Red Violet第二季收入增23%至2672萬美元 完成1.086億美元公開發售

10-Q
 
 
 
 falseQ20001720116--12-31One yearOneOne0001720116rdvt:ProbablePerformanceRestrictedStockUnitsMember2026-06-300001720116us-gaap:SubsequentEventMemberrdvt:UnderwrittenPublicOfferingMember2026-08-072026-08-0700017201162025-04-012025-04-300001720116rdvt:SegmentsMember2025-01-012025-06-300001720116us-gaap:CommonStockMember2025-03-310001720116rdvt:TwoThousandEighteenStockIncentivePlanMember2026-06-300001720116us-gaap:CostOfGoodsAndServiceExcludingDepreciationDepletionAndAmortization2026-01-012026-06-300001720116rdvt:AcquisitionTargetMember2026-01-012026-06-300001720116us-gaap:CommonStockMember2025-04-012025-06-300001720116us-gaap:AdditionalPaidInCapitalMember2026-03-3100017201162026-06-300001720116us-gaap:GeneralAndAdministrativeExpense2026-04-012026-06-300001720116us-gaap:AdditionalPaidInCapitalMember2025-12-310001720116us-gaap:RestrictedStockUnitsRSUMember2025-12-310001720116us-gaap:TreasuryStockCommonMember2026-01-012026-06-300001720116us-gaap:CommonStockMember2025-01-012025-06-300001720116us-gaap:OverAllotmentOptionMemberus-gaap:SubsequentEventMember2026-08-062026-08-0600017201162024-12-310001720116rdvt:NonExecutiveEmployeeMemberrdvt:PerformanceBasedRestrictedStockUnitsMember2026-04-072026-04-0700017201162017-01-3100017201162031-01-012026-01-012026-06-3000017201162029-01-012026-01-012026-06-300001720116rdvt:SegmentsMember2026-04-012026-06-300001720116rdvt:CustomersWithPricingContractsMember2025-04-012025-06-300001720116us-gaap:CommonStockMember2026-06-300001720116rdvt:CustomersWithPricingContractsMember2025-01-012025-06-3000017201162026-04-012026-06-300001720116rdvt:NonExecutiveEmployeeMemberrdvt:NotProbablePerformanceRestrictedStockUnitsMember2026-03-310001720116us-gaap:RestrictedStockUnitsRSUMember2026-01-012026-06-300001720116us-gaap:AdditionalPaidInCapitalMember2025-03-310001720116us-gaap:AdditionalPaidInCapitalMember2026-04-012026-06-300001720116us-gaap:TreasuryStockCommonMember2024-12-310001720116us-gaap:ShareBasedCompensation2025-04-012025-06-3000017201162026-03-310001720116us-gaap:SellingAndMarketingExpense2026-01-012026-06-300001720116rdvt:AcquisitionTargetMember2025-01-012025-06-300001720116us-gaap:RestrictedStockUnitsRSUMember2026-06-300001720116us-gaap:ShareBasedCompensation2026-04-012026-06-300001720116rdvt:TransactionalCustomersMember2025-04-012025-06-300001720116us-gaap:RetainedEarningsMember2025-04-012025-06-300001720116rdvt:AcquisitionTargetMember2025-04-012025-06-3000017201162025-06-300001720116rdvt:NonExecutiveEmployeeMemberrdvt:ProbablePerformanceRestrictedStockUnitsMember2025-12-310001720116us-gaap:RetainedEarningsMember2026-06-300001720116us-gaap:SoftwareInDevelopmentMember2025-04-012025-06-300001720116rdvt:TransactionalCustomersMember2026-01-012026-06-300001720116rdvt:EmployeesAndDirectorsMembersrt:MaximumMember2026-01-012026-06-300001720116us-gaap:RetainedEarningsMember2025-12-310001720116us-gaap:SellingAndMarketingExpense2026-04-012026-06-300001720116us-gaap:SoftwareInDevelopmentMember2026-06-300001720116us-gaap:SoftwareInDevelopmentMember2026-04-012026-06-300001720116rdvt:NonExecutiveEmployeeMemberrdvt:PerformanceBasedRestrictedStockUnitsMember2026-01-012026-06-300001720116rdvt:PerformanceBasedRestrictedStockUnitsMember2026-01-092026-01-090001720116us-gaap:CommonStockMember2025-12-310001720116rdvt:StockRepurchaseProgramMember2025-11-0300017201162025-01-012025-06-300001720116rdvt:CustomersWithPricingContractsMember2026-01-012026-06-300001720116rdvt:ProbablePerformanceRestrictedStockUnitsMember2026-01-012026-06-300001720116us-gaap:AdditionalPaidInCapitalMember2025-06-300001720116rdvt:NonExecutiveEmployeeMemberrdvt:PerformanceBasedRestrictedStockUnitsMember2024-03-182024-03-180001720116us-gaap:GeneralAndAdministrativeExpense2025-01-012025-06-300001720116us-gaap:CostOfGoodsAndServiceExcludingDepreciationDepletionAndAmortization2025-01-012025-06-300001720116us-gaap:GeneralAndAdministrativeExpense2025-04-012025-06-300001720116us-gaap:SubsequentEventMemberrdvt:UnderwrittenPublicOfferingMember2026-08-070001720116us-gaap:TreasuryStockCommonMember2025-01-012025-06-300001720116us-gaap:CommonStockMember2026-03-310001720116us-gaap:CommonStockMember2024-12-310001720116us-gaap:SoftwareInDevelopmentMember2025-01-012025-06-300001720116us-gaap:SoftwareInDevelopmentMembersrt:MaximumMember2026-06-300001720116us-gaap:RetainedEarningsMember2025-06-3000017201162025-01-012025-12-310001720116us-gaap:RetainedEarningsMember2025-01-012025-06-300001720116us-gaap:SubsequentEventMemberrdvt:UnderwrittenPublicOfferingMember2026-08-062026-08-060001720116us-gaap:TreasuryStockCommonMember2025-03-310001720116us-gaap:RetainedEarningsMember2026-01-012026-06-300001720116us-gaap:CostOfGoodsAndServiceExcludingDepreciationDepletionAndAmortization2025-04-012025-06-3000017201162026-07-012026-01-012026-06-300001720116us-gaap:RetainedEarningsMember2026-04-012026-06-300001720116rdvt:PerformanceBasedRestrictedStockUnitsMember2026-06-300001720116us-gaap:ShareBasedCompensation2025-01-012025-06-300001720116rdvt:TwoThousandEighteenStockIncentivePlanMembersrt:MaximumMember2025-06-100001720116rdvt:TwoThousandEighteenStockIncentivePlanMembersrt:MinimumMember2025-06-100001720116rdvt:SegmentsMember2026-01-012026-06-3000017201162023-09-200001720116rdvt:SegmentsMember2025-04-012025-06-300001720116us-gaap:CostOfGoodsAndServiceExcludingDepreciationDepletionAndAmortization2026-04-012026-06-300001720116us-gaap:SoftwareInDevelopmentMember2026-01-012026-06-3000017201162024-12-2000017201162026-08-070001720116us-gaap:AdditionalPaidInCapitalMember2026-01-012026-06-300001720116us-gaap:RetainedEarningsMember2024-12-310001720116us-gaap:CommonStockMember2025-06-300001720116us-gaap:CommonStockMember2026-01-012026-06-300001720116rdvt:StockRepurchaseProgramMember2026-01-012026-06-3000017201162027-01-012026-01-012026-06-300001720116us-gaap:OtherIntangibleAssetsMember2026-06-300001720116rdvt:NonExecutiveEmployeeMemberrdvt:ProbablePerformanceRestrictedStockUnitsMember2026-06-300001720116us-gaap:SellingAndMarketingExpense2025-01-012025-06-300001720116us-gaap:ShareBasedCompensation2026-01-012026-06-300001720116rdvt:TransactionalCustomersMember2025-01-012025-06-300001720116rdvt:NonExecutiveEmployeeMemberus-gaap:RestrictedStockUnitsRSUMember2026-01-012026-06-300001720116us-gaap:SubsequentEventMemberrdvt:UnderwrittenPublicOfferingMember2026-08-052026-08-0500017201162025-03-310001720116us-gaap:CommonStockMember2026-04-012026-06-300001720116us-gaap:TreasuryStockCommonMember2026-04-012026-06-3000017201162030-01-012026-01-012026-06-300001720116us-gaap:OtherIntangibleAssetsMember2025-12-310001720116us-gaap:SellingAndMarketingExpense2025-04-012025-06-3000017201162026-01-012026-06-3000017201162025-12-310001720116us-gaap:AdditionalPaidInCapitalMember2024-12-310001720116rdvt:AcquisitionTargetMember2026-04-012026-06-3000017201162028-01-012026-01-012026-06-300001720116us-gaap:AdditionalPaidInCapitalMember2026-06-3000017201162025-04-012025-06-300001720116rdvt:NonExecutiveEmployeeMemberrdvt:PerformanceBasedRestrictedStockUnitsMember2025-12-310001720116us-gaap:AdditionalPaidInCapitalMember2025-01-012025-06-300001720116us-gaap:TreasuryStockCommonMember2025-12-310001720116us-gaap:AdditionalPaidInCapitalMember2025-04-012025-06-300001720116us-gaap:GeneralAndAdministrativeExpense2026-01-012026-06-300001720116us-gaap:RestrictedStockUnitsRSUMemberrdvt:EmployeesAndDirectorsMembersrt:MaximumMember2026-01-012026-06-300001720116rdvt:PerformanceBasedRestrictedStockUnitsMember2026-01-012026-06-3000017201162017-04-300001720116rdvt:NonExecutiveEmployeeMemberrdvt:ProbablePerformanceRestrictedStockUnitsMember2026-01-012026-06-3000017201162025-05-010001720116us-gaap:RestrictedStockUnitsRSUMemberrdvt:EmployeesAndDirectorsMember2026-01-012026-06-300001720116us-gaap:RetainedEarningsMember2025-03-310001720116us-gaap:TreasuryStockCommonMember2025-04-012025-06-300001720116us-gaap:RestrictedStockUnitsRSUMembersrt:MinimumMemberrdvt:EmployeesAndDirectorsMember2026-01-012026-06-300001720116rdvt:EmployeesAndDirectorsMembersrt:MinimumMember2026-01-012026-06-300001720116rdvt:CustomersWithPricingContractsMember2026-04-012026-06-300001720116us-gaap:SoftwareInDevelopmentMember2025-12-310001720116rdvt:NonExecutiveEmployeeMemberrdvt:PerformanceBasedRestrictedStockUnitsMember2025-01-012025-12-310001720116us-gaap:RetainedEarningsMember2026-03-310001720116us-gaap:TreasuryStockCommonMember2026-03-310001720116srt:MinimumMemberus-gaap:SoftwareInDevelopmentMember2026-06-300001720116rdvt:TransactionalCustomersMember2026-04-012026-06-30xbrli:pureutr:sqftxbrli:sharesiso4217:USDxbrli:sharesrdvt:Segmentiso4217:USD

