Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (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 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ____________ to _____________ Commission File No. 000-41092 FIREFLY NEUROSCIENCE, INC. (Exact name of registrant as specified in its charter) Delaw ...

Financial Performance - Revenue for the year ended December 31, 2025, was $1,142,000, representing an increase of $1,034,000 or 957% compared to $108,000 in 2024, primarily due to revenue from the acquisition of Evoke Neuroscience [424]. - Cost of goods sold for 2025 was $497,000, up from $0 in 2024, with manufacturing and inventory costs accounting for 43% of the increase and labor costs for 33% [425]. - Research and development expenses decreased by $472,000 or 24% to $1,482,000 in 2025, primarily due to equity vesting related to the merger in August 2024 [426]. - Selling and marketing expenses decreased by $401,000 or 33% to $800,000 in 2025, mainly due to reduced consultant use following a rebranding in 2024 [427]. - General and administration expenses increased by $835,000 or 13% to $6,968,000 in 2025, largely due to higher directors and officers insurance costs and accrued fees from the cancellation of the Equity Line of Credit [428]. - The company reported an operating loss of $8,856,000 for 2025, an improvement of $1,198,000 compared to a loss of $10,054,000 in 2024 [422]. - Net cash used in operating activities was $8,194,000 for 2025, an increase of $2,039,000 or 33% from $6,155,000 in 2024, driven by higher operating costs and research and development expenses [441]. - Net cash used in investing activities rose to $2,488,000 in 2025 from $477,000 in 2024, representing a 422% increase attributed to the acquisition of Evoke Neuroscience [442]. - As of December 31, 2025, the company had an accumulated deficit of $111,615,000 and negative cash flows from operating activities of $8,194,000, raising substantial doubt about its ability to continue as a going concern [431]. Acquisitions and Investments - The company acquired all outstanding stock of Evoke for approximately $6,000, consisting of $3,000 in cash and 857,142 shares of Common Stock valued at $3.50 per share [374]. - The acquisition of Evoke Neuroscience was completed for a total consideration of $6,221, including $3,000 in cash and 857,142 shares of common stock [401]. - The company raised $150,000 through warrant exercises and $2,250,000 through a private placement after December 31, 2025, with investors having the right to purchase up to an additional $18,000,000 of units [420]. Revenue Model and Business Strategy - The company has a subscription-based commercial model that creates a recurring revenue stream, scaling with clinical utilization [360]. - The company plans to generate revenue through healthcare professionals in the U.S. and collaborations with pharmaceutical companies for neuroscience drug development [392]. Clinical Operations - The Evoke System is actively used across more than 85 clinical sites in the United States as of December 31, 2025, enhancing clinical decision-making through EEG and ERP assessments [360]. - The Firefly Platform integrates hardware, software, and data infrastructure to enhance the quality of electrophysiological assessments in clinical settings [359]. Stock and Warrants - The company generated total proceeds of $8,825 from the exercise of warrants to purchase 1,623,530 shares of Common Stock at various exercise prices [362]. - On March 28, 2025, the company issued 547,737 units at a purchase price of $3.00 per unit, each consisting of one share of Common Stock or a prefunded warrant [363]. - The company issued 400,000 units at a total purchase price of $1,200 on June 16, 2025, with each unit priced at $3.00 [375]. - The company entered into a warrants cancellation and exchange agreement, resulting in the exchange of June 2025 Warrants for New 2025 Warrants to purchase 800,000 shares of Common Stock at an exercise price of $0.50 per share [382]. - The company entered into an At the Market Offering Agreement with Konik Capital Partners, allowing for the sale of up to $7,434,266 in Common Stock [383]. - The March 2026 Purchase Agreement involves the issuance of up to 13,500,000 units at a price of $1.50 per unit, with an initial investment of $2,250,000 from accredited investors [388]. - The company will pay Konik a commission of 2.0% on gross proceeds from ATM Shares sold, along with reimbursement for legal fees not exceeding $50,000 [387]. - The offering was structured to comply with Nasdaq Listing Rule 5635(d) without requiring stockholder approval [390]. - The company will file a registration statement on Form S-1 for the resale of shares and warrant shares by April 15, 2026 [390]. Impairments and Market Conditions - No goodwill impairment was recognized as the market capitalization exceeded net assets, with a share price recovery to $1.73 by March 11, 2026 [406]. - Total impairment recognized on pre-acquisition Firefly assets was $251, due to the discontinuation of the BNA software platform and Zeto headsets [409]. - No applicable market risk disclosures were provided in the document [448].

