What changed in this filing

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Item 1. Financial Statements

2026-05-13 compared with 2025-11-06 · 154 added, 387 removed, 413 unchanged (57% of the section changed)

2 unchanged sentences

(In thousands, except share and per share amounts)

September 30, 2025

March 31, 2026

December 31, 2025

3 unchanged sentences

Accounts receivable and unbilled revenues, net

Contract asset

Prepaid expenses and other current assets

Receivable from patent assignment

Current assets of discontinued operations

11 unchanged sentences

Accrued expenses

Accrued broker fee from patent assignment

Contract liabilities

10 unchanged sentences

Preferred stock, 1,000,000 shares authorized, with par value of $ 0.001 ;

no shares issued and outstanding at September 30, 2025 and December 31, 2024, respectively.

no shares issued and outstanding at March 31, 2026 and December 31, 2025, respectively.

Common stock, 25,000,000 shares authorized, with par value of $ 0.001 ;

16,782,922 and 16,782,922 shares issued and outstanding at September 30, 2025 and December 31, 2024, respectively.

16,782,922 and 16,782,922 shares issued and outstanding at March 31, 2026 and December 31, 2025, respectively.

Additional paid-in capital

11 unchanged sentences

(In thousands, except per share amounts)

Three months ended

Nine months ended

September 30,

$ 406 $ 731 $ 1,307 $ 2,118

Three months ended March 31,

Non-recurring engineering

24 107 235 335

Total revenues

430 838 1,542 2,453

Cost of revenues:

1 unchanged sentence

Total cost of revenues

421 815 1,518 2,389

Operating expenses:

Research and development

794 822 2,843 2,692

Sales and marketing

466 484 1,704 1,844

General and administrative

862 734 2,747 2,696

Total operating expenses

2,122 2,040 7,294 7,232

Gain from patent assignment

19,389 - 19,389 -

Broker fee from patent assignment

( 3,878 ) - ( 3,878 ) -

Operating income (loss)

13,810 ( 1,225 ) 9,735 ( 4,843 )

Operating loss

Other income, net

124 171 405 455

Income (loss) before provision for income taxes

13,934 ( 1,054 ) 10,140 ( 4,388 )

Provision for income taxes

- ( 11 ) ( 10 ) 10

Income (loss) from continuing operations

13,934 ( 1,043 ) 10,150 ( 4,398 )

Income (loss) from discontinued operations

250 ( 44 ) 433 ( 468 )

Net income (loss)

$ 14,184 $ ( 1,087 ) $ 10,583 $ ( 4,866 )

Loss before provision for income taxes

Provision for (benefit from) income taxes

Loss from continuing operations

Income from discontinued operations

Income (loss) per common share:

Basic and diluted income (loss) per share from continuing operations

$ 0.83 $ ( 0.07 ) $ 0.60 $ ( 0.28 )

Basic and diluted income (loss) per share from discontinued operations

0.01 - 0.03 ( 0.03 )

Basic and diluted net income (loss) per share⁽ᵃ⁾

$ 0.85 $ ( 0.07 ) $ 0.63 $ ( 0.31 )

Basic and diluted loss per share from continuing operations

Basic and diluted income per share from discontinued operations

Basic and diluted net loss per share⁽ᵃ⁾

Basic and diluted – weighted average number of common shares outstanding

16,783 15,980 16,783 15,568

May not sum due to rounding.

The accompanying notes are an integral part of these condensed consolidated financial statements.

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Unaudited)

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (Unaudited)

(In thousands)

Three months ended

Nine months ended

September 30,

Net income (loss)

$ 14,184 $ ( 1,087 ) $ 10,583 $ ( 4,866 )

Other comprehensive loss:

Three months ended March 31,

Other comprehensive income (loss):

Foreign currency translation adjustments

( 33 ) ( 30 ) ( 222 ) ( 96 )

Total other comprehensive loss

( 33 ) ( 30 ) ( 222 ) ( 96 )

Comprehensive income (loss)

$ 14,151 $ ( 1,117 ) $ 10,361 $ ( 4,962 )

Total other comprehensive income (loss)

Comprehensive loss

The accompanying notes are an integral part of these condensed consolidated financial statements.

1 unchanged sentence

(In thousands)

For the three and nine months ended September 30, 2025 and 2024

For the three months ended March 31, 2026 and 2025

Common Stock Shares Issued

1 unchanged sentence

Additional Paid-in Capital

Accumulated Other Comprehensive Income (Loss)

Accumulated Other Comprehensive Loss

Accumulated Deficit

1 unchanged sentence

Balances, December 31, 2025

16,783 $ 17 $ 240,955 $ ( 450 ) $ ( 224,080 ) $ 16,442

Foreign currency translation adjustment

- - - ( 134 ) - ( 134 )

- - - - ( 1,733 ) ( 1,733 )

Balances, March 31, 2026

16,783 $ 17 $ 240,955 $ ( 584 ) $ ( 225,813 ) $ 14,575

Foreign currency translation adjustment

- - - ( 55 ) - ( 55 )

- - - - ( 1,868 ) ( 1,868 )

Balances, June 30, 2025

16,783 $ 17 $ 240,955 $ ( 639 ) $ ( 227,681 ) $ 12,652

Foreign currency translation adjustment

- - - ( 33 ) - ( 33 )

- - - 14,184 14,184

Balances, September 30, 2025

16,783 $ 17 $ 240,955 $ ( 672 ) $ ( 213,497 ) $ 26,803

Common Stock Shares Issued

1 unchanged sentence

Additional Paid-in Capital

Accumulated Other Comprehensive Income (Loss)

Accumulated Other Comprehensive Loss

Accumulated Deficit

1 unchanged sentence

Balances, December 31, 2024

15,359 $ 15 $ 235,158 $ ( 396 ) $ ( 217,614 ) $ 17,163

Stock-based compensation

Foreign currency translation adjustment

- - - ( 34 ) - ( 34 )

- - - - ( 2,084 ) ( 2,084 )

Balances, March 31, 2025

15,359 $ 15 $ 235,160 $ ( 430 ) $ ( 219,698 ) $ 15,047

Stock-based compensation

Foreign currency translation adjustment

- - - ( 32 ) - ( 32 )

- - - - ( 1,695 ) ( 1,695 )

Balances, June 30, 2024

15,359 $ 15 $ 235,161 $ ( 462 ) $ ( 221,393 ) $ 13,321

Stock-based compensation

Issuance of shares for cash, net of offering costs

1,424 2 5,794 - - 5,796

Foreign currency translation adjustment

- - - ( 30 ) - ( 30 )

- - - - ( 1,087 ) ( 1,087 )

Balances, September 30, 2024

16,783 $ 17 $ 240,955 $ ( 492 ) $ ( 222,480 ) $ 18,000

The accompanying notes are an integral part of these condensed consolidated financial statements.

