STOCK TITAN

Neonode posts $1.14M Q3 continuing operations loss

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Form Type
8-K

Rhea-AI Filing Summary

Neonode Inc. reported third-quarter revenue of $535,000, up 24.4% from a year earlier. License fees were $444,000, up 9.4%, and non-recurring engineering revenue was $91,000, up 279.2%. Operating expenses were $1.842 million, down 13.2%.

Continuing operations recorded a $1.137 million loss, compared with $13.934 million income in 2025. Neonode said the prior-year earnings included a one-time $15.5 million net gain from a patent assignment. Cash used in operations was $1.6 million in the quarter; cash and receivables totaled $20.2 million and working capital was $19.2 million as of September 30, 2026.

For the first nine months, revenue was $1.626 million, versus $1.542 million, while licensing income grew 13%. Operating cash use was $5.629 million, compared with $4.637 million in 2025. Neonode said its revenue base was not yet sufficient for profitability.

1 point · 0 major

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0 major · 2 points

How the balance works

Positive

  • Moderate pointThird-quarter revenue rose 24.4% to $535,000.

Negative

  • Moderate pointContinuing operations reported a $1.137 million loss, versus $13.934 million income.
  • Moderate pointNine-month operating cash use was $5.629 million, versus $4.637 million.

Filing Explained

The balance sheet reports 16,782,922 common shares issued and outstanding at both September 30, 2026 and December 31, 2025, with no preferred shares outstanding; the reported common share count therefore did not increase over that period.

Item 2.02 Results of Operations and Financial Condition Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 9.01 Financial Statements and Exhibits Exhibits
Financial statements, pro forma financial information, or exhibit attachments filed with this report.
Total revenue $535,000; up 24.4% Three months ended September 30, 2026, compared with the same period in 2025
License fees $444,000; up 9.4% Three months ended September 30, 2026, compared with the same period in 2025
Non-recurring engineering revenue $91,000; up 279.2% Three months ended September 30, 2026, compared with the same period in 2025
Operating expenses $1.842 million; down 13.2% Three months ended September 30, 2026, compared with the same period in 2025
Loss from continuing operations $1.137 million loss Three months ended September 30, 2026; compared with $13.934 million income in the same period in 2025
Revenue $1.626 million Nine months ended September 30, 2026; compared with $1.542 million in 2025
Net cash used in operating activities $5.629 million Nine months ended September 30, 2026; compared with $4.637 million in 2025
Cash and receivables $20.2 million As of September 30, 2026
Non-recurring engineering financial
"Revenues from non-recurring engineering for the three months ended September 30, 2026"
One-time engineering costs incurred to design, develop, test, certify or customize a product, system or production process—covering activities such as prototyping, tooling, software development and technical validation. These expenses are paid up front rather than recurring with each unit and can be spread over future production. For investors, non-recurring engineering affects short-term profits and cash flow and shapes future margins because it’s an upfront investment that reduces per-unit costs as volume rises, like paying to build a custom tool that makes later parts cheaper to produce.
Patent assignment financial
"one-time gain from patent assignment recognized in the third quarter of 2025"
A patent assignment is a legal transfer of ownership of one or more patent rights from the current owner (assignor) to another party (assignee). It is typically made in a written, signed agreement and may be recorded with the relevant patent office to give public notice; once effective the assignee holds the exclusive rights that come with patent ownership (to make, use, sell, license, or enforce the patent) subject to any existing licenses or encumbrances. A patent assignment differs from a license because it transfers title to the patent rather than granting permission to use it while the original owner keeps title.
Working capital financial
"working capital for continuing operations was $19.2 million"
Working capital is the money a business has available to cover its daily expenses, like paying bills and buying supplies. It’s like the cash in your wallet that helps you handle everyday costs; having enough ensures the business can operate smoothly without running into money shortages.
Contract liabilities financial
"Contract liabilities"
Contract liabilities are amounts a company has been paid in advance for goods or services it still owes to customers — think of them like gift cards or prepaid subscriptions the company must fulfill later. For investors, they show promised future work or deliveries that will turn into revenue over time, reveal cash already collected, and help assess whether a firm has a backlog of obligations that could affect future earnings and cash flow.
Total revenue $535,000 Up 24.4% year over year
License fees $444,000 Up 9.4% year over year
Non-recurring engineering revenue $91,000 Up 279.2% year over year
Operating expenses $1.842 million Down 13.2% year over year
Loss from continuing operations $1.137 million loss Compared with $13.934 million income in the same period in 2025
Net cash used in operating activities $5.629 million Compared with $4.637 million in the first nine months of 2025