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Fiscal Year Ended December 31, 2025 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 NO. 001-34647 ZW DATA ACTION TECHNOLOGIES INC. (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporati ...

Revenue and Profitability - Total revenue for the year ended December 31, 2025 increased 14% to $133.9 million compared to $117.3 million for the prior year, primarily due to $18.7 million of license revenue recognized [256]. - Product revenue for 2025 was $115.2 million, accounting for 86% of total revenue, while license revenue was $18.7 million, representing 14% of total revenue [255]. - Gross profit margin increased to 62.9% for 2025 from 58.2% in 2024, with a 530 basis point improvement due to sales mix and greater scale [258]. Operating Expenses and Cash Flow - Operating expenses decreased to $76.9 million in 2025, representing 57.5% of total revenue, down from 68.5% in 2024 [255]. - Net cash provided by operating activities for the year ended December 31, 2025 was $12.5 million, a significant improvement from a net cash used of $11.9 million in 2024 [267]. - Net cash provided by investing activities increased to $7.9 million in 2025 from a net cash used of $3.7 million in 2024, primarily due to proceeds from divestitures [268]. - Net cash used in financing activities was $9.6 million in 2025, a decrease from net cash provided of $16.1 million in 2024, largely due to reduced borrowings and debt repayments [269]. Assets and Liabilities - Cash and cash equivalents increased to $17.3 million as of December 31, 2025, up from $6.2 million in 2024 [266]. - Net working capital improved to $48.8 million in 2025 compared to $38.5 million in 2024 [266]. - As of December 31, 2025, the company had $10.9 million outstanding under the Revolving Credit Facility and $3.8 million of availability [275]. - The effective interest rate for the Term Credit Agreement was 14.08% and for the Revolving Credit Agreement was 8.49% as of December 31, 2025 [276]. Financing and Credit Agreements - The company entered into a manufacture and license agreement for SimpliGraft® with a one-time cash payment of $1.5 million and minimum purchase obligations [250]. - The company entered into several amendments to its credit agreements, including increasing term loans by $5.0 million to a maximum of $22.0 million [271]. - As of December 31, 2025, the company was in compliance with all applicable covenants under the Credit Agreements, although it was not required to comply with the minimum net revenue covenant for that quarter due to a recent amendment [277]. - The company may seek additional financing before March 2027 if market conditions are favorable, which could dilute current stockholders' interests [279]. Research and Development - Research and development expenses decreased by 12% to $2.1 million in 2025 compared to $2.4 million in 2024 [261]. Divestitures - The company recognized a gain on divestiture of $3.3 million in 2025 from the sale of assets related to its Coflex and CoFix products [264]. - The sale of Coflex/CoFix assets generated a total purchase price of $17.5 million, with $10 million received in cash prior to the end of 2025 [251]. Inventory Management - Inventory valuation is a critical accounting estimate, with reserves for excess and obsolete inventory reviewed quarterly [283].

