10-Q · May 13, 2026
Neonode reported Q1 2026 revenue of $600,000, reflecting a 19.7% increase compared to $500,000 in Q1 2025. However, EPS remained negative at -$0.11, consistent with the prior year's loss. Operating cash flow was…
Earnings analysis · 10-Q
NEON earnings analysis
Filed August 12, 2026 · Our reading of the company's report
The latest report
Neonode’s second-quarter revenue fell to $477,000, down 20.4% year over year and approximately 22.3% sequentially, while diluted loss increased to $0.13 per share from $0.11 in each comparison period. License revenue…
Read full summary
Neonode’s second-quarter revenue fell to $477,000, down 20.4% year over year and approximately 22.3% sequentially, while diluted loss increased to $0.13 per share from $0.11 in each comparison period. License revenue grew 9.2% and MultiSensing license revenue increased more than fivefold, but the 81.5% decline in non-recurring engineering revenue outweighed those gains. The filing also reports three unresolved material weaknesses and ineffective disclosure controls as of June 30, 2026. No quantitative forward revenue or EPS guidance was provided.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $-0.13
- Segment
- License revenue increased 9.2% year over year.
- Segment
- MultiSensing license revenue increased more than fivefold year over year.
- Segment
- Non-recurring engineering revenue decreased 81.5% year over year.
What stood out
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Licensing growth continued
License revenue increased 9.2% year over year, while MultiSensing license revenue grew more than fivefold, indicating improving traction in the licensing portfolio.
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High-margin model remains intact
The company maintained a very high-margin revenue model; however, the provided filing data does not disclose a current-quarter gross-margin percentage.
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Focus remains on customer programs
Management said it remains focused on customer programs, evaluations and licensing opportunities, supporting potential future license adoption.
What to watch
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Revenue remains volatile and declining
Second-quarter revenue was $477,000, down 20.4% year over year from $599,000 and approximately 22.3% sequentially from $614,000 in the first quarter. The decline was driven in part by an 81.5% decrease in non-recurring engineering revenue.
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Per-share loss widened
Diluted net loss was $0.13 per share versus $0.11 per share in both the prior-year quarter and the immediately preceding quarter, indicating modestly worsening per-share losses.
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Material weaknesses remain unresolved
Disclosure controls were concluded to be ineffective as of June 30, 2026 because of three material weaknesses: financially significant IT general controls, segregation-of-duties and management-override controls, and income-tax calculation and disclosure controls. Management stated the weaknesses cannot be fully remediated until controls operate for a sufficient period and are tested.
Management's outlook
No quantitative revenue or EPS guidance was provided. Management stated it remains focused on customer programs, evaluations and licensing opportunities.
Earlier filings 4
10-K · March 18, 2026
Neonode completed a strategic pivot to a pure-licensing model (phased out TSM product business in 2024 and placed zForce into maintenance mode in September 2025) and reported a sharp revenue decline in 2025 versus 2024.…
10-Q · November 6, 2025
Neonode reported Q3 revenue of $430,000, down from $599,000 sequentially and $838,000 year-over-year. Reported net income of $14.184 million ($0.85 per share) was driven by a one-time receivable and gain from a patent…
10-Q · August 13, 2025
Neonode reported quarterly revenue of $599,000 (Q2 2025), down versus Q2 2024 but up versus the prior quarter. Gross margin remained very high at 99.0% while operating loss widened to $2,110,000 for the quarter;…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.