Innodata (INOD) 10-K 4 Mar 24 2023 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($)	12 Months Ended
	Dec. 31, 2023	Feb. 16, 2024	Jun. 30, 2023
Document and Entity Information
Document Type	10-K
Document Annual Report	true
Document Period End Date	Dec. 31, 2023
Document Transition Report	false
Entity File Number	001-35774
Entity Registrant Name	INNODATA INC
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	13-3475943
Entity Address, Address Line One	55 Challenger Road
Entity Address, City or Town	Ridgefield Park
Entity Address, State or Province	NJ
Entity Address, Postal Zip Code	07660
City Area Code	201
Local Phone Number	371-8000
Title of 12(b) Security	Common Stock
Trading Symbol	INOD
Security Exchange Name	NASDAQ
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Public Float			$ 294,823,074
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		28,752,874
Entity Central Index Key	0000903651
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	No
Document Financial Statement Error Correction [Flag]	false
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	FY
Amendment Flag	false
Auditor Name	BDO India LLP
Auditor Firm ID	6074
Auditor Location	Mumbai

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Dec. 31, 2023	Dec. 31, 2022
Current assets:
Cash and cash equivalents	$ 13,806	$ 9,792
Short term investments - other	14	507
Accounts receivable, net of allowance for doubtful accounts	14,288	9,528
Prepaid expenses and other current assets	3,969	3,858
Total current assets	32,077	23,685
Property and equipment, net	2,281	2,511
Right-of-use-asset, net	5,054	4,309
Other assets	2,445	1,498
Deferred income taxes, net	1,741	1,475
Intangibles, net	13,758	12,526
Goodwill	2,075	2,038
Total assets	59,431	48,042
Current liabilities:
Accounts payable	2,662	2,630
Accrued expenses and other	6,583	7,250
Accrued salaries, wages and related benefits	7,799	6,136
Income and other taxes	3,848	3,230
Long-term obligations - current portion	1,261	877
Operating lease liability - current portion	782	693
Total current liabilities	22,935	20,816
Deferred income taxes, net	22	65
Long-term obligations, net of current portion	6,778	5,079
Operating lease liability, net of current portion	4,701	4,036
Total liabilities	34,436	29,996
Commitments and contingencies
Non-controlling interests	(708)	(727)
STOCKHOLDERS' EQUITY:
Serial preferred stock; 4,998,000 shares authorized, none outstanding
Common stock, $.01 par value; 75,000,000 shares authorized; 31,937,000 shares issued and 28,753,000 outstanding at December 31, 2023 and 30,589,000 shares issued and 27,405,000 outstanding at December 31, 2022	320	306
Additional paid-in capital	43,152	35,815
Deficit	(9,683)	(8,775)
Accumulated other comprehensive loss	(1,621)	(2,108)
Stockholders' Equity before Treasury Stock, Total	32,168	25,238
Less: treasury stock, 3,184,000 shares at December 31, 2023 and 2022, at cost	(6,465)	(6,465)
Total stockholders' equity	25,703	18,773
Total liabilities, non-controlling interests and stockholders' equity	$ 59,431	$ 48,042

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Dec. 31, 2023	Dec. 31, 2022
CONSOLIDATED BALANCE SHEETS
Serial preferred stock, shares authorized	4,998,000	4,998,000
Serial preferred stock, outstanding	0	0
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized	75,000,000	75,000,000
Common stock, shares issued	31,937,000	30,589,000
Common stock, shares outstanding	28,753,000	27,405,000
Treasury stock, shares	3,184,000	3,184,000

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS
Revenues	$ 86,775	$ 79,001
Operating costs and expenses:
Direct operating costs	55,482	51,533
Selling and administrative expenses	30,975	37,940
Interest expense, net	179	11
Total	86,636	89,484
Income (loss) before provision for income taxes	139	(10,483)
Provision for income taxes	1,028	1,522
Consolidated net loss	(889)	(12,005)
Income (loss) attributable to non-controlling interests	19	(70)
Net Loss attributable to Innodata Inc. and Subsidiaries	$ (908)	$ (11,935)
Loss per share attributable to Innodata Inc. and Subsidiaries:
Basic (in dollars per share)	$ (0.03)	$ (0.44)
Diluted (in dollars per share)	$ (0.03)	$ (0.44)
Weighted average shares outstanding:
Basic (in shares)	28,131	27,278
Diluted (in shares)	28,131	27,278
Comprehensive Loss:
Consolidated net loss	$ (889)	$ (12,005)
Pension liability adjustment, net of taxes	(326)	772
Foreign currency translation adjustment	407	(676)
Change in fair value of derivatives, net of taxes	406	(12)
Other comprehensive income	487	84
Total comprehensive loss	(402)	(11,921)
Comprehensive income (loss) attributed to non-controlling interest	19	(70)
Comprehensive loss attributable to Innodata Inc. and Subsidiaries	$ (421)	$ (11,851)

CONSOLIDATED STATEMENTS OF STOC

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands	Common Stock	Additional Paid-in Capital	Retained Earnings	Accumulated Other Comprehensive Loss	Treasury Stock	Total
Balance at the beginning at Dec. 31, 2021	$ 303	$ 35,121	$ 3,160	$ (2,192)	$ (6,465)	$ 29,927
Balance at the beginning (in shares) at Dec. 31, 2021					(3,184,000)
Balance at the beginning (in shares) at Dec. 31, 2021	30,347,000
Net Income (Loss)			(11,935)			(11,935)
Stock-based compensation		3,283				3,283
Stock option exercises	$ 3	329				332
Stock option exercises (in shares)	249,000
Shares withheld for taxes on restricted shares vesting		(53)				(53)
Shares withheld for taxes on restricted shares vesting (in shares)	(7,000)
Redemption of non-controlling interest		(2,865)				(2,865)
Pension liability adjustment, net of taxes				772		772
Foreign currency translation adjustment				(676)		(676)
Change in fair value of derivatives, net of taxes				(12)		(12)
Balance at the end at Dec. 31, 2022	$ 306	35,815	(8,775)	(2,108)	$ (6,465)	$ 18,773
Balance at the end (in shares) at Dec. 31, 2022					(3,184,000)	3,184,000
Balance at the end (in shares) at Dec. 31, 2022	30,589,000
Net Income (Loss)			(908)			$ (908)
Stock-based compensation		4,027				4,027
Stock option exercises	$ 14	3,310				3,324
Stock option exercises (in shares)	1,351,000
Shares withheld for exercise net settlement (in shares)	(3,000)
Pension liability adjustment, net of taxes				(326)		(326)
Foreign currency translation adjustment				407		407
Change in fair value of derivatives, net of taxes				406		406
Balance at the end at Dec. 31, 2023	$ 320	$ 43,152	$ (9,683)	$ (1,621)	$ (6,465)	$ 25,703
Balance at the end (in shares) at Dec. 31, 2023					(3,184,000)	3,184,000
Balance at the end (in shares) at Dec. 31, 2023	31,937,000

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:
Consolidated net loss	$ (889)	$ (12,005)
Adjustments to reconcile consolidated net loss to net cash provided by operating activities:
Depreciation and amortization	4,716	3,889
Stock-based compensation	4,027	3,283
Deferred income taxes	(276)	217
Provision for doubtful accounts	426	480
Pension cost	1,046	943
Loss on lease termination		125
Changes in operating assets and liabilities:
Accounts receivable	(5,116)	1,303
Prepaid expenses and other current assets	372	(226)
Other assets	(171)	750
Accounts payable, accrued expenses and other	(490)	322
Accrued salaries, wages and related benefits	1,653	(310)
Income and other taxes	605	13
Net cash provided by (used in) operating activities	5,903	(1,216)
Cash flows from investing activities:
Capital expenditures	(5,564)	(6,526)
Proceeds from (purchase of) short term investments - others	493	(507)
Net cash used in investing activities	(5,071)	(7,033)
Cash flows from financing activities:
Proceeds from exercise of stock options	3,324	332
Payment of long-term obligations	(452)	(639)
Net cash provided by (used in) financing activities	2,872	(307)
Effect of exchange rate changes on cash and cash equivalents	310	(554)
Net increase (decrease) in cash and cash equivalents	4,014	(9,110)
Cash and cash equivalents, beginning of year	9,792	18,902
Cash and cash equivalents, end of year	13,806	9,792
Supplemental disclosures of cash flow information:
Vendor financed software licenses acquired	1,162
Cash paid for income taxes	753	1,107
Cash paid for operating leases	1,557	1,838
Cash paid for interest	$ 400	$ 19

Description of Business and Sum

Description of Business and Summary of Significant Accounting Estimates and Policies	12 Months Ended
	Dec. 31, 2023
Description of Business and Summary of Significant Accounting Estimates and Policies
Description of Business and Summary of Significant Accounting Estimates and Policies	1. Description of Business and Summary of Significant Accounting Estimates and Policies Description of Business The Company was founded on a simple idea: engineer the highest quality data so organizations across broad industry segments could make smarter decisions. Today, the Company believes it is delivering the highest quality data for some of the world’s most innovative technology companies to use to train the AI models of the future. AI holds the promise that computers can perceive and understand the world, enabling products and services that would have been previously unimaginable and impossible with traditional coding. AI learns from data, and the highest-performing AI will have learned from the highest-quality data. The Company believes that it can contribute meaningfully by harnessing its capabilities, honed over 30 years, in collecting and annotating data at scale with consistency and high accuracy. The Company is also helping companies deploy and integrate AI into their operations and products and providing innovative AI-enabled industry platforms, helping ensure that its customers’ businesses are prepared for a world in which machines augment human activity in ways previously unimaginable. The Company developed its capabilities and honed its approaches progressively over the last 30 years creating high-quality data for many of the world’s most demanding information companies. Approximately eight years ago, the Company formed Innodata Labs, a research and development center, to research, develop and apply machine learning and emerging AI to its large-scale, human-intensive data operations. In 2019, the Company began packaging the capabilities that emerged from its R&D efforts in order to align with several fast-growing new markets and help companies use AI/ML to drive performance benefits and business insights. The Company’s historical core competency in high-quality data, combined with these R&D efforts in applied AI, created the foundation for the evolution of the Company’s offerings, which include AI Data Preparation, AI Model Deployment and Integration, and AI-Enabled Industry Platforms. AI Data Preparation For several of the world’s large technology companies, the Company supports their efforts at building generative AI foundation models. For these companies, the Company provides or is poised to provide a range of scaled data solutions and services. The Company’s scaled data solutions include providing instruction data sets for fine-tuning LLMs to understand prompts, to accept instruction, to converse, to apparently reason, and to perform the myriad of incredible feats that many of us have now experienced. The Company also provides reinforcement learning and reward modeling, services which are critical to provide the guardrails against toxic, bias and harmful responses, and model evaluation services. For social media companies, robotics companies, financial services companies, and many others, the Company collects or creates training data, annotates training data, and trains AI algorithms for working with images, text, video, audio, code and sensor data. The Company utilizes a variety of leading third-party tools, proprietary tools and customer tools. For text annotation, the Company uses its proprietary data annotation platform that incorporates AI to reduce cost while improving consistency and quality of output. The Company’s proprietary data annotation platform features auto-tagging capabilities that apply to both classical and generative AI tasks. The platform encapsulates many of the innovations the Company has conceived of in the course of its 30-year history of creating high-quality data. In addition, because collecting real-world data is often impracticable (due to data privacy regulations or rarity of cohorts and outliers), the Company creates high-quality synthetic data that maintains all of the statistical properties of real-world data, using a combination of domain specialists and machine technologies that leverage large language models (LLMs). AI Model Deployment and Integration The Company helps businesses leverage the latest AI technologies to achieve their goals. The Company develops custom AI models (where it selects the appropriate algorithms, tunes hyperparameters, trains and validates the models, and updates the models as required). The Company also helps businesses fine-tune their own custom versions of the Company’s proprietary models and third-party foundation models to address domain-specific and customer-specific use cases. For the Company’s customers that provide products and solutions that require intensive text data processing and analytics, in addition to deploying and integrating AI models, the Company often provides a range of data engineering support services including data transformation, data curation, data hygiene, data consolidation, data extraction, data compliance, and master data management. The Company’s customers span a diverse range of industries and a wide range of AI use cases, benefiting from the short time-to-value and high economic returns of the Company’s AI solutions and platforms. AI-Enabled Industry Platforms The Company’s AI-enabled industry platforms address specific, niche market requirements the Company believes it can innovate with AI/ML technologies. The Company deploys these industry platforms as software-as-a-service (SaaS) and as managed services. These platforms benefit from the Company’s technology infrastructure, its industry-specific knowledge, its strong customer relationships and experience merging technology with the business processes of its customers. To date, the Company has built an industry platform for medical records data extraction and transformation (which the Company brands as “Synodex ® The Company’s Synodex industry platform transforms medical records into useable digital data organized in accordance with its proprietary data models or customer data models. The Company’s Agility industry platform provides marketing communications and public relations professionals with the ability to target and distribute content to journalists and social media influencers world-wide and to monitor and analyze global news (print, web, radio and TV) and social media. The Company’s operations are presently classified and reported in three reporting segments: Digital Data Solutions (DDS), Synodex and Agility. Critical Accounting Policies and Estimates Principles of Consolidation Use of Estimates Revenue Recognition For the Digital Data Solutions (DDS) segment, revenue is recognized primarily based on the quantity delivered or resources utilized in the period in which services are performed and performance conditions are satisfied as per the agreement. Revenue from agreements billed on a time-and-materials basis is recognized as services are performed. Revenue from fixed-fee agreements, which is not significant to overall revenues, is recognized based on the proportional performance method of accounting, as services are performed, or milestones are achieved. For the Synodex segment, revenue is recognized primarily based on the quantity delivered in the period in which services are performed and performance conditions are satisfied as per the agreement. A portion of the Synodex segment revenue is derived from licensing the Company’s functional software and providing access to the Company’s hosted software platform. Revenue from such services is recognized monthly when all parties to the agreement have agreed to the agreement; each party’s rights are identifiable; the payment terms are identifiable; the agreement has commercial substance; access to the service is provided to the end user; and collection is probable. The Agility segment derives its revenue primarily from subscription arrangements and provision of enriched media analysis services. It also derives revenue as a reseller of corporate communication solutions. Revenue from subscriptions is recognized monthly when access to the service is provided to the end user; all parties to the agreement have agreed to the agreement; each party’s rights are identifiable; the payment terms are identifiable; the agreement has commercial substance; and collection is probable. Revenue from enriched media analysis services is recognized when the services are performed, and performance conditions are satisfied. Revenue from the reseller agreements is recognized at the gross amount received for the goods in accordance with the Company functioning as a principal due to the Company meeting the following criteria: the Company acts as the primary obligor in the sales transaction; assumes the credit risk; sets the price; can select suppliers; and is involved in the execution of the services, including after sales service. Revenue includes reimbursement of out-of-pocket expenses, with the corresponding out-of-pocket expenses included in direct operating costs. Revenue associated with the services provided in one period and billed in a subsequent period is commonly referred to as unbilled revenues and is included under Accounts receivable. The Company considers U.S. GAAP criteria for determining whether to report gross revenue as a principal versus net revenue as an agent. The Company evaluates whether it is in control of the services before the same are transferred to the customer to assess whether it is principal or agent in the arrangement. Contract acquisition costs, which are included in prepaid expenses and other current assets, are amortized over the term of a subscription agreement or contract that normally has a duration of 12 months or less. The Company reviews these prepaid acquisition costs on a periodic basis to determine the need to adjust the carrying values for early terminated contracts. Included in prepaid expenses and other current assets on the accompanying consolidated balance sheets are contract acquisition costs amounting to $0.8 million for each of the years ended December 31, 2023 and 2022. These acquisition costs relate to our Agility segment and are amortized over the term of the subscription agreement which normally has a duration of 12 months or less. Foreign Currency Translation The functional currency for the Company’s subsidiary in Germany is the Euro. The functional currencies for the Company’s Agility subsidiaries in the United Kingdom and Canada are the Pound Sterling and the Canadian dollar, respectively. The financial statements of these subsidiaries are prepared in their respective currencies. Financial information is translated from the applicable functional currency to the U.S. dollar (the reporting currency) for inclusion in the Company’s consolidated financial statements. Income, expenses, and cash flows are translated at weighted-average exchange rates prevailing during the fiscal period, and assets and liabilities are translated at fiscal period-end exchange rates. Resulting translation adjustments are included as a component of accumulated other comprehensive loss in stockholders’ equity. Foreign exchange transaction gains or losses are included in direct operating costs in the accompanying consolidated statements of operations and comprehensive loss. Derivative Instruments - Cash Equivalents - Short term Investments-other - Concentration of Credit Risk - Accounts Receivable - We record an allowance for credit losses for estimated losses resulting from the failure of our customers to make the required payments and provisions for billing adjustments relating to quality issues on delivered services. The allowance for credit losses is based on a review of specifically identified accounts and an overall aging analysis applied to accounts pooled based on similar risk characteristics. Judgments are made with respect to the collectability of accounts receivable within each pool based on historical experience, current payment practices, and current economic trends based on our expectations over the expected life of the receivables, generally ninety days or less. Actual credit losses could differ from those estimates. Property and Equipment - two ten years Capitalized Developed Software - three Long-lived Assets - Goodwill and Other Intangible Assets - ten Goodwill represents the excess of the cost of an acquired entity over the fair value of the acquired net assets. The Company does not amortize goodwill but evaluates it for impairment at the reporting unit level annually during the third quarter of each fiscal year (as of September 30 of that year) or when an event occurs, or circumstances change, that indicates the carrying value may not be recoverable. The Company performed its annual goodwill assessment for the Agility segment as of September 30, 2023 for impairment. The impairment test involves estimating the fair value based on a combination of income (estimates of future discounted cash flows) and the market approach (market multiples for similar companies) using unobservable inputs (Level 3). The Company concluded that there is no impairment of goodwill for the Agility segment. Income Taxes In assessing the realization of deferred tax assets, management considered whether it is more likely than not that all or some portion of the U.S. and Canadian deferred tax assets will not be realizable. As the expectation of future taxable income resulting from the Synodex and Agility segments cannot be predicted with certainty, the Company maintains a valuation allowance against all the United States, Canadian and European (principally Germany and the United Kingdom) net deferred tax assets. The Company accounts for income taxes regarding uncertain tax positions, and recognizes interest and penalties related to uncertain tax positions in income tax expense in the consolidated statements of operations and comprehensive loss. Accounting for Leases The determination of whether an arrangement is, or contains, a lease is based on the substance of the arrangement at the inception date and requires an assessment of whether the fulfillment of the arrangement is dependent on the use of a specific asset or assets, or the arrangement conveys a right to use the asset. A reassessment is made after inception of the lease only if one of the following applies: a. there is a change in contractual terms, other than a renewal or extension of the arrangement; b. a renewal option is exercised, or extension granted, unless the term of the renewal or extension was initially included in the lease term; c. there is a change in the determination of whether fulfillment is dependent on a specified asset; or d. there is a substantial change to the asset. Whenever a reassessment is made, lease accounting shall commence or cease from the date when the change in circumstances gave rise to the reassessment for scenarios (a), (c) or (d) and at the date of renewal or extension period for scenario (b). Leases where the lessor retains substantially all the risks and rewards of ownership are classified as operating leases. As of December 31, 2023, all of the Company’s leases are classified under operating leases. Operating lease payments are recognized as an operating expense on a straight-line basis over the lease term. Accounting for Stock-Based Compensation - The stock-based compensation expense related to the Company’s stock plans were allocated as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year Ended December 31, ​ 2023 2022 Direct operating costs ​ $ 294 ​ $ 214 Selling and administrative expenses ​ 3,733 ​ 3,069 Total stock-based compensation ​ $ 4,027 ​ $ 3,283 ​ Fair Value of Financial Instruments Fair value measurements and disclosures define fair value as the price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The accounting standard establishes a fair value hierarchy that prioritizes the inputs used to measure fair value into three levels. The three levels are defined as follows: ● Level 1 : Unadjusted quoted price in active market for identical assets and liabilities. ● Level 2: Inputs other than those included in Level 1 that are observable for the asset or liability, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. ● Level 3: Unobservable inputs reflecting management’s own assumptions about the inputs used in pricing the asset or liability. The Company’s forward contracts are at level 2 in the fair value hierarchy. Income (Loss) per Share Pension - Deferred Revenue The table below provides information about contract liabilities (deferred revenue) and the significant changes in the balance for the years ended December 31, 2023 and 2022, respectively (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ ​ 2023 ​ 2022 Balance at January 1 ​ $ 4,366 ​ $ 4,509 Net deferred revenue in the period ​ ​ 21,619 ​ ​ 29,756 Revenue recognized ​ ​ (22,586) ​ ​ (29,618) Currency translations and other adjustments ​ ​ 124 ​ ​ (281) Balance at December 31 $ 3,523 $ 4,366 ​ Recent Accounting Pronouncements - On December 14, 2023, the FASB issued ASU No. 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures”. The ASU’s effective date is for fiscal years beginning after December 15, 2024. The adoption of the ASU 2023-09 will enhance quantitative and qualitative disclosures related to rate reconciliation of significant components and income tax paid. The Company does not expect any significant impact from the adoption of this standard.

