Pacific Sports Exchange Posts $11,842 Loss on Zero Revenue in Q2 2026
Pacific Sports Exchange Inc., a Delaware-incorporated sports exchange company, reported no revenue for the quarter ending February 28, 2026, while operating expenses totaled $11,842. The company's cash position fell to zero from $1,476 six months earlier.
Pacific Sports Exchange Inc. reported no revenue for the three months ending February 28, 2026, compared to $2,000 in the same quarter a year earlier. The company posted an operating loss of $11,842 for the quarter, wider than the $7,173 loss recorded in the prior-year period. Read more earnings reports.
Operating expenses climbed 43% to $11,842 from $8,273 in the year-ago quarter. For the six months ending February 28, 2026, the company generated $2,200 in total revenue against $2,000 in cost of revenue, leaving a gross profit of just $200.
The company's balance sheet shows total assets of $6,769 as of February 28, 2026, down from $10,245 at fiscal year-end August 31, 2025. Cash and cash equivalents fell to zero from $1,476 over the same period. Inventory accounted for the entirety of current assets at $6,769, down from $8,769 six months prior.
Total liabilities rose 35% to $70,769 from $52,322, while stockholders' equity swung to a deficit of $64,000 from negative $42,077 at the end of August 2025. Retained deficit widened to $214,889 from $192,966 over the six-month period.
For the six-month period, Pacific Sports Exchange burned through $1,476 in cash from operations, a reversal from the $977 in positive operating cash flow generated in the first half of fiscal 2025. The company reported a net loss of $11,842 for the most recent quarter, compared to a net loss of $7,173 in the prior-year quarter.
The company's share count remained unchanged at 14,375,000 common shares outstanding. Diluted loss per share was $0.001 for the three months ending February 28, 2026, compared to break-even on a per-share basis in the year-ago quarter.
Financial Summary
| Metric | Q2 2026 (Dec-Feb) | Q2 2025 (Dec-Feb) | H1 2026 (Sep-Feb) | H1 2025 (Sep-Feb) |
|---|---|---|---|---|
| Total Revenue | $0 | $2,000 | $2,200 | $2,000 |
| Cost of Revenue | $0 | $900 | $2,000 | $900 |
| Gross Profit | $0 | $1,100 | $200 | $1,100 |
| Operating Expenses | $11,842 | $8,273 | $22,123 | $16,090 |
| Operating Loss | ($11,842) | ($7,173) | ($21,923) | ($14,990) |
| Net Loss | ($11,842) | ($7,173) | — | — |
Balance Sheet Highlights
| Item | Feb 28, 2026 | Aug 31, 2025 |
|---|---|---|
| Total Assets | $6,769 | $10,245 |
| Cash | $0 | $1,476 |
| Inventory | $6,769 | $8,769 |
| Total Liabilities | $70,769 | $52,322 |
| Stockholders' Equity | ($64,000) | ($42,077) |
| Retained Deficit | ($214,889) | ($192,966) |