Nocopi Technologies (NNUP) investor relations material

Executive summary

• Revenues for Q3 2025 declined 42% year-over-year to $385,800, mainly due to lower ink shipments and reduced royalties from licensees in the entertainment and toy products market.

• Net loss for Q3 2025 was $26,800, a significant improvement from a net loss of $251,100 in Q3 2024, driven by lower operating expenses.

• For the first nine months of 2025, revenues decreased 20% to $1,224,800, with a net loss of $59,900 compared to a net loss of $2,284,700 in the prior year period.

Financial highlights

• Gross profit margin for Q3 2025 was 46%, down from 57% in Q3 2024; for the nine months, gross margin was 52%, up slightly from 51% year-over-year.

• Cash and cash equivalents increased to $11,497,600 as of September 30, 2025, from $10,839,700 at year-end 2024.

• Positive operating cash flow of $657,900 was generated in the first nine months of 2025.

• Working capital stood at $12,732,000 and stockholders' equity at $13,673,800 as of September 30, 2025.

Outlook and guidance

• The company plans to focus resources on expanding relationships and product offerings in the entertainment and toy products market, and to pursue new licensees and potential acquisitions.

• Management anticipates continued challenges from uncertain economic conditions, geopolitical instability, and potential recessionary pressures.