Revenue and Income - Total revenues for the company in 2025 were $2,725 million, representing a 6% increase from $2,565 million in 2024[266] - Security subscription revenues increased by $115 million, or 10%, from $1,104 million in 2024 to $1,219 million in 2025[267] - Net income increased by $211 million to $1,057 million in 2025 compared to $846 million in 2024[285] Expenses - Research and development expenses rose to $457 million in 2025, accounting for 17% of revenues, up from 15% in 2024[272] - Selling and marketing expenses were $947 million in 2025, representing 35% of revenues, compared to 34% in 2024[275] - General and administrative expenses increased to $129 million in 2025, which was 5% of revenues, up from 4% in 2024[277] - Total cost of revenues was $362 million in 2025, compared to $319 million in 2024[268] - Cost of security subscriptions increased to $91 million in 2025 from $73 million in 2024[270] - Amortization of technology was $33 million in 2025, up from $25 million in 2024, attributed to acquisitions[271] Operating Performance - Operating income for 2025 was $831 million, with an operating margin of 30%, down from 34% in 2024[264][279] Cash Flow and Investments - Total cash and cash equivalents, short-term investments, and long-term interest-bearing investments reached $4,342 million as of December 31, 2025, compared to $2,784 million in 2024[286] - Net cash from operations was $1,199 million in 2025, an increase from $1,052 million in 2024, influenced by a $51 million benefit from balance sheet hedging[288] - Net cash used in investing activities rose to $680 million in 2025 from $24 million in 2024, with $273 million allocated for acquisitions[289] - Net cash provided by financing activities was $752 million in 2025, primarily due to the issuance of $1,780 million in convertible senior notes[290] Tax and Financial Income - The effective tax rate was (12)% in 2025, compared to 13% in 2024, resulting in a tax benefit of $(112) million in 2025[283] - Net financial income was $114 million in 2025, up from $96 million in 2024, primarily due to higher reinvestment yield and additional interest income[281] Shareholder Activities - The company repurchased ordinary shares amounting to $1,400 million in 2025, up from $1,300 million in 2024[290] - The company completed a $2,000 million Convertible Senior Note issuance in December 2025, contributing to additional interest income[287] Sales Concentration - The company derived approximately 57% of its sales from its ten largest channel partners in 2025[249]

Revenue Performance - Full year 2025 revenue totaled $134.0 million, an increase of 14% year-over-year from $117.3 million in 2024[2][8] - Fourth quarter 2025 revenue was $32.4 million, up approximately 3% compared to $31.5 million in the prior year quarter[6][8] - Total revenue for the year ended December 31, 2025, was $133.9 million, a 14.3% increase from $117.3 million in 2024[26] Profitability - Net income for the full year 2025 was $5.0 million, or $0.03 per diluted share, compared to a net loss of $16.5 million in 2024[6][11] - Gross margin for the full year 2025 was 62.9%, compared to 58.2% for the full year 2024[6][9] - Gross profit for the year was $84.3 million, up from $68.2 million in 2024, resulting in a gross margin of 63%[26] - Net income for the year was $5.0 million, a significant recovery from a net loss of $16.4 million in 2024[26] - The company reported a non-GAAP EBITDA of $15.8 million for 2025, compared to a loss of $7.9 million in 2024, indicating improved operational efficiency[30] Cash Flow and Financial Position - Operating cash flow for the full year 2025 was $12.5 million, compared to net cash used in operations of $11.9 million in 2024[6][11] - Cash and cash equivalents increased to $17.1 million as of December 31, 2025, compared to $6.2 million at the end of 2024[27] - The company increased its cash position to over $22 million and reduced its term loan balance to $11.2 million[7][14] - Total current assets rose to $78.2 million in 2025 from $67.1 million in 2024, driven by increases in cash and trade accounts receivable[24] - Total liabilities decreased to $43.2 million in 2025 from $50.9 million in 2024, reflecting a reduction in long-term debt[24] - The company’s total stockholders' equity increased to $51.0 million in 2025 from $43.0 million