The company’s shift toward recurring software income is gaining momentum within the automotive sector. President and CEO Daniel Alexus noted that license revenues rose 9.2% to $0.4 million during the quarter, buoyed by production ramps among automotive customers. Conversely, non-recurring engineering revenue plummeted 81.5% to $36,000, reflecting a deliberate reduction in project-based delivery work.

Operating expenses climbed 3.2% to $2.8 million, driven largely by increased advertising and travel costs. Despite these expenditures, the firm maintains a liquid balance sheet, reporting $21.7 million in cash and accounts receivable as of June 30, 2026. Management remains focused on converting ongoing partner engagements into commercial agreements to bolster long-term shareholder value.