  

 
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
 
FORM 10-Q
 
 
(Mark One)
☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 2026
or
☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from to 
Commission file number 001-38407
 
RED VIOLET, INC.
(Exact Name of Registrant as Specified in Its Charter)
 
 

 
 
 
 
 
 

 
 Delaware

  

 82-2408531

 

 
 (State or Other Jurisdiction of Incorporation or Organization)

  

 (I.R.S. Employer Identification No.)

 

  
2650 North Military Trail, Suite 300, Boca Raton, Florida 33431
(Address of Principal Executive Offices) (Zip Code)
(561) 757-4000
(Registrant’s Telephone Number, Including Area Code)
None
(Former name, former address and former fiscal year, if changed since last report)
 
Securities registered pursuant to Section 12(b) of the Act: 

 
 
 
 
 
 

 
 Title of each class

 Trading Symbol (s)

 Name of each exchange on which registered

 

 
 Common Stock, $0.001 par value per share

 RDVT

 The NASDAQ Stock Market LLC

 

 Indicate by check mark 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, a 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.
 

 
 
 
 
 
 
 
 
 

 
 Large accelerated filer

  

 ☐

 Accelerated filer

  

 ☐

 

 
 Non-accelerated filer

  

 ☒

 Smaller reporting company

  

 ☒

 

 
  

  

  

 Emerging growth company

  

 ☐

 

 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 ☒
As of August 7, 2026, the registrant had 16,046,975 shares of common stock outstanding.
 
 
 

  

 
  

 RED VIOLET, INC.
TABLE OF CONTENTS FOR FORM 10-Q
 

 
 
 
 
 
 
 
 

 
  

  

 

  

 Page

 

 
 PART I - FINANCIAL INFORMATION

  

  

 

 
  

  

  

  

  

 

 
 Item 1.

