For the first nine months of fiscal year 2026, total revenue increased 2.3% year-over-year to $142.7 million, driven by 19.9% growth in warehousing services revenue, which reached $55.5 million. Transportation services revenue declined 6.4% to $87.1 million, reflecting a continued shift in customer mix toward cross-border e-commerce platforms that bundle delivery services. The Company recorded a net loss of $15.4 million, or $(0.35) per basic and diluted share, for the nine-month period, compared with a net loss of $10.1 million, or $(0.24) per share, in the prior-year period. As of March 31, 2026, the Company operated twelve warehouses across the United States with an aggregate gross floor area of approximately 3.9 million square feet.
Third Quarter Fiscal Year 2026 Financial Highlights (Three Months Ended March 31, 2026)
Total revenue of $41.7 million, compared to $45.8 million in the prior-year quarter, representing a decrease of 9.1%.
Warehousing services revenue of $18.6 million, representing an increase of 7.3% year-over-year.
Transportation services revenue of $23.1 million, representing a decrease of 19.1% year-over-year, reflecting customer mix shift toward cross-border e-commerce platforms with bundled delivery services.
Gross loss of $1.9 million (gross margin of -4.5%), compared to gross profit of $0.3 million (gross margin of 0.6%) in the prior-year quarter, primarily reflecting temporary labor costs associated with significant inventory reorganization across the Company's California warehouses during the quarter.
General and administrative expenses of $3.3 million, representing a decrease of 25.7% year-over-year.
Net loss of $5.1 million, or $(0.11) per basic and diluted share, compared to a net loss of $3.8 million, or $(0.09) per share, in the prior-year quarter.
Cash and restricted cash of $7.1 million as of March 31, 2026, compared to $13.6 million as of June 30, 2025.
First Nine Months Fiscal Year 2026 Financial Highlights (Nine Months Ended March 31, 2026)
Total revenue of $142.7 million, representing an increase of 2.3% year-over-year.
Warehousing services revenue of $55.5 million, representing an increase of 19.9% year-over-year, driven by expanded operations at the Company's Georgia, Illinois, and Ontario, California facilities.
Transportation services revenue of $87.1 million, representing a decrease of 6.4% year-over-year.
Gross loss of $5.1 million (gross margin of -3.6%), compared to gross loss of $2.8 million (gross margin of -2.0%) in the prior-year period.
General and administrative expenses of $10.9 million, essentially flat compared to $10.8 million in the prior-year period.
Net loss of $15.4 million, or $(0.35) per basic and diluted share, compared to a net loss of $10.1 million, or $(0.24) per share, in the prior-year period.
Customer geographic diversification: PRC-based customers accounted for approximately 76% of total revenue for the nine months ended March 31, 2026, compared to approximately 87% in the prior-year period, reflecting continued broadening of the Company's customer base.
Operational Discussion
During the first nine months of fiscal year 2026, Armlogi continued to advance its operational footprint and service mix. Warehousing services revenue grew 19.9% year-over-year, driven primarily by the ramp-up of warehouse operations at the Company's facilities in Georgia, Illinois, and Ontario, California, locations that were added or substantially expanded during the prior fiscal year and continued to gain utilization during the current period. The Ontario, California facility became the second-highest revenue-generating warehouse in California during the period.
The decline in transportation services revenue reflects a structural shift in the cross-border e-commerce market. A growing proportion of the Company's traditional customer base has been transferring outbound order fulfillment to selling platform-operated fulfillment programs, while emerging customer segments served through certain cross-border e-commerce platforms typically utilize delivery services bundled by those platforms. As a result, the Company's transportation service volumes from these segments have declined, even as warehousing service utilization from these same segments has increased, and at higher per-order warehousing service rates than the Company's traditional customer profile.
Gross margin pressure during the third quarter primarily reflected a significant inventory reorganization undertaken across the Company's California warehouses, which generated a temporary increase of approximately $1.3 million in temporary labor expenses without a corresponding increase in revenue during the period.
These dynamics are taking place alongside the Company's previously disclosed strategic initiatives, including the continued buildout of its internal middle-mile transportation network in Southern California and its ongoing investments in internal financial reporting and management infrastructure. The Company believes these initiatives are intended to support stronger operational discipline, enhanced management visibility, and improved unit economics over time.
Liquidity
As of March 31, 2026, the Company had cash and cash equivalents and restricted cash of $7.1 million, compared to $13.6 million as of June 30, 2025. Net cash used in operating activities for the nine months ended March 31, 2026 was $5.5 million, broadly consistent with the prior-year period.
