ (45,959) | $ (59,326) |
Basic (in dollars per share) | $ (2.26) | $ (3.1) |
Diluted (in dollars per share) | $ (2.26) | $ (3.1) |
Note 9 - Property and Equipme_3
Note 9 - Property and Equipment (Details Textual) | Dec. 31, 2023 |
Minimum [Member] | |
Property, Plant and Equipment, Useful Life (Year) | 2 years |
Maximum [Member] | |
Property, Plant and Equipment, Useful Life (Year) | 10 years |
Note 9 - Property and Equipme_4
Note 9 - Property and Equipment - Depreciation and Amortization On Property and Equipment Using the Straight-line Method (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Office furniture and fixtures | $ 1,435 | $ 1,613 |
Software | 5,497 | 5,747 |
Equipment | 2,472 | 4,785 |
Leasehold improvements | 1,861 | 1,861 |
Gross property and equipment | 11,265 | 14,006 |
Less accumulated depreciation | (9,695) | (11,616) |
Property and equipment, net | $ 1,570 | $ 2,390 |
Note 10 - Goodwill - Summary of
Note 10 - Goodwill - Summary of Goodwill (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | ||
Balance | $ 8,229 | ||
Goodwill acquired on January 3, 2022 and measurement period adjustments (1) | [1] | $ 7,970 | |
Currency translation adjustments | 412 | (855) | |
Balance | $ 8,641 | $ 8,229 | |
[1]Measurement period adjustments include adjustments to acquired intangible assets, accounts receivable, income tax receivables, deferred revenue, and accounts payable as well as the release of holdback shares. |
Note 11 - Intangibles - Amortiz
Note 11 - Intangibles - Amortization of Intangible Assets Acquired (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Intangibles, gross | $ 43,230 | |
Accumulated amortization | (14,772) | |
Intangibles, net | 28,458 | |
Patents [Member] | ||
Intangibles, gross | 9,231 | |
Intellectual Property [Member] | ||
Intangibles, gross | 250 | |
Developed Technology Rights [Member] | ||
Intangibles, gross | 22,836 | |
Customer Relationships [Member] | ||
Intangibles, gross | $ 10,913 | |
Minimum [Member] | Patents [Member] | ||
Estimated useful life (Year) | 17 years | |
Minimum [Member] | Intellectual Property [Member] | ||
Estimated useful life (Year) | 10 years | |
Minimum [Member] | Developed Technology Rights [Member] | ||
Estimated useful life (Year) | 5 years | |
Minimum [Member] | Customer Relationships [Member] | ||
Estimated useful life (Year) | 10 years | |
Maximum [Member] | ||
Intangibles, gross | $ 42,908 | |
Accumulated amortization | (9,738) | |
Intangibles, net | 33,170 | |
Maximum [Member] | Patents [Member] | ||
Intangibles, gross | 10,646 | |
Maximum [Member] | Intellectual Property [Member] | ||
Intangibles, gross | 250 | |
Maximum [Member] | Developed Technology Rights [Member] | ||
Intangibles, gross | 21,661 | |
Maximum [Member] | Customer Relationships [Member] | ||
Intangibles, gross | $ 10,351 |
Note 11 - Intangibles - Amort_2
Note 11 - Intangibles - Amortization Expense on Intangible Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Amortization expense | $ 6,097 | $ 6,078 |
Note 11 - Intangibles - Estimat
Note 11 - Intangibles - Estimated Future Aggregate Amortization Expense (Details) $ in Thousands | Dec. 31, 2023 USD ($) |
2024 | $ 6,194 |
2025 | 6,175 |
2026 | 6,142 |
2027 | 1,542 |
2028 | $ 1,531 |
Note 12 - Leases (Details Textu
Note 12 - Leases (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Lessee, Operating Lease, Liability, to be Paid | $ 9,007 | |
Operating Lease, Impairment Loss | 250 | $ 915 |
Corporate Office in Beaverton, Oregon [Member] | ||
Lessee, Operating Lease, Liability, to be Paid | 8,756 | |
Former Corporate Office in Beaverton, Oregon [Member] | ||
Lessee, Operating Lease, Liability, to be Paid | $ 218 |
Note 12 - Leases - Additional D
Note 12 - Leases - Additional Details of Leases Presented in Consolidated Balance Sheets (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Lease right of use assets | $ 4,017 | $ 4,720 |
Lease liabilities, long-term | $ 5,994 | $ 5,977 |
Weighted-average remaining life (in years) (Year) | 6 years 6 months | 6 years 8 months 12 days |
Weighted-average discount rate | 9% | 9% |
Accounts Payable and Other Accrued Liabilities [Member] | ||
Lease liabilities, current | $ 582 | $ 939 |
Note 12 - Leases - Additional_2
Note 12 - Leases - Additional Details of Operating Lease Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Operating lease expense | $ 1,556 | $ 1,905 |
Cash paid for operating leases | $ 1,151 | $ 1,572 |
Note 12 - Leases - Reconciliati