  

 Financial Statements (unaudited)

  

  

 

 
  

  

 Condensed consolidated balance sheets as of June 30, 2026 and December 31, 2025 

  

 1

 

 
  

  

 Condensed consolidated statements of operations for the three and six months ended June 30, 2026 and 2025 

  

 2

 

 
  

  

 Condensed consolidated statements of changes in shareholders' equity for the three and six months ended June 30, 2026 and 2025

  

 3

 

 
  

  

 Condensed consolidated statements of cash flows for the six months ended June 30, 2026 and 2025 

  

 4

 

 
  

  

 Notes to condensed consolidated financial statements

  

 5

 

 
 Item 2.

  

 Management's Discussion and Analysis of Financial Condition and Results of Operations

  

 14

 

 
 Item 3.

  

 Quantitative and Qualitative Disclosures About Market Risk

  

 24

 

 
 Item 4.

  

 Controls and Procedures

  

 25

 

 
  

  

  

  

  

 

 
 PART II - OTHER INFORMATION

  

  

 

 
  

  

  

  

  

 

 
 Item 1.

  

 Legal Proceedings

  

 26

 

 
 Item 1A.

  

 Risk Factors

  

 26

 

 
 Item 2.

  

 Unregistered Sales of Equity Securities and Use of Proceeds

  

 26

 

 
 Item 3.

  

 Defaults Upon Senior Securities

  

 26

 

 
 Item 4.

  

 Mine Safety Disclosures

  

 26

 

 
 Item 5.

  

 Other Information

  

 26

 

 
 Item 6.

  

 Exhibits

  

 27

 

 
  

  

  

  

  

 

 
 SIGNATURES

  

 28

 

  
 
 

  

 
  

 PART I - FINANCIAL INFORMATION
Unless otherwise indicated or required by the context, all references in this Quarterly Report on Form 10-Q to “we,” “us,” “our,” “red violet,” or the “Company,” refer to Red Violet, Inc. and its consolidated subsidiaries.
Item 1. Financial Statements.
 
RED VIOLET, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(Amounts in thousands, except share data)
(unaudited)
 

 
 
 
 
 
 
 
 
 
 
 
 

 
  

  

 June 30, 2026

  

  

 December 31, 2025

  

 

 
 ASSETS:

  

  

  

  

  

  

 

 
 Current assets:

  

  

  

  

  

  

 

 
 Cash and cash equivalents

  

 $

 49,972

  

  

 $

 43,557

  

 

 
 Accounts receivable, net of allowance for doubtful accounts of $145 and $231 as of
  June 30, 2026 and December 31, 2025, respectively

  

  

 12,904

  

  

  

 10,697

  

 

 
 Prepaid expenses and other current assets

  

  

 2,359

  

  

  

 2,281

  

 

 
 Total current assets

  

  

 65,235

  

  

  

 56,535

  

 

 
 Property and equipment, net

  

  

 914

  

  

  

 882

  

 

 
 Intangible assets, net

  

  

 41,196

  

  

  

 39,264

  

 

 
 Goodwill

  

  

 5,227

  

  

  

 5,227

  

 

 
 Right-of-use assets

  

  

 2,311

  

  

  

 2,570

  

 

 
 Deferred tax assets

  

  

 4,618

  

  

  

 6,585

  

 

 
 Other noncurrent assets

  

  

 847

  

  

  

 949

  

 

 
 Total assets

  

 $

 120,348

  

  

 $

 112,012

  

 

 
 LIABILITIES AND SHAREHOLDERS' EQUITY:

  

  

  

  

  

  

 

 
 Current liabilities:

  

  

  

  

  

  

 

 
 Accounts payable

  

 $

 1,489

  

  

 $

 1,977

  

 

 
 Accrued expenses and other current liabilities

  

  

 2,882

  

  

  

 4,469

  

 

 
 Current portion of operating lease liabilities

  

  

 428

  

  

  

 396

  

 

 
 Deferred revenue

  

  

 1,195

  

  

  

 1,028

  

 

 
 Total current liabilities

  

  

 5,994

  

  

  

 7,870

  

 

 
 Noncurrent operating lease liabilities

  

  

 2,219

  

  

  

 2,396

  

 

 
 Other noncurrent liabilities

  

  

 523

  

  

  

 820

  

 

 
 Total liabilities

  

  

 8,736

  

  

  

 11,086

  

 

 
 Shareholders' equity:

  

  

  

  

  

  

 

 
 Preferred stock—$0.001 par value, 10,000,000 shares authorized, and 0 shares
  issued and outstanding, as of June 30, 2026 and December 31, 2025

  

  

 -

  

  

  

 -

  

 

 
 Common stock—$0.001 par value, 200,000,000 shares authorized, 14,114,395 and
  14,151,350 shares issued and outstanding, as of June 30, 2026 and December 31, 2025

  

  

 14

  

  

  

 14

  

 

 
 Additional paid-in capital

  

  

 89,966

  

  

  

 88,628

  

 

 
 Retained earnings

  

  

 21,632

  

  

  

 12,284

  

 

 
 Total shareholders' equity

  

  

 111,612

  

  

  

 100,926

  

 

 
 Total liabilities and shareholders' equity

  

 $

 120,348

  

  

 $

 112,012

  

 

  
See notes to condensed consolidated financial statements.

 1

 
  

 RED VIOLET, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Amounts in thousands, except share data)
(unaudited)
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

 
  

  

 Three Months Ended June 30,

  

  

 Six Months Ended June 30,

  

 

 
  

  

 2026

  

  

 2025

  

  

 2026

  

  

 2025

  

 

 
 Revenue

  

 $

 26,718

  

  

 $

 21,774

  

  

 $

 52,548

  

  

 $

 43,777

  

 

 
 Costs and expenses:

  

  

  

  

  

  

  

  

  

  

  

  

 

 
 Cost of revenue (exclusive of depreciation and amortization)

  

  

 3,818

  

  

  

 3,501

  

  

  

 7,637

  

  

  

 7,162

  

 

 
 Sales and marketing expenses

  

  

 5,750

  

  

  

 5,622

  

  

  

 11,608

  

  

  

 11,029

  

 

 
 General and administrative expenses

  

  

 8,268

  

  

  

 7,253

  

  

  

 16,167

  