Short Term Investments - other

Short Term Investments - other	12 Months Ended
	Dec. 31, 2023
Short Term Investments - other
Short Term Investments - other	2. Short Term Investments - other ​ Short-term investments include investments made by the Company in treasury bills and certificates of deposit which are considered as highly liquid investments having an original maturity period of more than three months but less than one year from the balance sheet date. ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ ​ 2023 2022 ​ ​ ​ ​ ​ ​ ​ Treasury bills ​ $ - ​ $ 494 Certificates of deposit ​ 14 ​ 13 ​ ​ ​ ​ ​ ​ ​ Total ​ $ 14 ​ $ 507 ​

Accounts Receivable

Accounts Receivable	12 Months Ended
	Dec. 31, 2023
Accounts Receivable
Accounts Receivable	3. Accounts Receivable ​ Accounts receivable consists of the following: ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ ​ 2023 2022 Gross Accounts receivable ​ $ 15,505 ​ $ 10,741 Allowance for doubtful accounts ​ ​ (1,217) ​ ​ (1,213) Accounts receivable, net $ 14,288 $ 9,528 ​ As of January 1, 2023 the Company has adopted ASU 2019-04, “Codification Improvements to Topic 326, Financial Instruments - Credit Losses”, and based on the Company’s assessment there was no impact on the financial statements or other related disclosures. The basis of allowance for doubtful accounts is further elaborated in Note 1, “Critical Accounting Policies and Estimates” to the consolidated financial statements. ​ Activity in the allowance for the credit losses for the year ended December 31, 2023 was as follows (in thousands): ​ ​ ​ ​ ​ ​ For the Year Ended ​ December 31, 2023 Balance at January 1, 2023 $ 1,213 Additions charged to expense ​ ​ 426 Write-offs against allowance ​ ​ (426) Foreign currency translation adjustment ​ 4 Balance at December 31, 2023 ​ $ 1,217 ​

Property and equipment

Property and equipment	12 Months Ended
	Dec. 31, 2023
Property and equipment
Property and equipment	4. Property and equipment Property and equipment, which include amounts recorded under capital leases, are stated at cost less accumulated depreciation and amortization (in thousands), and consist of the following: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ 2023 2022 Equipment ​ $ 11,315 ​ $ 12,391 Computer software ​ 4,465 ​ 4,447 Furniture and equipment ​ 1,128 ​ 1,163 Leasehold improvements ​ 2,547 ​ 2,554 Capital work-in-progress ​ ​ 434 ​ ​ - Total ​ 19,889 ​ 20,555 Less: accumulated depreciation and amortization ​ (17,608) ​ (18,044) ​ ​ $ 2,281 ​ $ 2,511 ​ The estimated useful lives of the property and equipment range between two years and ten years. Depreciation and amortization expense of property and equipment were approximately $1.2 million for each of the years ended December 31, 2023 and 2022, respectively.

Goodwill and Intangible Assets

Goodwill and Intangible Assets	12 Months Ended
	Dec. 31, 2023
Goodwill and Intangible Assets
Goodwill and Intangible Assets	5. Goodwill and Intangible Assets The changes in the carrying amount of goodwill for the year ended December 31, 2023 were as follows (in thousands): ​ ​ ​ ​ ​ Balance - January 1, 2023 $ 2,038 Foreign currency translation adjustment ​ 37 Balance - December 31, 2023 ​ $ 2,075 ​ As of September 30, 2023 the Company performed its annual goodwill impairment analysis on the Agility segment. It involved a quantitative goodwill impairment test and estimated the fair value based on a combination of the income approach (estimates of future discounted cash flows) and the market approach (market multiples for similar companies) using unobservable inputs (Level 3). The income approach uses a discounted cash flow (“DCF”) method that utilizes the present value of cash flows to estimate the segment’s fair value. The future cash flows of the segment were projected based on the Company’s estimates of future revenues, operating income, and other factors such as working capital and capital expenditures. As part of the DCF analysis, the Company projected revenue and operating profit and assumed long-term revenue growth rates in the terminal year. The market approach utilizes multiples of revenues and earnings before interest expense, taxes, depreciation, and amortization (“EBITDA”) to estimate the segment’s fair value. The market multiples used for the segment were based on a group of comparable companies’ market multiples applied to the Company’s revenue. The Company concluded that there is no impairment of goodwill. The fair value measurement of goodwill for the Agility segment was classified within Level 3 of the fair value hierarchy because the Company used the income approach, which utilizes significant inputs that are unobservable in the market and the market multiple approaches using comparable entities to further validate the carrying values. The Company believes it made reasonable estimates and assumptions to calculate the fair value of the reporting unit as of the impairment test measurement date. The carrying value of Goodwill was $2.1 million and $2.0 million as of December 31, 2023, and 2022, respectively. Information regarding the Company acquired intangible assets and capitalized developed software was as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, 2023 ​ ​ ​ Foreign Currency ​ ​ ​ Gross ​ Accumulated ​ Translation ​ Net ​ ​ Carrying Value ​ Amortization ​ Adjustment ​ Carrying Value Acquired Intangible Assets ​ ​ ​ ​ Developed technology ​ $ 2,999 ​ $ (2,640) ​ $ 7 ​ $ 366 Customer relationships ​ 2,096 ​ (1,645) ​ 10 ​ 461 Trademarks and tradenames ​ 852 ​ (774) ​ 2 ​ 80 Patents ​ 43 ​ (40) ​ - ​ 3 Media Contact Database ​ 3,492 ​ (2,621) ​ 16 ​ 887 Total Acquired Intangible Assets ​ $ 9,482 ​ $ (7,720) ​ $ 35 ​ $ 1,797 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Capitalized Developed Software ​ ​ ​ ​ Capitalized Developed Software ​ $ 15,216 ​ $ (6,862) ​ $ 138 ​ $ 8,492 Capitalized Developed Software - in Progress ​ 3,480 ​ - ​ (11) ​ 3,469 Total Capitalized Developed Software ​ $ 18,696 ​ $ (6,862) ​ $ 127 ​ $ 11,961 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Total ​ $ 28,178 ​ $ (14,582) ​ $ 162 ​ $ 13,758 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, 2022 ​ ​ ​ ​ Foreign Currency ​ ​ ​ Gross ​ Accumulated ​ Translation ​ Net ​ ​ Carrying Value ​ Amortization ​ Adjustment ​ Carrying Value Acquired Intangible Assets ​ ​ ​ ​ Developed technology ​ $ 3,169 ​ $ (2,468) ​ $ (43) ​ $ 658 Customer relationships ​ 2,228 ​ (1,560) ​ (42) ​ 626 Trademarks and tradenames ​ 880 ​ (740) ​ (8) ​ 132 Patents ​ 45 ​ (38) ​ 1 ​ 8 Media Contact Database ​ 3,648 ​ (2,358) ​ (68) ​ 1,222 Total Acquired Intangible Assets ​ $ 9,970 ​ $ (7,164) ​ $ (160) ​ $ 2,646 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Capitalized Developed Software ​ ​ ​ ​ Capitalized Developed Software ​ $ 11,845 ​ $ (4,398) ​ $ (348) ​ $ 7,099 Capitalized Developed Software - in Progress ​ 2,787 ​ - ​ (6) ​ 2,781 Total Capitalized Developed Software ​ $ 14,632 ​ $ (4,398) ​ $ (354) ​ $ 9,880 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Total ​ $ 24,602 ​ $ (11,562) ​ $ (514) ​ $ 12,526 ​ Amortization expense relating to acquired intangible assets was approximately $0.9 million for each of the years ended December 31, 2023 and 2022, respectively. Amortization expense relating to capitalized developed software was approximately $2.7 million and $1.8 million for the years ended December 31, 2023 and 2022, respectively. Estimated annual amortization expense for intangible assets subsequent to December 31, 2023 is as follows (in thousands): ​ ​ ​ ​ ​ Year Amortization 2024 ​ $ 4,929 2025 ​ 3,976 2026 ​ ​ 2,704 2027 ​ 739 2028 ​ 597 Thereafter ​ 813 ​ ​ $ 13,758 ​

Income Taxes

Income Taxes	12 Months Ended
	Dec. 31, 2023
Income Taxes
Income Taxes	6. Income Taxes The significant components of the provision for income taxes for the years ended December 31, 2023 and 2022 were as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ 2023 2022 Current income tax expense (benefit): ​ ​ Foreign ​ $ 1,181 ​ $ 1,131 Federal ​ 120 ​ 144 State and local ​ 3 ​ 30 ​ ​ 1,304 ​ 1,305 Deferred income tax expense (benefit): ​ ​ Foreign ​ (286) ​ 207 Federal ​ 10 ​ 10 State and local ​ - ​ - ​ ​ (276) ​ 217 Provision for income taxes ​ $ 1,028 ​ $ 1,522 ​ The reconciliation of the U.S. statutory rate with the Company’s effective tax rate for the years ended December 31, 2023 and 2022 is summarized as follows: ​ ​ ​ ​ ​ ​ ​ ​ 2023 2022 Federal income tax expense (benefit) at statutory rate 21.0 % (21.0) % Effect of: ​ ​ ​ Change in valuation allowance 578.6 36.9 ​ Tax effects of foreign operations 562.6 2.5 ​ Section 162 (m) ​ 452.0 ​ - ​ Return to provision true up 264.4 0.3 ​ Increase in unrecognized tax benefits (ASC 740) 199.6 0.7 ​ Withholding tax ​ 106.6 ​ - ​ Foreign operations permanent differences - foreign exchange gains and losses ​ 76.9 ​ 1.1 ​ State income tax net of federal benefit 0.1 0.2 ​ Research and development credit ​ (67.3) ​ - ​ Foreign rate differential (102.5) (4.7) ​ Deemed interest ​ (149.2) ​ (1.9) ​ Tax effect of intercompany settlement ​ (234.0) ​ - ​ Effect of stock-based compensation (961.6) (0.3) ​ Other ​ (7.6) ​ 0.7 ​ Effective tax rate 739.6 % 14.5 % ​ Deferred tax assets and liabilities are classified as non-current. Significant components of the Company’s deferred tax assets and liabilities as of December 31, 2023 and 2022 were as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ 2023 2022 Deferred income tax assets: ​ ​ Allowances not currently deductible ​ $ 283 ​ $ 301 Depreciation and amortization ​ 58 ​ 9 Equity compensation not currently deductible ​ 2,098 ​ 1,579 Net operating loss carryforwards ​ 10,514 ​ 10,758 Research and development credits ​ ​ 452 ​ ​ 362 Expenses not deductible until paid ​ 1,972 ​ 1,694 Other ​ 133 ​ (220) Total gross deferred income tax assets before valuation allowance ​ 15,510 ​ 14,483 Valuation allowance ​ (13,769) ​ (13,008) Deferred income tax assets, net ​ ​ 1,741 ​ ​ 1,475 ​ ​ ​ ​ ​ ​ ​ Deferred income tax liabilities: ​ ​ Other ​ (22) ​ (65) Total deferred income tax liabilities ​ (22) ​ (65) ​ ​ ​ ​ ​ ​ ​ Net deferred income tax assets ​ $ 1,719 ​ $ 1,410 ​ ​ ​ ​ ​ ​ ​ Net deferred income tax assets ​ $ 1,741 ​ $ 1,475 Net deferred income tax liability ​ ​ (22) ​ ​ (65) ​ ​ ​ ​ ​ ​ ​ Net deferred income tax assets ​ $ 1,719 ​ $ 1,410 ​ In assessing the realization of deferred tax assets, management considers whether it is more likely than not that all or some portion of the deferred tax assets will not be realizable. The ultimate realization of the deferred tax assets is dependent upon the generation of future taxable income during the periods in which temporary differences are deductible and net operating losses are available. As of December 31, 2023, the Company continues to maintain a valuation allowance on all of the Company’s United States, Canadian, German and United Kingdom subsidiaries’ deferred tax assets. The Company maintained a valuation allowance of approximately $13.8 million and $13.0 million as of December 31, 2023 and 2022, respectively. The valuation allowance relates to the United States, and the Company’s Canadian, German and the United Kingdom subsidiaries’ deferred tax assets. The net change in the total valuation allowance was an increase of $0.8 million and $3.9 million for the years ended December 31, 2023 and December 31, 2022, respectively. Despite the access to the overseas earnings and the resulting toll charge, the Company intends to indefinitely reinvest the foreign earnings in our foreign subsidiaries on account of the foreign jurisdiction withholding tax that the Company has to incur on the actual remittances. Unremitted earnings of foreign subsidiaries amounted to approximately $50.4 million at December 31, 2023. If such earnings are repatriated in the future, or are no longer deemed to be indefinitely reinvested, the Company would have to accrue the applicable amount of foreign jurisdiction withholding taxes associated with such remittances. United States and foreign components of loss before provision for income taxes for each of the years ended December 31, were as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2023 ​ 2022 United States ​ $ 2,025 ​ $ (4,023) Foreign ​ (1,886) ​ (6,460) Totals ​ $ 139 ​ $ (10,483) ​ At December 31, 2023, the Company had available U.S. federal net operating loss (NOL) carryforwards of approximately $21.2 million and recognized research and development credits of approximately $0.1 million. These NOL carryforwards expire at various times from the year 2032 through the year 2035 and the research and development credit expires in 2043. The potential benefits from these balances have not been recognized for financial statement purposes. Under the CARES Act, the Internal Revenue Code was amended to allow for federal NOL carrybacks for five years to offset previous years’ taxable income or for the NOL to be carried forward indefinitely to offset 80% of taxable income for tax years 2021 and thereafter. As of the date the financial statements were issued, the state NOL carryforwards, if not utilized, will expire beginning in 2032. On December 31, 2023, the Company’s Canadian subsidiaries had available Canadian NOL carryforwards of approximately $27.0 million that will begin to expire in 2036 and research and development credits of approximately $1.4 million that have no expiry. The potential benefits from these balances have not been recognized for financial statement purposes. On December 31, 2023, the Company’s German and the United Kingdom subsidiaries had available NOL carryforwards of approximately $1.7 million. The potential benefits from these balances have not been recognized for financial statement purposes. The Company had reserves for uncertain tax positions of $1.9 million and $1.7 million as of December 31, 2023, and 2022, respectively, where the ultimate tax determination is uncertain due to complexities of tax laws. The increase in unrecognized tax benefits resulted from additional accruals for the current tax year. The Company expects that unrecognized tax benefits as of December 31, 2023 and December 31, 2022, if recognized, would have a material impact on the Company’s effective tax rate. The Company is subject to Federal income tax, as well as income tax in various states and foreign jurisdictions. The Company has open tax years for U.S. Federal and state taxes from 2019 through 2023. Various foreign subsidiaries have open tax years from 2005 through 2022, some of which are under audit by local tax authorities. The Company believes that its accruals for uncertain tax positions as of December 31, 2023 under ASC 740, Income Taxes are adequate to cover the Company’s income tax exposures. The following table represents a roll forward of the Company’s unrecognized tax benefits and associated interest for the years ended (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Unrecognized Tax ​ ​ Benefits ​ ​ December 31, ​ 2023 2022 Balance at January 1 ​ $ 1,680 ​ $ 1,753 Decrease for prior year tax positions ​ (68) ​ (290) Increase for current year tax positions ​ 247 ​ 311 Interest accrual ​ 97 ​ 67 Foreign currency remeasurement ​ (14) ​ (161) Balance at December 31 ​ $ 1,942 ​ $ 1,680 ​ Tax Assessments In September 2015, the Company’s Indian subsidiary was subject to an inquiry by the Service Tax Department in India regarding the classification of services provided by this subsidiary, asserting that the services provided by this subsidiary fall under the category of online information and database access or retrieval services (OID Services), and not under the category of business support services (BS Services) that are exempt from service tax as historically indicated in the subsidiary’s service tax filings. The Company disagrees with the Service Tax Department’s position. In November 2019, the Commissioner of Central Tax, GST & Central Excise issued an order confirming the Service Tax Department’s position. The Company contested this order in an appeal to the Customs, Excise and Service Tax Appellate Tribunal and in January 2024 the Customs, Excise and Service Tax Appellate Tribunal ruled in the Company’s favor. In the event the Service Tax Department appeals this ruling and is ultimately successful in proving that the services fall under the category of OID Services, the revenues earned by the Company’s Indian subsidiary for the period July 2012 through November 2016 would be subject to a service tax of between 12.36% and 15%, and this subsidiary may also be liable for interest and penalties. The revenues of the Company’s Indian subsidiary during this period was approximately $56.0 million. In accordance with new rules promulgated by the Service Tax Department, as of December 1, 2016 service tax is no longer applicable to OID or BS Services. Based on the Company’s assessment in consultation with the Company’s tax counsel, the Company has not recorded any tax liability for this case. In a separate action relating to service tax refunds, in October 2016, the Company’s Indian subsidiary received notices from the Indian Service Tax Department in India seeking to reverse service tax refunds of approximately $121,000 previously granted to the Company’s Indian subsidiary for three quarters in 2014, asserting that the services provided by this subsidiary fall under the category of OID Services and not BS Services. The appeal was determined in favor of the Service Tax Department. The Company disagrees with the basis of this decision and is contesting it. The Company expects delays in its Indian subsidiary receiving further service tax refunds until this matter is adjudicated with finality, and currently has service tax credits of approximately $0.8 million recorded as a receivable. Based on the Company’s assessment in consultation with the Company’s tax counsel, the Company has not recorded any tax liability for this case. Substantial recovery against the Company in the above referenced 2015 Service Tax Department case could have a material adverse impact on the Company, and unfavorable rulings or recoveries in other tax proceedings could have a material adverse impact on the consolidated operating results of the period (and subsequent periods) in which the rulings or recovery occurs.

