awre-10q_20210331.htm

Large accelerated filer

Accelerated filer

Non-accelerated filer

Smaller reporting company

Emerging growth company

10-Q 1 awre-10q_20210331.htm 10-Q awre-10q_20210331.htm

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

Quarterly Report Pursuant To Section 13 Or 15(d) Of The

Securities Exchange Act of 1934

For the quarter ended March 31, 2021

Commission file number 000-21129

AWARE, INC.

(Exact Name of Registrant as Specified in Its Charter)

Massachusetts		04-2911026
(State or Other Jurisdiction of		(I.R.S. Employer Identification No.)
Incorporation or Organization)

40 Middlesex Turnpike, Bedford, Massachusetts, 01730

(Address of Principal Executive Offices)

(Zip Code)

(781) 276-4000

(Registrant’s Telephone Number, Including Area Code)

Securities registered pursuant to Section 12(b) of the Act:

Title of Each Class		Trading Symbol		Name of Each Exchange on Which Registered
Common Stock, $0.01 par value per share		AWRE		The Nasdaq Global Market

Indicate by check whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer,” “accelerated filer," “smaller reporting company,” and "emerging growth company" in Rule 12b-2 of the Exchange Act.:

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act ___

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

The number of shares outstanding of the registrant’s common stock as of April 23, 2021 was 21,494,236.

AWARE, INC.

FORM 10-Q

FOR THE QUARTER ENDED MARCH 31, 2021

TABLE OF CONTENTS

		Page

PART I	FINANCIAL INFORMATION	3

Item 1.	Unaudited Consolidated Financial Statements	3
	Consolidated Balance Sheets as of March 31, 2021 and December 31, 2020	3
	Consolidated Statements of Operations for the Three Months Ended March 31, 2021 and March 31, 2020	4
	Consolidated Statements of Cash Flows for the Three Months Ended March 31, 2021 and March 31, 2020	5
	Consolidated Statements of Stockholders’ Equity for the Three Months Ended March 31, 2021 and March 31, 2020	6
	Notes to Consolidated Financial Statements	7
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	17
Item 4.	Controls and Procedures	21

PART II	OTHER INFORMATION	22
Item 1.	Legal Proceedings	22
Item 1A.	Risk Factors	22
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	22
Item 6.	Exhibits	23
	Signatures	24

PART 1. FINANCIAL INFORMATION

ITEM 1: CONSOLIDATED FINANCIAL STATEMENTS

AWARE, INC.

CONSOLIDATED BALANCE SHEETS

(in thousands, except share data)

(unaudited)

	March 31, 2021			December 31, 2020
ASSETS
Current assets:
Cash and cash equivalents	$	36,040		$	38,565
Accounts receivable, net of allowance for doubtful accounts of $138 at March 31, 2021 and December 31, 2020		2,872			2,285
Unbilled receivables		2,482			2,229
Prepaid expenses and other current assets		531			582
Total current assets		41,925			43,661

Property and equipment, net		3,567			3,701
Intangible assets, net		1,174			1,217
Goodwill		1,651			1,651
Long-term tax receivable		1,398			1,398
Total assets	$	49,715		$	51,628
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable	$	504		$	494
Accrued expenses		1,303			1,531
Deferred revenue		3,417			3,843
Total current liabilities		5,224			5,868
Long-term deferred revenue		126			90
Commitments and contingent liabilities
Stockholders’ equity:
Preferred stock, $1.00 par value; 1,000,000 shares authorized, none outstanding		—			—
Common stock, $.01 par value; 70,000,000 shares authorized; issued and outstanding of 21,494,236 as of March 31, 2021 and 21,378,833 as of December 31, 2020	215			214
Additional paid-in capital		96,246			96,104
Accumulated deficit		(52,096	)		(50,648	)
Total stockholders’ equity		44,365			45,670
Total liabilities and stockholders’ equity	$	49,715		$	51,628

The accompanying notes are an integral part of the consolidated financial statements.