  

  

 13,427

  

 

 
 Depreciation and amortization

  

  

 2,787

  

  

  

 2,647

  

  

  

 5,597

  

  

  

 5,197

  

 

 
 Total costs and expenses

  

  

 20,623

  

  

  

 19,023

  

  

  

 41,009

  

  

  

 36,815

  

 

 
 Income from operations

  

  

 6,095

  

  

  

 2,751

  

  

  

 11,539

  

  

  

 6,962

  

 

 
 Interest income

  

  

 394

  

  

  

 339

  

  

  

 738

  

  

  

 647

  

 

 
 Income before income taxes

  

  

 6,489

  

  

  

 3,090

  

  

  

 12,277

  

  

  

 7,609

  

 

 
 Income tax expense

  

  

 1,529

  

  

  

 404

  

  

  

 2,929

  

  

  

 1,483

  

 

 
 Net income

  

 $

 4,960

  

  

 $

 2,686

  

  

 $

 9,348

  

  

 $

 6,126

  

 

 
 Earnings per share:

  

  

  

  

  

  

  

  

  

  

  

  

 

 
 Basic

  

 $

 0.35

  

  

 $

 0.19

  

  

 $

 0.66

  

  

 $

 0.44

  

 

 
 Diluted

  

 $

 0.34

  

  

 $

 0.18

  

  

 $

 0.65

  

  

 $

 0.42

  

 

 
 Weighted average shares outstanding:

  

  

  

  

  

  

  

  

  

  

  

  

 

 
 Basic

  

  

 14,175,312

  

  

  

 14,018,629

  

  

  

 14,184,951

  

  

  

 14,008,385

  

 

 
 Diluted

  

  

 14,464,461

  

  

  

 14,553,282

  

  

  

 14,436,339

  

  

  

 14,528,789

  

 

  
See notes to condensed consolidated financial statements.

 2

 
  

 RED VIOLET, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS’ EQUITY 
(Amounts in thousands, except share data)
(unaudited)
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

 
  

  

 Common stock

  

  

 Treasury stock

  

  

 Additional

  

  

  

  

  

  

  

 

 
  

  

 Shares

  

  

 Amount

  

  

 Shares

  

  

 Amount

  

  

 paid-in capital

  

  

 Retained earnings

  

  

 Total

  

 

 
 Balance at March 31, 2025

  

  

 13,950,797

  

  

 $

 14

  

  

  

 -

  

  

 $

 -

  

  

 $

 89,264

  

  

 $

 2,570

  

  

 $

 91,848

  

 

 
 Vesting of restricted stock units

  

  

 38,617

  

  

  

 -

  

  

  

 -

  

  

  

 -

  

  

  

 -

  

  

  

 -

  

  

  

 -

  

 

 
 Increase in treasury stock resulting
  from shares withheld to cover
  statutory taxes

  

  

 -

  

  

  

 -

  

  

  

 (12,573

 )

  

  

 (525

 )

  

  

 -

  

  

  

 -

  

  

  

 (525

 )

 

 
 Retirement of treasury stock

  

  

 (12,573

 )

  

  

 -

  

  

  

 12,573

  

  

  

 525

  

  

  

 (525

 )

  

  

 -

  

  

  

 -

  

 

 
 Share-based compensation

  

  

 -

  

  

  

 -

  

  

  

 -

  

  

  

 -

  

  

  

 2,197

  

  

  

 -

  

  

  

 2,197

  

 

 
 Net income

  

  

 -

  

  

  

 -

  

  

  

 -

  

  

  

 -

  

  

  

 -

  

  

  

 2,686

  

  

  

 2,686

  

 

 
 Balance at June 30, 2025

  

  

 13,976,841

  

  

 $

 14

  

  

  

 -

  

  

 $

 -

  

  

 $

 90,936

  

  

 $

 5,256

  

  

 $

 96,206

  

 

 
  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

 

 
 Balance at March 31, 2026

  

  

 14,112,391

  

  

 $

 14

  

  

  

 (500

 )

  

 $

 (17

 )

  

 $

 87,859

  

  

 $

 16,672

  

  

 $

 104,528

  

 

 
 Vesting of restricted stock units

  

  

 18,810

  

  

  

 -

  

  

  

 -

  

  

  

 -

  

  

  

 -

  

  

  

 -

  

  

  

 -

  

 

 
 Increase in treasury stock resulting
  from shares withheld to cover
  statutory taxes

  

  

 -

  

  

  

 -

  

  

  

 (5,306

 )

  

  

 (216

 )

  

  

 -

  

  

  

 -

  

  

  

 (216

 )

 

 
 Common stock repurchased

  

  

 -

  

  

  

 -

  

  

  

 (11,000

 )

  

  

 (418

 )

  

  

 -

  

  

  

 -

  

  

  

 (418

 )

 

 
 Retirement of treasury stock

  

  

 (16,806

 )

  

  

 -

  

  

  

 16,806

  

  

  

 651

  

  

  

 (651

 )

  

  

 -

  

  

  

 -

  

 

 
 Share-based compensation

  

  

 -

  

  

  

 -

  

  

  

 -

  

  

  

 -

  

  

  

 2,758

  

  

  

 -

  

  

  

 2,758

  

 

 
 Net income

  

  

 -

  

  

  

 -

  

  

  

 -

  

  

  

 -

  

  

  

 -

  

  

  

 4,960

  

  

  

 4,960

  

 

 
 Balance at June 30, 2026

  

  

 14,114,395

  

  

 $

 14

  

  

  

 -

  

  

 $

 -

  

  

 $

 89,966

  

  

 $

 21,632

  

  

 $

 111,612

  

 

 
  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

 

 
  

  

 Common stock

  

  

 Treasury stock

  

  

 Additional

  

  

 Retained earnings

  

  

  

  

 

 
  

  

 Shares

  

  

 Amount

  

  

 Shares

  

  

 Amount

  

  

 paid-in capital

  

  

 (accumulated deficit)

  

  

 Total

  

 

 
 Balance at December 31, 2024

  

  

 13,936,329

  

  

 $

 14

  

  

  

 -

  

  

 $

 -

  

  

 $

 87,488

  

  

 $

 (870

 )

  

 $

 86,632

  

 

 
 Vesting of restricted stock units

  

  

 58,117

  

  

  

 -

  

  

  

 -

  

  

  

 -

  

  

  

 -

  

  

  

 -

  

  

  