Long-term obligations

Long-term obligations	12 Months Ended
	Dec. 31, 2023
Long-term obligations
Long-term obligations	7. Long-term obligations Total long-term obligations as of December 31, 2023 and 2022 consisted of the following (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ 2023 2022 ​ ​ ​ ​ ​ ​ ​ Pension obligations - accrued pension liability ​ $ 7,128 ​ $ 5,906 Settlement agreement ​ ​ - ​ ​ 50 Microsoft licenses (1) ​ ​ 911 ​ - ​ ​ ​ 8,039 ​ 5,956 Less: Current portion of long-term obligations ​ 1,261 ​ 877 Totals ​ $ 6,778 ​ $ 5,079 ​ (1)

Commitments and contingencies

Commitments and contingencies	12 Months Ended
	Dec. 31, 2023
Commitments and contingencies
Commitments and Contingencies	8. Commitments and contingencies Litigation - The Company is also subject to various other legal proceedings and claims that have arisen in the ordinary course of business. While management currently believes that the ultimate outcome of these proceedings will not have a material adverse effect on the Company’s consolidated financial position or overall trends in consolidated results of operations, litigation is subject to inherent uncertainties. Substantial recovery against the Company in the above-referenced Philippine action could have a material adverse impact on the Company, and unfavorable rulings or recoveries in the other proceedings could have a material adverse impact on the consolidated operating results in the period in which the ruling or recovery occurs. In addition, the Company’s estimate of the potential impact on the Company’s consolidated financial position or overall consolidated results of operations for the above referenced legal proceedings could change in the future. The Company’s legal accruals related to legal proceedings and claims are based on the Company’s determination of whether or not a loss is probable. The Company reviews outstanding proceedings and claims with external counsel to assess probability and estimates of loss. The accruals are adjusted if necessary. While the Company intends to defend these matters vigorously, adverse outcomes that it estimates could reach approximately $450,000 in the aggregate beyond recorded amounts are reasonably possible. If circumstances change, the Company may be required to record adjustments that could be material to its reported consolidated financial condition and results of operations. Foreign Currency Indemnifications

Operating Leases

Operating Leases	12 Months Ended
	Dec. 31, 2023
Operating Leases
Operating Leases	9. Operating Leases The Company has various lease agreements for its offices and service delivery centers. The Company has determined that the risks and benefits related to the leased properties are retained by the lessors. Accordingly, these are accounted for as operating leases. These lease agreements are for terms ranging from three The Company recognizes an operating lease liability and right-of-use asset in compliance with current lease accounting standard ASC 842. The amount of right-of use asset is equal to the present value of the remaining lease payments discounted using the incremental borrowing rate of each respective country. Modifications, if any are recalculated and corresponding adjustments are made to the carrying values of both the lease liability and right-of-use assets. A right-of-use asset is measured as the amount of the lease liability adjusted for the amount of deferred straight-line rent, prepaid rent and lease incentive allowances previously recognized. ​ The table below summarizes the amounts recognized in the financial statements related to operating leases for the years presented (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ Year Ended ​ December 31, 2023 December 31, 2022 ​ ​ ​ ​ ​ ​ ​ Rent expense for long-term operating leases ​ $ 1,252 ​ $ 1,336 Rent expense for short-term leases ​ 305 ​ 502 Total rent expense ​ $ 1,557 ​ $ 1,838 ​ The following table presents the maturity profile of the Company’s operating lease liabilities based on the contractual undiscounted payments with a reconciliation of these amounts to the remaining net present value of the operating lease liability reported in the consolidated balance sheet as of December 31, 2023 (in thousands): ​ ​ ​ ​ ​ Year ​ Amount ​ ​ ​ ​ 2024 ​ $ 1,292 2025 ​ 1,316 2026 ​ 1,348 2027 ​ 1,344 2028 ​ ​ 965 2029 and thereafter ​ 869 Total lease payments ​ 7,134 Less: Interest ​ (1,651) Net present value of lease liabilities ​ $ 5,483 ​ ​ ​ ​ Current portion ​ $ 782 Long-term portion ​ 4,701 Total ​ $ 5,483 ​ The weighted average remaining lease terms and discount rates for all of our operating leases as of December 31, 2023 were as follows: ​ ​ ​ ​ ​ Weighted-average lease term remaining 63 months ​ Weighted-average discount rate 9.45% ​ ​

Pension Benefits

Pension Benefits	12 Months Ended
	Dec. 31, 2023
Pension Benefits
Pension Benefits	10. Pension Benefits U.S. Defined Contribution Pension Plan - Most of the non-U.S. subsidiaries provide for government-mandated defined pension benefits. For certain of these subsidiaries, vested eligible employees are provided a lump sum payment upon retiring from the Company at a defined age. The lump sum amount is based on the salary and tenure as of retirement date. Other non-U.S. subsidiaries provide for a lump sum payment to vested employees on retirement, death, incapacitation or termination of employment, based upon the salary and tenure as of the date employment ceases. The liability for such defined benefit obligations is determined and provided on the basis of actuarial valuations. As of December 31, 2023, these plans were unfunded. Pension expense for our foreign subsidiaries totaled approximately $1.2 million and $1.1 million for the years ended December 31, 2023 and 2022, respectively. The following tables set out the status of the non-U.S. pension benefits and the amounts recognized in the Company’s consolidated financial statements and the components of pension costs for the years ended December 31, 2023 and 2022 were as follows (in thousands): Benefit Obligations: ​ ​ ​ ​ ​ ​ ​ ​ ​ 2023 2022 ​ ​ ​ ​ ​ ​ ​ Projected benefit obligation at beginning of the year ​ $ 5,906 ​ $ 6,839 Service cost ​ 568 ​ 592 Interest cost ​ 478 ​ 352 Actuarial loss (gain) ​ 324 ​ (713) Foreign currency exchange rates changes ​ 54 ​ (862) Curtailment ​ - ​ (48) Benefits paid ​ (202) ​ (254) Projected benefit obligation at end of the year ​ $ 7,128 ​ $ 5,906 ​ The Company incurred an actuarial loss of $0.3 million for the year ended December 31, 2023, and an actuarial gain of $0.7 million for the year ended December 31, 2022. This was mainly due to changes in the discount rates used. Actuarial (gains) losses are recorded as part of other comprehensive income and are not reflected as part of net periodic pension cost. ​ Components of Net Periodic Pension Cost: ​ ​ ​ ​ ​ ​ ​ ​ ​ 2023 2022 ​ ​ ​ ​ ​ ​ ​ Service cost ​ $ 568 ​ $ 592 Interest cost ​ 478 ​ 352 Curtailment ​ - ​ (16) Actuarial loss recognized ​ 147 ​ 210 Net periodic pension cost ​ $ 1,193 ​ $ 1,138 ​ The accumulated benefit obligation, which represents benefits earned to date, was approximately $3.9 million and $3.2 million for each of the years ended December 31, 2023 and 2022. Amounts recognized in the consolidated balance sheets for the years ended December 31, 2023 and 2022 consisted of the following (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ 2023 2022 ​ ​ ​ ​ ​ ​ ​ Current accrued benefit cost ​ $ 880 $ 828 Non-current accrued benefit cost ​ 6,248 5,078 Total amount recognized ​ $ 7,128 $ 5,906 ​ Current accrued benefit cost for pension benefits was included in the current portion of long-term obligations in the consolidated balance sheets. Non-current accrued benefit cost for pension benefits was included in long-term obligations, net of current portion, in the consolidated balance sheets. Actuarial assumptions for all non-U.S. plans are described below. The discount rates are used to measure the year-end benefit obligations and the earnings effects for the subsequent year. The assumptions for the years ended December 31, 2023 and 2022 were as follows: ​ ​ ​ ​ ​ ​ ​ 2023 2022 ​ ​ ​ ​ ​ Discount rate 6.73%-12.8% ​ 5.13%-20% Rate of increase in compensation level 7.5%-14.5% ​ 7.5%-20% ​ Estimated Future Benefit Payments: As of December 31, 2023, the following benefit payments, which reflect expected future service, as appropriate, were expected to be paid (in thousands): ​ ​ ​ ​ ​ Year ​ Amount ​ ​ ​ ​ 2024 ​ $ 889 2025 ​ 431 2026 ​ 267 2027 ​ ​ 749 2028 ​ ​ 175 2029 to 2032 ​ 5,108 ​ ​ $ 7,619 ​

Capital Stock

Capital Stock	12 Months Ended
	Dec. 31, 2023
Capital Stock
Capital Stock	11. Capital Stock Common Stock - Preferred Stock - Common Stock Reserved - Treasury Stock -

Stock Options

Stock Options	12 Months Ended
	Dec. 31, 2023
Stock Options
Stock Options	12. Stock Options The Innodata Inc. 2013 Stock Plan (as amended, the “2013 Plan”) expired in accordance with its terms on June 3, 2023. Pursuant to the terms of the 2013 Plan, no further awards may be granted under the 2013 Plan following its expiration. As of December 31, 2023, there were 5,567,966 shares of our common stock underlying outstanding options or rights under the 2013 Plan. Outstanding awards made under the 2013 Plan prior to the 2013 Plan’s expiration will remain in effect until such awards have been satisfied or terminated in accordance with the terms of the 2013 Plan and such awards. On June 9, 2022, stockholders of the Company approved amendments to the Innodata Inc. 2021 Equity Compensation Plan (as amended, the “2021 Plan”). The number of shares of common stock of Innodata Inc. that may be delivered, purchased or used for reference purposes (with respect to stock appreciation rights or stock units) for awards granted under the 2021 Plan is 4,000,000 (the “Share Reserve”). Shares subject to an option or stock appreciation right granted under the 2021 Plan count against the Share Reserve as one share for every share granted, and shares subject to any other type of award granted under the 2021 one The fair value of stock options is estimated on the date of grant using the Black-Scholes option pricing model. The weighted-average fair value of the options granted, and weighted-average assumptions were as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ For the Years Ended December 31, ​ ​ 2023 ​ 2022 ​ ​ ​ ​ ​ ​ ​ ​ Weighted average fair value of options granted $ 2.56 $ 2.67 ​ Risk-free interest rate ​ 4.34 % 1.94% - 4.09 % Expected term (years) ​ 6.0 ​ 3 - 6.42 ​ Expected volatility factor ​ 75.35 % 62%-79 % Expected dividends ​ None ​ None ​ ​ The Company estimates the risk-free interest rate using the U.S. Treasury yield curve for periods equal to the expected term of the options in effect at the time of grant. The expected term of options granted is based on a combination of vesting schedules, term of the options and historical experience. Expected volatility is based on the historical volatility of the Company’s common stock. The Company uses an expected dividend yield of zero since it has never declared or paid any dividends on its capital stock. Stock Options 2013 Plan A summary of stock option activity under the Innodata Inc. 2013 Stock Plan, as amended and restated effective June 7, 2016 (the “2013 Plan”) and changes during each of the years ended December 31, 2023 and 2022 are presented below. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted-Average ​ ​ ​ ​ ​ ​ Weighted -Average ​ Remaining ​ ​ ​ ​ ​ Number of ​ Exercise ​ Contractual Term ​ Aggregate ​ ​ Options ​ Price ​ (years) ​ Intrinsic Value Outstanding at January 1, 2022 5,536,896 ​ $ 2.66 ​ ​ ​ ​ Granted 1,774,558 ​ 4.91 ​ ​ ​ ​ Exercised (248,763) ​ 1.34 ​ ​ ​ ​ Forfeited/Expired (372,201) ​ 6.55 ​ ​ ​ ​ Outstanding at December 31, 2022 ​ 6,690,490 ​ $ 3.09 ​ 7.19 ​ $ 5,989,709 Granted* ​ 25,000 ​ ​ 3.31 ​ ​ ​ ​ ​ Exercised ​ (1,287,462) ​ ​ 2.37 ​ ​ ​ ​ ​ Forfeited/Expired ​ (88,866) ​ ​ 6.27 ​ ​ ​ ​ ​ Outstanding at December 31, 2023 5,339,162 ​ $ 3.22 6.38 ​ $ 28,640,009 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Exercisable at December 31, 2023 3,475,780 ​ $ 2.18 6.40 ​ $ 22,237,334 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Vested and Expected to Vest at December 31, 2023 5,339,162 ​ $ 3.22 6.38 ​ $ 28,640,009 ​ * Includes 25,000 stock options granted to a non-employee member of the Company’s advisory board. ​ 2021 Plan ​ A summary of option activity under the Innodata Inc. 2021 Equity Compensation Plan, as amended and restated effective as of April 11, 2022 (the “2021 Plan”) and changes during each of the years ended December 31, 2023 and 2022 are presented below. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted- ​ ​ ​ ​ ​ Weighted - ​ Average ​ ​ ​ ​ ​ ​ Average ​ Remaining ​ Aggregate ​ ​ Number of ​ Exercise ​ Contractual ​ Intrinsic ​ ​ Options ​ Price ​ Term (years) ​ Value ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Outstanding at January 1, 2022 - ​ $ - ​ ​ ​ ​ Granted 1,030,000 ​ 3.46 ​ ​ ​ ​ Exercised - ​ - ​ ​ ​ ​ Forfeited/Expired (2,500) ​ 3.41 ​ ​ ​ ​ Outstanding at December 31, 2022 1,027,500 ​ $ 3.46 9.75 ​ $ - Granted 3,000 ​ 13.05 ​ ​ ​ ​ Exercised (63,595) ​ 4.59 ​ ​ ​ ​ Forfeited/Expired (43,334) ​ 3.41 ​ ​ ​ ​ Outstanding at December 31, 2023 923,571 ​ $ 3.41 8.76 ​ $ 4,786,252 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Exercisable at December 31, 2023 386,209 ​ $ 3.34 8.74 ​ $ 2,023,601 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Vested and Expected to Vest at December 31, 2023 923,571 ​ $ 3.41 8.76 ​ $ 4,786,252 ​ Restricted Stock Awards There were no outstanding awards of restricted stock under the 2013 Plan or the 2021 Plan (collectively, the “Equity Plans”) during each of the years ended December 31, 2023 and 2022. Restricted Stock Units Restricted stock unit activity under the Equity Plans during each of the years ended December 31, 2023 and 2022 are presented below: ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted- ​ ​ Number of ​ Average ​ ​ Restricted Stock ​ Grant Date ​ ​ Units ​ Fair Value ​ ​ ​ ​ ​ ​ Unvested at January 1, 2023 ​ 700,000 ​ $ 5.59 Granted ​ 49,756 ​ ​ 8.29 Vested - ​ - Forfeited/Expired - ​ - Unvested at December 31, 2023 749,756 ​ $ 5.77 ​ During the year ended December 31, 2023, a total of 49,756 restricted stock units (“RSUs”) were granted. 28,804 RSUs were granted to employees under the 2013 Plan, and 20,952 RSUs were granted to non-employee directors of the Company under the 2021 Plan. Vesting of the RSUs granted to employees is contingent on continuous employment by the employee for a 12-month period from the date of grant, and each fully vested RSU represents the right to receive one share of the Company’s common stock or the fair market value of one share of common stock, at the Company’s discretion, and is classified as an equity award. Vesting of the RSUs granted to the non-employee directors occurs on the earlier of (i) one year from the date of grant; or (ii) the date of the Company’s 2024 annual meeting of stockholders, and each fully vested RSU represents the right to receive one share of the Company’s common stock and is classified as an equity award. The stock-based compensation expense is recognized on a straight-line basis over a period of 12 months. The fair value of restricted stock units is based on the closing price of the stock at the time of the grant. ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted- ​ ​ Number of ​ Average ​ ​ Restricted Stock ​ Grant Date ​ ​ Units ​ Fair Value ​ ​ ​ ​ ​ ​ Unvested at January 1, 2022 ​ - ​ $ - Granted 700,000 ​ ​ 5.59 Vested - ​ - Forfeited/Expired - ​ - Unvested at December 31, 2022 700,000 ​ $ 5.59 ​ During the year ended December 31, 2022, 700,000 performance-based RSUs were granted under the Equity Plans and remain non-vested as of December 31, 2023. Vesting of these RSUs is contingent on the achievement of certain financial performance goals and continuation of employment for a defined period. Each RSU vests pursuant to the vesting schedule found in the respective RSU agreement. The fair value of restricted stock units is estimated on the date of grant using the Binomial option pricing model. ​ The compensation cost related to non-vested stock options not yet recognized as of December 31, 2023 totaled approximately $3.5 million. The weighted-average period over which these costs will be recognized is 15 months. ​ The compensation cost related to non-vested restricted stock units not yet recognized as of December 31, 2023 totaled approximately $3.1 million. The weighted-average period over which these costs will be recognized is 14 months.

