VerifyMe, Inc.

Good day and welcome to the VerifyMe 3rd Quarter 2025 Financial Results Conference Call. All participants will be in listen-only mode. Should you need assistance, please signal a conference specialist by pressing the star key followed by 0. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star then 1 on a touch-tone phone. To withdraw your question, please press star then 2. Please note this event is being recorded. I would now like to turn the conference over to Jennifer Kola, CFO. Please go ahead.

Good morning, everyone, and thank you for joining us today for our third quarter 2025 earnings call presentation. On the call today, I'm joined by Adam Stedham, CEO and President, who will give an operations and strategic update, and I will provide a financial update. Following our management presentation, we will have a Q&A session. I'd like you to bring your attention to the note on forward-looking statements on slide three. Today's presentation and the answers to questions include forward-looking statements. It should be understood that actual results could materially differ from those projected due to a number of factors, including those described under the forward-looking statements and risk factors captions in the company's annual report on Form 10-K, and quarterly reports on Form 10-Q. I will now turn the call over to Adam Stedham to discuss the company strategy.

Thank you, Jen. I'm pleased with the success of our operating model combined with our sales and marketing plans in the third quarter. I do realize the third quarter revenue was down due to previously announced contract losses and changes associated with the transition from our previous proactive shipping partner. That statement is a common theme in our last several earnings calls, and I think it's good for us to review the past year to put our enthusiasm about the future into context. During Q1 of 2025, the company's revenue was down versus the previous year, and our gross margin was 33%. the revenue and gross margin were significantly impacted by the insourcing decision of our previous exclusive shipping partner. During the second quarter of 2025, Parishhip revenue decreased approximately 14% versus the second quarter the previous year, and the major contributing factor was the previously announced customer losses from 2024. However, the gross margin had improved to 35% in the second quarter versus 33% in the first quarter. During the third quarter of the year, revenue was down only approximately 7% from the prior year because of our sales and marketing efforts. Although these efforts were successful, they have only partially offset the previously announced contract changes and changes by our previous shipping partner. our gross margin continues to improve, our operating costs continue to reduce, and our adjusted EBITDA has improved. So we're in the midst of a transition to our new proactive shipping partner. We anticipate this will have a material impact on Q4 2025 and Q1 2026 revenues. And at this point, we're not in a position to provide guidance for 2026. But we do expect to provide that guidance during our next earnings call. We believe our new shipping partner relationship positions the company in a far better position long term. But we need a bit more time to define the opportunity and provide appropriate guidance. I look forward to calls in which we can report that our efforts are providing quarterly growth rather than only offsetting the impact of changes related to our shipping partner. As for our balance sheet, we continue to have plenty of cash to fund our organic and strategic growth strategies. We've received our first quarterly interest payment from our short-term note with ZenCredit in November and continue to believe this deployment of capital is very positive for shareholders. So at this point, I'll turn the call over to Jen, our CFO, for more specific financial details of the third quarter.