$INUV

Inuvo, Inc.

CIK:0000829323|SEC Filings

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)
Net revenue	$ 7,535,055	$ 22,671,333	$ 15,462,609	$ 49,379,365
Cost of revenue	4,206,966	5,576,545	8,470,632	11,197,486
Gross profit	3,328,089	17,094,788	6,991,977	38,181,879
Operating expenses
Marketing costs	1,392,953	14,138,328	3,485,765	31,651,322
Compensation	2,864,401	3,201,006	6,554,604	6,800,327
General and administrative	2,112,961	1,799,011	3,874,788	3,543,574
Total operating expenses	6,370,315	19,138,345	13,915,157	41,995,223
Operating loss	(3,042,226)	(2,043,557)	(6,923,180)	(3,813,344)
Financing expense, net	(107,059)	(17,697)	(505,498)	(45,626)
Other income (expense), net	(887,952)	559,991	5,289,772	1,100,562
Income tax expense	(2,677)	0	(5,353)	(2,676)
Net loss	$ (4,039,914)	$ (1,501,263)	$ (2,144,259)	$ (2,761,084)
Basic and diluted:
Net loss	$ (0.27)	$ (0.10)	$ (0.15)	$ (0.19)
Weighted average shares
Basic	14,835,062	14,450,640	14,786,210	14,361,782
Diluted	14,835,062	14,450,640	14,786,210	14,361,782

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($)	6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025
Operating activities:
Net loss	$ (2,144,259)	$ (2,761,084)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	1,057,370	1,130,600
Change in right of use assets - financing	0	12,237
Change in right of use assets - operating lease	134,440	121,529
Stock based compensation	543,147	596,073
Loss on extinguishment of debt - SLR facility	250,386	0
Change in fair value of convertible notes	601,666
Disposal of property and equipment	15,558
Adjustment to expected losses on accounts receivable	(61,219)	(17,316)
Deferred income tax expense	5,353	2,676
Change in operating assets and liabilities:
Accounts receivable	1,433,270	2,825,264
Prepaid expenses and other current assets and other assets	(212,849)	(31,047)
Accrued expenses and other liabilities	707,822	(2,358,189)
Accounts payable	(2,904,122)	382,182
Lease liability - operating lease	(143,825)	(126,182)
Net cash used in operating activities	(717,262)	(223,257)
Investing activities:
Purchases of equipment and capitalized development costs	(598,197)	(858,441)
Net cash used in investing activities	(598,197)	(858,441)
Financing activities:
Payments net of proceeds on Financing Agreement	(3,288,100)	0
Proceeds from issuance of convertible note	3,000,000	0
Principal payments of convertible note	(3,333,333)	0
Proceeds from issuance of notes payable, net	9,742,000	0
Payment of debt extinguishment costs-convertible notes	(268,333)	0
Payment of debt extinguishment costs-SLR	(186,667)
Proceeds from at-the-market sales	0	1,128,838
Net taxes paid on restricted stock unit grants exercised	(102,735)	(358,960)
Principal payments on finance lease obligations	0	(12,237)
Net cash provided by financing activities	5,562,832	757,641
Net change - cash	4,247,373	(324,057)
Cash and cash equivalent, beginning of year	2,839,921	2,459,245
Cash and cash equivalent and restricted cash, end of period	7,087,294	2,135,188
Supplemental information:
Interest paid	$ 539,514	$ 245,235

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($)	Jun. 30, 2026	Dec. 31, 2025
Current assets
Cash and cash equivalents	$ 886,471	$ 2,839,921
Restricted Cash	1,200,000	0
Accounts receivable, net of allowance for credit losses of $37,735 and $98,954, respectively	4,515,833	5,887,884
Prepaid expenses and other current assets	663,922	489,790
Total current assets	7,266,226	9,217,595
Property and equipment, net	1,389,580	1,629,561
Restricted Cash, net of current portion	5,000,823	0
Other Assets
Goodwill	9,853,342	9,853,342
Intangible assets, net of accumulated amortization	3,190,625	3,425,375
Right of use assets - operating lease	529,194	663,635
Other assets	53,343	78,342
Total other assets	13,626,504	14,020,694
Total assets	27,283,133	24,867,850
Current liabilities
Accounts payable	4,186,662	7,090,784
Accrued expenses and other current liabilities	4,327,799	3,619,974
Lease liability - operating lease	254,724	294,093
Outstanding borrowings under Financing Agreement	0	3,288,100
Notes payable, net of current portion	3,337,000	0
Total current liabilities	12,106,185	14,292,951
Long-term liabilities
Deferred tax liability	113,323	107,971
Lease liability - operating lease	339,456	443,912
Notes payable, net of current portion	6,405,000	0
Total long-term liabilities	6,857,779	551,883
Stockholders' equity
Preferred stock, $0.001 par value: Authorized shares 500,000, none issued and outstanding	0	0
Common stock, $0.001 par value: Authorized shares 200,000,000; issued and outstanding shares 14,844,794 and 14,701,949, respectively.	14,846	14,703
Additional paid-in capital	188,753,112	188,312,843
Accumulated deficit	(180,448,789)	(178,304,530)
Total stockholders' equity	8,319,169	10,023,016
Total liabilities and stockholders' equity	$ 27,283,133	$ 24,867,850