Neonode Reports Continued Revenue Growth
News related to:Neonode Inc · 3 min read
STOCKHOLM, Nov. 12, 2026 /CourierPR/ -- Neonode Inc., a publicly traded company on the NASDAQ under the ticker symbol NEON, has reported its financial results for the nine months ended September 30, 2026. The company's financial performance has shown a significant shift in revenue and expenses, reflecting both growth and cost management strategies.
Neonode's revenues from continuing operations for the nine months ended September 30, 2026, were $1.6 million, marking a 5.4% increase compared to the same period in the previous year. This growth is attributed to the continued ramp-up of automotive license agreements and increased deliveries of engineering projects.
The company's operating expenses from continuing operations for the same period were $7.3 million, representing a 0.2% increase from the prior year. This increase can be attributed to higher payroll and related costs, as well as increased professional fees.
Despite the increase in operating expenses, Neonode managed to achieve a loss from continuing operations of $5.1 million, or $0.31 per share, for the nine months ended September 30, 2026. This is a significant improvement from the income of $10.2 million, or $0.60 per share, for the same period in the previous year. The improvement is largely due to the absence of the one-time gain from the patent assignment of $15.5 million that was recorded in the third quarter of 2025.
In terms of cash flow, Neonode used $5.6 million in operations for the nine months ended September 30, 2026, compared to $4.6 million in the same period of the previous year. This increase in cash used by operations is primarily due to a decrease in accounts payable, accrued payroll, and employee benefits.
As of September 30, 2026, Neonode's cash and accounts receivable stood at $20.2 million, a decrease from the $25.8 million reported as of December 31, 2025. This reduction in cash and accounts receivable reflects the company's ongoing efforts to manage its cash flow effectively.
Alexus also emphasized the importance of maintaining cost discipline, noting that operating expenses were lower than in the same quarter last year.
Neonode's financial overview for the quarter ended September 30, 2026, shows revenues from continuing operations at $0.5 million, an increase of 24.4% compared to the same period in the prior year. License revenues were $0.4 million, an increase of 9.4% compared to the same period in the prior year. The increase in license revenues was mainly due to new license agreements. Revenues from non-recurring engineering for the quarter ended September 30, 2026, were $91,000, an increase of 279.2% compared to the same period in the prior year. The increase was the result of increased project deliveries.
Operating expenses from continuing operations for the quarter ended September 30, 2026, were $1.8 million, a decrease of 13.2% compared to the same period in the prior year. The decrease was mainly related to lower payroll and related costs and lower professional fees.
Loss from continuing operations for the quarter 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 the prior year, 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 the prior year. 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.