Acacia Research Reports Second Quarter 2024 Financial Results
Acacia Research (Nasdaq: ACTG) reported robust financial results for Q2 2024.
Total revenue soared by 227% YoY to $25.8 million, driven by the acquisition of operated producing wells in the Western Anadarko Basin. Revenue for the first six months of 2024 reached $50.2 million, up 121% YoY.
However, Acacia recorded a GAAP net loss of $8.4 million for the quarter, or $0.08 per diluted share. Excluding a $0.06 per share expense related to the AIP Matter, the net loss would have been $0.02 per share.
Operating cash flow improved significantly, generating $71 million in the first half of 2024. Book value per share increased to $5.95, or $6.07 excluding the AIP Matter accrual.
Adjusted EBITDA was $4.1 million for Q2 2024. The company continues to focus on free cash flow generation and enhancing book value per share.
Acacia Research (Nasdaq: ACTG) ha riportato risultati finanziari robusti per il secondo trimestre del 2024.
Le entrate totali sono aumentate del 227% rispetto all'anno precedente, raggiungendo i 25,8 milioni di dollari, grazie all'acquisizione di pozzi produttivi operativi nel Western Anadarko Basin. Le entrate dei primi sei mesi del 2024 hanno raggiunto i 50,2 milioni di dollari, con un incremento del 121% su base annua.
Tuttavia, Acacia ha registrato una perdita netta GAAP di 8,4 milioni di dollari per il trimestre, pari a 0,08 dollari per azione diluita. Escludendo una spesa di 0,06 dollari per azione relativa alla questione AIP, la perdita netta sarebbe stata di 0,02 dollari per azione.
Il flusso di cassa operativo è migliorato significativamente, generando 71 milioni di dollari nella prima metà del 2024. Il valore contabile per azione è aumentato a 5,95 dollari, o a 6,07 dollari escludendo l'accantonamento della questione AIP.
L'EBITDA rettificato è stato di 4,1 milioni di dollari per il secondo trimestre del 2024. L'azienda continua a concentrarsi sulla generazione di flusso di cassa libero e sul miglioramento del valore contabile per azione.
Acacia Research (Nasdaq: ACTG) informó resultados financieros sólidos para el segundo trimestre de 2024.
Los ingresos totales se dispararon un 227% interanual hasta alcanzar los 25,8 millones de dólares, impulsados por la adquisición de pozos en producción en el Western Anadarko Basin. Los ingresos durante los primeros seis meses de 2024 alcanzaron los 50,2 millones de dólares, lo que representa un aumento del 121% interanual.
No obstante, Acacia reportó una pérdida neta GAAP de 8,4 millones de dólares para el trimestre, es decir, 0,08 dólares por acción diluida. Excluyendo un gasto de 0,06 dólares por acción relacionado con el asunto de AIP, la pérdida neta habría sido de 0,02 dólares por acción.
El flujo de efectivo operativo mejoró significativamente, generando 71 millones de dólares en la primera mitad de 2024. El valor contable por acción aumentó a 5,95 dólares, o a 6,07 dólares excluyendo el acumulado del asunto AIP.
El EBITDA ajustado fue de 4,1 millones de dólares para el segundo trimestre de 2024. La empresa continúa enfocándose en la generación de flujo de efectivo libre y en mejorar el valor contable por acción.
아카시아 리서치 (Nasdaq: ACTG)는 2024년 2분기 재무 실적을 강력하게 보고했습니다.
총 수익은 전년 대비 227% 증가하여 2,580만 달러에 달했으며, 이는 웨스턴 아나다르코 분지에서 운영 중인 생산 우물의 인수에 힘입은 것입니다. 2024년 상반기 수익은 5,020만 달러에 이르렀으며, 이는 전년 대비 121% 증가한 수치입니다.
그러나 아카시아는 분기 동안 GAAP 순손실로 840만 달러를 기록했으며, 이는 희석 주당 0.08 달러에 해당합니다. AIP 문제와 관련된 주당 0.06 달러의 비용을 제외하면 순손실은 주당 0.02 달러로 줄어들었을 것입니다.