Management Commentary
Aidy Chou, Chairman and Chief Executive Officer of Armlogi, commented, "The third quarter and first nine months of fiscal 2026 reflect a period of significant transition for Armlogi. Our warehousing services business continued to grow at a meaningful rate, driven by the ramp-up of newer facilities and a shift in customer mix toward higher-value service profiles. At the same time, we have faced headwinds in our transportation services business as the broader cross-border e-commerce market has continued to evolve. We are taking these challenges seriously and are responding with disciplined operational execution, ongoing investment in the network capacity and infrastructure required to support our long-term competitive position, and a clear focus on the financial and capital structure work needed to support the business through this transition."
About Armlogi Holding Corp.
Armlogi Holding Corp., based in Walnut, CA, is a U.S.-based warehousing and logistics service provider offering a comprehensive suite of supply-chain solutions, including warehouse management and order fulfillment. The Company caters to cross-border e-commerce merchants seeking to establish U.S. market warehouses. With 12 warehouses totaling approximately 3.9 million square feet, the Company offers comprehensive one-stop warehousing and logistics services. The Company's warehouses are equipped with facilities and technology to handle and store large, bulky items. Armlogi is a member of the Russell Microcap® Index. For more information, please visit www.armlogi.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. In addition, our representatives may from time to time make forward-looking statements, orally or in writing. We base these forward-looking statements on our expectations and projections about future events, which we derive from the information currently available to us. Such forward-looking statements relate to future events or our future performance, including: our financial performance and projections; our revenue and earnings growth; our business prospects and opportunities; and the expected benefits of our operational initiatives, including the expansion of our internal transportation network. You can identify forward-looking statements by those that are not historical in nature, particularly those that use terminology such as "may," "should," "expects," "anticipates," "contemplates," "estimates," "believes," "plans," "projected," "predicts," "potential," or "hopes" or the negative of these or similar terms. In evaluating these forward-looking statements, you should consider various factors, including: our ability to successfully implement and scale our internal transportation network; the extent to which anticipated cost efficiencies and operational improvements are realized; our ability to keep pace with new technology and changing market needs; the competitive environment of our business; changes in demand for our services; and our dependence on third-party service providers. These and other factors, including those described in the Company's filings with the U.S. Securities and Exchange Commission (the "SEC"), including our Annual Report on Form 10-K and Quarterly Reports on Form 10-Q, may cause our actual results to differ materially from any forward-looking statement. Forward-looking statements are only predictions. Forward-looking statements speak only as of the date of this press release, and except as required by law, we undertake no obligation to publicly update or revise any forward-looking statement. The forward-looking events discussed in this press release and other statements made from time to time by us or our representatives, may not occur, and actual events and results may differ materially and are subject to risks, uncertainties, and assumptions described above and in our SEC filings.
Company Contact:[email protected]
Investor Relations Contact:Matthew Abenante, IRCPresidentStrategic Investor Relations, LLC Tel: 347-947-2093Email: [email protected]
**Tables Follow**
ARMLOGI HOLDING CORP.CONDENSED CONSOLIDATED BALANCE SHEETSAS OF MARCH 31, 2026 AND JUNE 30, 2025(US$, except share data, or otherwise noted)
March 31,2026
June 30,2025
US$
US$
Unaudited
Audited
Assets
Current assets
Cash and cash equivalents
2,668,304
9,190,277
Accounts receivable and other receivable, net of credit loss allowance of $594,869 and $594,869
18,392,275
22,207,500
Other current assets
783,826
998,925
Prepaid expenses
1,307,390
1,375,646
Loan receivables, net of credit loss allowance of $nil and $nil
1,681,245
3,893,563
Total current assets
24,833,040
37,665,911
Non-current assets
Restricted cash
4,398,412
4,387,550
Property and equipment, net
10,074,357
11,259,820
Intangible assets, net
22,259
54,627
Right-of-use assets – operating leases
102,118,310
115,361,185
Right-of-use assets – finance leases
1,408,755
745,547
Other non-current assets
883,125
739,555
Total assets
143,738,258
170,214,195
LIABILITIES AND STOCKHOLDERS' EQUITY
Liabilities:
Current liabilities
Accounts payable and accrued liabilities
8,381,753
9,604,783
Contract liabilities
602,808
939,097
Accrued payroll liabilities
663,443
283,150
Convertible notes
-
5,292,749
Operating lease liabilities – current
35,351,135
29,280,907
Finance lease liabilities – current
759,787
386,327
Total current liabilities
45,758,926
45,787,013
Non-current liabilities
Operating lease liabilities – non-current
83,822,574
98,939,552
Finance lease liabilities – non-current
702,532
397,692
Total liabilities
130,284,032
145,124,257
Commitments and contingencies
Stockholders' equity
Common stock, US$0.00001 par value, 100,000,000 shares authorized, 45,443,079 and 42,250,934 issued and outstanding as of March 31, 2026 and June 30, 2025, respectively
454
422
Additional paid-in capital
20,468,826
