Innodata (INOD) 10-K 24 Feb 25 2024 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($)	12 Months Ended
	Dec. 31, 2024	Feb. 17, 2025	Jun. 30, 2024
Document and Entity Information
Document Type	10-K
Document Annual Report	true
Document Period End Date	Dec. 31, 2024
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 Well-known Seasoned Issuer	Yes
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Document Financial Statement Error Correction [Flag]	false
Entity Shell Company	false
Entity Public Float			$ 400,569,838
Entity Common Stock, Shares Outstanding		31,299,728
Entity Central Index Key	0000903651
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2024
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, 2024	Dec. 31, 2023
Current assets:
Cash and cash equivalents	$ 46,883	$ 13,806
Short term investments - other	14	14
Accounts receivable, net of allowance for credit losses	28,013	14,288
Prepaid expenses and other current assets	6,090	3,969
Total current assets	81,000	32,077
Property and equipment, net	4,101	2,281
Right-of-use-asset, net	4,238	5,054
Other assets	1,267	2,445
Deferred income taxes, net	7,492	1,741
Intangibles, net	13,353	13,758
Goodwill	1,998	2,075
Total assets	113,449	59,431
Current liabilities:
Accounts payable	4,554	2,662
Accrued expenses	4,891	3,060
Accrued salaries, wages and related benefits	13,836	7,799
Deferred revenues	8,010	3,523
Income and other taxes	5,695	3,848
Long-term obligations - current portion	1,643	1,261
Operating lease liability - current portion	877	782
Total current liabilities	39,506	22,935
Deferred income taxes, net	32	22
Long-term obligations, net of current portion	6,744	6,778
Operating lease liability, net of current portion	3,778	4,701
Total liabilities	50,060	34,436
Commitments and contingencies
Non-controlling interests	(83)	(708)
STOCKHOLDERS' EQUITY:
Serial preferred stock; 4,998,000 shares authorized, none issued and outstanding
Common stock, $.01 par value; 75,000,000 shares authorized; 34,484,000 shares issued and 31,300,000 outstanding at December 31, 2024 and 31,937,000 shares issued and 28,753,000 outstanding at December 31, 2023	345	320
Additional paid-in capital	53,085	43,152
Retained earnings (deficit)	18,977	(9,683)
Accumulated other comprehensive loss	(2,470)	(1,621)
Stockholders' Equity before Treasury Stock, Total	69,937	32,168
Less: treasury stock, 3,184,000 shares at December 31, 2024 and 2023, at cost	(6,465)	(6,465)
Total stockholders' equity	63,472	25,703
Total liabilities, non-controlling interests and stockholders' equity	$ 113,449	$ 59,431

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Dec. 31, 2024	Dec. 31, 2023
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	34,484,000	31,937,000
Common stock, shares outstanding	31,300,000	28,753,000
Treasury stock, shares	3,184,000	3,184,000

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) - USD ($) shares in Thousands, $ in Thousands	12 Months Ended
	Dec. 31, 2024	Dec. 31, 2023
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS)
Revenues	$ 170,461	$ 86,775
Operating costs and expenses:
Direct operating costs	103,387	55,482
Selling and administrative expenses	42,738	30,975
Interest (income) expense, net	(149)	179
Total	145,976	86,636
Income before provision for income taxes	24,485	139
Provision for income taxes	(4,190)	1,028
Consolidated net income (loss)	28,675	(889)
Income attributable to non-controlling interests	15	19
Net income (loss) attributable to Innodata Inc. and Subsidiaries	$ 28,660	$ (908)
Income (loss) per share attributable to Innodata Inc. and Subsidiaries:
Basic (in dollars per share)	$ 0.98	$ (0.03)
Diluted (in dollars per share)	$ 0.89	$ (0.03)
Weighted average shares outstanding:
Basic (in shares)	29,163	28,131
Diluted (in shares)	32,177	28,131
Comprehensive income (loss):
Consolidated net income (loss)	$ 28,675	$ (889)
Pension liability adjustment, net of taxes	179	(326)
Foreign currency translation adjustment	(592)	407
Change in fair value of derivatives, net of taxes	(436)	406
Other comprehensive income (loss)	(849)	487
Total comprehensive income (loss)	27,826	(402)
Comprehensive income attributed to non-controlling interest	15	19
Comprehensive income (loss) attributable to Innodata Inc. and Subsidiaries	$ 27,811	$ (421)

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, 2022	$ 306	$ 35,815	$ (8,775)	$ (2,108)	$ (6,465)	$ 18,773
Balance at the beginning (in shares) at Dec. 31, 2022					(3,184,000)
Balance at the beginning (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
Net Income (Loss)			28,660			$ 28,660
Stock-based compensation		3,998				3,998
Stock option exercises	$ 25	6,643				$ 6,668
Stock option exercises (in shares)	2,506,000					2,506,232
Restricted stock units vested (in shares)	41,000
Shares withheld for exercise net settlement						$ (97)
Shares withheld for restricted stock unit net settlement		(97)
Redemption of non-controlling interest		(611)				(611)
Pension liability adjustment, net of taxes				179		179
Foreign currency translation adjustment				(592)		(592)
Change in fair value of derivatives, net of taxes				(436)		(436)
Balance at the end at Dec. 31, 2024	$ 345	$ 53,085	$ 18,977	$ (2,470)	$ (6,465)	$ 63,472
Balance at the end (in shares) at Dec. 31, 2024					(3,184,000)	3,184,000
Balance at the end (in shares) at Dec. 31, 2024	34,484,000

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2024	Dec. 31, 2023
Cash flows from operating activities:
Consolidated net income (loss)	$ 28,675	$ (889)
Adjustments to reconcile consolidated net income (loss) to net cash provided by operating activities:
Depreciation and amortization	5,796	4,716
Stock-based compensation	3,998	4,027
Deferred income taxes	(5,609)	(276)
Provision for credit losses	804	426
Pension cost	1,237	1,046
Changes in operating assets and liabilities:
Accounts receivable	(14,688)	(5,116)
Prepaid expenses and other current assets	(2,233)	372
Other assets	1,177	(171)
Accounts payable and accrued expenses	3,429	353
Deferred revenues	4,487	(843)
Accrued salaries, wages and related benefits	6,063	1,653
Income and other taxes	1,879	605
Net cash provided by operating activities	35,015	5,903
Cash flows from investing activities:
Capital expenditures	(7,741)	(5,564)
Proceeds from short term investments - others		493
Net cash used in investing activities	(7,741)	(5,071)
Cash flows from financing activities:
Proceeds from exercise of stock options	6,668	3,324
Withholding taxes on net settlement of restricted stock units	(97)
Payment of long-term obligations	(513)	(452)
Net cash provided by financing activities	6,058	2,872
Effect of exchange rate changes on cash and cash equivalents	(255)	310
Net increase in cash and cash equivalents	33,077	4,014
Cash and cash equivalents, beginning of year	13,806	9,792
Cash and cash equivalents, end of year	46,883	13,806
Supplemental disclosures of cash flow information:
Vendor financed software licenses acquired		1,162
Cash paid for income taxes	2,418	753
Cash paid for operating leases	1,435	1,557
Cash paid for interest	$ 287	$ 400

Description of Business and Sum

Description of Business and Summary of Significant Accounting Estimates and Policies	12 Months Ended
	Dec. 31, 2024
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 35+ 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 35+ years creating high-quality data for many of the world’s most demanding information companies. Approximately nine 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, 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 35-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. Significant Accounting Policies and Estimates Principles of Consolidation The non-controlling interests in the docGenix limited liability company at December 31, 2023 had call and put options that can be settled in cash or stock. Accordingly, this is presented in temporary equity in accordance with Financial Accounting Standards Board (FASB) non-controlling interest guidance. All intercompany transactions and balances have been eliminated in 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 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 $1.1 million and $0.8 million for the years ended December 31, 2024 and 2023 , respectively. These acquisition costs relate to our Agility segment and are amortized using the straight-line method over the term of the subscription agreement. 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 U.K. 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 income 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 income. 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, 2024 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 deferred tax assets of entities in the U.S., Canada, Germany and the U.K. will be realizable or not. The Company’s assessment for the U.S. and the U.K. entities during the year ended December 31, 2024 yielded positive evidence enabling the release of the valuation allowance for the U.S. and the U.K. deferred tax assets under “ASC Topic 740-10-30-22 – Accounting for Income Taxes”. As the expectation of future taxable income of the Canadian and German entities cannot be predicted with reasonable accuracy, the Company maintains a valuation allowance against the deferred tax assets of these entities. 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 income. 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, 2024, 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, ​ 2024 2023 Direct operating costs ​ $ 281 ​ $ 294 Selling and administrative expenses ​ 3,717 ​ 3,733 Total stock-based compensation ​ $ 3,998 ​ $ 4,027 ​ 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, 2024 and 2023, respectively (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ ​ 2024 ​ 2023 Balance at the beginning of year ​ $ 3,523 ​ $ 4,366 Net deferred revenue in the period ​ ​ 27,577 ​ ​ 21,619 Revenue recognized ​ ​ (22,896) ​ ​ (22,586) Currency translations and other adjustments ​ ​ (194) ​ ​ 124 Balance at the end of year $ 8,010 $ 3,523 ​ Recently Adopted Accounting Pronouncements - Recently Issued Accounting Pronouncements Not Yet Adopted - In November 2024, the FASB issued ASU 2024-03, “Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses”. ASU No. 2024-03 does not change or remove existing expense disclosure requirements but requires disaggregated disclosures about certain expense categories and captions, including but not limited to, purchases of inventory, employee compensation, depreciation, amortization and selling expenses. ASU No. 2024-03 will become effective for us in fiscal 2027 and in the first quarter of fiscal 2028 for interim reporting. Early adoption is permitted. We are currently evaluating the impact of the ASU on our disclosures within the consolidated financial statements.

Accounts Receivable

Accounts Receivable	12 Months Ended
	Dec. 31, 2024
Accounts Receivable
Accounts Receivable	2. Accounts Receivable ​ Accounts receivable consists of the following (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ ​ 2024 2023 Gross Accounts receivable ​ $ 29,772 ​ $ 15,505 Allowance for credit losses ​ ​ (1,759) ​ ​ (1,217) Accounts receivable, net $ 28,013 $ 14,288 ​ Activity in the allowance for the credit losses for the years ended December 31, 2024 and 2023 were as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ For the Year Ended For the Year Ended ​ December 31, 2024 December 31, 2023 Balance at beginning of year $ 1,217 $ 1,213 Additions charged to expense ​ ​ 804 ​ ​ 426 Write-offs against allowance ​ ​ (256) ​ ​ (426) Foreign currency translation adjustment ​ (6) ​ 4 Balance at end of year ​ $ 1,759 ​ $ 1,217 ​

Property and equipment

Property and equipment	12 Months Ended
	Dec. 31, 2024
Property and equipment
Property and equipment	3. 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, ​ 2024 2023 Equipment ​ $ 12,135 ​ $ 11,315 Computer software ​ 4,480 ​ 4,465 Furniture and equipment ​ 951 ​ 1,128 Leasehold improvements ​ 2,554 ​ 2,547 Capital work-in-progress ​ ​ 547 ​ ​ 434 Total ​ 20,667 ​ 19,889 Less: accumulated depreciation and amortization ​ (16,566) ​ (17,608) ​ ​ $ 4,101 ​ $ 2,281 ​ 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 $1.5 million and $1.2 million for the years ended December 31, 2024 and 2023, respectively.

