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UNITED STATES
SECURITIES AND
EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 OR
15(d) of the Securities Exchange Act of 1934
Date of report (Date of earliest event
reported): November 2, 2026
EACO CORPORATION
(Exact name of registrant as specified in its charter)
| Florida |
|
000-14311 |
|
59-2597349 |
|
(State or other jurisdiction of
incorporation) |
|
(Commission File Number) |
|
(IRS Employer Identification No.) |
5065 East Hunter Avenue
Anaheim, California 92807
(Address of Principal Executive Offices)
(714) 876-2490
(Registrant’s
Telephone No.)
Not Applicable
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under
any of the following provisions:
| ¨ | Written communications pursuant to Rule 425 under the Securities Act |
| ¨ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act |
| ¨ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act |
| ¨ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act |
Securities registered pursuant
to Section 12(b) of the Act: None.
Indicate by check mark whether
the registrant is an emerging growth company as defined in as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this
chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging
growth company ¨
If an emerging growth company,
indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised
financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨
| Item 2.02 | Results of Operations and Financial Condition. |
On October 28, 2026, EACO Corporation, a Florida
corporation, issued a press release announcing our fourth quarter and full year 2026 financial results and other information. A copy of
the press release is furnished as Exhibit 99.1 and is incorporated herein by reference.
The information in Item 2.02 of this Current Report,
including Exhibit 99.1, is being furnished and shall not be deemed “filed” for the purposes of Section 18 of the Securities
Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that Section. The information in this Current Report shall
not be incorporated by reference into any registration statement or other document filed pursuant to the Securities Act of 1933, as amended,
regardless of any general incorporation language contained in such filing.
| Item 9.01 | Financial Statements and Exhibits. |
| | Exhibit
No. | Description |
| | | |
| 99.1 | Press release dated October 28, 2026 reporting the financial results
of EACO Corporation for the fourth quarter and fiscal year ended August 31, 2026. |
| | 104 | Cover Page Interactive Date File (embedded within the Inline XBRL document). |
SIGNATURES
Pursuant to the requirements
of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto
duly authorized.
| Dated: November 2, 2026 |
EACO CORPORATION |
| |
|
|
| |
By: |
/S/ GLEN CEILEY |
| |
|
Glen Ceiley, Chief Executive Officer |
Exhibit 99.1
| Michael Narikawa |
|
| EACO Corporation |
|
| (714) 876-2490 |
October 28, 2026 |
EACO CORPORATION REPORTS RECORD ANNUAL &
QUARTERLY NET SALES AND RECORD ANNUAL & QUARTERLY NET INCOME
ANAHEIM, CALIFORNIA – EACO Corporation (OTCID:EACO) today reported
financial results for its fiscal year ended August 31, 2026.
Net sales, net income and earnings per share were as follows for the
fiscal year ended August 31, 2026 (dollars in thousands, except per share information):
| | |
Three Months Ended August 31, | | |
% | |
| | |
2026 | | |
2025 | | |
Change | |
| | |
(unaudited) | | |
(unaudited) | | |
| |
| Net sales | |
$ | 163,890 | | |
$ | 122,469 | | |
| 33.8 | % |
| | |
| | | |
| | | |
| | |
| Net income | |
$ | 15,511 | | |
$ | 9,128 | | |
| 69.9 | % |
| | |
| | | |
| | | |
| | |
| Basic earnings per common share | |
$ | 3.19 | | |
$ | 1.87 | | |
| 70.6 | % |
| | |
Year Ended August 31, | | |
% | |
| | |
2026 | | |
2025* | | |
Change | |
| | |
(unaudited) | | |
| | |
| |
| Net sales | |
$ | 535,029 | | |
$ | 427,931 | | |
| 25.0 | % |
| | |
| | | |
| | | |
| | |
| Net income | |
$ | 48,193 | | |
$ | 32,294 | | |
| 49.2 | % |
| | |
| | | |
| | | |
| | |
| Basic earnings per common share | |
$ | 9.90 | | |
$ | 6.63 | | |
| 49.3 | % |
| * | Derived from the Company’s audited financial statements
included in its Form 10-K for the year ended August 31, 2025 filed with the U.S. Securities and Exchange Commission on November 20,
2025. |
The Company had 500 sales employees at August 31, 2026, an increase
of 43 or 9.4% from the prior year quarter. The Company’s sales force is divided into sales focus teams (SFT’s). The Company
had 124 SFT’s as of August 31, 2026, an increase of 8 from the prior year quarter. Management anticipates continued growth
in both our headcount and SFT’s in fiscal year 2027. The Company believes it continues to gain market share through its local presence
business model.