AWARE, INC.

CONSOLIDATED STATEMENTS OF OPERATIONS

(in thousands, except per share data)

(unaudited)

	Three Months Ended March 31,
	2021			2020
Revenue:
Software licenses	$	2,367		$	1,969
Software maintenance		1,536			1,362
Services and other		516			187
Total revenue		4,419			3,518
Costs and expenses:
Cost of sales		383			170
Research and development		2,396			2,272
Selling and marketing		1,652			1,285
General and administrative		1,437			1,138
Total costs and expenses		5,868			4,865
Operating loss		(1,449	)		(1,347	)
Interest income		1			148
Loss before benefit from income taxes		(1,448	)		(1,199	)
Benefit from income taxes		—			(139	)
Net loss	$	(1,448	)	$	(1,060	)
Net loss per share – basic	$	(0.07	)	$	(0.05	)
Net loss per share – diluted	$	(0.07	)	$	(0.05	)
Weighted-average shares – basic		21,494			21,522
Weighted-average shares – diluted		21,494			21,522

The accompanying notes are an integral part of the consolidated financial statements.

AWARE, INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS

(in thousands)

(unaudited)

	Three Months Ended
	March 31,
	2021			2020
Cash flows from operating activities:
Net loss	$	(1,448	)	$	(1,060	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization		177			132
Stock-based compensation		197			83
Changes in assets and liabilities:
Accounts receivable		(587	)		548
Unbilled receivables		(253	)		90
Prepaid expenses and other current assets		51			(84	)
Long-term tax receivable	-				(146	)
Accounts payable		10			28
Accrued expenses		(229	)		80
Deferred revenue		(389	)		(220	)
Net cash used in operating activities		(2,471	)		(549	)
Cash flows from investing activities:
Purchases of property and equipment	-				(286	)
Net cash used in investing activities	-				(286	)
Cash flows from financing activities:
Payments made for taxes of employees who surrendered shares related to unrestricted stock		(54	)		(50	)
Net cash used in financing activities		(54	)		(50	)
Decrease in cash and cash equivalents		(2,525	)		(885	)
Cash and cash equivalents, beginning of period		38,565			47,742
Cash and cash equivalents, end of period	$	36,040		$	46,857
Supplemental disclosure: Cash paid for income taxes	$	—		$	—

The accompanying notes are an integral part of the consolidated financial statements.

AWARE, INC.

CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY

(in thousands)

(unaudited)

	Three Months Ended March 31, 2020
						Additional						Total
	Common Stock					Paid-In			(Accumulated			Stockholders’
	Shares			Amount		Capital			Deficit)			Equity
Balance at December 31, 2019		21,443		$	214	$	96,255		$	(43,034	)	$	61,897
Issuance of unrestricted stock		94			1		(1	)		—			—
Shares surrendered by employees to pay taxes related to unrestricted stock		(15	)		—		(50	)		—			(50	)
Stock-based compensation expense		—			—		83			—			83
Net loss		—			—		—			(1,060	)		(1,060	)
Balance at March 31, 2020		21,552		$	215	$	96,287		$	(44,094	)	$	52,408

	Three Months Ended March 31, 2021
						Additional						Total
	Common Stock					Paid-In			(Accumulated			Stockholders’
	Shares			Amount		Capital			Deficit)			Equity
Balance at December 31, 2020		21,379		$	214	$	96,104			(50,648	)	$	45,670
Issuance of unrestricted stock		131			1		(1	)		—			—
Shares surrendered by employees to pay taxes related to unrestricted stock		(16	)		—		(54	)		—			(54	)
Stock-based compensation expense		—			—		197			—			197
Net loss		—			—		—			(1,448	)		(1,448	)
Balance at March 31, 2021		21,494		$	215	$	96,246		$	(52,096	)	$	44,365

The accompanying notes are an integral part of the consolidated financial statements.