운영 현금 흐름은 크게 개선되어 2024년 상반기에 7,100만 달러를 창출했습니다. 주당 장부 가치는 5.95달러로 증가했으며, AIP 문제의 적립액을 제외하면 6.07달러에 달합니다.
조정된 EBITDA는 2024년 2분기에 410만 달러였습니다. 회사는 자유 현금 흐름 생성과 주당 장부 가치 향상에 계속 집중하고 있습니다.
Acacia Research (Nasdaq: ACTG) a rapporté des résultats financiers solides pour le deuxième trimestre 2024.
Les revenus totaux ont grimpé de 227% d'une année sur l'autre pour atteindre 25,8 millions de dollars, soutenus par l'acquisition de puits de production dans le Western Anadarko Basin. Les revenus pour les six premiers mois de 2024 ont atteint 50,2 millions de dollars, en hausse de 121% par rapport à l'année précédente.
Cependant, Acacia a enregistré une perte nette GAAP de 8,4 millions de dollars pour le trimestre, soit 0,08 dollar par action diluée. En excluant une dépense de 0,06 dollar par action liée à l'affaire AIP, la perte nette aurait été de 0,02 dollar par action.
Le flux de trésorerie d'exploitation s'est considérablement amélioré, générant 71 millions de dollars au cours de la première moitié de 2024. La valeur comptable par action a augmenté à 5,95 dollars, ou 6,07 dollars excluant l'accumulation de l'affaire AIP.
L'EBITDA ajusté s'élevait à 4,1 millions de dollars pour le deuxième trimestre 2024. L'entreprise continue de se concentrer sur la génération de flux de trésorerie libre et l'amélioration de la valeur comptable par action.
Acacia Research (Nasdaq: ACTG) hat für das zweite Quartal 2024 starke Finanzzahlen gemeldet.
Der Gesamterlös stieg gegenüber dem Vorjahr um 227% auf 25,8 Millionen Dollar, was durch die Akquisition von produzierenden Wells im Western Anadarko Basin vorangetrieben wurde. Der Umsatz in den ersten sechs Monaten des Jahres 2024 erreichte 50,2 Millionen Dollar, was einem Anstieg von 121% im Vergleich zum Vorjahr entspricht.
Allerdings verzeichnete Acacia einen GAAP Nettoverlust von 8,4 Millionen Dollar für das Quartal, oder 0,08 Dollar pro verwässerter Aktie. Ohne eine Belastung von 0,06 Dollar pro Aktie, die mit der AIP-Angelegenheit verbunden ist, hätte der Nettoverlust 0,02 Dollar pro Aktie betragen.
Betrieblicher Cashflow verbesserte sich erheblich und erzielte in der ersten Hälfte des Jahres 2024 71 Millionen Dollar. Der Buchwert pro Aktie stieg auf 5,95 Dollar oder 6,07 Dollar ohne Berücksichtigung des Rückstellungsbetrags der AIP-Angelegenheit.
Das bereinigte EBITDA lag im zweiten Quartal 2024 bei 4,1 Millionen Dollar. Das Unternehmen konzentriert sich weiterhin auf die Generierung von Freiem Cashflow und die Steigerung des Buchwerts pro Aktie.
- Revenue increased 227% YoY to $25.8 million.
- Total revenue for the first six months of 2024 grew 121% YoY to $50.2 million.
- Operating cash flow improved significantly, generating $71 million in the first half of 2024.
- Book value per share increased to $5.95, or $6.07 excluding the AIP Matter accrual.
- Adjusted EBITDA of $4.1 million for Q2 2024.
- Recorded GAAP net loss of $8.4 million for Q2 2024.
- GAAP diluted net loss per share was $0.08 for Q2 2024.
Insights
Acacia Research's Q2 2024 results show significant growth, with consolidated revenue up 227% YoY to
The book value per share increased to
The company's focus on free cash flow generation and book value accretion could be positive for long-term value creation, but investors should monitor the path to profitability closely.
