Network-1(NTIP) - 2024 Q2 - Quarterly Results

Financial Performance - Network-1 reported revenue of $100,000 for Q2 2024, a decrease of 64.7% from $283,000 in Q2 2023[1] - The net loss for Q2 2024 was $658,000, or $0.03 per share, compared to a net loss of $476,000, or $0.02 per share, in Q2 2023[1][2] - For the six months ended June 30, 2024, the net loss was $1,578,000, or $0.07 per share, compared to a net loss of $1,099,000, or $0.05 per share, in the same period of 2023[2] Cash and Assets - As of June 30, 2024, Network-1 had cash and cash equivalents of $42,599,000, indicating sufficient funds to support operations for the next twelve months[2] - Cash and cash equivalents increased to $19,939,000 from $16,896,000, an increase of about 17.9%[9] - Total current assets decreased to $42,781,000 from $45,673,000, a decline of approximately 6.5%[9] - Total assets decreased to $48,063,000 from $52,277,000, a decline of about 8.1%[9] - Marketable securities at fair value decreased to $22,660,000 from $28,571,000, a drop of approximately 20.7%[9] Shareholder Actions - The company repurchased 373,701 shares at an average price of $1.84 during Q2 2024, with a total cost of $688,410[3] - Network-1 has declared a semi-annual cash dividend of $0.05 per share, consistent with its dividend policy[4] Patent Revenue - The Remote Power Patent has generated over $188 million in licensing revenue since May 2007 through June 30, 2024[5] - The company has achieved licensing and other revenue of $47.15 million from its Mirror Worlds Patent Portfolio as of June 30, 2024[5] - Network-1 continues to focus on monetizing five patent portfolios, including the Remote Power Patent and Mirror Worlds Patent[5] Financial Position - Total liabilities decreased significantly to $890,000 from $1,585,000, a reduction of approximately 43.8%[9] - Total current liabilities decreased to $412,000 from $823,000, a reduction of approximately 50%[9] - Deferred tax liability decreased to $478,000 from $762,000, a decrease of about 37.3%[9] - Total stockholders' equity decreased to $47,173,000 from $50,692,000, a decline of about 7.4%[9] - Accumulated deficit increased to $(20,713,000) from $(16,989,000), reflecting a worsening of approximately 22.5%[9] Risks - The company is subject to various risks, including uncertain revenue from licensing and ongoing litigation outcomes[6]