AWARE, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(unaudited)

Note 1 – Description of the Company and Basis of Presentation

Description of the Company

We are a global leader in biometrics software offerings and solutions. Our portfolio enables government agencies and commercial entities to enroll, identify, authenticate and enable using biometrics, which comprise physiological characteristics, such as fingerprints, faces, irises and voices.

•

Enroll: Register biometric identities into an organization’s secure database

•

Identify: Utilize an organization’s secure database to accurately identify individuals using biometric data

•

Authenticate: Provide frictionless multi-factor, passwordless access to secured accounts and databases with biometric verification

•

Enable: Manage the lifecycle of secure identities through optimized biometric interchanges

We have been engaged in this business since 1993. Our comprehensive portfolio of biometric solutions is based on innovative, robust products designed explicitly for ease of integration, including customer-managed and integration ready biometric frameworks, platforms, software development kits (SDKs) and services. Principal government applications of biometrics systems include border control, visa applicant screening, law enforcement, national defense, intelligence, secure credentialing, access control, and background checks. Principal commercial applications include mobile enrollment, user authentication, identity proofing, and secure transaction enablement.

Our products span multiple biometric modalities including fingerprint, face, iris and voice, and provide interoperable, standards-compliant, field-proven biometric functionality. Our products are used to capture, verify, format, compress and decompress biometric images as well as aggregate, analyze, process, match and transport those images and templates within biometric systems. For large deployments, we may provide project management and software engineering services. We sell our biometrics software products and services globally through a multifaceted distribution strategy using systems integrators, original equipment manufacturers (OEMs), value added resellers (VARs), partners, and directly to end user customers.

Certain amounts in the consolidated financial statements and associated notes may not add due to rounding. All percentages have been calculated using unrounded amounts.

Basis of Presentation

The accompanying unaudited consolidated financial statements have been prepared in accordance with the instructions for Form 10-Q and therefore do not include all information and notes necessary for a complete presentation of our financial position, results of operations and cash flows, in conformity with generally accepted accounting principles. We filed audited financial statements which included all information and notes necessary for such presentation for the two years ended December 31, 2020 in conjunction with our 2020 Annual Report on Form 10-K. This Form 10-Q should be read in conjunction with that Form 10-K.

The accompanying unaudited consolidated balance sheets, statements of operations, statements of cash flows, and statements of stockholders’ equity reflect all adjustments (consisting only of normal recurring items) which are, in the opinion of management, necessary for a fair presentation of financial position at March 31, 2021, and of operations and cash flows for the interim periods ended March 31, 2021 and 2020.

The results of operations for the interim period ended March 31, 2021 are not necessarily indicative of the results to be expected for the year.

Principles of Consolidation

The consolidated financial statements include the accounts of Aware and its subsidiary, Aware Security Corporation. Intercompany accounts and transactions have been eliminated in consolidation.

Use of Estimates

The preparation of our financial statements in conformity with accounting principles generally accepted in the United States of America requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amount of revenues and expenses during the reporting period. The most significant estimates included in the financial statements pertain to revenue recognition, reserves for doubtful accounts, valuation of intangible assets and goodwill recorded as part of the combinations and valuation allowance for deferred income tax assets. Actual results could differ from those estimates.

Recent Accounting Pronouncements

In December 2019, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) No. 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes. The ASU was issued to reduce the complexity of the reporting information for financial statement users. We adopted the standard on January 1, 2020. The adoption of the standard did not result in any adjustment to our consolidated financial statements.

In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses of Financial Instruments, which changes the methodology for measuring credit losses on financial instruments and the timing of when such losses are recorded. This guidance was to be effective for reporting periods beginning after December 15, 2019, with early adoption permitted. In November 2019, the FASB issued ASU 2019-10, Financial Instruments – Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842) Effective Dates, which deferred the effective dates for us, as a smaller reporting company, until fiscal year 2023. We are continuing to assess the impact of the standard on our consolidated financial statements.

