KING OF PRUSSIA, Pa., Aug. 13, 2026 (GLOBE NEWSWIRE) -- Nocopi Technologies, Inc. (“Nocopi Technologies” or the “Company”; OTCQB: NNUP) is pleased to report fiscal 2026 second quarter results.

2026 Second Quarter Highlights

• Net sales increased 167% to approximately $0.96 million in the fiscal 2026 second quarter, in part due to our acquisition of the Polymeric business described below, versus $0.36 million in the fiscal 2025 second quarter.
• Gross profit increased to $0.36 million in the fiscal 2026 second quarter versus $0.19 million in the prior year second quarter.
• Net income (loss) was ($0.47) million, or ($0.04) per share for the fiscal 2026 second quarter versus net income of ($0.06) million, or ($.01) per share for the fiscal 2025 second quarter.
• Net cash provided by operating activities for the six months ended June 30, 2026 was $0.3 million versus $0.46 million for the six months ended June 30, 2025
• Cash and cash equivalents at the end of the second quarter of 2026 were $10.69 million with no debt outstanding
  
  

Revenue and Gross Profit

For the three months ended June 30, 2026, total revenues were $0.96 million representing 167% growth compared to $0.36 in the same period last year. Product and other sales increased to $0.9 million from $0.22 in Q2 2025, driven by higher ink shipments to authorized printers serving two of the Company's major entertainment and toy products licensees, as well incremental product revenue from the Polymeric acquisition closed during the quarter.

The Company’s gross profit increased to approximately $0.36 million or 37% of gross revenues, for the three months ended June 30, 2026 from approximately $0.19 million or 53% of gross revenues in the fiscal 2025 second quarter. The decrease in gross profit margin was largely a shift in revenue mix from an increased amount of product sales relative to higher margin license, royalties and fee revenue.

Total Operating Expenses

Total operating expenses for the three months ended June 30, 2026 were $0.93 million, as compared $0.36 million for the three months ended June 30, 2025. The increase in second quarter operating expenses was primarily due to one-time charges in legal fees and consulting fees related to the acquisition in the quarter.

Net Income

The Company reported a net loss of $0.47 million for Q2 2026, compared to a net loss of $0.06 million in the comparable 2025 period.

Management Commentary

During the quarter, the Company expanded existing operations with the acquisition of the business of the Polymeric Group, which we completed on May 18, 2026. Polymeric Group is a premier specialty ink and coatings manufacturer headquartered in Kansas City, Missouri. With over 30 years of continuous operation, the company has established itself as a trusted partner to a diversified customer base of long-tenured clients across screen printing, digital, and industrial coating segments.

"Polymeric Group represents exactly the kind of meaningful acquisition we are continuously looking to execute at Nocopi Technologies. They have a deeply talented leadership team, a strong embedded culture, and loyal customer relationships that we're committed to preserving and building upon,” said Matthew C. Winger, Chairman. “We're highly focused on supporting their growth while maintaining the operational independence and entrepreneurial spirit that has made them successful. As we identify opportunities to expand the sale of products from our existing formula suite to new customers gained from the acquisition, as well as support other organic expansion, we're confident in delivering meaningful bottom-line results in the coming years."

Following the closing of the Polymeric acquisition, Company management is working on executing a disciplined operational roadmap anchored on three principles consisting of organic growth in existing markets, cost efficiency through platform leverage, and improved working capital management, as well as selective incremental capital investment on high return on investment opportunities to drive the Company’s ability to generate meaningful free cash flow.

Operational Additions to Leadership Team

In support of the Company's expanded operational platform, management has added key executives to its leadership during the second quarter. These senior hires bring deep experience in manufacturing operations, supply chain optimization, and the financial integration of acquired businesses, capabilities essential to future execution of Nocopi's acquisition strategy at scale and represent the foundation for scaling the Company’s operations.

Appointed earlier this year, Gregory S. Babe, Executive Director of Operations, brings over 40 years of leadership experience in global industrial conglomerates. His career is defined by a demonstrated ability to scale industrial technology companies and execute large-scale organizational integrations during high-growth phases. Earlier in his career, Mr. Babe served as Chief Executive Officer of Bayer Corporation, where he oversaw all North American activities of the worldwide Bayer Group, and as Chief Technology Officer of Matthews International (NASDAQ: MATW).

Additionally, the Company recently appointed Beth Vasy, Vice President of Growth, who brings extensive strategic and operational expertise in the specialty ink and advanced materials sectors. Prior to joining Nocopi, Ms. Vasy served as Vice President of Operations at Liquid X Printed Metals, a functional ink and printed electronics pioneer. Ms. Vasy holds an MBA from the Tepper School of Business at Carnegie Mellon University.