Goodwill and Intangible Assets

Goodwill and Intangible Assets	12 Months Ended
	Dec. 31, 2024
Goodwill and Intangible Assets
Goodwill and Intangible Assets	4. Goodwill and Intangible Assets The changes in the carrying amount of goodwill for the year ended December 31, 2024 were as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ Amount Balance - January 1, 2024 $ 2,075 Foreign currency translation adjustment ​ (77) Balance - December 31, 2024 ​ $ 1,998 ​ As of September 30, 2024, the Company performed its annual goodwill impairment analysis on its reporting unit with goodwill, 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 profits 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 approach 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 $2.0 million and $2.1 million as of December 31, 2024, and 2023, respectively. Intangibles Information regarding the Company acquired intangible assets and capitalized developed software was as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, 2024 ​ ​ ​ ​ Foreign Currency ​ ​ ​ Gross ​ Accumulated ​ Translation ​ Net ​ ​ Carrying Value ​ Amortization ​ Adjustment ​ Carrying Value Acquired Intangible Assets ​ ​ ​ ​ Developed technology ​ $ 3,060 ​ $ (2,911) ​ $ (3) ​ $ 146 Customer relationships ​ 2,144 ​ (1,856) ​ (29) ​ 259 Trademarks and tradenames ​ 862 ​ (826) ​ - ​ 36 Patents ​ 44 ​ (44) ​ - ​ - Media Contact Database ​ 3,546 ​ (3,016) ​ (1) ​ 529 Total Acquired Intangible Assets ​ $ 9,656 ​ $ (8,653) ​ $ (33) ​ $ 970 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Capitalized Developed Software ​ ​ ​ ​ Capitalized Developed Software ​ $ 19,811 ​ $ (10,507) ​ $ (463) ​ $ 8,841 Capitalized Developed Software - in Progress ​ 3,552 ​ - ​ (10) ​ 3,542 Total Capitalized Developed Software ​ $ 23,363 ​ $ (10,507) ​ $ (473) ​ $ 12,383 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Total ​ $ 33,019 ​ $ (19,160) ​ $ (506) ​ $ 13,353 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 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 ​ Amortization expense relating to acquired intangible assets was approximately $0.8 million and $0.9 million for the years ended December 31, 2024 and 2023, respectively. Amortization expense relating to capitalized developed software was approximately $3.5 million and $2.7 million for the years ended December 31, 2024 and 2023, respectively. Estimated annual amortization expense for intangible assets subsequent to December 31, 2024 is as follows (in thousands): ​ ​ ​ ​ ​ Year Amortization 2025 ​ $ 5,636 2026 ​ 4,158 2027 ​ ​ 2,675 2028 ​ 742 2029 ​ 110 Thereafter ​ 32 ​ ​ $ 13,353 ​

Income Taxes

Income Taxes	12 Months Ended
	Dec. 31, 2024
Income Taxes
Income Taxes	5. Income Taxes The significant components of the provision for income taxes for the years ended December 31, 2024 and 2023 were as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ 2024 2023 Current income tax provision: ​ ​ Foreign ​ $ 525 ​ $ 1,181 Federal ​ 126 ​ 120 State and local ​ 768 ​ 3 ​ ​ 1,419 ​ 1,304 Deferred income tax provision: ​ ​ Foreign ​ (294) ​ (286) Federal ​ (4,059) ​ 10 State and local ​ (1,256) ​ - ​ ​ (5,609) ​ (276) ​ ​ ​ ​ ​ ​ ​ Provision for income taxes ​ $ (4,190) ​ $ 1,028 ​ The reconciliation of the U.S. statutory rate with the Company’s effective tax rate for the years ended December 31, 2024 and 2023 is summarized as follows: ​ ​ ​ ​ ​ ​ ​ ​ 2024 2023 Federal income tax expense at statutory rate 21.0 % 21.0 % Effect of: ​ ​ ​ Section 162 (m) 57.6 452.0 ​ Global Intangible Low-Taxed Income (GILTI) ​ 3.1 ​ 0.0 ​ Tax effects of foreign operations 1.5 562.6 ​ Return to provision true up 0.8 264.4 ​ Foreign operations permanent differences - foreign exchange gains and losses 0.6 76.9 ​ Withholding tax ​ 0.5 ​ 106.6 ​ Research and development credit ​ - ​ (67.3) ​ Tax effect of intercompany settlement ​ - ​ (234.0) ​ Deemed interest (0.6) (149.2) ​ Foreign rate differential (0.9) (102.5) ​ State income tax net of federal benefit (1.8) 0.1 ​ Increase (decrease) in unrecognized tax benefits (ASC 740) ​ (3.8) ​ 199.6 ​ Change in valuation allowance (30.7) 578.6 ​ Effect of stock-based compensation ​ (64.8) ​ (961.6) ​ Other ​ 0.4 ​ (7.6) ​ Effective tax rate (17.1) % 739.6 % ​ 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, 2024 and 2023 were as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ 2024 2023 Deferred income tax assets: ​ ​ Allowances not currently deductible ​ $ 459 ​ $ 283 Depreciation and amortization ​ - ​ 58 Equity compensation not currently deductible ​ 886 ​ 2,098 Net operating loss carryforwards ​ 7,755 ​ 10,514 Expenses not deductible until paid ​ 3,274 ​ 1,972 Other ​ 87 ​ 585 Total gross deferred income tax assets before valuation allowance ​ 12,461 ​ 15,510 Valuation allowance ​ (4,969) ​ (13,769) Total Deferred income tax assets, net ​ ​ 7,492 ​ ​ 1,741 ​ ​ ​ ​ ​ ​ ​ Deferred income tax liabilities: ​ ​ Amortization of Intangibles ​ ​ (32) ​ ​ - Other ​ - ​ (22) Total Deferred income tax liabilities ​ (32) ​ (22) ​ ​ ​ ​ ​ ​ ​ Net deferred income tax assets ​ $ 7,460 ​ $ 1,719 ​ ​ ​ ​ ​ ​ ​ Total deferred income tax assets, net ​ $ 7,492 ​ $ 1,741 Total deferred income tax liabilities ​ ​ (32) ​ ​ (22) ​ ​ ​ ​ ​ ​ ​ Net deferred income tax assets, net ​ $ 7,460 ​ $ 1,719 ​ 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, 2024, the Company continues to maintain a valuation allowance on all of the Company’s Canadian and German subsidiaries’ deferred tax assets. The Company maintained a valuation allowance of approximately $5.0 million and $13.8 million as of December 31, 2024 and 2023, respectively. The net change in the total valuation allowance was a decrease of $8.8 million and an increase of $0.8 million for the years ended December 31, 2024 and December 31, 2023, respectively. The change is due to the Company’s assessment during the third and fourth quarters of 2024, where the Company determined it was more likely than not that the Company would be able to realize the benefit of the deferred tax assets in the United States and the United Kingdom, respectively, resulting in the release of the valuation allowance. In reaching this determination, the Company considered the growing trend of profitability over the last three years in the United States and the United Kingdom, as well as its expectations regarding the generation of future taxable income. The remaining valuation allowance as of December 31, 2024 relates to the Company’s Canadian and German subsidiaries’ deferred tax assets. 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 $53.9 million at December 31, 2024. 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 income (loss) before provision for income taxes for each of the years ended December 31, were as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2024 ​ 2023 United States ​ $ 21,692 ​ $ 2,025 Foreign ​ 2,793 ​ (1,886) Totals ​ $ 24,485 ​ $ 139 ​ At December 31, 2024, the Company had available U.S. federal & state net operating loss (NOL) carryforwards of approximately $10.6 million and $6.5M, respectively. The Company had research and development credit carryforwards of approximately $0.1 million. The Federal income tax NOL carryforwards expire at various times from the year 2034 through the year 2035 and the research and development credit expires in 2042. The state income tax NOL carryforwards begin expiring at various times starting in 2025. The deferred tax benefit for these NOL carryforwards and R&D credit carryforwards have 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 2025. On December 31, 2024, the Company’s Agility subsidiary in the U.K. had available NOL carryforwards of approximately $0.4 million. The deferred tax benefit for these NOL carryforwards has been recognized for financial statement purposes. On December 31, 2024, the Company’s Canadian subsidiaries had available Canadian NOL carryforwards of approximately $23.2 million that will begin to expire in 2037 and research and development credits of approximately $1.3 million that have no expiry. The potential benefits from these balances have not been recognized for financial statement purposes. On December 31, 2024, the Company’s German subsidiary had available NOL carryforwards of approximately $0.7 million. The potential benefits from these balances have not been recognized for financial statement purposes. 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 2020 through 2024. Various foreign subsidiaries have open tax years from 2005 through 2024, some of which are under audit by local tax authorities. The Company believes that its accruals for uncertain tax positions as of December 31, 2024 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, ​ 2024 2023 Balance at beginning of the year ​ $ 1,942 ​ $ 1,680 Decrease for prior year tax positions ​ (1,309) ​ (68) Increase for current year tax positions ​ 341 ​ 247 Interest accrual ​ 80 ​ 97 Foreign currency remeasurement ​ (55) ​ (14) Balance at end of the year ​ $ 999 ​ $ 1,942 ​ The Company had reserves for uncertain tax positions of $1.0 million and $1.9 million as of December 31, 2024, and 2023, respectively, where the ultimate tax determination is uncertain due to complexities of tax laws. The decrease in unrecognized tax benefits resulted from reversal of accruals of $1.3 million in unrecognized tax benefits for a subsidiary because the examination period for an open tax year had prescribed. The Company expects that unrecognized tax benefits as of December 31, 2024 and December 31, 2023, if recognized, would have a material impact on the Company’s effective tax rate.

Long-term obligations

Long-term obligations	12 Months Ended
	Dec. 31, 2024
Long-term obligations
Long-term obligations	6. Long-term obligations Total long-term obligations as of December 31, 2024 and 2023 consisted of the following (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ 2024 2023 ​ ​ ​ ​ ​ ​ ​ Pension obligations - accrued pension liability ​ $ 7,945 ​ $ 7,128 Microsoft licenses (1) ​ ​ 442 ​ 911 ​ ​ ​ 8,387 ​ 8,039 Less: Current portion of long-term obligations ​ 1,643 ​ 1,261 Totals ​ $ 6,744 ​ $ 6,778 ​ (1)

Commitments and Contingencies

Commitments and Contingencies	12 Months Ended
	Dec. 31, 2024
Commitments and Contingencies
Commitments and Contingencies	7. Commitments and contingencies Litigation - In February 2024, David D’Agostino filed a putative class action captioned D’Agostino v. Innodata Inc., et al., in the United States District Court for the District of New Jersey against the Company and certain of its current and former officers (the “Securities Class Action”). In October 2024, the presiding judge in the Securities Class Action appointed a lead plaintiff and approved the lead plaintiff’s choice of counsel. In January 2025, an amended Securities Class Action complaint was filed in the Securities Class Action. The complaint asserts claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, as amended, and Rule 10b-5 promulgated thereunder, and it alleges, among other things, that the defendants made false and misleading statements regarding the Company’s artificial intelligence (“AI”) technology and services. The plaintiff seeks unspecified damages, fees, interest, and costs. The Company intends to defend itself vigorously, but the Company cannot predict the outcome of the action at this time and can give no assurance that the asserted claims will not have a material adverse effect on its financial position or results of operations. Subsequently, in March 2024, the Company received a letter from the staff of the Securities and Exchange Commission, Division of Enforcement (the “SEC”), requesting the Company preserve certain documents and data; in August 2024 the Company received a grand jury subpoena from the U.S. Department of Justice (“DOJ”) requesting the Company to produce certain documents; and in September 2024 the Company received a subpoena from the SEC requesting certain information. The Company believes that the SEC and DOJ requests are related to the conduct alleged in the Securities Class Action, and is cooperating with these investigations. The Company is unable to predict when these matters will be resolved or what further action, if any, the SEC or DOJ may take in connection with it. The Company is also subject to various other legal proceedings and claims that have arisen in the ordinary course of business. While the Company believes that it has adequate reserves for those losses that it believes are probable and can be reasonably estimated, the ultimate results of legal proceedings and claims cannot be predicted with certainty. 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, 2024
Operating Leases
Operating Leases	8. 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, 2024 December 31, 2023 ​ ​ ​ ​ ​ ​ ​ Rent expense for long-term operating leases ​ $ 1,257 ​ $ 1,252 Rent expense for short-term leases ​ 178 ​ 305 Total rent expense ​ $ 1,435 ​ $ 1,557 ​ 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, 2024 (in thousands): ​ ​ ​ ​ ​ Year ​ Amount ​ ​ ​ ​ 2025 ​ $ 1,300 2026 ​ 1,332 2027 ​ 1,328 2028 ​ ​ 957 2029 ​ ​ 695 2030 and thereafter ​ 175 Total lease payments ​ 5,787 Less: Interest ​ (1,132) Net present value of lease liabilities ​ $ 4,655 ​ ​ ​ ​ Current portion ​ $ 877 Long-term portion ​ 3,778 Total ​ $ 4,655 ​ The weighted average remaining lease terms and discount rates for all of our operating leases as of December 31, 2024 were as follows: ​ ​ ​ ​ ​ Weighted-average lease term remaining 51 months ​ Weighted-average discount rate 9.39% ​ ​

Pension Benefits

Pension Benefits	12 Months Ended
	Dec. 31, 2024
Pension Benefits
Pension Benefits	9. 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, 2024, these plans were unfunded. Pension expense for our foreign subsidiaries totaled approximately $1.2 million for each of the years ended December 31, 2024 and 2023. 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, 2024 and 2023 were as follows (in thousands): Benefit Obligations: ​ ​ ​ ​ ​ ​ ​ ​ ​ 2024 2023 ​ ​ ​ ​ ​ ​ ​ Projected benefit obligation at beginning of the year ​ $ 7,128 ​ $ 5,906 Service cost ​ 717 ​ 568 Interest cost ​ 522 ​ 478 Actuarial loss (gain) ​ (105) ​ 324 Foreign currency exchange rates changes ​ (166) ​ 54 Benefits paid ​ (151) ​ (202) Projected benefit obligation at end of the year ​ $ 7,945 ​ $ 7,128 ​ The Company had an actuarial gain of $0.1 million for the year ended December 31, 2024, and an actuarial loss of $0.3 million for the year ended December 31, 2023. This was mainly due to changes in the salary rate assumption for our Asian subsidiaries. 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: ​ ​ ​ ​ ​ ​ ​ ​ ​ 2024 2023 ​ ​ ​ ​ ​ ​ ​ Service cost ​ $ 717 ​ $ 568 Interest cost ​ 522 ​ 478 Actuarial loss recognized ​ (2) ​ 147 Net periodic pension cost ​ $ 1,237 ​ $ 1,193 ​ The accumulated benefit obligation, which represents benefits earned to date, was approximately $4.7 million and $3.9 million for each of the years ended December 31, 2024 and 2023. Amounts recognized in the consolidated balance sheets for the years ended December 31, 2024 and 2023 consisted of the following (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ 2024 2023 ​ ​ ​ ​ ​ ​ ​ Current accrued benefit cost ​ $ 1,229 $ 880 Non-current accrued benefit cost ​ 6,716 6,248 Total amount recognized ​ $ 7,945 $ 7,128 ​ 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, 2024 and 2023 were as follows: ​ ​ ​ ​ ​ ​ ​ 2024 2023 ​ ​ ​ ​ ​ Discount rate 6.09%-12% ​ 6.73%-12.8% Rate of increase in compensation level 7%-10% ​ 7.5%-14.5% ​ Estimated Future Benefit Payments: As of December 31, 2024, the following benefit payments, which reflect expected future service, as appropriate, were expected to be paid (in thousands): ​ ​ ​ ​ ​ Year ​ Amount ​ ​ ​ ​ 2025 ​ $ 1,246 2026 ​ 320 2027 ​ 658 2028 ​ ​ 188 2029 ​ ​ 606 2030 to 2034 ​ 5,142 ​ ​ $ 8,160 ​