Note 2 – Revenue Recognition

We recognize revenue in accordance with Accounting Standards Codification (“ASC”) Topic 606, “Revenue from Contracts with Customers” (“ASC 606”). Under ASC 606, we apply the following five step model:

1.Identify the contract with the customer;

2.Identify the performance obligations in the contract;

3.Determine the transaction price;

4.Allocate the transaction price to the performance obligations in the contract; and

5.Recognize revenue when (or as) each performance obligation is satisfied.

We categorize revenue as software licenses, software maintenance, or services and other. Revenue from software licenses is recognized at a point in time upon delivery, provided all other revenue recognition criteria are met. We recognize software maintenance revenue over time on a straight-line basis over the contract period. Services revenue is recognized over time as the services are delivered using an input method (i.e., labor hours incurred as a percentage of total labor hours budgeted), provided all other revenue recognition criteria are met.

In addition to selling software licenses, software maintenance and software services on a standalone basis, a significant portion of our contracts include multiple performance obligations, which require an allocation of the transaction price to each distinct performance obligation based on a relative standalone selling price (“SSP) basis. The SSP is the price at which we would sell a promised good or service separately to a customer. The best estimate of SSP is the observable price of a good or service when we sell that good or service separately. A contractually stated price or a list price for a good or service may be the SSP of that good or service. We use a range of amounts to estimate SSP when we sell each of the goods and services separately and need to determine whether there is a discount that needs to be allocated based on the relative SSP of the various goods and services. In instances where SSP is not directly observable, such as when we

do not sell the product or service separately, we typically determine the SSP using an adjusted market assessment approach using information that may include market conditions and other observable inputs. We typically have more than one SSP for individual goods and services due to the stratification of those goods and services by customer. In these instances, we may use information such as the nature of the customer and distribution channel in determining the SSP.

When software licenses and significant customization engineering services are sold together, they are accounted for as a combined performance obligation, as the software licenses are generally highly dependent on, and interrelated with, the associated customization services and therefore are not distinct performance obligations. Revenue for the combined performance obligation is recognized over time as the services are delivered using an input method (i.e., labor hours incurred as a percentage of total labor hours budgeted).

When subscription-based software is sold, the subscription-based software and software maintenance are generally considered distinct performance obligations. The transaction price is allocated to subscription-based software and the software maintenance based on relative SSP. We sell subscription-based software for a fixed fee and/or a usage-based royalty fee, sometimes subject to a minimum guarantee. When the amount is in the form of a fixed fee, including the guaranteed minimum in subscription-based royalties, revenue is allocated to the subscription-based software and recognized at a point in time upon delivery, provided all other revenue recognition criteria are met. Revenue allocated to the software maintenance is recognized over the contract term on a straight-line basis. Any subscription-based software fees earned not subject to the guaranteed minimum or earned in excess of the minimum amount are recognized as revenue when the subsequent usage occurs.

Our contracts can include variable fees, such as the option to purchase additional usage of a previously delivered software license. We may also provide pricing concessions to clients, a business practice that also gives rise to variable fees in contracts. We include variable fees in the determination of total transaction price if it is not probable that a future significant reversal of revenue will occur. We use the expected value or most likely value amount, whichever is more appropriate for specific circumstances, to estimate variable consideration, and the estimates are based on the level of historical price concessions offered to clients.

The amount of consideration is not adjusted for a significant financing component if the time between payment and the transfer of the related good or service is expected to be one year or less under the practical expedient in ASC 606-10-32-18. Our revenue arrangements are typically accounted for under such expedient, as payment is typically due within 30 to 60 days. As of March 31, 2021 and 2020, none of our contracts contained a significant financing component.

