LAGUNA HILLS, Calif., July 14, 2026 (GLOBE NEWSWIRE) -- Elite Express Holding Inc. (“ETS” or the “Company”) (Nasdaq: ETS), a California-based provider of last-mile delivery services, today reported results for the quarter ended May 31, 2026.
Second Quarter 2026 Financial Results
For the three months ended May 31, 2026, the Company reported revenue of $726,829, representing an increase of $96,579, or 15.3%, compared with $630,250 for the three months ended May 31, 2025. Activity-based revenue accounted for $512,123, or 70.4% of total revenue, during the three months ended May 31, 2026, compared with $470,826, or 74.6% of total revenue, for the same period in the prior year. Fixed revenue, including weekly service charges and branding-related revenue, increased from $156,473 for the three months ended May 31, 2025 to $214,333 for the three months ended May 31, 2026. This increase was primarily attributable to higher weekly service charge rates under the Company's ISP agreement with FedEx, which was renewed on February 21, 2026. Other Pickup and Delivery revenue decreased from $2,951 for the three months ended May 31, 2025 to $373 for the three months ended May 31, 2026, representing a decrease of $2,578.
The Company also reported cost of revenue of $645,792 for the three months ended May 31, 2026, compared with $612,248 for the three months ended May 31, 2025, representing an increase of $33,544, or 5.5% This increase was primarily due to increased maintenance and repair costs and higher cost of service related to the rental of additional vehicles to fulfill the Company’s delivery volume obligations.
For the three months ended May 31, 2026, the Company reported gross profit of $81,037, compared with $18,002 for the three months ended May 31, 2025, representing an improvement of $63,035. Gross margin improved to 11.1% for the three months ended May 31, 2026, compared with 2.9% in the prior-year period. The improvement was primarily attributable to higher revenue growth, which outpaced the increase in cost of revenue.
General and administrative expenses for the Company increased by $564,310, or 398.1%, to $706,072 for the three months ended May 31, 2026, from $141,762 for the three months ended May 31, 2025. The increase was mainly due to (i) $115,312 in higher professional fees, primarily related to audit services, financial reporting, and SEC and regulatory compliance related to the Company’s transition to a public company; (ii) $196,697 in higher payroll expenses associated with personnel supporting corporate governance, internal controls, and administrative operations; (iii) a $200,000 increase in franchise tax expenses; and (iv) $52,301 in other expenses.
During the three months ended May 31, 2026, the Company's loans receivable portfolio, which originated in fiscal 2025, generated interest income of $224,606. The loans were extended to unrelated third-party business partners to generate interest income on the net proceeds from the Company's initial public offering prior to their deployment for the purposes described in the Company's prospectus. Each loan originally bore interest at an annual rate of 8% and matured in May 2026 following the agreed extension of the original terms. During the three months ended May 31, 2026, the Company received principal repayments totaling $300,000. Effective June 1, 2026, the remaining outstanding loans were extended for an additional six months and now bear interest at an annual rate of 5%, and will mature on November 30, 2026. As of the date of this release, the Company has received aggregate interest payments of $400,000. All loans remain secured by irrevocable personal unlimited joint and several liability guarantees provided by the shareholders or chief executive officers of the respective borrowers, and the Company has no related-party relationships with the borrowers.
The Company reported a net loss of $2,532,942 for the three months ended May 31, 2026, compared with a net loss of $107,604 for the same period of 2025, representing an increase of $2,425,338, or 2,253.9%. The increase was primarily attributable to significant research and development expenses associated with the Company's long-term strategic initiatives, partially offset by higher revenue, improved gross profitability, and interest income earned on loans receivable.
Yidan Chen, ETS’s CEO commented, “Our second quarter results demonstrate continued operational progress reflecting the continued effectiveness of our operational execution and efficiency initiatives.
“During the quarter, we continued to optimize route management, fleet utilization, and labor productivity while making significant investments in research and development to support our long-term technology strategy. Although these investments had a significant impact on our GAAP net results for the quarter, we believe they will strengthen our competitive position and enhance our long-term growth prospects.”
Forward-Looking Statements
This press release contains “forward-looking statements” within the meaning of the federal securities laws. All statements other than statements of historical fact are forward-looking statements, including, but not limited to: projections of earnings, revenue, or other financial items; statements regarding the adequacy, availability, and sources of capital; statements of the plans, strategies, and objectives of management for future operations; statements concerning proposed new services or developments; statements regarding future economic conditions or performance; statements of belief; and statements of assumptions underlying any of the foregoing.
Forward-looking statements may include the words “may,” “will,” “estimate,” “intend,” “continue,” “believe,” “expect,” “plan,” “project,” “anticipate,” and other similar expressions. These forward-looking statements are based on current expectations and assumptions and are subject to risks and uncertainties.
Factors that could cause actual results to differ materially from those expressed or implied in the forward-looking statements include, among others, the risks and uncertainties described in the “Risk Factors” section of the Company’s Annual Report on Form 10-K for the fiscal year ended November 30, 2025, as well as in the Company’s subsequent filings with the Securities and Exchange Commission.
Although the Company believes that the expectations reflected in its forward-looking statements are reasonable, actual results could differ materially from those projected or assumed. The Company’s future financial condition and results of operations are subject to change and to inherent risks and uncertainties. Except as required by law, the Company undertakes no obligation to update any forward-looking statements to reflect events or circumstances after the date of this press release.
