Acacia Research (ACTG) investor relations material

Executive summary

• Q2 2026 revenue reached $114.6M, a 124% year-over-year increase, driven by robust IP licensing and strong energy operations, with adjusted EBITDA of $17.3M and adjusted net income of $12.8M.

• Cash, securities, and loans receivable totaled $334.6M at quarter end, with no parent company debt, providing substantial financial flexibility.

• Book value per share was $5.71 as of June 30, 2026, with 97.6M shares outstanding.

• Management remains focused on disciplined capital allocation, long-term value creation, and an active acquisition pipeline across public and private markets.

• Recent acquisitions and strategic relationships have expanded the operational footprint in industrials, energy, and technology sectors.

Financial highlights

• Q2 2026 total revenue was $114.6M, up from $51.2M year-over-year and $54.2M in Q1 2026, driven by episodic IP settlements.

• Adjusted EBITDA was $17.3M; operated segment adjusted EBITDA was $22.8M.

• GAAP net income was $47,000 ($0.00 per diluted share); adjusted net income was $12.8M ($0.13 per diluted share).

• Book value at quarter end was $557M ($5.71 per share).

• Free cash flow for Q2 2026 was $6.5M; YTD FCF was negative at $(8.4)M.

Outlook and guidance

• Management remains focused on compounding intrinsic value per share through disciplined capital allocation and operational improvements.

• Acquisition pipeline is robust, with flexibility to pursue opportunities across industries and larger deals if attractive.

• Expect continued benefit from operational leverage as demand improves, especially at Deflecto.

• Management expects continued volatility in IP licensing revenues and ongoing inflationary and tariff pressures in manufacturing and energy segments.

• Cash and cash equivalents of $307.6M at June 30, 2026, expected to be sufficient for at least 12 months.