Image Metrics Inc., a Santa Monica provider of digital facial animation technology for the entertainment industry, on Friday said that it intends to voluntarily deregister its common stock and suspend its reporting obligations to the U.S. Securities Commission.

The company, whose stock trades on the Over-the-Counter Bulletin Board, said its directors made the decision to save money, noting the high cost to a small company in complying with SEC reporting regulations.

“The cost savings achieved through deregistration will be substantial and will enable us to focus more resources on delivering our industry leading core products and services,” said Chief Executive Robert Gehorsam in a statement.

Image Metrics, founded in 2000, went public in March 2010 through a reverse merger with a failed cellular accessories company that was incorporated in Nevada. It sells software licensing, computer modeling and animation services.

The company reported last month that its revenue in fiscal 2011 jumped 19 percent to $7 million, largely from the $5.4 million sale of the first perpetual license for its Faceware software. Annual net income of $19,000 compared with a net loss of $9.6 million in fiscal 2010.

While Image Metrics’ stock will no longer be quoted on the OTC Bulletin Board, it may continue to be quoted on a tier of the OTC Markets Group quotation service, the company said.

In midday trading, Image Metrics shares were down 15 cents, or 75 percent, to 5 cents.