FST Corp. Announces Unaudited Q4 and Full Year 2025 Results

Rhea-AI Summary

FST Corp. (NASDAQ: KBSX) reported unaudited Q4 and full-year 2025 results. Q4 revenue was $13.22M, up 30% year-over-year; FY revenue was $47.97M, up 31% year-over-year. Gross margin was 41.6% in Q4 and 43.0% for 2025. The company reported a FY net loss of $7.16M, or $(0.16) per share, though an adjusted 2025 loss excluding listing expenses, FX loss, and an OET derivative unrealized loss would be $1.98M.

Cash and cash equivalents were $7.18M as of December 31, 2025; management expects liquidity to fund operations for the next 12 months and plans sales expansion, new product launches, and cost controls in 2026.

Positive

• Q4 revenue +30% to $13.22M
• FY revenue +31% to $47.97M
• FY gross margin stable at 43.0%
• Cash and equivalents $7.18M at year-end
• Reduced operating cash outflow: $369K used in 2025

Negative

• FY net loss widened to $7.16M (2025)
• Total current liabilities increased to $34.65M
• Listing-related G&A expense of $2.44M in 2025
• Unrealized OET derivative loss of $1.88M in 2025

Key Figures

Q4 2025 revenue: $13,220,371 Q4 2025 gross margin: 41.6% Q4 2025 net loss: $620,552 ($0.01/share) +5 more

8 metrics

Q4 2025 revenue $13,220,371 vs. $10,142,024 in Q4 2024 (30% increase)

Q4 2025 gross margin 41.6% vs. 46.0% in Q4 2024

Q4 2025 net loss $620,552 ($0.01/share) vs. $1,554,901 ($0.04/share) loss in Q4 2024

2025 revenue $47,968,742 vs. $36,499,644 in 2024 (31% increase)

2025 net loss $7,163,554 ($0.16/share) vs. $3,235,175 ($0.09/share) loss in 2024

Adj. 2025 net loss $1,984,137 Excludes listing G&A, FX loss, and OET derivative liability

Cash and equivalents 12/31/25 $7,179,800 vs. $5,098,420 as of 12/31/24

2025 operating cash flow -$369,452 Net cash used in operating activities; vs. -$1,576,129 in 2024

Market Reality Check

Price: $1.19 Vol: Volume 11,233 is broadly ...

normal vol

$1.19 Last Close

Volume Volume 11,233 is broadly in line with the 11,876 20-day average (relative 0.95x). normal

Technical Shares at $1.21 are trading below the $1.58 200-day MA and 86.13% under the 52-week high.

Peers on Argus

KBSX was up 1.97% pre-news while scanner activity showed only one peer (ASTL) mo...

1 Down

KBSX was up 1.97% pre-news while scanner activity showed only one peer (ASTL) moving, down 13.93%. With just a single peer in momentum and in the opposite direction, recent moves appear stock-specific rather than a steel-sector rotation.

Historical Context

5 past events · Latest: Jan 28 (Neutral)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Jan 28	Investor conference	Neutral	-4.0%	Announcement of participation in Noble Capital virtual equity conference with investor meetings.
Dec 11	Equity plan approval	Neutral	-5.0%	Shareholders approved 2025 Equity Incentive Plan at virtual annual general meeting.
Dec 01	Golf event launch	Neutral	+0.7%	Launch of First Annual KBS Open golf competition to promote KBS-branded shafts.
Dec 01	AGM announcement	Neutral	+0.7%	Notice of virtual Annual General Meeting and vote on 2025 Equity Incentive Plan.
Nov 26	Conference presentation	Neutral	-1.4%	Planned presentation at Noble Capital’s NobleCon21 emerging growth conference.

Pattern Detected

Recent company news (events, meetings, promotions) has often coincided with modest downside moves despite neutral fundamentals.

Recent Company History

Over the past several months, FST Corp. news has focused on investor outreach and brand-building rather than fundamentals. Presentations at Noble Capital conferences in November 2025 and February 2026, plus announcements around the First Annual KBS Open and the 2025 Equity Incentive Plan, drew mixed to slightly negative price reactions, with several days down between 1–5%. Against this backdrop, the latest unaudited Q4/2025 earnings give investors a more detailed look at revenue growth and profitability trends than prior event-driven headlines.