 -

  

 

 
 Increase in treasury stock resulting
  from shares withheld to cover
  statutory taxes

  

  

 -

  

  

  

 -

  

  

  

 (17,605

 )

  

  

 (727

 )

  

  

 -

  

  

  

 -

  

  

  

 (727

 )

 

 
 Retirement of treasury stock

  

  

 (17,605

 )

  

  

 -

  

  

  

 17,605

  

  

  

 727

  

  

  

 (727

 )

  

  

 -

  

  

  

 -

  

 

 
 Share-based compensation

  

  

 -

  

  

  

 -

  

  

  

 -

  

  

  

 -

  

  

  

 4,175

  

  

  

 -

  

  

  

 4,175

  

 

 
 Net income

  

  

 -

  

  

  

 -

  

  

  

 -

  

  

  

 -

  

  

  

 -

  

  

  

 6,126

  

  

  

 6,126

  

 

 
 Balance at June 30, 2025

  

  

 13,976,841

  

  

 $

 14

  

  

  

 -

  

  

 $

 -

  

  

 $

 90,936

  

  

 $

 5,256

  

  

 $

 96,206

  

 

 
  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

 

 
 Balance at December 31, 2025

  

  

 14,151,350

  

  

 $

 14

  

  

  

 -

  

  

 $

 -

  

  

 $

 88,628

  

  

 $

 12,284

  

  

 $

 100,926

  

 

 
 Vesting of restricted stock units

  

  

 53,469

  

  

  

 -

  

  

  

 -

  

  

  

 -

  

  

  

 -

  

  

  

 -

  

  

  

 -

  

 

 
 Increase in treasury stock resulting
  from shares withheld to cover
  statutory taxes

  

  

 -

  

  

  

 -

  

  

  

 (15,924

 )

  

  

 (714

 )

  

  

 -

  

  

  

 -

  

  

  

 (714

 )

 

 
 Common stock repurchased

  

  

 -

  

  

  

 -

  

  

  

 (74,500

 )

  

  

 (3,122

 )

  

  

 -

  

  

  

 -

  

  

  

 (3,122

 )

 

 
 Retirement of treasury stock

  

  

 (90,424

 )

  

  

 -

  

  

  

 90,424

  

  

  

 3,836

  

  

  

 (3,836

 )

  

  

 -

  

  

  

 -

  

 

 
 Share-based compensation

  

  

 -

  

  

  

 -

  

  

  

 -

  

  

  

 -

  

  

  

 5,174

  

  

  

 -

  

  

  

 5,174

  

 

 
 Net income

  

  

 -

  

  

  

 -

  

  

  

 -

  

  

  

 -

  

  

  

 -

  

  

  

 9,348

  

  

  

 9,348

  

 

 
 Balance at June 30, 2026

  

  

 14,114,395

  

  

 $

 14

  

  

  

 -

  

  

 $

 -

  

  

 $

 89,966

  

  

 $

 21,632

  

  

 $

 111,612

  

 

  
See notes to condensed consolidated financial statements.

 3

 
  

 RED VIOLET, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Amounts in thousands)
(unaudited)
 

 
 
 
 
 
 
 
 
 
 
 
 

 
  

  

 Six Months Ended June 30,

  

 

 
  

  

 2026

  

  

 2025

  

 

 
 CASH FLOWS FROM OPERATING ACTIVITIES:

  

  

  

  

  

  

 

 
 Net income

  

 $

 9,348

  

  

 $

 6,126

  

 

 
 Adjustments to reconcile net income to net cash provided by operating activities:

  

  

  

  

  

  

 

 
 Depreciation and amortization

  

  

 5,597

  

  

  

 5,197

  

 

 
 Share-based compensation expense

  

  

 4,286

  

  

  

 3,423

  

 

 
 Write-off of long-lived assets

  

  

 1

  

  

  

 2

  

 

 
 Provision for bad debts

  

  

 367

  

  

  

 274

  

 

 
 Noncash lease expenses

  

  

 259

  

  

  

 257

  

 

 
 Deferred income tax expense

  

  

 1,967

  

  

  

 1,187

  

 

 
 Changes in assets and liabilities:

  

  

  

  

  

  

 

 
 Accounts receivable

  

  

 (2,574

 )

  

  

 (2,024

 )

 

 
 Prepaid expenses and other current assets

  

  

 (78

 )

  

  

 (510

 )

 

 
 Other noncurrent assets

  

  

 102

  

  

  

 (162

 )

 

 
 Accounts payable

  

  

 (488

 )

  

  

 (293

 )

 

 
 Accrued expenses and other current liabilities

  

  

 (1,587

 )

  

  

 (863

 )

 

 
 Deferred revenue

  

  

 167

  

  

  

 94

  

 

 
 Operating lease liabilities

  

  

 (145

 )

  

  

 (220

 )

 

 
 Net cash provided by operating activities

  

  

 17,222

  

  

  

 12,488

  

 

 
 CASH FLOWS FROM INVESTING ACTIVITIES:

  

  

  

  

  

  

 

 
 Purchase of property and equipment

  

  

 (168

 )

  

  

 (252

 )

 

 
 Capitalized costs included in intangible assets

  

  

 (6,803

 )

  

  

 (4,984

 )

 

 
 Net cash used in investing activities

  

  

 (6,971

 )

  

  

 (5,236

 )

 

 
 CASH FLOWS FROM FINANCING ACTIVITIES:

  

  

  

  

  

  

 

 
 Taxes paid related to net share settlement of vesting of restricted stock units

  

  

 (714

 )

  

  

 (727

 )

 

 
 Repurchases of common stock

  

  

 (3,122

 )

  

  

 -

  

 

 
 Dividend payable

  

  

 -

  

  

  

 (4,181

 )

 

 
 Net cash used in financing activities

  

  

 (3,836

 )

  

  

 (4,908

 )

 

 
 Net increase in cash and cash equivalents

  

 $

 6,415

  

  

 $

 2,344

  

 

 
 Cash and cash equivalents at beginning of period

  

  

 43,557

  

  

  

 36,504

  

 

 
 Cash and cash equivalents at end of period

  

 $

 49,972

  

  

 $

 38,848

  

 

 
 SUPPLEMENTAL DISCLOSURE INFORMATION:

  

  

  

  

  

  

 

 
 Cash paid for interest

  

 $

 -

  

  

 $

 -

  

 

 
 Cash paid for income taxes

  

 $

 531

  

  

 $

 681

  

 

 
 Share-based compensation capitalized in intangible assets

  

 $

 888

  

  

 $

 752

  

 

 
 Retirement of treasury stock

  

 $

 3,836

  

  

 $

 727

  

 

 
 Right-of-use assets obtained in exchange of operating lease liabilities

  

 $

 -

  

  

 $

 1,153

  

 

  
See notes to condensed consolidated financial statements.