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

How much revenue did NEON report for Q3 2026?

NEON reported $535,000 in revenue from continuing operations for the three months ended September 30, 2026, up 24.4% from the same period in 2025.

What was NEON's Q3 2026 loss from continuing operations?

NEON reported a $1.137 million loss from continuing operations, compared with $13.934 million income in the same quarter of 2025.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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false 0000087050 0000087050 2026-11-12 2026-11-12
 


 
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
 
FORM 8-K
 
CURRENT REPORT
 
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
 
Date of Report (Date of earliest event reported): November 12, 2026
 
NEONODE INC.
(Exact name of registrant as specified in its charter)
 
Commission File Number 001-35526
 
Delaware
 
94-1517641
(State or other jurisdiction
of incorporation)
 
(I.R.S. Employer
Identification No.)
 
Karlavägen 100, 115 26 Stockholm, Sweden
(Address of Principal Executive Office, including Zip Code)
 
+46 (0) 702958519
Registrant’s telephone number, including area code:
 
Not Applicable
(Former name or former address, if changed since last report)
 
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
 
☐
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
 
☐
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
 
☐
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
 
☐
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
 
Securities registered pursuant to Section 12(b) of the Act:
 
Title of each class
 
Trading Symbol(s)
 
Name of each exchange on which registered
Common Stock, par value $0.001 per share
 
NEON
 
The Nasdaq Stock Market LLC
 
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
 
Emerging growth company ☐
 
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
 


 
 

 
Item 2.02. Results of Operations and Financial Condition.
 
On November 12, 2026, Neonode Inc. (the “Company”) reported its earnings for the three and nine months ended September 30, 2026 (the “Earnings Release”). A copy of the Earnings Release is attached hereto as Exhibit 99.1 and is incorporated herein by reference.
 
The information furnished pursuant to this Item 2.02, including Exhibit 99.1, shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities under that Section, or incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.
 
Item 9.01. Financial Statements and Exhibits.
 
(d) Exhibits
 
Exhibit No.
 
Description
99.1
 
Earnings Release of the Company dated November 12, 2026
104
 
Cover Page Interactive Data File (embedded within the Inline XBRL document)
 
1

 
SIGNATURES
 
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.
 
Date: November 12, 2026
NEONODE INC.
     
 
By:
/s/ Fredrik Nihlén
 
Name:  
Fredrik Nihlén
 
Title:
Chief Financial Officer
 
2

Exhibit 99.1

 

logo01.jpg

 

Press Release

For Release, 9:10AM ET November 12, 2026 

 

Neonode Reports Quarter Ended September 30, 2026 Financial Results

 

STOCKHOLM, SWEDEN, November 12, 2026 — Neonode Inc. (NASDAQ: NEON) (“Neonode” or the “Company”) today reported financial results for the three and nine months ended September 30, 2026.

 

FINANCIAL SUMMARY FOR THE THREE MONTHS ENDED September 30, 2026:

 

 

●

Revenues from continuing operations of $0.5 million, an increase of 24.4% compared to the same period in the prior year.

 

 

●

Operating expenses from continuing operations of $1.8 million, a decrease of 13.2% compared to the same period in the prior year.

