$NMAX

Newsmax Inc.

CIK:0002026478|SEC Filings

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025
Revenues:
Total revenues	$ 54,115,485	$ 46,439,744	$ 105,773,976	$ 91,741,451
Gross profit	23,333,704	17,641,761	43,262,432	37,103,899
General and administrative expenses:
Personnel costs	8,873,996	8,614,761	17,922,630	16,628,178
Advertising costs	3,928,215	5,941,417	9,290,213	10,359,871
Depreciation	525,142	734,590	1,091,961	1,471,465
Other corporate matters	0	68,437,098	0	78,104,701
Other	8,701,407	10,319,344	18,121,768	18,517,912
Total general and administrative expenses	22,028,760	94,047,210	46,426,572	125,082,127
Income (loss) from operations	1,304,944	(76,405,449)	(3,164,140)	(87,978,228)
Other income (expense), net:
Interest and dividend income	1,310,328	1,802,054	2,654,140	2,856,340
Interest expense	(1,664)	(7,456)	(4,614)	(13,511)
Realized gain on marketable securities	327,476	0	327,476	0
Unrealized gain on marketable securities	271,965	(500,736)	1,250,876	1,084,844
Other, net	(345,758)	(54,342)	(384,657)	(8,342,898)
Total other income (expense), net	1,562,347	1,239,520	3,843,221	(4,415,225)
Net income (loss) before income taxes	2,867,291	(75,165,929)	679,081	(92,393,453)
Income tax expense	0	9,693	0	14,693
Net income (loss)	2,867,291	(75,175,622)	679,081	(92,408,146)
Other comprehensive income:
Unrealized (loss) gain on available for sale debt investments, net of income tax	(128,768)	446,778	(369,817)	929,169
Comprehensive income (loss)	$ 2,738,523	$ (74,728,844)	$ 309,264	$ (91,478,977)
Weighted average common stock outstanding
Basic (in shares)	128,508,173	128,333,356	128,499,931	86,938,585
Diluted (in shares)	129,285,724	128,333,356	129,267,846	86,938,585
Net income (loss) per share attributable to common stockholders
Basic (in USD per share)	$ 0.02	$ (0.59)	$ 0.01	$ (1.12)
Diluted (in USD per share)	$ 0.02	$ (0.59)	$ 0.01	$ (1.12)
Service revenue
Revenues:
Total revenues	$ 53,052,444	$ 44,884,207	$ 103,199,226	$ 88,619,547
Cost of services and products sold	30,006,022	27,758,685	60,767,493	52,407,148
Product revenue
Revenues:
Total revenues	1,063,041	1,555,537	2,574,750	3,121,904
Cost of services and products sold	$ 775,759	$ 1,039,298	$ 1,744,051	$ 2,230,404