 4

 
  

 RED VIOLET, INC.
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(Amounts in thousands, except share data)
(unaudited)
1. Summary of significant accounting policies
(a) Basis of preparation
The accompanying unaudited condensed consolidated financial statements of Red Violet, Inc., a Delaware corporation, and its consolidated subsidiaries (collectively, “red violet” or the “Company”), have been prepared in accordance with accounting principles generally accepted in the United States (“US GAAP”) and applicable rules and regulations of the Securities and Exchange Commission (the “SEC”) regarding interim financial reporting. Certain information and note disclosures normally included in annual financial statements prepared in accordance with US GAAP have been condensed or omitted pursuant to those rules and regulations.
The accompanying unaudited condensed consolidated financial statements reflect all normal recurring adjustments necessary to present fairly the financial position, results of operations, and cash flows for the interim periods, but are not necessarily indicative of the results of operations to be anticipated for any future interim periods or for the full year ending December 31, 2026.
The information included in this quarterly report on Form 10-Q should be read in conjunction with the consolidated financial statements and accompanying notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2025 filed with the SEC on March 4, 2026 (the “2025 Form 10-K”).
The condensed consolidated balance sheet as of December 31, 2025 included herein was derived from the audited financial statements as of that date included in the 2025 Form 10-K, but does not include all disclosures required by US GAAP.
Principles of consolidation
The condensed consolidated financial statements include the financial statements of the Company and its subsidiaries. All significant intercompany transactions and balances have been eliminated in consolidation.

(b) Recently issued accounting standards
In November 2024, the Financial Accounting Standards Board (the “FASB”) issued Accounting Standards Update (“ASU”) No. 2024-03, "Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40), Disaggregation of Income Statement Expenses," which requires disclosure within the notes to financial statements of specific information about certain costs and expenses including more detailed disclosures of certain categories of expenses such as employee compensation, depreciation, and intangible asset amortization that are components of existing expense captions presented on the face of the income statement. The update is effective for annual periods for fiscal years beginning after December 15, 2026 and interim periods beginning after December 15, 2027 on a prospective or retrospective basis. Early adoption is permitted. The Company is currently evaluating the impact this ASU may have on its condensed consolidated financial statements.
In September 2025, the FASB issued ASU No. 2025-06, "Intangibles—Goodwill and Other—Internal-Use Software (Subtopic 350-40): Targeted Improvements to the Accounting for Internal-Use Software." This ASU removes all references to prescriptive and sequential software development stages (referred to as “project stages”) and instead requires an entity to start capitalizing software costs when management has authorized and committed to funding the software project and it is probable that the project will be completed and the software will be used to perform the function intended. Additional updates include changes to accounting for website development costs and certain disclosure requirements. This ASU will be effective for annual reporting periods beginning after December 15, 2027, and interim reporting periods within those annual reporting periods. Early adoption is permitted as of the beginning of an annual reporting period. This ASU permits an entity to apply the new guidance using either a prospective transition approach, a modified transition approach that is based on the status of the project and whether software costs were capitalized before the date of adoption, or a retrospective transition approach. The Company is currently evaluating the impact this ASU may have on its condensed consolidated financial statements.
In December 2025, the FASB issued ASU No. 2025-11, "Interim Reporting (Topic 270): Narrow-Scope Improvements." The ASU clarifies interim disclosure requirements and the applicability of Topic 270. The objective of the amendments is to provide further clarity about the current interim disclosure requirements. The ASU is effective for interim reporting periods within annual reporting periods beginning after December 15, 2027. Adoption of this ASU can be applied using either a prospective or a retrospective approach. Early adoption is permitted. The Company is currently evaluating the impact this ASU may have on its condensed consolidated financial statements.

 5

 
  

 In December 2025, the FASB issued ASU No. 2025-12, "Codification Improvements." The ASU clarifies, corrects and makes minor improvements to various provisions of the Accounting Standards Codification. Among other amendments, the ASU clarifies that, upon the formal or constructive retirement of treasury stock, the excess of the repurchase price over par value may be recognized entirely as a deduction from additional paid-in capital, provided that additional paid-in capital does not become negative. The amendments are effective for annual reporting periods beginning after December 15, 2026, and interim periods within those annual reporting periods. Early adoption is permitted. The Company does not expect the adoption of this ASU to have a material effect on its condensed consolidated financial statements.

 
2. Earnings per share
Basic earnings per share is computed by dividing net income by the weighted average number of shares of common stock outstanding during the periods. Diluted earnings per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised, vested, or converted into common stock and is calculated using the treasury stock method and contingently issuable share guidance, as applicable. 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

 
  

  

 Three Months Ended June 30,

  

  

 Six Months Ended June 30,

  

 

 
 (In thousands, except share data)

  

 2026

  

  

 2025

  

  

 2026

  

  

 2025

  

 

 
 Numerator:

  

  

  

  

  

  

  

  

  

  

  

  

 

 
 Net income

  

 $

 4,960

  

  

 $

 2,686

  

  

 $

 9,348

  

  

 $

 6,126

  

 

 
 Denominator:

  

  

  

  

  

  

  

  

  

  

  

  

 

 
 Weighted average shares outstanding:

  

  

  

  

  

  

  

  

  

  

  

  

 

 
 Basic

  

  

 14,175,312

  

  

  

 14,018,629

  

  

  

 14,184,951

  

  

  

 14,008,385

  

 

 
 Diluted(1)

  

  

 14,464,461

  

  

  

 14,553,282

  

  

  

 14,436,339

  

  

  

 14,528,789

  

 

 
 Earnings per share:

  

  

  

  

  

  

  

  

  

  

  

  

 

 
 Basic

  

 $

 0.35

  

  

 $

 0.19

  

  

 $

 0.66

  

  

 $

 0.44

  

 

 
 Diluted

  

 $

 0.34

  

  

 $

 0.18

  

  

 $

 0.65

  

  

 $

 0.42

  

 

 
(1)For the three and six months ended June 30, 2026 and 2025, diluted weighted average shares outstanding reflect the dilutive effect of certain unvested restricted stock units ("RSUs"). 