Comprehensive loss

Comprehensive loss	12 Months Ended
	Dec. 31, 2023
Comprehensive loss
Comprehensive loss	13. Comprehensive loss Accumulated other comprehensive loss, as reflected in the consolidated balance sheets, consists of pension liability adjustments, net of taxes, foreign currency translation adjustment and changes in fair value of derivatives, net of taxes. The components of accumulated other comprehensive loss as of December 31, 2023 and 2022, and reclassifications out of accumulated other comprehensive loss for the years then ended, are presented below (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Foreign Currency Accumulated Other ​ ​ Pension Liability ​ Fair Value of ​ Translation ​ Comprehensive ​ ​ Adjustment ​ Derivatives ​ Adjustment ​ Loss ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Balance at January 1, 2023 ​ $ (86) ​ $ (365) ​ $ (1,657) ​ $ (2,108) Other comprehensive income (loss) before reclassifications, net of taxes ​ (322) ​ 185 ​ 407 ​ 270 Total other comprehensive loss before reclassifications, net of taxes ​ (408) ​ (180) ​ (1,250) ​ (1,838) Net amount reclassified to earnings ​ (4) ​ 221 ​ - ​ 217 Balance at December 31, 2023 ​ $ (412) ​ $ 41 ​ $ (1,250) ​ $ (1,621) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Foreign Currency Accumulated Other ​ ​ Pension Liability ​ Fair Value of ​ Translation ​ Comprehensive ​ ​ Adjustment ​ Derivatives ​ Adjustment ​ Loss ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Balance at January 1, 2022 ​ $ (858) ​ $ (353) ​ $ (981) ​ $ (2,192) Other comprehensive income (loss) before reclassifications, net of taxes ​ 561 ​ (1,118) ​ (676) ​ (1,233) Total other comprehensive loss before reclassifications, net of taxes ​ (297) ​ (1,471) ​ (1,657) ​ (3,425) Net amount reclassified to earnings ​ 211 ​ 1,106 ​ - ​ 1,317 Balance at December 31, 2022 ​ $ (86) ​ $ (365) ​ $ (1,657) ​ $ (2,108) ​ Taxes related to each component of other comprehensive loss were not material for the fiscal years presented and therefore not disclosed separately. ​ All reclassifications out of accumulated other comprehensive loss had an impact on direct operating costs in the consolidated statements of operations and comprehensive loss.

Segment reporting and concentra

Segment reporting and concentrations	12 Months Ended
	Dec. 31, 2023
Segment reporting and concentrations
Segment reporting and concentrations	14. Segment reporting and concentrations The Company’s operations are classified in three reporting segments: Digital Data Solutions (DDS), Synodex and Agility. The DDS segment provides AI data preparation services, collecting or creating training data, annotating training data, and training AI algorithms for its customers, and AI model deployment and integration. The DDS segment also provides a range of data engineering support services including data transformation, data curation, data hygiene, data consolidation, data extraction, data compliance, and master data management. The Synodex segment provides an industry platform that transforms medical records into useable digital data organized in accordance with its proprietary data models or customer data models. The Agility segment provides an industry platform that provides marketing communications and public relations professionals with the ability to target and distribute content to journalists and social media influencers world-wide and to monitor and analyze global news channels (print, web, radio and TV) and social media channels. A significant portion of the Company’s revenues is generated from its locations in the Philippines, India, Sri Lanka, Canada, Germany, Israel, United States and the United Kingdom. Revenues from external customers, segment operating profit (loss), and other reportable segment information are as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ For The Years Ended December 31, ​ 2023 2022 Revenues: ​ ​ DDS ​ $ 61,576 ​ $ 56,523 Synodex ​ 7,511 ​ 7,105 Agility ​ 17,688 ​ 15,373 Total Consolidated ​ $ 86,775 ​ $ 79,001 ​ ​ ​ ​ ​ ​ ​ Income (loss) before provision for income taxes (1) ​ ​ ​ ​ DDS ​ $ 1,823 ​ $ 1,393 Synodex ​ (299) ​ (3,213) Agility ​ (1,385) ​ (8,663) Total Consolidated ​ $ 139 ​ $ (10,483) ​ ​ ​ ​ ​ ​ ​ Income (loss) before provision for income taxes (2) ​ ​ ​ ​ DDS ​ $ 1,260 ​ $ 716 Synodex ​ 219 ​ (2,599) Agility ​ (1,340) ​ (8,600) Total Consolidated ​ $ 139 ​ $ (10,483) ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, 2023 December 31, 2022 Total assets: ​ ​ DDS ​ $ 37,232 ​ $ 25,758 Synodex ​ 3,379 ​ 3,270 Agility ​ 18,820 ​ 19,014 Total Consolidated ​ $ 59,431 ​ $ 48,042 ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, 2023 December 31, 2022 Goodwill: ​ ​ Agility ​ $ 2,075 ​ $ 2,038 Total ​ $ 2,075 ​ $ 2,038 ​ (1) Before elimination of any inter-segment profits (2) After elimination of any inter-segment profits ​ Long-lived assets as of December 31, 2023 and 2022 by geographic region were comprised of (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ 2023 2022 United States ​ $ 9,101 ​ $ 7,205 Foreign countries: ​ ​ ​ ​ Canada ​ 7,328 ​ 7,675 United Kingdom ​ 1,028 ​ 1,198 Philippines ​ 3,484 ​ 3,682 India ​ 1,791 ​ 1,195 Sri Lanka ​ 423 ​ 426 Israel ​ 13 ​ 3 Total foreign ​ 14,067 ​ 14,179 Totals ​ $ 23,168 ​ $ 21,384 ​ Long-lived assets include the unamortized balance of right-of-use assets amounting to $5.1 million and $4.3 million as of December 31, 2023 and December 31, 2022, respectively. ​ One customer in the DDS segment generated approximately 10% of the Company’s total revenues in the fiscal year ended December 31, 2023. Another customer in the DDS segment generated approximately 11% of the Company’s total revenues in the fiscal year ended December 31, 2022. No other customer accounted for 10% or more of total revenues during these periods. Further, in the years ended December 31, 2023 and 2022, revenues from non-U.S. customers accounted for 37% and 38%, respectively, of the Company’s revenues. Revenues for each of the two years in the period ended December 31, 2023 and 2022 by geographic region (determined based upon customer domicile), were as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ 2023 2022 United States ​ $ 54,430 ​ $ 48,724 United Kingdom ​ 10,766 ​ 10,901 The Netherlands ​ 7,291 ​ 6,829 Canada ​ 7,156 ​ 5,508 Others - principally Europe ​ 7,132 ​ 7,039 Totals ​ $ 86,775 ​ $ 79,001 ​ As of December 31, 2023, approximately 31% of the Company’s accounts receivable was due from foreign (principally European) customers and 53% of accounts receivable was due from three customers. As of December 31, 2022, approximately 44% of the Company’s accounts receivable was due from foreign (principally European) customers and 45% of accounts receivable was due from four customers. No other customer accounted for 10% or more of the accounts receivable as of December 31, 2023 and 2022.

Loss per Share

Loss per Share	12 Months Ended
	Dec. 31, 2023
Loss per Share
Loss per Share	15. Loss per Share ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ For the Years Ended ​ ​ December 31, ​ 2023 2022 Net loss attributable to Innodata Inc. and Subsidiaries ​ $ 908 $ 11,935 Weighted average common shares outstanding ​ 28,131 ​ 27,278 Dilutive effect of outstanding options ​ - ​ ​ - Adjusted for dilutive computation ​ 28,131 ​ 27,278 ​ Basic loss per share is computed using the weighted-average number of common shares outstanding during the year. Diluted income per share is computed by considering the impact of the potential issuance of common shares, using the treasury stock method, on the weighted average number of shares outstanding. For those securities that are not convertible into a class of common stock, the two-class method of computing loss per share is used. Options to purchase 6.3 million shares of common stock for the year ended December 31, 2023 were outstanding but not included in the computation of diluted loss per share because the effect would be antidilutive. ​ Options to purchase 5.3 million shares of common stock for the year ended December 31, 2022 were outstanding but not included in the computation of diluted loss per share because the exercise price of the options were greater than the average market price of the common shares and therefore have not been considered as potential equity shares.

Derivatives

Derivatives	12 Months Ended
	Dec. 31, 2023
Derivatives
Derivatives	16. Derivatives The Company conducts a large portion of its operations in international markets which subject it to foreign currency fluctuations. The most significant foreign currency exposures occur when revenue and associated accounts receivable are collected in one currency and expenses to generate revenues are incurred in another currency. The Company is also subject to wage inflation and other government mandated increases and operating expenses in Asian countries where the Company has the majority of its operations. The Company’s primary inflation and exchange rate exposure relates to payroll, other payroll costs and operating expenses in the Philippines, India, Sri Lanka and Israel. In addition, although most of the Company’s revenue is denominated in U.S. dollars, a significant portion of total revenues is denominated in Canadian dollars, Pound Sterling and Euros. The Company’s policy is to enter derivative instrument contracts with terms that coincide with the underlying exposure being hedged for a period up to 12 months. As such, the Company’s derivative instruments are expected to be highly effective. For derivative instruments that are designated and qualify as cash flow hedges, the entire change in fair value of the hedging instrument is recorded to Other comprehensive income (loss). Upon settlement of these contracts, the change in the fair value recorded in Other comprehensive income (loss) are reclassified to earnings and included as part of Direct operating costs. For derivative instruments that are not designated as hedges, any change in fair value is recorded directly in earnings as part of Direct operating costs. The Company formally documents all relationships between hedging instruments and hedged items, as well as its risk management objective and strategy for undertaking hedge transactions. The Company does not hold or issue derivatives for trading purposes. All derivatives are recognized at their fair value and classified based on the instrument’s maturity date. The total notional amount for outstanding derivatives designated as hedges was $10.5 million and $14.2 million as of December 31, 2023 and 2022, respectively. The following table presents the fair value of derivative instruments included within the consolidated balance sheets as of December 31, 2023 and 2022 (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Balance Sheet Location Fair Value ​ ​ ​ ​ 2023 ​ 2022 Derivatives designated as hedging instruments: ​ ​ Foreign currency forward contracts ​ Accrued expenses ​ $ - ​ $ 365 Foreign currency forward contracts Prepaid expenses and other current assets ​ $ 41 ​ $ - ​ The effect of foreign currency forward contracts designated as cash flow hedges on the consolidated statements of operations for the years ended December 31, 2023 and 2022 were as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ 2023 2022 Net gain (loss) recognized in OCI (1) ​ $ 185 ​ $ (1,118) Net loss reclassified from accumulated OCI into income (2) ​ $ (221) ​ $ (1,106) Net gain recognized in income (3) ​ $ - ​ $ - ​ (1) Net change in fair value of the effective portion classified into other comprehensive income (“OCI”) (2) Effective portion classified within direct operating costs. (3) There were no ineffective portions for the period presented .

Line of Credit

Line of Credit	12 Months Ended
	Dec. 31, 2023
Line of Credit
Line of Credit	17. Line of Credit ​ On April 4, 2023, the Company entered into a Credit Agreement (the “Credit Agreement”) with Wells Fargo Bank, National Association, as lender, and Innodata Inc., Innodata Synodex, LLC, Innodata docGenix, LLC and Agility PR Solutions LLC as co-borrowers. On July 21, 2023, Innodata Services LLC signed a Joinder Agreement to join the Credit Agreement as a co-borrower. The Credit Agreement provides for a secured revolving line of credit (the “Revolving Credit Facility”) up to an amount equal to the lesser of the borrowing base and $10.0 million with a maturity date of April 4, 2026. The Revolving Credit Facility’s borrowing base is calculated in accordance with the terms of the Credit Agreement and on the basis of 85% of eligible accounts, 85% of eligible foreign accounts up to $2.0 million and certain other reserves and adjustments. As of December 31, 2023, such borrowing base calculation equaled approximately $10.0 million. The Credit Agreement contains a financial covenant that requires the Borrowers, on a consolidated basis, to maintain a fixed charge coverage ratio of not less than 1.10 to 1.00 by December 31, 2023. Except as set forth in the Credit Agreement, borrowings under the Revolving Credit Facility bear interest at a rate equal to the daily simple secured overnight financing rate (“SOFR”) plus 2.25%. The Company has not utilized the Revolving Credit Facility during the year ended December 31, 2023 and through the date of filing of this Report. ​

Subsequent Event

Subsequent Event	12 Months Ended
	Dec. 31, 2023
Subsequent Event
Subsequent Event	18. Subsequent Event ​ On February 21, 2024, a putative class action lawsuit was filed in the U.S. District Court for the District of New Jersey against the Company and certain of its current and former officers (D’Agostino v. Innodata Inc., et al., Case Number 2:24-CV-00971 (the “D’Agostino Complaint”). The D’Agostino Complaint asserts claims against all defendants for alleged violations of Section 10(b) of the Exchange Act and Rule 10b-5 promulgated thereunder and Section 20(a) of the Exchange Act. The D’Agostino Complaint alleges that defendants made materially false and misleading statements related to its AI business and development and related financial results, growth, and prospects. The D’Agostino Complaint seeks unspecified compensatory and punitive damages, costs, attorneys’ fees, and other unspecified relief. The Company intends to defend against the D’Agostino Complaint vigorously.

