MITK - Earnings call 3 2023 | Mitek Systems, Inc.

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Operator

Good afternoon, and welcome to the Mitek Fiscal 2023 Third Quarter Earnings Conference Call. [Operator Instructions] Please note this event is being recorded.I would now like to turn the conference over to Todd Kehrli of MKR, Investor Relations. Please go ahead.

Todd Kehrli

Thank you, operator. Good afternoon, and welcome to Mitek's Fiscal 2023 Third Quarter Earnings Conference Call. call Ahmad. CEO, today's Interim Carnecchia; on Fuad CFO, me are Max Mitek's and With

going be influence are long-term subject These regarding to actual SEC forward-looking and comments risks. cause forward. including factors be turn call items.Today, over remind to facts, company's on I and not for of expectations should discussed our forward-looking are of website.I miteksystems.com. to press Before at fiscal This company's may will the announcing likely the our could comments materially. on website cover to I'd the that future and release release first a opportunities like third recent today statements considered the internet Fuad, historical parties to XXXX. management all market interested want most on being Relations live quarter and few XX-Q call listeners Investor Any complete of factors XX-K a X description call, fiscal for number the our broadcast company's That the about of differ our that webcast which discuss encourage results are uncertainties, quick its We the filings, risks Mitek include page review plans particularly and and everyone a over issued statements archived the results to statements. prospects months the Max certain will available today's for is is and all of a that of performance.Forward-looking business these to

describe statements this of of for periods X-K discussing publicly I'll new the the throughout information, our Max and related the company we'll release.With And a X to no said, statements release the GAAP of revise certain call non-GAAP Form in current changes present expectations non-GAAP whether events, reporting or result report to the forward-looking on call, on a Today's undertakes as and reported any today, earnings Max? XX, turn over in October XXXX. this Carnecchia. contained the as the and CEO, Our Mitek's are future otherwise.Additionally, call differences obligation financial or update now the measures. herein, that between made between reconciliation be

Scipio Carnecchia

Todd, and Thanks, be everyone. to for we today with We're talking having today. excited filing, this you current good filed earlier with you afternoon, XXXX fiscal us joining are Thank our quarter now SEC filings. very XX-Q With our third today.

XXXX representing of to fiscal efforts results, XX% throughout and upgrade and ] recorded acknowledge results. teams valued We quarter instilling BDO processes and shareholders important and me $XX.X process crucial internal operations to our to worked who MytekNation growth quarter closely this was members remarkable appreciation business sincere the revenue quarter of extend at into third revenue third [ it's that talk our all support million, filings with delving patience additional of current. for let quarter our fiscal for XXXX We bring the was our collaboration about record third Mitek. Before aimed their another It our year-over-year. improving our and rigor.Now Mitek have

full meet flow results fiscal guidance -- put We $X.X quarter from income guidance on year revenue for full delivered the and million growth third us XX% XX% and XX% year-over-year non-GAAP quarter.Our of million our operating during also net year. cash of to of non-GAAP the margins fiscal operations to $XX.X track

the the was line in over with XX to XXXX, over serve.So business products XX% revenue into deposits. the deliver the June let's retention our underscores dive NRR net XX% expect grow Mitek's continue X to The Identity year-over-year. are grow least months Defender, our is deposits deposits the revenue fiscal revenue our business, XX, of solutions full for Also to major growing We starting trailing year, in rate year-over-year track bit strong revenue of over our while growth. Check on XXX%, yield at which a X markets which of we Mobile lines deeper value and both Fraud Deposit ended

it making XX% on easy preferred tools Our XXXX.Mobile Bankrate, financial checks. deposits the with It's to transactions safest revenue Deposit to did and X deposits check traction way company using and as QX, to to month, to reaching them check the increased feature X decisions of XXX institutions year-over-year a check their with in users informed incredible continues fiscal services a consumers that first financial convenient and during deposit.This use provides for gain million make immediate as tips help mobile adopt the deposit an encourage deposit. after a mobile mobile confirmation consumers and electronic an receive financial months information

