Neonode Q3 revenue drops on subdued printer demand
Neonode's Q3 revenue fell 48.7% year-over-year due to decreased demand in its legacy printer and automotive segments. However, income from continuing operations rose to $13.9 million, boosted by a $15.5 million gain from a patent assignment. The company expects continued revenue decline in legacy segments until new customer production begins and is focusing on expanding its MultiSensing AI platform in the automotive sector. The average analyst rating is 'hold', with a 12-month price target of $6.00, representing a 53.2% increase from its recent closing price of $2.81.
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Overview
- Neonode Q3 revenue falls 48.7% yr/yr due to lower demand in legacy segments
- Income from continuing operations rises to $13.9 mln due to patent assignment gain
- Company attributes revenue decline to subdued demand in printer and automotive segments
Outlook
- Company anticipates continued revenue decline in legacy segments until new customer production
- Neonode focuses on expanding MultiSensing AI platform in automotive sector
- Company transitions zForce platform into maintenance mode due to market dynamics
Result Drivers
- LEGACY BUSINESS DECLINE - Revenue decline attributed to lower demand in printer and automotive infotainment segments
- PATENT ASSIGNMENT GAIN - Income boosted by $15.5 mln gain from patent assignment to Aequitas
Key Details
Metric Beat/Mis Actual Consensu
s s
Estimate
Q3 $2.10
Operatin mln
g
Expenses
Analyst Coverage
- The one available analyst rating on the shares is “hold”
- The average consensus recommendation for the electronic equipment & parts peer group is “buy.”
- Wall Street’s median 12-month price target for Neonode Inc is $6.00, about 53.2% above its November 5 closing price of $2.81
Press Release: For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact . (This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)