Description of Business and S_2

Description of Business and Summary of Significant Accounting Estimates and Policies (Policies)	12 Months Ended
	Dec. 31, 2023
Description of Business and Summary of Significant Accounting Estimates and Policies
Description of Business	Description of Business The Company was founded on a simple idea: engineer the highest quality data so organizations across broad industry segments could make smarter decisions. Today, the Company believes it is delivering the highest quality data for some of the world’s most innovative technology companies to use to train the AI models of the future. AI holds the promise that computers can perceive and understand the world, enabling products and services that would have been previously unimaginable and impossible with traditional coding. AI learns from data, and the highest-performing AI will have learned from the highest-quality data. The Company believes that it can contribute meaningfully by harnessing its capabilities, honed over 30 years, in collecting and annotating data at scale with consistency and high accuracy. The Company is also helping companies deploy and integrate AI into their operations and products and providing innovative AI-enabled industry platforms, helping ensure that its customers’ businesses are prepared for a world in which machines augment human activity in ways previously unimaginable. The Company developed its capabilities and honed its approaches progressively over the last 30 years creating high-quality data for many of the world’s most demanding information companies. Approximately eight years ago, the Company formed Innodata Labs, a research and development center, to research, develop and apply machine learning and emerging AI to its large-scale, human-intensive data operations. In 2019, the Company began packaging the capabilities that emerged from its R&D efforts in order to align with several fast-growing new markets and help companies use AI/ML to drive performance benefits and business insights. The Company’s historical core competency in high-quality data, combined with these R&D efforts in applied AI, created the foundation for the evolution of the Company’s offerings, which include AI Data Preparation, AI Model Deployment and Integration, and AI-Enabled Industry Platforms. AI Data Preparation For several of the world’s large technology companies, the Company supports their efforts at building generative AI foundation models. For these companies, the Company provides or is poised to provide a range of scaled data solutions and services. The Company’s scaled data solutions include providing instruction data sets for fine-tuning LLMs to understand prompts, to accept instruction, to converse, to apparently reason, and to perform the myriad of incredible feats that many of us have now experienced. The Company also provides reinforcement learning and reward modeling, services which are critical to provide the guardrails against toxic, bias and harmful responses, and model evaluation services. For social media companies, robotics companies, financial services companies, and many others, the Company collects or creates training data, annotates training data, and trains AI algorithms for working with images, text, video, audio, code and sensor data. The Company utilizes a variety of leading third-party tools, proprietary tools and customer tools. For text annotation, the Company uses its proprietary data annotation platform that incorporates AI to reduce cost while improving consistency and quality of output. The Company’s proprietary data annotation platform features auto-tagging capabilities that apply to both classical and generative AI tasks. The platform encapsulates many of the innovations the Company has conceived of in the course of its 30-year history of creating high-quality data. In addition, because collecting real-world data is often impracticable (due to data privacy regulations or rarity of cohorts and outliers), the Company creates high-quality synthetic data that maintains all of the statistical properties of real-world data, using a combination of domain specialists and machine technologies that leverage large language models (LLMs). AI Model Deployment and Integration The Company helps businesses leverage the latest AI technologies to achieve their goals. The Company develops custom AI models (where it selects the appropriate algorithms, tunes hyperparameters, trains and validates the models, and updates the models as required). The Company also helps businesses fine-tune their own custom versions of the Company’s proprietary models and third-party foundation models to address domain-specific and customer-specific use cases. For the Company’s customers that provide products and solutions that require intensive text data processing and analytics, in addition to deploying and integrating AI models, the Company often provides a range of data engineering support services including data transformation, data curation, data hygiene, data consolidation, data extraction, data compliance, and master data management. The Company’s customers span a diverse range of industries and a wide range of AI use cases, benefiting from the short time-to-value and high economic returns of the Company’s AI solutions and platforms. AI-Enabled Industry Platforms The Company’s AI-enabled industry platforms address specific, niche market requirements the Company believes it can innovate with AI/ML technologies. The Company deploys these industry platforms as software-as-a-service (SaaS) and as managed services. These platforms benefit from the Company’s technology infrastructure, its industry-specific knowledge, its strong customer relationships and experience merging technology with the business processes of its customers. To date, the Company has built an industry platform for medical records data extraction and transformation (which the Company brands as “Synodex ® The Company’s Synodex industry platform transforms medical records into useable digital data organized in accordance with its proprietary data models or customer data models. The Company’s Agility industry platform provides marketing communications and public relations professionals with the ability to target and distribute content to journalists and social media influencers world-wide and to monitor and analyze global news (print, web, radio and TV) and social media. The Company’s operations are presently classified and reported in three reporting segments: Digital Data Solutions (DDS), Synodex and Agility.
Principles of Consolidation	Principles of Consolidation
Use of Estimates	Use of Estimates
Revenue Recognition	Revenue Recognition For the Digital Data Solutions (DDS) segment, revenue is recognized primarily based on the quantity delivered or resources utilized in the period in which services are performed and performance conditions are satisfied as per the agreement. Revenue from agreements billed on a time-and-materials basis is recognized as services are performed. Revenue from fixed-fee agreements, which is not significant to overall revenues, is recognized based on the proportional performance method of accounting, as services are performed, or milestones are achieved. For the Synodex segment, revenue is recognized primarily based on the quantity delivered in the period in which services are performed and performance conditions are satisfied as per the agreement. A portion of the Synodex segment revenue is derived from licensing the Company’s functional software and providing access to the Company’s hosted software platform. Revenue from such services is recognized monthly when all parties to the agreement have agreed to the agreement; each party’s rights are identifiable; the payment terms are identifiable; the agreement has commercial substance; access to the service is provided to the end user; and collection is probable. The Agility segment derives its revenue primarily from subscription arrangements and provision of enriched media analysis services. It also derives revenue as a reseller of corporate communication solutions. Revenue from subscriptions is recognized monthly when access to the service is provided to the end user; all parties to the agreement have agreed to the agreement; each party’s rights are identifiable; the payment terms are identifiable; the agreement has commercial substance; and collection is probable. Revenue from enriched media analysis services is recognized when the services are performed, and performance conditions are satisfied. Revenue from the reseller agreements is recognized at the gross amount received for the goods in accordance with the Company functioning as a principal due to the Company meeting the following criteria: the Company acts as the primary obligor in the sales transaction; assumes the credit risk; sets the price; can select suppliers; and is involved in the execution of the services, including after sales service. Revenue includes reimbursement of out-of-pocket expenses, with the corresponding out-of-pocket expenses included in direct operating costs. Revenue associated with the services provided in one period and billed in a subsequent period is commonly referred to as unbilled revenues and is included under Accounts receivable. The Company considers U.S. GAAP criteria for determining whether to report gross revenue as a principal versus net revenue as an agent. The Company evaluates whether it is in control of the services before the same are transferred to the customer to assess whether it is principal or agent in the arrangement. Contract acquisition costs, which are included in prepaid expenses and other current assets, are amortized over the term of a subscription agreement or contract that normally has a duration of 12 months or less. The Company reviews these prepaid acquisition costs on a periodic basis to determine the need to adjust the carrying values for early terminated contracts. Included in prepaid expenses and other current assets on the accompanying consolidated balance sheets are contract acquisition costs amounting to $0.8 million for each of the years ended December 31, 2023 and 2022. These acquisition costs relate to our Agility segment and are amortized over the term of the subscription agreement which normally has a duration of 12 months or less.
Foreign Currency Translation	Foreign Currency Translation The functional currency for the Company’s subsidiary in Germany is the Euro. The functional currencies for the Company’s Agility subsidiaries in the United Kingdom and Canada are the Pound Sterling and the Canadian dollar, respectively. The financial statements of these subsidiaries are prepared in their respective currencies. Financial information is translated from the applicable functional currency to the U.S. dollar (the reporting currency) for inclusion in the Company’s consolidated financial statements. Income, expenses, and cash flows are translated at weighted-average exchange rates prevailing during the fiscal period, and assets and liabilities are translated at fiscal period-end exchange rates. Resulting translation adjustments are included as a component of accumulated other comprehensive loss in stockholders’ equity. Foreign exchange transaction gains or losses are included in direct operating costs in the accompanying consolidated statements of operations and comprehensive loss.
Derivative Instruments	Derivative Instruments -
Cash Equivalents	Cash Equivalents -
Short term Investments-other	Short term Investments-other -
Concentration of Credit Risk	Concentration of Credit Risk -
Accounts Receivable	Accounts Receivable - We record an allowance for credit losses for estimated losses resulting from the failure of our customers to make the required payments and provisions for billing adjustments relating to quality issues on delivered services. The allowance for credit losses is based on a review of specifically identified accounts and an overall aging analysis applied to accounts pooled based on similar risk characteristics. Judgments are made with respect to the collectability of accounts receivable within each pool based on historical experience, current payment practices, and current economic trends based on our expectations over the expected life of the receivables, generally ninety days or less. Actual credit losses could differ from those estimates.
Property and Equipment	Property and Equipment - two ten years
Capitalized Developed Software	Capitalized Developed Software - three
Long-lived Assets	Long-lived Assets -
Goodwill and Other Intangible Assets	Goodwill and Other Intangible Assets - ten Goodwill represents the excess of the cost of an acquired entity over the fair value of the acquired net assets. The Company does not amortize goodwill but evaluates it for impairment at the reporting unit level annually during the third quarter of each fiscal year (as of September 30 of that year) or when an event occurs, or circumstances change, that indicates the carrying value may not be recoverable. The Company performed its annual goodwill assessment for the Agility segment as of September 30, 2023 for impairment. The impairment test involves estimating the fair value based on a combination of income (estimates of future discounted cash flows) and the market approach (market multiples for similar companies) using unobservable inputs (Level 3). The Company concluded that there is no impairment of goodwill for the Agility segment.
Income Taxes	Income Taxes In assessing the realization of deferred tax assets, management considered whether it is more likely than not that all or some portion of the U.S. and Canadian deferred tax assets will not be realizable. As the expectation of future taxable income resulting from the Synodex and Agility segments cannot be predicted with certainty, the Company maintains a valuation allowance against all the United States, Canadian and European (principally Germany and the United Kingdom) net deferred tax assets. The Company accounts for income taxes regarding uncertain tax positions, and recognizes interest and penalties related to uncertain tax positions in income tax expense in the consolidated statements of operations and comprehensive loss.
Accounting for Leases	Accounting for Leases The determination of whether an arrangement is, or contains, a lease is based on the substance of the arrangement at the inception date and requires an assessment of whether the fulfillment of the arrangement is dependent on the use of a specific asset or assets, or the arrangement conveys a right to use the asset. A reassessment is made after inception of the lease only if one of the following applies: a. there is a change in contractual terms, other than a renewal or extension of the arrangement; b. a renewal option is exercised, or extension granted, unless the term of the renewal or extension was initially included in the lease term; c. there is a change in the determination of whether fulfillment is dependent on a specified asset; or d. there is a substantial change to the asset. Whenever a reassessment is made, lease accounting shall commence or cease from the date when the change in circumstances gave rise to the reassessment for scenarios (a), (c) or (d) and at the date of renewal or extension period for scenario (b). Leases where the lessor retains substantially all the risks and rewards of ownership are classified as operating leases. As of December 31, 2023, all of the Company’s leases are classified under operating leases. Operating lease payments are recognized as an operating expense on a straight-line basis over the lease term.
Accounting for Stock-Based Compensation	Accounting for Stock-Based Compensation - The stock-based compensation expense related to the Company’s stock plans were allocated as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year Ended December 31, ​ 2023 2022 Direct operating costs ​ $ 294 ​ $ 214 Selling and administrative expenses ​ 3,733 ​ 3,069 Total stock-based compensation ​ $ 4,027 ​ $ 3,283 ​
Fair Value of Financial Instruments	Fair Value of Financial Instruments Fair value measurements and disclosures define fair value as the price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The accounting standard establishes a fair value hierarchy that prioritizes the inputs used to measure fair value into three levels. The three levels are defined as follows: ● Level 1 : Unadjusted quoted price in active market for identical assets and liabilities. ● Level 2: Inputs other than those included in Level 1 that are observable for the asset or liability, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. ● Level 3: Unobservable inputs reflecting management’s own assumptions about the inputs used in pricing the asset or liability. The Company’s forward contracts are at level 2 in the fair value hierarchy.
Income (Loss) per Share	Income (Loss) per Share
Pension	Pension -
Deferred Revenue	Deferred Revenue The table below provides information about contract liabilities (deferred revenue) and the significant changes in the balance for the years ended December 31, 2023 and 2022, respectively (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ ​ 2023 ​ 2022 Balance at January 1 ​ $ 4,366 ​ $ 4,509 Net deferred revenue in the period ​ ​ 21,619 ​ ​ 29,756 Revenue recognized ​ ​ (22,586) ​ ​ (29,618) Currency translations and other adjustments ​ ​ 124 ​ ​ (281) Balance at December 31 $ 3,523 $ 4,366 ​
Recent Accounting Pronouncements	Recent Accounting Pronouncements - On December 14, 2023, the FASB issued ASU No. 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures”. The ASU’s effective date is for fiscal years beginning after December 15, 2024. The adoption of the ASU 2023-09 will enhance quantitative and qualitative disclosures related to rate reconciliation of significant components and income tax paid. The Company does not expect any significant impact from the adoption of this standard.

Description of Business and S_3

Description of Business and Summary of Significant Accounting Estimates and Policies (Tables)	12 Months Ended
	Dec. 31, 2023
Description of Business and Summary of Significant Accounting Estimates and Policies
Schedule of stock-based compensation expense	The stock-based compensation expense related to the Company’s stock plans were allocated as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year Ended December 31, ​ 2023 2022 Direct operating costs ​ $ 294 ​ $ 214 Selling and administrative expenses ​ 3,733 ​ 3,069 Total stock-based compensation ​ $ 4,027 ​ $ 3,283
Schedule of information about contract liabilities (deferred revenue)	The table below provides information about contract liabilities (deferred revenue) and the significant changes in the balance for the years ended December 31, 2023 and 2022, respectively (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ ​ 2023 ​ 2022 Balance at January 1 ​ $ 4,366 ​ $ 4,509 Net deferred revenue in the period ​ ​ 21,619 ​ ​ 29,756 Revenue recognized ​ ​ (22,586) ​ ​ (29,618) Currency translations and other adjustments ​ ​ 124 ​ ​ (281) Balance at December 31 $ 3,523 $ 4,366

Short Term Investments - other

Short Term Investments - other (Tables)	12 Months Ended
	Dec. 31, 2023
Short Term Investments - other
Schedule of other short term investments	​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ ​ 2023 2022 ​ ​ ​ ​ ​ ​ ​ Treasury bills ​ $ - ​ $ 494 Certificates of deposit ​ 14 ​ 13 ​ ​ ​ ​ ​ ​ ​ Total ​ $ 14 ​ $ 507 ​

Accounts Receivable (Tables)

Accounts Receivable (Tables)	12 Months Ended
	Dec. 31, 2023
Accounts Receivable
Schedule of accounts receivable	​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ ​ 2023 2022 Gross Accounts receivable ​ $ 15,505 ​ $ 10,741 Allowance for doubtful accounts ​ ​ (1,217) ​ ​ (1,213) Accounts receivable, net $ 14,288 $ 9,528
Schedule of activity in allowance for credit losses	Activity in the allowance for the credit losses for the year ended December 31, 2023 was as follows (in thousands): ​ ​ ​ ​ ​ ​ For the Year Ended ​ December 31, 2023 Balance at January 1, 2023 $ 1,213 Additions charged to expense ​ ​ 426 Write-offs against allowance ​ ​ (426) Foreign currency translation adjustment ​ 4 Balance at December 31, 2023 ​ $ 1,217 ​

Property and equipment (Tables)

Property and equipment (Tables)	12 Months Ended
	Dec. 31, 2023
Property and equipment
Schedule of property and equipment, which include amounts recorded under capital leases	Property and equipment, which include amounts recorded under capital leases, are stated at cost less accumulated depreciation and amortization (in thousands), and consist of the following: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ 2023 2022 Equipment ​ $ 11,315 ​ $ 12,391 Computer software ​ 4,465 ​ 4,447 Furniture and equipment ​ 1,128 ​ 1,163 Leasehold improvements ​ 2,547 ​ 2,554 Capital work-in-progress ​ ​ 434 ​ ​ - Total ​ 19,889 ​ 20,555 Less: accumulated depreciation and amortization ​ (17,608) ​ (18,044) ​ ​ $ 2,281 ​ $ 2,511

Goodwill and Intangible Assets

Goodwill and Intangible Assets (Tables)	12 Months Ended
	Dec. 31, 2023
Goodwill and Intangible Assets
Schedule of changes in carrying amount of goodwill	The changes in the carrying amount of goodwill for the year ended December 31, 2023 were as follows (in thousands): ​ ​ ​ ​ ​ Balance - January 1, 2023 $ 2,038 Foreign currency translation adjustment ​ 37 Balance - December 31, 2023 ​ $ 2,075
Schedule of Company's acquired intangible assets and capitalized developed software	Information regarding the Company acquired intangible assets and capitalized developed software was as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, 2023 ​ ​ ​ Foreign Currency ​ ​ ​ Gross ​ Accumulated ​ Translation ​ Net ​ ​ Carrying Value ​ Amortization ​ Adjustment ​ Carrying Value Acquired Intangible Assets ​ ​ ​ ​ Developed technology ​ $ 2,999 ​ $ (2,640) ​ $ 7 ​ $ 366 Customer relationships ​ 2,096 ​ (1,645) ​ 10 ​ 461 Trademarks and tradenames ​ 852 ​ (774) ​ 2 ​ 80 Patents ​ 43 ​ (40) ​ - ​ 3 Media Contact Database ​ 3,492 ​ (2,621) ​ 16 ​ 887 Total Acquired Intangible Assets ​ $ 9,482 ​ $ (7,720) ​ $ 35 ​ $ 1,797 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Capitalized Developed Software ​ ​ ​ ​ Capitalized Developed Software ​ $ 15,216 ​ $ (6,862) ​ $ 138 ​ $ 8,492 Capitalized Developed Software - in Progress ​ 3,480 ​ - ​ (11) ​ 3,469 Total Capitalized Developed Software ​ $ 18,696 ​ $ (6,862) ​ $ 127 ​ $ 11,961 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Total ​ $ 28,178 ​ $ (14,582) ​ $ 162 ​ $ 13,758 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, 2022 ​ ​ ​ ​ Foreign Currency ​ ​ ​ Gross ​ Accumulated ​ Translation ​ Net ​ ​ Carrying Value ​ Amortization ​ Adjustment ​ Carrying Value Acquired Intangible Assets ​ ​ ​ ​ Developed technology ​ $ 3,169 ​ $ (2,468) ​ $ (43) ​ $ 658 Customer relationships ​ 2,228 ​ (1,560) ​ (42) ​ 626 Trademarks and tradenames ​ 880 ​ (740) ​ (8) ​ 132 Patents ​ 45 ​ (38) ​ 1 ​ 8 Media Contact Database ​ 3,648 ​ (2,358) ​ (68) ​ 1,222 Total Acquired Intangible Assets ​ $ 9,970 ​ $ (7,164) ​ $ (160) ​ $ 2,646 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Capitalized Developed Software ​ ​ ​ ​ Capitalized Developed Software ​ $ 11,845 ​ $ (4,398) ​ $ (348) ​ $ 7,099 Capitalized Developed Software - in Progress ​ 2,787 ​ - ​ (6) ​ 2,781 Total Capitalized Developed Software ​ $ 14,632 ​ $ (4,398) ​ $ (354) ​ $ 9,880 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Total ​ $ 24,602 ​ $ (11,562) ​ $ (514) ​ $ 12,526 ​
Schedule of estimated amortization expense for intangible assets	Estimated annual amortization expense for intangible assets subsequent to December 31, 2023 is as follows (in thousands): ​ ​ ​ ​ ​ Year Amortization 2024 ​ $ 4,929 2025 ​ 3,976 2026 ​ ​ 2,704 2027 ​ 739 2028 ​ 597 Thereafter ​ 813 ​ ​ $ 13,758 ​

Income Taxes (Tables)