1 unchanged sentence

(In thousands)

Nine months ended

September 30,

Three months ended March 31,

Cash flows from operating activities:

Net income (loss)

$ 10,583 $ ( 4,866 )

Adjustments to reconcile net loss to net cash used in operating activities:

Stock-based compensation expense

Gain from patent assignment

Loss on disposal of assets

Depreciation and amortization

Amortization of operating lease right-of-use assets

Inventory impairment loss

Recoveries of bad debt

Changes in operating assets and liabilities:

2 unchanged sentences

Accounts payable, accrued payroll and employee benefits, and accrued expenses

Accrued broker fee from patent assignment

Contract liabilities

Operating lease obligations

( 258 ) ( 52 )

Net cash used in operating activities

( 4,637 ) ( 4,429 )

Cash flows from investing activities:

Purchase of property and equipment

( 90 ) ( 37 )

Proceeds from sale of property and equipment

Net cash provided by (used in) investing activities

Net cash used in investing activities

Cash flows from financing activities:

Proceeds from issuance of common stock, net of offering costs

Principal payments on finance lease obligations

1 unchanged sentence

Effect of exchange rate changes on cash and cash equivalents

( 107 ) ( 61 )

Net change in cash and cash equivalents

( 4,842 ) 1,444

Cash and cash equivalents at beginning of period

16,427 16,155

Cash and cash equivalents at end of period

$ 11,585 $ 17,599

Supplemental disclosure of cash flow information:

Cash paid for income taxes

$ ( 10 ) $ 10

Cash paid for interest

Supplemental disclosure of non-cash investing and financial activities:

Property and equipment obtained in exchange for finance lease obligations

Receivable from patent assignment

The accompanying notes are an integral part of these condensed consolidated financial statements.

11 unchanged sentences

Recently Issued Accounting Pronouncement Adopted

In November 2023, the FASB issued ASU 2023 - 07, Segment Reporting (Topic 280 ):

Improvements to Reportable Segment Disclosures (“ASU 2023 - 07” ).

ASU 2023 - 07 requires, among other updates, enhanced disclosures about significant segment expenses that are regularly provided to the chief operating decision maker.

The ASU also clarifies that entities with a single reportable segment are subject to both new and existing reporting requirements under Topic 280.

We adopted ASU 2023 - 07 in the interim period ended March 31, 2025 using a retrospective method to all periods presented.

See Note 6 Segment Information for further details.

In July 2025, the FASB issued ASU 2025 - 05, Financial Instruments – Credit Losses (Topic 326 ) :

Measurement of Credit Losses for Accounts Receivable and Contract Assets ("ASU 2025 - 05" ), which amends ASC 326 - 20 to provide a practical expedient for all entities when estimating expected credit losses for current accounts receivable and current contract assets that arise from transactions accounted for under ASC 606.

The practical expedient assumes that current conditions as of the balance sheet date do not change for the remaining life of the asset.

ASU 2025 - 05 is effective for fiscal years beginning after December 15, 2025 and interim periods within those fiscal years, with early adoption permitted, and should be applied on a prospective basis.

The adoption did not have a material impact on our condensed consolidated financial statements.

Recently Issued Accounting Pronouncements Pending Adoption

In December 2023, the FASB issued ASU 2023 - 09, Income Taxes (Topic 740 ):

Improvements to Income Tax Disclosures (“ASU 2023 - 09” ), which updates several disclosures regarding the accounting for income taxes.

ASU 2023 - 09 is effective for public business entities for fiscal years beginning after December 15, 2024.

We are currently evaluating the impact ASU 2023 - 09 will have on our consolidated financial statements.

In December 2025, the FASB issued ASU 2025 - 12, Codification Improvements ("ASU 2025 - 12" ).

ASU 2025 - 12 makes incremental improvements to the Accounting Standards Codification and U.S.

This guidance is effective for annual reporting periods beginning after December 15, 2026 and interim reporting periods within those annual periods.

Early adoption is permitted.

We are currently evaluating the impact of the adoption of this ASU on our consolidated financial statements.

In December 2025, the FASB issued ASU 2025 - 11, Interim Reporting (Topic 270 ):

Narrow-Scope Improvements (“ASU 2025 - 11” ).

The amendments clarify and reorganize existing interim reporting guidance, including the scope of Topic 270 and interim disclosure requirements, and introduce a disclosure principle requiring entities to disclose material events or changes occurring since the most recent annual reporting period.

ASU 2025 - 11 is effective for interim reporting periods within annual reporting periods beginning after December 15, 2027.

Early adoption is permitted.

We are currently evaluating the impact of the adoption of this ASU on our consolidated financial statements.

In September 2025, the FASB issued ASU 2025 - 06, Intangibles—Goodwill and Other—Internal-Use Software (Subtopic 350 - 40 ):

Targeted Improvements to the Accounting for Internal-Use Software (“ASU 2025 - 06” ), which aims to modernize financial reporting by updating how entities recognize and disclose costs incurred for software developed for internal use.

ASU 2025 - 06 is effective for fiscal years beginning after December 15, 2027, including interim periods within those fiscal years.

Early adoption is permitted.

We are currently evaluating the impact of the adoption of this ASU on our consolidated financial statements.

In November 2024, the FASB issued ASU 2024 - 03, Income Statement-Reporting Comprehensive Income-Expense Disaggregation Disclosures (Subtopic 220 - 40 ):

Disaggregation of Income Statement Expenses , requiring public entities to disclose additional information about specific expense categories in the notes to the financial statements on an interim and annual basis.

Disaggregation of Income Statement Expenses ("ASU 2024 - 03" ), requiring public entities to disclose additional information about specific expense categories in the notes to the financial statements on an interim and annual basis.

ASU 2024 - 03 is effective for fiscal years beginning after December 15, 2026, and for interim periods beginning after December 15, 2027, with early adoption permitted.

We are currently evaluating the impact of adopting ASU 2024 - 03.