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025
Cash flows from operating activities:
Net income (loss)	$ 679,081	$ (92,408,146)
Adjustments to reconcile net income (loss) to net cash used in operating activities:
Depreciation and amortization	3,051,701	3,089,126
Stock-based compensation	6,674,202	4,994,794
Change in fair value of warrant liability	0	1,824,179
Change in fair value of derivative liability	0	6,104,230
Provision for (recovery of) credit losses	184,140	(266,076)
Realized gain on marketable securities	(327,476)	0
Unrealized gain on marketable securities	(1,105,518)	(1,084,844)
Lease expense	1,898,771	1,788,532
Non-cash expense related to SEPA Agreement	0	500,000
Changes in operating assets and liabilities:
Accounts receivable	(8,150,403)	(1,021,463)
Inventory	126,720	151,745
Prepaid expenses and other current assets	(1,411,453)	(1,226,532)
Funds released from escrow	20,000,000	0
Other asset	(2,932,316)	(1,201,125)
Security deposits	0	11,107
Accounts payable	918,221	314,683
Accrued expenses	1,308,782	(2,530,837)
Lease liabilities	(2,102,092)	(1,921,948)
Settlement liability	(22,643,973)	44,984,790
Other long-term liabilities	2,716,667	1,000,000
Deferred revenue	(1,651,768)	(2,050,078)
Net cash used in operating activities	(2,766,713)	(38,947,863)
Cash flows from investing activities:
Purchase of investments	(2,531,294)	(131,727,862)
Proceeds from maturity of investments	9,735,553	28,000,000
Sale of investments	2,338,557	0
Purchase of property and equipment	(1,379,821)	(689,460)
Net cash provided by (used in) investing activities	8,162,996	(104,417,322)
Cash flows from financing activities:
Proceeds from issuance of convertible preferred stock, net	0	80,742,222
Proceeds from issuance of common stock IPO, net	0	66,659,453
Proceeds from exercise of stock options	150,435	6,707,723
Proceeds from additional stock issuance	0	65,000
Payment of dividend	0	(915,067)
Principal payment under finance lease obligation	(95,997)	(104,995)
Net cash provided by financing activities	54,438	153,154,337
Net change in cash	5,450,720	9,789,152
Cash and cash equivalents – beginning	20,433,021	24,052,887
Cash and cash equivalents – ending	25,883,741	33,842,039
Supplemental disclosures of cash flow information:
Operating lease assets obtained in exchange for operating lease liabilities	4,102,295	28,391
Interest paid	0	1,829
Non-cash transactions:
Property and equipment acquired through accounts payable	431,199	743,485
Non-cash financing activities:
Common stock issuance costs reclassified from prepaid expenses	0	(1,798,989)
Issuance of warrants in connection with the issuance of convertible stock	0	1,144,976
Proceeds from exercise of stock options in transit	0	38,320
IPO funds receivable in escrow	$ 0	$ 34,500

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($)	Jun. 30, 2026	Dec. 31, 2025
Current assets:
Cash and cash equivalents	$ 25,883,741	$ 20,433,021
Funds held in escrow	20,000,000	20,000,000
Investments	102,416,053	110,895,693
Accounts receivable, net	41,380,698	33,414,435
Inventories, net	1,900,448	2,027,168
Prepaid expenses and other current assets	10,101,943	8,690,490
Total current assets	201,682,883	195,460,807
Property and equipment, net	7,079,941	6,264,885
Right of use assets	11,250,654	8,823,716
Other assets	10,266,246	9,293,670
Funds held in escrow	0	20,000,000
Total assets	230,279,724	239,843,078
Current liabilities
Accounts payable	18,120,197	16,770,777
Accrued expenses	16,203,731	14,894,949
Deferred revenue	11,259,473	12,599,119
Lease liability	4,265,645	4,062,971
Settlement liability	28,231,170	26,487,028
Share repurchase liability	6,461,320	6,461,320
Total current liabilities	84,541,536	81,276,164
Long-term liabilities:
Deferred revenue, net of current portion	2,836,823	3,148,945
Lease liability, net of current portion	7,313,038	5,292,095
Other long-term liabilities	3,641,667	925,000
Settlement liability, net of current portion	18,764,207	43,152,322
Total liabilities	117,097,271	133,794,526
Commitments and contingencies (Note 9)
Stockholders’ equity
Class A common stock, 0.001 par value; 50,000,000 shares authorized; 39,239,297 shares issued and outstanding at par as of June 30, 2026 and December 31, 2025; Class B common stock, 0.001 par value; 940,000,000 shares authorized 89,921,348 and 89,889,822 shares issued and outstanding at June 30, 2026 and December 31, 2025, respectively.	129,161	129,129
Additional paid-in capital	440,150,435	433,325,830
Accumulated other comprehensive income	94,548	464,365
Accumulated deficit	(327,191,691)	(327,870,772)
Total stockholders’ equity	113,182,453	106,048,552
Total liabilities and stockholders’ equity	$ 230,279,724	$ 239,843,078