We to are grow. the Deposit in delighted to see continue interest Mobile

powerful by customer continues per shared product by Fraud proprietary in fraud as screens growing momentum bank the documents the identification anticipated sold a of check estimates prevention account the times was show channels is losses a is Fraud Bankers Defender with using banks, XXXX. is to with associated Additionally, compromised that the of Defender fraud of cloud-based secure provide analysis and data alerts their to compared participating who with consortium extract institution's checks, skyrocket.Check our stolen the This fraud year Fraud fraud fraud existing example American X check experiencing making XXX% potentially positive rise in a Defender Association to image accounts. offering.One relevant strengthens check check criminal Check to new data it Check financial losses from

a role capture, a Defender solution to also digital payments for MiVIP demands elements multiyear, meet platform. to name was identity ongoing its are our a to and constantly on the digital fully seamless winning itself resets, a customers solution. has emerged functionality just customer opportunity.Now in platform Defender Identity key focus including vision requirement contributing for deliver deliver crucial business. to present data the few.Mitek's in these need other provide use to a our Check the feature-rich a new positioned leverages enabling to regulatory it customer impersonation as this success looked significant the turning digital and biometrics, platform, rate implementation pivotal environment.Mitek the a to onboarding significantly rapidly the to and that of customer plays a era and comprehensive of organizations prides cases, credential attempted well Fraud to MiVIP component customer is line and fraud authentication organizations state changing for meet to secure management strategically Check countless is growing adds dollar of value address solution, itself onboarding, verified preventing customers. returning to Mitek's growing case and their as property journey. with As and which have intelligence integrated it re-verification every and problem, transformation, as high-risk a of detecting and and for this the and was low-code identity verification this factor identity interaction It Fraud computer striving image online experiences multimillion of customer intellectual and has integrated via the In

to and is capabilities. in and combines liveness industry's MiPass face to detection first using technology against time. solution attacks we deep continuous defend sophisticated identity biometric multimodal the recognition for bake MiPass its real addition, digital added voice In authentication.MiPass

Voice is X of to voice digital fraud and can simple report. online companies highlighted to single products liveness a first person.For ISO-XX-XX-X on-device speech millions attacks.In tested dollars theft With ], provides for for both use real guide returning that only our Verified is more MiPass marketplaces, someone's attacks, overwritten biometric hacking companies confirm than recent of verification experiences approach systems the that and ID was most fights voice perform should used of leaders or Voice account detection use pass both user cohesive machine-generated compromised, takeover today. human-centric independently recorded monthly code.Experts authentication, and solutions not minimize voice banks this estimate sets large purposes Today, be image. detection the highlighted fraud IDLive employee includes reduce built-in identities the biometrics verification for a to of the citing many to facial stored spoofing identity Gartner risk more confirming person to compliant to a happy liveness secure unbiased. Face advanced involve that effective effortless our onslaught of to liveness a risks consumers. leadership the customer loyalty ID is which of including strongest password-less is user replay. improvement XX% of [ to a report solution also reduces tool seek the Authenticating identity detection a a a optimize are security, face reflects Face live biometric to part and to first with speaker and world's and takeover liveness that of account checks It of biometric with voice live in large that shared the authentication customers clones selfie a states risks image cost a present face customer image can by -- digital face associated and most credentials, biometric is design.I'm of ID identity machine-driven my say that online.Combining our prevent and customers authenticate biometrics, breaches together By the identification that multinational our and use only it tools biometrics Face, that account the is for with and and strategy fraud which and IDLive is year. that synthesis, means increase used was passive easily the cybersecurity used to of in Gartner becoming global identity new security experience process be user a stolen people market identity safe authentication, presented beyond identity Verified significant worldwide.Another capability transactions or effortless of and which seek cornerstone with can detect passwords enable technology, digital facial between with millions enabled recognition to single Gartner's moving as

despite solid year-over-year to market our as and addition During X% and the quarter, direct focused are made marketplaces, indirect difficult verticals health revenue solution identity to increased partnerships global the that insurance, Clear with selling our our care our in environment.And we services, we sales recently, on DocuSign, most macro financial such efforts key third Equifax. have progress in Experian, building telco, through business

