The earnings call reveals a strategic shift towards focused growth areas with the potential for long-term success, highlighted by significant ARR growth and upcoming product launches. However, the company faces challenges with decreased revenue, increased expenses, and the impact of external costs.

Company Guidance -

Q2 2025

During the Q1 2025 earnings call, Digimarc highlighted key metrics and strategic focuses, including an annual recurring revenue (ARR) growth of 11% year-over-year, despite a drop from $23.9 million to $20 million due to the expiration of a $5.8 million contract. The company emphasized its focus on three main areas: retail loss prevention, physical authentication, and digital authentication, which have allowed it to grow ARR by almost five times over the past four years. They have managed to increase their subscription gross margin by nearly 1,000 basis points, notwithstanding challenges from no longer licensing intellectual property. The company also reported a total Q1 revenue of $9.4 million, down 6% from the previous year, with subscription revenue accounting for 57% of total revenue. Operating expenses rose to $18.2 million, reflecting one-time cash severance costs, while free cash flow usage decreased to $5.6 million from $8.6 million in the previous year. Digimarc anticipates becoming free cash flow positive by Q4 2025.

Significant Growth in Annual Recurring Revenue

Digimarc grew its annual recurring revenue (ARR) almost 5x over the last four years by focusing on areas with deep product-market fit.

Potential Free Cash Flow Generation

The company is on the cusp of sustainable free cash flow generation for the first time in over 12 years, with expectations of significant top-line growth and free cash flow generation in 2026 and beyond.

Successful Shift in Business Focus

Digimarc has narrowed its focus to three specific opportunity sets: retail loss prevention, physical authentication, and digital authentication, leading to a tighter alignment with market needs.

Partnership with Unilever

Digimarc was selected by Unilever as their digital link vendor of choice, indicating strong market positioning.

Progress in Gift Card and PLU Fraud Solutions

The first gift cards protected with Digimarc's solution are expected to appear on shelves soon, with plans to expand globally. The company is also gaining recognition for its PLU fraud solution.

Digimarc (DMRC) Earnings, Revenues Date & History

The upcoming earnings date is based on a company’s previous reporting, and may be updated when the actual date is announced

Daily Earnings Calendar >

DMRC Earnings History

Report Date	Fiscal Quarter	Forecast / EPS	Last Year's EPS	EPS YoY Change	Slides	Play Transcript
Aug 14, 2025	2025 (Q2)	-0.32 / -	-0.43	―	―	―
May 05, 2025	2025 (Q1)	-0.47 / -0.55	-0.5	-10.00% (-0.05)	―
Feb 26, 2025	2024 (Q4)	-0.48 / -0.40	-0.52	23.08% (+0.12)	―
Nov 14, 2024	2024 (Q3)	-0.44 / -0.50	-0.53	5.66% (+0.03)	―
Aug 13, 2024	2024 (Q2)	-0.47 / -0.43	-0.53	18.87% (+0.10)	―
May 02, 2024	2024 (Q1)	-0.53 / -0.50	-0.7	28.57% (+0.20)	―
Feb 28, 2024	2023 (Q4)	-0.54 / -0.52	-0.62	16.13% (+0.10)	―
Nov 06, 2023	2023 (Q3)	-0.56 / -0.53	-0.76	30.26% (+0.23)	―
Aug 02, 2023	2023 (Q2)	-0.59 / -0.53	-0.75	29.33% (+0.22)	―
May 10, 2023	2023 (Q1)	-0.80 / -0.70	-1.03	32.04% (+0.33)	―

The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.

Beat

Missed

DMRC Earnings-Related Price Changes

Report Date	Price 1 Day Before	Price 1 Day After	Percentage Change
May 05, 2025	$13.74	$12.48	-9.17%
Feb 26, 2025	$27.04	$15.39	-43.08%
Nov 14, 2024	$30.12	$27.17	-9.79%
Aug 13, 2024	$28.84	$24.15	-16.26%

Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.

FAQ

When does Digimarc (DMRC) report earnings?

Digimarc (DMRC) is schdueled to report earning on Aug 14, 2025, After Close (Confirmed).

What is Digimarc (DMRC) earnings time?

Digimarc (DMRC) earnings time is at Aug 14, 2025, After Close (Confirmed).

Where can I see when companies are reporting earnings?

You can see which companies are reporting today on our designated earnings calendar.

What companies are reporting earnings today?

You can see a list of the companies which are reporting today on TipRanks earnings calendar.

What is DMRC EPS forecast?

DMRC EPS forecast for the fiscal quarter 2025 (Q2) is -0.32.

Become an Expert with TipRanks Premium

What am I Missing?

Make informed decisions based on Top Analysts' activity

Know what industry insiders are buying

Get actionable alerts from top Wall Street Analysts

Find out before anyone else which stock is going to shoot up

Get powerful stock screeners & detailed portfolio analysis

Subscribe Now See Plans & Pricing