Cautionary Statement Regarding Forward-Looking Statements
This press release contains certain forward-looking statements within
the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1955, as amended. These forward-looking
statements include, without limitation, statements related to our headcount expansion, growth in market share, and other statement that
is not historical information. These forward-looking statements are based on our current expectations and are inherently subject to risks
and uncertainties that could cause actual results to differ materially from those expressed in the forward-looking statements. The potential
risks and uncertainties include, but are not limited to, our ability to hire and retain additional qualified employees, our ability to
open additional sales offices, and to gain market acceptance for our products, the pricing and availability of our products, the success
of our sales and marketing programs, the impact of products offered by our competitors from time to time, and as well as uncertainty pertaining
to economic uncertainty, international tariffs, and international conflicts. In addition to these factors and any other factors mentioned
elsewhere in this news release, the reader should refer as well to the factors, uncertainties or risks identified in EACO’s most
recent Form 10-K and all subsequent Form 10-Q reports filed by us with the SEC. The forward-looking statements included in this
release speak only as of the date hereof, and EACO does not undertake any obligation to update these forward-looking statements to reflect
subsequent events or circumstances.
EACO Corporation and Subsidiaries
Condensed Consolidated Balance Sheets
(in thousands, except share information)
(unaudited)
| | |
August 31, | | |
August 31, | |
| | |
2026 | | |
2025* | |
| ASSETS | |
| | | |
| | |
| Current Assets: | |
| | | |
| | |
| Cash and cash equivalents | |
$ | 647 | | |
$ | 728 | |
| Restricted cash | |
| 10 | | |
| 10 | |
| Trade accounts receivable, net | |
| 86,650 | | |
| 65,863 | |
| Inventory, net | |
| 96,898 | | |
| 83,980 | |
| Marketable securities, trading | |
| 44,940 | | |
| 30,375 | |
| Prepaid expenses and other current assets | |
| 6,977 | | |
| 5,009 | |
| Total current assets | |
| 236,122 | | |
| 185,965 | |
| Non-current Assets: | |
| | | |
| | |
| Property, equipment and leasehold improvements, net | |
| 36,178 | | |
| 34,670 | |
| Operating lease right-of-use assets | |
| 9,302 | | |
| 6,814 | |
| Other assets, net | |
| 2,378 | | |
| 2,704 | |
| Total assets | |
$ | 283,980 | | |
$ | 230,153 | |
| LIABILITIES AND SHAREHOLDERS’ EQUITY | |
| | | |
| | |
| Current Liabilities: | |
| | | |
| | |
| Trade accounts payable | |
$ | 47,471 | | |
$ | 33,179 | |
| Accrued expenses and other current liabilities | |
| 18,647 | | |
| 29,762 | |
| Current portion of operating lease liabilities | |
| 4,079 | | |
| 2,843 | |
| Current portion of long-term debt | |
| 3,693 | | |
| 135 | |
| Total current liabilities | |
| 73,890 | | |
| 65,919 | |
| Non-current Liabilities: | |
| | | |
| | |
| Long-term debt | |
| – | | |
| 4,079 | |
| Operating lease liabilities | |
| 6,171 | | |
| 4,305 | |
| Total liabilities | |
| 80,061 | | |
| 74,303 | |
| Commitments and Contingencies | |
| | | |
| | |
| Shareholders’ Equity: | |
| | | |
| | |
| Convertible preferred stock, $0.01 par value per share; 10,000,000 shares authorized; 36,000 shares outstanding (liquidation value $900) | |
| 1 | | |
| 1 | |
| Common stock, $0.01 par value per share; 8,000,000 shares authorized; 4,861,590 shares outstanding | |
| 49 | | |
| 49 | |
| Additional paid-in capital | |
| 12,378 | | |
| 12,378 | |
| Accumulated other comprehensive income | |
| 26 | | |
| 74 | |
| Retained earnings | |
| 191,465 | | |
| 143,348 | |
| Total shareholders’ equity | |
| 203,919 | | |
| 155,850 | |
| Total liabilities and shareholders’ equity | |
$ | 283,980 | | |
$ | 230,153 | |
*Derived from the Company’s audited financial
statements included in its Form 10-K for the year ended August 31, 2025 filed with the U.S. Securities and Exchange Commission
on November 20, 2025.