In July 2025, the FASB issued ASU 2025‑05, Financial Instruments—Credit Losses (Topic 32 ) :

Measurement of Credit Losses for Accounts Receivable and Contract Assets (“ASU 2025 - 05” ), which provides a practical expedient to measure credit losses on current accounts receivable and current contracts assets.

The practical expedient allows companies to assume that current conditions as of the balance sheet date do not change for the remaining life of the asset when measuring credit losses.

This standard is effective for fiscal years beginning after December 15, 2025, and interim reporting periods within those fiscal years, with early adoption permitted, and should be applied on a prospective basis.

We are currently evaluating the impact of adopting ASU 2025 - 05.

Foreign Currency Translation and Transaction Gains and Losses

The functional currency of our foreign subsidiaries is the applicable local currency, the Swedish Krona, the Japanese Yen, the South Korean Won and the Taiwan Dollar.

The translation from Swedish Krona, Japanese Yen, South Korean Won and Taiwan Dollar to U.S.

The functional currency of our foreign subsidiaries is the applicable local currency, the Swedish Krona, the Japanese Yen and the South Korean Won.

The translation from Swedish Krona, Japanese Yen and South Korean Won to U.S.

Dollars is performed for balance sheet accounts using current exchange rates in effect at the condensed consolidated balance sheet date and for income statement accounts using a weighted-average exchange rate during the period.

Gains or (losses) resulting from translation are included as a separate component of accumulated other comprehensive income (loss).

Foreign currency translation losses were $( 33,000 ) and $( 222,000 ) and $( 30,000 ) and $( 96,000 ) during the three and nine months ended September 30, 2025 and 2024 , respectively.

Gains resulting from foreign currency transactions are included in general and administrative expenses in the accompanying condensed consolidated statements of operations and were $( 13,000 )and $ 67,000 and $( 3,000 ) and $( 1,000 ) during the three and nine months ended September 30, 2025 and 2024 , respectively.

Gains or (losses) resulting from translation are included as a separate component of accumulated other comprehensive loss.

Foreign currency translation gain (loss) was $ 21,000 and $( 134,000 ) during the three months ended March 31, 2026 and 2025 , respectively.

Income (loss) resulting from foreign currency transactions are included in general and administrative expenses in the accompanying condensed consolidated statements of operations and were $( 1,000 ) and $ 80,000 during the three months ended March 31, 2026 and 2025 , respectively.

We have incurred significant operating losses and negative cash flows from operations since our inception.

The Company incurred net income for combined continuing and discontinued operations of approximately $ 14.2 million and $ 10.6 million and net loss of $ 1.1 million and $ 4.9 million for the three and nine months ended September 30, 2025 and 2024 , respectively and had an accumulated deficit of approximately $ 213.5 million and $ 224.1 million as of September 30, 2025 and December 31, 2024 , respectively.

In addition, operating activities used cash of approximately $ 4.6 million and $ 4.4 million for the nine months ended September 30, 2025 and 2024 , respectively.

The Company incurred net income for combined continuing and discontinued operations of approximately $ 1.9 million and net loss of $ 1.7 million for the three months ended March 31, 2026 and 2025 , respectively and had an accumulated deficit of approximately $ 217.5 million and $ 215.6 million as of March 31, 2026 and December 31, 2025 , respectively.

In addition, operating activities used cash of approximately $ 2.1 million and $ 1.4 million for the three months ended March 31, 2026 and 2025 , respectively.

The condensed consolidated financial statements included in this report have been prepared on a going concern basis, which contemplates continuity of operations and the realization of assets and the repayment of liabilities in the ordinary course of business.

2 unchanged sentences

Our customers are located in the United States, Europe and Asia.

As of September 30, 2025 , three of our customers represented approximately 83.8 % of our consolidated accounts receivable and unbilled revenues.

As of March 31, 2026 , four of our customers represented approximately 89.3 % of our consolidated accounts receivable and unbilled revenues.

As of December 31, 2025 , four of our customers represented approximately 95.4 % of our consolidated accounts receivable and unbilled revenues.

Customers who accounted for 10.0% or more of our net revenues during the three months ended September 30, 2025 are as follows:

Seiko Epson – 46.3%

Hewlett-Packard – 21.5%

Alps Alpine – 15.0%

Customers who accounted for 10.0% or more of our net revenues during the nine months ended September 30, 2025 are as follows:

Customers who accounted for 10.0% or more of our net revenues during the three months ended March 31, 2026 are as follows:

Seiko Epson – 29.9 %

Alps Alpine – 20.2%

Hewlett-Packard – 19.9%

NEXTY Electronics Corporation – 23.7 %

Commercial Vehicle OEM – 18.2 %

Customers who accounted for 10.0% or more of our net revenues during the three months ended September 30, 2024 are as follows:

Seiko Epson – 30.6 %

Nexty Electronics – 17.9 %

Alps Alpine – 15.3 %

● Hewlett-Packard – 16.4 %

● Commercial Vehicle OEM – 12.35 %

Customers who accounted for 10.0% or more of our net revenues during the nine months ended September 30, 2024 are as follows:

Customers who accounted for 10.0% or more of our net revenues during the three months ended March 31, 2025 are as follows:

Seiko Epson – 39.0 %

Hewlett-Packard – 20.7 %

Alps Alpine – 27.8 %

Commercial Vehicle OEM – 13.4 %

Hewlett-Packard – 19.6%

The following tables present the net revenues distribution by geographical area and market (in thousands):

Three months ended September 30,

North America:

Net revenues from IT & Industrial

$ 101 100.0 % $ 163 100.0 %

Asia Pacific:

Net revenues from Automotive

$ 65 23.2 % $ 143 25.9 %

Net revenues from IT & Industrial

215 76.8 % 409 74.1 %

$ 280 100.0 % $ 552 100.0 %

Europe, Middle East and Africa:

Net revenues from Automotive

$ 49 100.0 % $ 123 100.0 %

Nine months ended September 30,

Three months ended March 31,

North America:

12 unchanged sentences

$ 64 100.0 % $ 43 100.0 %

Contract Balances

Timing of revenue recognition may differ from the timing of invoice and receipt of consideration.

We record a receivable or unbilled revenue when we have an unconditional right to receive consideration from customers.

Contract assets represent revenue recognized for performance to date when the right to consideration is conditional on something other than the passage of time.

We record contract liabilities when we receive prepayments or upfront payments ahead of performance.

