STAK Inc. Announces First Half of Fiscal Year 2026 Financial Results
Rhea-AI Summary
STAK (Nasdaq: STAK) reported unaudited results for the first half of fiscal 2026. Revenue rose 13.41% year over year to $19.2 million, while gross profit stayed at $5.2 million and margin declined to 27.24%. Net income was $1.8 million and EPS $0.14.
Cash reached $1.9 million with $0.7 million operating cash inflow.
Positive
- Revenue increased 13.41% year over year to $19.2 million
- Gross profit stable at $5.2 million despite higher costs
- Operating cash flow improved to $0.7 million from a $1.0 million outflow
- Cash and cash equivalents rose to $1.9 million from $1.0 million
- Selling and marketing expenses decreased 13.76% to $0.5 million
Negative
- Gross margin declined from 30.65% to 27.24%
- Net income decreased from $2.0 million to $1.8 million
- Earnings per share fell from $0.20 to $0.14
- Cost of revenues increased 18.99% to $14.0 million
- General and administrative expenses rose 27.27% to $1.0 million
News Market Reaction – STAK
In the May 14 session, STAK declined 62.71%, reflecting a significant negative market reaction. Argus tracked a peak move of +130.6% during that session. Argus tracked a trough of -61.6% from its starting point during tracking. Our momentum scanner triggered 61 alerts that day, indicating high trading interest and price volatility. Trading volume was above average at 1.5x the daily average, suggesting increased trading activity.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Previous Earnings Reports
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| Apr 23 | Earnings results | Positive | +25.1% | Strong H1 FY2025 growth in revenue, margins, and net income post-IPO. |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Limited earnings history, but the prior first-half FY2025 report also saw a positive price reaction, suggesting past earnings news has been rewarded.
Over the past year, STAK’s key milestones included its IPO and strong first-half FY2025 results, where revenues reached $17.0 million, gross profit was $5.2 million with a 30.65% margin, and net income was $2.0 million (EPS $0.20), driving a 25.11% move. Subsequent events included a registered direct offering and a 6-K confirming regained Nasdaq bid-price compliance. Today’s first-half FY2026 results, with higher revenue but softer margins and earnings, build directly on that FY2025 base.
AI-generated analysis. How Rhea-AI works. Not financial advice.
Mr. Chuanbo Jiang, Chairman and Chief Executive Officer of STAK, commented, "The first half of fiscal year 2026 reflects continued execution of our strategy amid evolving market dynamics. Driven by increase in both order volumes and pricing of our specialized oilfield vehicles, revenues grew to
Mr. Jiang continued, "Looking ahead, we remain committed to our existing business strategy, with a clear focus on translating our blueprints into effective execution, measurable performance, and tangible operational achievements. Building on the progress we have made, we will continue to prioritize innovation, optimize our product mix, and expand our international presence. By balancing growth initiatives with operational discipline, we believe STAK is well positioned to capture emerging opportunities and deliver sustainable, long-term value to our shareholders."
First Half of Fiscal Year 2026 Financial Summary
- Revenues were
$19 13.41% from$17.0 million for the first half of fiscal year 2025. - Gross profit remained steady at
$5.2 million - Gross profit margin was
27.24% for the first half of fiscal year 2026, compared to30.65% for the first half of fiscal year 2025. - Net income was
$1 $2.0 million for the first half of fiscal year 2025. - Basic and diluted earnings per share were
$0 $0
First Half of Fiscal Year 2026 Financial Results
Revenues
Revenues were
Cost of Revenues
Cost of revenues was
Gross Profit and Gross Profit Margin
Gross profit remained steady at
Gross profit margin was
Operating Expenses
Total operating expenses were
- Selling and marketing expenses were
$0.5 13.76% from$0 - General and administrative expenses were
$1 27.27% from$0 $0.7 million $0.5 million - Research and development expenses were
$1 2.69% from$1
Net Income
Net income was
Basic and Diluted Earnings per Share
Basic and diluted earnings per share were
Financial Condition
As of December 31, 2025, the Company had cash and cash equivalents of
Net cash provided by operating activities was
Net cash provided by investing activities was
Net cash provided by financing activities was
About STAK Inc.
