Elite Express Holding Inc. Announces Third Quarter 2025 Results

Rhea-AI Summary

Elite Express Holding (Nasdaq: ETS) reported third-quarter results for the period ended August 31, 2025. Q3 revenue was $633,865, up 7.4% YoY, producing the company's first quarterly gross profit of $6,817. The company recorded a Q3 net loss of $185,881 vs. a loss of $76,526 in Q3 2024, driven by higher public-company compliance and payroll costs.

For the nine months ended August 31, 2025, revenue was $1.956M (+7.8% YoY), net loss $498,484, operating cash use $(640,210), and year-to-date financing inflows of $14.103M leaving cash of $13.553M at period end.

Positive

• Revenue +7.4% YoY in Q3 2025 to $633,865
• First quarterly gross profit of $6,817 in Q3 2025
• Nine-month revenue +7.8% to $1.956M through Aug 31, 2025
• Cash balance $13.553M at August 31, 2025
• Financing cash inflow $14.103M year-to-date (nine months)

Negative

• Q3 2025 net loss widened to $185,881
• General and administrative expenses +285.9% in Q3 to $151,600
• Nine-month operating cash used $(640,210)
• High customer concentration: sole customer FedEx noted

Insights

Senior Equity Analyst

ETS shows modest revenue growth and first quarterly gross profit, offset by larger operating losses from public-company costs and one-time expenses.

Revenue rose 7.4% year‑over‑year to $633,865 in Q3 2025, driven by higher activity‑based volume which was 75.4% of sales. The company recorded its first quarterly gross profit of $6,817, while cost of revenue stayed roughly flat at $627,048.

The operating picture diverges. General and administrative expenses jumped to $151,600 for the quarter and to $576,981 for nine months, driven by audit, legal, and payroll tied to becoming public and the JAR acquisition. That pushed the quarterly net loss to $185,881 and the nine‑month loss to $498,484.

Balance sheet and cash flow show a decisive financing event. Net cash from financing was $14,103,098 for the nine months, leaving cash of $13,553,137 at period end. This provides near‑term runway and flexibility to invest in fleet and technology.

Dependencies and risks include concentration with a sole customer, FedEx, and continued elevated G&A as public‑company costs persist. Future margins will depend on converting activity growth into sustained gross margin and controlling operating spend.

Watch the following over the next 12 months: progress in diversifying customers beyond FedEx, quarterly gross margin trends and whether gross profit sustains, quarterly operating expense and cash burn levels, and successful integration of the JAR acquisition. Those items will materially affect whether the initial operational improvements translate into durable profitability.

LAGUNA HILLS, Calif., Oct. 14, 2025 (GLOBE NEWSWIRE) -- Elite Express Holding Inc. (“ETS” or the “Company”) (Nasdaq CM: ETS), a California-based provider of last-mile delivery services, today reported results for the quarter ended August 31, 2025.

For the quarter ended August 31, 2025, the Company reported revenue of $633,865 from its business, representing a 7.4% increase compared with the same period in 2024. The Company reported a net loss of $185,881, representing a 142.9% decrease compared with the net loss of $76,526 for the same period in 2024.

Yidan Chen, ETS’s CEO commented, “Our third quarter marks our first earnings release since becoming a publicly listed company in August 2025. We delivered a 7.4% year-over-year revenue growth and achieved our first quarterly gross profit, reflecting the strength of our operations and our disciplined focus on operational efficiency.

“Although we incurred higher compliance and governance expenses, these investments are essential to building a strong foundation as a newly public company. Looking ahead, we are focused on expanding our fleet, leveraging technology to scale operations, and diversifying beyond our sole customer, FedEx, to capture new growth opportunities. With e-commerce demand continuing to rise, we believe ETS is well positioned to deliver sustainable long-term value for our shareholders.”

Third Quarter 2025 Financial Results

For the three months ended August 31, 2025, the Company reported revenue of $633,865, representing an increase of $43,490, or 7.4%, compared with $590,375 for the three months ended August 31, 2024. Activity-based revenue accounted for $477,705, or 75.4% of total revenue, during the three months ended August 31, 2025, compared with $414,445, or 70.2% of total revenue, for the same period in the prior year. This increase primarily reflected our continued emphasis on operational throughput under the FedEx ISP structure. In contrast, fixed revenue, including weekly service charges and branding-related revenue, declined from $175,797 to $155,644, a decrease of $20,153, or 11.5%, primarily due to a reduction in baseline weekly compensation.