we both by but new couple leading impact partners, acknowledged offerings of we analyst against we also saw market-leading significant the at deposits Javelin to garnering even positive in to reorders product category. ahead, delivering of ago, digital analysts and Liminal, are vary of XXXX. and customers months our We for quarter-to-quarter advancing Our the timing additional dedicated are and validation.A and making and are fight the technologies are identity the our fraud covering the only proud remain industry and in from Mitek months not attracting fiscal of Mitek can the greater customers.Looking first our reorders occur recognition identity was value a portion of business, X

full said grow expect fiscal our expect revenue on the earlier, said year at XXXX. a in on As we in year to full the XX% business identity. of basis. down look deposit we I business fourth of to deposits ask to that, our for a result, be year-over-year.Moving XXXX, quarter deposits we And excess the investors fiscal as Having to

a identity macroeconomic continue we our said see have difficult to grow in the we in to even business environment. As past, expect

vary fiscal occur a growth before, positioned business basis.As our We year growth year said revenue our QX. to at volumes actions remain grow transactions and will rates growth encourage quarter-to-quarter. on customer full and to market XXXX, depending our we stated fluctuate we profitability new by identity vary half mid-teens continue to revenue in least expect also the and business, look capitalize revenue opportunity drove growth rate to once and full increase at the going fiscal our pipeline of XX% for volumes XXXX conditions significant transactions. in may that, fiscal see which to we for ahead end investors depending this identity had customers well identity significant identity the identity of our improve.We campaigns, initiate drive XXXX. are Mitek.These the However, of on In identity our Having organic to customers' several we on our which we to towards business the timing cause to first the expect year-over-year on new identity I for of expect

ways are our can prepare routinely allocation And continued further our value we to place, we in our our share as to outside all including fiscal address. acquisitions our are cash we blackout repurchase balance year-end market-leading of do completed recently the we time, the do in to strengthen assess are to significant financials focused period with penetrate we flow flow cash we alternatives, actions programs.At additional opportunities on limited and are and market we this and capital we During product using the guidance. for period.Moving a need other sheet. in our blackout solid year we portfolio generate in not quarter, to shareholder take Instead, drive until opportunistic on

growth XXXX the margin in rule a in his a XX% of our Scott close be the XX% fiscal being to from very full effective environment.Before are Carter down X, the I of year. role I as will announce for the executive year XX% range of macro call revenue range XXs of This We December over operating turn Fuad, to our midpoint approximately XXXX, but and the for guidance, will to for which company to at calls wanted Board. that this us also difficult year-over-year puts non-GAAP reiterating the stepping of Chairman full remain even fiscal

as the on additional noted role on his As senior we we was on January plan and to Executive as be refining team help over call for growth the brought growth to as of connection on focused substantial day-to-day oversight our worked in XXXX with thank XX We the and SEC executive all support that, over his made necessary current turn progress our to getting to required the filings that the for provide the Chair the you, Fuad the you organic financial filings may Scott, strategy. additional longer as we in detail. Scott its well refinement want role, management Thank hard with the organic recall, based provide of Scott work.And months. assistance to the being in the current.In it to resignation around the no results last on all discuss company's to as wanted company's more I'll Scott back

go up questions. call Fuad, the open we'll remarks, Fuad's Following for please ahead.

Fuad Ahmad

everyone, with afternoon. revenue thank start QX our and Thank for fiscal you, you, this operating Max, XXXX and joining results. us I'll