Disaggregation of Revenues

We organize ourselves into a single segment that reports to the chief operating decision maker. We conduct our operations in the United States and sell our products and services to domestic and international customers. Revenues were generated from the following geographic regions for the three months ended March 31, 2021 and 2020 (in thousands):

	Three Months Ended
	March 31,
	2021		2020
United States	$	2,223	$	2,011
United Kingdom		679		687
Rest of World		1,517		820
	$	4,419	$	3,518

Revenue by timing of transfer of goods or services for the three months ended March 31, 2021 and 2020 was (in thousands):

	Three Months Ended
	March 31,
	2021		2020
Goods or services transferred at a point in time	$	2,408	$	1,952
Goods or services transferred over time		2,011		1,566
	$	4,419	$	3,518

Revenue by contract type for the three months ended March 31, 2021 and 2020 was (in thousands):

	Three Months Ended
	March 31,
	2021		2020
License and service contracts	$	3,634	$	3,369
Subscription-based contracts		785		149
	$	4,419	$	3,518

Revenue from subscription-based contracts include revenue that may be recognized as part of a fixed fee and or minimum guarantee as well as fees earned and allocated software maintenance.

Contract Balances

When the timing of our delivery of goods or services is different from the timing of payments made by customers, we recognize either a contract asset (performance precedes contractual due date) or a contract liability (customer payment precedes performance). Customers that prepay are represented by the deferred revenue below until the performance obligation is satisfied.

Our contract assets consist of unbilled receivables. Our contract liabilities consist of deferred (unearned) revenue, which is generally related to software maintenance contracts. We classify deferred revenue as current or noncurrent based on the timing of when we expect to recognize revenue.

The following table presents changes in our contract assets and liabilities during the three months ended March 31, 2020 and 2021 (in thousands):

	Balance at Beginning of Period		Revenue Recognized In Advance of Billings		Billings			Balance at End of Period
Three months ended March 31, 2020
Contract assets:
Unbilled receivables	$	3,315	$	183	$	(273	)	$	3,225
Three months ended March 31, 2021
Contract assets:
Unbilled receivables	$	2,229	$	690	$	(437	)	$	2,482

	Balance at Beginning of Period		Billings		Revenue Recognized			Balance at End of Period
Three months ended March 31, 2020
Contract liabilities:
Deferred revenue	$	2,837	$	1,148	$	(1,368	)	$	2,617
Three months ended March 31, 2021
Contract liabilities:
Deferred revenue	$	3,933	$	1,435	$	(1,825	)	$	3,543

Remaining Performance Obligations

Remaining performance obligations represent the transaction price from contracts for which work has not been performed or goods and services have not been delivered. We expect to recognize revenue on approximately 75% of the remaining performance obligations over the next 12 months, with the remainder recognized thereafter. As of March 31, 2021, the aggregate amount of the transaction price allocated to remaining performance obligations for contracts with a duration greater than one year was $1.9 million.

Note 3 – Fair Value Measurements

The FASB Codification defines fair value, and establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The three levels of the fair value hierarchy under the FASB Codification are: Level 1 – valuations that are based on quoted prices (unadjusted) in active markets for identical assets or liabilities that the reporting entity has the ability to access at the measurement date; Level 2 – valuations that are based on quoted prices in markets that are not active or for which all significant inputs are observable, either directly or indirectly; and Level 3 – valuations that require inputs that are both significant to the fair value measurement and unobservable.

Cash and cash equivalents, which primarily include money market mutual funds, were $36.0 million and $38.6 million as of March 31, 2021 and December 31, 2020, respectively. As of March 31, 2021, our assets that are measured at fair value on a recurring basis and whose carrying values approximate their respective fair values included the following (in thousands):

	Fair Value Measurement at March 31, 2021 Using:
	Quoted Prices in Active Markets for Identical Assets		Significant Other Observable Inputs		Significant Unobservable Inputs
	(Level 1)		(Level 2)		(Level 3)
Money market funds (included in cash and cash equivalents)	$	35,449	$	—	$	—
Total	$	35,449	$	—	$	—

As of December 31, 2020, our assets that are measured at fair value on a recurring basis and whose carrying values approximate their respective fair values included the following (in thousands):