3. Intangible assets, net
Intangible assets other than goodwill consist of the following:
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

 
  

  

  

  

 June 30, 2026

  

  

 December 31, 2025

  

 

 
 (In thousands)

  

 Amortization
period

  

 Gross amount

  

  

 Accumulated amortization

  

  

 Net

  

  

 Gross amount

  

  

 Accumulated amortization

  

  

 Net

  

 

 
 Software developed for internal use

  

 5-10 years

  

 $

 93,155

  

  

 $

 (54,082

 )

  

 $

 39,073

  

  

 $

 85,843

  

  

 $

 (48,704

 )

  

 $

 37,139

  

 

 
 Acquired intangible assets

  

 10 years

  

  

 2,364

  

  

  

 (241

 )

  

  

 2,123

  

  

  

 2,282

  

  

  

 (157

 )

  

  

 2,125

  

 

 
 Total

  

  

  

 $

 95,519

  

  

 $

 (54,323

 )

  

 $

 41,196

  

  

 $

 88,125

  

  

 $

 (48,861

 )

  

 $

 39,264

  

 

 
The gross carrying amount of software developed for internal use includes capitalized costs related to the design, development, and testing of internal-use software. These costs primarily consist of eligible personnel-related expenses, share-based compensation, and travel expenses incurred by relevant employees, and other directly attributable costs incurred during the application development stage. The gross carrying amount of acquired intangible assets reflects the acquisition cost of certain data assets for which the Company has obtained perpetual usage rights.
Amortization expenses of $2,716 and $2,595 for the three months ended June 30, 2026 and 2025, respectively, and $5,462 and $5,095 for the six months ended June 30, 2026 and 2025, respectively, were included in depreciation and amortization expense. As of June 30, 2026, intangible assets of $7,790, included in the gross carrying amounts of intangible assets, have not yet commenced amortization, as they are not ready for their intended use.
The Company capitalized costs of intangible assets of $3,733 and $2,784 during the three months ended June 30, 2026 and 2025, respectively, and $7,394 and $6,775 during the six months ended June 30, 2026 and 2025, respectively.
As of June 30, 2026, estimated amortization expense related to the Company’s intangible assets for the remainder of 2026 through 2031 and thereafter is as follows:

 6

 
  

  

 
 
 
 
 
 
 
 

 
 (In thousands)

  

  

  

 

 
 Year

  

 June 30, 2026

  

 

 
 Remainder of 2026

  

 $

 5,564

  

 

 
 2027

  

  

 10,832

  

 

 
 2028

  

  

 8,468

  

 

 
 2029

  

  

 6,505

  

 

 
 2030

  

  

 4,461

  

 

 
 2031 and thereafter

  

  

 5,366

  

 

 
 Total

  

 $

 41,196

  

 

 

 
4. Revenue recognition
The Company recognizes revenue in accordance with ASC 606, “Revenue from Contracts with Customers” (“Topic 606”). Under this standard, revenue is recognized when control of goods or services is transferred to the Company’s customers, in an amount that reflects the consideration the Company expects to be entitled to in exchange for those goods or services. The Company’s performance obligation is to provide on-demand information and identity intelligence solutions to its customers by leveraging its proprietary technology and applying machine learning and advanced analytics to its massive data repository. The pricing for the customer contracts is based on usage, a monthly fee, or a combination of both.
Permitted under Topic 606, the Company has applied the portfolio approach practical expedient in accounting for customer revenue as one collective group, rather than individual contracts. Based on the Company’s historical knowledge of the contracts contained in this portfolio and the similar nature and characteristics of the customers, the Company has concluded the financial statement effects are not materially different than if accounting for revenue on a contract-by-contract basis.
Revenue is recognized over a period of time. The Company’s customers simultaneously receive and consume the benefits provided by the Company’s performance as and when provided. Furthermore, the Company has elected the “right to invoice” practical expedient, permitted under Topic 606, as its measure of progress, since it has a right to payment from a customer in an amount that corresponds directly with the value of its performance completed-to-date. In some arrangements, a right to consideration for the Company's performance under the customer contract may occur before invoicing to the customer, resulting in an unbilled accounts receivable. As of June 30, 2026, the current and noncurrent portions of unbilled accounts receivable of $1,296 and $777, respectively, were included within accounts receivable and other noncurrent assets, respectively, on the condensed consolidated balance sheets. As of December 31, 2025, the current and noncurrent portions of unbilled accounts receivable of $1,137 and $880, respectively, were included within accounts receivable and other noncurrent assets, respectively, on the condensed consolidated balance sheets. The Company's revenue arrangements do not contain significant financing components.
For each of the three months ended June 30, 2026 and 2025, 77% of total revenue was attributable to customers with pricing contracts, versus 23% attributable to transactional customers. For each of the six months ended June 30, 2026 and 2025, 76% of total revenue was attributable to customers with pricing contracts, versus 24% attributable to transactional customers. Pricing contracts are generally annual contracts or longer, with auto renewal.
If a customer pays consideration before the Company transfers services to the customer, those amounts are classified as deferred revenue. As of June 30, 2026 and December 31, 2025, the balance of deferred revenue was $1,195 and $1,028, respectively, all of which is expected to be recognized as revenue in the next 12 months. In relation to the deferred revenue balance as of December 31, 2025, $287 and $727 were recognized as revenue during the three and six months ended June 30, 2026, respectively.
As of June 30, 2026, $23,770 of revenue is expected to be recognized in the future for performance obligations that are unsatisfied or partially unsatisfied, related to pricing contracts that have a term of more than 12 months, of which, $7,032 of revenue will be recognized in the remainder of 2026, $10,300 in 2027, $4,144 in 2028, $1,625 in 2029, $370 in 2030, and $299 in 2031 and thereafter. The actual timing of recognition may vary due to factors outside of the Company’s control. The Company excludes variable consideration related entirely to wholly unsatisfied performance obligations and contracts and recognizes such variable consideration based upon the right to invoice the customer.
Sales commissions are incurred and recorded on an ongoing basis over the term of the customer relationship. These costs are recorded in sales and marketing expenses.
In addition, the Company elected the practical expedient to not disclose the value of unsatisfied performance obligations for (i) contracts with an original expected length of one year or less and (ii) contracts for which the Company recognizes revenue at the amount to which it has the right to invoice for services performed.