The information included in this release should be read in conjunction with the Company’s unaudited condensed consolidated financial statements and related notes included in its Quarterly Report on Form 10-Q for the quarter ended May 31, 2026, which was filed with the Securities and Exchange Commission on July 14, 2026.
For more information, please contact:
Elite Express Holding Inc.
Investor Relations
(949) 758-0650
ir@eliteexpressholding.com
| ELITE EXPRESS HOLDING INC. & ITS SUBSIDIARY UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS | |||||||||||||||||
| For the Three Months Ended | For the Six Months Ended | ||||||||||||||||
| May 31, | May 31, | ||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||
| REVENUE | $ | 726,829 | $ | 630,250 | $ | 1,532,127 | $ | 1,322,393 | |||||||||
| COST OF REVENUE | |||||||||||||||||
| Cost of service | 67,041 | 49,851 | 158,296 | 120,010 | |||||||||||||
| Cost of labor | 343,973 | 347,132 | 730,934 | 737,940 | |||||||||||||
| Depreciation and amortization | 33,744 | 62,168 | 50,272 | 124,336 | |||||||||||||
| Fuel | 117,157 | 102,033 | 222,266 | 209,946 | |||||||||||||
| Maintenance and repairs | 83,877 | 51,064 | 131,957 | 144,566 | |||||||||||||
| Total cost of revenue | 645,792 | 612,248 | 1,293,725 | 1,336,798 | |||||||||||||
| GROSS PROFIT (LOSS) | 81,037 | 18,002 | 238,402 | (14,405 | ) | ||||||||||||
| OPERATING EXPENSES | |||||||||||||||||
| R&D expenses | 2,150,000 | — | 2,150,000 | — | |||||||||||||
| General and administrative expenses | 706,072 | 141,762 | 1,170,678 | 425,381 | |||||||||||||
| Total operating expenses | 2,856,072 | 141,762 | 3,320,678 | 425,381 | |||||||||||||
| LOSS FROM OPERATIONS | (2,775,035 | ) | (123,760 | ) | (3,082,276 | ) | (439,786 | ) | |||||||||
| OTHER INCOME (EXPENSE) | |||||||||||||||||
| Interest income, net | 216,101 | — | 414,838 | — | |||||||||||||
| Other income, net | 25,992 | 16,556 | 25,992 | 21,285 | |||||||||||||
| Total other income, net | 242,093 | 16,556 | 440,830 | 21,285 | |||||||||||||
| LOSS BEFORE INCOME TAX BENEFIT | (2,532,942 | ) | (107,204 | ) | (2,641,446 | ) | (418,501 | ) | |||||||||
| Income tax expense (benefit) | — | 400 | 1,600 | (105,898 | ) | ||||||||||||
| NET LOSS | $ | (2,532,942 | ) | $ | (107,604 | ) | $ | (2,643,046 | ) | $ | (312,603 | ) | |||||
| Loss per common share - basic and diluted | $ | (0.15 | ) | $ | (0.01 | ) | $ | (0.16 | ) | $ | (0.02 | ) | |||||
| Weighted average shares - basic and diluted | 16,716,672 | 12,916,667 | 16,716,672 | 12,916,672 | |||||||||||||
| ELITE EXPRESS HOLDING INC. & ITS SUBSIDIARY UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS | ||||||
| As of May 31, | As of November 30, | |||||
| 2026 | 2025 | |||||
| (UNAUDITED) | (AUDITED) | |||||
| ASSETS | ||||||
| CURRENT ASSETS: | ||||||
| Cash and cash equivalents | $ | 5,235,991 | $ | 1,308,529 | ||
| Accounts receivable | 58,676 | 72,582 | ||||
| Loans receivable | 9,649,811 | 9,999,811 | ||||
| Prepaid D&O insurance | 31,345 | 102,443 | ||||
| Prepaid expenses and other current assets | 2,548,873 | 898,191 | ||||
| TOTAL CURRENT ASSETS | 17,524,696 | 12,381,556 | ||||
| NON-CURRENT ASSETS: | ||||||
| Plant and equipment | 141,414 | 167,008 | ||||
| Intangible assets | 460,000 | 487,600 | ||||
| Goodwill | 668,858 | 668,858 | ||||
| TOTAL ASSETS | $ | 18,794,968 | $ | 13,705,022 | ||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||
| TOTAL CURRENT LIABILITIES | 246,147 | 513,155 | ||||
| TOTAL LIABILITIES | 246,147 | 513,155 | ||||
| TOTAL STOCKHOLDERS’ EQUITY | 18,548,821 | 13,191,867 | ||||
| TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | $ | 18,794,968 | $ | 13,705,022 | ||
| ELITE EXPRESS HOLDING INC. & ITS SUBSIDIARY UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||
| For the Six Months Ended | ||||||||
| May 31, | ||||||||
| 2026 | 2025 | |||||||
| Cash flows from operating activities: | ||||||||
| Net loss | $ | (2,643,046 | ) | $ | (312,603 | ) | ||
| Net cash used in operating activities | (4,344,650 | ) | (294,052 | ) | ||||
| Cash flows from investing activities: | ||||||||
| Net cash provided by investing activities | 343,582 | — | ||||||
| Cash flows from financing activities: | ||||||||
| Net cash provided by financing activities | 7,928,530 | 178,922 | ||||||
| Net increase (decrease) in cash | 3,927,462 | (115,130 | ) | |||||
| Cash, beginning of period | 1,308,529 | 170,157 | ||||||
| Cash, end of period | $ | 5,235,991 | $ | 55,027 | ||||