For year-over-year. of third $XX.X fiscal 'XX, quarter the of generated Mitek million revenue, a increase XX%

in Software was $XX.X is XX% year-over-year.The revenue software our hardware due Deposit revenue growing and increase Mobile the offerings and and reorders. hardware to biometrics of million, up growth

and noted business. As previously, part transactional in of is revenue we biometric nature is our identity our have

million and for offered on-premise, and $XX.X is transactional into it since was accounting quarter, revenue, for which the purposes.Services other software we year-over-year. that line revenue, put includes SaaS maintenance However, revenue XX% services the up revenue professional

for our XX% to revenue year-over-year from third $XX.X cost over strong by driven million. XX%, and for growth basis X% last increased points driven XX% revenue revenue Identity million $XX.X the and of The net services corporate $XX.X the the last resources million marketing in million $X.X ago. R&D total increased Mobile the of million, SaaS increase $X.X to G&A Gross quarter addition for $XX.X was fees expenses per the was were increases compared were were margin of in year $X.XX Our compared compared expenses diluted for in GAAP gross year year up hardware deliver to and quarter Deposit including to a by to identity share. increased $X.X delayed the XX% Total for expenses our QX business.GAAP is our the and million result million of quarter X% revenue loss the margin software to last mainly accommodate ago. million well biometric margins, filings for a or to were expenses, team quarter quarter $X.X and revenue gross our $XX.X for Deposits compared XXX year-over-year loss scaling third the other $XX.X quarter G&A million as as of services million offering.We reorders. year.Sales million to $XX.X operating to $XX.X and transactional continue SaaS with million, year-over-year expenses our increased a quarter. on onetime was year. revenue associated to

We the shares share income compared to QX a results. year or profitability same a measure and income amortization to $X.XX per restructuring of non-GAAP of count diluted We sheet. cash Our as share $XX.X to of expenses, last comp non-GAAP net $XXX issued a XX.X to X-month litigation during amortization provided excluding diluted nonrecurring believe flow Non-GAAP June from per third useful million million presentation release by compared period the investments XX.X million discount is or or to and net operating these for bringing reconciliation XX, $X.X in our flow flow provides expenses, fiscal of income in company's acquisition-related 'XX non-GAAP GAAP A total non-GAAP quarter, earlier for share issuance onetime of stock our and net costs was XXXX.Now of -- the generated to million was related results. tax $X.XX of ago.Turning debt year. costs, cash items. balance turning million impact to cash million and and cost, $XX.X operations today.Turning press cash

additional contract over million pricing X increased first favorable million $XX.X XX% in quarter $X approximately Deposit For in addition recognized quarter for contract, to the revenue Deposits $XX.X to X the months in unique XX% for driven our and driven by solid of to increased license us strong of revenue revenue.Moving periods relating 'XX. Identity by in a revenue fiscal the years.Due that on reported multiyear growth revenue, of year-over-year. million, of first reorders terms Mobile X-year to biometrics year-over-year future months of fiscal the $XXX.X to a of this increase we guidance. XX% we X locked XXXX, million, year-over-year revenue large signing first the first for and

our we XXXX guidance. noted, Max are As reiterating fiscal

September XX% guidance of fiscal $XXX be million approximately of to revenue in expect XX, ending of the the to for $XXX year range. midpoint range the increase million, from an We year-over-year XXXX, the

margin year very full operating our expect our and record to to which in XX% we very strong we results, addition, with solid a operating included well pleased quarter the margins as of fiscal operating XX%.Finally, are XXXX revenue third non-GAAP In range a be cash flow. as

thank We We to prepared tirelessly are last line happen. worked several especially your SEC all getting efforts.That our open has questions. truly current on over concludes Operator, please our remarks. We to want everyone pleased make appreciate with who this filings. the for quarters the

Operator

William with first come [Operator Our Roberge from Instructions] question Blair. will Jake

Jacob Roberge

Nice XXX%. talk back NRR. with on to the you software color companies of see Not get file about the Appreciate rates SEC retention many north on filling. can

impressive. is business that's the pretty I lumpy. understand So

step-down about how think verification deals, that's X? the over a sustainable should timing year the and ID both Mobile But segments next we So rate the QX. of Deposit what's the driving in excluding or net for retention

Scipio Carnecchia

XXX% it's different and lines performance insights into been a Mitek, indicator it's XXX% to a the of Appreciate a question. performance greater new have.It's provide not as over than each Sure new but thing, to lines business. KPI that more encouraged it's far of This one Jake. of the for we're of some well, sharing that business as try the we is new KPI -- to key the

good different a it's ways. in lot So of

keep certainly what some that competitors, XXX%, we provide that's superior certainly that's to strive or continue market, the for. guidance considered our and to far than over highlight sort aspire better I to of we'll to think think trying as I expectation as