 

 

●

Loss from continuing operations of $1.1 million, or $0.07 per share, compared to an income of $13.9 million, or $0.83 per share, for the same period in the prior year, which included the net gain from the patent assignment of $15.5 million.

 

 

●

Cash used by operations of $1.6 million, compared to $1.5 million for the same period in the prior year.

 

 

●

Cash and accounts receivable of $20.2 million as of September 30, 2026 compared to $25.8 million as of December 31, 2025.

 

FINANCIAL SUMMARY FOR THE Nine MONTHS ENDED September 30, 2026: 

 

 

●

Revenues from continuing operations of $1.6 million, an increase of 5.4% compared to the same period in the prior year.

 

 

●

Operating expenses from continuing operations of $7.3 million, an increase of 0.2% compared to the same period in the prior year.

 

 

●

Loss from continuing operations of $5.1 million, or $0.31 per share, compared to an income of $10.2 million, or $0.60 per share, for the same period in the prior year, which included the net gain from the patent assignment of $15.5 million.

 

 

●

Cash used by operations of $5.6 million, compared to $4.6 million for the same period in the prior year.

 

 

 

THE CEO’S COMMENTS

 

“During the third quarter, we continued the transformation of Neonode toward a more scalable software licensing business. Revenue grew by more than 24% compared with the same period last year, supported by the ramp-up of an automotive license agreement and increased engineering project deliveries. MultiSensing® licensing revenue more than quadrupled in the third quarter of 2026 compared with the third quarter of 2025. These developments reflect progress in translating our technology into customer business,” said Daniel Alexus, President & CEO of Neonode.

 

“Alongside this growth, we maintained cost discipline, with operating expenses lower than in the same quarter last year.”

 

“Looking at the first nine months, revenue and licensing income grew, including 13% growth in licensing, while operating expenses remained broadly stable. MultiSensing licensing revenue nearly quadrupled in January–September 2026 compared with the same period in 2025. However, our revenue base is not yet sufficient to achieve profitability, and operations continued to reduce our cash balance during the quarter. Converting commercial opportunities into revenue while keeping costs under control remains essential.”

 

“The substantial year-over-year difference in earnings primarily reflects the one-time gain from patent assignment recognized in the third quarter of 2025. That contribution was not repeated this year, and the comparison should not be interpreted as a corresponding deterioration in the underlying business.”

 

“Our priorities remain clear: deliver on existing customer programs, convert evaluations and partner engagements into commercial agreements, and build our licensing business with financial discipline. Our liquidity provides a foundation to pursue these priorities, and our focus remains on turning technology and commercial opportunities into sustainable revenue growth and long-term shareholder value,” concluded Mr. Alexus.

 

FINANCIAL OVERVIEW FOR THE QUARTER ENDED September 30, 2026

 

Revenues from continuing operations for the three months ended September 30, 2026 were $0.5 million, an increase of 24.4% compared to the same period in 2025. License revenues were $0.4 million, an increase of 9.4% compared to the same period in 2025. The increase was mainly due to new license agreements. Revenues from non-recurring engineering for the three months ended September 30, 2026 were $91,000, an increase of 279.2% compared to the same period in 2025. The increase was the result of increased project deliveries.

 

Operating expenses from continuing operations for the three months ended September 30, 2026 were $1.8 million, a decrease of 13.2% compared to the same period in 2025. The decrease was mainly related to lower payroll and related costs and lower professional fees.

 

Loss from continuing operations for the three months ended September 30, 2026 was $1.1 million, or $0.07 per share, compared to an income from continuing operations of $13.9 million, or $0.83 per share, for the same period in 2025, which included the net gain from the patent assignment of $15.5 million.

 

Cash used by operations was $1.6 million in the third quarter of 2026 compared to $1.5 million for the same quarter in 2025. The increase was primarily due to a decrease in accounts payable, accrued payroll and employee benefits.

