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.