 7

 
  

 5. Income taxes
The Company is subject to federal and state income taxes in the United States. The Company’s tax provision for interim periods is determined using an estimate of its annual effective tax rate, adjusted for discrete items arising in that quarter, unless a reliable estimate of ordinary income or the related tax expense/benefit cannot be made or the Company is in cumulative losses for which the benefit cannot be realized. In each quarter, the Company updates its estimate of the annual effective tax rate, and if its estimated annual tax rate changes, the Company makes a cumulative adjustment in that quarter. The Company concluded that, due to its established historical cumulative positive income before income taxes plus permanent differences for recent years, projections of future taxable income, and the reversal of taxable temporary differences, the realization of deferred tax assets as of June 30, 2026 was more likely than not.
The Company’s effective income tax rate was 24% and 13% for the three months ended June 30, 2026 and 2025, respectively, and 24% and 19% for the six months ended June 30, 2026 and 2025, respectively, differing from the U.S. federal statutory rate of 21%.
For the three and six months ended June 30, 2026, the effective income tax rates were higher than the statutory rate, primarily driven by state income taxes and nondeductible expenses, partially offset by research and development tax credits and excess tax benefits related to share-based compensation. In contrast, for the three and six months ended June 30, 2025, the effective income tax rates were lower than the statutory rate, primarily attributable to the research and development tax credits and excess tax benefits related to share-based compensation, partially offset by state income taxes and nondeductible expenses.
The Company assesses its income tax positions and records tax benefits for all years subject to examination based upon its evaluation of the facts, circumstances and information available at the reporting date. For those tax positions where it is more-likely-than-not that a tax benefit will be sustained, the Company has recorded the largest amount of tax benefit with a greater than 50% likelihood of being realized upon ultimate settlement with a taxing authority that has full knowledge of all relevant information. For those income tax positions where it is not more-likely-than-not that a tax benefit will be sustained, no tax benefit has been recognized in the Company’s financial statements. 
The Company continually evaluates expiring statutes of limitations, audits, proposed settlements, changes in tax law and new authoritative rulings. Due to the existence of net operating loss carryforwards since inception, all of the Company’s income tax filings remain open for tax examinations.
The Company does not have any material unrecognized tax benefits as of June 30, 2026 and December 31, 2025.

6. Shareholders' equity
Common stock and treasury stock
As of June 30, 2026 and December 31, 2025, the number of issued shares of common stock was 14,114,395 and 14,151,350, respectively. The Company held no shares of treasury stock as of either date. The changes in the number of issued shares of common stock and treasury stock were due to the following factors:
•An aggregate of 53,469 shares of common stock were issued as a result of the vesting of RSUs, of which, 15,924 shares of common stock were withheld to pay withholding taxes upon such vesting, which were reflected in treasury stock, with a cost of $714. All 15,924 shares of treasury stock were retired during the six months ended June 30, 2026.

•During the six months ended June 30, 2026, the Company repurchased 74,500 shares of common stock under the Stock Repurchase Program, as defined below, which was reflected in treasury stock, with a cost of $3,122. All 74,500 shares of treasury stock were retired during the six months ended June 30, 2026.

On May 2, 2022, the Company's Board of Directors authorized a stock repurchase program to repurchase the Company's common stock from time to time through open market purchases, privately negotiated transactions or other means, including pursuant to Rule 10b5-1 trading plans, which was subsequently amended on each of December 19, 2023, March 28, 2024, and November 3, 2025, bringing the total authorization to $30.0 million (the "Stock Repurchase Program"). The Stock Repurchase Program does not obligate the Company to repurchase any shares and may be modified, suspended, or terminated at any time at the discretion of the Board of Directors.

 8

 
  

 7. Share-based compensation
Under the Red Violet, Inc. 2018 Stock Incentive Plan, as amended and restated (the “2018 Plan”), 7,500,000 shares of the Company’s common stock are authorized for issuance. The current amended and restated form of the 2018 Plan was approved by the Company’s stockholders on June 10, 2025 and, among other things, increased the number of shares authorized for issuance from 6,500,000 shares to 7,500,000 shares.
The primary purpose of the 2018 Plan is to attract, retain, reward and motivate certain individuals by providing them with an opportunity to acquire or increase a proprietary interest in the Company and to incentivize them to contribute to the growth and success of the Company, so as to strengthen the mutuality of the interests between such individuals and the stockholders of the Company.
As of June 30, 2026, there were 1,583,202 shares of common stock available for future issuance under the 2018 Plan.
To date, all share-based awards granted under the 2018 Plan have been in the form of RSUs. RSUs granted under the 2018 Plan vest upon the satisfaction of either service-based vesting conditions or both service-based and performance-based vesting conditions. 
Service-based vesting conditions are generally satisfied over periods ranging from one to four years with annual vesting. Unvested activity related to RSUs subject solely to service-based vesting conditions for the six months ended June 30, 2026 was as follows: 

 
 
 
 
 
 
 
 
 
 
 
 

 
  

  

 Number of units

  

  

 Weighted average
grant-date fair value

  

 

 
 Unvested as of December 31, 2025

  

  

 654,227

  

  

 $

 34.41

  

 

 
 Granted(1)

  

  

 60,641

  

  

 $

 44.79

  

 

 
 Vested and delivered

  

  

 (37,545

 )

  

 $

 25.24

  

 

 
 Withheld as treasury stock(2)

  

  

 (15,924

 )

  

 $

 25.78

  

 

 
 Forfeited

  

  

 (22,191

 )

  

 $

 32.73

  

 

 
 Unvested as of June 30, 2026

  

  

 639,208

  

  

 $

 36.21

  

 

  
(1)During the six months ended June 30, 2026, the Company granted an aggregate of 60,641 RSUs to certain employees and directors, and a consultant, at grant date fair values ranging from $42.39 to $54.09 per share, with vesting periods ranging generally from one to four years.

(2)Withheld as treasury stock represents shares withheld to pay statutory taxes upon the vesting of RSUs. Refer to Note 6, "Shareholders' equity" for details.

As of June 30, 2026, unrecognized share-based compensation expense associated with the granted RSUs subject solely to service-based vesting conditions amounted to $16,846, which is expected to be recognized over a remaining weighted average period of 2.1 years.
Performance-based awards
In addition to RSUs subject solely to service-based vesting conditions as described above, all RSUs granted by the Company that are subject to performance-based vesting condi