Research Reports

Prepared Highlights

Q4 total revenue $62.9M (+3% YoY); full year 2025 total revenue $243.2M (flat YoY) (CEO, CFO, prepared)
Q4 software & services revenue grew 4% YoY; full year software & services revenue grew 5.3% YoY (prepared)
Digital Agreements (DA) Q4 revenue $17.5M (+117% YoY); DA full year revenue $65.5M (+117% YoY) (CFO, prepared)
DA subscription revenue Q4 +14.5% YoY; full year DA subscription revenue +11% YoY (CFO, prepared)
Cybersecurity Q4 revenue $45.4M (flat YoY); full year cybersecurity revenue $177.7M (-2.5% YoY) (CFO, prepared)
Cybersecurity subscription revenue full year +13% YoY (CFO, prepared)
Q4 subscription revenue $38.6M (+7% YoY); full year subscription revenue $156.1M (+12% YoY) (CFO, prepared)
Hardware revenue full year -16.6% YoY; hardware below 20% of 2026 expected revenue (CEO, CFO, prepared)
Q4 gross margin ~74% (both years); full year 2025 gross margin 74% vs 72% in 2024 (CFO, prepared)
Q4 GAAP operating income $12.5M (vs $11.8M Q4 2024); full year GAAP operating income $48.4M (vs $44.8M FY2024) (CFO, prepared)
Q4 adjusted EBITDA $19.4M (30.9% margin); full year 2025 adjusted EBITDA $77.6M (31.9% margin) (CEO, CFO, prepared)
ARR at year-end $187M (+11.5% YoY): cybersecurity ARR $120M (+12% YoY), DA ARR $67M (+10% YoY) (CEO, CFO, prepared)
Net retention rate Q4 104% (vs 103% prior quarter) (CFO, prepared)
Operating cash flow FY2025 $59.5M (CEO, CFO, prepared)
Cash & cash equivalents year-end 2025 $70.5M; no long-term debt (CFO, prepared)
Shareholder returns FY2025: ~$32M total ($18.5M dividends, $13.1M buybacks of ~1M shares) (CEO, CFO, prepared)
DA gross retention rate improved >4% in 2025 vs 2024, now >90% (CEO, prepared)
Acquisition of Build38 expected to close this quarter (Q1 2026) (CEO, prepared)

Official Guidance (FY2026):

Software & services revenue: $201M–$204M (+4%–5% YoY)
Hardware revenue: $43M–$45M (-8% to -12% YoY)
Total revenue: $244M–$249M (0%–2% growth)
ARR: $192M–$196M (+3%–5% YoY)
Adjusted EBITDA: $64M–$68M (includes $3M–$4M dilution from Build38 acquisition) (CFO, prepared)
Quarterly dividend increased from $0.12 to $0.13 per share ($0.52 annualized, +8%) (CEO, prepared)

Mgmt Quotes:

"Both divisions, cybersecurity and digital agreements, are now solidly profitable." (CEO)
"We generated nearly $60 million in cash from operations." (CEO)
"Our gross retention rate in our DA business improved by over 4% in 2025... and is now over 90%." (CEO)
"We ended the quarter and year with annual recurring revenue of $187 million, up 11.5% year over year." (CEO)
"We are planning on making incremental internal investments of approximately $5.5 million in our sales and marketing and product and R&D organizations." (CFO)

Prepared Metrics

Metric	Value	Speaker/Context
Q4 Total Revenue	$62.9M	Q4 YoY +3% (CFO)
FY2025 Total Revenue	$243.2M	Flat YoY (CFO)
Q4 Software & Services Revenue Growth	+4% YoY	(CEO)
Q4 Subscription Revenue	$38.6M	+7% YoY (CFO)
FY2025 Subscription Revenue	$156.1M	+12% YoY (CFO)
FY2025 Software Revenue Growth (ex-services)	+6.4%	(CEO)
Q4 Cybersecurity Revenue	$45.4M	Flat YoY (CFO)
FY2025 Cybersecurity Revenue	$177.7M	-2.5% YoY (CFO)
Q4 DA Revenue	$17.5M	+117% YoY (CFO)
FY2025 DA Revenue	$65.5M	+117% YoY (CFO)
Q4 Gross Margin	~74%	Both years (CFO)
FY2025 Gross Margin	74%	vs 72% FY2024 (CFO)
Q4 Adjusted EBITDA	$19.4M	30.9% margin (CFO)
FY2025 Adjusted EBITDA	$77.6M	31.9% margin (CFO)
FY2025 Operating Cash Flow	$59.5M	(CEO, CFO)
Year-End ARR	$187M	+11.5% YoY (CEO)
Cybersecurity ARR	$120M	+12% YoY (CFO)
DA ARR	$67M	+10% YoY (CFO)
Q4 Net Retention Rate	104%	vs 103% prior Q (CFO)
DA Gross Retention Rate	>90%	Improved >4% in 2025 (CEO)
Q4 GAAP Operating Income	$12.5M	vs $11.8M Q4 2024 (CFO)
FY2025 GAAP Operating Income	$48.4M	vs $44.8M FY2024 (CFO)
Q4 Non-GAAP EPS	$0.36	(CFO)
FY2025 Non-GAAP EPS	$1.49	(CFO)
Year-End Cash & Equivalents	$70.5M	vs $83.2M YE2024 (CFO)
FY2025 Shareholder Returns	~$32M	Dividends $18.5M + buybacks $13.1M (CEO, CFO)
FY2025 Hardware Revenue Decline	-16.6% YoY	(CFO)

Q&A Batch (1-2 of 2)

Q1 — Trevor Rambo

Topic: 年初需求趋势与硬件业务前景
Key points:
- Q4 结束时最后几天有约 300 万美元的软件收入从 Q1 提前确认，非硬件；全年硬件收入 4900 万美元，符合 Q3 指引
- 2026 财年硬件指引中点同比下降约 10%（对比 FY24 降 22%、FY25 降 16.5%），降幅收窄因消费银行从网页向移动端转移可能趋于稳定
- 新年 Q1 起步合理，新 CRO 于 12 月入职，营销投资需 6–9 个月销售周期，预计下半年才见效益
Mgmt stance: 中性偏谨慎 — 对硬件降幅收窄持谨慎乐观，但年初需求仅为“合理开始”，增长需等待新团队见效

Q2 — Anja Soderstrom

Topic: 新 CRO 执行、M&A 战略及 AI 影响
Key points:
- 新 CRO Sean 全职专注销售执行与管道开发，同时负责全流程市场推广（lead generation → 管道 → 成交），销售周期 6–9 个月甚至更长
- 收购 Knock Knock 和 Build38 目的是获取技术（非客户/收入），两项标的此前收入规模很小但技术成熟
- AI 方面：当前 app shielding 和认证业务因需应对最新攻击且客户风险极高，短期威胁可控；长期消费者使用 AI 代理与银行交互将大幅提升认证需求
Mgmt stance: 中性偏乐观 — 新 CRO 带来纪律但见效需时间；AI 长期是机遇，短期威胁有限