in 2024, indicating a stronger financial position[24] Business Development and Innovation - The company launched new products including the nanOss Strata™ and CollagenX™ in 2025, focusing on innovation in its biologics segment[6][7] - The company completed the sale of non-core assets to Companion Spine for a total of $21.4 million in cash[6][8] - The company anticipates full-year 2026 revenue to be in the range of $95 million to $99 million, reflecting organic growth in its core biologics business[15][21] Operating Expenses - Operating expenses totaled $77.0 million in 2025, down from $80.3 million in 2024, with general and administrative expenses increasing to $29.4 million[26] - Non-GAAP adjusted EBITDA for the full year 2025 was $16.3 million, compared to an adjusted EBITDA loss of $2.3 million for the full year 2024[6][12] Revenue Breakdown - Product revenue decreased to $115.2 million in 2025 from $115.8 million in 2024, while license revenue increased significantly to $18.7 million from $1.5 million[26]

Financial Performance - Revenue for Q1 FY26 reached $17.2 billion, an increase of 18.1% year over year, significantly exceeding the high end of the outlook[4] - Non-GAAP gross billings were $25.8 billion, up 24.4% year over year, also significantly above the high end of the outlook[4] - Diluted EPS for Q1 FY26 was $4.04, a 104.0% increase year over year, while non-GAAP diluted EPS was $4.73, up 68.9% year over year[3] - Operating income for Q1 FY26 was $489 million, reflecting a 60.7% increase year over year, with an operating margin of 2.85%[3] - Net income increased to $326,915 for the three months ended February 28, 2026, compared to $167,537 in the prior year, reflecting a 95.5% year-over-year growth[23] - Non-GAAP net income for the same period was $382,567, compared to $237,371 in 2025, showing a 60.9% increase[29] - Non-GAAP operating income for the three months ended February 28, 2026, was $589,592, compared to $398,789 in the previous year, reflecting a 47.9% increase[27] Shareholder Returns - The company returned $118 million to shareholders through share repurchases of approximately $80 million and dividends of $39 million[4] - A quarterly cash dividend of $0.48 per common share was announced, representing a 9% increase year over year[7] Future Projections - For Q2 FY26, the company expects revenue between $16.1 billion and $16.9 billion, with non-GAAP gross billings projected between $24.6 billion and $25.6 billion[6] - Net income for Q2 FY26 is anticipated to be between $234 million and $274 million, with non-GAAP net income expected to be between $302 million and $342 million[6] - Non-GAAP net income forecast for the three months ending May 31, 2026, ranges from $302 million to $342 million[31] - Non-GAAP Diluted EPS is projected to be between $3.75 and $4.25 for the same period[31] - Revenue forecast for the three months ending May 31, 2026, is estimated to be between $16.1 billion and $16.9 billion[31] - Non-GAAP gross billings are expected to range from $24.6 billion to $25.6 billion[31] Asset and Liability Overview - Total current assets as of February 28, 2026, were $26,109,224, compared to $25,289,438 as of November 30, 2025[22] - Total liabilities increased to $26,300,969 as of February 28, 2026, from $25,800,469 as of November 30, 2025[22] - Cash and cash equivalents decreased to $1,562,557 from $2,435,389, indicating a cash outflow during the period[25] Cost Projections - Costs related to third-party supplier service contracts and software as a service arrangements are projected to be between $8.5 billion and $8.7 billion[31] - Amortization of intangibles is estimated at $75 million for the forecast period[31] - Share-based compensation is expected to be $15 million[31] - Income taxes related to the above items are forecasted to be $(22) million[31] Earnings Per Share - Basic earnings per share rose to $4.05, up from $1.98, while diluted earnings per share increased to $4.04 from $1.98[23] - Diluted EPS calculated using the two-class method is projected to be between $2.90 and $3.40[31]

