WiSA Technologies(WISA) - 2025 Q2 - Quarterly Results

Q2 2025 Financial and Operational Highlights Q2 2025 Financial Performance Datavault AI achieved significant revenue growth in Q2 2025, driven by IP commercialization and strategic partnerships, demonstrating strong year-over-year and sequential growth Key Financial Data for Q2 2025 | Metric | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Recognized Revenue | $1.7 million | $0.3 million | | Year-over-Year Growth | 467% | - | | Sequential Growth | 176% | - | Strategic Bookings and Future Revenue Outlook The company secured a $2.5 million booking via a patent licensing agreement with Nyiax and projects an annualized revenue run rate of $25 million by end of 2025, targeting $40-50 million in 2026 - Secured a $2.5 million patent licensing booking with Nyiax Inc., payable in Nyiax stock, providing critical access to Nasdaq financial frameworks for launching three token exchanges2 Revenue Targets | Period | Revenue Target | | :--- | :--- | | End of 2025 | $25 million (Annualized Run Rate) | | 2026 | $40-$50 million | Q2 2025 Operational Highlights Datavault AI achieved several key operational milestones in Q2, including launching IBM watsonx.ai-based AI agent commercialization, securing a carbon credit tokenization patent, and finalizing strategic licensing agreements - Launched enterprise commercialization of AI agents based on IBM watsonx.ai for AI-driven data monetization11 - Secured a patent for carbon credit tokenization, pioneering a scalable, stablecoin AI-driven blockchain platform for generating, trading, and monetizing carbon credits11 - Finalized a strategic licensing agreement for ADIO®-enabled mobile rewards with GFT Rewards11 - NFL Alumni Health organization leveraged Datavault AI's ADIO® for health-focused interactive Web 3.0 campaigns11 Intellectual Property and Strategic Developments IP Portfolio Expansion and Legal Developments Datavault AI's IP portfolio continues to expand, leading to infringement litigation against top US banks, with the "Genius Act" signing further validating its patent assets Patent Infringement and Litigation The "Genius Act" signing validated Datavault AI's patent portfolio, leading the company to engage top IP litigation counsel to pursue licensing settlements or initiate lawsuits against infringing US banks - The Genius Act was signed into law on July 21, validating Datavault AI's growing patent portfolio4 - Third-party legal counsel identified top US banks as infringing on Datavault AI's patented transaction and Web 3.0 technologies4 - The company engaged a top IP litigation fund and law firm, Fish Richardson LLP, to immediately pursue licensing settlements or initiate litigation-based licensing activities4 IP Portfolio Details Datavault AI holds 72 patent assets and numerous trademarks, covering secure data monetization, AI-driven valuation, and acoustic innovation, providing Web 3.0 anchoring, scalability, and cybersecurity compliance in high-risk sectors Intellectual Property Portfolio | Type | Quantity | | :--- | :--- | | Total Patent Assets | 72 | | Granted Patents | 30 | | Allowed Patents | 10 | | Pending Patents | 32+ | | Granted Trademarks | 14 | | Allowed Trademarks | 11 | | Pending Trademarks | 3 | - Key holdings and claims include secure data monetization, AI-driven valuation, and acoustic innovations for defense and consumer applications, building trust in high-risk sectors like defense, biotech, and finance through Web 3.0 anchoring, scalability, and cybersecurity compliance5 Strategic Initiatives for Q3 2025 Datavault AI plans to launch new international exchanges, advance IBM-driven AI agent commercialization, complete strategic acquisitions in acoustics and data, and execute supercomputing and AI development strategies in Q3 2025 - Launch new international element exchanges, international NIL exchanges, and a US political exchange, leveraging Datavault's Web3 infrastructure and high-performance computing backbone11 - Advance the commercialization of IBM-driven AI agents within the Datavault platform11 - Complete strategic acquisitions in the acoustics and data divisions in 2025 to expand core growth markets11 - Execute supercomputing and AI development strategic plans to support long-term scaling11 - Provide updates on API Media integration, revenue impact, and next steps11 Acquisition Activity and System Integrations Datavault AI made significant progress integrating CompuSystems, API Media, ADIO, and Datavault technologies with their respective businesses, aiming to unify operations and accelerate revenue growth - Since January 7, 2025, Datavault AI has executed the integration of Datavault Holdings, WiSA, CSI, and