$HOUR

Hour Loop, Inc

CIK:0001874875|SEC Filings

Consolidated Statements of Operations and Comprehensive Income (Unaudited) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025
Income Statement [Abstract]
Revenues, net	$ 33,944,191	$ 27,103,106	$ 63,874,533	$ 52,940,196
Cost of revenues	(15,976,053)	(11,605,754)	(29,888,620)	(23,297,546)
Gross profit	17,968,138	15,497,352	33,985,913	29,642,650
Operating expenses
Selling and marketing	14,518,903	11,715,571	27,117,544	22,962,568
General and administrative	2,164,849	2,160,930	4,441,855	4,138,366
Total operating expenses	16,683,752	13,876,501	31,559,399	27,100,934
Income from operations	1,284,386	1,620,851	2,426,514	2,541,716
Other (expense) income
Other expense	(448)	(2,300)	(2,256)	(1,999)
Interest expense	(46,335)	(43,782)	(80,273)	(90,837)
Other income	20,073	7,912	46,831	69,737
Total other (expense) income, net	(26,710)	(38,170)	(35,698)	(23,099)
Income before income taxes	1,257,676	1,582,681	2,390,816	2,518,617
Income tax expense	(205,991)	(405,680)	(515,649)	(687,099)
Net income	1,051,685	1,177,001	1,875,167	1,831,518
Other comprehensive income (loss)
Foreign currency translation adjustments	3,959	154,939	(13,657)	141,403
Total comprehensive income	$ 1,055,644	$ 1,331,940	$ 1,861,510	$ 1,972,921
Basic earnings per common share	$ 0.03	$ 0.04	$ 0.05	$ 0.06
Diluted earnings per common share	$ 0.03	$ 0.04	$ 0.05	$ 0.06
Weighted-average number of common shares outstanding, basic	35,191,368	35,160,095	35,187,524	35,155,795
Weighted-average number of common shares outstanding, diluted	35,191,368	35,160,095	35,187,524	35,155,795

Consolidated Statements of Cash Flows (Unaudited) - USD ($)	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025	Dec. 31, 2025
Cash flows from operating activities
Net income	$ 1,051,685	$ 1,177,001	$ 1,875,167	$ 1,831,518
Reconciliation of net income to net cash used in operating activities:
Depreciation expenses			24,700	23,517
Amortization of operating lease right-of-use lease assets			42,575	122,018
Deferred tax assets			316,875	546,952
Deferred tax liabilities			(17,597)	19,464
Stock-based compensation			29,999	30,001
Inventory allowance			370,981	416,196	$ 447,841
Unrealized foreign exchange gain			(26,655)	237,028
Changes in operating assets and liabilities:
Accounts receivable			(2,470,783)	1,172,592
Inventory			(2,924,333)	(6,716,310)
Prepaid expenses and other current assets			(523,884)	(197,393)
Accounts payable			2,253,843	4,407,785
Credit cards payable			(41,601)	(409,341)
Accrued expenses and other current liabilities			(2,543,336)	(2,283,745)
Operating lease liabilities			(44,130)	(125,712)
Income taxes payable			121,615
Net cash used in operating activities			(3,556,564)	(925,430)
Cash flows from investing activities:
Purchases of property and equipment			(5,705)	(801)
Net cash used in investing activities			(5,705)	(801)
Cash flows from financing activities:
Payments to related parties			(884,000)	(839,000)
Proceeds from related parties			1,634,000
Net cash provided by (used in) financing activities			750,000	(839,000)
Effect of changes in foreign currency exchange rates			5,640	(28,996)
Net change in cash			(2,806,629)	(1,794,227)
Cash at beginning of period			3,792,033	2,119,581	2,119,581
Cash at end of period	$ 985,404	$ 325,354	985,404	325,354	$ 3,792,033
Supplemental disclosures of cash flow information:
Cash paid for interest			10,743	11,095
Cash paid for income tax			397,770	52,841
Non-cash investing and financing activities:
Operating lease right-of-use of assets and operating lease liabilities recognized				$ 134,648

Consolidated Balance Sheets (Unaudited) - USD ($)	Jun. 30, 2026	Dec. 31, 2025
Current assets
Cash	$ 985,404	$ 3,792,033
Accounts receivable, net	2,706,742	235,959
Inventory, net	20,852,287	18,298,935
Prepaid expenses and other current assets	1,143,145	619,261
Total current assets	25,687,578	22,946,188
Property and equipment, net	75,791	95,917
Deferred tax assets	293,089	609,964
Operating lease right-of-use lease assets	124,861	169,368
Total non-current assets	493,741	875,249
TOTAL ASSETS	26,181,319	23,821,437
Current liabilities
Accounts payable	8,454,369	6,200,526
Credit cards payable	3,666,375	3,707,976
Short-term loan	628,931	637,348
Operating lease liabilities-current	91,142	92,362
Income taxes payable	172,762	51,147
Accrued expenses and other current liabilities	833,051	2,226,387
Total current liabilities	17,257,048	16,726,164
Non-current liabilities
Operating lease liabilities-non-current	38,357	83,271
Deferred tax liabilities	546	18,143
Total non-current liabilities	38,903	101,414
Total liabilities	17,295,951	16,827,578
Commitments and contingencies
Stockholders’ equity
Preferred stock: $0.0001 par value, 10,000,000 shares authorized, none issued and outstanding as of June 30, 2026 and December 31, 2025
Common stock: $0.0001 par value, 300,000,000 shares authorized, 35,191,890 and 35,176,320 shares issued and outstanding as of June 30, 2026 and December 31, 2025, respectively	3,519	3,518
Additional paid-in capital	5,892,681	5,862,683
Retained earnings	2,984,841	1,109,674
Accumulated other comprehensive income	4,327	17,984
Total stockholders’ equity	8,885,368	6,993,859
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	26,181,319	23,821,437
Related Party [Member]
Current liabilities
Due to related parties	$ 3,410,418	$ 3,810,418