Acacia's acquisition of Revolution Assets marks a significant expansion into the energy sector, adding 140,000 net acres and 470 operated producing wells in the Western Anadarko Basin. This strategic move contributed
The energy operations segment is showing promise, with
While this diversification is promising, the energy sector's cyclical nature and environmental concerns could pose risks. Acacia's ability to efficiently manage these assets and navigate industry challenges will be important for long-term success in this vertical.
Acacia's IP operations showed remarkable growth, with licensing revenue increasing from
The company's success in its Life Sciences Portfolio is particularly noteworthy, having generated
However, the volatility in IP revenue streams and the challenges in consistently monetizing patents mean that investors should view this segment's performance cautiously. The company's ability to maintain this growth trajectory in IP licensing will be important for future performance.
Increased Consolidated Revenue
Significant YoY Revenue and Operating Cash Flow Improvement During Q2 2024
Acacia Remains Focused on Free Cash Flow Generation and Book Value Per Share Accretion
Martin (“MJ”) D. McNulty, Jr., Chief Executive Officer, stated, “Acacia delivered strong financial and operating results in the second quarter. The Company’s efforts to build excellent businesses are paying off as our second quarter results highlight the evolution, strength and trajectory of the Company’s core technology, energy and industrials verticals. Acacia generated
The Company also delivered significant improvements in year over year revenue and operating cash flow in the second quarter. With disciplined capital allocation and a commitment to operating and financial excellence, the Company increased its total revenues
Looking ahead, we will remain focused on free cash flow generation and book value per share accretion which we believe will deliver stock price growth and generate shareholder value.”
Key Business Highlights
-
Recorded book value per share at June 30, 2024 of
$5.95 $5.90 $12.9 million $6.07 -
Generated
$25.8 million $5.3 million 227% compared to$7.9 million -
Recorded a GAAP net loss of
$8.4 million $0.08 $8.6 million $0.09 $0.06 $0.02 -
Generated
$4.1 million $10.4 million -
Generated
$71.0 million -
On April 17, 2024 Benchmark completed the acquisition of certain upstream assets and related facilities in
Texas andOklahoma from a private seller, expanding Benchmark’s portfolio by approximately 140,000 net acres and adding approximately 470 operated producing wells in the prolificWestern Anadarko Basin throughout the Texas Panhandle andWestern Oklahoma (the “Revolution Assets”). Acacia’s second quarter 2024 financials reflect the contributions from the Benchmark acquisition. -
Benchmark generated approximately
$14.2 million
1Adjusted EBITDA is a non-GAAP financial measure. For the definition of this measure and a reconciliation of this measure to net loss, the most directly comparable GAAP financial measure, see the accompanying supplemental information table.
Second Quarter 2024 Financial Highlights
(In millions, except per share data)
|
Three Months Ended June 30, |
|
Six Months Ended June 30, |
||||||||||||
|
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
|
(unaudited) |
|
(unaudited) |
||||||||||||
Intellectual property operations |
$ |
5.3 |
|
|
$ |
0.4 |
|
|
$ |
19.0 |
|
|
$ |
4.6 |
|
Industrial operations |
|
6.3 |
|
|
|
7.5 |
|
|
|
15.2 |
|
|
|
18.1 |
|
Energy operations |
|
14.2 |
|
|
|
— |
|
|
|
16.0 |
|
|
|
— |
|
Total revenues |
$ |
25.8 |
|
|
$ |
7.9 |
|
|
$ |
50.2 |
|
|
$ |
22.7 |
|
Operating loss |
$ |
(4.8 |
) |
|
$ |
(12.5 |
) |
|
$ |
(6.8 |
) |
|
$ |
(21.9 |
) |
Unrealized (losses) gains1 |
$ |
(4.7 |
) |
|
$ |
6.6 |
|
|
$ |
(31.4 |
) |
|
$ |
10.0 |
|
Realized gains (losses) |
$ |
— |
|
|
$ |
(8.0 |
) |
|
$ |
28.9 |
|
|
$ |
(9.4 |
) |
Legal liability fee |
$ |
(6.6 |
) |
|
$ |
— |
|
|
$ |
(12.9 |
) |
|
$ |
— |
|
Non-cash derivative liability (losses) gains2 |