Revenue and Financial Performance - Consolidated revenue for the year ended December 31, 2025, was $16,398 thousand, a 32% decrease compared to $24,207 thousand for the year ended December 31, 2024 [240]. - Gross profit for the year ended December 31, 2025, was $6,321 thousand, with a gross margin of 38.5%, up from 35.8% in 2024 [241]. - The Precision Logistics segment revenue decreased to $16,242 thousand in 2025 from $23,766 thousand in 2024, primarily due to the termination of the ProActive services agreement [240]. - Net loss for the year ended December 31, 2025, was $4,905 thousand, compared to a net loss of $3,824 thousand in 2024, with a loss per share of $0.39 [248]. - Cash provided by financing activities for the year ended December 31, 2025, was $3,660 thousand, compared to cash used of $616 thousand in 2024 [251]. - Research and development expenses decreased to $20 thousand in 2025 from $70 thousand in 2024, reflecting fewer projects in the Authentication segment [244]. - Segment management and technology expenses decreased by $2,316 thousand to $3,138 thousand for the year ended December 31, 2025, compared to $5,454 thousand in 2024 [242]. - The company recorded an intangible asset impairment charge of $2,788 thousand and a goodwill impairment charge of $1,062 thousand for the year ended December 31, 2025 [246]. - The Company recorded a goodwill impairment charge of $1,062 thousand during the year ended December 31, 2025, due to a triggering event related to the Precision Logistics segment [269]. - An intangible impairment charge of $2,788 thousand was recorded during the year ended December 31, 2025, as certain intangible assets were deemed impaired [271]. Strategic Partnerships and Services - The company expects to begin broadly offering Premium and Direct Premium services to customers of its new Strategic Partner in Q2 2026 [208]. - The company ceased providing ProActive and Premium services to its prior carrier partner in 2025 but continues to offer Direct Premium services [207]. - The company anticipates ProActive services revenue to recover over several quarters following the new Program Agreement with a Strategic Partner [240]. - VerifyMe's service offerings include customized reporting for trend analysis and post-delivery services to enhance customer processes [205]. - The proprietary PeriTrack® dashboard provides real-time visibility into shipping activities and supports supply chain stakeholders [211]. - Over 95% of the Company's revenue is derived from logistics management for time and temperature-sensitive packages [266]. Mergers and Acquisitions - The merger with Open World Ltd. is expected to result in existing stockholders retaining approximately 10% of the post-merger shares, while Open World shareholders will receive about 90% [213]. - The merger agreement includes customary covenants, including conducting business in the ordinary course and restrictions on certain transactions [214]. - The company has agreed to maintain a Closing Net Cash of no less than $1 million as a condition for the merger [217]. Employment Agreements - Adam Stedham's new employment agreement includes an annual base salary of $300,000 with a potential bonus of up to 50% based on performance [224]. - Jennifer Cola's employment agreement includes an annual base salary of $180,000 with a potential bonus of up to 50% based on performance, along with 130,000 restricted stock awards [227]. Financial Obligations and Compliance - The Company is not in compliance with all covenants under the PNC Facility as of December 31, 2025, but received a waiver for certain events of default [260]. - The Company expects to fund operations for the next 12 months through current financial resources and future revenue, with potential for additional debt or equity issuance [263]. - The PNC Facility includes a $1 million Revolving Line of Credit (RLOC) with no scheduled principal payments until maturity, and as of December 31, 2025, $0 was outstanding on the RLOC [258]. - A four-year Term Note for $2 million under the PNC Facility was paid in full as of January 21, 2025, with no future principal payments due [259]. - The Company entered into a Convertible Note Purchase Agreement for the sale of convertible promissory notes totaling $1,100 thousand, with $475 thousand purchased by related parties [257]. - As of December 31, 2025, the outstanding amount on the convertible debt was $750 thousand, with an interest expense of $61 thousand for the year ended December 31, 2025 [257]. Future Growth and Strategy - The Company anticipates growth through key acquisitions and organic growth strategies [263].

