$NTIP

NETWORK 1 TECHNOLOGIES INC

CIK:0001065078|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
Income Statement [Abstract]
REVENUE				$ 150,000
OPERATING EXPENSES:
Costs of revenue				42,000
Professional fees and related costs	481,000	164,000	1,256,000	285,000
General and administrative	488,000	519,000	1,084,000	1,121,000
Amortization of patents	44,000	37,000	88,000	67,000
TOTAL OPERATING EXPENSES	1,013,000	720,000	2,428,000	1,515,000
OPERATING LOSS	(1,013,000)	(720,000)	(2,428,000)	(1,365,000)
OTHER INCOME:
Interest and dividend income, net	350,000	445,000	734,000	929,000
Gain on equity investment			1,052,000
Net realized and unrealized gain (loss) on marketable securities	8,000	22,000	(279,000)	171,000
Total other income, net	358,000	467,000	1,507,000	1,100,000
LOSS BEFORE INCOME TAXES AND SHARE OF NET LOSSES OF EQUITY METHOD INVESTEE	(655,000)	(253,000)	(921,000)	(265,000)
INCOME TAX PROVISION:
Current		(31,000)		(31,000)
Deferred tax (benefit) expense, net		(38,000)	245,000	(149,000)
Total income tax (benefit) expense		(69,000)	245,000	(180,000)
LOSS BEFORE SHARE OF NET LOSS OF EQUITY METHOD INVESTEE:	(655,000)	(184,000)	(1,166,000)	(85,000)
SHARE OF NET LOSS OF EQUITY METHOD INVESTEE	0	(279,000)	0	(741,000)
NET LOSS	$ (655,000)	$ (463,000)	$ (1,166,000)	$ (826,000)
Net loss per share
Basic	$ (0.03)	$ (0.02)	$ (0.05)	$ (0.04)
Diluted	$ (0.03)	$ (0.02)	$ (0.05)	$ (0.04)
Weighted average common shares outstanding:
Basic	22,836,456	22,873,907	22,824,937	22,883,729
Diluted	22,836,456	22,873,907	22,824,937	22,883,729
Cash dividends declared per share	$ 0	$ 0	$ 0.05	$ 0.05

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($)	6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	$ (1,166,000)	$ (826,000)
Adjustments to reconcile net loss to net cash
Amortization of patents	88,000	67,000
Stock-based compensation	121,000	161,000
Gain on equity investment	(1,052,000)
Share of net loss from equity method investment		741,000
Deferred tax expense (benefit)	245,000	(149,000)
Amortization of right of use asset		27,000
Unrealized loss (gain) on marketable net securities	340,000	(170,000)
Changes in operating assets and liabilities:
Other current assets	88,000	52,000
Accounts payable	403,000	1,000
Operating lease obligations		(24,000)
Accrued expenses	(309,000)	(382,000)
NET CASH USED IN OPERATING ACTIVITIES	(1,242,000)	(502,000)
CASH FLOWS FROM INVESTING ACTIVITIES:
Sales of marketable securities	5,110,000	7,554,000
Purchases of marketable securities	(6,300,000)	(4,990,000)
Acquisition of patents	(250,000)	(414,000)
NET CASH (USED IN) PROVIDED BY INVESTING ACTIVITIES	(1,440,000)	2,150,000
CASH FLOWS FROM FINANCING ACTIVITIES:
Cash dividends paid	(1,140,000)	(1,155,000)
Value of shares delivered to fund payment of withholding taxes	(9,000)	(7,000)
Repurchases of common stock, inclusive of commissions	(136,000)	(207,000)
NET CASH USED IN FINANCING ACTIVITIES:	(1,285,000)	(1,369,000)
NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS	(3,967,000)	279,000
CASH AND CASH EQUIVALENTS, beginning of period	13,402,000	13,145,000
CASH AND CASH EQUIVALENTS, end of period	9,435,000	13,424,000
Cash paid during the period for:
Interest
Income taxes
NON-CASH FINANCING ACTIVITIES
Accrued dividend rights on restricted stock units, net of forfeitures	(142,000)	27,000
Shares issued for acquisition of patents	$ (125,000)

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($)	Jun. 30, 2026	Dec. 31, 2025
ASSETS CURRENT ASSETS:
Cash and cash equivalents	$ 9,435,000	$ 13,402,000
Marketable securities, at fair value	24,317,000	23,467,000
Other current assets	149,000	237,000
TOTAL CURRENT ASSETS	33,901,000	37,106,000
OTHER ASSETS:
Patents, net of accumulated amortization	1,766,000	1,479,000
Equity investments	2,786,000	1,734,000
Security deposit	13,000	13,000
Total Other Assets	4,565,000	3,226,000
TOTAL ASSETS	38,466,000	40,332,000
LIABILITIES AND STOCKHOLDERS’ EQUITY: CURRENT LIABILITIES:
Accounts payable	656,000	253,000
Accrued payroll		289,000
Other accrued expenses	66,000	228,000
Total Current Liabilities	722,000	770,000
LONG TERM LIABILITIES:
Deferred tax liability	245,000
TOTAL LIABILITIES	967,000	770,000
COMMITMENTS AND CONTINGENCIES (Note H)
STOCKHOLDERS’ EQUITY
Preferred stock, $0.01 par value, authorized 10,000,000 shares; none issued and outstanding at June 30, 2026 and December 31, 2025
Common stock, $0.01 par value; authorized 50,000,000 shares; 22,863,181 and 22,824,009 shares issued and outstanding at June 30, 2026 and December 31, 2025, respectively	229,000	228,000
Additional paid-in capital	62,672,000	63,426,000
Accumulated deficit	(25,402,000)	(24,092,000)
TOTAL STOCKHOLDERS’ EQUITY	37,499,000	39,562,000
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	$ 38,466,000	$ 40,332,000