EACO Corporation and Subsidiaries
Condensed Consolidated Statements of Income
(in thousands, except for share and per share information)
(unaudited)
| |
|
Three Months Ended
August 31, |
|
|
Year Ended
August 31, |
|
| |
|
2026 |
|
|
2025 |
|
|
2026 |
|
|
2025* |
|
| Revenues |
|
$ |
163,888 |
|
|
$ |
122,469 |
|
|
$ |
535,027 |
|
|
$ |
427,931 |
|
| Cost of revenues |
|
|
110,874 |
|
|
|
85,125 |
|
|
|
366,985 |
|
|
|
299,225 |
|
| Gross margin |
|
|
53,014 |
|
|
|
37,344 |
|
|
|
168,042 |
|
|
|
128,706 |
|
| Operating expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Selling, general and administrative expenses |
|
|
31,770 |
|
|
|
25,884 |
|
|
|
103,500 |
|
|
|
86,863 |
|
| Income from operations |
|
|
21,244 |
|
|
|
11,460 |
|
|
|
64,542 |
|
|
|
41,843 |
|
| Other (expense) income: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Net gain on trading securities |
|
|
605 |
|
|
|
512 |
|
|
|
1,315 |
|
|
|
1,273 |
|
| Interest and other expense |
|
|
(45 |
) |
|
|
(61 |
) |
|
|
(175 |
) |
|
|
(204 |
) |
| Other income (expense), net |
|
|
560 |
|
|
|
451 |
|
|
|
1,140 |
|
|
|
1,069 |
|
| Income before income taxes |
|
|
21,804 |
|
|
|
11,911 |
|
|
|
65,682 |
|
|
|
42,912 |
|
| Provision for income taxes |
|
|
6,293 |
|
|
|
2,783 |
|
|
|
17,489 |
|
|
|
10,618 |
|
| Net income |
|
|
15,511 |
|
|
|
9,128 |
|
|
|
48,193 |
|
|
|
32,294 |
|
| Cumulative preferred stock dividend |
|
|
(19 |
) |
|
|
(19 |
) |
|
|
(76 |
) |
|
|
(76 |
) |
| Net income attributable to common shareholders |
|
$ |
15,492 |
|
|
$ |
9,109 |
|
|
$ |
48,117 |
|
|
$ |
32,218 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Basic earnings per common share: |
|
$ |
3.19 |
|
|
$ |
1.87 |
|
|
$ |
9.90 |
|
|
$ |
6.63 |
|
| Diluted earnings per common share |
|
$ |
3.16 |
|
|
$ |
1.86 |
|
|
$ |
9.83 |
|
|
$ |
6.59 |
|
| Basic weighted average common shares outstanding |
|
|
4,861,590 |
|
|
|
4,861,590 |
|
|
|
4,861,590 |
|
|
|
4,861,590 |
|
| Diluted weighted average common shares outstanding |
|
|
4,901,590 |
|
|
|
4,901,590 |
|
|
|
4,901,590 |
|
|
|
4,901,590 |
|
* Derived from the Company’s audited financial
statements included in its Form 10-K for the year ended August 31, 2025 filed with the U.S. Securities and Exchange Commission
on November 20, 2025.
EACO Corporation and Subsidiaries
Condensed Consolidated Statements of Cash Flows
(in thousands)
(unaudited)
| | |
Year Ended August 31, | |
| | |
2026 | | |
2025* | |
| Operating activities: | |
| | | |
| | |
| Net income | |
$ | 48,193 | | |
$ | 32,294 | |
| Adjustments to reconcile net income to net cash provided by operating activities: | |
| | | |
| | |
| Depreciation and amortization | |
| 1,826 | | |
| 1,675 | |
| Bad debt expense | |
| 1,092 | | |
| 359 | |
| Unrealized (gain) on trading securities | |
| (237 | ) | |
| (469 | ) |
| Deferred tax provision | |
| 511 | | |
| 1,281 | |
| Increase (decrease) in cash flow from change in: | |
| | | |
| | |
| Trade accounts receivable | |
| (21,879 | ) | |
| (12,950 | ) |
| Inventory | |
| (12,918 | ) | |
| (14,378 | ) |
| Prepaid expenses and other assets | |
| (2,153 | ) | |
| (1,505 | ) |
| Operating lease right-of-use assets | |
| (2,488 | ) | |
| 699 | |
| Trade accounts payable | |
| 13,952 | | |
| 5,763 | |
| Accrued expenses and other current liabilities | |
| (11,115 | ) | |
| 4,852 | |
| Operating lease liabilities | |
| 2,716 | | |
| (452 | ) |
| Net cash provided by operating activities | |
| 17,500 | | |
| 17,169 | |
| Investing activities: | |
| | | |
| | |
| Additions to property, equipment, and leasehold improvements | |
| (3,334 | ) | |
| (1,284 | ) |
| (Purchase) of marketable securities, trading | |
| (40,055 | ) | |
| (24,233 | ) |
| Sale of marketable securities, trading | |
| 25,727 | | |
| 9,075 | |
| Net cash used in investing activities | |
| (17,662 | ) | |
| (16,442 | ) |
| Financing activities: | |
| | | |
| | |
| Repayments on long-term debt | |
| (135 | ) | |
| (129 | ) |
| Preferred stock dividend | |
| (76 | ) | |
| (76 | ) |
| Bank overdraft | |
| 340 | | |
| (638 | ) |
| Net cash provided by (used in) financing activities | |
| 129 | | |
| (843 | ) |
| Effect of foreign currency exchange rate changes on cash and cash equivalents | |
| (48 | ) | |
| 1 | |
| Net (decrease) in cash, cash equivalents, and restricted cash | |
| (81 | ) | |
| (115 | ) |
| Cash, cash equivalents, and restricted cash - beginning of period | |
| 738 | | |
| 853 | |
| Cash, cash equivalents, and restricted cash - end of period | |
$ | 657 | | |
$ | 738 | |
| Supplemental disclosures of cash flow information: | |
| | | |
| | |
| Cash paid for interest | |
$ | 175 | | |
$ | 204 | |
| Cash paid for income taxes | |
$ | 26,629 | | |
$ | 11,995 | |
* Derived from the Company’s audited financial
statements included in its Form 10-K for the year ended August 31, 2025 filed with the U.S. Securities and Exchange Commission
on November 20, 2025.
