Crown Craft | 10-Q: FY2026 Q2 Revenue: USD 23.7 M

Revenue: As of FY2026 Q2, the actual value is USD 23.7 M.

EPS: As of FY2026 Q2, the actual value is USD 0.11.

EBIT: As of FY2026 Q2, the actual value is USD 2.15 M.

Net Sales: For the three-month period ended September 28, 2025, net sales were $23.7 million, a decrease of $765 thousand or 3.1% compared to the same period in 2024. For the six-month period ended September 28, 2025, net sales were $39.2 million, a decrease of $1.5 million or 3.7% compared to the same period in 2024.

Net Income: For the three-month period ended September 28, 2025, net income was $1.157 million, an increase of 34.5% compared to $860 thousand in the same period in 2024. For the six-month period ended September 28, 2025, net income was $53 thousand, a decrease of 90.1% compared to $538 thousand in the same period in 2024.
Gross Profit: Gross profit for the three-month period ended September 28, 2025 was $6.571 million, a decrease of 5.5% compared to $6.957 million in the same period in 2024. For the six-month period ended September 28, 2025, gross profit was $10.089 million, a decrease of 7.6% compared to $10.923 million in the same period in 2024.
Marketing and Administrative Expenses: For the three-month period ended September 28, 2025, these expenses were $4.708 million, a decrease of 13.6% compared to $5.448 million in the same period in 2024. For the six-month period ended September 28, 2025, expenses were $9.425 million, a decrease of 2.9% compared to $9.711 million in the same period in 2024.

Net Cash Provided by Operating Activities: For the six-month period ended September 28, 2025, net cash provided by operating activities was $4.403 million, a decrease from $7.030 million in the same period in 2024.
Net Cash Used in Investing Activities: For the six-month period ended September 28, 2025, net cash used in investing activities was $260 thousand, a decrease from $16.830 million in the same period in 2024.
Net Cash Used in Financing Activities: For the six-month period ended September 28, 2025, net cash used in financing activities was $3.854 million, compared to net cash provided by financing activities of $10.953 million in the same period in 2024.

Interest Expense: For the three-month period ended September 28, 2025, interest expense was -$287 thousand, a decrease of 17.5% compared to -$348 thousand in the same period in 2024. For the six-month period ended September 28, 2025, interest expense was -$570 thousand, an increase of 26.9% compared to -$449 thousand in the same period in 2024.

Core Business Focus: The company is evaluating the potential impact of increased tariffs on imports from China, which have affected shipments from Chinese-based suppliers. The company is also focused on maintaining compliance with financial covenants and believes that cash flow from operations and funds available under the revolving line of credit will be adequate to meet liquidity needs.
Non-Core Business: The company is committed to improving internal control policies and procedures to address material weaknesses in financial reporting, specifically related to the review and approval of manual journal entries.