$AEYE

AUDIOEYE INC

CIK:0001362190|SEC Filings

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025
CONSOLIDATED STATEMENTS OF OPERATIONS
Revenue	$ 10,716,000	$ 9,857,000	$ 21,269,000	$ 19,590,000
Cost of revenue	2,267,000	2,238,000	4,568,000	4,233,000
Gross profit	8,449,000	7,619,000	16,701,000	15,357,000
Operating expenses:
Selling and marketing	3,650,000	3,806,000	7,502,000	7,520,000
Research and development	849,000	1,200,000	1,959,000	2,353,000
General and administrative	4,548,000	3,731,000	9,721,000	7,492,000
Change in fair value of contingent consideration		(1,360,000)	0	(1,310,000)
Total operating expenses	9,047,000	7,377,000	19,182,000	16,055,000
Operating (loss) income	(598,000)	242,000	(2,481,000)	(698,000)
Other income (expense):
Interest expense, net	(267,000)	(244,000)	(498,000)	(473,000)
Loss on extinguishment of debt				(300,000)
Total other expense	(267,000)	(244,000)	(498,000)	(773,000)
Net loss	$ (865,000)	$ (2,000)	$ (2,979,000)	$ (1,471,000)
Net loss per common share-basic (in dollars per share)	$ (0.07)	$ 0	$ (0.24)	$ (0.12)
Net loss per common share-diluted (in dollars per share)	$ (0.07)	$ 0	$ (0.24)	$ (0.12)
Weighted average common shares outstanding-basic (in shares)	12,489	12,446	12,475	12,418
Weighted average common shares outstanding-diluted (in shares)	12,489	12,446	12,475	12,418

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	6 Months Ended
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	Jun. 30, 2026	Jun. 30, 2025
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	$ (2,979,000)	$ (1,471,000)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation and amortization	1,974,000	1,663,000
Loss on disposal or impairment of long-lived assets	5,000	56,000
Loss on extinguishment of debt		300,000
Stock-based compensation expense	2,487,000	2,412,000
Amortization of deferred commissions	21,000	17,000
Amortization of debt discount and issuance costs	49,000	48,000
Amortization of right-of-use assets	70,000	87,000
Change in fair value of contingent consideration	0	(1,310,000)
Provision for accounts receivable	110,000	289,000
Changes in operating assets and liabilities:
Accounts receivable	(253,000)	(1,360,000)
Prepaid expenses and other assets	(41,000)	(330,000)
Accounts payable and accruals	136,000	285,000
Operating lease liability	(72,000)	(98,000)
Deferred revenue	770,000	583,000
Net cash provided by operating activities	2,277,000	1,171,000
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase of equipment	(17,000)	(23,000)
Software development costs	(854,000)	(978,000)
Patent costs	(29,000)	(4,000)
Payment for acquisition	(245,000)	(1,666,000)
Net cash used in investing activities	(1,145,000)	(2,671,000)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from term loan, net of lender fees	3,599,000	13,351,000
Payments for costs directly attributable to the issuance of term loan		(356,000)
Repayment of term loan	(213,000)	(7,000,000)
Payments for debt extinguishment costs		(249,000)
Proceeds from exercise of options		38,000
Proceeds from employee stock purchase plan	29,000	39,000
Payments related to settlement of employee share-based awards	(643,000)	(1,340,000)
Repurchase of common stock	(475,000)	(1,765,000)
Net cash provided by financing activities	2,297,000	2,718,000
Net increase in cash and cash equivalents	3,429,000	1,218,000
Cash and cash equivalents -beginning of period	5,288,000	5,651,000
Cash and cash equivalents - end of period	8,717,000	6,869,000
SUPPLEMENTAL CASH FLOW DISCLOSURES
Interest paid	527,000	$ 506,000
Non-cash investing and financing activities:
Right-of-use assets and operating lease obligations recognized during the year	$ 339,000

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Jun. 30, 2026	Dec. 31, 2025
Current assets:
Cash and cash equivalents	$ 8,717	$ 5,288
Accounts receivable, net of allowance for credit losses of $587 and $643, respectively	6,718	6,557
Prepaid expenses and other current assets	870	777
Total current assets	16,305	12,622
Property and equipment, net of accumulated depreciation of $261 and $227, respectively	110	146
Right of use assets	310	168
Intangible assets, net of accumulated amortization of $14,477 and $13,251, respectively	11,437	12,515
Goodwill	6,682	6,682
Other	37	97
Total assets	34,881	32,230
Current liabilities:
Accounts payable and accrued expenses	4,972	4,851
Operating lease liabilities	56	218
Deferred revenue	9,337	8,619
Contingent consideration	116	225
Term loan, current	850	503
Total current liabilities	15,331	14,416
Long term liabilities:
Term loan, net	15,568	12,479
Operating lease liabilities	264
Deferred revenue	57	5
Contingent consideration, long term	300	300
Other	138	226
Total liabilities	31,658	27,426
Stockholders' equity:
Preferred stock, $0.00001 par value, 10,000 shares authorized
Common stock, $0.00001 par value, 50,000 shares authorized, 12,561 and 12,383 shares issued and outstanding as of June 30, 2026 and December 31, 2025, respectively	1	1
Additional paid-in capital	110,074	108,201
Accumulated deficit	(106,852)	(103,398)
Total stockholders' equity	3,223	4,804
Total liabilities and stockholders' equity	$ 34,881	$ 32,230