ACTG earnings analysis
What we found in ACTG's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
Acacia Research Corporation reported Q1 2026 results with total revenue of $54.24 million, exceeding expectations and showing an increase from the prior quarter, but down significantly from a year ago. The company posted an EPS of -$0.07, which also beat estimates. Despite these results, management acknowledged substantial challenges, including a year-over-year revenue decline of approximately 56% and ongoing losses.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Revenue Exceeds Expectations
- Actual revenue for Q1 2026 was $54.24 million, surpassing estimates by approximately 8.5%.
- Improved EPS Performance
- The company reported a diluted EPS of -$0.07, better than the consensus estimate of -$0.09, indicating a positive surprise of 22.22%.
- Strong Cash Position
- Acacia holds a robust cash position, totaling approximately $329.9 million as of the quarter.
- Segment Growth in Intellectual Property
- The Intellectual Property Operations segment performed notably well, driving revenue despite overall declines.
- Stabilizing Gross Margin
- Gross margin for the quarter improved to 47.4%, a substantial increase from the previous year.
- Cash Flows Turn Positive
- The company generated positive free cash flow of $335,000 for the quarter after a notable improvement in cash management.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Significant Year-over-Year Revenue Drop
- Revenue decreased by approximately 56% compared to Q1 2025, falling from $124 million to $54.24 million.
- GAAP Net Loss
- The company incurred a net loss of $15.7 million, significantly impacting shareholder value with potential future implications.
- Ongoing Litigation Risks
- Acacia continues to face substantial litigation risks associated with its patent enforcement, which may drain financial resources.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $-0.07
- Gross margin
- 47.4%
What they said about what is next.
No specific numeric guidance provided, management cited ongoing challenges and uncertainties.
The filing reads worse than the one before it.
What came before.
- 10-K · March 12, 2026
- Acacia Research describes itself as a disciplined, value-oriented acquirer and operator focused on building cash-generating platforms across the industrial, energy and technology sectors, targeting businesses with total…
- 10-Q · November 6, 2025
- Acacia Research reported Q3 2025 revenue of $59,446,000, up from $23,310,000 in Q3 2024, driven largely by a new Manufacturing operations contribution of $30,815,000. Gross margin improved to 21.2% while operating…
- 10-K · March 17, 2025
- Acacia Research Corporation reported a Q4 revenue of $48,844,000, slightly beating consensus estimates of $47,750,000, resulting in a positive revenue surprise of about 2.29%. However, the company continues to face…
- 10-Q · November 12, 2024
- Q3 2024 revenue rose to $23.31M (from $10.08M in Q3 2023) driven by the newly consolidated Energy Operations, but the company reported a net loss attributable to Acacia of $13.996M (diluted loss per share $0.14).…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
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