The Company also reported cost of revenue of $627,048 for the three months ended August 31, 2025, compared with $620,164, for the three months ended August 31, 2024. The slight increase is primarily due to higher labor costs, partially offset by lower fuel prices and maintenance and repair fees.

For the three months ended August 31, 2025, we recorded our first gross profit of $6,817, compared with a gross loss of $29,789, for the three months ended August 31, 2024. The increase of $36,606 was primarily driven by increased revenue.

General and administrative expenses for the Company increased by $112,320, or 285.9%, to $151,600 for the three months ended August 31, 2025, from $39,280 for the three months ended August 31, 2024. The increase was mainly due to (i) $53,449 in legal and accounting fees, primarily related to audit services, financial reporting, and regulatory compliance related to our status as a public company; (ii) $76,853 in payroll expenses associated with personnel supporting corporate governance, internal controls, and administrative operations that were not incurred in the comparable period in the previous year.

The Company reported a net loss of $185,881 for the three months ended August 31, 2025, compared with a net loss of $76,526 for the same period of 2024.

Nine Months 2025 Financial Results

For the nine months ended August 31, 2025, the Company reported revenue of $1,956,258, representing an increase of $141,943, or 7.8%, compared with $1,814,315 for the nine months ended August 31, 2024. The increases were primarily attributable to higher volume-based activity revenue, particularly from e-commerce deliveries, which offset the decline in fixed weekly service fees.

For the nine months ended August 31, 2025, the total cost of revenues increased to $1,963,846 from $1,828,794 for the same period in 2024, representing an increase of $135,052, or 7.4%, primarily due to higher labor and service costs.

General and administrative expenses for the Company increased by $468,682, or 432.8%, to $576,981 for the nine months ended August 31, 2025 from $108,299 for the nine months ended August 31, 2024, primarily due to (i) $314,655 in legal and accounting fees, primarily related to audit services, financial reporting, and regulatory compliance related to the JAR acquisition; (ii) $228,542 in payroll expenses associated with personnel supporting corporate governance, internal controls, and administrative operations that were not incurred in the comparable period in the previous year. Other categories, such as systems support and general office expenses, remained stable relative to the current operational scope.

The Company had a net loss of $498,484 for the nine months ended August 31, 2025, compared with a net loss of $144,521 for the same period of 2024.

Forward-Looking Statements

This press release contains “forward-looking statements.” All statements other than statements of historical fact are “forward-looking statements” for purposes of federal and state securities laws, including, but not limited to: any projections of earnings, revenue, or other financial items; any statements regarding the adequacy, availability, and sources of capital, any statements of the plans, strategies, and objectives of management for future operations; any statements concerning proposed new products, services, or developments; any statements regarding future economic conditions or performance; any statements of belief; and any statements of assumptions underlying any of the foregoing. Forward-looking statements may include the words “may,” “will,” “estimate,” “intend,” “continue,” “believe,” “expect,” “plan,” “project,” or “anticipate,” and other similar words. In addition to any assumptions and other factors and matters referred to specifically in connection with such forward-looking statements, factors that could cause actual results or outcomes to differ materially from those contained in the forward-looking statements include those factors set forth in the “Risk Factors” section included in our registration statement on Form S-1 (File No. 333-286965), as amended, which was initially filed with the SEC on May 5, 2025 and declared effective by the SEC on August 20, 2025.

Although we believe that the expectations reflected in our forward-looking statements are reasonable, actual results could differ materially from those projected or assumed. Our future financial condition and results of operations, as well as any forward-looking statements, are subject to change and to inherent risks and uncertainties, such as those disclosed in our quarterly report. We do not intend, and undertake no obligation, to update any forward-looking statement, except as required by law.

The information included in this press release should be read in conjunction with our unaudited condensed consolidated financial statements and the notes included in our quarterly report on Form 10-Q.

For more information, please contact:

Elite Express Holding Inc.