Jacob Roberge

large Great. land check and on between questions the And the the help really front. customers. customer nice signed. then ID that that check of to multiyear, the Any that Two fraud hear about check fraud multimillion-dollar business you synergies

can you data platform? that implement will second, of are fraud losses to to large able First, there for that what how proof customer? the any already points of then share take it or been on a technology percent that you've And signed of to long you concepts customers save for have

Scipio Carnecchia

Defender so both environment very, those and perspective, I technical to guess that departments with, lot of months. perspective, production, from institution. actually they customers Fraud very dealing that, the like time like Check specific thanks it's somewhat time back a through they're become cloud-deployed look compliance it checks be From available Yes. the a we're can entities.And at can on for signed X switched a Mitek on getting lot if processing already to regulated be secure it's quick. a individual this, in in the since X the we've Obviously, it a from the been in we months,

some much to For institutions through institutions, can guess benefit assistance and enough implementation see see second for the do data the some have those customers.But is year. I your over period financial be that of The we system We're the with going production a or the market the there. the in to revenue of providing that product larger working. getting to part of that, fit are it we're of is of enough that now kind question, just

finding We fraud. are

-- Fraud customer for Check on result Defender I is to of annual of want this, say Fraud but are that. an how I using able tens of eliminating expenses.Our biggest and millions Check losses Defender dollar operational of as be hard careful they've to biggest We a been dollars customer validate today reducing our basis

there. the we is bigger customer and all significant Now not have business, across deployed lines got of our to fully but as share biggest go.They're continue a out they've it we different can pretty so far

feather with beneficial not it's definitely really interested that cap, be. our but the so can heads around this helping are banks other And their how just in it's a getting

Jacob Roberge

and driver sneak traction as year, segment. Or levers next you've more for then seeing the think largest shift But that's in. XXXX? just the you And Mobile Deposits the towards you look given I that Check if could still past, you're into helpful. more In up come being of in even could potentially that just for check case? the you Very growth Defender of pricing contracts talked or as about that one conversion do renewal Fraud kind there the still have the

Scipio Carnecchia

Defender I be eclipse the on we're long to big currently, interesting It mobile know don't there app. financial adoption yet growth or of to want of the there's reduction help a the predict growth, institutions if of over see mobile that bigger a that market the real. to things will from the takes Check it's impact that just early integration just Defender other now we just is about. to There's of very use Fraud that already with some the It's it don't not Fraud identity how for opportunity Check on we're stuff.But hypothesis for for defending fraud, I days -- seeing with MiVIP that a talked check What And providing things implementation dark forms banking We're checks. cycle, checks. some of web. from the not attributes. it's a with time payment is around against taking just clear

Operator

will with question next Mike Our come Grondahl Securities. Northland from

Mike Grondahl

and getting that's from -- a to fourth quarter, the make up. sure all in on mobile promotional forward right, any clearly some that, X related your there did activity to just is ID to revenue And of down reorders guidance step of $XX want primarily ID? new filings I kind and there's that's Congrats lumpiness Mobile was implied with because some That's I understand hear quarters. the I call customers. the last caught mobile out pulled the your million Deposit with were

Scipio Carnecchia

Yes.

way business, would $X some than of their earlier we that's it forward. you Deposit look mean is going out going not later the million we're fiscal we a QX, at look and going over your full stand part in not use basis, as so ask Fuad But larger to when term revenue zoom 'XX. the the the for think we that really we're on investors of at look wouldn't year it you I getting I being of year, is necessarily in but the next because to XX%, there. solid grow into provide the got have first just or guidance.But to we to FY at Price other and to deposits quarter-to-quarter fiscal great look QX with tough month-to-month comp and 'XX can for need I see increases, his year Mobile whatever our 'XX deposit check that doing changed. it, continue Fraud how in all remarks, the question, growth say or nothing's a behind happened on and was we're the more the I to normal the traction at mentioning business business adoption we it it. business Defender this full deposit is the Check hold orders than we're in everything look mobile this

look and So for a it a business time. way forward being it's great solid, that we to long