Capital Stock

Capital Stock	12 Months Ended
	Dec. 31, 2024
Capital Stock
Capital Stock	10. Capital Stock Common Stock - Preferred Stock - Common Stock Reserved - Treasury Stock -

Stock Options

Stock Options	12 Months Ended
	Dec. 31, 2024
Stock Options
Stock Options	11. 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, 2024, there were 3,365,193 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, 2023, 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 Year Ended December 31, ​ ​ 2024 ​ 2023 ​ ​ ​ ​ ​ ​ ​ ​ Weighted average fair value of options granted $ 32.07 $ 2.56 ​ Risk-free interest rate ​ 4.40 % 4.34 % Expected term (years) ​ 6.0 ​ 6.0 ​ Expected volatility factor ​ 87.69 % 75.35 % 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 option activity under the 2013 Plan and changes during each of the years ended December 31, 2024 and 2023 are presented below. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted-Average ​ ​ ​ ​ ​ ​ Weighted -Average ​ Remaining ​ ​ ​ ​ ​ Number of ​ Exercise ​ Contractual Term ​ Aggregate ​ ​ Options ​ Price ​ (years) ​ Intrinsic Value Outstanding at January 1, 2024 5,339,162 ​ $ 3.22 6.38 ​ $ 28,640,009 Granted - ​ - ​ ​ ​ ​ Exercised (2,169,968) ​ 2.54 ​ ​ ​ ​ Forfeited/Expired (4,001) ​ 6.96 ​ ​ ​ ​ Outstanding at December 31, 2024 3,165,193 ​ $ 3.67 6.32 ​ $ 113,458,326 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Exercisable at December 31, 2024 1,673,966 ​ $ 2.54 5.51 ​ $ 61,901,891 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Vested and Expected to vest at December 31, 2024 3,165,193 ​ $ 3.67 6.32 ​ $ 113,458,326 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted-Average ​ ​ ​ ​ ​ ​ Weighted – Average ​ Remaining ​ ​ ​ ​ ​ Number of ​ Exercise ​ Contractual Term ​ Aggregate ​ ​ Options ​ Price ​ (years) ​ Intrinsic Value ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Outstanding at January 1, 2023 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 2021 Plan and changes during each of the years ended December 31, 2024 and 2023 are presented below. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted-Average ​ ​ ​ ​ ​ Weighted - Average ​ Remaining ​ ​ ​ ​ ​ Number of ​ Exercise ​ Contractual Term ​ Aggregate ​ ​ Options ​ Price ​ (years) ​ Intrinsic Value ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Outstanding at January 1, 2024 923,571 ​ $ 3.41 8.76 ​ $ 4,786,252 Granted 268,500 ​ 42.57 ​ ​ ​ ​ Exercised (336,264) ​ 3.44 ​ ​ ​ ​ Forfeited/Expired (13,536) ​ 4.84 ​ ​ ​ ​ Outstanding at December 31, 2024 842,271 ​ $ 15.86 8.46 ​ $ 20,847,471 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Exercisable at December 31, 2024 314,244 ​ $ 3.32 7.73 ​ $ 11,374,251 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Vested and Expected to vest at December 31, 2024 842,271 ​ $ 15.86 8.46 ​ $ 20,847,471 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted-Average ​ ​ ​ ​ ​ ​ Weighted - Average ​ Remaining ​ ​ ​ ​ ​ Number of ​ Exercise ​ Contractual Term ​ Aggregate ​ ​ Options ​ Price ​ (years) ​ Intrinsic Value ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Outstanding at January 1, 2023 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 ​ A total of 268,500 options were granted during the year ended December 31, 2024. During the year ended December 31, 2024, a total of 2,506,232 options were exercised at an average exercise price of $2.66. 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, 2024 and 2023. Restricted Stock Units Restricted stock unit activity under the Equity Plans during each of the years ended December 31, 2024 and 2023 are presented below: ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted- ​ ​ Number of ​ Average ​ ​ Restricted Stock ​ Grant Date ​ ​ Units ​ Fair Value ​ ​ ​ ​ ​ ​ Unvested at January 1, 2024 ​ 749,756 ​ $ 5.77 Granted 549,079 ​ ​ 40.61 Vested (48,761) ​ 8.42 Forfeited/Expired (995) ​ 8.29 Unvested at December 31, 2024 1,249,079 ​ $ 20.98 ​ ​ ​ ​ ​ ​ ​ ​ ​ 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 ​ There were a total of 34,246 restricted As of December 31, 2024, there were 200,000 and 1,049,079 outstanding restricted stock unit awards under the 2013 Plan and 2021 Plan, respectively. The stock-based compensation expense is recognized on a straight-line basis over a period of 36 months. The fair value of restricted stock units is based on the closing price of the stock at the time of the grant. ​ The compensation cost related to non-vested stock options not yet recognized as of December 31, 2024 totaled approximately $9.1 million. The weighted-average period over which these costs will be recognized is 34 months. ​ The compensation cost related to non-vested restricted stock units not yet recognized as of December 31, 2024 totaled approximately $21.9 million. The weighted-average period over which these costs will be recognized is 16 months.

Redemption of non-controlling i

Redemption of non-controlling interest	12 Months Ended
	Dec. 31, 2024
Redemption of non-controlling interest
Redemption of non-controlling interest	12. Redemption of non-controlling interest On December 31, 2024, the Company redeemed the 6.1% non-controlling interest in Innodata DocGenix, LLC; Innodata DocGenix, LLC, is now a wholly owned subsidiary. The Company accounted for the transaction in accordance with ASC Topic 810, “Consolidation”, which discusses the proper accounting treatment of the carrying value for the non-controlling interest. Under the standard, any change in ownership that does not result in a loss of control is to be accounted for as an equity transaction. To comply with the standard, the Company reclassified the remaining carrying value of the Non-controlling interest attributed to the DocGenix subsidiary amounting to $0.6 million from Non-controlling interest to Additional paid-in capital in the Consolidated Balance Sheets as of December 31, 2024.

Comprehensive loss

Comprehensive loss	12 Months Ended
	Dec. 31, 2024
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, 2024 and 2023, 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, 2024 ​ $ (412) ​ $ 41 ​ $ (1,250) ​ $ (1,621) Other comprehensive income (loss) before reclassifications, net of taxes ​ 172 ​ (494) ​ (592) ​ (914) Total other comprehensive loss before reclassifications, net of taxes ​ (240) ​ (453) ​ (1,842) ​ (2,535) Net amount reclassified to earnings ​ 7 ​ 58 ​ - ​ 65 Balance at December 31, 2024 ​ $ (233) ​ $ (395) ​ $ (1,842) ​ $ (2,470) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 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) ​ 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, 2024
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. The Company’s chief operating decision maker (CODM) is the senior executive committee that includes the chief executive officer, chief operating officer, and the chief financial officer (interim). The U.S. GAAP measures used by the Company’s CODM to evaluate segment performance and allocate resources—such as employees, property, and financial or capital resources during the annual budgeting and forecasting process, are Revenues, Gross Profit and Income before provision for income taxes. Performance results are monitored, reviewed, and measured monthly and quarterly by comparing budget and forecast to actual results for profit measures, assessing returns on investment, compensation decisions and changing strategies, if required. The accounting policies used by the DDS, Synodex and Agility segments are the same as those described in the summary of significant accounting policies. The measure of segment assets is reported on the balance sheet as total consolidated assets shown in the table below (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ Year Ended December 31, ​ 2024 2023 Total assets: ​ ​ DDS ​ $ 87,165 ​ $ 37,232 Synodex ​ 4,983 ​ 3,379 Agility (1) ​ 21,301 ​ 18,820 Total Consolidated ​ $ 113,449 ​ $ 59,431 ​ (1) (2) ​ The table below shows segment information for other significant income statement items (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year Ended December 31, 2024 ​ DDS Synodex Agility Total Revenues ​ $ 141,098 ​ $ 7,864 ​ $ 21,499 ​ $ 170,461 Direct operating costs (1) (3) ​ 88,186 ​ 5,763 ​ 9,438 ​ 103,387 Gross profit ​ ​ 52,912 ​ ​ 2,101 ​ ​ 12,061 ​ ​ 67,074 Selling and administrative expenses (2) (4) ​ 31,685 ​ 194 ​ 10,859 ​ 42,738 Segment operating income ​ ​ 21,227 ​ ​ 1,907 ​ ​ 1,202 ​ ​ 24,336 Interest expense (income), net ​ ​ (153) ​ ​ - ​ ​ 4 ​ (149) Income before provision for income taxes ​ $ 21,380 ​ $ 1,907 ​ $ 1,198 ​ $ 24,485 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year Ended December 31, 2023 ​ DDS Synodex Agility Total Revenues $ 61,576 $ 7,511 $ 17,688 $ 86,775 Direct operating costs (1) (3) ​ 40,057 ​ 6,712 ​ 8,713 ​ 55,482 Gross profit ​ ​ 21,519 ​ ​ 799 ​ ​ 8,975 ​ ​ 31,293 Selling and administrative expenses (2) (4) ​ 20,085 ​ 580 ​ 10,310 ​ 30,975 Segment operating income ​ ​ 1,434 ​ ​ 219 ​ ​ (1,335) ​ ​ 318 Interest expense, net ​ 174 ​ - ​ 5 ​ 179 Income before provision for income taxes ​ $ 1,260 ​ $ 219 ​ $ (1,340) ​ $ 139 ​ (1) Direct operating costs consist of direct and indirect labor costs, occupancy costs, data center hosting fees, cloud services, content acquisition costs, depreciation and amortization, travel, telecommunications, computer services and supplies, realized (gain) loss on forward contracts, foreign currency revaluation (gain) loss, and other direct expenses that are incurred in providing services to our customers. (2) Selling and administrative expenses consist of payroll and related costs including commissions, bonuses, and stock-based compensation; marketing, advertising, trade conferences and related expenses; new services research and related software development expenses, software subscriptions, professional and consultant fees, provision for credit losses and other administrative overhead expenses. (3) Includes non-cash expenses which consist mainly of depreciation, amortization of capitalized software development costs and stock-based compensation expense. (4) Long-lived assets as of December 31, 2024 and 2023 by geographic region were comprised of (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ Year Ended December 31, ​ ​ 2024 ​ 2023 United States ​ $ 10,182 ​ $ 9,101 Foreign countries: ​ ​ ​ ​ Canada ​ 6,265 ​ 7,328 United Kingdom ​ 806 ​ 1,028 Philippines ​ 3,532 ​ 3,484 India ​ 2,251 ​ 1,791 Sri Lanka ​ 587 ​ 423 Israel ​ 63 ​ 13 Germany ​ 4 ​ - Total foreign ​ 13,508 ​ 14,067 Totals ​ $ 23,690 ​ $ 23,168 ​ Long-lived assets include the unamortized balance of right-of-use assets amounting to $4.2 million and $5.1 million as of December 31, 2024 and December 31, 2023, respectively. ​ One customer in the DDS segment generated approximately 48% of the Company’s total revenues in the fiscal year ended December 31, 2024. Another customer in the DDS segment generated approximately 10% of the Company’s total revenues in the fiscal year ended December 31, 2023. No other customer accounted for 10% or more of total revenues during these periods. Further, in the years ended December 31, 2024 and 2023, revenues from non-U.S. customers accounted for 21% and 37%, respectively, of the Company’s revenues. Revenues for each of the two years in the period ended December 31, 2024 and 2023 by geographic region (determined based upon customer domicile), were as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ Year Ended December 31, ​ ​ 2024 ​ 2023 United States ​ $ 133,876 ​ $ 54,430 United Kingdom ​ 10,006 ​ 10,766 The Netherlands ​ 8,059 ​ 7,291 Canada ​ 8,696 ​ 7,156 Others - principally other European countries ​ 9,824 ​ 7,132 Totals ​ $ 170,461 ​ $ 86,775 ​ As of December 31, 2024, approximately 16% of the Company’s accounts receivable was due from foreign (principally European) customers and 61% of accounts receivable was due from two customers. 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. No other customer accounted for 10% or more of the accounts receivable as of December 31, 2024 and 2023.

Income (loss) per Share

Income (loss) per Share	12 Months Ended
	Dec. 31, 2024
Income (loss) per Share
Income (loss) per Share	15. Income (loss) per Share ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ For the Years Ended ​ ​ December 31, ​ 2024 2023 Net income (loss) attributable to Innodata Inc. and Subsidiaries ​ $ 28,660 $ (908) Weighted average common shares outstanding ​ 29,163 ​ 28,131 Dilutive effect of outstanding options and restricted stock units ​ 3,014 ​ ​ - Adjusted for dilutive computation ​ 32,177 ​ 28,131 ​ Basic income (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 4.0 million shares of common stock for the year ended December 31, 2024 were outstanding. Of these options, 3.7 million were included in the computation of diluted income per share while the remaining 0.3 million were not included in the computation of diluted income 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. Also included in the computation of dilutive income per share are 513,455 restricted stock units using the treasury stock method to determine the dilutive effect of restricted stock units outstanding as of December 31, 2024. ​ 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 have been anti-dilutive.