 

Cash and accounts receivable totaled $20.2 million and working capital for continuing operations was $19.2 million as of September 30, 2026, compared to $25.8 million and $24.1 million as of December 31, 2025, respectively. Our financial position and liquidity provide stability and enable us to execute our strategy to secure more licensing opportunities for our innovative technologies.

 

 

2

 

For more information, please contact:

 

President and Chief Executive Officer

Pierre Daniel Alexus

E-mail: daniel.alexus@neonode.com

Phone: +46 767 60 29 90

 

Chief Financial Officer

Fredrik Nihlén

E-mail: fredrik.nihlen@neonode.com

Phone: +46 703 97 21 09

 

About Neonode

 

Neonode Inc. (NASDAQ: NEON) develops artificial intelligence and computer vision technologies with a focus on automotive and retail applications. Its solutions help customers improve safety, enhance user experiences, and differentiate their products and services. Headquartered in Stockholm, Sweden, the company builds on more than two decades of sensing innovation. Its technologies have been deployed in more than 100 million products and vehicles worldwide.

 

For more information, visit www.neonode.com.

 

Safe Harbor Statement

 

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These include, but are not limited to, statements relating to our expectations for growth and the growing demand for our products, future performance or future events. These statements are based on current assumptions, expectations and information available to Neonode management and involve a number of known and unknown risks, uncertainties and other factors that may cause Neonode’s actual results, levels of activity, performance or achievements to be materially different from any expressed or implied by these forward-looking statements.

 

These risks, uncertainties, and factors include risks related to our reliance on the ability of our customers to design, manufacture and sell their products with our touch technology, the length of a customer’s product development cycle, our dependence and our customers’ dependence on suppliers, the global economy generally and other risks discussed under “Risk Factors” and elsewhere in Neonode’s public filings with the SEC from time to time, including Neonode’s annual reports on Form 10-K, quarterly reports on Form 10-Q, and current reports on Form 8-K. You are advised to carefully consider these various risks, uncertainties and other factors. Although Neonode management believes that the forward-looking statements contained in this press release are reasonable, it can give no assurance that its expectations will be fulfilled. Forward-looking statements are made as of today’s date, and Neonode undertakes no duty to update or revise them.

 

3

 

NEONODE INC.

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited)

(In thousands, except share and per share amounts)

 

   

September 30, 2026

   

December 31, 2025

 

ASSETS

               

Current assets:

               

Cash and cash equivalents

  $ 19,697     $ 25,358  

Accounts receivable and unbilled revenues, net

    472       391  

Prepaid expenses and other current assets

    647       495  

Current assets of discontinued operations

    -       41  

Total current assets

    20,816       26,285  
                 

Non-current assets:

               

Property and equipment, net

    110       145  

Operating lease right-of-use assets, net

    1,019       455  

Total non-current assets

    1,129       600  

Total assets

  $ 21,945     $ 26,885  
                 

LIABILITIES AND STOCKHOLDERS’ EQUITY

               

Current liabilities:

               

Accounts payable

  $ 253     $ 464  

Accrued payroll and employee benefits

    817       865  

Accrued expenses

    236       459  

Contract liabilities

    74       37  

Current portion of finance lease obligations

    12       12  

Current portion of operating lease obligations

    202       344  

Total current liabilities

    1,594       2,181  
                 

Non-current liabilities:

               

Finance lease obligations, net of current portion

    5       15  

Operating lease obligations, net of current portion

    716       -  

Total non-current liabilities

    721       15  

Total liabilities

    2,315       2,196  
                 

Commitments and contingencies (Note 4)

               
                 

Stockholders’ equity:

               

Preferred stock, 1,000,000 shares authorized, with par value of $0.001; no shares issued and outstanding at September 30, 2026 and December 31, 2025, respectively.

    -       -  

Common stock, 25,000,000 shares authorized, with par value of $0.001; 16,782,922 and 16,782,922 shares issued and outstanding at September 30, 2026 and December 31, 2025, respectively.

