authID Inc. Notified by Nasdaq of Stockholders’ Equity Deficiency

What Happened

• authID Inc. (AUID) announced on Aug. 18, 2026 that Nasdaq’s Listing Qualifications Department sent a deficiency notice saying the company does not meet Nasdaq Listing Rule 5550(b)(1), which requires at least $2,500,000 in stockholders’ equity. The company reported $2,042,515 in stockholders’ equity in its Form 10-Q for the quarter ended June 30, 2026. Trading of AUID common stock continues on the Nasdaq Capital Market.

Key Details

• Nasdaq deficiency notice date: August 18, 2026.
• Reported stockholders’ equity: $2,042,515 (quarter ended June 30, 2026) vs required $2,500,000.
• Alternatives noted by Nasdaq that the company does not meet: $35 million market value of listed securities or $500,000 net income from continuing operations (one- or two-of-three year tests).
• Deadline to submit a compliance plan to Nasdaq: October 2, 2026 (45 days). If Nasdaq accepts a plan, it may grant up to 180 days (until Feb. 14, 2027) to regain compliance. If Nasdaq does not accept a plan or the company fails to regain compliance, Nasdaq may move to delist; the company can appeal to a Nasdaq Hearings Panel, which can stay delisting and may grant an additional up to 180 days.

Why It Matters

• For investors, the notice signals that authID currently falls short of Nasdaq’s minimum equity requirement, creating a short-term regulatory risk to the company’s Nasdaq listing. The company must submit a timely plan and may need to raise capital, improve earnings, or meet other Nasdaq alternatives to avoid delisting. The filing also highlights litigation-style procedures (possible delisting notice and appeals) and references risk factors in prior SEC filings, including questions about the company’s ability to continue as a going concern.