Company: VHC
Filing Date: 2025-08-12
Form Type: 10-Q
Source: 0001140361-25-030577
Chunk: 86

Company: VirnetX Holding Corp
Filing Date: 2025-08-12
Form: 10-Q
Item: Part I, Item 2
Chunk 86
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ize our products, services and intellectual property in and outside the United States including VirnetX One™, War Room™,
        VirnetX Matrix™ and our Secured Domain Name Registry and Technology. We believe our product portfolio to secure devices and systems are suitable in areas such as national defense, local, state, Federal and foreign governments, critical
        infrastructure, law enforcement, healthcare, finance, legal, oil and gas, medical, and related support industries. We continue to actively pursue new sales opportunities in and outside of the United States.

Our employees include the core development team behind our inventions, technology, and software. Some members of this team have worked together for over twenty years and were on the same team that invented and
        developed this technology while working at Leidos, Inc., or Leidos. The team has continued its research and development work to refine our unique network security technology and make it more secure and easy to deploy.

Our portfolio of intellectual property is the foundation of our business model. We currently own U.S. and foreign patents and pending applications. Our patent portfolio is primarily focused on securing real-time
        communications over the Internet, and related services, and is used in all our technology and products, some of which were acquired by our principal operating subsidiary, VirnetX, Inc., from Leidos in 2006.

        14

          Index

Results of Operation

Three and Six Months Ended June 30, 2025

Compared with the Three and six Months Ended June 30, 2024

(in thousands, except per share amounts)

Revenue

We recognized revenue of $48 and $3 in the six months ended June 30, 2025 and 2024.

Research and Development Expenses

Our research and development expenses remained steady between 2025 and 2024 totaling $1,215 and $2,474 for the three and six months ended June 30, 2025 compared to $1,223 and $2,491 for the three and
        six months ended June 30, 2024.

Selling, General and Administrative Expenses

Our selling, general and administrative expenses decreased by $416 and by $1,289 totaling $2,777 and $5,565, respectively for the three and six months ended June 30, 2025 versus $3,193 and $6,854 for
        the three and six months ended June 30, 2024. During 2024, we incurred legal fees pursuing protection of our