Together, these executives strengthen Nocopi's execution capability at a critical juncture. We believe Mr. Babe's proven track record scaling operations with discipline and Ms. Vasy's deep commercial expertise in specialty materials position the Company to accelerate integration activities, capture immediate market opportunities, and opportunistically pursue an expanded pipeline of acquisition targets as part of the Company’s growth strategy.

Strong Balance Sheet Provides Execution Flexibility

As of June 30, 2026, the Company had over $10.6 million in cash and equivalents with no debt outstanding, providing substantial flexibility for both operational growth and additional strategic acquisition opportunities. The Company's balance sheet remained robust, with working capital of $12.7 million and total stockholders' equity of $14.4 million.

"Our financial position provides strategic flexibility," said Kevin C. Westenburg, President. "We remain very focused on optimizing our operations to maximize cash flow for our shareholders. It is our objective to achieve platform integration opportunities, high levels of customer service and product quality, as well as overall platform cost efficiencies, with the next 12- and 24-months as our targeted execution timeframe.”

Strategic M&A Approach

Beyond Polymeric, management continues to actively evaluate additional acquisition opportunities as the second pillar of a multi-faceted growth approach. The core of the acquisition strategy revolves around identifying niche and durable, market-leadership businesses in specialty materials. Management is targeting high quality, established companies that have earned defensible competitive positions, loyal customer relationships, and exceptional teams within their vertical markets.

"We have a disciplined expansion playbook focused on acquiring durable market leaders in niche specialty materials. Our initial acquisition broadened our capabilities and expanded our footprint in a manner highly complementary to our existing operations. As we pursue additional pipeline opportunities, we remain steadfast in acquiring scalable, high-margin businesses that accelerate the Company’s free cash flow generation and drive compounding long-term shareholder value,” added Winger.

About Nocopi Technologies (www.nocopi.com)

Nocopi Technologies, headquartered in King of Prussia, PA, develops and markets specialty inks and licenses these technologies. Nocopi Technologies’ ink technologies are backed by proprietary and patented technology and are marketed for use across a variety of end markets.

Safe Harbor for Forward-Looking Statements

The information posted in this release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements may address, among other things, the Company’s prospects, plans, business strategy and expected financial and operational results, including with respect to the preliminary financial information and the acquisition described above. In some cases, you can identify these statements by forward-looking words such as “anticipate,” “estimate,” “plan,” “project,” “continuing,” “ongoing,” “expect,” “believe,” “intend,” “may,” “might,” “should,” “will,” “could,” “predicts,” “potential” or “continue,” the negative of these terms and other comparable terminology. These statements are based on certain assumptions that the Company has made in light of its experience in its industry as well as its perceptions of historical trends, current conditions, expected future developments and other factors that the Company believes are appropriate in these circumstances. These forward-looking statements reflect the Company’s current expectations and beliefs regarding future developments and their potential effect on the Company.

You should not rely on forward-looking statements because the Company’s actual results may differ materially from those indicated by forward-looking statements as a result of a number of important factors. These factors include, but are not limited to: the Company’s ability to successfully integrate the acquisition and to achieve the benefits it expects to realize as a result of the acquisition; the potential adverse impact on the Company’s financial condition and results of operations if it does not realize those expected benefits; liabilities of the acquisition that are not known to the Company; the extent to which the Company is successful in gaining new long-term relationships with customers or retaining significant existing customers and the level of service failures that could lead customers to use competitors’ services; the Company’s ability to improve its current credit rating with its vendors and the impact on its raw materials and other costs and competitive position of doing so; the impact of losing the Company’s intellectual property protections or the loss in value of its intellectual property; changes in customer demand; the occurrence of hostilities, political instability or catastrophic events; developments and changes in laws and regulations, including increased regulation of the Company’s industry through legislative action and revised rules and standards; security breaches, cybersecurity attacks and other significant disruptions in the Company’s information technology systems; general economic and business conditions; the impact of competition and technological change; the Company’s ability to comply with the rules and regulations of the Securities and Exchange Commission (the “SEC”); and those other risks and uncertainties discussed in the reports the Company has filed with the SEC, including the Company’s Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. Forward-looking statements speak only as of the date they are made.

