<span item_type="fundamental" item_id="5f8a8addd2df32218ffcdcfb5a873655" counter_id="ST/US/CJMB" env="prod"></span><span item_type="announcement" item_id="632442875678230529" env="prod"></span><p>Revenue: As of FY2025, the actual value is USD 5.723 M.</p><p>EPS: As of FY2025, the actual value is USD -1.82.</p><p>EBIT: As of FY2025, the actual value is USD -7.041 M.</p><p></p><h4>Overall Financial Performance</h4><p>Callan JMB Inc. reported a net loss of - $7,966,366 for the year ended December 31, 2025, a 247% increase compared to a net loss of - $2,293,648 for the year ended December 31, 2024. The accumulated deficit as of December 31, 2025, was - $10,260,014. <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/2032545/000149315226014292/form10-k.htm"></span></p><h4>Revenue and Cost of Revenue</h4><p>Total revenue decreased by - $840,234 or -13%, from $6,563,412 in 2024 to $5,723,178 in 2025, primarily due to decreased demand for emergency preparedness services. <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/2032545/000149315226014292/form10-k.htm"></span> Cost of revenue also decreased by - $381,512 or -10%, from $4,000,149 in 2024 to $3,618,637 in 2025, attributed to the reduction in revenue. <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/2032545/000149315226014292/form10-k.htm"></span></p><h4>Gross Profit and Operating Expenses</h4><p>Gross profit decreased by - $458,722 or -17%, from $2,563,263 in 2024 to $2,104,541 in 2025. <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/2032545/000149315226014292/form10-k.htm"></span> Selling, general and administrative expenses increased by $3,758,955 or 77%, from $4,838,077 in 2024 to $8,597,032 in 2025, driven by increases in consulting and professional fees, information technology support, and marketing and advertising. <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/2032545/000149315226014292/form10-k.htm"></span> The company recognized an impairment loss on property and equipment of $542,088 in 2025, with no such loss in 2024. <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/2032545/000149315226014292/form10-k.htm"></span> Loss from operations widened by 209% to - $7,034,579 in 2025 from - $2,274,814 in 2024. <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/2032545/000149315226014292/form10-k.htm"></span></p><h4>Other Income (Expense)</h4><p>Other income (expense) shifted from $6,532 in 2024 to - $934,752 in 2025, a change of - $941,284, mainly due to - $569,552 in ELOC Facility transaction expenses and - $371,216 in changes in the fair value of derivative liability in 2025. <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/2032545/000149315226014292/form10-k.htm"></span> Interest income was $8,691 in 2025, down from $11,904 in 2024, while interest expense was - $2,675 in 2025, down from - $5,372 in 2024. <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/2032545/000149315226014292/form10-k.htm"></span></p><h4>Segmented Revenue by Distribution Channel</h4><p>Emergency preparedness revenue increased to $3,980,109 in 2025 from $3,798,832 in 2024. <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/2032545/000149315226014292/form10-k.htm"></span> Specialty packaging revenue decreased to $1,743,069 in 2025 from $2,764,580 in 2024. <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/2032545/000149315226014292/form10-k.htm"></span></p><h4>Segmented Revenue by Customer Type</h4><p>Governmental revenue increased to $4,518,829 in 2025 from $3,938,480 in 2024. <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/2032545/000149315226014292/form10-k.htm"></span> Non-governmental revenue decreased to $1,204,349 in 2025 from $2,624,932 in 2024. <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/2032545/000149315226014292/form10-k.htm"></span></p><h4>Cash Flow</h4><p>Cash used in operating activities was - $4,546,724 in 2025, a significant decrease from $540,353 provided by operating activities in 2024. <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/2032545/000149315226014292/form10-k.htm"></span> Cash used in investing activities increased to - $616,896 in 2025 from - $46,167 in 2024, primarily due to purchases of fixed assets and leasehold improvements. <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/2032545/000149315226014292/form10-k.htm"></span> Cash provided by financing activities was $5,196,433 in 2025, a substantial increase from - $3,551,861 used in 2024, driven by proceeds from IPO and overallotment ($4,543,989) and proceeds from the issuance of ELOC shares ($497,750). <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/2032545/000149315226014292/form10-k.htm"></span> Cash and cash equivalents at the end of 2025 were $2,130,758, slightly up from $2,097,945 in 2024. <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/2032545/000149315226014292/form10-k.htm"></span></p><h4>Unique Metrics and Key Financial Indicators</h4><p>Customer 1 accounted for 58% of revenue in 2025, up from 51% in 2024. <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/2032545/000149315226014292/form10-k.htm"></span> Customer 3 accounted for 11% in 2025, while Customer 2 accounted for 10% in 2025, down from 13% in 2024. <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/2032545/000149315226014292/form10-k.htm"></span> A significant customer temporarily suspended orders in 2025, causing an - $835,878 decrease in revenue, and another customer significantly reduced operations, leading to business termination. <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/2032545/000149315226014292/form10-k.htm"></span> Raw materials inventory was $243,285 as of December 31, 2025, compared to $158,362 as of December 31, 2024. <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/2032545/000149315226014292/form10-k.htm"></span> The allowance for credit losses was $61,675 as of December 31, 2025, and $64,000 as of December 31, 2024. <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/2032545/000149315226014292/form10-k.htm"></span> The provision for credit losses was $230,190 in 2025, compared to a recovery of - $131,000 in 2024. <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/2032545/000149315226014292/form10-k.htm"></span> Callan JMB Inc. recognized $1,559,756 in share-based compensation expense in 2025. <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/2032545/000149315226014292/form10-k.htm"></span> A derivative liability of $371,216 was recognized at fair value as of December 31, 2025, related to the ELOC Facility. <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/2032545/000149315226014292/form10-k.htm"></span> As of March 31, 2026, the company had raised $1.55 million through the ELOC Facility, with $23.45 million remaining availability, and its maturity was extended to April 1, 2027. <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/2032545/000149315226014292/form10-k.htm"></span></p><h4>Outlook / Guidance</h4><p>Management believes that current liquidity sources, including the ELOC Facility and potential additional funding from Mr. Wayne Williams, combined with strategic initiatives and cost reduction strategies, will alleviate substantial doubts about the company’s ability to continue as a going concern for the next twelve months. <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/2032545/000149315226014292/form10-k.htm"></span> The company intends to continue evaluating and utilizing available funding to support its operations and growth. <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/2032545/000149315226014292/form10-k.htm"></span></p>

Callan Jmb | 10-K: FY2025 Revenue: USD 5.723 M