Elite Express Holding Inc. (NASDAQ: ETS) reported full‑year 2025 financial results, showing revenue of $2.7 million—an increase of 9.1% from $2.5 million in 2024—while the company posted a net loss of $2.2 million, compared with a $0.4 million loss in the prior year.
Revenue growth was driven by a 75.7% share of activity‑based revenue, up from 70.2% in 2024, largely reflecting FedEx‑driven e‑commerce stops. Fixed revenue from weekly service charges fell 7.8% to $0.6 million, reflecting a reduction in baseline compensation.
The widening net loss is attributable to the costs of becoming a public company—legal, accounting, and governance expenses—plus $0.9 million spent on research and development for a B2B delivery aggregation platform. These investments, while expanding the company’s platform capabilities, have increased operating expenses beyond the revenue gains.
Gross profit rose to $18,211 from $15,897 in 2024, supported by higher activity‑based revenue and lower fuel costs. However, the company’s gross margin improvement was offset by the higher general and administrative and R&D outlays, leading to a net loss expansion.
Management emphasized a strategic focus on expanding fleet capacity, enhancing operational efficiency through technology, and diversifying revenue streams beyond FedEx. The company remains heavily concentrated on a single customer, and a Nasdaq notice regarding its bid‑price compliance highlights ongoing listing risk.
Investors are monitoring the company’s ability to balance short‑term profitability with long‑term platform development, while the concentration risk and Nasdaq compliance issue add caution to the outlook.
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