$PAR

PAR TECHNOLOGY CORP

CIK:0000708821|SEC Filings

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025
Revenues, net:
Total revenues, net	$ 133,410	$ 112,404	$ 257,383	$ 216,263
Cost of sales:
Total cost of sales	76,827	61,412	146,299	116,929
Gross margin	56,583	50,992	111,084	99,334
Operating expenses:
Sales and marketing	11,564	12,274	23,849	24,056
General and administrative	26,288	31,697	56,984	60,981
Research and development	22,507	20,934	44,482	40,701
Amortization of identifiable intangible assets	3,725	3,394	7,156	6,653
Intangible asset impairment loss	5,400	0	5,400	0
Total operating expenses	69,484	68,299	137,871	132,391
Operating loss	(12,901)	(17,307)	(26,787)	(33,057)
Other income (expense), net	774	(1,381)	1,601	(1,472)
Interest expense, net	(3,386)	(1,408)	(5,318)	(3,042)
Gain (loss) on extinguishment of debt, net	0	0	380	(5,791)
Loss from continuing operations before income taxes	(15,513)	(20,096)	(30,124)	(43,362)
Provision for income taxes	(1,383)	(944)	(2,941)	(2,225)
Net loss from continuing operations	(16,896)	(21,040)	(33,065)	(45,587)
Net income from discontinued operations	0	0	0	197
Net loss	$ (16,896)	$ (21,040)	$ (33,065)	$ (45,390)
Net (loss) income per share (basic and diluted):
Continuing operations, basic (in dollars per share)	$ (0.41)	$ (0.52)	$ (0.80)	$ (1.13)
Continuing operations, diluted (in dollars per share)	(0.41)	(0.52)	(0.80)	(1.13)
Discontinued operations, basic (in dollars per share)	0	0	0	0
Discontinued operations, diluted (in dollars per share)	0	0	0	0
Total, basic (in dollars per share)	(0.41)	(0.52)	(0.80)	(1.13)
Total, diluted (in dollars per share)	$ (0.41)	$ (0.52)	$ (0.80)	$ (1.13)
Weighted average shares outstanding, basic (in shares)	41,281	40,520	41,140	40,348
Weighted average shares outstanding, diluted (in shares)	41,281	40,520	41,140	40,348
Subscription service
Revenues, net:
Total revenues, net	$ 83,391	$ 71,903	$ 161,913	$ 140,313
Cost of sales:
Total cost of sales	37,335	32,144	72,188	61,044
Hardware
Revenues, net:
Total revenues, net	35,086	26,864	64,340	48,707
Cost of sales:
Total cost of sales	27,954	19,540	50,882	36,008
Professional service
Revenues, net:
Total revenues, net	14,933	13,637	31,130	27,243
Cost of sales:
Total cost of sales	$ 11,538	$ 9,728	$ 23,229	$ 19,877