The following table presents our accounts receivable, net, contract assets, and contract liabilities (in thousands):

March 31, 2026

December 31, 2025

Accounts receivable and unbilled revenues, net

Contract liabilities (deferred revenues)

Payment terms and conditions vary by the type of contract;

however, payments generally occur 30 - 60 days after invoicing for license fees.

Where revenue recognition timing differs from invoice timing, we have determined that our contracts do not include a significant financing component.

Applying the practical expedient in Topic 606, the Company does not assess whether a significant financing component exists if the period between when the Company performs its obligations under the contract and when the customer pays is one year or less.

Our intent is to provide our customers with consistent invoicing terms for the convenience of our customers, not to provide financing to our customers.

Contract Liabilities

Contract liabilities (deferred revenues) consist primarily of prepayments for license fees, and other services that we have been paid in advance.

We earn the revenue when we transfer control of the service.

Deferred revenues may also include upfront payments for consulting services to be performed in the future, such as non-recurring engineering services.

The following table presents our deferred revenues by source (in thousands):

September 30, 2025

March 31, 2026

December 31, 2025

1 unchanged sentence

Deferred revenues non-recurring engineering

During the three and nine months ended September 30, 2025 and 2024 , the Company recognized revenues of approximately $ 38,000 and $ 0 and $ 25,000 and $ 2,000 respectively, related to contract liabilities outstanding at the beginning of the period.

Gain from Patent Assignment and Broker Fee from Patent Assignment

In May 2019, the Company assigned a portfolio of patents to an unrelated third party.

In exchange for assigning the patents, the Company was granted a limited non-exclusive, perpetual, royalty-free license to use the patents and is entitled to share in proceeds from the assignee’s monetization efforts related to the patents.

The Company accounts for the patent assignment as a transfer of nonfinancial assets in accordance with Subtopic 610 - 20, Other Income--Gains and Losses from the Derecognition of Nonfinancial Assets, which refers to a number of principles of Topic 606 including those related to determining whether a contract exists, identifying distinct promises, determining when control is transferred and determining the transaction price including constraining estimates of variable consideration.

During the third quarter of 2025, the Company determined that approximately $ 19.4 million of the transaction price from the patent assignment was no longer constrained and recorded a receivable and gain on patent assignment for that amount.

In addition, during the third quarter of 2025, the Company recorded a broker fee liability and expense of $ 3.9 million related to the patent assignment gain.

During the three months ended March 31, 2026 and 2025 , the Company recognized revenues of approximately $ 9,000 and zero respectively, related to contract liabilities outstanding at the beginning of the period.

We recognize deferred tax liabilities and assets for the expected future tax consequences of items that have been included in the condensed consolidated financial statements or tax returns.

3 unchanged sentences

Valuation allowances are recorded against net deferred tax assets when, in our opinion, realization is uncertain based on the “more likely than not” criteria of the accounting guidance.

Based on the uncertainty of future pre-tax income, we fully reserved our net deferred tax assets as of September 30, 2025 and December 31, 2024 .

Based on the uncertainty of future pre-tax income, we fully reserved our net deferred tax assets as of March 31, 2026 and December 31, 2025 .

In the event we were to determine that we would be able to realize our deferred tax assets in the future, an adjustment to the deferred tax asset would increase income in the period such determination was made.

The provision for income taxes represents the net change in deferred tax amounts, plus income taxes paid or payable for the current period.

The provision for or benefit from income taxes represents the net change in deferred tax amounts, plus income taxes paid or payable for the current period.

We follow U.S.

1 unchanged sentence

As a result, we did not recognize a liability for unrecognized tax benefits.

As of September 30, 2025 and December 31, 2024 , we had no unrecognized tax benefits.

As of March 31, 2026 and December 31, 2025 , we had no unrecognized tax benefits.

On July 4, 2025, new U.S tax legislation was signed into law (known as the "One Big Beautiful Bill Act" or the "OBBBA") which makes permanent many of the tax provisions enacted in 2017 as part of the Tax Cuts and Jobs Act that were set to expire at the end of 2025.

1 unchanged sentence

corporate tax provisions, but many are generally not effective until 2026.

The enactment of the OBBBA does not have a material impact on our results from operations for the current year nor do we expect the OBBBA to have a material impact on our results from operations in future years.

The enactment of the OBBBA does not have a material impact on our results from operations for the current period nor do we expect the OBBBA to have a material impact on our results from operations in future periods.

Discontinued Operations

7 unchanged sentences

Assets and liabilities of discontinued operations are presented separately in the condensed consolidated balance sheets for all periods presented.

On September 30, 2025 and December 31, 2024 , these balances consisted of assets and liabilities of the Company’s Products business.

On March 31, 2026 and December 31, 2025 , these balances consisted of assets and liabilities of the Company’s Products business.

The following table presents a reconciliation of the carrying amounts of the major classes of these assets and liabilities to the assets and liabilities of discontinued operations as presented on the Company’s condensed consolidated balance sheets (in thousands):

September 30, 2025

March 31, 2026

December 31, 2025

5 unchanged sentences

Income (Loss) from Discontinued Operations

Discontinued operations for the three and nine months ended September 30, 2025 and 2024 , respectively, consists of results from the Company’s products business.

Discontinued operations for the three months ended March 31, 2026 and 2025 , respectively, consists of results from the Company’s products business.

The following table provides details about the major classes of line items constituting “Income (loss) from discontinued operations” as presented on the Company’s condensed consolidated statements of operations (in thousands):

Three months ended

Nine months ended

September 30,

$ 226 $ 85 $ 338 $ 908

Three months ended March 31,

Total revenues

226 85 338 908

Cost of revenues:

12 ( 19 ) 48 822

Total cost of revenues

12 ( 19 ) 48 822

214 104 290 86

Operating expenses:

Sales and marketing

( 36 ) - ( 143 ) -

General and administrative

Total operating expenses

( 36 ) 148 ( 143 ) 573

Operating income (loss)

250 ( 44 ) 433 ( 487 )

Other income (expense), net

Loss before provision for income taxes

250 ( 44 ) 433 ( 468 )

Net income (loss)

$ 250 $ ( 44 ) $ 433 $ ( 468 )

Cash Flows Information

The following table presents cash flow information for discontinued operations (in thousands):

Three months ended

Nine months ended

September 30,

Depreciation and amortization

$ - $ 1 $ - $ 19

Amortization of operating lease ROU assets

Inventory impairment loss

Purchase of property and equipment

Proceeds from sale of property and equipment

There were no amounts recorded for depreciation, amortization, capital expenditures or significant operating and investing noncash items of discontinued operations for the three months ended March 31, 2026 and 2025 , respectively.

