Fountain Valley, California--(Newsfile Corp. - February 12, 2026) - Moving iMage Technologies, Inc. (NYSE American: MITQ) "MiT", a leading provider of cutting-edge out-of-home entertainment technology and services for cinema, stadiums, arenas, Esports, and other venues, announced results for its fiscal 2026 second quarter ended December 31, 2025 (Q2'26) and will hold an investor call today at 11am ET (see call details below). HighlightsAcquired globally respected DCS premium cinema loudspeaker line from QS ...

Financial Data and Key Metrics Changes - Q1 2026 revenue increased by 6.2% to $5.6 million, driven by the delivery of a custom cinema project and other client work [17] - Gross profit rose by 22% to $1.7 million, with an improved gross margin of 30% compared to 26.1% in Q1 2025 [17] - Operating expenses decreased by 8% to $1.32 million in Q1 2026, down from $1.44 million in Q1 2025 [17] - Operating income improved to $350,000 from an operating loss of $68,000 in the same period last year [18] - Net income for Q1 2026 was $509,000 or $0.05 per share, compared to a net loss of $25,000 in Q1 2025 [18] - Working capital rose by 12% to $4.8 million at the close of Q1 2026 [19] Business Line Data and Key Metrics Changes - The company achieved profitability in Q1 2026 due to higher revenue and lower operating expenses, reflecting solid operational execution [4][7] - The acquisition of the DCS Cinema loudspeaker line is expected to enhance the company's product offerings and market position [10][12] Market Data and Key Metrics Changes - Domestic box office receipts for Q3 were approximately $2.4 billion, nearly matching the previous year, indicating a stable exhibition industry [5] - The company anticipates Q2 2026 revenue of approximately $3.4 million, reflecting the impact of the holiday season on capital spending [20] Company Strategy and Development Direction - The company aims to build on its value proposition with new products and capabilities, particularly through the acquisition of DCS Cinema [5][12] - Focus on improving operational and financial performance while expanding capabilities to support customer needs in cinema technology [6][14] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism regarding the exhibition industry outlook, citing improved domestic box office trends and a stronger release calendar [14] - The company believes that the aging of legacy cinema systems will provide increasing opportunities for growth [14] Other Important Information - The acquisition of DCS Cinema was completed for $1.5 million in cash, expected to be accretive to the bottom line within two to three years [11][19] - The company has no long-term debt and maintains a solid cash position to support its operations and growth initiatives [19] Q&A Session Summary Question: Insights on DCS speaker line and revenue potential - The company intends to recoup the $1.5 million purchase cost of the DCS speaker line within two to three years [24] - The DCS line is well-respected and has significant potential that the previous owners may not have fully realized [25][26] Question: Compatibility with LEA power amplifiers - There are synergies between the DCS line and LEA power amplifiers, which could accelerate market acceptance [27] Question: Revenue opportunity for DCS speakers in theaters - Specific figures regarding revenue opportunities for outfitting theaters with DCS speakers were not available during the call [28] Question: International market approach and game plan - A clearer picture of the international market strategy will emerge after the onboarding process of the DCS business is completed [29]