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Aware, Inc. Reports Second Quarter 2011 Financial Results
Date:7/26/2011

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1,3753462,204555Royalties

5417149931,470Total revenue

5,9134,97112,27210,587Costs and expenses:Cost of product sales

1,0878402,3081,877Cost of contract revenue

45074807145Research and development

1,8102,0823,7704,117Selling and marketing

1,0601,0532,1112,119General and administrative

1,7891,4162,9862,818Total costs and expenses

6,1965,46511,98211,076Income (loss) from operations

(283)(494)290(489)Other income

-325-325Interest income

16213539Income (loss) before provision for income taxes

(267)(148)325(125)Provision for income taxes

--21Net income (loss)

($267)($148)$323($126)Net income (loss) per share – basic

($0.01)($0.01)$0.02($0.01)Net income (loss) per share – diluted

($0.01)($0.01)$0.02($0.01)Weighted average shares – basic

20,70019,92720,46119,920Weighted average shares – diluted

20,70019,92720,28119,920AWARE, INC.CONDENSED CONSOLIDATED BALANCE SHEETS(In thousands)(unaudited)June 30,2011December 31,2010ASSETSCash and investments$43,232$39,949Accounts receivable, net5,0734,968Inventories, net1,4131,863Property and equipment, net6,2126,360Other assets, net257260Total assets$56,187$53,400LIABILITIES AND STOCKHOLDERS' EQUITYTotal current liabilities$3,104$3,197Long-term deferred revenue462320Total stockholders' equity 52,62149,883Total liabilities and stockholders' equity$56,187$53,400
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