PIXELWORKS, INC

Pixelworks reported a net income of $77.79 million for the six months ended June 30, 2026, primarily driven by an $85.15 million gain from the sale of its PWSH subsidiary. The company completed a significant restructuring in Q1 2026, reducing its workforce by approximately 43%, and initiated a share repurchase program, buying back $3.19 million in Q2. Revenue from continuing operations for the quarter was $64,000, resulting in a net loss of $2.8 million from continuing operations.

Pixelworks reported a net loss attributable to the company of $(2.8) million, or $(0.44) per share, on revenue of $64,000 for the second quarter ended June 30, 2026. The company ended the quarter with approximately $53 million in cash and cash equivalents and repurchased $3.2 million of common stock. Strategically, Pixelworks expanded its TrueCut Motion ecosystem through new partnerships with Kinepolis Group and China Film CINITY, and secured a multi-year device certification agreement with a major device manufacturer, accelerating its device licensing program.

Pixelworks, Inc. held its 2026 Annual Meeting of Shareholders where several key proposals were approved. Shareholders voted to amend and restate the Company's 2006 Stock Incentive Plan, increasing the maximum number of shares authorized for issuance by 300,000 to a total of 2,940,278 shares. Additionally, five directors were elected to the board, executive compensation was approved on an advisory basis, and Grant Thornton LLP was ratified as the independent registered public accounting firm for the fiscal year ending December 31, 2026.

Pixelworks, Inc. completed the sale of its Pixelworks Semiconductor Technology (Shanghai) Co., Ltd. (PWSH) subsidiary on January 6, 2026, resulting in an after-tax gain of $85.153 million and net cash proceeds of $51.261 million. This divestment led to a significant increase in net income attributable to Pixelworks, Inc. to $80.584 million for the first quarter of 2026, a substantial improvement from a net loss of $7.761 million in the prior year period. Following the sale, the company implemented a restructuring plan, reducing its continuing operations workforce by approximately 43% and incurring $1.995 million in related expenses, as it now focuses on cinematic visualization solutions.

Pixelworks, Inc. announced its first quarter 2026 financial results, reporting a net income attributable to the company of $80.6 million, largely driven by the completed sale of its Shanghai semiconductor subsidiary in January 2026. The company has completed its restructuring and streamlining operations, repositioning itself as a global technology licensing business. Pixelworks ended the quarter with approximately $58 million in cash and no debt, and its Board of Directors authorized a new $5 million stock repurchase program.