Stockholders ’ Equity

At-the-Market Facility

On May 10, 2021, we entered into an At Market Issuance Sales Agreement (the “B.

Riley Sales Agreement”) with B.

Riley Securities, Inc.

Riley Securities”) with respect to an “at the market” offering program (the “B.

Riley ATM Facility”), under which we may, from time to time, in our sole discretion, issue and sell through B.

Riley Securities, acting as sales agent, up to $ 25 million of shares of our common stock, in any method permitted that is deemed an “at the market” offering as defined in Rule 415 under the Securities Act of 1933, as amended (the “Securities Act”).

On May 29, 2024, we terminated the B.

Riley Sales Agreement with B.

Riley Securities.

On June 4, 2024, we entered into an At The Market Offering Agreement (the “Ladenburg Sales Agreement”) with Ladenburg Thalmann & Co.

8 unchanged sentences

The Company is not aware of any pending or threatened litigation matters at this time that would have a material impact on the operations of the Company.

Net Income (Loss) per Share

Basic net income (loss) per share of common stock for the three and nine months ended September 30, 2025 and 2024 was computed by dividing the net income (loss) attributable to common stockholders of the Company for the relevant period by the weighted average number of shares of common stock outstanding.

Diluted income (loss) per share of common stock is computed by dividing net income (loss) attributable to common stockholders of the Company for the relevant period by the weighted average number of shares of common stock and common stock equivalents outstanding excluding potential common stock equivalents that are anti-dilutive.

The Company had no potential common stock equivalents for the three and nine months ended September 30, 2025 and 2024 , respectively.

Three months ended

Nine months ended

September 30,

Net Loss per Share

Basic net loss per share of common stock for the three months ended March 31, 2026 and 2025 was computed by dividing the net income (loss) attributable to common stockholders of the Company for the relevant period by the weighted average number of shares of common stock outstanding.

Diluted loss per share of common stock is computed by dividing net loss attributable to common stockholders of the Company for the relevant period by the weighted average number of shares of common stock and common stock equivalents outstanding excluding potential common stock equivalents that are anti-dilutive.

The Company had no potential common stock equivalents for the three months ended March 31, 2026 and 2025 , respectively.

Three months ended March 31,

(in thousands, except per share amounts)

2 unchanged sentences

16,783 16,783

Income (loss) from continuing operations

$ 13,934 $ ( 1,043 ) $ 10,150 $ ( 4,398 )

Income (loss) from discontinued operations

250 ( 44 ) 433 ( 468 )

Net income (loss)

Loss from continuing operations

$ ( 1,863 ) $ ( 1,800 )

Income (loss) per share from continuing operations - basic and diluted

Income from discontinued operations

$ ( 1,863 ) $ ( 1,733 )

Income (loss) per share from discontinued operations - basic and diluted

Loss per share from continuing operations - basic and diluted

$ ( 0.11 ) $ ( 0.11 )

Net income (loss) per share - basic and diluted(a)

Income per share from discontinued operations - basic and diluted

Net loss per share - basic and diluted (a)

$ ( 0.11 ) $ ( 0.10 )

6 unchanged sentences

The following table presents key financial information with respect to the Company’s single operating segment (in thousands):

Three months ended

Nine months ended

September 30,

$ 430 $ 838 $ 1,542 $ 2,453

Three months ended March 31,

Costs and expenses (a) :

Cost of revenues

47 78 132 146

General and administrative, including rent

302 152 848 875

Payroll and related

1,257 1,508 4,877 4,898

Professional fees and IP

414 236 1,073 969

Marketing and travel

97 57 351 374

Total costs and expenses

2,127 2,054 7,305 7,326

Other segment items (b)

15,507 11 15,498 31

Other income, net

124 151 405 454

Income (loss) before provision for income taxes

13,934 ( 1,054 ) 10,140 ( 4,388 )

Provision for income taxes

Loss before provision for income taxes

( 1,862 ) ( 1,810 )

Income (loss) from continuing operations

Provision for (benefit from) income taxes

Loss from continuing operations

$ ( 1,863 ) $ ( 1,800 )

The significant expense categories and amounts align with the segment-level information that is regularly provided to the chief operating decision-maker.

Other segment items primarily include net proceeds from patent settlement, depreciation and amortization, payroll and related - re-allocated to cost of revenues, and stock options expense.

Other segment items primarily include depreciation and amortization, payroll and related - re-allocated to cost of revenues, and stock options expense.

The following table presents the long-lived assets property and equipment and right-of-use assets by geographic area (in thousands):

September 30, 2025 December 31, 2024

March 31, 2026 December 31, 2025

United States

1 unchanged sentence

The following table presents net revenues by country (in thousands):

Three months ended September 30,

$ 277 64.4 % $ 534 63.7 %

38 8.8 % 105 12.5 %

11 2.6 % 18 2.1 %

4 0.9 % 3 0.4 %

- - % 14 1.7 %

( 1 ) ( 0.2 )% - - %

$ 329 76.5 % $ 674 80.4 %

United States

101 23.5 % 164 19.6 %

$ 430 100.0 % $ 838 100.0 %

Nine months ended September 30,

Three months ended March 31,

$ 430 70.0 % $ 350 68.3 %

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Subsequent Events

No subsequent events have occurred that would require recognition in the condensed consolidated financial statements or disclosure in the notes thereto other than as discussed elsewhere in the accompanying notes.

On April 22, 2026, Neonode Technologies AB extended the lease agreement of the office space located at Karlavägen 100, Stockholm, Sweden and adjusted the square feet from 6,684 square feet to 6,254 square feet.

The lease agreement is valid through January 2030 and is extended on a yearly basis unless written notice is provided nine months prior to the expiration date.

Fixed lease payments are expected to be in the range of $ 280,000 and $ 310,000 annually until expiration.

No other subsequent events have occurred that would require recognition in the condensed consolidated financial statements or disclosure in the notes thereto.

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

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Since 2010, our licensing customers have sold over 95 million devices that use our patented technology.

As of September 30, 2025, we had 37 valid technology license agreements with global OEMs, Original Design Manufacturers (“ODMs”) and automotive Tier 1 suppliers.