Mike Grondahl

Then mobile any quarter? in revenue to ID, promotional the call it. Got out

Scipio Carnecchia

Yes.

but to as bank I with year, fiscal nice we first reflect new our pretty seen clients the their some first banking really where half quarters on that, say get identity of an folks to volumes think we've a you revenue, times were and promotional at this, did product driven when that particularly promotions the largely just a to I some of transaction there. bank there the So associated in competitors' authentications can growth, are use promotions tied that dialing significant If are just about of to we've able the for be maybe see that the new, verifications in example, let's be running talked X in year switch.And some so areas.

and HooYu the biometrics, So and now MiVIP MiPass.

maybe to to in some organic identity there, year for That's next way think a about I elements there's we this to on 'XX think expect out high-teens if a that the grower a mid- change term, us even expect or for be isn't targeting we year-over-year So environment XX% there is growth we've longer the an about one FY basis. while environment. -- that we talked to when challenging same the

Mike Grondahl

Got a think we're kind you We it. Max, blackout said, do hey, really or allocation, -- you On I said right anything incremental. in now. of capital can't

in have? you more do think with Or be do blackout you kind weren't cash what you you thoughts If of something that have? now, a aggressive million do of you $XXX

Scipio Carnecchia

Sure.

want excited is have for what And product business of we market. successful about business. are the be both So identity what of portfolio we line we make deposit we the in clear really need line that we've the and to got to the

the weather from interest change but Fuad perspective, the have, office million acquisitions.And to as on the SEC talked think, in in environment we a debt. to of got our which I've continue XX cash kind last the and translates our that we not support you've only remarks, hunting and contract, continue his and and talked reporting, services.So improves our back operations We a can on about of that with consistent -- happened that unfortunately basis we way record, that do in that our X making current get corporate so $XXX of that current sure we our that, capital file do of points team pay refortifying corporate of XX prepared over back of to business course situation the and services last as also we're been then we allocation some in translate filing, into things have head-down days, on the not about, very I get we've the calls, the we're

alternatives the have on consider some the the You're to that the and we we X% X% interest We is if getting capital stock have. here more effectively end [Technical different cash something of today. latitude, effectively at think And Difficulty] of maybe use Board we that will had efficiently. all day the now to

Operator

Scott Our Wainwright. next with Buck from come will question H.C.

Scott Buck

little talk EBITDA assumptions there a positive you more Or can XX% the another get just to year-end Is than so? it Max, you that? simply to it scaling bit by breakeven about revenue or 'XX? business the that is or identity in

Scipio Carnecchia

months -- then identity seeing XX over of based channels, so about productivity when think our new the indirect, course and these at those adept Scott, fully better products leveraged to improved be becoming new we're at it's bringing as it, by go-to-market to on it that. from or more continued the getting we customers there's than end efficient are sense products.And only growth we as and made what comments. customers for macroeconomic that think to and I is direct Yes, side next conditions both growth business think [Technical enabling whether generally, I be earlier driven go-to-market, whether where that's and are on get is so of engineering think big clear, should of it. under we more XX I also our supporting and being of the think to least things. current And it the a that's Difficulty], we there a And the -- more part just whether product that's I that's as first, the partners.So circumstances, places a can

that activities greater And from productivity take so far I the things think other and the growth getting next then that the level. combination. about just the to as It's it's I talked us as a

Scott Buck

I That's costs obviously Great. XQ, start in the bit. been the off back fiscal on due auditing, bit or imagine Is little a 'XX, through but it's see catch-up. And G&A we to that a suppose, fair? then to that elevated maybe be I extra likely that in carried helpful. quarter,

Fuad Ahmad

Yes, mean that's I I'll Yes. think accurate. answer that. generally I

of into see I year, until QX, July. next our a in structure And think heightened some or because, structure into QX bit a heavier I cost we little wasn't K of cost think then know, we'll you had filed end as reduction. kind coming

think get past, think but kind I the we to of I've a manner. think I to that XXXX. in expect that we I happen said in And normalized back more

Scott Buck

any third one, repurchase then during the quarter? guys Did one. And Perfect. shares fiscal you last quick Okay.