established partnerships with IBM Watsonx, Nyiax, GFT Rewards, and Turner Global Media3 - Completed the integration of WiSA wireless audio IP with the Datavault data monetization platform, expanding opportunities in audio, NFT, and media verticals11 - Completed the integration of CompuSystems event registration and data systems with Datavault AI systems11 - Completed the integration of ADIO with NYAIX marketing management systems15 - Finalized API Media acquisition plans and integration timelines15 Company Strategy and Outlook Strategic Financing and Growth Fuel The company believes licensing technology, product lines, and acquired revenue streams, alongside focusing on annual recurring revenue and automated transaction income from its patented information data exchange technology stack, will drive sustainable growth and optimize its breakeven point - Revenue growth and increased cash flow from licensing technology, product lines, and sales of acquired revenue streams will drive sustainable growth12 - Focus on Annual Recurring Revenue (ARR) and automated transaction revenue on the patented Information Data Exchange technology stack12 - Aim to achieve an optimized breakeven point12 Management Commentary and Investor Relations CEO Nate Bradley highlighted the company's successful execution in integration, innovation, and revenue expansion, reaffirming 2025 and 2026 revenue targets, and announced an upcoming investor call - CEO Nate Bradley stated these achievements reflect the company's focused execution in integrating acquisitions, innovating with partners like IBM, and expanding revenue in the thriving AI data economy13 - The company is on track to achieve a $25 million annualized run rate this year and $40-50 million in revenue for 202613 - The company will host an investor conference call on August 20, 2025, to review business progress and discuss key strategic priorities13 About Datavault AI Datavault AI (Nasdaq: DVLT) is a leader in AI-driven data experiences, Web 3.0 asset valuation, and monetization, offering comprehensive cloud platform solutions through its acoustic science and data science divisions - Datavault AI is a leader in AI-driven data experiences, asset valuation, and monetization within Web 3.0 environments14 - The company comprises Acoustic Science and Data Science divisions, offering comprehensive cloud platform solutions14 - The Acoustic Science division features WiSA®, ADIO®, and Sumerian® patented technologies, covering audio timing, synchronization, and multi-channel interference cancellation14 - The Data Science division leverages Web 3.0 and high-performance computing to provide solutions for experiential data perception, valuation, and secure monetization14 - Information Data Exchange® (IDE) enables licensing of digital twins, name, image, and likeness (NIL) rights, and facilitates responsible AI by securely attaching physical real-world objects to immutable metadata objects14 - Serving industries include sports and entertainment, events and venues, biotechnology, education, fintech, real estate, healthcare, and energy14 Legal Disclosures and Contact Information Forward-Looking Statements This press release contains forward-looking statements subject to various risks and uncertainties, including the company's ability to leverage IP, expand market share, secure additional financing, and manage costs, cautioning readers not to place undue reliance on these statements - Forward-looking statements are based on estimates and assumptions, inherently uncertain, and actual results may differ materially from expectations16 - Risks include: ability to successfully leverage published and granted IP; risks of successfully expanding market share with acquired assets; risks of opening new revenue streams; current liquidity position and need for additional financing; market, economic, and other general conditions; ability to continue as a going concern; ability to maintain Nasdaq listing; ability to manage costs and execute operational budget plans; ability to achieve financial objectives; extent to which licensees implement company technology; risks related to technological innovation and intellectual property; and other risks detailed in SEC filings16 - Information in this press release is provided only as of the date of issuance, and the company undertakes no obligation to update any forward-looking statements unless required by law16 Investor and Marketing Contacts Provides contact information for investor relations and marketing inquiries - Investor Contact: Alliance Advisors Investor Relations (datavaultinvestors@allianceadvisors.com)17 - Marketing Inquiries Contact: marketing@vault.email17