Derivatives

Derivatives	12 Months Ended
	Dec. 31, 2024
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 $22.5 million and $10.5 million as of December 31, 2024 and 2023, respectively. The following table presents the fair value of derivative instruments included within the consolidated balance sheets as of December 31, 2024 and 2023 (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Balance Sheet Location Fair Value ​ ​ ​ ​ 2024 ​ 2023 Derivatives designated as hedging instruments: ​ ​ Foreign currency forward contracts ​ Accrued expenses ​ $ 499 ​ $ - 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, 2024 and 2023 were as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ 2024 2023 Net gain (loss) recognized in OCI (1) ​ $ (494) ​ $ 185 Net loss reclassified from accumulated OCI into income (2) ​ $ (58) ​ $ (221) 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, 2024
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. On August 5, 2024, the Company entered into a second amendment to the Credit Agreement (together with the Credit Agreement, the “Amended Credit Agreement”). The Amended 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 $30.0 million (the “Maximum Credit”) and provides that a Borrower may request an increase to the Revolving Credit Facility’s Maximum Credit of up to, but not to exceed $50.0 million, subject to the approval of the Lender. The Revolving Credit Facility’s borrowing base is calculated on the basis of (i) 85% of eligible accounts (other than eligible foreign accounts and unbilled accounts), plus (ii) the lesser of (a) 80% of eligible accounts that are unbilled accounts and (b) 30% of all eligible accounts, plus (iii) the lesser of (a) 85% of eligible foreign accounts, (b) 20% of all eligible accounts and (c) $4.0 million, minus (iv) certain other reserves and adjustments. As of December 31, 2024, such borrowing base calculation equaled approximately $22.3 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. 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 ​

Pay vs Performance Disclosure

Pay vs Performance Disclosure - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2024	Dec. 31, 2023
Pay vs Performance Disclosure
Net Income (Loss)	$ 28,660	$ (908)

Insider Trading Arrangements

Insider Trading Arrangements	3 Months Ended
	Dec. 31, 2024
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

Cybersecurity Risk Management a

Cybersecurity Risk Management and Strategy Disclosure	12 Months Ended
	Dec. 31, 2024
Cybersecurity Risk Management, Strategy, and Governance [Line Items]
Cybersecurity Risk Management Processes for Assessing, Identifying, and Managing Threats [Text Block]	Cybersecurity Risk Management and Strategy We recognize the importance of developing, implementing and maintaining a firm cybersecurity posture to safeguard our information systems, protect the confidentiality, integrity and availability of our data and mitigate risks associated with cyber threats and attacks. We are ISO/IEC 27001:2022 certified and the ISO Information Security Risk Management Standard is used as a reference guide for our risk management approach. We have a designated Chief Information Security Officer (CISO) who has primary responsibility for managing our cybersecurity risks. Our CISO has more than 28 years of experience in Information Security and holds a master’s degree in Information Technology. His in-depth knowledge and experience are instrumental in developing and executing our cybersecurity strategies. Our CISO is assisted by a team of Information Security Officers (ISOs) and a third-party consultant who has expertise in cybersecurity, information security risk management, and information systems audit and holds various certifications including, CISA, CISM, HITRUST Certified Common Security Framework Practitioner, QSA, and CSP. Recognizing the inherent cybersecurity risks common to any organization, encompassing concerns such as unauthorized access to sensitive data, potential disruptions to business operations from cyber incidents, and the associated financial and reputational impacts arising from a cybersecurity breach, we have implemented comprehensive policies covering various aspects of cybersecurity and information management, including, without limitation, cyber risk management, information security practices, roles and responsibilities, access controls, cryptography, information classification, asset disposal, and vendor management. We periodically review and modify these policies to align with industry practice, trends and evolving threat landscapes. Compliance with these policies is expected from all employees and contractors. We perform periodic assessments for identifying threats and vulnerabilities, covering relevant operational facets, and focusing on identifying, analyzing, evaluating, and treating cyber risks across business functions. Our risk assessment guidelines define risk measurement and prioritization, and consider factors such as likelihood, impact, and potential harm. Mitigation strategies are planned, covering technical and procedural measures, including incident response plans. Incident Response We maintain a comprehensive incident response plan. Key components include regular updates to ensure effectiveness, employee training programs, and establishing communication channels and relevant systems for proper incident reporting and logging procedures. Communication and notification protocols are defined for notifying third parties such as regulatory bodies, customers, and partners. Recovery strategies are developed for restoring normal operations, and post-incident analysis is conducted to identify lessons learned and improvements for future incident response efforts. The incident response plan also outlines procedures for prompt detection, response, and remediation efforts to minimize the impact of incidents. Incident materiality is assessed through a collaborative process involving key personnel within our organization. Responsibility for conducting a materiality assessment lies with our management team, in consultation with advice from our third-party cybersecurity consultant, as appropriate. The materiality assessment considers various factors, including financial impact, reputational risk, regulatory implications, and potential harm to third parties. Upon completion of the materiality assessment, the disclosure of incidents, including those related to contractual, regulatory, or technology/security aspects, is handled by designated members of our senior management team. We consult with outside counsel or experts as appropriate, including on materiality analysis and disclosure matters. As of the fiscal year ending December 31, 2024, there have been no identified cybersecurity incidents that have materially affected or are reasonably likely to materially affect us, including our business strategy, results of operations or financial condition. Engagement of Third Parties Recognizing the complexity and evolving nature of cybersecurity threats, we have engaged a third-party consultant to assist with evaluating and testing our risk management approach. This enables us to leverage specialized knowledge and insights in connection with our cybersecurity strategies and processes. Strategy To enhance our current cybersecurity posture, we continue to invest in advanced threat detection technologies, provide cybersecurity training based on the latest trends and guidance to the employees, collaborate with industry partners and regulatory bodies to stay informed about emerging threats, reinforce our cybersecurity incident response plan to align with industry-specific regulations and legal obligations, integrate threat intelligence feeds for automatic detection of any misconfigurations, security threats, and foster a collaborative, cross-functional, and accelerated approach to incident response.
Cybersecurity Risk Management Processes Integrated [Flag]	true
Cybersecurity Risk Management Processes Integrated [Text Block]	The governance framework is closely integrated via a structured compliance reporting framework operating across various governance levels. This framework also operates across geographic locations, with location specific compliance meetings conducted at a local management level and led by the CISO with assistance from the ISO team. This structured compliance reporting is intended to ensure that the highest levels of management are kept abreast of potential cybersecurity risks facing the Company, with the escalation of significant cybersecurity matters to the Audit Committee and ultimately to the Board of Directors, as appropriate.
Cybersecurity Risk Management Third Party Engaged [Flag]	true
Cybersecurity Risk Third Party Oversight and Identification Processes [Flag]	true
Cybersecurity Risk Materially Affected or Reasonably Likely to Materially Affect Registrant [Flag]	false
Cybersecurity Risk Board of Directors Oversight [Text Block]	Our Board of Directors is aware of the critical nature of managing the risks associated with cybersecurity threats. The Board of Directors has established oversight mechanisms to ensure effective governance in managing these risks. Board of Director Oversight Our Audit Committee has primary responsibility for overseeing risk management, including with respect to cybersecurity. The Audit Committee monitors management’s compliance, and reports to the Board of Directors. The CISO, who is responsible for developing our cybersecurity strategy and managing our cybersecurity risks, reports directly to the Audit Committee on these matters.
Cybersecurity Risk Board Committee or Subcommittee Responsible for Oversight [Text Block]	Audit Committee
Cybersecurity Risk Process for Informing Board Committee or Subcommittee Responsible for Oversight [Text Block]	Our Audit Committee has primary responsibility for overseeing risk management, including with respect to cybersecurity. The Audit Committee monitors management’s compliance, and reports to the Board of Directors.
Cybersecurity Risk Role of Management [Text Block]	Management’s Role Our cybersecurity governance framework incorporates policies, procedures, regular meetings, and controls to manage and mitigate cybersecurity risks. Aligned with industry standards and regulatory requirements, the framework is overseen and regularly evaluated by our leadership team responsible for implementation. Regular risk assessments are conducted to identify and assess potential cybersecurity risks, informing the development of proactive risk mitigation strategies within the governance framework. The governance framework is closely integrated via a structured compliance reporting framework operating across various governance levels. This framework also operates across geographic locations, with location specific compliance meetings conducted at a local management level and led by the CISO with assistance from the ISO team. This structured compliance reporting is intended to ensure that the highest levels of management are kept abreast of potential cybersecurity risks facing the Company, with the escalation of significant cybersecurity matters to the Audit Committee and ultimately to the Board of Directors, as appropriate.
Cybersecurity Risk Management Positions or Committees Responsible [Flag]	true
Cybersecurity Risk Management Positions or Committees Responsible [Text Block]	Chief Information Security Officer (CISO)
Cybersecurity Risk Management Expertise of Management Responsible [Text Block]	Our CISO has more than 28 years of experience in Information Security and holds a master’s degree in Information Technology. His in-depth knowledge and experience are instrumental in developing and executing our cybersecurity strategies.
Cybersecurity Risk Process for Informing Management or Committees Responsible [Text Block]	We have a designated Chief Information Security Officer (CISO) who has primary responsibility for managing our cybersecurity risks. Our CISO has more than 28 years of experience in Information Security and holds a master’s degree in Information Technology. His in-depth knowledge and experience are instrumental in developing and executing our cybersecurity strategies. Our CISO is assisted by a team of Information Security Officers (ISOs) and a third-party consultant who has expertise in cybersecurity, information security risk management, and information systems audit and holds various certifications including, CISA, CISM, HITRUST Certified Common Security Framework Practitioner, QSA, and CSP.The CISO, who is responsible for developing our cybersecurity strategy and managing our cybersecurity risks, reports directly to the Audit Committee on these matters.
Cybersecurity Risk Management Positions or Committees Responsible Report to Board [Flag]	true

Description of Business and S_2

Description of Business and Summary of Significant Accounting Estimates and Policies (Policies)	12 Months Ended
	Dec. 31, 2024
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 35+ 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 35+ years creating high-quality data for many of the world’s most demanding information companies. Approximately nine 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, 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 35-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 The non-controlling interests in the docGenix limited liability company at December 31, 2023 had call and put options that can be settled in cash or stock. Accordingly, this is presented in temporary equity in accordance with Financial Accounting Standards Board (FASB) non-controlling interest guidance. All intercompany transactions and balances have been eliminated in 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 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 $1.1 million and $0.8 million for the years ended December 31, 2024 and 2023 , respectively. These acquisition costs relate to our Agility segment and are amortized using the straight-line method over the term of the subscription agreement.
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 U.K. 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 income 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 income.
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, 2024 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 deferred tax assets of entities in the U.S., Canada, Germany and the U.K. will be realizable or not. The Company’s assessment for the U.S. and the U.K. entities during the year ended December 31, 2024 yielded positive evidence enabling the release of the valuation allowance for the U.S. and the U.K. deferred tax assets under “ASC Topic 740-10-30-22 – Accounting for Income Taxes”. As the expectation of future taxable income of the Canadian and German entities cannot be predicted with reasonable accuracy, the Company maintains a valuation allowance against the deferred tax assets of these entities. 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 income.
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, 2024, 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, ​ 2024 2023 Direct operating costs ​ $ 281 ​ $ 294 Selling and administrative expenses ​ 3,717 ​ 3,733 Total stock-based compensation ​ $ 3,998 ​ $ 4,027 ​
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, 2024 and 2023, respectively (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ ​ 2024 ​ 2023 Balance at the beginning of year ​ $ 3,523 ​ $ 4,366 Net deferred revenue in the period ​ ​ 27,577 ​ ​ 21,619 Revenue recognized ​ ​ (22,896) ​ ​ (22,586) Currency translations and other adjustments ​ ​ (194) ​ ​ 124 Balance at the end of year $ 8,010 $ 3,523 ​
Recently Adopted Accounting Pronouncements	Recently Adopted Accounting Pronouncements - Recently Issued Accounting Pronouncements Not Yet Adopted - In November 2024, the FASB issued ASU 2024-03, “Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses”. ASU No. 2024-03 does not change or remove existing expense disclosure requirements but requires disaggregated disclosures about certain expense categories and captions, including but not limited to, purchases of inventory, employee compensation, depreciation, amortization and selling expenses. ASU No. 2024-03 will become effective for us in fiscal 2027 and in the first quarter of fiscal 2028 for interim reporting. Early adoption is permitted. We are currently evaluating the impact of the ASU on our disclosures within the consolidated financial statements.

