Acacia (ACTG -23.7%) crashes following its Q1 report. Though revenue soundly beat estimates (no...

Acacia (ACTG -23.7%) crashes following its Q1 report. Though revenue soundly beat estimates (no doubt thanks to recent licensing deals), the EPS beat was relatively narrow thanks to surging expenses. While revenue declined 22% Y/Y, inventor royalty payments rose 143% Y/Y to $18.5M, contingent legals fees 301% to $15M, litigation/licensing expenses 185% to $9.6M (Acacia still expects only $18M-$20M for all of 2013), and patent amortization 129% to $11.7M. Also, during the earnings call, Acacia stated it's "deploying more capital in the form of upfront advances" for patent deals, which it recaptures when initial revenue is collected.