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025
Cash flows from operating activities:
Net loss	$ (33,065)	$ (45,390)
Net income from discontinued operations	0	(197)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	24,850	24,297
Accretion of debt in interest expense, net	1,265	1,167
Current expected credit losses	1,800	2,649
Provision for obsolete inventory	3,064	(392)
Stock-based compensation	13,962	15,068
Impairment loss	5,482	0
(Gain) loss on debt extinguishment, net	(380)	5,791
Deferred income tax	146	877
Changes in operating assets and liabilities, net of acquisitions:
Accounts receivable	3,546	(14,520)
Inventories	(9,646)	(4,867)
Other current assets	(19)	(1,633)
Other assets	(3,538)	433
Accounts payable	(3,084)	3,398
Accrued salaries and benefits	(7,425)	(4,313)
Accrued expenses	(946)	(7,952)
Customer deposits and deferred service revenue	(4,407)	(2,448)
Customers payable	13	4,242
Other long-term liabilities	(1,040)	(8)
Cash used in operating activities - continuing operations	(9,422)	(23,798)
Cash used in operating activities - discontinued operations	0	0
Net cash used in operating activities	(9,422)	(23,798)
Cash flows from investing activities:
Cash paid for acquisition, net of cash acquired	(275)	(4,323)
Capital expenditures	(777)	(1,195)
Capitalization of software costs	(5,426)	(2,372)
Cash used in investing activities - continuing operations	(6,478)	(7,890)
Cash provided by investing activities - discontinued operations	0	197
Net cash used in investing activities	(6,478)	(7,693)
Cash flows from financing activities:
Repayments of long-term debt	(209,040)	(93,600)
Proceeds from debt issuance, net of original issue discount	257,050	111,136
Repurchase of common stock	(33,125)	0
Treasury stock acquired from employees upon vesting or forfeiture of restricted stock	0	(7,043)
Proceeds from employee stock purchase plan	536	628
Proceeds from exercise of stock options	171	320
Cash provided by financing activities - continuing operations	15,592	11,441
Cash provided by financing activities - discontinued operations	0	0
Net cash provided by financing activities	15,592	11,441
Effect of exchange rate changes on cash and cash equivalents	(1,871)	1,297
Net decrease in cash and cash equivalents and cash held on behalf of customers	(2,179)	(18,753)
Cash and cash equivalents and cash held on behalf of customers at beginning of period	93,685	121,545
Cash and cash equivalents and cash held on behalf of customers at end of period	91,506	102,792
Reconciliation of cash and cash equivalents and cash held on behalf of customers
Cash and cash equivalents	77,373	85,122
Cash held on behalf of customers	14,133	17,670
Total cash and cash equivalents and cash held on behalf of customers	91,506	102,792
Supplemental disclosures of cash flow information:
Cash paid for interest	1,919	2,275
Cash paid for income taxes	4,017	4,549
Capitalized software recorded in accounts payable	300	25
Capital expenditures in accounts payable	31	133
Common stock issued for acquisition	24,836	108,182
Common stock issued for conversion of 2026 Notes	$ 20,567	$ 0

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Jun. 30, 2026	Dec. 31, 2025
Current assets:
Cash and cash equivalents	$ 77,373	$ 79,565
Cash held on behalf of customers	14,133	14,120
Short-term investments	569	579
Accounts receivable – net	76,281	81,706
Inventories	34,033	27,436
Other current assets	29,757	29,525
Total current assets	232,146	232,931
Property, plant and equipment – net	11,943	13,286
Goodwill	895,113	898,035
Intangible assets – net	204,923	203,370
Lease right-of-use assets	8,929	8,176
Other assets	16,818	13,346
Total Assets	1,369,872	1,369,144
Current liabilities:
Current portion of long-term debt	0	19,954
Accounts payable	36,550	39,332
Accrued salaries and benefits	17,698	25,186
Accrued expenses	11,352	12,380
Customers payable	14,133	14,120
Lease liabilities – current portion	2,099	1,899
Customer deposits and deferred service revenue	23,228	27,867
Total current liabilities	105,060	140,738
Lease liabilities – net of current portion	7,086	6,435
Deferred service revenue – noncurrent	2,031	1,841
Long-term debt	422,351	374,070
Other long-term liabilities	19,574	20,910
Total liabilities	556,102	543,994
Commitments and Contingencies (Note 11)
Shareholders’ equity:
Preferred stock, $0.02 par value, 1,000,000 shares authorized	0	0
Common stock, $0.02 par value, 116,000,000 shares authorized, 42,935,541 and 42,226,765 shares issued, 41,362,708 and 40,653,932 outstanding at June 30, 2026 and December 31, 2025, respectively	851	836
Additional paid-in capital	1,252,971	1,226,039
Accumulated deficit	(397,469)	(364,404)
Accumulated other comprehensive loss	(13,691)	(8,429)
Treasury stock, at cost, 1,572,833 and 1,572,833 shares at June 30, 2026 and December 31, 2025, respectively	(28,892)	(28,892)
Total shareholders’ equity	813,770	825,150
Total Liabilities and Shareholders’ Equity	$ 1,369,872	$ 1,369,144