Description of Business and S_3

Description of Business and Summary of Significant Accounting Estimates and Policies (Tables)	12 Months Ended
	Dec. 31, 2024
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, ​ 2024 2023 Direct operating costs ​ $ 281 ​ $ 294 Selling and administrative expenses ​ 3,717 ​ 3,733 Total stock-based compensation ​ $ 3,998 ​ $ 4,027
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, 2024 and 2023, respectively (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ ​ 2024 ​ 2023 Balance at the beginning of year ​ $ 3,523 ​ $ 4,366 Net deferred revenue in the period ​ ​ 27,577 ​ ​ 21,619 Revenue recognized ​ ​ (22,896) ​ ​ (22,586) Currency translations and other adjustments ​ ​ (194) ​ ​ 124 Balance at the end of year $ 8,010 $ 3,523

Accounts Receivable (Tables)

Accounts Receivable (Tables)	12 Months Ended
	Dec. 31, 2024
Accounts Receivable
Schedule of accounts receivable	Accounts receivable consists of the following (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ ​ 2024 2023 Gross Accounts receivable ​ $ 29,772 ​ $ 15,505 Allowance for credit losses ​ ​ (1,759) ​ ​ (1,217) Accounts receivable, net $ 28,013 $ 14,288
Schedule of activity in allowance for credit losses	Activity in the allowance for the credit losses for the years ended December 31, 2024 and 2023 were as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ For the Year Ended For the Year Ended ​ December 31, 2024 December 31, 2023 Balance at beginning of year $ 1,217 $ 1,213 Additions charged to expense ​ ​ 804 ​ ​ 426 Write-offs against allowance ​ ​ (256) ​ ​ (426) Foreign currency translation adjustment ​ (6) ​ 4 Balance at end of year ​ $ 1,759 ​ $ 1,217 ​

Property and equipment (Tables)

Property and equipment (Tables)	12 Months Ended
	Dec. 31, 2024
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, ​ 2024 2023 Equipment ​ $ 12,135 ​ $ 11,315 Computer software ​ 4,480 ​ 4,465 Furniture and equipment ​ 951 ​ 1,128 Leasehold improvements ​ 2,554 ​ 2,547 Capital work-in-progress ​ ​ 547 ​ ​ 434 Total ​ 20,667 ​ 19,889 Less: accumulated depreciation and amortization ​ (16,566) ​ (17,608) ​ ​ $ 4,101 ​ $ 2,281

Goodwill and Intangible Assets

Goodwill and Intangible Assets (Tables)	12 Months Ended
	Dec. 31, 2024
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, 2024 were as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ Amount Balance - January 1, 2024 $ 2,075 Foreign currency translation adjustment ​ (77) Balance - December 31, 2024 ​ $ 1,998
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, 2024 ​ ​ ​ ​ Foreign Currency ​ ​ ​ Gross ​ Accumulated ​ Translation ​ Net ​ ​ Carrying Value ​ Amortization ​ Adjustment ​ Carrying Value Acquired Intangible Assets ​ ​ ​ ​ Developed technology ​ $ 3,060 ​ $ (2,911) ​ $ (3) ​ $ 146 Customer relationships ​ 2,144 ​ (1,856) ​ (29) ​ 259 Trademarks and tradenames ​ 862 ​ (826) ​ - ​ 36 Patents ​ 44 ​ (44) ​ - ​ - Media Contact Database ​ 3,546 ​ (3,016) ​ (1) ​ 529 Total Acquired Intangible Assets ​ $ 9,656 ​ $ (8,653) ​ $ (33) ​ $ 970 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Capitalized Developed Software ​ ​ ​ ​ Capitalized Developed Software ​ $ 19,811 ​ $ (10,507) ​ $ (463) ​ $ 8,841 Capitalized Developed Software - in Progress ​ 3,552 ​ - ​ (10) ​ 3,542 Total Capitalized Developed Software ​ $ 23,363 ​ $ (10,507) ​ $ (473) ​ $ 12,383 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Total ​ $ 33,019 ​ $ (19,160) ​ $ (506) ​ $ 13,353 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 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
Schedule of estimated amortization expense for intangible assets	Estimated annual amortization expense for intangible assets subsequent to December 31, 2024 is as follows (in thousands): ​ ​ ​ ​ ​ Year Amortization 2025 ​ $ 5,636 2026 ​ 4,158 2027 ​ ​ 2,675 2028 ​ 742 2029 ​ 110 Thereafter ​ 32 ​ ​ $ 13,353 ​

Income Taxes (Tables)

Income Taxes (Tables)	12 Months Ended
	Dec. 31, 2024
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, 2024 and 2023 were as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ 2024 2023 Current income tax provision: ​ ​ Foreign ​ $ 525 ​ $ 1,181 Federal ​ 126 ​ 120 State and local ​ 768 ​ 3 ​ ​ 1,419 ​ 1,304 Deferred income tax provision: ​ ​ Foreign ​ (294) ​ (286) Federal ​ (4,059) ​ 10 State and local ​ (1,256) ​ - ​ ​ (5,609) ​ (276) ​ ​ ​ ​ ​ ​ ​ Provision for income taxes ​ $ (4,190) ​ $ 1,028
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, 2024 and 2023 is summarized as follows: ​ ​ ​ ​ ​ ​ ​ ​ 2024 2023 Federal income tax expense at statutory rate 21.0 % 21.0 % Effect of: ​ ​ ​ Section 162 (m) 57.6 452.0 ​ Global Intangible Low-Taxed Income (GILTI) ​ 3.1 ​ 0.0 ​ Tax effects of foreign operations 1.5 562.6 ​ Return to provision true up 0.8 264.4 ​ Foreign operations permanent differences - foreign exchange gains and losses 0.6 76.9 ​ Withholding tax ​ 0.5 ​ 106.6 ​ Research and development credit ​ - ​ (67.3) ​ Tax effect of intercompany settlement ​ - ​ (234.0) ​ Deemed interest (0.6) (149.2) ​ Foreign rate differential (0.9) (102.5) ​ State income tax net of federal benefit (1.8) 0.1 ​ Increase (decrease) in unrecognized tax benefits (ASC 740) ​ (3.8) ​ 199.6 ​ Change in valuation allowance (30.7) 578.6 ​ Effect of stock-based compensation ​ (64.8) ​ (961.6) ​ Other ​ 0.4 ​ (7.6) ​ Effective tax rate (17.1) % 739.6 %
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, 2024 and 2023 were as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ 2024 2023 Deferred income tax assets: ​ ​ Allowances not currently deductible ​ $ 459 ​ $ 283 Depreciation and amortization ​ - ​ 58 Equity compensation not currently deductible ​ 886 ​ 2,098 Net operating loss carryforwards ​ 7,755 ​ 10,514 Expenses not deductible until paid ​ 3,274 ​ 1,972 Other ​ 87 ​ 585 Total gross deferred income tax assets before valuation allowance ​ 12,461 ​ 15,510 Valuation allowance ​ (4,969) ​ (13,769) Total Deferred income tax assets, net ​ ​ 7,492 ​ ​ 1,741 ​ ​ ​ ​ ​ ​ ​ Deferred income tax liabilities: ​ ​ Amortization of Intangibles ​ ​ (32) ​ ​ - Other ​ - ​ (22) Total Deferred income tax liabilities ​ (32) ​ (22) ​ ​ ​ ​ ​ ​ ​ Net deferred income tax assets ​ $ 7,460 ​ $ 1,719 ​ ​ ​ ​ ​ ​ ​ Total deferred income tax assets, net ​ $ 7,492 ​ $ 1,741 Total deferred income tax liabilities ​ ​ (32) ​ ​ (22) ​ ​ ​ ​ ​ ​ ​ Net deferred income tax assets, net ​ $ 7,460 ​ $ 1,719
Schedule of United States and foreign components of loss before provision for income taxes	United States and foreign components of income (loss) before provision for income taxes for each of the years ended December 31, were as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2024 ​ 2023 United States ​ $ 21,692 ​ $ 2,025 Foreign ​ 2,793 ​ (1,886) Totals ​ $ 24,485 ​ $ 139
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, ​ 2024 2023 Balance at beginning of the year ​ $ 1,942 ​ $ 1,680 Decrease for prior year tax positions ​ (1,309) ​ (68) Increase for current year tax positions ​ 341 ​ 247 Interest accrual ​ 80 ​ 97 Foreign currency remeasurement ​ (55) ​ (14) Balance at end of the year ​ $ 999 ​ $ 1,942

Long-term obligations (Tables)

Long-term obligations (Tables)	12 Months Ended
	Dec. 31, 2024
Long-term obligations
Schedule of total long-term obligations	Total long-term obligations as of December 31, 2024 and 2023 consisted of the following (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ 2024 2023 ​ ​ ​ ​ ​ ​ ​ Pension obligations - accrued pension liability ​ $ 7,945 ​ $ 7,128 Microsoft licenses (1) ​ ​ 442 ​ 911 ​ ​ ​ 8,387 ​ 8,039 Less: Current portion of long-term obligations ​ 1,643 ​ 1,261 Totals ​ $ 6,744 ​ $ 6,778 ​ (1)

Operating Leases (Tables)

Operating Leases (Tables)	12 Months Ended
	Dec. 31, 2024
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, 2024 December 31, 2023 ​ ​ ​ ​ ​ ​ ​ Rent expense for long-term operating leases ​ $ 1,257 ​ $ 1,252 Rent expense for short-term leases ​ 178 ​ 305 Total rent expense ​ $ 1,435 ​ $ 1,557
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, 2024 (in thousands): ​ ​ ​ ​ ​ Year ​ Amount ​ ​ ​ ​ 2025 ​ $ 1,300 2026 ​ 1,332 2027 ​ 1,328 2028 ​ ​ 957 2029 ​ ​ 695 2030 and thereafter ​ 175 Total lease payments ​ 5,787 Less: Interest ​ (1,132) Net present value of lease liabilities ​ $ 4,655 ​ ​ ​ ​ Current portion ​ $ 877 Long-term portion ​ 3,778 Total ​ $ 4,655
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, 2024 were as follows: ​ ​ ​ ​ ​ Weighted-average lease term remaining 51 months ​ Weighted-average discount rate 9.39% ​ ​

Pension Benefits (Tables)

Pension Benefits (Tables)	12 Months Ended
	Dec. 31, 2024
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, 2024 and 2023 were as follows (in thousands): Benefit Obligations: ​ ​ ​ ​ ​ ​ ​ ​ ​ 2024 2023 ​ ​ ​ ​ ​ ​ ​ Projected benefit obligation at beginning of the year ​ $ 7,128 ​ $ 5,906 Service cost ​ 717 ​ 568 Interest cost ​ 522 ​ 478 Actuarial loss (gain) ​ (105) ​ 324 Foreign currency exchange rates changes ​ (166) ​ 54 Benefits paid ​ (151) ​ (202) Projected benefit obligation at end of the year ​ $ 7,945 ​ $ 7,128
Schedule of status of the non-U.S. pension benefits pertaining to components of net periodic pension cost	​ ​ ​ ​ ​ ​ ​ ​ ​ 2024 2023 ​ ​ ​ ​ ​ ​ ​ Service cost ​ $ 717 ​ $ 568 Interest cost ​ 522 ​ 478 Actuarial loss recognized ​ (2) ​ 147 Net periodic pension cost ​ $ 1,237 ​ $ 1,193
Schedule of accumulated benefit obligation	Amounts recognized in the consolidated balance sheets for the years ended December 31, 2024 and 2023 consisted of the following (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ 2024 2023 ​ ​ ​ ​ ​ ​ ​ Current accrued benefit cost ​ $ 1,229 $ 880 Non-current accrued benefit cost ​ 6,716 6,248 Total amount recognized ​ $ 7,945 $ 7,128
Schedule of actuarial assumptions for all non-U.S. plans	​ ​ ​ ​ ​ ​ ​ 2024 2023 ​ ​ ​ ​ ​ Discount rate 6.09%-12% ​ 6.73%-12.8% Rate of increase in compensation level 7%-10% ​ 7.5%-14.5%
Schedule of estimated future benefit payments	As of December 31, 2024, the following benefit payments, which reflect expected future service, as appropriate, were expected to be paid (in thousands): ​ ​ ​ ​ ​ Year ​ Amount ​ ​ ​ ​ 2025 ​ $ 1,246 2026 ​ 320 2027 ​ 658 2028 ​ ​ 188 2029 ​ ​ 606 2030 to 2034 ​ 5,142 ​ ​ $ 8,160 ​

Stock Options (Tables)