Income Taxes (Tables)	12 Months Ended
	Dec. 31, 2023
Income Taxes
Schedule of components of provision for income taxes	The significant components of the provision for income taxes for the years ended December 31, 2023 and 2022 were as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ 2023 2022 Current income tax expense (benefit): ​ ​ Foreign ​ $ 1,181 ​ $ 1,131 Federal ​ 120 ​ 144 State and local ​ 3 ​ 30 ​ ​ 1,304 ​ 1,305 Deferred income tax expense (benefit): ​ ​ Foreign ​ (286) ​ 207 Federal ​ 10 ​ 10 State and local ​ - ​ - ​ ​ (276) ​ 217 Provision for income taxes ​ $ 1,028 ​ $ 1,522
Schedule of reconciliation of U.S. statutory rate with Company's effective tax rate	The reconciliation of the U.S. statutory rate with the Company’s effective tax rate for the years ended December 31, 2023 and 2022 is summarized as follows: ​ ​ ​ ​ ​ ​ ​ ​ 2023 2022 Federal income tax expense (benefit) at statutory rate 21.0 % (21.0) % Effect of: ​ ​ ​ Change in valuation allowance 578.6 36.9 ​ Tax effects of foreign operations 562.6 2.5 ​ Section 162 (m) ​ 452.0 ​ - ​ Return to provision true up 264.4 0.3 ​ Increase in unrecognized tax benefits (ASC 740) 199.6 0.7 ​ Withholding tax ​ 106.6 ​ - ​ Foreign operations permanent differences - foreign exchange gains and losses ​ 76.9 ​ 1.1 ​ State income tax net of federal benefit 0.1 0.2 ​ Research and development credit ​ (67.3) ​ - ​ Foreign rate differential (102.5) (4.7) ​ Deemed interest ​ (149.2) ​ (1.9) ​ Tax effect of intercompany settlement ​ (234.0) ​ - ​ Effect of stock-based compensation (961.6) (0.3) ​ Other ​ (7.6) ​ 0.7 ​ Effective tax rate 739.6 % 14.5 %
Schedule of deferred tax assets and liabilities	Deferred tax assets and liabilities are classified as non-current. Significant components of the Company’s deferred tax assets and liabilities as of December 31, 2023 and 2022 were as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ 2023 2022 Deferred income tax assets: ​ ​ Allowances not currently deductible ​ $ 283 ​ $ 301 Depreciation and amortization ​ 58 ​ 9 Equity compensation not currently deductible ​ 2,098 ​ 1,579 Net operating loss carryforwards ​ 10,514 ​ 10,758 Research and development credits ​ ​ 452 ​ ​ 362 Expenses not deductible until paid ​ 1,972 ​ 1,694 Other ​ 133 ​ (220) Total gross deferred income tax assets before valuation allowance ​ 15,510 ​ 14,483 Valuation allowance ​ (13,769) ​ (13,008) Deferred income tax assets, net ​ ​ 1,741 ​ ​ 1,475 ​ ​ ​ ​ ​ ​ ​ Deferred income tax liabilities: ​ ​ Other ​ (22) ​ (65) Total deferred income tax liabilities ​ (22) ​ (65) ​ ​ ​ ​ ​ ​ ​ Net deferred income tax assets ​ $ 1,719 ​ $ 1,410 ​ ​ ​ ​ ​ ​ ​ Net deferred income tax assets ​ $ 1,741 ​ $ 1,475 Net deferred income tax liability ​ ​ (22) ​ ​ (65) ​ ​ ​ ​ ​ ​ ​ Net deferred income tax assets ​ $ 1,719 ​ $ 1,410
Schedule of United States and foreign components of loss before provision for income taxes	United States and foreign components of loss before provision for income taxes for each of the years ended December 31, were as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2023 ​ 2022 United States ​ $ 2,025 ​ $ (4,023) Foreign ​ (1,886) ​ (6,460) Totals ​ $ 139 ​ $ (10,483)
Schedule of roll forward of the Company's unrecognized tax benefits and associated interest	The following table represents a roll forward of the Company’s unrecognized tax benefits and associated interest for the years ended (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Unrecognized Tax ​ ​ Benefits ​ ​ December 31, ​ 2023 2022 Balance at January 1 ​ $ 1,680 ​ $ 1,753 Decrease for prior year tax positions ​ (68) ​ (290) Increase for current year tax positions ​ 247 ​ 311 Interest accrual ​ 97 ​ 67 Foreign currency remeasurement ​ (14) ​ (161) Balance at December 31 ​ $ 1,942 ​ $ 1,680

Long-term obligations (Tables)

Long-term obligations (Tables)	12 Months Ended
	Dec. 31, 2023
Long-term obligations
Schedule of total long-term obligations	Total long-term obligations as of December 31, 2023 and 2022 consisted of the following (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ 2023 2022 ​ ​ ​ ​ ​ ​ ​ Pension obligations - accrued pension liability ​ $ 7,128 ​ $ 5,906 Settlement agreement ​ ​ - ​ ​ 50 Microsoft licenses (1) ​ ​ 911 ​ - ​ ​ ​ 8,039 ​ 5,956 Less: Current portion of long-term obligations ​ 1,261 ​ 877 Totals ​ $ 6,778 ​ $ 5,079 ​ (1)

Operating Leases (Tables)

Operating Leases (Tables)	12 Months Ended
	Dec. 31, 2023
Operating Leases
Schedule of operating lease expense recognized in financial statements	The table below summarizes the amounts recognized in the financial statements related to operating leases for the years presented (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ Year Ended ​ December 31, 2023 December 31, 2022 ​ ​ ​ ​ ​ ​ ​ Rent expense for long-term operating leases ​ $ 1,252 ​ $ 1,336 Rent expense for short-term leases ​ 305 ​ 502 Total rent expense ​ $ 1,557 ​ $ 1,838
Schedule of net present value of operating lease liability	The following table presents the maturity profile of the Company’s operating lease liabilities based on the contractual undiscounted payments with a reconciliation of these amounts to the remaining net present value of the operating lease liability reported in the consolidated balance sheet as of December 31, 2023 (in thousands): ​ ​ ​ ​ ​ Year ​ Amount ​ ​ ​ ​ 2024 ​ $ 1,292 2025 ​ 1,316 2026 ​ 1,348 2027 ​ 1,344 2028 ​ ​ 965 2029 and thereafter ​ 869 Total lease payments ​ 7,134 Less: Interest ​ (1,651) Net present value of lease liabilities ​ $ 5,483 ​ ​ ​ ​ Current portion ​ $ 782 Long-term portion ​ 4,701 Total ​ $ 5,483
Schedule of weighted average remaining lease terms and discount rates	The weighted average remaining lease terms and discount rates for all of our operating leases as of December 31, 2023 were as follows: ​ ​ ​ ​ ​ Weighted-average lease term remaining 63 months ​ Weighted-average discount rate 9.45% ​ ​

Pension Benefits (Tables)

Pension Benefits (Tables)	12 Months Ended
	Dec. 31, 2023
Pension Benefits
Schedule of status of the non-U.S. pension benefits pertaining to benefit obligations	The following tables set out the status of the non-U.S. pension benefits and the amounts recognized in the Company’s consolidated financial statements and the components of pension costs for the years ended December 31, 2023 and 2022 were as follows (in thousands): Benefit Obligations: ​ ​ ​ ​ ​ ​ ​ ​ ​ 2023 2022 ​ ​ ​ ​ ​ ​ ​ Projected benefit obligation at beginning of the year ​ $ 5,906 ​ $ 6,839 Service cost ​ 568 ​ 592 Interest cost ​ 478 ​ 352 Actuarial loss (gain) ​ 324 ​ (713) Foreign currency exchange rates changes ​ 54 ​ (862) Curtailment ​ - ​ (48) Benefits paid ​ (202) ​ (254) Projected benefit obligation at end of the year ​ $ 7,128 ​ $ 5,906
Schedule of status of the non-U.S. pension benefits pertaining to components of net periodic pension cost	​ ​ ​ ​ ​ ​ ​ ​ ​ 2023 2022 ​ ​ ​ ​ ​ ​ ​ Service cost ​ $ 568 ​ $ 592 Interest cost ​ 478 ​ 352 Curtailment ​ - ​ (16) Actuarial loss recognized ​ 147 ​ 210 Net periodic pension cost ​ $ 1,193 ​ $ 1,138
Schedule of accumulated benefit obligation	Amounts recognized in the consolidated balance sheets for the years ended December 31, 2023 and 2022 consisted of the following (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ 2023 2022 ​ ​ ​ ​ ​ ​ ​ Current accrued benefit cost ​ $ 880 $ 828 Non-current accrued benefit cost ​ 6,248 5,078 Total amount recognized ​ $ 7,128 $ 5,906
Schedule of actuarial assumptions for all non-U.S. plans	​ ​ ​ ​ ​ ​ ​ 2023 2022 ​ ​ ​ ​ ​ Discount rate 6.73%-12.8% ​ 5.13%-20% Rate of increase in compensation level 7.5%-14.5% ​ 7.5%-20%
Schedule of estimated future benefit payments	As of December 31, 2023, the following benefit payments, which reflect expected future service, as appropriate, were expected to be paid (in thousands): ​ ​ ​ ​ ​ Year ​ Amount ​ ​ ​ ​ 2024 ​ $ 889 2025 ​ 431 2026 ​ 267 2027 ​ ​ 749 2028 ​ ​ 175 2029 to 2032 ​ 5,108 ​ ​ $ 7,619 ​

Stock Options (Tables)

Stock Options (Tables)	12 Months Ended
	Dec. 31, 2023
Stock Options and Restricted Stock Units
Schedule of weighted-average fair value of the options granted, and weighted-average assumptions	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ For the Years Ended December 31, ​ ​ 2023 ​ 2022 ​ ​ ​ ​ ​ ​ ​ ​ Weighted average fair value of options granted $ 2.56 $ 2.67 ​ Risk-free interest rate ​ 4.34 % 1.94% - 4.09 % Expected term (years) ​ 6.0 ​ 3 - 6.42 ​ Expected volatility factor ​ 75.35 % 62%-79 % Expected dividends ​ None ​ None ​
Equity Plans
Stock Options and Restricted Stock Units
Schedule of stock option activity	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted-Average ​ ​ ​ ​ ​ ​ Weighted -Average ​ Remaining ​ ​ ​ ​ ​ Number of ​ Exercise ​ Contractual Term ​ Aggregate ​ ​ Options ​ Price ​ (years) ​ Intrinsic Value Outstanding at January 1, 2022 5,536,896 ​ $ 2.66 ​ ​ ​ ​ Granted 1,774,558 ​ 4.91 ​ ​ ​ ​ Exercised (248,763) ​ 1.34 ​ ​ ​ ​ Forfeited/Expired (372,201) ​ 6.55 ​ ​ ​ ​ Outstanding at December 31, 2022 ​ 6,690,490 ​ $ 3.09 ​ 7.19 ​ $ 5,989,709 Granted* ​ 25,000 ​ ​ 3.31 ​ ​ ​ ​ ​ Exercised ​ (1,287,462) ​ ​ 2.37 ​ ​ ​ ​ ​ Forfeited/Expired ​ (88,866) ​ ​ 6.27 ​ ​ ​ ​ ​ Outstanding at December 31, 2023 5,339,162 ​ $ 3.22 6.38 ​ $ 28,640,009 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Exercisable at December 31, 2023 3,475,780 ​ $ 2.18 6.40 ​ $ 22,237,334 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Vested and Expected to Vest at December 31, 2023 5,339,162 ​ $ 3.22 6.38 ​ $ 28,640,009 ​ * Includes 25,000 stock options granted to a non-employee member of the Company’s advisory board. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted- ​ ​ ​ ​ ​ Weighted - ​ Average ​ ​ ​ ​ ​ ​ Average ​ Remaining ​ Aggregate ​ ​ Number of ​ Exercise ​ Contractual ​ Intrinsic ​ ​ Options ​ Price ​ Term (years) ​ Value ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Outstanding at January 1, 2022 - ​ $ - ​ ​ ​ ​ Granted 1,030,000 ​ 3.46 ​ ​ ​ ​ Exercised - ​ - ​ ​ ​ ​ Forfeited/Expired (2,500) ​ 3.41 ​ ​ ​ ​ Outstanding at December 31, 2022 1,027,500 ​ $ 3.46 9.75 ​ $ - Granted 3,000 ​ 13.05 ​ ​ ​ ​ Exercised (63,595) ​ 4.59 ​ ​ ​ ​ Forfeited/Expired (43,334) ​ 3.41 ​ ​ ​ ​ Outstanding at December 31, 2023 923,571 ​ $ 3.41 8.76 ​ $ 4,786,252 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Exercisable at December 31, 2023 386,209 ​ $ 3.34 8.74 ​ $ 2,023,601 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Vested and Expected to Vest at December 31, 2023 923,571 ​ $ 3.41 8.76 ​ $ 4,786,252
Restricted Stock Units
Stock Options and Restricted Stock Units
Summary of restricted stock under the company's plan	​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted- ​ ​ Number of ​ Average ​ ​ Restricted Stock ​ Grant Date ​ ​ Units ​ Fair Value ​ ​ ​ ​ ​ ​ Unvested at January 1, 2023 ​ 700,000 ​ $ 5.59 Granted ​ 49,756 ​ ​ 8.29 Vested - ​ - Forfeited/Expired - ​ - Unvested at December 31, 2023 749,756 ​ $ 5.77 ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted- ​ ​ Number of ​ Average ​ ​ Restricted Stock ​ Grant Date ​ ​ Units ​ Fair Value ​ ​ ​ ​ ​ ​ Unvested at January 1, 2022 ​ - ​ $ - Granted 700,000 ​ ​ 5.59 Vested - ​ - Forfeited/Expired - ​ - Unvested at December 31, 2022 700,000 ​ $ 5.59

Comprehensive loss (Tables)

Comprehensive loss (Tables)	12 Months Ended
	Dec. 31, 2023
Comprehensive loss
Schedule of components of accumulated other comprehensive loss and reclassifications from accumulated other comprehensive loss	The components of accumulated other comprehensive loss as of December 31, 2023 and 2022, and reclassifications out of accumulated other comprehensive loss for the years then ended, are presented below (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Foreign Currency Accumulated Other ​ ​ Pension Liability ​ Fair Value of ​ Translation ​ Comprehensive ​ ​ Adjustment ​ Derivatives ​ Adjustment ​ Loss ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Balance at January 1, 2023 ​ $ (86) ​ $ (365) ​ $ (1,657) ​ $ (2,108) Other comprehensive income (loss) before reclassifications, net of taxes ​ (322) ​ 185 ​ 407 ​ 270 Total other comprehensive loss before reclassifications, net of taxes ​ (408) ​ (180) ​ (1,250) ​ (1,838) Net amount reclassified to earnings ​ (4) ​ 221 ​ - ​ 217 Balance at December 31, 2023 ​ $ (412) ​ $ 41 ​ $ (1,250) ​ $ (1,621) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Foreign Currency Accumulated Other ​ ​ Pension Liability ​ Fair Value of ​ Translation ​ Comprehensive ​ ​ Adjustment ​ Derivatives ​ Adjustment ​ Loss ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Balance at January 1, 2022 ​ $ (858) ​ $ (353) ​ $ (981) ​ $ (2,192) Other comprehensive income (loss) before reclassifications, net of taxes ​ 561 ​ (1,118) ​ (676) ​ (1,233) Total other comprehensive loss before reclassifications, net of taxes ​ (297) ​ (1,471) ​ (1,657) ​ (3,425) Net amount reclassified to earnings ​ 211 ​ 1,106 ​ - ​ 1,317 Balance at December 31, 2022 ​ $ (86) ​ $ (365) ​ $ (1,657) ​ $ (2,108)

Segment reporting and concent_2

Segment reporting and concentrations (Tables)	12 Months Ended
	Dec. 31, 2023
Segment reporting and concentrations
Schedule of segment reporting information, by segment	Revenues from external customers, segment operating profit (loss), and other reportable segment information are as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ For The Years Ended December 31, ​ 2023 2022 Revenues: ​ ​ DDS ​ $ 61,576 ​ $ 56,523 Synodex ​ 7,511 ​ 7,105 Agility ​ 17,688 ​ 15,373 Total Consolidated ​ $ 86,775 ​ $ 79,001 ​ ​ ​ ​ ​ ​ ​ Income (loss) before provision for income taxes (1) ​ ​ ​ ​ DDS ​ $ 1,823 ​ $ 1,393 Synodex ​ (299) ​ (3,213) Agility ​ (1,385) ​ (8,663) Total Consolidated ​ $ 139 ​ $ (10,483) ​ ​ ​ ​ ​ ​ ​ Income (loss) before provision for income taxes (2) ​ ​ ​ ​ DDS ​ $ 1,260 ​ $ 716 Synodex ​ 219 ​ (2,599) Agility ​ (1,340) ​ (8,600) Total Consolidated ​ $ 139 ​ $ (10,483) ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, 2023 December 31, 2022 Total assets: ​ ​ DDS ​ $ 37,232 ​ $ 25,758 Synodex ​ 3,379 ​ 3,270 Agility ​ 18,820 ​ 19,014 Total Consolidated ​ $ 59,431 ​ $ 48,042 ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, 2023 December 31, 2022 Goodwill: ​ ​ Agility ​ $ 2,075 ​ $ 2,038 Total ​ $ 2,075 ​ $ 2,038 ​ (1) Before elimination of any inter-segment profits (2) After elimination of any inter-segment profits ​
Schedule of revenue from external customers and long-lived assets	Long-lived assets as of December 31, 2023 and 2022 by geographic region were comprised of (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ 2023 2022 United States ​ $ 9,101 ​ $ 7,205 Foreign countries: ​ ​ ​ ​ Canada ​ 7,328 ​ 7,675 United Kingdom ​ 1,028 ​ 1,198 Philippines ​ 3,484 ​ 3,682 India ​ 1,791 ​ 1,195 Sri Lanka ​ 423 ​ 426 Israel ​ 13 ​ 3 Total foreign ​ 14,067 ​ 14,179 Totals ​ $ 23,168 ​ $ 21,384
Schedule of revenue from external customers based on client domicile	Revenues for each of the two years in the period ended December 31, 2023 and 2022 by geographic region (determined based upon customer domicile), were as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ 2023 2022 United States ​ $ 54,430 ​ $ 48,724 United Kingdom ​ 10,766 ​ 10,901 The Netherlands ​ 7,291 ​ 6,829 Canada ​ 7,156 ​ 5,508 Others - principally Europe ​ 7,132 ​ 7,039 Totals ​ $ 86,775 ​ $ 79,001 ​

Loss per Share (Tables)

Loss per Share (Tables)	12 Months Ended
	Dec. 31, 2023
Loss per Share
Schedule of loss per share, basic and diluted	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ For the Years Ended ​ ​ December 31, ​ 2023 2022 Net loss attributable to Innodata Inc. and Subsidiaries ​ $ 908 $ 11,935 Weighted average common shares outstanding ​ 28,131 ​ 27,278 Dilutive effect of outstanding options ​ - ​ ​ - Adjusted for dilutive computation ​ 28,131 ​ 27,278

Derivatives (Tables)

Derivatives (Tables)	12 Months Ended
	Dec. 31, 2023
Derivatives
Schedule of fair value of derivative instruments included within the condensed consolidated balance sheets	The following table presents the fair value of derivative instruments included within the consolidated balance sheets as of December 31, 2023 and 2022 (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Balance Sheet Location Fair Value ​ ​ ​ ​ 2023 ​ 2022 Derivatives designated as hedging instruments: ​ ​ Foreign currency forward contracts ​ Accrued expenses ​ $ - ​ $ 365 Foreign currency forward contracts Prepaid expenses and other current assets ​ $ 41 ​ $ -
Schedule of effect of foreign currency forward contracts designated as cash flow hedges on condensed consolidated statements of operations	The effect of foreign currency forward contracts designated as cash flow hedges on the consolidated statements of operations for the years ended December 31, 2023 and 2022 were as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ 2023 2022 Net gain (loss) recognized in OCI (1) ​ $ 185 ​ $ (1,118) Net loss reclassified from accumulated OCI into income (2) ​ $ (221) ​ $ (1,106) Net gain recognized in income (3) ​ $ - ​ $ - ​ (1) Net change in fair value of the effective portion classified into other comprehensive income (“OCI”) (2) Effective portion classified within direct operating costs. (3) There were no ineffective portions for the period presented .

