--- title: "Intelligent Protection | 10-Q: FY2026 Q1 Revenue Beats Estimate at USD 6.355 M" type: "News" locale: "en" url: "https://longbridge.com/en/news/286152907.md" datetime: "2026-05-12T20:28:39.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/286152907.md) - [en](https://longbridge.com/en/news/286152907.md) - [zh-HK](https://longbridge.com/zh-HK/news/286152907.md) --- # Intelligent Protection | 10-Q: FY2026 Q1 Revenue Beats Estimate at USD 6.355 M Revenue: As of FY2026 Q1, the actual value is USD 6.355 M, beating the estimate of USD 6.224 M. EPS: As of FY2026 Q1, the actual value is USD -0.05, beating the estimate of USD -0.07. EBIT: As of FY2026 Q1, the actual value is USD -829.56 K. Intelligent Protection Management Corp. operates as a single-segment business, providing IT-related services and solutions. #### Revenue Total revenue for the three months ended March 31, 2026, increased by 15.2% to $6,354,751 from $5,518,038 for the same period in 2025. **Managed information technology revenue** increased by 10.2% to $3,920,494 in Q1 2026 from $3,558,833 in Q1 2025, with core managed information technology solutions revenue increasing by 19%. **Procurement revenue** increased by 78.4% to $1,696,901 in Q1 2026 from $951,379 in Q1 2025, primarily due to sales of AI-related equipment. **Professional services revenue** decreased by 33.5% to $483,300 in Q1 2026 from $726,607 in Q1 2025. **Subscription revenue** decreased by 9.7% to $254,056 in Q1 2026 from $281,219 in Q1 2025, mainly due to increased competition. #### Operating Performance - **Loss from operations** improved to - $768,182 for Q1 2026, compared to - $1,333,927 for Q1 2025. As a percentage of total revenues, loss from operations was -12.1% in Q1 2026, an improvement from -24.2% in Q1 2025. - **Net (loss) income** was - $660,214 for Q1 2026, compared to a net income of $808,530 for Q1 2025, which included a non-recurring income tax benefit of approximately $2.1 million. - **Adjusted EBITDA** improved to - $167,519 for Q1 2026, compared to - $482,257 for Q1 2025. As a percentage of total revenues, Adjusted EBITDA was -2.6% in Q1 2026, an improvement from -8.7% in Q1 2025. #### Costs and Expenses Total costs and expenses increased by 4.0% to $7,122,933 for Q1 2026, from $6,851,965 for Q1 2025. **Cost of revenue** increased by 32.3% to $3,260,166 in Q1 2026 from $2,464,663 in Q1 2025, driven by higher costs for procurement equipment, managed services, subscriptions, licensing, and data center rent. **Sales, marketing and product development expense** increased by 1.7% to $778,029 in Q1 2026 from $765,364 in Q1 2025, mainly due to increased consulting and commissions, partially offset by reduced salary expenses. **General and administrative expense** decreased by 14.6% to $2,507,631 in Q1 2026 from $2,937,897 in Q1 2025, primarily due to lower legal, professional, and accounting expenses and reduced insurance costs. **Depreciation and amortization** decreased by 30.5% to $475,498 in Q1 2026 from $684,041 in Q1 2025. **Litigation expenses relating to the Cisco ManyCam Litigation** were $101,609 in Q1 2026. #### Cash Flow - **Net cash used in operating activities** was - $195,712 for Q1 2026, compared to net cash provided by operating activities of $1,744,783 for Q1 2025. - **Net cash used in investing activities** was - $70,208 for Q1 2026, primarily for purchasing fixed assets, compared to - $4,000,000 for Q1 2025, which included the cash consideration for the NTS acquisition. - **Net cash used in financing activities** was - $83,491 for Q1 2026, mainly for common stock repurchases, compared to net cash provided by financing activities of $1,350,000 for Q1 2025, from the Divestiture. #### Liquidity and Capital Resources As of March 31, 2026, Intelligent Protection Management Corp. had $8,084,650 in cash and cash equivalents, including $1,046,021 of restricted cash, and no long-term debt. The company believes its current cash and expected cash flows from operations will cover financial obligations for at least one year. #### Operational Highlights (Q1 2026) Intelligent Protection Management Corp. extended its Phoenix data center colocation license agreement through August 2032 and entered a strategic collaboration with MASORI Therapeutics for advanced artificial intelligence (AI) platform integration. The company achieved SOC 2 Type 1 compliance for safeguarding customer data and repurchased 50,000 shares of common stock for $83,491, completing its Stock Repurchase Plan. Deferred revenue stood at $4.7 million as of March 31, 2026. #### 2026 Business Objectives Intelligent Protection Management Corp.’s near-term objectives include continuing the integration and expansion of its IT-related solutions through strategic partnerships, focusing on AI and predictive analytics. The company also plans to consolidate accounting systems with a third-party e-commerce integration, optimize cross-selling of its ManyCam software, and explore strategic opportunities like synergistic mergers or acquisitions while defending its intellectual property. ### Related Stocks - [IPM.US](https://longbridge.com/en/quote/IPM.US.md) ## Related News & Research - [Intelligent Protection Management Corp. 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