STAK Inc. is a fast-growing company specializing in the research, development, manufacturing, and sale of oilfield-specific production and maintenance equipment. The Company designs and manufactures oilfield-specialized production and maintenance equipment, then collaborates with qualified specialized vehicle manufacturing companies to integrate the equipment onto vehicle chassis, producing specialized oilfield vehicles for sale. Additionally, the Company sells oilfield-specialized equipment components, related products, and provides automation solutions. Its vision is to help oilfield services companies reduce costs and increase efficiency by providing the cutting-edge integrated oilfield equipment and automation solutions service. Its mission is to become a powerful provider for the niche markets of specialized oilfield vehicles and equipment in
Forward-Looking Statements
Certain statements in this announcement are forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties and are based on the Company's current expectations and projections about future events that the Company believes may affect its financial condition, results of operations, business strategy and financial needs. Investors can identify these forward-looking statements by words or phrases such as "approximates," "assesses," "believes," "hopes," "expects," "anticipates," "estimates," "projects," "intends," "plans," "will," "would," "should," "could," "may" or similar expressions. The Company undertakes no obligation to update or revise publicly any forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct, and the Company cautions investors that actual results may differ materially from the anticipated results and encourages investors to review other factors that may affect its future results in the Company's registration statement and other filings with the
For more information, please contact:
STAK Inc.
Investor Relations Department
Email: ir@stakindustry.com
Ascent Investor Relations LLC
Tina Xiao
Phone: +1-646-932-7242
Email: investors@ascent-ir.com
STAK INC. UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (Expressed in | ||||||||
As of | ||||||||
December 31, | June 30, 2025 | |||||||
Assets | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | $ | 1,923,399 | $ | 1,022,625 | ||||
Accounts receivable, net | 2,980,649 | 1,988,785 | ||||||
Inventories | 18,313,220 | 17,018,217 | ||||||
Advances to suppliers | 771,306 | 562,473 | ||||||
Amounts due from a related party | - | 87,472 | ||||||
Prepayments and other current assets, net | 1,869,325 | 2,783,842 | ||||||
Total current assets | 25,857,899 | 23,463,414 | ||||||
Non-current assets: | ||||||||
Property and equipment, net | 274,938 | 293,023 | ||||||
Intangible assets, net | 2,003,067 | 2,022,918 | ||||||
Right-of-use assets, net | 47,843 | 74,562 | ||||||
Deferred tax assets | 790,723 | 785,700 | ||||||
Other assets | 369,816 | 114,888 | ||||||
Total non-current assets | 3,486,387 | 3,291,091 | ||||||
Total assets | $ | 29,344,286 | $ | 26,754,505 | ||||
Liabilities and shareholder's equity | ||||||||
Liabilities | ||||||||
Current liabilities: | ||||||||
Accounts payable | $ | 2,465,645 | $ | 3,722,525 | ||||
Deferred revenues | 744,094 | 1,164,334 | ||||||
Amounts due to related parties | 70,695 | 30,222 | ||||||
Accrued expenses and other current liabilities | 1,140,148 | 1,116,014 | ||||||
Short-term borrowings | 7,568,889 | 5,636,831 | ||||||
Operating lease liabilities, current | - | 73,530 | ||||||
Income tax payable | 1,967,290 | 1,692,519 | ||||||
Total current liabilities | 13,956,761 | 13,435,975 | ||||||
Non-Current liabilities: | ||||||||
Long-term borrowing | 428,994 | 418,784 | ||||||
Total non-current liabilities | 428,994 | 418,784 | ||||||
Total liabilities | $ | 14,385,755 | $ | 13,854,759 | ||||
Commitments and contingencies | ||||||||
Shareholder's equity | ||||||||
Class A ordinary shares (par value of | 4,010 | 4,010 | ||||||
Class B ordinary shares (par value of | 9,200 | 9,200 | ||||||
Additional paid in capital | 12,157,104 | 12,157,104 | ||||||
Statutory reserve | 672,402 | 672,402 | ||||||
Retained earnings | 2,141,804 | 324,893 | ||||||
Accumulated other comprehensive loss | (25,989) | (267,863) | ||||||
Total shareholders' equity | 14,958,531 | 12,899,746 | ||||||
Total liabilities and shareholder's equity | $ | 29,344,286 | $ | 26,754,505 | ||||
