0001193125-26-221673
SEC filingRevenue grew to $25.9M, but operating losses widened to -$2.6M as public-company costs increased. Gross margin improved to 10.7%.
Gross profit was $2.8 million, resulting in a gross margin of 10.7%. The improvement in gross margin was driven by a favorable product mix, as higher-margin firearm products accounted for a larger share of sales.
Operating income was -$2.6 million, reflecting an operating margin of -10.2%. The increase in operating loss was primarily due to higher general and administrative expenses, which rose as the company incurred costs associated with being a public company, including professional services, insurance, and information technology.
PEW Logistics was launched during the quarter, providing warehousing, inventory management, order processing, and shipping services for manufacturers and brands in the firearm and outdoor products industry. This new segment is expected to support long-term growth but requires upfront investment.
The company's balance sheet remains positioned to support its growth strategy. Management expects operating expenses to increase in absolute dollars but decline as a percentage of revenue over time as the business scales.