Market Pulse Summary

This announcement highlights strong revenue growth, with Q4 2025 revenue of $13.22M and full-year 20...

Analysis

This announcement highlights strong revenue growth, with Q4 2025 revenue of $13.22M and full-year 2025 revenue of $47.97M, but also a larger reported net loss of $7.16M. Management calls out listing-related expenses, FX loss and an OET derivative liability, noting an adjusted loss of $1.98M. Investors may watch upcoming audited 2025 results, gross margin trends from the current 41.6% in Q4, and cash of $7.18M against current liabilities of $34.65M.

Key Terms

oem, derivative liability

2 terms

oem technical

"additional sales in the Company's OEM business across both the steel and graphite lines"

OEM stands for Original Equipment Manufacturer, which is a company that produces parts or components used in the final products made by other companies. For investors, understanding OEMs is important because their performance can impact the supply chain and overall success of major industries, especially those relying on specialized parts. Think of OEMs as the suppliers that provide the building blocks for larger products, like the engine parts for a car.

derivative liability financial

"unrealized loss on change in fair value of OET derivative liability, the Company would have shown"

A derivative liability is an obligation a company owes because of a derivatives contract—such as an option, future, swap, or forward—that has moved against it and now has negative value. Think of it like a settled bet that turned into a bill: if market moves go the other way, the company may have to pay cash or deliver assets. Investors care because these liabilities can create sudden losses, add leverage or counterparty risk, and change a company’s true financial exposure beyond its everyday operations.

AI-generated analysis. Not financial advice.

Boulder, Colorado--(Newsfile Corp. - February 12, 2026) - FST Corp. (NASDAQ: KBSX), a leading manufacturer and marketer of steel and graphite golf shafts and a provider of other golf-related services, today announced its unaudited financial results for both the fourth quarter and year-end periods ended December 31, 2025.

For the fourth quarter ended December 31, 2025, the Company had revenue of $13,220,371, a 30 percent increase from $10,142,024 in the fourth quarter of 2024. This increase is primarily due to additional sales in the Company's OEM business across both the steel and graphite lines.

Gross profit margin for the fourth quarter of 2025 was 41.6 percent, compared with 46.0 percent in the same period in 2024. This decrease was attributable to higher landed costs and a seasonal shift in the Company's product mix to include more moderate margin items.

The Company had a net loss of $620,552, or $(.01) per share, for the fourth quarter of 2025, compared with a net loss of $1,554,901, or $(.04) per share, for the corresponding period a year earlier. This improvement in bottom-line performance was mainly the result of the Company's aforementioned improvement in revenue and increases of approximately $831,000 in gross profit and $1,024,000 in foreign exchange (loss) gain.

FST's loss from operations for Q4 2025 was $922,233, compared with a loss from operations of $1,680,768 in the last three months of 2024.

For the year ended December 31, 2025, FST had revenue of $47,968,742, a 31 percent increase from $36,499,644 for the year ended December 31, 2024. This increase is primarily due to increased market share in the steel shaft business with OEM partners and the growth of KBS graphite.

Gross profit margin for 2025 remained stable at 43.0 percent, compared with 43.1 percent for 2024.

The Company had a net loss of $7,163,554, or $(.16) per share, for 2025, compared with a net loss of $3,235,175, or $(.09) per share, for 2024. This decline in bottom line performance was mainly the result of higher than anticipated landed costs, loss on foreign exchange, and listing related expenses.

However, after excluding $2,442,410 in listing-related general and administrative expenses, $852,183 in foreign exchange loss, and $1,884,824 in unrealized loss on change in fair value of OET derivative liability, the Company would have shown a net loss of $1,984,137 for 2025.

As of December 31, 2025, and December 31, 2024, FST had cash and cash equivalents of $7,179,800 and $5,098,420, total current assets of $27,481,480 and $26,655,003, and total current liabilities of $34,654,454 and $22,113,495, respectively.

For 2025 and 2024, net cash used in operating activities was $369,452 and $1,576,129; net cash used in investing activities was $1,261,681 and $4,453,899; and net cash provided by financing activities was $3,315,884 and $ 3,711,358, respectively.

Weighted average number of ordinary shares was 44,766,003 for 2025 and 37,749,381 for 2024.