$ |
— |
|
|
$ |
(9.9 |
) |
|
$ |
— |
|
|
$ |
6.7 |
|
GAAP Net loss |
$ |
(8.4 |
) |
|
$ |
(18.8 |
) |
|
$ |
(8.6 |
) |
|
$ |
(9.3 |
) |
GAAP Diluted net loss per share |
$ |
(0.08 |
) |
|
$ |
(0.36 |
) |
|
$ |
(0.09 |
) |
|
$ |
(0.26 |
) |
|
|
|
|
|
|
|
|
||||||||
1 Unrealized gains and (losses) are related to the change in fair value of equity securities as of the end of the reported period and for the six months ended June 30, 2024 the reversal of the previously recorded unrealized gain related to our Arix Bioscience Plc. position for a realized gain. |
|||||||||||||||
2 The non-cash derivative liability gains and (losses) are related to the change in fair value of Acacia’s Series A and B warrants and embedded derivatives and gains and (losses) from the exercise of warrants. |
|||||||||||||||
Second Quarter 2024 Financial Summary:
-
Total revenues were
$25.8 million 227% compared to$7.9 million -
The Intellectual Property business generated
$5.3 million $0.4 million -
Printronix generated
$6.3 million $7.5 million -
Benchmark generated
$14.2 million
-
The Intellectual Property business generated
-
General and administrative (G&A) expenses were
$10.0 million $9.4 million -
The Company recorded an operating loss of
$4.8 million 62% compared to a loss of$12.5 million -
Printronix contributed
$0.2 million $0.7 million -
Benchmark contributed
$3.2 million $3.5 million $0.1 million -
The second quarter included
$0.8 million
-
Printronix contributed
-
On August 2, 2024, Acacia settled a dispute involving former executives of the Company regarding a profit interest in AIP Operation LLC (the “AIP Matter”) that had been granted to those former executives at the direction of prior management and the Board of Directors at that time. The settlement resulted in a
$14.5 million $14.5 million $12.9 million $0.13 -
The Company recorded GAAP net loss of
$8.4 million $0.08 $18.8 million $0.36 -
Net loss included
$4.7 million -
Excluding the impact of the additional expense relating to the AIP Matter, which represented
$0.06 $0.02
-
Net loss included
Life Sciences Portfolio
Acacia has generated
-
Acacia holds interests in three private companies, valued at an aggregate of
$25.7 million 26% interest in Viamet Pharmaceuticals, Inc., an approximately18% interest in AMO Pharma, Ltd., and an approximately4% interest in NovaBiotics Ltd. Values are based on cost or equity accounting.
Balance Sheet and Capital Structure
-
Cash, cash equivalents and equity investments measured at fair value totaled
$405.2 million $403.2 million $59.9 million -
Equity securities without readily determinable fair value totaled
$5.8 million -
Investment securities representing equity method investments totaled
$19.9 million 64% of MalinJ1, which results in a26% indirect ownership stake in Viamet Pharmaceuticals, Inc. for Acacia. -
The parent company’s total indebtedness was zero at June 30, 2024. On a consolidated basis, Acacia’s total indebtedness was
$82.0 million
Book Value as of June 30, 2024
At June 30, 2024, Acacia’s book value was
Investor Conference Call
The Company will host a conference call today, August 8, 2024 at 4:30 p.m. Eastern Time (1:30 p.m. Pacific Time). To access the live call, please dial 800-715-9871 (
About the Company
Acacia is a publicly traded (Nasdaq: ACTG) company that is focused on acquiring and operating attractive businesses across the mature technology, energy, and industrial/manufacturing sectors where it believes it can leverage its expertise, significant capital base, and deep industry relationships to drive value. Acacia evaluates opportunities based on the attractiveness of the underlying cash flows, without regard to a specific investment horizon. Acacia operates its businesses based on three key principles of people, process and performance and has built a management team with demonstrated expertise in research, transactions and execution, and operations and management. Additional information about Acacia and its subsidiaries is available at www.acaciaresearch.com.