Although the Company believes the expectations reflected in the forward-looking statements are reasonable, the Company cannot guarantee future results, levels of activity, performance or achievements. Moreover, neither the Company nor any other person assumes responsibility for the accuracy or completeness of any of these forward-looking statements. The Company undertakes no obligation to update any of these forward-looking statements after the date of this report to conform them to actual results or revised expectations, except as required by law.

Investor & Media Contact
610-834-9600
ir@nocopi.com

NOCOPI TECHNOLOGIES, INC. AND SUBSIDIARY
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS
(Unaudited)
		For the Three Months Ended June 30,								For the Six Months Ended June 30,
		2026				2025				2026				2025
Revenues
Licenses, royalties and fees		$	66,000			$	140,100			$	166,700			$	330,400
Product and other sales			895,012				219,900				1,184,012				508,600
Total revenues			961,012				360,000				1,350,712				839,000
Cost of revenues
Licenses, royalties and fees			47,000				39,100				93,400				82,600
Product and other sales			556,631				129,400				709,331				291,200
Total cost of revenues			603,631				168,500				802,731				373,800
Gross profit			357,381				191,500				547,981				465,200
Operating Expenses:
Research and development			48,300				43,200				104,100				88,200
Sales and marketing expenses			89,092				57,300				163,592				148,300
Professional and consulting fees			417,300				118,300				485.300				222,600
Compensation and related taxes - general and administrative			236,695				65,300				331,095				136,300
Other general and administrative expenses			133,726				79,900				193,126				128,100
Total Operating Expenses			925,113				364,000				1,277,213				723,500
Net Loss from Operations			(567,732	)			(172,500	)			(729,232	)			(258,300	)
Other Income (Expense):
Interest income			102,005				120,000				207,205				237,200
Interest expense and bank charges			(6,200	)			(6,100	)			(12,200	)			(12,000	)
Total Other Income, net			95,805				113,900				195,005				225,200
Loss before provision for income taxes			(471,927	)			(58,600	)			(534,227	)			(33,100	)
Provision for income taxes			—				—				—				—
Net loss		$	(471,927	)		$	(58,600	)		$	(534,227	)		$	(33,100	)
Net loss per common share, basic and diluted		$	(0.04	)		$	(0.01	)		$	(0.05	)		$	(0.00	)
Weighted average common shares outstanding - basic and diluted			11,399,612				10,792,913				11,240,115				10,792,913

NOCOPI TECHNOLOGIES, INC. AND SUBSIDIARY
CONDENSED CONSOLIDATED BALANCE SHEETS
		June 30, 2026				December 31, 2025
			(Unaudited)
ASSETS
CURRENT ASSETS:
Cash and cash equivalents		$	10,687,269			$	11,553,600
Accounts receivable less $12,000 allowance for credit losses			1,267,881				936,700
Inventory, net of allowance $373,000 and $114,200, respectively			1,712,186				456,900
Prepaid expenses and other current assets			168,138				144,100
Total Current Assets			13,835,474				13,091,300
OTHER ASSETS:
Property and equipment, net			316,287				10,000
Goodwill			490,000				—
Intangible assets, net			290,492				—
Long-term receivables			504,700				775,000
Operating lease right of use assets			568,901				161,300
Total Assets		$	16,005,854			$	14,037,600
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES:
Accounts payable		$	430,223			$	30,600
Accrued expenses and other liabilities			197,700				153,300
Stock compensation payable			70,200				26,700
Purchase consideration payable – holdback, current			100,000				—
Stock subscription payable			99,000				—
Operating lease liability – current			249,514				80,200
Total Current Liabilities			1,146,637				290,800
NON-CURRENT LIABILITIES:
Accrued expenses, non-current			35,300				54,300
Purchase consideration payable – holdback, long-term			50,000				—
Operating lease liability – non-current			328,144				88,700
TOTAL NON-CURRENT LIABILITIES			413,444				143,000
Total Liabilities			1,560,081				433,800
Commitments and Contingencies (Note 12)
STOCKHOLDERS' EQUITY:
Preferred stock, $1.00 par value, 3,000,000 shares authorized; none issued and outstanding			—				—
Common stock, $0.01 par value,75,000,000 shares authorized, 11,743,364 and 10,835,123 shares issued and outstanding at June 30, 2026 and December 31, 2025, respectively			117,434				108,300
Additional paid-in capital			27,065,966				25,698,900
Accumulated deficit			(12,737,627	)			(12,203,400	)
Total stockholders' equity			14,445,773				13,603,800
Total Liabilities and Stockholders' Equity		$	16,005,854			$	14,037,600

Source: Nocopi Technologies, Inc.