Key Highlights

  • BrainChip (ASX:BRN) shares fell 30.56% YTD to close at AUD 0.12 on 7 September 2026.
  • Net loss after tax for the half-year ended 30 June 2026 widened to US$12,015,897, compared with US$9,360,251 in the prior corresponding half.
  • Revenue rose 19% to US$1,222,745, driven by US$613,826 of license sales that were not present in the prior period.
  • Cash and cash equivalents fell to US$20,304,971 at period end, down from US$31,712,588 at 31 December 2025.

BrainChip Holdings Limited (ASX:BRN) shares fell 30.56% on YTD basis and closed at AUD 0.12 on 7 September 2026, extending a decline that followed the company's half-year results, released on 26 August, covering the six months ended 30 June 2026.

Revenue Growth Alongside a Wider Loss

BrainChip reported a net loss after income tax of US$12,015,897 for the half-year, compared with a loss of US$9,360,251 in the prior corresponding half. Revenue for the period increased 19% to US$1,222,745, up from US$1,023,579 a year earlier. The revenue mix comprised US$613,826 of license sales, up from nil in the prior period, US$110,362 of product sales, up from US$19,184, and US$498,557 of development services revenue, down from US$1,004,395.

The company, which develops software and hardware-accelerated solutions for artificial intelligence and Machine Learning applications centred on its Akida neuromorphic processor, said it has been focused on building sales and expects commercialisation of the AKD1500 to contribute to growth in license and product revenue.

Operating Expenses Increase

Total operating expenses for the half-year rose 33% to US$13,647,140, up from US$10,283,291 in the prior corresponding period. BrainChip attributed the increase primarily to spending anticipating delivery of the AKD1500 chip and commercialisation of Akida 2.0 by 2027. Research and Development expenses rose 61% to US$5,536,250, reflecting development costs associated with the AKD2500 chip of US$1,348,509, a 22% increase in employee expenses, and higher software Lease and hardware costs.

Selling and Marketing expenses increased 16% to US$2,553,681, linked to higher employee costs as headcount grew from 9 to 18 year-on-year. General and administrative expenses rose 18% to US$4,270,678, which included recognition of a US$688,805 fee associated with the company's Capital arrangements. Share-based payment expense increased 24% to US$1,286,531.

Balance Sheet and Cash Flow

At the end of the half-year, BrainChip's consolidated net Assets stood at US$19,781,894, down from US$30,693,993 at 31 December 2025, while cash and cash equivalents fell to US$20,304,971 from US$31,712,588. Trade and other receivables rose to US$997,610 from US$574,802, which the company attributed mainly to license sales receivable at period end and higher research tax credits.

Net cash used in Operating Activities totalled US$11,253,495 for the half-year, up from US$6,990,176 in the prior corresponding period, which the company linked to increased development spending on the AKD2500, higher inventory costs as the AKD1500 chip nears completion, and continued work with partners and customers on product utilisation.

Conclusion

BrainChip's half-year results show revenue growth driven largely by a new contribution from license sales, but this was outweighed by a substantially wider net loss, higher operating expenses across research and development, sales and marketing, and administration, and a notable reduction in cash reserves over the period. The share price decline over the week reflects investor response to these results, with the company's near-term outlook tied to progress on commercialising the AKD1500 and AKD2500 products.