Safe Harbor Statement
This news release contains forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These statements are based upon the Company’s current expectations and speak only as of the date hereof. This news release attempts to identify forward-looking statements by using words such as “anticipate,” “believe,” “could,” “expect,” “intend,” “may,” “plan,” “potential,” “predict,” “project,” “seek,” “should,” “will,” or other forms of these words or similar words or expressions or the negative thereof, although not all forward-looking statements contain these terms. The Company’s actual results may differ materially and adversely from those expressed or implied in any forward-looking statements as a result of various factors and uncertainties, including the Company’s ability to successfully identify and complete strategic acquisitions of businesses, divisions, and/or assets, the performance of businesses, divisions, and/or assets the Company acquires, changes to the Company’s relationship and arrangements with Starboard Value LP, Benchmark’s ability to execute on its business and hedging strategy, risks related to price and other fluctuations in the oil and gas market, inflationary pressures, supply chain disruptions or labor shortages, Benchmark’s ability to replace reserves and efficiently develop current reserves, risks, operational hazards, unforeseen interruptions and other difficulties involved in the production of oil and natural gas, the impact of any seismic events, environmental liability risk, regulatory changes related to the oil and gas industry, the ability to successfully develop licensing programs and attract new business, changes in demand for current and future intellectual property rights, legislative, regulatory and competitive developments addressing licensing and enforcement of patents and/or intellectual property in general, the decrease in demand for Printronix' products, general economic conditions, and the success of the Company’s investments. The Company’s Annual Report on Form 10-K, and other SEC filings discuss these and other important risks and uncertainties that may materially affect the Company’s business, results of operations and financial condition. In addition, actual results may differ materially as a result of additional risks and uncertainties of which the Company is currently unaware or which the Company does not currently view as material. Except as otherwise required by applicable law, the Company undertakes no obligation to revise or update publicly any forward-looking statements for any reason.
The results achieved by the Company in prior periods are not necessarily indicative of the results to be achieved by us in any subsequent periods. It is currently anticipated that the Company’s financial results will vary, and may vary significantly, from quarter to quarter.
ACACIA RESEARCH CORPORATION
|
|||||||
|
June 30, 2024 |
|
December 31, 2023 |
||||
|
(Unaudited) |
|
|
||||
ASSETS |
|
|
|
||||
Current assets: |
|
|
|
||||
Cash and cash equivalents |
$ |
386,988 |
|
|
$ |
340,091 |
|
Equity securities |
|
18,174 |
|
|
|
63,068 |
|
Equity securities without readily determinable fair value |