    17       17  

Additional paid-in capital

    240,955       240,955  

Accumulated other comprehensive loss

    (644 )     (696 )

Accumulated deficit

    (220,698 )     (215,587 )

Total stockholders’ equity

    19,630       24,689  

Total liabilities and stockholders’ equity

  $ 21,945     $ 26,885  

 

4

 

NEONODE INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)

(In thousands, except per share amounts)

 

   

Three months ended September 30,

   

Nine months ended September 30,

 
   

2026

   

2025

   

2026

   

2025

 

Revenues:

                               

License fees

  $ 444     $ 406     $ 1,477     $ 1,307  

Non-recurring engineering

    91       24       149       235  

Total revenues

    535       430       1,626       1,542  
                                 

Cost of revenues:

                               

Non-recurring engineering

    5       9       18       24  

Total cost of revenues

    5       9       18       24  

Gross margin

    530       421       1,608       1,518  
                                 

Operating expenses:

                               

Research and development

    669       794       2,578       2,843  

Sales and marketing

    469       466       1,816       1,704  

General and administrative

    704       862       2,918       2,747  

Total operating expenses

    1,842       2,122       7,312       7,294  
                                 

Gain from patent assignment

    -       19,389       -       19,389  

Broker fee from patent assignment

    -       (3,878 )     -       (3,878 )
                                 

Operating (loss) income

    (1,312 )     13,810       (5,704 )     9,735  

Other income, net

    176       124       568       405  

(Loss) income before provision for (benefit from) income taxes

    (1,136 )     13,934       (5,136 )     10,140  

Provision for (benefit from) income taxes

    1       -       3       (10 )

(Loss) income from continuing operations

    (1,137 )     13,934       (5,139 )     10,150  

Income from discontinued operations

    -       250       28       433  

Net (loss) income

  $ (1,137 )   $ 14,184     $ (5,111 )   $ 10,583  
                                 

(Loss) income per common share:

                               

Basic and diluted (loss) income per share from continuing operations

  $ (0.07 )   $ 0.83     $ (0.31 )   $ 0.60  

Basic and diluted income per share from discontinued operations

    -       0.01       -       0.03  

Basic and diluted net (loss) income per share⁽ᵃ⁾

  $ (0.07 )   $ 0.85     $ (0.30 )   $ 0.63  

Basic and diluted – weighted average number of common shares outstanding

    16,783       16,783       16,783       16,783  

 

(a)

Does not sum due to rounding.

 

5

 

NEONODE INC.

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Unaudited)

(In thousands)

 

   

Three months ended September 30,

   

Nine months ended September 30,

 
   

2026

   

2025

   

2026

   

2025

 

Net (loss) income

  $ (1,137 )   $ 14,184     $ (5,111 )   $ 10,583  
                                 

Other comprehensive income (loss):

                               

Foreign currency translation adjustments

    7       (33 )     52       (222 )

Total other comprehensive income (loss)

    7       (33 )     52       (222 )

Comprehensive (loss) income

  $ (1,130 )   $ 14,151     $ (5,059 )   $ 10,361  

 

6

 

NEONODE INC.

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY (Unaudited)

(In thousands)

 

For the three and nine months ended September 30, 2026 and 2025

 

   

Common Stock Shares Issued

   

Common Stock Amount

   

Additional Paid-in Capital

   

Accumulated Other Comprehensive Loss

   

Accumulated Deficit

   

Total Stockholders' Equity

 

Balances, December 31, 2025

    16,783     $ 17     $ 240,955     $ (696 )   $ (215,587 )   $ 24,689  

Foreign currency translation adjustment

    -       -       -       21       -       21  

Net loss

    -       -       -       -       (1,863 )     (1,863 )

