STAK Inc. Announces First Half of Fiscal Year 2026 Financial Results

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May 13, 2026, 16:05 ET

CHANGZHOU, China, May 13, 2026 /PRNewswire/ -- STAK Inc. (the "Company" or "STAK") (Nasdaq: STAK), a fast-growing company specializing in the research, development, manufacturing, and sale of oilfield-specialized production and maintenance equipment, today announced its unaudited financial results for the six months ended December 31, 2025.

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 $19.2 million, representing an 13.41% year-over-year increase. This performance reflects growing market recognition of our solutions and sustained demand momentum across our core product lines. Gross profit remained stable at $5.2 million, demonstrating the resilience of our business model as we continue to scale. During this period, we continued to prioritize product development, increasing research and development expenses by 2.69% to $1.6 million, aligned with the stage and scale of our new equipment development."

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 $19.2 million for the first half of fiscal year 2026, an increase of 13.41% from $17.0 million for the first half of fiscal year 2025.
Gross profit remained steady at $5.2 million for the first half of fiscal year 2025 and 2026.
Gross profit margin was 27.24% for the first half of fiscal year 2026, compared to 30.65% for the first half of fiscal year 2025.
Net income was $1.8 million for the first half of fiscal year 2026, compared to $2.0 million for the first half of fiscal year 2025.
Basic and diluted earnings per share were $0.14 for the first half of fiscal year 2026, compared to $0.20 for the first half of fiscal year 2025.

First Half of Fiscal Year 2026 Financial Results

Revenues

Revenues were $19.2 million for the first half of fiscal year 2026, an increase of 13.41% from $17.0 million for the first half of fiscal year 2025. The increase was mainly driven by the increase in order volumes and increase in sale prices of specialized oilfield vehicles, partially offset by the decrease in demand for sales of specialized oilfield equipment.

Cost of Revenues

Cost of revenues was $14.0 million for the first half of fiscal year 2026, an increase of 18.99% from $11.8 million for the first half of fiscal year 2025. The increase in cost was mainly attributable to increase in sales volume for specialized oilfield vehicles.

Gross Profit and Gross Profit Margin

Gross profit remained steady at $5.2 million for the first half of fiscal year 2026 and 2025. The gross profit remained steady mainly due to the decrease in unit profit margin was offset by an increase in sales volume.

Gross profit margin was 27.24% for the first half of fiscal year 2026, compared to 30.65% for the first half of fiscal year 2025. The decrease in gross profit margin was primarily driven by increase in production cost of newly developed vehicles and the Company's promotional sales policy to expand the market.

Operating Expenses

Total operating expenses were $3.1 million for the first half of fiscal year 2026, compared to $2.9 million for the first half of fiscal year 2025.

Selling and marketing expenses were $0.5 million for the first half of fiscal year 2026, a decrease of 13.76% from $0.6 million for the first half of fiscal year 2025. The observed revenue expansion reflects the Company's management team's direct business development efforts rather than commission-based sales channels, thereby maintaining stable commission expenditure.
General and administrative expenses were $1.0 million for the first half of fiscal year 2026, an increase of 27.27% from $0.8 million for the first half of fiscal year 2025. The increase was attributable to the increase in professional fees of $0.7 million and was offset by a decrease in provision for credit losses of $0.5 million.
Research and development expenses were $1.6 million for the first half of fiscal year 2026, an increase of 2.69% from $1.5 million for the first half of fiscal year 2025. The increase in research and development expenses is mainly driven by the stage and scale of the Company's equipment development.

Net Income

Net income was $1.8 million for the first half of fiscal year 2026, compared to $2.0 million for the first half of fiscal year 2025.

Basic and Diluted Earnings per Share

Basic and diluted earnings per share were $0.14 for the first half of fiscal year 2026, compared to $0.20 for the first half of fiscal year 2025.

Financial Condition

As of December 31, 2025, the Company had cash and cash equivalents of $1.9 million, compared to $1.0 million as of June 30, 2025.

Net cash provided by operating activities was $0.7 million for the first half of fiscal year 2026, compared to net cash used in operating activities of $1.0 million for the first half of fiscal year 2025.

Net cash provided by investing activities was $0.03 million for the first half of fiscal year 2026, compared to $0.1 million for the first half of fiscal year 2025.

Net cash provided by financing activities was $0.2 million for the first half of fiscal year 2026, compared to $0.6 million for the first half of fiscal year 2025.

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 China. For more information, please visit the Company's website at https://www.stakindustry.com/ir/.

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 U.S. Securities and Exchange Commission.

For more information, please contact:

STAK Inc.
Investor Relations Department
Email: [email protected]

Ascent Investor Relations LLC
Tina Xiao
Phone: +1-646-932-7242
Email: [email protected]

STAK INC. UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (Expressed in U.S. dollars, except for the number of shares)

	As of
	December 31, 2025		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 $0.001 per share; 75,000,000 shares authorized; 4,010,349 shares issued and outstanding as of December 31, 2025 and June 30, 2025, respectively)		4,010		4,010
Class B ordinary shares (par value of $0.001 per share; 25,000,000 shares authorized; 9,200,000 shares issued and outstanding as of December 31, 2025 and June 30, 2025, respectively)		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 COMPREHENSIVE INCOME (Expressed in U.S. dollars, except for number of shares)

	For the Six Months Ended December 31,
	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 US$50,000 divided into 50,000,000 ordinary shares of par value US$0.001 each to US$100,000 divided into 100,000,000 ordinary shares of per value US$0.001. All share and per share amounts presented in the accompanying consolidated financial statements have been retrospectively adjusted for all periods presented, unless otherwise indicated.

STAK INC. UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Expressed in U.S. dollars)

	For the Six Months Ended December 31,
	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 (used in) operating activities:
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 INFORMATION:
Interest paid		106,103		90,523
Income taxes paid		-		-

SUPPLEMENTAL DISCLOSURE OF NON-CASH ACTIVITIES:
Addition of right-of-use assets		-		105,760
Reclassification of accounts payables into supplier finance obligations		1,544,173		-