(Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2025 UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-K OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _________to_________ Commission File Number 000-23115 YUNHONG GREEN CTI LTD. (Exact name of registrant as specified in its charter) Illinois 36-2848943 (State or o ...

Sales Performance - Net sales for the three-month period ended September 30, 2025, were approximately $2,953,000, representing a 16% increase from $2,540,000 in the same period of 2024[69] - For the nine-month period ended September 30, 2025, net sales were $13,212,000, an increase of 12% from $11,788,000 in the same period of 2024[71] - Revenues from foil balloons increased to $2,352,000 for the three months ended September 30, 2025, compared to $2,322,000 in 2024, reflecting a 1% increase[73] - Revenues from film products rose significantly to $253,000 for the three months ended September 30, 2025, from $129,000 in 2024, marking a 96% increase[74] Cost and Expenses - The cost of sales for the three months ended September 30, 2025, was $2,886,000, representing 98% of sales, compared to 101% in the same period of 2024[79] - General and administrative expenses increased to $869,000 for the three months ended September 30, 2025, from $751,000 in 2024, primarily due to higher legal expenses[80] Liquidity and Cash Flow - The company maintained senior secured credit facilities totaling $7.0 million in revolving credit and $0.7 million in term loans as of September 30, 2025[64] - As of September 30, 2025, the company had $4.6 million outstanding on the revolving facility and $0.6 million on the term loan, with $2.4 million of remaining borrowing capacity[67] - Net cash provided by operations during the nine months ended September 30, 2025, was $2,300,000, compared to $862,000 in the same period of 2024[83] - The company received a dispute settlement amount of $315,000 during the three months ended September 30, 2025, contributing to other income[82] - Cash used in investing activities was $68,000 in 2025, down from $302,000 in 2024[85] - Cash used in financing activities was $2,065,000 in 2025, compared to $1,476,000 in 2024[86] - Cash balances increased to $387,000 at September 30, 2025, compared to $5,000 for the same period in 2024[87] - The primary sources of liquidity include cash and cash equivalents, as well as availability under the Credit Agreement[89] Accounts and Inventory - Accounts receivable decreased by $2,712,000 in the nine months ended September 30, 2025, compared to a decrease of $1,779,000 in the same period of 2024[84] - Inventory increased by $187,000 in 2025, compared to an increase of $61,000 in 2024[84] Going Concern - The company faces substantial doubt about its ability to continue as a going concern for one year from the issuance of the financial statements[88] Seasonal Sales - Sales in the foil balloon product line are historically seasonal, with approximately 40% occurring from December through March[90]

Financial Performance - Net sales for the three-month period ended June 30, 2025, were approximately $5,457,000, representing a 25% increase from $4,354,000 in the same period of 2024[68]. - For the six-month period ended June 30, 2025, net sales were $10,259,000, an increase of $1,011,000 or 11% compared to $9,248,000 in 2024[70]. - Revenues from foil balloons decreased to $3,012,000 during the three-month period ended June 30, 2025, down 7% from $3,252,000 in 2024, attributed to shipment timing[69][71]. - Revenues from commercial films increased to $350,000 and $777,000 for the three and six-month periods ended June 30, 2025, compared to $171,000 and $476,000 in 2024, reflecting a 105% and 63% increase respectively[72]. - Other revenues for the three and six-month periods ended June 30, 2025, were $2,095,000 and $2,237,000, compared to $931,000 and $2,601,000 in 2024, with fluctuations due to timing of shipments[73]. Financing and Debt - The company has a senior secured financing agreement with a revolving credit facility of up to $6 million and a term loan facility of $731,250, secured by substantially all assets[60]. - As of June 30, 2025, the term loan balance was approximately $0.6 million, and the balance of the revolving line of credit was $4.7 million[65]. - The company received a notice from Nasdaq regarding non-compliance with the minimum bid price requirement, with a grace period until April 21, 2025, to regain compliance[57]. - The company intends to monitor its stock price closely and may consider a reverse stock split if necessary to meet Nasdaq requirements[58]. Customer Concentration - Customer A accounted for 38% of net sales in Q2 2025, down from 60% in Q2 2024, while Customer B represented 44% in Q2 2025, up from 24% in Q2 2024[77]. - Total amounts owed by these two customers were approximately $3,484,000, representing 89% of the Company's consolidated net accounts receivable as of June 30, 2025, compared to 94% in 2024[77]. Expenses and Cash Flow - Cost of sales for the six months ended June 30, 2025, was $8,415,000, which is 82% of net sales, an improvement from 83% in the same period of 2024[78]. - General and administrative expenses increased to $1,593,000 for the six months ended June 30, 2025, compared to $1,698,000 in 2024[79]. - Selling, advertising, and marketing expenses decreased to $338,000 for the six months ended June 30, 2025, down from $413,000 in 2024[80]. - Net cash provided by operations was $1,714,000 for the six months ended June 30, 2025, a significant increase from $108,000 in the same period of 2024[82]. - Cash used in investing activities was $42,000 for the six months ended June 30, 2025, compared to $274,000 in 2024[83]. - Cash used in financing activities was $1,874,000 for Q2 2025, compared to $733,000 in Q2 2024[84]. - The Company had cash balances of $18,000 as of June 30, 2025, down from $22,000 in 2024[85]. Company Outlook - The Company changed its name to include "Green" to reflect its commitment to supplying biodegradable and compostable materials[56]. - There is substantial doubt about the Company's ability to continue as a going concern due to supply chain constraints and inflationary pressures[87].

Financial Performance - Net sales for Q1 2025 were approximately $4.80 million, a slight decrease of $92,000 or 1.9% compared to $4.89 million in Q1 2024[71] - Revenue from foil balloons increased to $4,234,000 in Q1 2025, up from $2,919,000 in Q1 2024, representing a 45% increase[72] - Revenue from film products rose to $427,000 in Q1 2025, compared to $305,000 in Q1 2024, marking a 40% increase[73] - Other revenues decreased significantly to $141,000 in Q1 2025 from $1,670,000 in Q1 2024, primarily due to the timing of spring product shipments[74] - The cost of sales for Q1 2025 was $3,936,000, slightly lower than $3,999,000 in Q1 2024, maintaining a gross margin of 18%[77] - General and administrative expenses decreased to $839,000 in Q1 2025 from $1,040,000 in Q1 2024, largely due to a $167,000 reduction in audit fees[78] Cash Flow and Liquidity - Net cash provided by operations was $970,000 in Q1 2025, compared to net cash used in operations of $767,000 in Q1 2024[79] - As of March 31, 2025, the company had cash balances of $172,000, an increase from $49,000 in the same period of 2024[82] - The term loan balance as of March 31, 2025, was $0.6 million, with a revolving line of credit balance of $5.6 million[68] - The Company's primary sources of liquidity include cash and cash equivalents, as well as availability under the Credit Agreement[85] Going Concern - The Company faces substantial doubt about its ability to continue as a going concern for one year from the issuance of the consolidated financial statements[84] - Management's plans to ensure going concern include executing the business plan and exploring alternative funding sources[84] Compliance and Accounting - The company is in compliance with the Senior Facilities' requirement to maintain a Tangible Net Worth of at least $4,000,000[66] - There have been no material changes to the critical accounting estimates since December 31, 2024[87] Seasonal Sales - Sales in the foil balloon product line are historically seasonal, with approximately 40% of sales occurring from December through March[86]