|
5,816 |
|
|
|
5,816 |
|
Equity method investments |
|
30,934 |
|
|
|
30,934 |
|
Accounts receivable, net |
|
18,772 |
|
|
|
80,555 |
|
Inventories |
|
12,289 |
|
|
|
10,921 |
|
Prepaid expenses and other current assets |
|
20,961 |
|
|
|
23,127 |
|
Total current assets |
|
493,934 |
|
|
|
554,512 |
|
|
|
|
|
||||
Property, plant and equipment, net |
|
2,315 |
|
|
|
2,356 |
|
Oil and natural gas properties, net |
|
192,587 |
|
|
|
25,117 |
|
Goodwill |
|
8,990 |
|
|
|
8,990 |
|
Other intangible assets, net |
|
36,017 |
|
|
|
33,556 |
|
Operating lease, right-of-use assets |
|
1,639 |
|
|
|
1,872 |
|
Deferred income tax assets, net |
|
13,854 |
|
|
|
2,915 |
|
Other non-current assets |
|
4,257 |
|
|
|
4,227 |
|
Total assets |
$ |
753,593 |
|
|
$ |
633,545 |
|
|
|
|
|
||||
LIABILITIES AND STOCKHOLDERS' EQUITY |
|
|
|
||||
Current liabilities: |
|
|
|
||||
Accounts payable |
$ |
3,191 |
|
|
$ |
3,261 |
|
Accrued expenses and other current liabilities |
|
15,207 |
|
|
|
8,405 |
|
Accrued compensation |
|
3,983 |
|
|
|
4,207 |
|
Asset retirement obligation |
|
1,543 |
|
|
|
— |
|
Royalties and contingent legal fees payable |
|
4,869 |
|
|
|
10,786 |
|
Deferred revenue |
|
911 |
|
|
|
977 |
|
Accrued loss contingency |
|
14,500 |
|
|
|
— |
|
Total current liabilities |
|
44,204 |
|
|
|
27,636 |
|
|
|
|
|
||||
Asset retirement obligation |
|
27,718 |
|
|
|
— |
|
Long-term lease liabilities |
|
1,447 |
|
|
|
1,736 |
|
Revolving credit facility |
|
82,000 |
|
|
|
10,525 |
|
Other long-term liabilities |
|
1,479 |
|
|
|
4,039 |
|
Total liabilities |
|
156,848 |
|
|
|
43,936 |
|
|
|
|
|
||||
Commitments and contingencies |
|
|
|
||||
|
|
|
|
||||
|
|
|
|
||||
Stockholders' equity: |
|
|
|
||||
Preferred stock, par value |
|
— |
|
|
|
— |
|
Common stock, par value |
|
100 |
|
|
|
100 |
|
Treasury stock, at cost, 16,183,703 shares as of June 30, 2024 and December 31, 2023 |
|
(98,258 |
) |
|
|
(98,258 |
) |
Additional paid-in capital |
|
907,215 |
|
|
|
906,153 |
|
Accumulated deficit |
|
(248,361 |
) |
|
|
(239,729 |
) |
Total Acacia Research Corporation stockholders' equity |
|
560,696 |
|
|
|
568,266 |
|
|
|
|
|
||||
Noncontrolling interests |
|
36,049 |
|
|
|
21,343 |
|
|
|
|
|
||||
Total stockholders' equity |
|
596,745 |
|
|
|
589,609 |
|
|
|
|
|
||||
Total liabilities and stockholders' equity |
$ |
753,593 |
|
|
$ |
633,545 |
|
ACACIA RESEARCH CORPORATION
|
|||||||||||||||
|
Three Months Ended June 30, |
|
Six Months Ended June 30, |
||||||||||||
|
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
|
|
|
|
|
|
|
|
||||||||
Revenues: |
|
|
|
|
|
|
|
||||||||
Intellectual property operations |
$ |
5,333 |
|
|
$ |
394 |
|
|
$ |
18,956 |
|
|
$ |
4,570 |
|
Industrial operations |
|
6,335 |
|
|
|
7,510 |
|
|
|
15,176 |
|
|
|
18,137 |
|
Energy operations |
|
14,170 |
|
|
|
— |
|
|
|
16,026 |
|
|
|
— |
|
Total revenues |
|
25,838 |
|
|
|
7,904 |
|
|
|
50,158 |
|
|
|
22,707 |
|
|
|
|
|
|
|
|
|
||||||||
Costs and expenses: |
|
|
|
|
|
|
|
||||||||
Cost of revenues - intellectual property operations |
|
5,765 |
|
|
|
5,010 |
|
|
|
12,766 |
|
|
|
9,748 |
|
Cost of revenues - industrial operations |
