$AXIL

Axil Brands, Inc.

CIK:0001718500|SEC Filings

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)	12 Months Ended
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)	May 31, 2026	May 31, 2025
Income Statement [Abstract]
Revenues, net	$ 30,847,570	$ 26,257,522
Cost of revenues	9,467,823	7,615,954
Gross profit	21,379,747	18,641,568
OPERATING EXPENSES:
Sales and marketing	12,159,478	11,460,342
Compensation and related taxes	2,119,368	1,956,084
Research and development	7,000
General and administrative	4,116,858	4,063,777
Total Operating Expenses	18,402,704	17,480,203
INCOME FROM OPERATIONS	2,977,043	1,161,365
OTHER INCOME (EXPENSE):
Other income	30,485	11,536
Interest income	134,718	139,813
Interest expense and other finance charges	(2,587)	(3,898)
Other income, net	162,616	147,451
INCOME BEFORE PROVISION FOR INCOME TAXES	3,139,659	1,308,816
Provision for income taxes	440,310	453,828
NET INCOME	$ 2,699,349	$ 854,988
NET INCOME PER COMMON SHARE:
Basic	$ 0.40	$ 0.13
Diluted	$ 0.33	$ 0.10
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING:
Basic	6,745,387	6,440,476
Diluted	8,256,118	8,217,083

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	12 Months Ended
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	May 31, 2026	May 31, 2025
CASH FLOWS FROM OPERATING ACTIVITIES
Net income	$ 2,699,349	$ 854,988
Adjustments to reconcile net income to net cash (used in)/provided by operating activities:
Depreciation and amortization	246,723	148,498
Provision/(Recovery) for credit losses	79,541	(4,519)
Reversal of inventory obsolescence		(46,895)
Stock-based compensation and stock option expense	785,160	1,108,934
Gain on forgiveness of account payable		(218,699)
Deferred income taxes	(255,221)	187,922
Change in operating assets and liabilities:
Accounts receivable	(3,824,562)	(489,591)
Inventory	(1,885,970)	907,260
Prepaid expenses and other current assets	235,755	(142,668)
Accounts payable	1,122,472	117,677
Other current liabilities	1,209,551	(71,699)
Contract liabilities	(422,433)	(422,547)
NET CASH (USED IN)/PROVIDED BY OPERATING ACTIVITIES	(9,635)	1,928,661
CASH FLOWS FROM INVESTING ACTIVITIES
Purchases of intangibles	(130,964)	(180,815)
Purchases of property and equipment	(79,385)	(213,483)
NET CASH USED IN INVESTING ACTIVITIES	(210,349)	(394,298)
CASH FLOWS FROM FINANCING ACTIVITIES
Repayment of note payable	(140,229)	(6,365)
Advances from a related party	5,939,172	6,950,210
Repayments from a related party	(5,886,773)	(6,962,230)
NET CASH USED IN FINANCING ACTIVITIES	(87,830)	(18,385)
NET (DECREASE)/INCREASE IN CASH	(307,814)	1,515,978
CASH AND CASH EQUIVALENTS - Beginning of year	4,769,854	3,253,876
CASH AND CASH EQUIVALENTS - End of year	4,462,040	4,769,854
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:
Interest	3,757	3,736
Income taxes	317,752	137,273
SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING AND FINANCING ACTIVITIES:
Initial recognition of right of use assets recognized as lease liability		$ 767,269

CONSOLIDATED BALANCE SHEETS - USD ($)	May 31, 2026	May 31, 2025
CURRENT ASSETS:
Cash and cash equivalents	$ 4,462,040	$ 4,769,854
Accounts receivable, net	4,748,966	1,003,945
Inventory, net	4,419,628	2,533,658
Due from related party		222
Prepaid expenses and other current assets	712,214	947,969
Total Current Assets	14,342,848	9,255,648
OTHER ASSETS:
Property and equipment, net	389,733	412,261
Intangible assets, net	389,747	403,591
Right of use assets	360,512	579,121
Deferred tax asset	301,460	46,239
Other assets	20,720	20,720
Goodwill	2,152,215	2,152,215
Total Other Assets	3,614,387	3,614,147
TOTAL ASSETS	17,957,235	12,869,795
CURRENT LIABILITIES:
Accounts payable	1,989,048	866,573
Contract liabilities, current	389,333	707,207
Note payable, current		3,574
Due to related party	152,177
Lease liabilities, current	195,563	212,543
Income tax liability	688,150	310,369
Other current liabilities	1,088,262	362,558
Total Current Liabilities	4,502,533	2,462,824
LONG TERM LIABILITIES:
Lease liabilities	209,105	404,669
Note payable		136,655
Contract liabilities	101,380	205,939
Total Long Term Liabilities	310,485	747,263
Total Liabilities	4,813,018	3,210,087
STOCKHOLDERS' EQUITY:
Preferred stock, $0.0001 par value; 28,000,000 shares authorized; 24,873,500 and 27,773,500 shares issued and outstanding as of May 31, 2026 and May 31, 2025, respectively	2,487	2,777
Common stock, $0.0001 par value: 15,000,000 shares authorized; 6,822,681 and 6,657,717 shares issued and outstanding as of May 31, 2026 and May 31, 2025, respectively	682	666
Additional paid-in capital	9,720,981	8,935,547
Retained Earnings	3,420,067	720,718
Total Stockholders' Equity	13,144,217	9,659,708
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	$ 17,957,235	$ 12,869,795