Stock Options (Tables)	12 Months Ended
	Dec. 31, 2024
Stock Options and Restricted Stock Units
Schedule of weighted-average fair value of the options granted, and weighted-average assumptions	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ For the Year Ended December 31, ​ ​ 2024 ​ 2023 ​ ​ ​ ​ ​ ​ ​ ​ Weighted average fair value of options granted $ 32.07 $ 2.56 ​ Risk-free interest rate ​ 4.40 % 4.34 % Expected term (years) ​ 6.0 ​ 6.0 ​ Expected volatility factor ​ 87.69 % 75.35 % 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, 2024 5,339,162 ​ $ 3.22 6.38 ​ $ 28,640,009 Granted - ​ - ​ ​ ​ ​ Exercised (2,169,968) ​ 2.54 ​ ​ ​ ​ Forfeited/Expired (4,001) ​ 6.96 ​ ​ ​ ​ Outstanding at December 31, 2024 3,165,193 ​ $ 3.67 6.32 ​ $ 113,458,326 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Exercisable at December 31, 2024 1,673,966 ​ $ 2.54 5.51 ​ $ 61,901,891 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Vested and Expected to vest at December 31, 2024 3,165,193 ​ $ 3.67 6.32 ​ $ 113,458,326 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted-Average ​ ​ ​ ​ ​ ​ Weighted – Average ​ Remaining ​ ​ ​ ​ ​ Number of ​ Exercise ​ Contractual Term ​ Aggregate ​ ​ Options ​ Price ​ (years) ​ Intrinsic Value ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Outstanding at January 1, 2023 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-Average ​ ​ ​ ​ ​ Weighted - Average ​ Remaining ​ ​ ​ ​ ​ Number of ​ Exercise ​ Contractual Term ​ Aggregate ​ ​ Options ​ Price ​ (years) ​ Intrinsic Value ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Outstanding at January 1, 2024 923,571 ​ $ 3.41 8.76 ​ $ 4,786,252 Granted 268,500 ​ 42.57 ​ ​ ​ ​ Exercised (336,264) ​ 3.44 ​ ​ ​ ​ Forfeited/Expired (13,536) ​ 4.84 ​ ​ ​ ​ Outstanding at December 31, 2024 842,271 ​ $ 15.86 8.46 ​ $ 20,847,471 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Exercisable at December 31, 2024 314,244 ​ $ 3.32 7.73 ​ $ 11,374,251 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Vested and Expected to vest at December 31, 2024 842,271 ​ $ 15.86 8.46 ​ $ 20,847,471 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted-Average ​ ​ ​ ​ ​ ​ Weighted - Average ​ Remaining ​ ​ ​ ​ ​ Number of ​ Exercise ​ Contractual Term ​ Aggregate ​ ​ Options ​ Price ​ (years) ​ Intrinsic Value ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Outstanding at January 1, 2023 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, 2024 ​ 749,756 ​ $ 5.77 Granted 549,079 ​ ​ 40.61 Vested (48,761) ​ 8.42 Forfeited/Expired (995) ​ 8.29 Unvested at December 31, 2024 1,249,079 ​ $ 20.98 ​ ​ ​ ​ ​ ​ ​ ​ ​ 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

Comprehensive loss (Tables)

Comprehensive loss (Tables)	12 Months Ended
	Dec. 31, 2024
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, 2024 and 2023, 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, 2024 ​ $ (412) ​ $ 41 ​ $ (1,250) ​ $ (1,621) Other comprehensive income (loss) before reclassifications, net of taxes ​ 172 ​ (494) ​ (592) ​ (914) Total other comprehensive loss before reclassifications, net of taxes ​ (240) ​ (453) ​ (1,842) ​ (2,535) Net amount reclassified to earnings ​ 7 ​ 58 ​ - ​ 65 Balance at December 31, 2024 ​ $ (233) ​ $ (395) ​ $ (1,842) ​ $ (2,470) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 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)

Segment reporting and concent_2

Segment reporting and concentrations (Tables)	12 Months Ended
	Dec. 31, 2024
Segment reporting and concentrations
Reconciliation of Assets from Segment to Consolidated	The measure of segment assets is reported on the balance sheet as total consolidated assets shown in the table below (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ Year Ended December 31, ​ 2024 2023 Total assets: ​ ​ DDS ​ $ 87,165 ​ $ 37,232 Synodex ​ 4,983 ​ 3,379 Agility (1) ​ 21,301 ​ 18,820 Total Consolidated ​ $ 113,449 ​ $ 59,431 ​ (1) (2)
Segment information for other significant income statement	The table below shows segment information for other significant income statement items (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year Ended December 31, 2024 ​ DDS Synodex Agility Total Revenues ​ $ 141,098 ​ $ 7,864 ​ $ 21,499 ​ $ 170,461 Direct operating costs (1) (3) ​ 88,186 ​ 5,763 ​ 9,438 ​ 103,387 Gross profit ​ ​ 52,912 ​ ​ 2,101 ​ ​ 12,061 ​ ​ 67,074 Selling and administrative expenses (2) (4) ​ 31,685 ​ 194 ​ 10,859 ​ 42,738 Segment operating income ​ ​ 21,227 ​ ​ 1,907 ​ ​ 1,202 ​ ​ 24,336 Interest expense (income), net ​ ​ (153) ​ ​ - ​ ​ 4 ​ (149) Income before provision for income taxes ​ $ 21,380 ​ $ 1,907 ​ $ 1,198 ​ $ 24,485 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year Ended December 31, 2023 ​ DDS Synodex Agility Total Revenues $ 61,576 $ 7,511 $ 17,688 $ 86,775 Direct operating costs (1) (3) ​ 40,057 ​ 6,712 ​ 8,713 ​ 55,482 Gross profit ​ ​ 21,519 ​ ​ 799 ​ ​ 8,975 ​ ​ 31,293 Selling and administrative expenses (2) (4) ​ 20,085 ​ 580 ​ 10,310 ​ 30,975 Segment operating income ​ ​ 1,434 ​ ​ 219 ​ ​ (1,335) ​ ​ 318 Interest expense, net ​ 174 ​ - ​ 5 ​ 179 Income before provision for income taxes ​ $ 1,260 ​ $ 219 ​ $ (1,340) ​ $ 139 ​ (1) Direct operating costs consist of direct and indirect labor costs, occupancy costs, data center hosting fees, cloud services, content acquisition costs, depreciation and amortization, travel, telecommunications, computer services and supplies, realized (gain) loss on forward contracts, foreign currency revaluation (gain) loss, and other direct expenses that are incurred in providing services to our customers. (2) Selling and administrative expenses consist of payroll and related costs including commissions, bonuses, and stock-based compensation; marketing, advertising, trade conferences and related expenses; new services research and related software development expenses, software subscriptions, professional and consultant fees, provision for credit losses and other administrative overhead expenses. (3) Includes non-cash expenses which consist mainly of depreciation, amortization of capitalized software development costs and stock-based compensation expense. (4)
Schedule of revenue from external customers and long-lived assets	Long-lived assets as of December 31, 2024 and 2023 by geographic region were comprised of (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ Year Ended December 31, ​ ​ 2024 ​ 2023 United States ​ $ 10,182 ​ $ 9,101 Foreign countries: ​ ​ ​ ​ Canada ​ 6,265 ​ 7,328 United Kingdom ​ 806 ​ 1,028 Philippines ​ 3,532 ​ 3,484 India ​ 2,251 ​ 1,791 Sri Lanka ​ 587 ​ 423 Israel ​ 63 ​ 13 Germany ​ 4 ​ - Total foreign ​ 13,508 ​ 14,067 Totals ​ $ 23,690 ​ $ 23,168
Schedule of revenue from external customers based on client domicile	Revenues for each of the two years in the period ended December 31, 2024 and 2023 by geographic region (determined based upon customer domicile), were as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ Year Ended December 31, ​ ​ 2024 ​ 2023 United States ​ $ 133,876 ​ $ 54,430 United Kingdom ​ 10,006 ​ 10,766 The Netherlands ​ 8,059 ​ 7,291 Canada ​ 8,696 ​ 7,156 Others - principally other European countries ​ 9,824 ​ 7,132 Totals ​ $ 170,461 ​ $ 86,775 ​

Income (loss) per Share (Tables

Income (loss) per Share (Tables)	12 Months Ended
	Dec. 31, 2024
Income (loss) per Share
Schedule of loss per share, basic and diluted	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ For the Years Ended ​ ​ December 31, ​ 2024 2023 Net income (loss) attributable to Innodata Inc. and Subsidiaries ​ $ 28,660 $ (908) Weighted average common shares outstanding ​ 29,163 ​ 28,131 Dilutive effect of outstanding options and restricted stock units ​ 3,014 ​ ​ - Adjusted for dilutive computation ​ 32,177 ​ 28,131

Derivatives (Tables)

Derivatives (Tables)	12 Months Ended
	Dec. 31, 2024
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, 2024 and 2023 (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Balance Sheet Location Fair Value ​ ​ ​ ​ 2024 ​ 2023 Derivatives designated as hedging instruments: ​ ​ Foreign currency forward contracts ​ Accrued expenses ​ $ 499 ​ $ - 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, 2024 and 2023 were as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ 2024 2023 Net gain (loss) recognized in OCI (1) ​ $ (494) ​ $ 185 Net loss reclassified from accumulated OCI into income (2) ​ $ (58) ​ $ (221) 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, 2024 USD ($) segment	Dec. 31, 2023 USD ($)
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	$ 1,100	$ 800
Foreign exchange (gains) losses	(200)	400
Outstanding foreign currency forward contracts	22,500	10,500
Cash and cash equivalents	46,883	13,806
Cost	20,667	19,889
Goodwill impairment	0
Deferred revenue	8,010	3,523
Capitalized software development
Description of Business and Summary of Significant Accounting Estimates and Policies
Cost	19,800	15,200
In process research and development
Description of Business and Summary of Significant Accounting Estimates and Policies
Cost	$ 3,600	$ 3,500
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	$ 17,900
United States
Description of Business and Summary of Significant Accounting Estimates and Policies
Cash and cash equivalents	$ 29,000

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, 2024	Dec. 31, 2023
Description of Business and Summary of Significant Accounting Estimates and Policies
Direct operating costs	$ 281	$ 294
Selling and administrative expenses	3,717	3,733
Total stock-based compensation	$ 3,998	$ 4,027

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, 2024	Dec. 31, 2023
Description of Business and Summary of Significant Accounting Estimates and Policies
Balance at the beginning of period	$ 3,523	$ 4,366
Net deferred revenue in the period	27,577	21,619
Revenue recognized	(22,896)	(22,586)
Currency translations and other adjustments	(194)	124
Balance at the end of period	$ 8,010	$ 3,523

Accounts Receivable (Details)

Accounts Receivable (Details) - USD ($) $ in Thousands	Dec. 31, 2024	Dec. 31, 2023	Dec. 31, 2022
Accounts Receivable
Gross Accounts receivable	$ 29,772	$ 15,505
Allowance for credit losses	(1,759)	(1,217)	$ (1,213)
Accounts receivable, net	$ 28,013	$ 14,288

Accounts Receivable - Activity

Accounts Receivable - Activity in allowance for credit losses (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2024	Dec. 31, 2023
Accounts Receivable
Balance at beginning of year	$ 1,217	$ 1,213
Additions charged to expense	804	426
Write-offs against allowance	(256)	(426)
Foreign currency translation adjustment	(6)	4
Balance at end of year	$ 1,759	$ 1,217

Property and equipment - Proper

Property and equipment - Property and equipment (Details) - USD ($) $ in Thousands	Dec. 31, 2024	Dec. 31, 2023
Property and equipment
Property and equipment, stated at cost	$ 20,667	$ 19,889
Less: accumulated depreciation and amortization	(16,566)	(17,608)
Net	4,101	2,281
Equipment
Property and equipment
Property and equipment, stated at cost	12,135	11,315
Computer software
Property and equipment
Property and equipment, stated at cost	4,480	4,465
Furniture and equipment
Property and equipment
Property and equipment, stated at cost	951	1,128
Leasehold improvements
Property and equipment
Property and equipment, stated at cost	2,554	2,547
Capital work-in-progress
Property and equipment
Property and equipment, stated at cost	$ 547	$ 434

Property and equipment - Additi

Property and equipment - Additional Information (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2024	Dec. 31, 2023
Property and equipment
Depreciation expense	$ 5,796	$ 4,716
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	$ 1,500	$ 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, 2024 USD ($)
Goodwill and Intangible Assets
Balance - January 1, 2024	$ 2,075
Foreign currency translation adjustment	(77)
Balance - December 31, 2024	$ 1,998

Goodwill and Intangible Asset_3

Goodwill and Intangible Assets - Acquisition-related intangible assets (Details) - USD ($) $ in Thousands	Dec. 31, 2024	Dec. 31, 2023
Goodwill and Intangible Assets
Gross Carrying Value	$ 33,019	$ 28,178
Accumulated Amortization	(19,160)	(14,582)
Foreign Currency Translation Adjustment	506	162
Net Carrying Value	13,353	13,758
Acquired Intangible Assets
Goodwill and Intangible Assets
Gross Carrying Value	9,656	9,482
Accumulated Amortization	(8,653)	(7,720)
Foreign Currency Translation Adjustment	33	35
Net Carrying Value	970	1,797
Developed technology
Goodwill and Intangible Assets
Gross Carrying Value	3,060	2,999
Accumulated Amortization	(2,911)	(2,640)
Foreign Currency Translation Adjustment	(3)	7
Net Carrying Value	146	366
Customer relationships
Goodwill and Intangible Assets
Gross Carrying Value	2,144	2,096
Accumulated Amortization	(1,856)	(1,645)
Foreign Currency Translation Adjustment	(29)	10
Net Carrying Value	259	461
Trademarks and tradenames
Goodwill and Intangible Assets
Gross Carrying Value	862	852
Accumulated Amortization	(826)	(774)
Foreign Currency Translation Adjustment		2
Net Carrying Value	36	80
Patents
Goodwill and Intangible Assets
Gross Carrying Value	44	43
Accumulated Amortization	(44)	(40)
Net Carrying Value		3
Media Contact Database
Goodwill and Intangible Assets
Gross Carrying Value	3,546	3,492
Accumulated Amortization	(3,016)	(2,621)
Foreign Currency Translation Adjustment	(1)	16
Net Carrying Value	529	887
Capitalized Developed Software
Goodwill and Intangible Assets
Gross Carrying Value	23,363	18,696
Accumulated Amortization	(10,507)	(6,862)
Foreign Currency Translation Adjustment	473	127
Net Carrying Value	12,383	11,961
Capitalized Developed Software
Goodwill and Intangible Assets
Gross Carrying Value	19,811	15,216
Accumulated Amortization	(10,507)	(6,862)
Foreign Currency Translation Adjustment	(463)	138
Net Carrying Value	8,841	8,492
Capitalized Developed Software - in Progress
Goodwill and Intangible Assets
Gross Carrying Value	3,552	3,480
Foreign Currency Translation Adjustment	(10)	11
Net Carrying Value	$ 3,542	$ 3,469