Investor Relations
(949) 758-0650
ir@eliteexpressholding.com

ELITE EXPRESS HOLDING INC. & SUBSIDIARY
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
		For the Three Months Ended								For the Nine Months Ended
		August 31,								August 31,
		2025				2024				2025				2024
		(Successor)				(Predecessor)				(Successor)				(Predecessor)
REVENUE		$	633,865			$	590,375			$	1,956,258			$	1,814,315
COST OF REVENUE
Cost of service			56,974				54,602				176,984				141,665
Cost of labor			347,945				330,747				1,085,885				971,560
Depreciation and amortization			64,332				60,618				188,668				180,445
Fuel			94,654				102,614				304,600				318,477
Maintenance and repairs			63,143				71,583				207,709				216,647
Total cost of revenue			627,048				620,164				1,963,846				1,828,794
GROSS PROFIT (LOSS)			6,817				(29,789	)			(7,588	)			(14,479	)
OPERATING EXPENSES
General and administrative expenses			151,600				39,280				576,981				108,299
Total operating expenses			151,600				39,280				576,981				108,299
LOSS FROM OPERATIONS			(144,783	)			(69,069	)			(584,569	)			(122,778	)
OTHER INCOME (EXPENSE)
Interest income (expense), net			2,248				(7,236	)			2,248				(23,907	)
Other income (expense), net			—				(221	)			21,285				2,964
Total other income (expense), net			2,248				(7,457	)			23,533				(20,943	)
LOSS BEFORE INCOME TAX BENEFIT			(142,535	)			(76,526	)			(561,036	)			(143,721	)
Income tax provision (benefit)			43,346				—				(62,552	)			800
NET LOSS		$	(185,881	)		$	(76,526	)		$	(498,484	)		$	(144,521	)
Loss per common share - basic and diluted		$	(0.01	)		$	—			$	(0.04	)		$	—
Weighted average shares - basic and diluted*			13,288,411				—				13,041,947				—

ELITE EXPRESS HOLDING INC. & SUBSIDIARY
CONDENSED CONSOLIDATED BALANCE SHEETS
		Successor			Successor
		August 31,			November 30,
		2025			2024
		(Unaudited)
ASSETS
CURRENT ASSETS:
Cash and cash equivalents		$	13,553,137		$	170,157
Accounts receivable			55,440			56,485
Prepaid D&O insurance			137,993			—
Prepaid expenses and other current assets			62,765			113,260
TOTAL CURRENT ASSETS			13,809,335			339,902
TOTAL ASSETS		$	15,192,022		$	1,831,350
LIABILITIES AND STOCKHOLDERS’ EQUITY
TOTAL CURRENT LIABILITIES			270,106			348,660
TOTAL LIABILITIES			312,652			455,358
TOTAL STOCKHOLDERS’ EQUITY			14,879,370			1,375,992
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY		$	15,192,022		$	1,831,350

ELITE EXPRESS HOLDING INC. & SUBSIDIARY
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
		For the Nine Months Ended August 31,
		2025				2024
		(Successor)				(Predecessor)
Cash flows from operating activities:
Net loss		$	(498,484	)		$	(144,521		)
Net cash provided by (used in) operating activities			(640,210	)			157,921
Cash flows from investing activities:
Net cash used in investing activities			(79,908	)			—
Cash flows from financing activities:
Net cash provided by (used in) financing activities			14,103,098				(165,878		)
Net increase (decrease) in cash			13,382,980				(7,957		)
Cash, beginning of period			170,157				54,712
Cash, end of period		$	13,553,137			$	46,755

FAQ

What were Elite Express Holding (ETS) Q3 2025 revenue and net loss?

Q3 2025 revenue was $633,865 and net loss was $185,881 for the quarter ended August 31, 2025.

Why did Elite Express (ETS) report higher expenses in Q3 2025?

G&A rose due to legal, audit, and payroll costs tied to becoming a public company and integration expenses.

How much cash did Elite Express (ETS) have at August 31, 2025?

Elite Express reported $13.553 million in cash and cash equivalents at August 31, 2025.

Did Elite Express (ETS) generate positive gross profit in Q3 2025?

Yes. ETS reported its first quarterly gross profit of $6,817 in Q3 2025.

How did Elite Express (ETS) fund the increase in cash during 2025?

The company reported $14.103 million net cash provided by financing activities in the nine months ended August 31, 2025.

What are the main financial risks investors should note for ETS in 2025?

Key risks include widened net losses, sharply higher G&A costs, operating cash use, and customer concentration with reliance on FedEx.