As of March 31, 2026, we had 36 valid technology license agreements with global OEMs, Original Design Manufacturers (“ODMs”) and automotive Tier 1 suppliers.

Our licensing customer base is primarily in the automotive and printer segments.

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A summary of our financial results is as follows (in thousands, except percentages):

Three months ended

September 30,

Percentage of revenue

Non-recurring engineering

Percentage of revenue

Total revenues

Cost of revenues:

Non-recurring engineering

Percentage of revenue

Total cost of revenues

Operating expenses:

Research and development

Percentage of revenue

Sales and marketing

Percentage of revenue

General and administrative

Percentage of revenue

Total operating expenses

Percentage of revenue

Gain from patent assignment

Percentage of revenue

Broker fee from patent assignment

Percentage of revenue

Operating income (loss)

Percentage of revenue

Other income, net

Percentage of revenue

Provision for income taxes

Percentage of revenue

Income (loss) from continuing operations

Percentage of revenue

Basic and diluted income (loss) per share from continuing operations

Nine months ended

September 30,

Three months ended March 31,

Percentage of revenue

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Percentage of revenue

Gain from patent assignment

Percentage of revenue

Broker fee from patent assignment

Percentage of revenue

Operating income (loss)

Operating loss

Percentage of revenue

1 unchanged sentence

Percentage of revenue

Provision for income taxes

Provision for (benefit from) income taxes

Percentage of revenue

Income (loss) from continuing operations

Loss from continuing operations

Percentage of revenue

Basic and diluted income (loss) per share from continuing operations

All of our sales for the three and nine months ended September 30, 2025 and 2024 were to customers located in the United States, Europe and Asia.

Total revenues were $0.4 million and $1.5 million for the three and nine months ended September 30, 2025, respectively, compared to $0.8 million and $2.5 million for the same periods in 2024, respectively.

The decrease in total revenues of 48.7% for the three months ended September 30, 2025, as compared to the same period in 2024, is explained by lower license fees and non-recurring revenues.

The decrease in total revenues of 37.1% for the nine months ended September 30, 2025, as compared to the same period in 2024, is explained by lower license fees and non-recurring revenues.

Revenues from license fees were $0.4 million and $1.3 million for the three and nine months ended September 30, 2025, respectively, compared to $0.7 million and $2.1 million for the same periods in 2024, respectively.

The decrease of 44.5% for the three months ended September 30, 2025, as compared to the same period in 2024, was mainly due to lower demand for our legacy customers’ products within printer and passenger car touch applications.

The decrease of 38.3% for the nine months ended September 30, 2025, as compared to the same period in 2024, was mainly due to lower demand for our legacy customers’ products within printer and passenger car touch applications.

Basic and diluted loss per share from continuing operations

All of our sales for the three months ended March 31, 2026 and 2025 were to customers located in the United States, Europe and Asia.

Total revenues were $0.6 million for the three months ended March 31, 2026, compared to $0.5 million for the same period in 2025.

The increase in total revenues of 19.7% for the three months ended March 31, 2026, as compared to the same period in 2025, is mainly explained by higher license fees.

Revenues from license fees were $0.6 million for the three months ended March 31, 2026, compared to $0.5 million for the same periods in 2025.

The increase of 19.1% for the three months ended March 31, 2026, as compared to the same period in 2025, was mainly due to new license agreements.

Non-recurring Engineering

Revenues from non-recurring engineering were $24,000 and $235,000 for the three and nine months ended September 30, 2025, respectively, compared to $107,000 and $335,000 for the same periods in 2024, respectively.

Revenues from non-recurring engineering were $22,000 for the three months ended March 31, 2026, compared to $16,000 for the same periods in 2025.

Most of our non-recurring engineering revenues are related to application development and proof-of-concept projects related to our technology platforms.

The decrease of 77.6% for the three months ended September 30, 2025, as compared to the same period in 2024, was the result of decreased delivery in projects.

The decrease of 29.9% for the nine months ended September 30, 2025, as compared to the same period in 2024, was the result of fewer projects.

The increase of 37.5% for the three months ended March 31, 2026, as compared to the same period in 2025, was the result of increased delivery in projects.

The following tables presents the net revenues by market and revenue stream (in thousands):

Three months ended September 30,

Non-recurring engineering

IT & Industrial:

Non-recurring engineering

Nine months ended September 30,

Three months ended March 31,

Non-recurring engineering

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Non-recurring engineering

Our gross margin was 97.9% and 98.4% for the three and nine months ended September 30, 2025, respectively, compared to 97.3% and 97.4% for the same periods in 2024, respectively.

Our gross margin was 99.3% for the three months ended March 31, 2026, compared to 98.2% for the same periods in 2025.

Our cost of revenues includes the direct cost of production of certain customer prototypes, costs of engineering personnel, engineering consultants to complete the engineering design contracts.

Research and Development

Research and development (“R&D”) expenses were $0.8 million and $2.8 million for the three and nine months ended September 30, 2025, respectively, compared to $0.8 million and $2.7 million for the same periods in 2024, respectively.

The decrease of 3.4% for the three months ended September 30, 2025 compared to the same period in 2024 was primarily related to lower cost for development of prototypes.

The increase of 5.6% for the nine months ended September 30, 2025 compared to the same period in 2024 was primarily related to higher payroll and related costs.

Research and development (“R&D”) expenses were $0.9 million for the three months ended March 31, 2026, compared to $1.0 million for the same periods in 2025.

The decrease of 7.2% for the three months ended March 31, 2026 compared to the same period in 2025 was primarily related to lower cost for payroll and related costs.

R&D expenses primarily consist of personnel-related costs in addition to external consultancy costs, such as testing, certifying and measurements, along with costs related to developing and building new product prototypes.

Sales and Marketing

Sales and marketing expenses were $0.5 million and $1.7 million for the three and nine months ended September 30, 2025, respectively, compared to $0.5 million and $1.8 million for the same periods in 2024, respectively.

The decrease of 3.7% for the three months ended September 30, 2025 compared to the same period in 2024 was primarily related to lower professional fees offset by higher spend in marketing.

The decrease of 7.6% for the nine months ended September 30, 2025 compared to the same period in 2024 was primarily related to lower payroll and related costs, lower professional fees and lower spend in marketing.

Sales and marketing expenses were $0.6 million for the three months ended March 31, 2026, compared to $0.6 million for the same periods in 2025.

The decrease of 5.3% for the three months ended March 31, 2026 compared to the same period in 2025 was primarily related to lower advertising and travel expenses.

