Revenue growth has stalled into a 9.1% decline as of 2026Q3, while gross margins have eroded into negative territory at -4.5%.
| Sales/Revenue | 193.63M | 190.41M | 166.98M | 135.04M | 56.03M | 9.02M |
| Revenue Growth % | 4.8% | 14.03% | 23.65% | 141.02% | 521.37% | - |
| Cost of Goods Sold | 198.91M | 193.41M | 148.89M | 109.52M | 49.82M | 7.39M |
| COGS % of Revenue | - | 101.58% | 89.17% | 81.1% | 88.91% | 81.93% |
| Gross Profit | -5.27M | -3M | 18.08M | 25.53M | 6.21M | 1.63M |
| Gross Margin % | -2.72% | -1.58% | 10.83% | 18.9% | 11.09% | 18.07% |
| Gross Profit Growth % | - | -116.59% | -29.16% | 310.99% | 281.2% | - |
| Operating Expenses | 14.75M | 14.68M | 9.97M | 7.59M | 3.96M | 1.12M |
| OpEx % of Revenue | - | 7.71% | 5.97% | 5.62% | 7.07% | 12.4% |
| Selling, General & Admin | 13.8M | 14.68M | 10.23M | 7.59M | 3.96M | 1.06M |
| SG&A % of Revenue | - | 7.71% | 6.13% | 5.62% | 7.07% | 11.72% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - |
| Other Operating Expenses | 947.15K | 0 | -261.63K | 0 | 0 | 61.41K |
| Operating Income | -20.02M | -17.68M | 8.12M | 17.93M | 2.25M | 509.68K |
| Operating Margin % | -10.34% | -9.28% | 4.86% | 13.28% | 4.02% | 5.65% |
| Operating Income Growth % | - | -317.82% | -54.75% | 696.55% | 341.75% | - |
| EBITDA | -18.27M | -14.71M | 10.15M | 19.25M | 3.08M | 689.31K |
| EBITDA Margin % | -9.44% | -7.72% | 6.08% | 14.25% | 5.5% | 7.64% |
| EBITDA Growth % | -64.45% | -244.93% | -47.29% | 524.58% | 347.12% | - |
| D&A (Non-Cash Add-back) | 1.75M | 2.97M | 2.03M | 1.32M | 830.58K | 179.64K |
| EBIT | -20.25M | -16.2M | 10.54M | 19.34M | 2.86M | 583.26K |
| Net Interest Income | -664.95K | -333.32K | 17.32K | -60.42K | -37.14K | -12.38K |
| Interest Income | 310.86K | 381.03K | 164.82K | 0 | 0 | 0 |
| Interest Expense | 975.81K | 714.35K | 147.5K | 60.42K | 37.14K | 12.38K |
| Other Income/Expense | -741.77K | 763.94K | 2.27M | 1.35M | 570.92K | 61.2K |
| Pretax Income | -20.76M | -16.91M | 10.39M | 19.28M | 2.82M | 570.88K |
| Pretax Margin % | -10.72% | -8.88% | 6.22% | 14.28% | 5.04% | 6.33% |
| Income Tax | -40K | -1.56M | 2.95M | 5.36M | 841.31K | 167.63K |
| Effective Tax Rate % | 0.19% | 9.24% | 28.36% | 27.8% | 29.81% | 29.36% |
| Net Income | -20.72M | -15.35M | 7.44M | 13.92M | 1.98M | 403.25K |
| Net Margin % | -10.7% | -8.06% | 4.46% | 10.31% | 3.54% | 4.47% |
| Net Income Growth % | -111.39% | -306.27% | -46.55% | 602.72% | 391.28% | - |
| Net Income (Continuing) | -20.72M | -15.35M | 7.44M | 13.92M | 1.98M | 403.25K |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -0.46 | -0.37 | 0.19 | 0.33 | 0.05 | 0.01 |
| EPS Growth % | -103.43% | -294.74% | -42.42% | 593.28% | - | - |
| EPS (Basic) | - | -0.37 | 0.19 | 0.33 | 0.05 | 0.01 |
| Diluted Shares Outstanding | 45.44M | 41.81M | 40.22M | 41.6M | 41.6M | 42M |
| Basic Shares Outstanding | 45.44M | 41.81M | 40.21M | 41.6M | 41.6M | 42M |
| Dividend Payout Ratio | - | - | - | - | - | - |
Negative gross margin sustainability
According to the company's recent quarterly filings, Armlogi's revenue growth has turned negative, with a 9.1% decline in 2026Q3, signaling that the previous double-digit expansion phase has stalled as the firm struggles to maintain its competitive position within the highly cyclical trans-Pacific logistics corridor.
The erratic revenue performance suggests that the company's reliance on spot-market logistics volumes leaves it exposed to rapid shifts in trade flow. Investors should monitor whether this deceleration reflects a structural loss of market share or merely a temporary adjustment in e-commerce import demand.
As reported in financial statements, Armlogi's gross margin has deteriorated into negative territory, reaching -4.5% in 2026Q3, which indicates that the cost of providing logistics services now consistently exceeds the revenue generated from those same activities, challenging the viability of the current pricing model.
This persistent negative margin profile suggests that the company may be aggressively underpricing services to capture market share, a strategy that appears unsustainable given the high fixed-cost nature of its warehouse footprint. The inability to achieve positive unit economics warrants deep skepticism regarding the company's long-term pricing power.
Based on Armlogi's reported figures, operating expenses continue to outpace gross profit, resulting in an operating margin of -12.5% in 2026Q3, which highlights a failure to achieve the necessary scale to amortize fixed administrative and facility overheads across the existing revenue base.
The lack of operating leverage implies that every additional dollar of revenue is currently failing to contribute to bottom-line profitability. Without a significant shift in throughput or a reduction in fixed costs, the company appears trapped in a cycle of scaling losses alongside its top-line operations.
Data from recent income statements suggests that Armlogi's asset-heavy logistics model faces significant risks, as the company has failed to generate positive net income in six of the last seven quarters, raising concerns about its ability to survive without further dilutive capital injections or debt restructuring.
Short-sellers would likely focus on the company's inability to convert its warehouse capacity into profitable service fees, viewing the current negative margins as a sign of fundamental operational weakness. The reliance on high-cost California facilities in a period of declining margins suggests that the company's business model may be fundamentally misaligned with current market realities.
Quick answers to the most common questions about buying BTOC stock.
For fiscal year 2025, Armlogi Holding Corp. common stock (BTOC) reported total revenue of $190.4M. This represents a 2011.6% increase compared to $9.0M in 2021.
Armlogi Holding Corp. common stock (BTOC) reported a net loss of $15.3M for the fiscal year ending 2025.
Armlogi Holding Corp. common stock (BTOC) reported an operating income of $-17.7M, resulting in an operating profit margin of -9.3%. This margin reflects the operational efficiency of the business before interest and taxes.
Armlogi Holding Corp. common stock (BTOC) generated $-3.0M in gross profit for the year, representing a gross profit margin of -1.6%. This demonstrates the company's core pricing power and production efficiency.