Company: ACTG
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0000934549-25-000042
Chunk: 79

Company: ACACIA RESEARCH CORP
Filing Date: 2025-08-07
Form: 10-Q
Item: Part I, Item 1
Chunk 79
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 for the six months ended June 30, 2025 from $10.0 million to $5.4 million in 2025 due to a decrease in interest rates and a decrease in average cash balances. 

Intellectual Property Operations

Revenues

ARG’s revenue activity for the periods presented included the following:

Three Months EndedJune 30,Six Months EndedJune 30,20252024$ Change% Change20252024$ Change% Change(In thousands, except percentage change values and count totals)Paid-up license revenue agreements$— $4,888 $(4,888)(100%)$69,490 $17,253 $52,237 303%Recurring license revenue agreements329 445 (116)(26%)744 1,703 (959)(56%)Total revenues$329 $5,333 $(5,004)(94%)$70,234 $18,956 $51,278 271%New license agreements executed— 3 (3)(100%)4 9 (5)(56%)Licensing and enforcement programs   generating revenues3 5 (2)(40%)6 6 — —%

For the periods presented above, the majority of the revenue agreements executed during the relevant period provided for the payment of one-time, paid-up license fees in consideration for the grant of certain IP Rights for patented technology owned by our operating subsidiaries. These rights were primarily granted on a perpetual basis, extending until the expiration of the underlying patents. Paid-up revenue decreased $4.9 million for the three months ended June 30, 2025 compared to the three months ended June 30, 2024 due to an decrease in new license agreements executed. Recurring revenue, that provides for quarterly sales-based license fees, decreased $0.1 million for the three months ended June 30, 2025 compared to the three months ended June 30, 2024, due to the expiration of certain on-going license arrangements. Paid-up revenue increased $52.2 million for the six months ended June 30, 2025 compared to the six months ended June 30, 2024 due to an increase in average license fees per agreement. Recurring revenue, that provides for quarterly sales-based license fees, decreased $1.0 million for the six months ended June 30, 2025 compared to the six months ended June 30, 2024, due to the expiration of certain on-going