Our sales and marketing activities focus on OEM, ODM and Tier 1 customers who will license our technology.

General and Administrative

General and administrative expenses were $0.9 million and $2.8 million for the three and nine months ended September 30, 2025, respectively, compared to $0.7 million and $2.7 million for the same periods in 2024, respectively.

The increase of 17.4% for the three months ended September 30, 2025, compared to the same period in 2024, was primarily related to higher professional fees offset by lower payroll and related costs.

The increase of 1.9% for the nine months ended September 30, 2025, compared to the same period in 2024, was primarily related to higher professional fees.

Gain from Patent Assignment and Broker Fee from Patent Assignment

Gain from the patent assignment to Aequitas Technologies LLC ("Aequitas") was $19.4 million for the three and nine months ended September 30, 2025.

The Company recognized a brokerage fee from the patent assignment of $3.8 million for the three and nine months ended September 30, 2025.

The amount represents the final outcome from the process between Neonode Smartphone LLC, an unrelated third party that is a subsidiary of Aequitas (“Aequitas Sub”), and Samsung Electronics Co., Ltd.

and Samsung Electronics America, Inc.

(collectively, “Samsung”), excluding any potential tax recoveries.

The cash transactions occurred in October 2025.

Other income was $0.1 million and $0.4 million for the three and nine months ended September 30, 2025, respectively, compared to $0.2 million and $0.5 million for the same periods in 2024, respectively.

General and administrative expenses were $1.2 million for the three months ended March 31, 2026, compared to $0.9 million for the same period in 2025.

The increase of 37.1% for the three months ended March 31, 2026, compared to the same period in 2025, was primarily related to higher professional fees due to tax analysis of the net income for 2025, higher payroll and related costs and the currency exchange effect.

Other income was $0.2 million for the three months ended March 31, 2026, compared to $0.2 million for the same periods in 2025, respectively.

The other income for the period was mainly related to interest income earned.

Our effective tax rate was nil and (0.1)% for the three and nine months ended September 30, 2025, respectively, compared to 1.0% and (0.2)% for the same periods in 2024, respectively.

Our effective tax rate was (0.1)% for the three months ended March 31, 2026, compared to 0.6% for the same periods in 2025, respectively.

The tax rate is due to global intangible low-taxed income and change in valuation allowance.

Net Income (Loss)

As a result of the factors discussed above, we recorded an income from continuing operations of $14.2 million and $10.6 million for the three and nine months ended September 30, 2025, respectively, and a loss of $1.1 million and $4.9 million for the same periods in 2024, respectively.

As a result of the factors discussed above, we recorded a loss from continuing operations of $1.9 million for the three months ended March 31, 2026, and a loss of $1.8 million for the same periods in 2025.

Liquidity and Capital Resources

7 unchanged sentences

ability to raise additional capital, if necessary.

As of September 30, 2025, we had cash and cash equivalents of $11.6 million, as compared to $16.4 million as of December 31, 2024.

As of March 31, 2026, we had cash and cash equivalents of $23.2 million, as compared to $25.4 million as of December 31, 2025.

Based on our current cash position, and assuming currently planned expenditures and level of operations, we believe we have sufficient capital to fund operations for the twelve-month period subsequent to the date of this report.

Working capital (current assets less current liabilities) was $26.2 million as of September 30, 2025, compared to $16.1 million as of December 31, 2024.

Net cash used in operating activities for combined continuing and discontinued operations for the nine months ended September 30, 2025, was $4.6 million and was primarily the result of a net loss of $10.6 million and approximately $(19.2) million in non-cash operating expenses, comprised of depreciation and amortization and amortization of operating lease right-of-use assets and changes in operating assets and liabilities of $4.0 million.

Net cash used in operating activities for combined continuing and discontinued operations for the nine months ended September 30, 2024, was $4.4 million and was primarily the result of a net loss of $4.9 million and approximately $0.4 million in non-cash operating expenses, comprised of stock-based compensation expense, depreciation and amortization, amortization of operating lease right-of-use assets and inventory impairment loss and changes in operating assets and liabilities of $28,000.

Net cash used in investing activities for the nine months ended September 30, 2025, was approximately $90,000 and was primarily the result of purchase of property and equipment.

Net cash provided by investing activities for the nine months ended September 30, 2024, was approximately $153,000 and was primarily proceeds from sale of property and equipment offset by purchase of property and equipment.

Net cash used in financing activities for the nine months ended September 30, 2025, was approximately $8,000 and was primarily the result of principal payments on finance leases.

Net cash provided by financing activities for the nine months ended September 30, 2024, was approximately $5.8 million and was primarily the result of proceeds from the issuance of common stock, net of offering costs.

Working capital (current assets less current liabilities) was $22.3 million as of March 31, 2026, compared to $24.1 million as of December 31, 2025.

Net cash used in operating activities for combined continuing and discontinued operations for the three months ended March 31, 2026, was $2.1 million and was primarily the result of a net loss of $1.9 million and approximately $0.1 million in non-cash operating expenses, comprised of depreciation and amortization and amortization of operating lease right-of-use assets and changes in operating assets and liabilities of $(0.4) million.

Net cash used in operating activities for combined continuing and discontinued operations for the three months ended March 31, 2025, was $1.4 million and was primarily the result of a net loss of $1.7 million and approximately $91,000 in non-cash operating expenses, comprised of depreciation and amortization and amortization of operating lease right-of-use assets and changes in operating assets and liabilities of $282,000.

Net cash used in investing activities for the three months ended March 31, 2026, was approximately $13,000 and was primarily the result of purchase of property and equipment.

Net cash used in investing activities for the three months ended March 31, 2025, was approximately $40,000 and was primarily the result of purchase of property and equipment.

Net cash used in financing activities for the three months ended March 31, 2026, was approximately $3,000 and was primarily the result of principal payments on finance leases.

Net cash used in financing activities for the three months ended March 31, 2025, was approximately $2,000 and was primarily the result of principal payments on finance leases.

We have incurred significant operating losses and negative cash flows from operations since our inception.

The Company incurred net income for combined continuing and discontinued operations of approximately $14.2 million and $10.6 million for the three and nine months ended September 30, 2025, respectively, compared to a loss of $1.1 million and $4.9 million for the same periods in 2024, respectively, and had an accumulated deficit of approximately $213.5 million and $224.1 million as of September 30, 2025 and December 31, 2024, respectively.