Goodwill and Intangible Asset_4

Goodwill and Intangible Assets - Estimated amortization expense (Details) - USD ($) $ in Thousands	Dec. 31, 2024	Dec. 31, 2023
Goodwill and Intangible Assets
2025	$ 5,636
2026	4,158
2027	2,675
2028	742
2029	110
Thereafter	32
Net Carrying Value	$ 13,353	$ 13,758

Goodwill and Intangible Asset_5

Goodwill and Intangible Assets (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2024	Dec. 31, 2023
Goodwill and Intangible Assets
Goodwill impairment	$ 0
Goodwill	1,998	$ 2,075
Acquired Intangible Assets
Goodwill and Intangible Assets
Amortization expense	800	900
Capitalized Developed Software
Goodwill and Intangible Assets
Amortization expense	$ 3,500	$ 2,700

Income Taxes - Components of pr

Income Taxes - Components of provision for income taxes (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2024	Dec. 31, 2023
Current income tax provision:
Foreign	$ 525	$ 1,181
Federal	126	120
State and local	768	3
Current income tax expense (benefit)	1,419	1,304
Deferred income tax provision:
Foreign	(294)	(286)
Federal	(4,059)	10
State and local	(1,256)
Deferred income tax expense (benefit)	(5,609)	(276)
Provision for income taxes	$ (4,190)	$ 1,028

Income Taxes - Tax rate reconci

Income Taxes - Tax rate reconciliation (Details)	12 Months Ended
	Dec. 31, 2024	Dec. 31, 2023
Income Taxes
Federal income tax expense at statutory rate	21%	21%
Effect of:
Section 162 (m)	57.60%	452%
Global Intangible Low-Taxed Income (GILTI)	3.10%	0%
Tax effects of foreign operations	1.50%	562.60%
Return to provision true up	0.80%	264.40%
Foreign operations permanent differences - foreign exchange gains and losses	0.60%	76.90%
Withholding tax	0.50%	106.60%
Research and development credit		(67.30%)
Tax effect of intercompany settlement		(234.00%)
Deemed interest	(0.60%)	(149.20%)
Foreign rate differential	(0.90%)	(102.50%)
State income tax net of federal benefit	(1.80%)	0.10%
Increase (decrease) in unrecognized tax benefits (ASC 740)	(3.80%)	199.60%
Change in valuation allowance	(30.70%)	578.60%
Effect of stock-based compensation	(64.80%)	(961.60%)
Other	0.40%	(7.60%)
Effective tax rate	(17.10%)	739.60%

Income Taxes - Deferred tax ass

Income Taxes - Deferred tax assets and liabilities (Details) - USD ($) $ in Thousands	Dec. 31, 2024	Dec. 31, 2023
Deferred income tax assets:
Allowances not currently deductible	$ 459	$ 283
Depreciation and amortization		58
Equity compensation not currently deductible	886	2,098
Net operating loss carryforwards	7,755	10,514
Expenses not deductible until paid	3,274	1,972
Other	87	585
Total gross deferred income tax assets before valuation allowance	12,461	15,510
Valuation allowance	(4,969)	(13,769)
Total Deferred income tax assets, net	7,492	1,741
Deferred income tax liabilities:
Amortization of Intangibles	(32)
Other		(22)
Total deferred income tax liabilities	(32)	(22)
Net deferred income tax assets	7,460	1,719
Total deferred income tax assets	7,492	1,741
Total deferred income tax liability	(32)	(22)
Net deferred income tax assets	$ 7,460	$ 1,719

Income Taxes - United States an

Income Taxes - United States and foreign components of income (loss) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2024	Dec. 31, 2023
Income Taxes
United States	$ 21,692	$ 2,025
Foreign	2,793	(1,886)
Income before provision for income taxes	$ 24,485	$ 139

Income Taxes - Unrecognized tax

Income Taxes - Unrecognized tax benefits (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2024	Dec. 31, 2023
Income Taxes
Balance at beginning of the year	$ 1,942	$ 1,680
Decrease for prior year tax positions	(1,309)	(68)
Increase for current year tax positions	341	247
Interest accrual	80	97
Foreign currency remeasurement	(55)	(14)
Balance at end of the year	$ 999	$ 1,942

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2024	Dec. 31, 2023	Dec. 31, 2022
Income Taxes
Valuation allowance	$ 4,969	$ 13,769
Increase in total valuation allowance	(8,800)	800
Foreign subsidiaries amount	53,900
Reserves for uncertain tax positions	999	1,942	$ 1,680
Unrecognized tax benefits	1,309	$ 68
Canadian subsidiaries
Income Taxes
NOL carryforwards subject to expiration	23,200
Research and development credits not subject to expiration	1,300
German and United Kingdom subsidiaries
Income Taxes
Operating loss carryforwards	700
U.S. federal
Income Taxes
Operating loss carryforwards	10,600
Research and development credits	100
State
Income Taxes
Operating loss carryforwards	6,500
Foreign tax jurisdiction | Agility
Income Taxes
Operating loss carryforwards	$ 400

Long-term obligations (Details)

Long-term obligations (Details) - USD ($) $ in Thousands	Dec. 31, 2024	Dec. 31, 2023
Long-term obligations
Pension obligations - accrued pension liability	$ 7,945	$ 7,128
Microsoft licenses	442	911
Total long-term obligations	8,387	8,039
Less: Current portion of long-term obligations	1,643	1,261
Totals	6,744	$ 6,778
Microsoft licenses, Amount payable annually over the term of the agreement	$ 400

Commitments and Contingencies (

Commitments and Contingencies (Details)	12 Months Ended
	Dec. 31, 2024 USD ($)
Commitments and Contingencies
Estimated litigation liability	$ 5,600,000
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, 2024
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, 2024	Dec. 31, 2023
Operating Leases
Total rent expense	$ 1,435	$ 1,557
Long-term operating leases
Operating Leases
Total rent expense	1,257	1,252
Short-term operating leases
Operating Leases
Total rent expense	$ 178	$ 305

Operating Leases - Net present

Operating Leases - Net present value of the operating lease liability (Details) - USD ($) $ in Thousands	Dec. 31, 2024	Dec. 31, 2023
Operating Leases
2025	$ 1,300
2026	1,332
2027	1,328
2028	957
2029	695
2030 and thereafter	175
Total lease payments	5,787
Less: Interest	(1,132)
Net present value of lease liabilities	4,655
Current portion	877	$ 782
Long-term portion	3,778	$ 4,701
Total	$ 4,655

Operating Leases - Weighted ave

Operating Leases - Weighted average remaining lease terms (Details)	Dec. 31, 2024
Operating Leases
Weighted-average lease term remaining (in months)	51 months
Weighted-average discount rate	9.39%

Pension Benefits - Benefit Obli

Pension Benefits - Benefit Obligations (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2024	Dec. 31, 2023
Pension Benefits
Projected benefit obligation at beginning of the year	$ 7,128	$ 5,906
Service cost	717	568
Interest cost	$ 522	$ 478
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)	$ (105)	$ 324
Foreign currency exchange rates changes	(166)	54
Benefits paid	(151)	(202)
Projected benefit obligation at end of the year	$ 7,945	$ 7,128

Pension Benefits - Components o

Pension Benefits - Components of Net Periodic Pension Cost (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2024	Dec. 31, 2023
Pension Benefits
Service cost	$ 717	$ 568
Interest cost	522	478
Actuarial loss recognized	$ (2)	$ 147
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	$ 1,237	$ 1,193

Pension Benefits - Recognized i

Pension Benefits - Recognized in balance sheets (Details) - USD ($) $ in Thousands	Dec. 31, 2024	Dec. 31, 2023
Pension Benefits
Current accrued benefit cost	$ 1,229	$ 880
Non-current accrued benefit cost	6,716	6,248
Total amount recognized	$ 7,945	$ 7,128

Pension Benefits - Actuarial as

Pension Benefits - Actuarial assumptions (Details)	Dec. 31, 2024	Dec. 31, 2023
Minimum
Pension Benefits
Discount rate	6.09%	6.73%
Rate of increase in compensation level	7%	7.50%
Maximum
Pension Benefits
Discount rate	12%	12.80%
Rate of increase in compensation level	10%	14.50%

Pension Benefits - Estimated fu

Pension Benefits - Estimated future benefit payments (Details) $ in Thousands	Dec. 31, 2024 USD ($)
Pension Benefits
2025	$ 1,246
2026	320
2027	658
2028	188
2029	606
2030 to 2034	5,142
Total	$ 8,160

Pension Benefits - Additional I

Pension Benefits - Additional Information (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2024	Dec. 31, 2023
Pension Benefits
Period of service to become eligible	6 months
Accumulated benefit obligation	$ 4.7	$ 3.9
Subsidiaries
Pension Benefits
Pension expense	$ 1.2	$ 1.2

Capital Stock (Details)

Capital Stock (Details) $ / shares in Units, $ in Millions	12 Months Ended
	Dec. 31, 2024 USD ($) Vote / shares $ / shares shares	Dec. 31, 2023 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
Serial preferred stock, shares authorized	4,998,000	4,998,000
Common stock reserved available for future issuance	902,824
Shares authorized to repurchase | $			$ 2
Treasury Stock, common value | $	$ 1.8
July 2019
Capital Stock
Shares authorized to repurchase | $	$ 1.5
Treasury Stock
Capital Stock
Purchase of treasury stock (in shares)	0	0

Stock Options - Weighted Averag

Stock Options - Weighted Average Fair Values and Assumptions (Details) - Employee Stock Option - $ / shares	12 Months Ended
	Dec. 31, 2024	Dec. 31, 2023
Stock Options
Weighted average fair value of options granted (in dollars per share)	$ 32.07	$ 2.56
Risk-free interest rate	4.40%	4.34%
Expected term (years)	6 years	6 years
Expected volatility factor	87.69%	75.35%
Expected dividends	0%	0%

Stock Options - Summary of Stoc

Stock Options - Summary of Stock Option Activity (Details) - USD ($)	12 Months Ended
	Dec. 31, 2024	Dec. 31, 2023	Dec. 31, 2022
Stock Options
Number of Options, Granted (in shares)	268,500
Number of Options, Exercised (in shares)	(2,506,232)
Weighted Average Exercise Price Outstanding beginning balance (in dollars per shares)	$ 3.22	$ 3.09
Weighted Average Exercise Price Granted (in dollars per shares)		3.31
Weighted Average Exercise Price Exercised (in dollars per shares)	$ 2.66	2.37
Weighted Average Exercise Price Forfeited/Expired (in dollars per shares)		6.27
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
Restricted Stock Units | 2013 Stock Plan
Stock Options
Number of Options, Outstanding - Ending balance (in shares)	200,000
Restricted Stock Units | 2021 Stock Plan
Stock Options
Number of Options, Outstanding - Ending balance (in shares)	1,049,079
Restricted Stock Units | Equity Plans
Stock Options
Number of Options, Forfeited/Expired (in shares)	(995)
Employee Stock Option | 2013 Stock Plan
Stock Options
Number of Options, Outstanding - Beginning balance (in shares)	5,339,162	6,690,490
Number of Options, Granted (in shares)		25,000
Number of Options, Exercised (in shares)	(2,169,968)	(1,287,462)
Number of Options, Forfeited/Expired (in shares)	(4,001)	(88,866)
Number of Options, Outstanding - Ending balance (in shares)	3,165,193	5,339,162	6,690,490
Number of Options Exercisable (in shares)	1,673,966	3,475,780
Number of Options, Vested and Expected to Vest (in shares)	3,165,193	5,339,162
Weighted Average Exercise Price Outstanding beginning balance (in dollars per shares)	$ 3.22
Weighted Average Exercise Price Exercised (in dollars per shares)	2.54
Weighted Average Exercise Price Forfeited/Expired (in dollars per shares)	6.96
Weighted Average Exercise Price Outstanding Ending balance (in dollars per shares)	3.67	$ 3.22
Weighted Average Exercise Price Exercisable (in dollars per shares)	2.54
Weighted Average Exercise Price Vested and Expected to Vest (in dollars per shares)	$ 3.67
Weighted Average Remaining Contractual Term Outstanding (in years)	6 years 3 months 25 days	6 years 4 months 17 days	7 years 2 months 8 days
Weighted Average Remaining Contractual Term Exercisable (in years)	5 years 6 months 3 days	6 years 4 months 24 days
Weighted Average Remaining Contractual Term Vested and Expected to Vest (in years)	6 years 3 months 25 days	6 years 4 months 17 days
Aggregate Intrinsic Value, Outstanding	$ 113,458,326	$ 28,640,009	$ 5,989,709
Aggregate Intrinsic Value, Exercisable	61,901,891	22,237,334
Aggregate Intrinsic Value, Vested and Expected to Vest	$ 113,458,326	$ 28,640,009
Employee Stock Option | 2021 Stock Plan
Stock Options
Number of Options, Outstanding - Beginning balance (in shares)	923,571	1,027,500
Number of Options, Granted (in shares)	268,500	3,000
Number of Options, Exercised (in shares)	(336,264)	(63,595)
Number of Options, Forfeited/Expired (in shares)	(13,536)	(43,334)
Number of Options, Outstanding - Ending balance (in shares)	842,271	923,571	1,027,500
Number of Options Exercisable (in shares)	314,244	386,209
Number of Options, Vested and Expected to Vest (in shares)	842,271	923,571
Weighted Average Exercise Price Outstanding beginning balance (in dollars per shares)	$ 3.41	$ 3.46
Weighted Average Exercise Price Granted (in dollars per shares)	42.57	13.05
Weighted Average Exercise Price Exercised (in dollars per shares)	3.44	4.59
Weighted Average Exercise Price Forfeited/Expired (in dollars per shares)	4.84	3.41
Weighted Average Exercise Price Outstanding Ending balance (in dollars per shares)	15.86	3.41	$ 3.46
Weighted Average Exercise Price Exercisable (in dollars per shares)	3.32	3.34
Weighted Average Exercise Price Vested and Expected to Vest (in dollars per shares)	$ 15.86	$ 3.41
Weighted Average Remaining Contractual Term Outstanding (in years)	8 years 5 months 15 days	8 years 9 months 3 days	9 years 9 months
Weighted Average Remaining Contractual Term Exercisable (in years)	7 years 8 months 23 days	8 years 8 months 26 days
Weighted Average Remaining Contractual Term Vested and Expected to Vest (in years)	8 years 5 months 15 days	8 years 9 months 3 days
Aggregate Intrinsic Value, Outstanding	$ 20,847,471	$ 4,786,252
Aggregate Intrinsic Value, Exercisable	11,374,251	2,023,601
Aggregate Intrinsic Value, Vested and Expected to Vest	$ 20,847,471	$ 4,786,252
Employee Stock Option | 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) - $ / shares	12 Months Ended
	Dec. 31, 2024	Dec. 31, 2023
Stock Options
Share-Based Payment Arrangement, Grantee Status [Extensible Enumeration]	us-gaap:ShareBasedPaymentArrangementNonemployeeMember
Restricted Stock Units | Equity Plans
Stock Options
Number of Restricted Stock Units, Unvested at Beginning of the year	749,756	700,000
Number of Restricted Stock Units, Granted	549,079	49,756
Number of Restricted Stock Units, Vested	(48,761)
Number of Restricted Stock Units, Unvested at End of the year	1,249,079	749,756
Weighted-Average Grant Date Fair Value, Outstanding at Beginning of the year	$ 5.77	$ 5.59
Weighted-Average Grant Date Fair Value, Granted	40.61	8.29
Weighted-Average Grant Date Fair Value, Vested	8.42
Weighted-Average Grant Date Fair Value, Forfeited/Expired	8.29
Weighted-Average Grant Date Fair Value, Outstanding at End of the year	$ 20.98	$ 5.77
Non-employees and non-employee directors | Restricted Stock Units | Equity Plans
Stock Options
Number of Restricted Stock Units, Granted	34,246