Note 12 - Leases - Reconciliation of Undiscounted Cash Payment Obligations of Operating Lease Liability (Details) $ in Thousands | Dec. 31, 2023 USD ($) |
2024 | $ 1,186 |
2025 | 1,317 |
2026 | 1,356 |
2027 | 1,397 |
2028 | 1,296 |
Thereafter | 2,455 |
Total lease payments | 9,007 |
Imputed interest | (2,431) |
Total minimum lease payments | $ 6,576 |
Note 13 - Shareholders' Equity
Note 13 - Shareholders' Equity (Details Textual) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 1 Months Ended | 12 Months Ended | 44 Months Ended | |||||
Apr. 07, 2022 | May 31, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2022 | Dec. 31, 2021 | May 31, 2019 | Jun. 30, 2008 | |
Preferred Stock, Shares Authorized (in shares) | 2,500 | 2,500 | 2,500 | 2,500 | ||||
Preferred Stock, Par or Stated Value Per Share (in dollars per share) | $ 0.001 | $ 0.001 | $ 0.001 | $ 0.001 | ||||
Common Stock, Shares Authorized (in shares) | 50,000 | 50,000 | 50,000 | 50,000 | ||||
Common Stock, Par or Stated Value Per Share (in dollars per share) | $ 0.001 | $ 0.001 | $ 0.001 | $ 0.001 | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Outstanding, Number, Ending Balance (in shares) | 1 | 51 | 51 | 50 | ||||
Common Stock [Member] | ||||||||
Stock Issued During Period, Shares, New Issues (in shares) | 10 | 3,266 | ||||||
Common Stock [Member] | Stock Incentive Plan [Member] | ||||||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Number of Shares Authorized (in shares) | 2,200 | |||||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Number of Additional Shares Authorized (in shares) | 1,200 | |||||||
Common Stock [Member] | Equity Distribution Agreement [Member] | ||||||||
Stock Issued During Period, Shares, New Issues (in shares) | 0 | 222 | 720 | |||||
Shares Issued, Price Per Share (in dollars per share) | $ 22.42 | $ 22.42 | ||||||
Proceeds from Issuance of Common Stock | $ 4,984 | $ 28,052 | ||||||
Sale of Common Shares Sales Agent Commission | 112 | |||||||
Payments of Stock Issuance Costs | $ 202 | |||||||
Sale of Stock, Price Per Share (in dollars per share) | $ 38.97 | $ 38.97 | ||||||
Common Stock Capital Value Reserved for Future Issuance | $ 1,948 | |||||||
Common Stock [Member] | Registered Direct Offering [Member] | ||||||||
Stock Issued During Period, Shares, New Issues (in shares) | 2,250 | |||||||
Shares Issued, Price Per Share (in dollars per share) | $ 25.9 | |||||||
Proceeds from Issuance of Common Stock | $ 58,275 | |||||||
Legal Fees | $ 55 | |||||||
Common Stock [Member] | Maximum [Member] | ||||||||
Aggregate Offering Price of Common Stock | $ 30,000 | |||||||
Common Stock [Member] | Maximum [Member] | Stock Incentive Plan [Member] | ||||||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Outstanding, Number, Ending Balance (in shares) | 770 | |||||||
Redeemable Preferred Stock [Member] | ||||||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Number of Shares Authorized (in shares) | 10 | |||||||
Temporary Equity, Redemption Price Per Share (in dollars per share) | $ 5 | |||||||
Dividends, Preferred Stock, Cash | $ 0 | |||||||
Undistributed Earnings Attributable to Preferred Stock | $ 0 |
Note 14 - Defined Contributio_3
Note 14 - Defined Contribution Plan (Details Textual) | 12 Months Ended |
Dec. 31, 2023 | |
Defined Contribution Plan, Maximum Annual Contributions Per Employee, Percent | 75% |
Note 14 - Defined Contributio_4
Note 14 - Defined Contribution Plan - Statement of Company Made Matching Contributions (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Matching contributions | $ 1,217 | $ 1,365 |
Note 15 - Other Income - Other
Note 15 - Other Income - Other Income, Net (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Interest income | $ 1,680 | $ 744 |
Refundable tax credit | 684 | 1,260 |
Foreign currency gains (losses) | 96 | 86 |
Other income (loss) | (8) | 18 |
Total other income, net | $ 2,452 | $ 2,108 |
Note 16 - Income Taxes (Details
Note 16 - Income Taxes (Details Textual) - USD ($) Pure in Thousands, $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Effective Income Tax Rate Reconciliation, Percent, Total | 0% | 0% |
Deferred Tax Assets, Valuation Allowance | $ 95,256 | $ 83,000 |
Valuation Allowance, Deferred Tax Asset, Increase (Decrease), Amount | 12,256 | |
Deferred Tax Assets, Operating Loss Carryforwards, Domestic | 247,472 | |
Deferred Tax Assets, Operating Loss Carryforwards, State and Local | 178,519 | |
Deferred Tax Assets, Operating Loss Carryforwards, Foreign | $ 68,925 | |
