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DMRC

Digimarc Corporation

DMRC

Digimarc Corporation • NASDAQ
$8.01 ▼ -1.11% (-0.09)
Market Cap $172.85 M
52w High $48.32
52w Low $6.35
Dividend Yield 0%
P/E -4.71
Volume 42.78K
Outstanding Shares 21.58M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q3-2025 $7.627M ▼ $11.963M ▼ $-8.152M ▲ -106.883% ▼ $-0.38 $-7.477M ▼
Q2-2025 $8.01M ▼ $13.133M ▼ $-8.22M ▲ -102.622% ▲ $-0.38 ▲ $-6.246M ▲
Q1-2025 $9.368M ▲ $18.164M ▲ $-11.73M ▼ -125.213% ▼ $-0.55 ▼ $-10.239M ▼
Q4-2024 $8.658M ▼ $14.366M ▼ $-8.648M ▲ -99.884% ▲ $-0.4 ▲ $-6.783M ▲
Q3-2024 $9.443M $17.266M $-10.754M -113.883% $-0.5 $-8.894M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q3-2025 $12.562M ▼ $55.435M ▼ $14.048M ▼ $41.387M ▼
Q2-2025 $16.088M ▼ $60.746M ▼ $14.263M ▼ $46.483M ▼
Q1-2025 $21.567M ▼ $66.52M ▼ $16.503M ▲ $50.017M ▼
Q4-2024 $28.73M ▼ $75.766M ▼ $14.407M ▼ $61.359M ▼
Q3-2024 $33.686M $85.024M $14.864M $70.16M

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q3-2025 $-8.152M ▲ $-2.596M ▲ $2.04M ▼ $-432K ▲ $-1.008M ▼ $-2.817M ▲
Q2-2025 $-8.22M ▲ $-4.688M ▲ $6.368M ▲ $-506K ▲ $1.207M ▲ $-5.006M ▲
Q1-2025 $-11.73M ▼ $-5.486M ▼ $3.557M ▲ $-1.56M ▼ $-3.463M ▲ $-5.541M ▼
Q4-2024 $-8.648M ▲ $-4.235M ▲ $-8.372M ▼ $-528K ▲ $-13.195M ▼ $-4.366M ▲
Q3-2024 $-10.754M $-7.085M $2.548M $-575K $-5.038M $-7.152M

Revenue by Products

Product Q4-2024Q1-2025Q2-2025Q3-2025
Service
Service
 $0 ▲$0 ▲$0 ▲$0 ▲
Subscription
Subscription
 $10.00M ▲$10.00M ▲$0 ▼$0 ▲

Five-Year Company Overview

Income Statement

Income Statement Revenue has been slowly increasing but remains quite small relative to the company’s ambitions. Gross profit has been fairly steady, which suggests the core technology and pricing can support healthy margins if volume grows. The main issue is on the cost side: spending on research, product development, and sales continues to outweigh revenue by a wide margin, leading to consistent operating and net losses. Those losses have been narrowing somewhat in recent years, but the business is still clearly in a “build and invest” phase rather than a profit-generating phase.

Balance Sheet

Balance Sheet The balance sheet shows a modest asset base with a clear tilt toward intangibles, such as acquired technology and intellectual property. Cash has trended down from earlier peaks, indicating that the company has been drawing on its reserves to fund operations. Debt levels are low, which reduces financial risk from leverage, and shareholder equity remains positive, providing a cushion. However, the overall scale of resources is limited, so the company does not have an unlimited runway to sustain ongoing losses without either improving cash generation or raising additional capital over time.

Cash Flow

Cash Flow Cash flow from day‑to‑day operations has been negative for several years, reflecting that the business spends more cash than it brings in from customers. Free cash flow is also negative, though the company is not heavily investing in physical assets, so the main outflow is operating costs, especially around people and technology. There are signs of gradual improvement, but the company is still in a cash‑burn position. Future performance will hinge on whether revenue growth and cost discipline can bring operating and free cash flow closer to break‑even before cash reserves become too thin.

Competitive Edge

Competitive Edge Digimarc operates in a specialized niche with a differentiated technology: invisible, all‑over digital watermarking tied to a cloud platform. Its competitive position is supported by a large patent portfolio, long experience in the field, and integration with industry players such as scanner manufacturers and major recycling initiatives. Once embedded in packaging and supply chains, its solutions can be hard to replace, which adds stickiness. On the other hand, the company is still working to drive broad, commercial-scale adoption. It faces competition from more conventional solutions like barcodes and QR codes, as well as from other digital identity platforms, and must persuade big brands and retailers to change entrenched workflows and standards.

Innovation and R&D

Innovation and R&D Innovation is the clear centerpiece of the Digimarc story. The company has expanded from core watermarking into a broader platform that creates “digital twins” of products and supports use cases like brand protection, recycling, consumer engagement, and industrial automation. The acquisition of EVRYTHNG strengthened its software and data capabilities, and recent pilots in areas like pharmaceuticals and media authentication point to new verticals. This innovation engine is a strength but also a cost driver; heavy investment in R&D and product development is a major reason profits remain negative. The key question is how quickly these innovations can translate into repeatable, scaled SaaS revenue versus remaining in pilot or early‑adoption stages.

Summary

Overall, Digimarc looks like a technology‑rich, early‑to‑mid commercial stage company: it has distinctive intellectual property, a clear vision around product digitization, and multiple promising applications, but its financials still reflect a business in investment mode. Revenue is growing from a small base, losses and cash burn persist but are slowly improving, and the company is relying on its modest cash resources and low debt profile to fund the journey toward profitability. The main upside case rests on broader adoption of its watermarking and product‑cloud platform across industries; the main risks lie in the pace of that adoption, the company’s ability to manage cash while scaling, and competitive or standards-related pressures in digital identification markets.

NEWS

November 24, 2025 · 8:00 AM UTC

Digimarc and Honeywell Partner to Combat Gift Card Fraud and Streamline the Checkout Experience

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November 11, 2025 · 11:32 AM UTC

BERO Brewing Delivers Omnichannel Customer Loyalty Experience with Digimarc's Connected Packaging

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October 30, 2025 · 4:05 PM UTC

Digimarc Reports Third Quarter 2025 Financial Results

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October 16, 2025 · 4:05 PM UTC

Digimarc Sets Third Quarter 2025 Conference Call for Thursday, October 30th

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September 23, 2025 · 9:45 AM UTC

NASDAQ: DMRC Lawsuit Update: Investors Digimarc Corporation (NASDAQ: DMRC) shares should contact the Shareholders Foundation in connection with pending Lawsuit

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