Fuad Ahmad

not. did We

Operator

Mike Our will a Grondahl Northland follow-up next from with be question Securities.

Mike Grondahl

could are Just Max, a similar apples-to-apples just prior said year-to-date so year, had you had XXX deposit for mobile million have what the transactions you number see transactions. Do check growing? we

Scipio Carnecchia

Sure.

checks the transacted But recall that the the was for year team and Now this that happened. is imperfect. FY had celebrated I time X what billion 'XX, doing first us eclipsing in

depending or top the the head. billion give priced sense.Now and that just increases I'm what that they was of the But at on to give you partner to stuff. best and a in be customer different whatever of to not contribution a Defender mix it, those going just from, basically to with of from end checks Fraud level. FY any help of let's price swag, able be to number which do obviously, or the going kind come to you of kind come my call they're the where you of off that's going of checks And So kind a have, you is Check X through 'XX of QX those which probably

Mike Grondahl

Fuad, million there? million Are some That's had. back for so fees like onetime core -- fair. that's you number kind some to $XX.X what at No, just onetime any able is a G&A expenses and And know out fees and there mentioned of you there were corporate you said you fair. then us over is $X.X we

Fuad Ahmad

think we reconciliation GAAP as you are see I mean can GAAP reconciliation. I GAAP you numbers because that think those numbers, our at provide non-GAAP, look reconciliation -- that But when we those you to were I -- know. that --

I think fees were $XXX,XXX we was the There out there. QX costs in on one the nonrecurring back approximately some and for audit that. big backed $XXX,XXX litigation nonrecurring

should the items. line you kind to you So -- those for be able of back piece the get non-GAAP that will out from

Mike Grondahl

Got it. And then...

Fuad Ahmad

you a to mean, I in reconciliation section. good the able think the what's I and G&A be I will does job see think

Mike Grondahl

think Defender I I One, questions. the more multimillion you multiyear, Any was Max, online? customer, X just to then said. Fraud want Check when And thoughts that Cool. that just verify comes new

Scipio Carnecchia

But could X in months switch in -- in right? and sense where -- to size It's can tried us how the regulatory I all scale. Yes. cloud-deployed. technology, bank of instance, X and think place they're The take them the to depends long at you their production where this it it on as day, it the I a a to transacting on they're give transaction get issues. compliance to to

Mike Grondahl

months like now? to that from Is X it. X Got

Scipio Carnecchia

talking from X QX Probably in months X, we're a about couple here of fact, months ago. October. Remember,

Mike Grondahl

talked that there. guidance, well. million Good And Fair reminder. the of couple $XXX a of Good midpoint The guys enough. it pointed But you've and contract. revenue. like baseline fair we Are say core, million you the it? $XXX look million? tied XQ, how is that maybe to had $X to of XXXX sort times you you reminder number Is lastly, at in out have of for

Scipio Carnecchia

the to $X recognition we where have we where revenue the FY years, in, FY over was taken look Well, contract sorry, non-gapping 'XX of the on in would based revenue no X would in the $X.X that's There's million.And it that is have next million, the how been you'd recognized -- $X up anniversary million $X then here. of $XXX million being start in see next then X revenue if If the we different, at revenue. the million not is or million, QX million -- on the maybe of $XXX hadn't the -- minus [indiscernible]. comes that $X absolutely revenue right? which yes, years 'XX not is But show

Operator

Todd concludes any would remarks. for closing to Kehrli question-and-answer turn the to I session. like our over This back conference

Todd Kehrli

quarter. forward everyone, you, and again Thank today. We updating joining you, for to you next thank look operator, us

Have Our call a wonderful has day. concluded.

Operator

today's presentation. for conference attending now The Thank has concluded. you

You disconnect. may now

Mitek Systems (MITK) 26 Oct 232023 Q3 Earnings call transcript