Description of Business and S_4

Description of Business and Summary of Significant Accounting Estimates and Policies (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2023 USD ($) segment	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)
Description of Business and Summary of Significant Accounting Estimates and Policies
Number of reporting segments | segment	3
Amortization period	12 months
Prepaid expenses and other current assets on contract acquisition costs	$ 800	$ 800
Foreign exchange losses (gains)	400	(1,300)
Outstanding foreign currency forward contracts	10,500	14,200
Cash and cash equivalents	13,806	9,792
Cost	19,889	20,555
Deferred revenue	3,523	4,366	$ 4,509
Capitalized software development
Description of Business and Summary of Significant Accounting Estimates and Policies
Cost	15,200	11,800
In process research and development
Description of Business and Summary of Significant Accounting Estimates and Policies
Cost	$ 3,500	$ 2,800
Minimum
Description of Business and Summary of Significant Accounting Estimates and Policies
Estimated useful life of intangibles	10 years
Property and equipment useful lives	2 years
Minimum | Capitalized software development
Description of Business and Summary of Significant Accounting Estimates and Policies
Estimated useful life of intangibles	3 years
Maximum
Description of Business and Summary of Significant Accounting Estimates and Policies
Estimated useful life of intangibles	12 years
Property and equipment useful lives	10 years
Maximum | Capitalized software development
Description of Business and Summary of Significant Accounting Estimates and Policies
Estimated useful life of intangibles	10 years
Asia
Description of Business and Summary of Significant Accounting Estimates and Policies
Cash and cash equivalents	$ 6,500
United States
Description of Business and Summary of Significant Accounting Estimates and Policies
Cash and cash equivalents	$ 7,300

Description of Business and S_5

Description of Business and Summary of Significant Accounting Estimates and Policies - Stock-based compensation (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Description of Business and Summary of Significant Accounting Estimates and Policies
Direct operating costs	$ 294	$ 214
Selling and administrative expenses	3,733	3,069
Total stock-based compensation	$ 4,027	$ 3,283

Description of Business and S_6

Description of Business and Summary of Significant Accounting Estimates and Policies - Deferred revenue (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Description of Business and Summary of Significant Accounting Estimates and Policies
Balance at January 1	$ 4,366	$ 4,509
Net deferred revenue in the period	21,619	29,756
Revenue recognized	(22,586)	(29,618)
Currency translations and other adjustments	124	(281)
Balance at December 31	$ 3,523	$ 4,366

Short Term Investments - othe_2

Short Term Investments - other (Details) - USD ($) $ in Thousands	Dec. 31, 2023	Dec. 31, 2022
Short Term Investments - other
Treasury bills		$ 494
Certificates of deposit	$ 14	13
Total	$ 14	$ 507

Accounts Receivable (Details)

Accounts Receivable (Details) - USD ($) $ in Thousands	Dec. 31, 2023	Dec. 31, 2022
Accounts Receivable
Gross Accounts receivable	$ 15,505	$ 10,741
Allowance for doubtful accounts	(1,217)	(1,213)
Accounts receivable, net	$ 14,288	$ 9,528

Accounts Receivable - Activity

Accounts Receivable - Activity in allowance for credit losses (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2023 USD ($)
Accounts Receivable
Balance at January 1, 2023	$ 1,213
Additions charged to expense	426
Write-offs against allowance	(426)
Foreign currency translation adjustment	4
Balance at December 31, 2023	$ 1,217

Property and equipment - Proper

Property and equipment - Property and equipment (Details) - USD ($) $ in Thousands	Dec. 31, 2023	Dec. 31, 2022
Property and equipment
Property and equipment, stated at cost	$ 19,889	$ 20,555
Less: accumulated depreciation and amortization	(17,608)	(18,044)
Net	2,281	2,511
Equipment
Property and equipment
Property and equipment, stated at cost	11,315	12,391
Computer software
Property and equipment
Property and equipment, stated at cost	4,465	4,447
Furniture and equipment
Property and equipment
Property and equipment, stated at cost	1,128	1,163
Leasehold improvements
Property and equipment
Property and equipment, stated at cost	2,547	$ 2,554
Capital work-in-progress
Property and equipment
Property and equipment, stated at cost	$ 434

Property and equipment - Additi

Property and equipment - Additional Information (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Property and equipment
Depreciation expense	$ 4,716	$ 3,889
Minimum
Property and equipment
Estimated useful lives	2 years
Maximum
Property and equipment
Estimated useful lives	10 years
Property and equipment
Property and equipment
Depreciation expense	$ 1,200	$ 1,200

Goodwill and Intangible Asset_2

Goodwill and Intangible Assets - Changes in carrying amount of goodwill (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2023 USD ($)
Goodwill and Intangible Assets
Balance - January 1, 2023	$ 2,038
Foreign currency translation adjustment	(37)
Balance - December 31, 2023	$ 2,075

Goodwill and Intangible Asset_3

Goodwill and Intangible Assets (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Goodwill and Intangible Assets
Goodwill impairment	$ 0
Goodwill	2,075	$ 2,038
Acquired Intangible Assets
Goodwill and Intangible Assets
Amortization expense	900	900
Capitalized Developed Software
Goodwill and Intangible Assets
Amortization expense	$ 2,700	$ 1,800

Goodwill and Intangible Asset_4

Goodwill and Intangible Assets - Acquisition-related intangible assets (Details) - USD ($) $ in Thousands	Dec. 31, 2023	Dec. 31, 2022
Goodwill and Intangible Assets
Gross Carrying Value	$ 28,178	$ 24,602
Accumulated Amortization	(14,582)	(11,562)
Foreign Currency Translation Adjustment	162	514
Net Carrying Value	13,758	12,526
Acquired Intangible Assets
Goodwill and Intangible Assets
Gross Carrying Value	9,482	9,970
Accumulated Amortization	(7,720)	(7,164)
Foreign Currency Translation Adjustment	35	160
Net Carrying Value	1,797	2,646
Developed technology
Goodwill and Intangible Assets
Gross Carrying Value	2,999	3,169
Accumulated Amortization	(2,640)	(2,468)
Foreign Currency Translation Adjustment	7	43
Net Carrying Value	366	658
Customer relationships
Goodwill and Intangible Assets
Gross Carrying Value	2,096	2,228
Accumulated Amortization	(1,645)	(1,560)
Foreign Currency Translation Adjustment	10	42
Net Carrying Value	461	626
Trademarks and tradenames
Goodwill and Intangible Assets
Gross Carrying Value	852	880
Accumulated Amortization	(774)	(740)
Foreign Currency Translation Adjustment	2	8
Net Carrying Value	80	132
Patents
Goodwill and Intangible Assets
Gross Carrying Value	43	45
Accumulated Amortization	(40)	(38)
Foreign Currency Translation Adjustment		1
Net Carrying Value	3	8
Media Contact Database
Goodwill and Intangible Assets
Gross Carrying Value	3,492	3,648
Accumulated Amortization	(2,621)	(2,358)
Foreign Currency Translation Adjustment	16	68
Net Carrying Value	887	1,222
Capitalized Developed Software
Goodwill and Intangible Assets
Gross Carrying Value	18,696	14,632
Accumulated Amortization	(6,862)	(4,398)
Foreign Currency Translation Adjustment	127	354
Net Carrying Value	11,961	9,880
Capitalized Developed Software
Goodwill and Intangible Assets
Gross Carrying Value	15,216	11,845
Accumulated Amortization	(6,862)	(4,398)
Foreign Currency Translation Adjustment	138	348
Net Carrying Value	8,492	7,099
Capitalized Developed Software - in Progress
Goodwill and Intangible Assets
Gross Carrying Value	3,480	2,787
Foreign Currency Translation Adjustment	11	6
Net Carrying Value	$ 3,469	$ 2,781

Goodwill and Intangible Asset_5

Goodwill and Intangible Assets - Estimated amortization expense (Details) - USD ($) $ in Thousands	Dec. 31, 2023	Dec. 31, 2022
Goodwill and Intangible Assets
2024	$ 4,929
2025	3,976
2026	2,704
2027	739
2028	597
Thereafter	813
Net Carrying Value	$ 13,758	$ 12,526

Income Taxes - Components of pr

Income Taxes - Components of provision for income taxes (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Current income tax expense (benefit):
Foreign	$ 1,181	$ 1,131
Federal	120	144
State and local	3	30
Current income tax expense (benefit)	1,304	1,305
Deferred income tax expense (benefit):
Foreign	(286)	207
Federal	10	10
Deferred income tax expense (benefit)	(276)	217
Provision for income taxes	$ 1,028	$ 1,522

Income Taxes - Tax rate reconci

Income Taxes - Tax rate reconciliation (Details)	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Income Taxes
Federal income tax expense (benefit) at statutory rate	21%	(21.00%)
Effect of:
Change in valuation allowance	578.60%	36.90%
Tax effects of foreign operations	562.60%	2.50%
Section 162 (m)	452%
Return to provision true up	264.40%	0.30%
Increase in unrecognized tax benefits (ASC 740)	199.60%	0.70%
Withholding tax	106.60%
Foreign operations permanent differences - foreign exchange gains and losses	76.90%	1.10%
State income tax net of federal benefit	0.10%	0.20%
Research and development credit	(67.30%)
Foreign rate differential	(102.50%)	(4.70%)
Deemed interest	(149.20%)	(1.90%)
Tax effect of intercompany settlement	(234.00%)
Effect of stock-based compensation	(961.60%)	(0.30%)
Other	(7.60%)	0.70%
Effective tax rate	739.60%	14.50%

Income Taxes - Deferred tax ass

Income Taxes - Deferred tax assets and liabilities (Details) - USD ($) $ in Thousands	Dec. 31, 2023	Dec. 31, 2022
Deferred income tax assets:
Allowances not currently deductible	$ 283	$ 301
Depreciation and amortization	58	9
Equity compensation not currently deductible	2,098	1,579
Net operating loss carryforwards	10,514	10,758
Research and development credits	452	362
Expenses not deductible until paid	1,972	1,694
Other	133	(220)
Total gross deferred income tax assets before valuation allowance	15,510	14,483
Valuation allowance	(13,769)	(13,008)
Deferred income tax assets, net	1,741	1,475
Deferred income tax liabilities:
Other	(22)	(65)
Total deferred income tax liabilities	(22)	(65)
Net deferred income tax assets	1,719	1,410
Net deferred income tax assets	1,741	1,475
Net deferred income tax liability	(22)	(65)
Net deferred income tax assets	$ 1,719	$ 1,410

Income Taxes - United States an

Income Taxes - United States and foreign components of income (loss) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Income Taxes
United States	$ 2,025	$ (4,023)
Foreign	(1,886)	(6,460)
Income (loss) before provision for income taxes	$ 139	$ (10,483)

Income Taxes - Unrecognized tax

Income Taxes - Unrecognized tax benefits (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Income Taxes
Balance at January 1	$ 1,680	$ 1,753
Decrease for prior year tax positions	(68)	(290)
Increase for current year tax positions	247	311
Interest accrual	97	67
Foreign currency remeasurement	(14)	(161)
Balance at December 31	$ 1,942	$ 1,680

Income Taxes (Details)

Income Taxes (Details) - USD ($)	1 Months Ended		12 Months Ended
	Oct. 31, 2016	Sep. 30, 2015	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Income Taxes
Valuation allowance			$ 13,769,000	$ 13,008,000
Increase in total valuation allowance			800,000	3,900,000
Research and development credits			452,000	362,000
Foreign subsidiaries amount			50,400,000
Indian subsidiary revenues		$ 56,000,000
Reversal of service tax refund	$ 121,000
Service tax credit receivable	$ 800,000
Reserves for uncertain tax positions			1,942,000	$ 1,680,000	$ 1,753,000
Canadian subsidiaries
Income Taxes
NOL carryforwards subject to expiration			27,000,000
Research and development credits not subject to expiration			1,400,000
German and United Kingdom subsidiaries
Income Taxes
Operating loss carryforwards			1,700,000
U.S. federal
Income Taxes
Operating loss carryforwards			21,200,000
Research and development credits			$ 100,000
Maximum
Income Taxes
Percentage for subsidiary service tax		15%
Minimum
Income Taxes
Percentage for subsidiary service tax		12.36%

Long-term obligations (Details)

Long-term obligations (Details) - USD ($) $ in Thousands	Dec. 31, 2023	Dec. 31, 2022
Long-term obligations
Pension obligations - accrued pension liability	$ 7,128	$ 5,906
Settlement agreement		50
Microsoft licenses	911
Total long-term obligations	8,039	5,956
Less: Current portion of long-term obligations	1,261	877
Totals	6,778	$ 5,079
Microsoft licenses, Amount payable annually over the term of the agreement	$ 400

Commitments and contingencies (

Commitments and contingencies (Details)	12 Months Ended
	Dec. 31, 2023 USD ($)
Commitments and contingencies
Estimated litigation liability	$ 5,900,000
Interest rate description litigation	plus legal interest that accrued at 12% per annum from August 13, 2008 to June 30, 2013, and thereafter accrued and continues to accrue at 6% per annum
Litigation settlement expense	$ 450,000

Operating Leases (Details)

Operating Leases (Details)	12 Months Ended
	Dec. 31, 2023
Minimum
Operating Leases
Lease agreements term	3 years
Percentage of rental escalations	1.75%
Maximum
Operating Leases
Lease agreements term	11 years
Percentage of rental escalations	15%

Operating Leases - Financial st

Operating Leases - Financial statements related to operating leases (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Operating Leases
Total rent expense	$ 1,557	$ 1,838
Long-term operating leases
Operating Leases
Total rent expense	1,252	1,336
Short-term operating leases
Operating Leases
Total rent expense	$ 305	$ 502

Operating Leases - Net present

Operating Leases - Net present value of the operating lease liability (Details) - USD ($) $ in Thousands	Dec. 31, 2023	Dec. 31, 2022
Operating Leases
2024	$ 1,292
2025	1,316
2026	1,348
2027	1,344
2028	965
2029 and thereafter	869
Total lease payments	7,134
Less: Interest	(1,651)
Net present value of lease liabilities	5,483
Current portion	782	$ 693
Long-term portion	4,701	$ 4,036
Total	$ 5,483

Operating Leases - Weighted ave

Operating Leases - Weighted average remaining lease terms (Details)	Dec. 31, 2023
Operating Leases
Weighted-average lease term remaining (in months)	63 months
Weighted-average discount rate	9.45%

Pension Benefits - Benefit Obli

Pension Benefits - Benefit Obligations (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Pension Benefits
Projected benefit obligation at beginning of the year	$ 5,906	$ 6,839
Service cost	568	592
Interest cost	$ 478	$ 352
Defined Benefit Plan, Net Periodic Benefit Cost (Credit), Interest Cost, Statement of Income or Comprehensive Income [Extensible Enumeration]	Interest Income (Expense), Nonoperating, Net	Interest Income (Expense), Nonoperating, Net
Actuarial loss (gain)	$ 324	$ (713)
Foreign currency exchange rates changes	54	(862)
Curtailment		(48)
Benefits paid	(202)	(254)
Projected benefit obligation at end of the year	$ 7,128	$ 5,906

