Digimarc Reports Third Quarter 2022 Financial Results

BEAVERTON, Ore., Nov. 3, 2022 /PRNewswire/ -- Digimarc Corporation (NASDAQ: DMRC) reported financial results for the third quarter ended September 30, 2022.

Third Quarter 2022 Financial Results

Revenue for the third quarter of 2022 increased 22% to $7.8 million compared to $6.4 million in the third quarter of 2021. The increase in revenue primarily reflects the contribution of subscription and service revenue post acquisition from EVRYTHNG and $1.1 million of subscription revenue from a new commercial contract, partially offset by $0.6 million of lower subscription revenue as a result of sunsetting our Piracy Intelligence product and $0.4 million less service revenue due to the timing of HolyGrail recycling projects.

Gross profit for the third quarter of 2022 was essentially flat when compared to the third quarter of 2021 reflecting $1.0 million of amortization expense recognized on the developed technology intangible asset acquired in the EVRYTHNG acquisition and $0.2 million lower service gross profit due to higher costs, offset by the $1.2 million of gross profit contribution from higher subscription revenue.