	Fair Value Measurement at December 31, 2020 Using:
	Quoted Prices in Active Markets for Identical Assets		Significant Other Observable Inputs		Significant Unobservable Inputs
	(Level 1)		(Level 2)		(Level 3)
Money market funds (included in cash and cash equivalents)	$	37,948	$	—	$	—
Total	$	37,948	$	—	$	—

Note 4 – Acquisition

In November 2020, we entered into a Bill of Sale and Assignment Agreement (the “Agreement”) with Radiant Mission Solutions Inc. (“Radiant” as seller) and Maxar Technologies, Inc. (as guarantor) to acquire certain assets and assume certain liabilities of Radiant’s AFIX product line for cash consideration of approximately $2.4 million. The acquisition of AFIX provides turnkey face and fingerprint biometric and forensic analysis software for small and medium-sized law enforcement and government agencies and extends our ABIS product family.

The acquisition was accounted for as a business combination, whereby all the assets acquired, and liabilities assumed were recognized at fair value on the acquisition date, with any excess of the consideration transferred over the fair value of the net assets acquired recognized as goodwill. Unaudited pro forma results of operations assuming the above acquisition had taken place at the beginning of each period are not provided because the historical operating results and pro forma results would not be materially different from reported results for the periods presented.

The fair values recorded were based on a valuation and the estimates and assumptions used in such valuation are subject to change, within the measurement period (up to one year from the acquisition date). The following table summarizes the fair values of the assets acquired and liabilities assumed at the date of acquisition (in thousands):

Net working capital, excluding deferred revenue	$	155
Customer relationships		940
Developed technology		280
Trade name / trademarks		20
Goodwill		1,651
Assets acquired		3,046
Deferred revenue		(616	)
Net assets acquired	$	2,430

After allocating the purchase price to the assets acquired and liabilities assumed based on their fair values at the date of acquisition, we recorded goodwill of approximately $1.7 million. Goodwill largely consists of expected synergies to be realized from combining operations. The goodwill is deductible for income tax purposes.

The fair values of intangible assets were based on valuations using the income approach. The fair value of intangible assets and their estimated useful live are as follows (dollars in thousands):

	Useful Life	Gross Amount		Accumulated Amortization		Net Book Value
Customer relationships	8 years	$	940	$	44	$	896
Developed technology	5 years		280		21		259
Trade name trademarks	7 years		20		1		19
		$	1,240	$	66	$	1,174

During the three months ended March 31, 2021 we recorded $43 thousand intangible amortization. The Company expects to record amortization for the years ended December 31 (in thousands):

2021	$	132
2022		176
2023		176
2024		176
2025		169
Thereafter		345
	$	1,174

Note 5 – Computation of Earnings per Share

Basic earnings per share is computed by dividing net income or loss by the weighted average number of common shares outstanding. Diluted earnings per share is computed by dividing net income or loss by the weighted average number of common shares outstanding plus additional common shares that would have been outstanding if dilutive potential common shares had been issued. For the purposes of this calculation, stock options are considered common stock equivalents in periods in which they have a dilutive effect. Stock options that are anti-dilutive are excluded from the calculation. Potential common stock equivalents were not included in the per share calculation below for diluted earnings per share, because we had a net loss and the effect of their inclusion would be anti-dilutive.

Net income (loss) per share is calculated as follows (in thousands, except per share data):

	Three Months Ended March 31,
	2021			2020
Net loss	$	(1,448	)	$	(1,060	)
Shares outstanding:
Weighted-average common shares outstanding		21,494			21,522
Diluted shares outstanding		21,494			21,522
Net loss per share – basic	$	(0.07	)	$	(0.05	)
Net loss per share - diluted	$	(0.07	)	$	(0.05	)

Note 6 – Equity and Stock-based compensation

The following table presents stock-based compensation expenses included in our unaudited consolidated statements of comprehensive income (in thousands):

Three Months Ended

March 31,

2021

2020

SEC Form 10-Q filed by Aware, Inc.