CID HoldCo (DAIC) Q2 2026 earnings summary

Executive summary

• Revenue for Q2 2026 was $12,398, down 90% year-over-year, with a net loss of $3.8 million for the quarter and $8.2 million for the six months ended June 30, 2026.

• Operations were suspended and employees furloughed in late May 2026 to preserve liquidity; only a limited executive and contractor team remained active.

• The company faces significant liquidity challenges, with a working capital deficit of $9.5 million and cash of $456,069 as of June 30, 2026.

• Multiple financing arrangements were executed, including equity lines, convertible notes, and executive loans, but substantial doubt remains about the company's ability to continue as a going concern.

Financial highlights

• Q2 2026 revenue fell 90% year-over-year to $12,398; gross margin was 46.5% versus 47.0% in Q2 2025.

• Net loss for Q2 2026 was $3.8 million, and $8.2 million for the first half of 2026, compared to $28.9 million and $30.1 million losses in the prior year periods.

• Operating expenses increased sharply: general and administrative up 155% to $2.1 million, research and development up 117% to $395k, while sales and marketing fell 52% to $374k.

• Cash used in operations was $1.7 million for the first half of 2026, down from $6.4 million in the prior year.

Outlook and guidance

• Management expects continued substantial operating losses and ongoing liquidity challenges, with additional near-term financing required to support operations and R&D.

• The company is exploring asset sales, new financing, and strategic alternatives, but there is no assurance of success.