Balances, March 31, 2026

    16,783     $ 17     $ 240,955     $ (675 )   $ (217,450 )   $ 22,847  

Foreign currency translation adjustment

    -       -       -       24       -       24  

Net loss

    -       -       -       -       (2,111 )     (2,111 )

Balances, June 30, 2026

    16,783     $ 17     $ 240,955     $ (651 )   $ (219,561 )   $ 20,760  

Foreign currency translation adjustment

    -       -       -       7       -       7  

Net loss

    -       -       -       -       (1,137 )     (1,137 )

Balances, September 30, 2026

    16,783     $ 17     $ 240,955     $ (644 )   $ (220,698 )   $ 19,630  

 

   

Common Stock Shares Issued

   

Common Stock Amount

   

Additional Paid-in Capital

   

Accumulated Other Comprehensive Loss

   

Accumulated Deficit

   

Total Stockholders' Equity

 

Balances, December 31, 2024

    16,783     $ 17     $ 240,955     $ (450 )   $ (224,080 )   $ 16,442  

Foreign currency translation adjustment

    -       -       -       (134 )     -       (134 )

Net loss

    -       -       -       -       (1,733 )     (1,733 )

Balances, March 31, 2025

    16,783     $ 17     $ 240,955     $ (584 )   $ (225,813 )   $ 14,575  

Foreign currency translation adjustment

    -       -       -       (55 )     -       (55 )

Net loss

    -       -       -       -       (1,868 )     (1,868 )

Balances, June 30, 2025

    16,783     $ 17     $ 240,955     $ (639 )   $ (227,681 )   $ 12,652  

Foreign currency translation adjustment

    -       -       -       (33 )     -       (33 )

Net income

    -       -       -       -       14,184       14,184  

Balances, September 30, 2025

    16,783     $ 17     $ 240,955     $ (672 )   $ (213,497 )   $ 26,803  

 

7

 

NEONODE INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)

(In thousands)

 

   

Nine months ended September 30,

 
   

2026

   

2025

 

Cash flows from operating activities:

               

Net (loss) income

  $ (5,111 )   $ 10,583  

Adjustments to reconcile net (loss) income to net cash used in operating activities:

               

Recoveries of bad debt

    -       (138 )

Gain from patent assignment

    -       (19,389 )

Loss on disposal of assets

    -       2  

Depreciation and amortization

    49       37  

Amortization of operating lease right-of-use assets

    290       261  

Changes in operating assets and liabilities:

               

Accounts receivable and unbilled revenues, net

    (40 )     232  

Prepaid expenses and other current assets

    (232 )     9  

Accounts payable, accrued payroll and employee benefits, and accrued expenses

    (368 )     84  

Accrued broker fee from patent assignment

    -       3,878  

Contract liabilities

    37       62  

Operating lease obligations

    (254 )     (258 )

Net cash used in operating activities

    (5,629 )     (4,637 )
                 

Cash flows from investing activities:

               

Purchase of property and equipment

    (19 )     (90 )

Net cash used in investing activities

    (19 )     (90 )
                 

Cash flows from financing activities:

               

Principal payments on finance lease obligations

    (9 )     (8 )

Net cash used in financing activities

    (9 )     (8 )
                 

Effect of exchange rate changes on cash and cash equivalents

    (4 )     (107 )
                 

Net change in cash and cash equivalents

    (5,661 )     (4,842 )

Cash and cash equivalents at beginning of period

    25,358       16,427  

Cash and cash equivalents at end of period

  $ 19,697     $ 11,585  
                 
                 

Supplemental disclosure of cash flow information:

               

Cash paid for income taxes

  $ 3     $ (10 )
                 

Supplemental disclosure of non-cash investing and financing activities:

               

Property and equipment obtained in exchange for finance lease obligations

  $ -     $ 34  

Right-of-use asset obtained in exchange for lease obligations

  $ 927     $ -  

Receivable from patent assignment

  $ -     $ 19,389  

 

8

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