Pension Benefits - Components o

Pension Benefits - Components of Net Periodic Pension Cost (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Pension Benefits
Service cost	$ 568	$ 592
Interest cost	478	352
Curtailment		(16)
Actuarial loss recognized	$ 147	$ 210
Defined Benefit Plan, Net Periodic Benefit (Cost) Credit, Immediate Recognition of Actuarial Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration]	Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Adjustment, Net Of Tax	Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Adjustment, Net Of Tax
Net periodic pension cost	$ 1,193	$ 1,138

Pension Benefits - Recognized i

Pension Benefits - Recognized in balance sheets (Details) - USD ($) $ in Thousands	Dec. 31, 2023	Dec. 31, 2022
Pension Benefits
Current accrued benefit cost	$ 880	$ 828
Non-current accrued benefit cost	6,248	5,078
Total amount recognized	$ 7,128	$ 5,906

Pension Benefits - Actuarial as

Pension Benefits - Actuarial assumptions (Details)	Dec. 31, 2023	Dec. 31, 2022
Minimum
Pension Benefits
Discount rate	6.73%	5.13%
Rate of increase in compensation level	7.50%	7.50%
Maximum
Pension Benefits
Discount rate	12.80%	20%
Rate of increase in compensation level	14.50%	20%

Pension Benefits - Estimated fu

Pension Benefits - Estimated future benefit payments (Details) $ in Thousands	Dec. 31, 2023 USD ($)
Pension Benefits
2024	$ 889
2025	431
2026	267
2027	749
2028	175
2029 to 2032	5,108
Total	$ 7,619

Pension Benefits - Additional I

Pension Benefits - Additional Information (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Pension Benefits
Period of service to become eligible	6 months
Accumulated benefit obligation	$ 3.9	$ 3.2
Subsidiaries
Pension Benefits
Pension expense	$ 1.2	$ 1.1

Capital Stock (Details)

Capital Stock (Details) $ / shares in Units, $ in Millions	12 Months Ended
	Dec. 31, 2023 USD ($) Vote / shares $ / shares shares	Dec. 31, 2022 shares	Jul. 31, 2019 USD ($)
Capital Stock
Common stock, shares authorized	75,000,000	75,000,000
Number of votes per share | Vote / shares	1
Dividends declared (in dollars per share) | $ / shares	$ 0
Preferred Stock, Shares Authorized	4,998,000	4,998,000
Common stock reserved available for future issuance	1,981,406
Treasury Stock
Capital Stock
Shares authorized to repurchase | $			$ 2
Purchase of treasury stock (in shares)	0	0
Treasury Stock, common value | $	$ 1.8
Treasury Stock | July 2019
Capital Stock
Shares authorized to repurchase | $	$ 1.5

Stock Options - Weighted Averag

Stock Options - Weighted Average Fair Values and Assumptions (Details) - Employee Stock Option - $ / shares	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Stock Options
Weighted average fair value of options granted (in dollars per share)	$ 2.56	$ 2.67
Risk-free interest rate	4.34%
Expected term (years)	6 years
Expected volatility factor	75.35%
Expected dividends	0%	0%
Minimum
Stock Options
Risk-free interest rate		1.94%
Expected term (years)		3 years
Expected volatility factor		62%
Maximum
Stock Options
Risk-free interest rate		4.09%
Expected term (years)		6 years 5 months 1 day
Expected volatility factor		79%

Stock Options - Summary of Stoc

Stock Options - Summary of Stock Option Activity (Details) - Employee Stock Option - USD ($)	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
2013 Stock Plan
Stock Options
Number of Options, Outstanding - Beginning balance (in shares)	6,690,490	5,536,896
Number of Options, Granted (in shares)	25,000	1,774,558
Number of Options, Exercised (in shares)	(1,287,462)	(248,763)
Number of Options, Forfeited/Expired (in shares)	(88,866)	(372,201)
Number of Options, Outstanding - Ending balance (in shares)	5,339,162	6,690,490
Number of Options Exercisable (in shares)	3,475,780
Number of Options, Vested and Expected to Vest (in shares)	5,339,162
Weighted Average Exercise Price Outstanding beginning balance (in dollars per shares)	$ 3.09	$ 2.66
Weighted Average Exercise Price Granted (in dollars per shares)	3.31	4.91
Weighted Average Exercise Price Exercised (in dollars per shares)	2.37	1.34
Weighted Average Exercise Price Forfeited/Expired (in dollars per shares)	6.27	6.55
Weighted Average Exercise Price Outstanding Ending balance (in dollars per shares)	3.22	$ 3.09
Weighted Average Exercise Price Exercisable (in dollars per shares)	2.18
Weighted Average Exercise Price Vested and Expected to Vest (in dollars per shares)	$ 3.22
Weighted Average Remaining Contractual Term Outstanding (in years)	6 years 4 months 17 days	7 years 2 months 8 days
Weighted Average Remaining Contractual Term Exercisable (in years)	6 years 4 months 24 days
Weighted Average Remaining Contractual Term Vested and Expected to Vest (in years)	6 years 4 months 17 days
Aggregate Intrinsic Value, Outstanding	$ 28,640,009	$ 5,989,709
Aggregate Intrinsic Value, Exercisable	22,237,334
Aggregate Intrinsic Value, Vested and Expected to Vest	$ 28,640,009
2021 Stock Plan
Stock Options
Number of Options, Outstanding - Beginning balance (in shares)	1,027,500
Number of Options, Granted (in shares)	3,000	1,030,000
Number of Options, Exercised (in shares)	(63,595)
Number of Options, Forfeited/Expired (in shares)	(43,334)	(2,500)
Number of Options, Outstanding - Ending balance (in shares)	923,571	1,027,500
Number of Options Exercisable (in shares)	386,209
Number of Options, Vested and Expected to Vest (in shares)	923,571
Weighted Average Exercise Price Outstanding beginning balance (in dollars per shares)	$ 3.46
Weighted Average Exercise Price Granted (in dollars per shares)	13.05	$ 3.46
Weighted Average Exercise Price Exercised (in dollars per shares)	4.59
Weighted Average Exercise Price Forfeited/Expired (in dollars per shares)	3.41	3.41
Weighted Average Exercise Price Outstanding Ending balance (in dollars per shares)	3.41	$ 3.46
Weighted Average Exercise Price Exercisable (in dollars per shares)	3.34
Weighted Average Exercise Price Vested and Expected to Vest (in dollars per shares)	$ 3.41
Weighted Average Remaining Contractual Term Outstanding (in years)	8 years 9 months 3 days	9 years 9 months
Weighted Average Remaining Contractual Term Exercisable (in years)	8 years 8 months 26 days
Weighted Average Remaining Contractual Term Vested and Expected to Vest (in years)	8 years 9 months 3 days
Aggregate Intrinsic Value, Outstanding	$ 4,786,252
Aggregate Intrinsic Value, Exercisable	2,023,601
Aggregate Intrinsic Value, Vested and Expected to Vest	$ 4,786,252
Non employee director | 2013 Stock Plan
Stock Options
Number of Options, Granted (in shares)	25,000

Stock Options - Summary of st_2

Stock Options - Summary of stock option and Restricted Stock option activity (Details) - Restricted Stock Units - $ / shares	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
2013 Stock Plan
Stock Options
Number of Restricted Stock Units, Granted	28,804
2021 Stock Plan
Stock Options
Number of Restricted Stock Units, Granted	20,952
Equity Plans
Stock Options
Number of Restricted Stock Units, Unvested at Beginning of the year	700,000
Number of Restricted Stock Units, Granted	49,756	700,000
Number of Restricted Stock Units, Unvested at End of the year	749,756	700,000
Weighted-Average Grant Date Fair Value, Outstanding at Beginning of the year	$ 5.59
Weighted-Average Grant Date Fair Value, Granted	8.29	$ 5.59
Weighted-Average Grant Date Fair Value, Outstanding at End of the year	$ 5.77	$ 5.59

Stock Options - Additional Info

Stock Options - Additional Information (Details) $ in Millions	12 Months Ended
	Dec. 31, 2023 USD ($) shares	Jun. 09, 2022 shares
Restricted Stock Units
Stock Options
Number of shares eligible to receive for each fully vested RSU	1
Compensation cost related to non-vested stock options and restricted stock awards not yet recognized | $	$ 3.1
Weighted-average period over which compensation cost recognized	14 months
Employee Stock Option
Stock Options
Compensation cost related to non-vested stock options and restricted stock awards not yet recognized | $	$ 3.5
Weighted-average period over which compensation cost recognized	15 months
2013 Stock Plan
Stock Options
Shares of common stock underlying outstanding options or rights	5,567,966
2021 Stock Plan
Stock Options
Share-based compensation arrangement by share-based payment award, number of shares authorized		4,000,000
Share reserve ratio		1
Other type of award
Stock Options
Share reserve ratio		1
Awards granted prior to April 11, 2022
Stock Options
Share reserve ratio		2
Awards granted on or after April 11, 2022
Stock Options
Share reserve ratio		1.5
Equity Plans | Restricted Stock Units
Stock Options
Stock options vesting period	12 months

Comprehensive loss - Reclassifi

Comprehensive loss - Reclassifications from accumulated other comprehensive loss (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Comprehensive loss
Balance at the beginning	$ 18,773	$ 29,927
Balance at the end	25,703	18,773
Pension Liability Adjustment
Comprehensive loss
Balance at the beginning	(86)	(858)
Other comprehensive income (loss) before reclassifications, net of taxes	(322)	561
Total other comprehensive loss before reclassifications, net of taxes	(408)	(297)
Net amount reclassified to earnings	(4)	211
Balance at the end	(412)	(86)
Fair Value of Derivatives
Comprehensive loss
Balance at the beginning	(365)	(353)
Other comprehensive income (loss) before reclassifications, net of taxes	185	(1,118)
Total other comprehensive loss before reclassifications, net of taxes	(180)	(1,471)
Net amount reclassified to earnings	221	1,106
Balance at the end	41	(365)
Foreign Currency Translation Adjustment
Comprehensive loss
Balance at the beginning	(1,657)	(981)
Other comprehensive income (loss) before reclassifications, net of taxes	407	(676)
Total other comprehensive loss before reclassifications, net of taxes	(1,250)	(1,657)
Balance at the end	(1,250)	(1,657)
Accumulated Other Comprehensive Loss
Comprehensive loss
Balance at the beginning	(2,108)	(2,192)
Other comprehensive income (loss) before reclassifications, net of taxes	270	(1,233)
Total other comprehensive loss before reclassifications, net of taxes	(1,838)	(3,425)
Net amount reclassified to earnings	217	1,317
Balance at the end	$ (1,621)	$ (2,108)

Segment reporting and concent_3

Segment reporting and concentrations (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Segment reporting and concentrations
Revenues	$ 86,775	$ 79,001
Income (loss) before provision for income taxes	139	(10,483)
Total assets	59,431	48,042
Goodwill	2,075	2,038
Before intersegment eliminations
Segment reporting and concentrations
Income (loss) before provision for income taxes	139	(10,483)
After intersegment eliminations
Segment reporting and concentrations
Income (loss) before provision for income taxes	139	(10,483)
DDS
Segment reporting and concentrations
Total assets	37,232	25,758
DDS | Operating Segments
Segment reporting and concentrations
Revenues	61,576	56,523
DDS | Before intersegment eliminations
Segment reporting and concentrations
Income (loss) before provision for income taxes	1,823	1,393
DDS | After intersegment eliminations
Segment reporting and concentrations
Income (loss) before provision for income taxes	1,260	716
Synodex
Segment reporting and concentrations
Total assets	3,379	3,270
Synodex | Operating Segments
Segment reporting and concentrations
Revenues	7,511	7,105
Synodex | Before intersegment eliminations
Segment reporting and concentrations
Income (loss) before provision for income taxes	(299)	(3,213)
Synodex | After intersegment eliminations
Segment reporting and concentrations
Income (loss) before provision for income taxes	219	(2,599)
Agility
Segment reporting and concentrations
Total assets	18,820	19,014
Goodwill	2,075	2,038
Agility | Operating Segments
Segment reporting and concentrations
Revenues	17,688	15,373
Agility | Before intersegment eliminations
Segment reporting and concentrations
Income (loss) before provision for income taxes	(1,385)	(8,663)
Agility | After intersegment eliminations
Segment reporting and concentrations
Income (loss) before provision for income taxes	$ (1,340)	$ (8,600)

Segment reporting and concent_4

Segment reporting and concentrations - Long-lived assets (Details) - USD ($) $ in Thousands	Dec. 31, 2023	Dec. 31, 2022
Segment reporting and concentrations
Long - lived assets	$ 23,168	$ 21,384
United States
Segment reporting and concentrations
Long - lived assets	9,101	7,205
Canada
Segment reporting and concentrations
Long - lived assets	7,328	7,675
United Kingdom
Segment reporting and concentrations
Long - lived assets	1,028	1,198
Philippines
Segment reporting and concentrations
Long - lived assets	3,484	3,682
India
Segment reporting and concentrations
Long - lived assets	1,791	1,195
Sri Lanka
Segment reporting and concentrations
Long - lived assets	423	426
Israel
Segment reporting and concentrations
Long - lived assets	13	3
Total foreign
Segment reporting and concentrations
Long - lived assets	$ 14,067	$ 14,179

Segment reporting and concent_5

Segment reporting and concentrations - Revenues by geographic region (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Segment reporting and concentrations
Revenues	$ 86,775	$ 79,001
United States
Segment reporting and concentrations
Revenues	54,430	48,724
United Kingdom
Segment reporting and concentrations
Revenues	10,766	10,901
The Netherlands
Segment reporting and concentrations
Revenues	7,291	6,829
Canada
Segment reporting and concentrations
Revenues	7,156	5,508
Others - principally Europe
Segment reporting and concentrations
Revenues	$ 7,132	$ 7,039

Segment reporting and concent_6

Segment reporting and concentrations - Additional information (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2023 USD ($) customer segment	Dec. 31, 2022 USD ($) customer client
Segment reporting and concentrations
Number of reporting segments | segment	3
Right-of-use-asset, net | $	$ 5,054	$ 4,309
Sales revenue, net | Customer concentration risk | Non-US
Segment reporting and concentrations
Concentration risk, percentage	37%	38%
Foreign customer | Accounts receivable | Customer concentration risk
Segment reporting and concentrations
Concentration risk, percentage	31%	44%
One customer | Sales revenue, net | Customer concentration risk
Segment reporting and concentrations
Number of clients	1
Concentration risk, percentage	10%
Two customer | Sales revenue, net | Customer concentration risk
Segment reporting and concentrations
Concentration risk, percentage		11%
Three customer | Accounts receivable | Customer concentration risk
Segment reporting and concentrations
Number of clients	3
Concentration risk, percentage	53%
Four customer | Accounts receivable | Customer concentration risk
Segment reporting and concentrations
Number of clients | client		4
Concentration risk, percentage		45%
Customer | Sales revenue, net | Customer concentration risk | United States
Segment reporting and concentrations
Number of clients	0
Customer | Accounts receivable | Customer concentration risk
Segment reporting and concentrations
Number of clients	0	0
Customer | Minimum | Sales revenue, net | Customer concentration risk
Segment reporting and concentrations
Concentration risk, percentage	10%
Customer | Minimum | Accounts receivable | Customer concentration risk
Segment reporting and concentrations
Concentration risk, percentage	10%	10%

Loss per Share (Details)

Loss per Share (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Loss per Share
Net loss attributable to Innodata Inc. and Subsidiaries	$ (908)	$ (11,935)
Weighted average common shares outstanding	28,131	27,278
Adjusted for dilutive computation	28,131	27,278

Loss per Share - Additional inf

Loss per Share - Additional information (Details) - shares shares in Millions	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Employee Stock Option
Antidilutive securities excluded from computation of earnings per share
Computation of diluted loss per share	6.3	5.3

Derivatives - Additional Inform

Derivatives - Additional Information (Details) - USD ($) $ in Millions	Dec. 31, 2023	Dec. 31, 2022
Derivatives
Derivative notional amount	$ 10.5	$ 14.2

Derivatives - Fair value of der

Derivatives - Fair value of derivative instruments (Details) - Foreign currency forward contracts - Designated as hedging instrument - USD ($) $ in Thousands	Dec. 31, 2023	Dec. 31, 2022
Accrued expenses and other
Derivatives, Fair Value
Derivatives designated as hedging instruments		$ 365
Prepaid expenses and other current assets
Derivatives, Fair Value
Derivatives designated as hedging instruments	$ 41

Derivatives - Contracts designa

Derivatives - Contracts designated as cash flow hedges (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Derivatives
Net gain (loss) recognized in OCI	$ 185	$ (1,118)
Net loss reclassified from accumulated OCI into income	$ (221)	$ (1,106)

Line Of Credit (Details)

Line Of Credit (Details) - Revolving Credit Facility $ in Millions	12 Months Ended
	Dec. 31, 2023 USD ($)	Apr. 04, 2023 USD ($)
Line of Credit
Maximum borrowing capacity		$ 10
Percentage of eligible accounts considered for determination of borrowing base		85%
Percentage of eligible foreign accounts considered for determination of borrowing base		85%
Maximum amount of eligible foreign accounts considered for determination of borrowing base		$ 2
Borrowing base calculation	$ 10
Threshold minimum fixed charge coverage ratio required to be maintained by December 31, 2023	1.10
SOFR
Line of Credit
Interest rate	2.25%

Pay vs Performance Disclosure

Pay vs Performance Disclosure - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Pay vs Performance Disclosure
Net Income (Loss)	$ (908)	$ (11,935)

Insider Trading Arrangements

Insider Trading Arrangements	12 Months Ended
	Dec. 31, 2023
Trading Arrangements, by Individual
Rule 10b5-1 Arrangement Adopted	false
Non-Rule 10b5-1 Arrangement Adopted	false
Rule 10b5-1 Arrangement Terminated	false
Non-Rule 10b5-1 Arrangement Terminated	false