Stock Options - Additional Info

Stock Options - Additional Information (Details) $ in Millions	12 Months Ended
	Dec. 31, 2024 USD ($) shares	Dec. 31, 2023 shares	Jun. 09, 2023 shares	Dec. 31, 2022 shares
Restricted Stock Units
Stock Options
Compensation cost related to non-vested stock options and restricted stock awards not yet recognized | $	$ 21.9
Weighted-average period over which compensation cost recognized	16 months
Employee Stock Option
Stock Options
Compensation cost related to non-vested stock options and restricted stock awards not yet recognized | $	$ 9.1
Weighted-average period over which compensation cost recognized	34 months
2013 Stock Plan
Stock Options
Shares of common stock underlying outstanding options or rights	3,365,193
2013 Stock Plan | Restricted Stock Units
Stock Options
Number of Options, Outstanding	200,000
2013 Stock Plan | Employee Stock Option
Stock Options
Number of Options, Outstanding	3,165,193	5,339,162		6,690,490
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
2021 Stock Plan | Restricted Stock Units
Stock Options
Number of Options, Outstanding	1,049,079
2021 Stock Plan | Employee Stock Option
Stock Options
Number of Options, Outstanding	842,271	923,571		1,027,500
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

Redemption of non-controlling_2

Redemption of non-controlling interest (Details) - USD ($) $ in Thousands	Dec. 31, 2024	Dec. 31, 2023
Redemption of non-controlling interest
Non controlling interest redemption percentage	6.10%
Non-controlling interests	$ (83)	$ (708)
Additional Paid-in Capital
Redemption of non-controlling interest
Non-controlling interests	$ 600

Comprehensive loss - Reclassifi

Comprehensive loss - Reclassifications from accumulated other comprehensive loss (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2024	Dec. 31, 2023
Comprehensive income (loss)
Balance at the beginning	$ 25,703	$ 18,773
Balance at the end	63,472	25,703
Pension Liability Adjustment
Comprehensive income (loss)
Balance at the beginning	(412)	(86)
Other comprehensive income (loss) before reclassifications, net of taxes	172	(322)
Total other comprehensive income (loss) before reclassifications, net of taxes	(240)	(408)
Net amount reclassified to earnings	7	(4)
Balance at the end	(233)	(412)
Fair Value of Derivatives
Comprehensive income (loss)
Balance at the beginning	41	(365)
Other comprehensive income (loss) before reclassifications, net of taxes	(494)	185
Total other comprehensive income (loss) before reclassifications, net of taxes	(453)	(180)
Net amount reclassified to earnings	58	221
Balance at the end	(395)	41
Foreign Currency Translation Adjustment
Comprehensive income (loss)
Balance at the beginning	(1,250)	(1,657)
Other comprehensive income (loss) before reclassifications, net of taxes	(592)	407
Total other comprehensive income (loss) before reclassifications, net of taxes	(1,842)	(1,250)
Balance at the end	(1,842)	(1,250)
Accumulated Other Comprehensive Loss
Comprehensive income (loss)
Balance at the beginning	(1,621)	(2,108)
Other comprehensive income (loss) before reclassifications, net of taxes	(914)	270
Total other comprehensive income (loss) before reclassifications, net of taxes	(2,535)	(1,838)
Net amount reclassified to earnings	65	217
Balance at the end	$ (2,470)	$ (1,621)

Segment reporting and concent_3

Segment reporting and concentrations (Details) - USD ($) $ in Thousands	Dec. 31, 2024	Dec. 31, 2023
Segment reporting and concentrations
Total assets	$ 113,449	$ 59,431
Goodwill	1,998	2,075
DDS
Segment reporting and concentrations
Total assets	87,165	37,232
Synodex
Segment reporting and concentrations
Total assets	4,983	3,379
Agility
Segment reporting and concentrations
Total assets	21,301	18,820
Goodwill	$ 2,000	$ 2,100

Segment reporting and concent_4

Segment reporting and concentrations-significant income statement (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2024	Dec. 31, 2023
Segment reporting and concentrations
Revenues	$ 170,461	$ 86,775
Direct operating costs	103,387	55,482
Gross profit	67,074	31,293
Selling and administrative expenses	42,738	30,975
Segment operating income	24,336	318
Interest (income) expense, net	(149)	179
Income before provision for income taxes	24,485	139
DDS
Segment reporting and concentrations
Revenues	141,098	61,576
Direct operating costs	88,186	40,057
Gross profit	52,912	21,519
Selling and administrative expenses	31,685	20,085
Segment operating income	21,227	1,434
Interest (income) expense, net	(153)	174
Income before provision for income taxes	21,380	1,260
Synodex
Segment reporting and concentrations
Revenues	7,864	7,511
Direct operating costs	5,763	6,712
Gross profit	2,101	799
Selling and administrative expenses	194	580
Segment operating income	1,907	219
Income before provision for income taxes	1,907	219
Agility
Segment reporting and concentrations
Revenues	21,499	17,688
Direct operating costs	9,438	8,713
Gross profit	12,061	8,975
Selling and administrative expenses	10,859	10,310
Segment operating income	1,202	(1,335)
Interest (income) expense, net	4	5
Income before provision for income taxes	$ 1,198	$ (1,340)

Segment reporting and concent_5

Segment reporting and concentrations - Long-lived assets (Details) - USD ($) $ in Thousands	Dec. 31, 2024	Dec. 31, 2023
Segment reporting and concentrations
Long - lived assets	$ 23,690	$ 23,168
United States
Segment reporting and concentrations
Long - lived assets	10,182	9,101
Canada
Segment reporting and concentrations
Long - lived assets	6,265	7,328
United Kingdom
Segment reporting and concentrations
Long - lived assets	806	1,028
Philippines
Segment reporting and concentrations
Long - lived assets	3,532	3,484
India
Segment reporting and concentrations
Long - lived assets	2,251	1,791
Sri Lanka
Segment reporting and concentrations
Long - lived assets	587	423
Israel
Segment reporting and concentrations
Long - lived assets	63	13
Germany
Segment reporting and concentrations
Long - lived assets	4
Total foreign
Segment reporting and concentrations
Long - lived assets	$ 13,508	$ 14,067

Segment reporting and concent_6

Segment reporting and concentrations - Revenues by geographic region (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2024	Dec. 31, 2023
Segment reporting and concentrations
Revenues	$ 170,461	$ 86,775
United States
Segment reporting and concentrations
Revenues	133,876	54,430
United Kingdom
Segment reporting and concentrations
Revenues	10,006	10,766
Canada
Segment reporting and concentrations
Revenues	8,696	7,156
The Netherlands
Segment reporting and concentrations
Revenues	8,059	7,291
Others - principally other European countries
Segment reporting and concentrations
Revenues	$ 9,824	$ 7,132

Segment reporting and concent_7

Segment reporting and concentrations - Additional information (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2024 USD ($) customer segment	Dec. 31, 2023 USD ($) customer
Segment reporting and concentrations
Number of reporting segments | segment	3
Right-of-use-asset, net | $	$ 4,238	$ 5,054
Sales revenue, net | Customer concentration risk | Non-US
Segment reporting and concentrations
Concentration risk, percentage	21%	37%
Foreign customer | Accounts receivable | Customer concentration risk
Segment reporting and concentrations
Concentration risk, percentage	16%	31%
One customer | Sales revenue, net | Customer concentration risk
Segment reporting and concentrations
Number of clients	1
Concentration risk, percentage	48%	10%
Two customer | Accounts receivable | Customer concentration risk
Segment reporting and concentrations
Number of clients	2
Concentration risk, percentage	61%
Three customer | Accounts receivable | Customer concentration risk
Segment reporting and concentrations
Number of clients		3
Concentration risk, percentage		53%
Customer | 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%

Income (loss) per Share (Detail

Income (loss) per Share (Details) - USD ($) shares in Thousands, $ in Thousands	12 Months Ended
	Dec. 31, 2024	Dec. 31, 2023
Income (loss) per Share
Net income (loss) attributable to Innodata Inc. and Subsidiaries	$ 28,660	$ (908)
Weighted average common shares outstanding	29,163	28,131
Dilutive effect of outstanding options and restricted stock units	3,014
Adjusted for dilutive computation	32,177	28,131

Income (loss) per Share - Addit

Income (loss) per Share - Additional information (Details) - shares	12 Months Ended
	Dec. 31, 2024	Dec. 31, 2023
Antidilutive securities excluded from computation of earnings per share
Common stock reserved available for future issuance	902,824
Dilutive effect of outstanding options and restricted stock units	3,014,000
Restricted Stock Units
Antidilutive securities excluded from computation of earnings per share
Dilutive effect of outstanding options and restricted stock units	513,455
Employee Stock Option
Antidilutive securities excluded from computation of earnings per share
Common stock reserved available for future issuance	4,000,000	6,300,000
Dilutive effect of outstanding options and restricted stock units	3,700,000
Employee Stock Option
Antidilutive securities excluded from computation of earnings per share
Computation of diluted loss per share	300,000

Derivatives - Additional Inform

Derivatives - Additional Information (Details) - USD ($) $ in Millions	Dec. 31, 2024	Dec. 31, 2023
Derivatives
Derivative notional amount	$ 22.5	$ 10.5

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, 2024	Dec. 31, 2023
Accrued expenses and other
Derivatives, Fair Value
Derivatives designated as hedging instruments	$ 499
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, 2024	Dec. 31, 2023
Derivatives
Net gain (loss) recognized in OCI	$ (494)	$ 185
Net loss reclassified from accumulated OCI into income	$ (58)	$ (221)

Line Of Credit (Details)

Line Of Credit (Details) - Revolving Credit Facility $ in Millions		12 Months Ended
	Aug. 05, 2024 USD ($)	Dec. 31, 2024 USD ($)
Line of Credit
Maximum borrowing capacity	$ 30
Maximum borrowing capacity subject to approval of the lender	$ 50
Percentage of eligible accounts considered for determination of borrowing base	85%
Percentage of eligible foreign accounts considered for determination of borrowing base	85%
Percentage of eligible unbilled accounts considered for determination of borrowing base	80%
Maximum amount of eligible foreign accounts considered for determination of borrowing base	$ 4
Percentage of all eligible unbilled accounts considered for determination of borrowing base	30%
Percentage of all eligible foreign accounts considered for determination of borrowing base	20%
Borrowing base calculation		$ 22.3
Threshold minimum fixed charge coverage ratio required to be maintained	1.1
Interest rate		2.25%
Debt Instrument, Variable Interest Rate, Type [Extensible Enumeration]		us-gaap:SecuredOvernightFinancingRateSofrMember