In addition, operating activities used cash of approximately $4.6 million and $4.4 million for the nine months ended September 30, 2025 and 2024, respectively.

The condensed consolidated financial statements included herein have been prepared on a going concern basis, which contemplates continuity of operations and the realization of assets and the repayment of liabilities in the ordinary course of business.

Management evaluated the significance of the Company’s operating loss and negative cash flows from operations and determined that the Company’s current operating plan and sources of liquidity would be sufficient to alleviate concerns about the Company’s ability to continue as a going concern.

Management has prepared an operating plan and believes that the Company has sufficient cash to meet its obligations as they come due for a year from the date the condensed consolidated financial statements were issued.

The Company incurred net loss for combined continuing and discontinued operations of approximately $1.9 million for the three months ended March 31, 2026, compared to a loss of $1.7 million for the same period in 2025, and had an accumulated deficit of approximately $217.5 million and $215.6 million as of March 31, 2026 and December 31, 2025, respectively.

In the future, we may require sources of capital in addition to cash on hand and our Ladenburg ATM Facility to continue operations and to implement our strategy.

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The issuance of equity securities or securities convertible into equity could dilute the value of shares of our common stock and cause the market price to fall, and the issuance of debt securities could impose restrictive covenants that could impair our ability to engage in certain business transactions.

The functional currency of our foreign subsidiaries is the applicable local currency, the Swedish Krona, the Japanese Yen, the South Korean Won and the Taiwan Dollar.

The functional currency of our foreign subsidiaries is the applicable local currency, the Swedish Krona, the Japanese Yen and the South Korean Won.

They are subject to foreign currency exchange rate risk.

Any increase or decrease in the exchange rate of the U.S.

Dollar compared to the Swedish Krona, Japanese Yen, South Korean Won or Taiwan Dollar will impact our future operating results.

Dollar compared to the Swedish Krona, Japanese Yen or South Korean Won will impact our future operating results.

Contractual Obligations and Off-Balance Sheet Arrangements

5 unchanged sentences

On December 1, 2020, Neonode Technologies AB entered into a lease for 6,684 square feet of office space located at Karlavägen 100, Stockholm, Sweden.

The lease agreement has been extended and is valid through November 2026.

The lease agreement has been extended and is valid through January 2030, with premises adjusted from 6,684 square feet to 6,254 square feet.

It is extended on a yearly basis unless written notice is provided nine months prior to the expiration date.

For total rent expense for combined continuing and discontinued operations, we recorded $117,000 and $336,000 for the three and nine months ended September 30, 2025, respectively, compared to $127,000 and $376,000 for the same periods in 2024.

For total rent expense for combined continuing and discontinued operations, we recorded $126,000 for the three months ended March 31, 2026, compared to $104,000 for the same period in 2025.

Non-Recurring Engineering Development Costs

1 unchanged sentence

Under the terms of the NN1002 Agreement, we agreed to pay TI $500,000 of non-recurring engineering costs at the rate of $0.25 per ASIC for each of the first 2 million ASICs sold.

As of September 30, 2025, we had made no payments to TI under the NN1002 Agreement.

As of March 31, 2026, we had made no payments to TI under the NN1002 Agreement.

At-the-Market Offering Program

On May 10, 2021, we entered into an At Market Issuance Sales Agreement (the “B.

Riley Sales Agreement”) with B.

Riley Securities, Inc.

Riley Securities”) with respect to an “at the market” offering program (the “B.

Riley ATM Facility”), under which we may, from time to time, in our sole discretion, issue and sell through B.

Riley Securities, acting as sales agent, up to $25 million of shares of our common stock, in any method permitted that is deemed an “at the market” offering as defined in Rule 415 under the Securities Act.

On May 29, 2024, we terminated the B.

Riley Sales Agreement with B.

Riley Securities.

On June 4, 2024, we entered into an At The Market Offering Agreement (the “Ladenburg Sales Agreement”) with Ladenburg Thalmann & Co.

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The offering of shares pursuant to the Ladenburg Sales Agreement will terminate upon the earlier to occur of (i) the issuance and sale, through Ladenburg, of all of the shares of our common stock subject to the Ladenburg Sales Agreement and (ii) termination of the Ladenburg Sales Agreement in accordance with its terms.

During the three and nine months ended September 30, 2025, no shares were sold under the Ladenburg ATM Facility.

During the three and nine months ended September 30, 2024, we sold an aggregate of 1,423,441 shares of our common stock, respectively, under the Ladenburg ATM Facility with aggregate net proceeds to us of $5.8 million, after payment of commissions to Ladenburg and other expenses of $0.2 million.

During the three months ended March 31, 2026 and 2025, no shares were sold under the Ladenburg ATM Facility.

Patent Assignment

32 unchanged sentences

On September 2, 2025, the Court granted the motion.

The case in the Western District of Texas is now closed.

For additional information regarding the settlement, see “Item 2.

Management’s Discussion and Analysis of Financial Condition and Results of Operations – Results of Operations – Gain from Patent Assignment and Broker Fee from Patent Assignment.”

As of September 2, 2025, the case in the Western District of Texas was closed.

The case against Apple remains pending in the United States District Court for the Northern District of California (docket number 21-cv-8872).

2 unchanged sentences

On October 27, 2025, the parties submitted a stipulated scheduling order for the remainder of the case.

Among other dates, the parties proposed (i) a close of fact discovery on August 28, 2025, (ii) mediation by January 19, 2027, and (iii) trial by April 5, 2027.

The Court has yet to order the scheduling order.

On December 15, 2025, the Court entered a modified order for scheduling.

Among other dates, the Court ordered (i) a close of fact discovery on July 31, 2026, (ii) mediation by December 8, 2026, and (iii) trial by February 22, 2027.

The Court also ordered claim construction briefing beginning March 27, 2026 and concluding April 17, 2026.

Further, on February 10, 2026, the case was referred to private alternative dispute resolution to be completed by December 8, 2026.

On April 2, 2026, Apple moved for summary judgment of invalidity for lack of written description.

The motion has been fully briefed and is scheduled for oral argument on May 7, 2026.

Additionally, as of April 17, 2026, claim construction briefing was completed, and on April 15, 2026, Apple also moved to serve amended invalidity contentions based on new information and case developments.

Based on information in public records, in November 2020, Samsung and Apple collectively sought inter partes review of certain claims in U.S.

6 unchanged sentences

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 1. Financial Statements