For 2026, management is focused on expanding sales in both domestic and export markets, Including the launch of new product lines in Q1 and Q2, securing additional OEM business with strategic business partners, expanding distribution channels in Asia and Europe, and increasing exposure of the Company's KBS Open Golf Tournament.

FST is also evaluating the implementation of additional cost-control measures to improve margins and new strategies to mitigate currency risk.

The Company believes that its current liquidity, together with cash flows from operations and available credit facilities, will be sufficient to fund operating requirements for the next 12 months.

"We are excited to see our revenue grow strongly in both the fourth quarter and full-year 2025 period," said Chief Executive David Chuang. "It's also worth noting that, after putting aside our IPO-related expenses, foreign exchange loss, and OET derivative liability for 2025, our bottom line for the year would have shown a net loss of $1,984,137.

"Thus far in Q1 2026, we see our growth continuing strongly, with new inroads in several new geographic markets as well as in our expanded graphite product lines. We're also implementing key strategic cost-reduction initiatives, which we anticipate will result in meaningful improvements in our gross profit and total operating income.

"We look forward to sharing additional details of this progress when we report our audited 2025 results in April."

About FST Corp.

Founded in 1989, FST Corp. manufactures and sells golf club shafts, along with other golf-related items, to golf equipment brands, OEMs, distributors, and consumers via the company's KBS Golf Experience retail outlets. FST's equipment, marketed under the KBS brand, is utilized by golfers at all levels, including many professional players participating in the PGA and other major golf associations. The company's product portfolio, retail presence, and golf-related services are part of a vertically integrated business model that has established the KBS brand on a global scale and created significant competitive advantages over peer brands. The company's growth strategies currently position it for expansion into under-tapped golf shaft markets.

Forward-Looking Statements

This press release contains forward-looking statements regarding future expectations, plans, and prospects, as well as statements that are not historical facts. These statements involve known and unknown risks, uncertainties, and assumptions based on the Company's current expectations about events that may impact its financial condition, results, strategy, and needs. Forward-looking statements can often be identified by terms such as "may," "will," "expect," "anticipate," "aim," "estimate," "intend," "plan," "believe," "likely," and similar expressions.

The Company assumes no obligation to update or revise these statements to reflect new events or changes in expectations, except as required by law. While these statements reflect reasonable expectations, actual results may differ materially. Investors are encouraged to review the Company's registration statement and SEC filings for additional information on factors that may impact future results.

Company Contact:
FST Corp.
1801 13th Street, Suite 306,
Boulder, CO 80302
Office: 303-444-2226
Email: investorrelations@fstshafts.com

Investor Relations Inquiries:
Skyline Corporate Communications Group, LLC
Scott Powell, President
1177 Avenue of the Americas, 5th Floor
New York, New York 10036
Office: (646) 893-5835
Email: info@skylineccg.com

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/283749

FAQ

What did KBSX report for Q4 2025 revenue and why did it rise?

Q4 2025 revenue was $13.22M, a 30% increase year-over-year. According to the company, the rise was driven by additional OEM sales across both steel and graphite shaft lines.

Why did FST Corp. (KBSX) record a $7.16M net loss for 2025?

The FY 2025 net loss was $7.16M, mainly due to higher landed costs, foreign exchange losses, and listing-related expenses. According to the company, those three items materially increased costs versus 2024.

What is KBSX's adjusted 2025 net loss excluding one-time items?

Excluding listing expenses, FX loss, and OET derivative unrealized loss, the adjusted 2025 net loss would be $1.98M. According to the company, these adjustments isolate IPO-related and noncash volatility impacts.

Does FST Corp. (KBSX) have enough cash to fund operations for 12 months?

The company believes current liquidity and available credit will fund operations for the next 12 months. According to the company, cash and cash equivalents totaled $7.18M at December 31, 2025.

How did FST's cash flows change in 2025 compared with 2024?

Net cash used in operating activities fell to $369K in 2025 from $1.58M in 2024. According to the company, improved revenue and operating performance reduced operating cash consumption.

What 2026 priorities did management outline for KBSX shareholders?

Management plans new product launches in Q1–Q2 2026, OEM expansion, Asian and European distribution growth, and cost controls. According to the company, these actions target margin improvement and sales expansion.