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Neonode Inc. (NEON+1.13%) has submitted its annual report on Form 10-K filing for the fiscal year ended December 31, 2024.
The filing includes financial statements for the year, showing a decrease in total revenues to $3.1 million from $3.8 million in the previous year. This decrease is attributed to lower license revenues, partially offset by higher non-recurring engineering revenues.
License fees, which accounted for 86.5% of total revenues, decreased by 29.3% to $2.7 million. Non-recurring engineering revenues increased significantly to $421,000 from $26,000 in the previous year.
The company reported a gross margin of 96.3%, down from 99.7% in the previous year, due to increased non-recurring engineering projects.
Operating expenses remained relatively stable at $9.5 million, with research and development costs decreasing by 10.1% to $3.4 million, and general and administrative expenses increasing by 15.3% to $3.8 million.
Neonode recorded an operating loss of $6.5 million, compared to a loss of $5.7 million in the previous year. Net loss for the year was $6.5 million, compared to $10.1 million in the previous year, which included losses from discontinued operations.
The company had cash and cash equivalents of $16.4 million as of December 31, 2024, compared to $16.2 million at the end of the previous year.
Neonode's liquidity is dependent on factors such as licensing of its technology, operating expenses, and the timing of customer product shipments. The company believes it has sufficient capital to fund operations for the next twelve months.
The filing also details various business segments, with revenues primarily from the automotive and printer segments. Key customers include Seiko Epson, Alpine Electronics, and Hewlett-Packard Company.
Neonode identified material weaknesses in its internal control over financial reporting, specifically related to information technology general controls and income tax calculations. The company is implementing corrective actions to address these issues.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Neonode Inc. annual 10-K report dated March 21, 2025. To report an error, please email earnings@qz.com.