|
3,277 |
|
|
|
3,933 |
|
|
|
7,326 |
|
|
|
9,153 |
|
Cost of production - energy operations |
|
10,038 |
|
|
|
— |
|
|
|
11,353 |
|
|
|
— |
|
Engineering and development expenses - industrial operations |
|
178 |
|
|
|
205 |
|
|
|
312 |
|
|
|
421 |
|
Sales and marketing expenses - industrial operations |
|
1,387 |
|
|
|
1,859 |
|
|
|
2,942 |
|
|
|
3,772 |
|
General and administrative expenses |
|
9,951 |
|
|
|
9,426 |
|
|
|
22,304 |
|
|
|
21,466 |
|
Total costs and expenses |
|
30,596 |
|
|
|
20,433 |
|
|
|
57,003 |
|
|
|
44,560 |
|
Operating loss |
|
(4,758 |
) |
|
|
(12,529 |
) |
|
|
(6,845 |
) |
|
|
(21,853 |
) |
|
|
|
|
|
|
|
|
||||||||
Other (expense) income: |
|
|
|
|
|
|
|
||||||||
Equity securities investments: |
|
|
|
|
|
|
|
||||||||
Change in fair value of equity securities |
|
(4,744 |
) |
|
|
6,617 |
|
|
|
(31,445 |
) |
|
|
9,960 |
|
Gain (loss) on sale of equity securities |
|
— |
|
|
|
(7,999 |
) |
|
|
28,861 |
|
|
|
(9,360 |
) |
Net realized and unrealized (loss) gain |
|
(4,744 |
) |
|
|
(1,382 |
) |
|
|
(2,584 |
) |
|
|
600 |
|
Legal liability fee |
|
(6,613 |
) |
|
|
— |
|
|
|
(12,856 |
) |
|
|
— |
|
Change in fair value of the Series B warrants and embedded derivatives |
|
— |
|
|
|
(9,935 |
) |
|
|
— |
|
|
|
6,716 |
|
(Loss) gain on foreign currency exchange |
|
(70 |
) |
|
|
15 |
|
|
|
(88 |
) |
|
|
95 |
|
Interest expense on Senior Secured Notes |
|
— |
|
|
|
(900 |
) |
|
|
— |
|
|
|
(1,800 |
) |
Interest income and other, net |
|
295 |
|
|
|
4,307 |
|
|
|
5,185 |
|
|
|
7,748 |
|
Total other (expense) income |
|
(11,132 |
) |
|
|
(7,895 |
) |
|
|
(10,343 |
) |
|
|
13,359 |
|
|
|
|
|
|
|
|
|
||||||||
Loss before income taxes |
|
(15,890 |
) |
|
|
(20,424 |
) |
|
|
(17,188 |
) |
|
|
(8,494 |
) |
|
|
|
|
|
|
|
|
||||||||
Income tax benefit (expense) |
|
7,061 |
|
|
|
1,645 |
|
|
|
8,170 |
|
|
|
(838 |
) |
|
|
|
|
|
|
|
|
||||||||
Net loss including noncontrolling interests in subsidiaries |
|
(8,829 |
) |
|
|
(18,779 |
) |
|
|
(9,018 |
) |
|
|
(9,332 |
) |
|
|
|
|
|
|
|
|
||||||||
Net loss attributable to noncontrolling interests in subsidiaries |
|
383 |
|
|
|
— |
|
|
|
386 |
|
|
|
— |
|
|
|
|
|
|
|
|
|
||||||||
Net loss attributable to Acacia Research Corporation |
$ |
(8,446 |
) |
|
$ |
(18,779 |
) |
|
$ |
(8,632 |
) |
|
$ |
(9,332 |
) |
|
|
|
|
|
|
|
|
||||||||
Loss per share: |
|
|
|
|
|
|
|
||||||||
Net loss attributable to common stockholders - Basic |
$ |
(8,446 |
) |
|
$ |
(21,155 |
) |
|
$ |
(8,632 |
) |
|
$ |
(13,962 |
) |
Weighted average number of shares outstanding - Basic |
|
100,079,803 |
|
|
|
58,408,711 |
|
|
|
99,912,854 |
|
|
|
53,219,152 |
|
Basic net loss per common share |
$ |
(0.08 |
) |
|
$ |
(0.36 |
) |
|
$ |
(0.09 |
) |
|
$ |
(0.26 |
) |
Net loss attributable to common stockholders - Diluted |
$ |
(8,446 |
) |
|
$ |
(21,155 |
) |
|
$ |
(8,632 |
) |
|
$ |
(13,962 |
) |
Weighted average number of shares outstanding - Diluted |
|
100,079,803 |
|
|
|
58,408,711 |
|
|
|
99,912,854 |
|
|
|
53,219,152 |
|
Diluted net loss per common share |
$ |
(0.08 |
) |
|
$ |
(0.36 |
) |
|
$ |
(0.09 |
) |
|
$ |
(0.26 |
) |
ACACIA RESEARCH CORPORATION - SUPPLEMENTAL INFORMATION