Federal Net Operating Loss Carryforwards, Expiration Period Minimum (Year) | 5 years | |
State Tax Credit Carry Forward, Expiration Period, Minimum (Year) | 5 years | |
Federal Tax Credit CarryForward, Expiration Period, Maximum (Year) | 20 years | |
State Tax Credit Carry Forward, Expiration Period, Maximum (Year) | 20 years | |
Unrecognized Tax Benefits, Income Tax Penalties and Interest Expense, Total | $ 0 | $ 0 |
Domestic Tax Authority [Member] | ||
Open Tax Year | 2020 2021 2022 | |
Domestic Tax Authority [Member] | Research Tax Credit Carryforward [Member] | ||
Tax Credit Carryforward, Amount | $ 13,469 | |
State and Local Jurisdiction [Member] | ||
Open Tax Year | 2020 2021 2022 | |
State and Local Jurisdiction [Member] | Research Tax Credit Carryforward [Member] | ||
Tax Credit Carryforward, Amount | $ 11,915 | |
Foreign Tax Authority [Member] | ||
Open Tax Year | 2022 |
Note 16 - Income Taxes - Compon
Note 16 - Income Taxes - Components of Tax Benefit (Provision) Allocated to Continuing Operations (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Current: | ||
Federal | $ (141) | $ (60) |
State | (9) | (20) |
Foreign | (37) | (34) |
Sub-total | (187) | (114) |
Deferred: | ||
Federal | (17) | 17 |
State | 0 | 0 |
Foreign | 0 | 0 |
Sub-total | (17) | 17 |
Total | $ (204) | $ (97) |
Note 16 - Income Taxes - Reconc
Note 16 - Income Taxes - Reconciliation of Statutory Federal Income Tax Rate to Effective Income Tax Rate (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Income taxes computed at statutory rates, amount | $ 9,609 | $ 12,537 |
Income taxes computed at statutory rates, percent | (21.00%) | (21.00%) |
(Increases) decreases resulting from: | ||
Change in valuation allowance, amount | $ (11,716) | $ (13,463) |
Change in valuation allowance, percent | 26% | 22% |
NOL surrendered for refundable tax credit | $ (1,607) | $ (2,164) |
NOL surrendered for refundable tax credit | 4% | 4% |
Foreign research deductions and credits | $ 803 | $ 1,329 |
Foreign research deductions and credits, percent | (2.00%) | (2.00%) |
Federal and state research and experimentation credits, amount | $ 1,412 | $ 1,037 |
Federal and state research and experimentation credits, percent | (3.00%) | (2.00%) |
State income taxes, net of federal tax benefit, amount | $ 468 | $ 491 |
State income taxes, net of federal tax benefit, percent | (1.00%) | (1.00%) |
Other, amount | $ 827 | $ 136 |
Other, percent | (3.00%) | 0% |
Total | $ (204) | $ (97) |
Total, percent | 0% | 0% |
Note 16 - Income Taxes - Comp_2
Note 16 - Income Taxes - Components of Deferred Tax Assets and Deferred Tax Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Deferred tax assets: | ||
Federal and state net operating losses | $ 77,201 | $ 74,270 |
Federal and state research and experimentation credits | 12,406 | 10,869 |
Research and experimental costs | 9,458 | 4,837 |
ASC 842 - lease liabilities | 1,468 | 1,508 |
Stock based compensation | 1,474 | 482 |
Fixed asset differences | 185 | 87 |
Goodwill | 0 | 36 |
Accrued compensation | 610 | 69 |
Other | 59 | 43 |
Total gross deferred tax assets | 102,861 | 92,201 |
Less valuation allowance | (95,256) | (83,000) |
Net deferred tax assets | 7,605 | 9,201 |
Deferred tax liabilities: | ||
Patent expenditures | (1,096) | (1,464) |
ASC 842 - right of use assets | (897) | (1,049) |
Fixed asset differences | (9) | (28) |
Intangible asset differences | (5,603) | (6,644) |
Total gross deferred tax liabilities | (7,605) | (9,185) |
Total net deferred tax assets and liabilities | $ 0 | $ 16 |
Note 16 - Income Taxes - Summar
Note 16 - Income Taxes - Summary of Reconciliation of Uncertain Tax Positions (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Beginning balance | $ 1,046 | $ 918 |
Addition for current year tax positions | 94 | 98 |
Addition for prior year tax positions | 0 | 30 |
Reduction for prior year positions | (77) | 0 |
Reduction for prior year positions resolved during the current year | 0 | 0 |
Ending balance | $ 1,063 | $ 1,046 |
Note 18 - Subsequent Events (De
Note 18 - Subsequent Events (Details Textual) - Subsequent Event [Member] $ / shares in Units, $ in Thousands | Feb. 27, 2024 USD ($) $ / shares shares |
Stock Issued During Period, Shares, New Issues (in shares) | shares | 929 |
Shares Issued, Price Per Share (in dollars per share) | $ / shares | $ 35 |
Proceeds from Issuance of Common Stock | $ 32,500 |
Payments of Stock Issuance Costs | $ 240 |