AXIL Brands Revenue Climbs 9% to $22.3M in Nine Months Ended February 2026
AXIL Brands, a designer and manufacturer of hearing protection products, posted revenue of $22.29 million for the nine months ended February 28, 2026, up 8.7% from $20.51 million a year earlier. Net income rose 12.9% to $1.24 million.
AXIL Brands, Inc., a Delaware-incorporated designer and manufacturer of hearing protection and enhancement products, reported revenue of $22.29 million for the nine months ended February 28, 2026, up from $20.51 million in the year-earlier period. The 8.7% increase came as the company expanded its product distribution and inventory holdings. Read more earnings reports.
Net income for the nine-month period reached $1.24 million, or $0.15 per diluted share, compared with $1.10 million, or $0.13 per diluted share, a year earlier. The company's operating income increased to $1.53 million from $1.12 million in the prior-year period.
For the three months ended February 28, 2026, revenue totaled $7.29 million, a 5.4% gain from $6.92 million in the same quarter a year ago. However, quarterly net income fell to $203,046, or $0.02 per diluted share, down from $576,662, or $0.07 per diluted share, in the year-earlier quarter. Operating income for the quarter was $214,239 versus $583,109 a year prior.
Gross profit for the nine-month period rose to $15.21 million from $14.62 million, reflecting a gross margin of 68.3% versus 71.3% in the prior year. Cost of revenue increased to $7.07 million from $5.89 million as the company scaled production and fulfilled higher order volumes.
Operating expenses climbed to $13.68 million for the nine months ended February 28, 2026, from $13.50 million a year earlier. General and administrative expenses totaled $507,431 compared with $490,748 in the prior-year period.
Balance Sheet Strengthens
Total assets stood at $15.18 million as of February 28, 2026, up from $12.87 million at the end of fiscal 2025 on May 31, 2025. Cash and cash equivalents increased to $5.52 million from $4.77 million at the prior fiscal year-end. Inventory expanded to $3.93 million from $2.53 million, reflecting higher stock levels to support anticipated demand.
Total liabilities rose to $3.72 million from $3.21 million as of May 31, 2025. Accounts payable increased to $1.23 million from $866,573. Long-term debt declined slightly to $138,459 from $140,229.
Stockholders' equity reached $11.46 million as of February 28, 2026, compared with $9.66 million at the prior fiscal year-end. Retained earnings grew to $1.96 million from $720,718. The company had 6,817,717 common shares outstanding at the end of the reporting period, up from 6,657,717 shares as of May 31, 2025.
Cash Flow Overview
Cash from operations totaled $790,330 for the nine months ended February 28, 2026, down from $1.73 million in the year-earlier period. The decline reflected increased working capital investments, particularly in inventory. Cash used in investing activities totaled $208,850, primarily for property and equipment purchases, compared with $255,778 a year earlier.
Cash from financing activities amounted to $167,655, compared with $11,142 in the prior-year period, reflecting additional capital raised during the period.
Financial Summary
| Metric | 9 Months Ended Feb 28, 2026 | 9 Months Ended Feb 28, 2025 |
|---|---|---|
| Total Revenue | $22,285,107 | $20,506,213 |
| Cost of Revenue | $7,072,115 | $5,888,090 |
| Gross Profit | $15,212,992 | $14,618,123 |
| Operating Expenses | $13,683,944 | $13,502,845 |
| Operating Income | $1,529,048 | $1,115,278 |
| Net Income | $1,242,223 | $1,100,563 |
| EPS (Diluted) | $0.15 | $0.13 |
AXIL Brands is classified as a non-accelerated filer and qualifies as a small business under regulatory definitions. The company is incorporated in Delaware and had total assets of $15.18 million as of February 28, 2026.