NON-GAAP FINANCIAL MEASURE
This earnings release includes adjusted EBITDA, which is a supplemental non-GAAP financial measure used by management and external users of the Company’s consolidated financial statements. GAAP refers to generally accepted accounting principles in
Adjusted EBITDA is defined as net income / (loss) before net income / (loss) attributable to noncontrolling interests, income tax (benefit) / expense, interest income and other, net, loss / (gain) on foreign currency exchange, net realized and unrealized loss / (gain) on investments, legal liability fee, depreciation, depletion and amortization, stock-based compensation, realized hedge gain / (loss), transaction-related costs, and costs related to certain legacy items. We are providing Adjusted EBITDA, a non-GAAP financial measure, because management believes the metric provides investors with useful supplemental information in comparing the operating results across reporting periods by excluding items that are not considered indicative of core operating performance. This measure is not intended to replace the presentation of financial results in accordance with GAAP and may be different from or otherwise inconsistent with similar non-GAAP financial measures used by other companies. The presentation of this non-GAAP financial measures supplements other metrics the Company uses to internally evaluate its subsidiary businesses and facilitate the comparison of past and present operating performance. This measure should not be considered in isolation or as a substitute for measures calculated and presented in accordance with GAAP.
The following table provides a reconciliation of adjusted EBITDA to net loss, the most directly comparable GAAP measure.
|
Three Months Ended
|
|
Three Months Ended
|
|
Six Months Ended
|
||||||
Adjusted EBITDA |
|
2024 |
|
|
|
2024 |
|
|
|
2024 |
|
|
(In thousands) |
||||||||||
|
(Unaudited) |
||||||||||
GAAP Net Loss |
$ |
(186 |
) |
|
$ |
(8,446 |
) |
|
$ |
(8,632 |
) |
Net Loss Attributable to Noncontrolling Interests |
|
(3 |
) |
|
|
(383 |
) |
|
|
(386 |
) |
Income Tax Benefit |
|
(1,109 |
) |
|
|
(7,061 |
) |
|
|
(8,170 |
) |
Interest Income and Other, Net |
|
(4,890 |
) |
|
|
(295 |
) |
|
|
(5,185 |
) |
Loss on Foreign Currency Exchange |
|
18 |
|
|
|
70 |
|
|
|
88 |
|
Net Realized and Unrealized (Gain) / Loss on Investments |
|
(2,160 |
) |
|
|
4,744 |
|
|
|
2,584 |
|
Legal liability fee |
|
6,243 |
|
|
|
6,613 |
|
|
|
12,856 |
|
GAAP Operating Loss |
$ |
(2,087 |
) |
|
$ |
(4,758 |
) |
|
$ |
(6,845 |
) |
Depreciation, Depletion & Amortization |
|
4,568 |
|
|
|
7,407 |
|
|
|
11,973 |
|
Stock-Based Compensation |
|
858 |
|
|
|
891 |
|
|
|
1,749 |
|
Realized Hedge Gain |
|
800 |
|
|
|
113 |
|
|
|
913 |
|
Transaction-Related Costs |
|
— |
|
|
|
222 |
|
|
|
222 |
|
Legal Costs - Legacy Management |
|
2,193 |
|
|
|
216 |
|
|
|
2,408 |
|
Adjusted EBITDA |
$ |
6,332 |
|
|
$ |
4,091 |
|
|
$ |
10,420 |
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20240808356458/en/
Investor Contact:
Gagnier Communications
ir@acaciares.com
Source: Acacia Research Corporation
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