STAK INC. UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND (Expressed in | ||||||||
For the Six Months Ended December | ||||||||
2025 | 2024 | |||||||
Revenues | $ | 19,230,376 | $ | 16,955,913 | ||||
Cost of revenues | (13,992,367) | (11,759,741) | ||||||
Gross profit | 5,238,009 | 5,196,172 | ||||||
Operating expenses: | ||||||||
Selling and marketing expenses | (516,973) | (599,471) | ||||||
General and administrative expenses | (1,026,832) | (806,833) | ||||||
Research and development expenses | (1,584,450) | (1,542,926) | ||||||
Total operating expenses | (3,128,255) | (2,949,230) | ||||||
Operating income | 2,109,754 | 2,246,942 | ||||||
Other (expense) income: | ||||||||
Interest expense, net | (105,896) | (89,907) | ||||||
Other income, net | 56,034 | - | ||||||
Government subsidies | - | 17,006 | ||||||
Total other expense, net | (49,862) | (72,901) | ||||||
Income before income tax expense | 2,059,892 | 2,174,041 | ||||||
Income tax expense | (242,981) | (174,678) | ||||||
Net income | 1,816,911 | 1,999,363 | ||||||
Net income per ordinary share: | ||||||||
Earnings per share, basic and diluted | $ | 0.14 | $ | 0.20 | ||||
Weighted average number of shares outstanding, basic and diluted* | 13,210,349 | 10,000,000 | ||||||
Net income | $ | 1,816,911 | $ | 1,999,363 | ||||
Foreign currency translation adjustments | 241,874 | (83,516) | ||||||
Total comprehensive income | $ | 2,058,785 | $ | 1,915,847 | ||||
* On June 13, 2025, the Company's authorized share capital was increased (the "Increase of Authorized Share Capital"), and re-designated from |
STAK INC. UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Expressed in | ||||||||
For the Six Months Ended December | ||||||||
2025 | 2024 | |||||||
CASH FLOWS FROM OPERATING ACTIVITIES: | ||||||||
Net income | $ | 1,816,911 | $ | 1,999,363 | ||||
Adjustments to reconcile net income to net cash provided by | ||||||||
Provision for credit losses | 23,608 | 524,509 | ||||||
Depreciation of property and equipment | 24,765 | 166,058 | ||||||
Amortization of intangible assets | 67,900 | 2,538 | ||||||
Amortization of operating lease right-of-use asset | 28,012 | 9,624 | ||||||
Deferred income tax | 13,785 | (125,305) | ||||||
Changes in operating assets and liabilities: | ||||||||
Accounts receivable | (976,367) | (5,791,039) | ||||||
Advance to suppliers | (192,276) | 1,355,963 | ||||||
Inventories | (863,885) | (5,231,547) | ||||||
Amounts due from/due to related parties | 130,432 | 66,712 | ||||||
Prepaid expenses and other current assets | 936,875 | 73,201 | ||||||
Other assets | (253,510) | 35,512 | ||||||
Accounts payable | 221,333 | 6,037,020 | ||||||
Deferred revenues | (440,372) | - | ||||||
Income tax payable | 229,196 | 299,996 | ||||||
Accrued expenses and other current liabilities | (25,152) | (421,174) | ||||||
Operating lease liabilities | (73,936) | - | ||||||
Net cash provided by (used in) operating activities | $ | 667,319 | $ | (998,569) | ||||
CASH FLOWS FROM INVESTING ACTIVITIES: | ||||||||
Purchases of property and equipment | - | (3,082) | ||||||
Proceeds received from disposal of property and equipment | 506,471 | - | ||||||
Loans to third parties | (640,072) | (209,010) | ||||||
Collection of loans to third parties | 167,036 | 350,022 | ||||||
Net cash provided by investing activities | $ | 33,435 | $ | 137,930 | ||||
CASH FLOWS FROM FINANCING ACTIVITIES: | ||||||||
Proceeds from short-term bank loans | 2,196,738 | 2,424,513 | ||||||
Repayments of short-term bank loans | (1,979,310) | (1,741,748) | ||||||
Repayments of long-term bank loans | - | (118,439) | ||||||
Net cash provided by financing activities | $ | 217,428 | $ | 564,326 | ||||
Effect of exchange rate changes on cash and cash equivalents | (17,408) | (1,319) | ||||||
Net increase (decrease) in cash and cash equivalents | 900,774 | (297,632) | ||||||
Cash and cash equivalents, at beginning of the period | 1,022,625 | 658,154 | ||||||
Cash and cash equivalents, at the end of the period | $ | 1,923,399 | $ | 360,522 | ||||
SUPPLEMENTAL DISCLOSURE OF CASH FLOW | ||||||||
Interest paid | 106,103 | 90,523 | ||||||
Income taxes paid | - | - | ||||||
SUPPLEMENTAL DISCLOSURE OF NON-CASH | ||||||||
Addition of right-of-use assets | - | 105,760 | ||||||
Reclassification of accounts payables into supplier finance | 1,544,173 | - | ||||||
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SOURCE STAK Inc.