Financial Performance - Q2 GAAP revenues were $611.0 million, an increase of 7.1% from Q2 2025, driven by institutional buy-side and wealth management clients[5]. - Q2 GAAP diluted EPS was $3.59, down 4.5% from the prior year, while adjusted diluted EPS increased by 4.2% to $4.46[5][6]. - Revenues for the three months ended February 28, 2026, were $611,019, representing a 7.1% increase from $570,660 in the same period of 2025[26]. - Operating income for the same period was $184,961, slightly down by 0.3% from $185,492 in 2025[33]. - Net income decreased by 8.1% to $133,056 for the three months ended February 28, 2026, compared to $144,860 in 2025[33]. - Organic revenues for the three months ended February 28, 2026, were $606,176, reflecting a 6.8% increase from $567,543 in 2025[30]. - Adjusted operating income for the three months ended February 28, 2026, was $214,068, a 0.7% increase from $212,669 in 2025[33]. - Free cash flow for the three months ended February 28, 2026, is reported at $185,691 thousand, a 23.6% increase from $150,219 thousand in the prior year[37]. - Net cash provided for operating activities increased by 21.7% to $211,688 thousand compared to $173,955 thousand in the previous year[37]. Client Metrics - Client count increased to 9,101, with a net addition of 98 clients in the past three months, and user count rose to 241,352, an increase of 1,489 users[12]. Guidance and Projections - The company updated its fiscal 2026 guidance, expecting organic ASV growth of $130 million to $160 million and GAAP revenues in the range of $2,450 million to $2,470 million[18]. - Fiscal 2026 revenue guidance is projected between $2,450 million and $2,470 million[35]. - Adjusted operating income is expected to range from $840 million to $870 million, with adjusted operating margins of 34.0% to 35.5%[35]. - Net income guidance for Fiscal 2026 is between $555 million and $582 million, with adjusted net income ranging from $645 million to $670 million[35]. - Diluted earnings per share (EPS) is projected to be between $14.85 and $15.35, with adjusted diluted EPS ranging from $17.25 to $17.75[35]. Asset and Cash Position - Total assets as of February 28, 2026, were $4,219,830, down from $4,304,272 as of August 31, 2025[28]. - Cash and cash equivalents decreased to $268,338 as of February 28, 2026, from $337,651 as of August 31, 2025[28]. - The company reported a net cash provided by operating activities of $332,972 for the six months ended February 28, 2026, compared to $260,327 in 2025[29]. - The company’s total stockholders' equity decreased to $2,129,112 as of February 28, 2026, from $2,186,413 as of August 31, 2025[28]. Strategic Initiatives - A multi-year strategic agreement was announced with Barclays to provide access to FactSet's financial data and analytics, enhancing market data strategy[17]. - The launch of AI Doc Ingest for Cobalt aims to improve data extraction for private capital clients, indicating a focus on AI-driven solutions[17]. ASV Performance - Organic ASV reached $2,449.1 million, up 6.7% year over year, with a net increase of $152.9 million compared to the prior year[5][8]. - ASV from the Americas was $1,605.9 million, reflecting a 7.0% increase year over year, while EMEA and Asia Pacific ASV grew by 4.3% and 10.0%, respectively[9][10][11].

Financial Performance - Net sales for Q4 FY2025 decreased by 3.1% to $138.4 million compared to $142.8 million in Q4 FY2024[4] - Total company comparable sales decreased by 4.8% in Q4 FY2025[4] - Direct to consumer net sales, which represented 53.5% of net sales, increased by 2.6% compared to Q4 FY2024[4] - Net sales for the thirteen weeks ended January 31, 2026, were $138,410,000, a decrease of 3.0% from $142,842,000 for the same period in 2025[28] - Gross profit for the fifty-two weeks ended January 31, 2026, was $409,745,000, down from $429,856,000, reflecting a decrease of 4.7%[31] - Operating income for the fifty-two weeks ended January 31, 2026, was $50,610,000, a decline of 33.1% compared to $75,702,000 for the previous year[31] - For the fifty-two weeks ended January 31, 2026, net income was $27,891,000, down from $39,483,000 in the prior year[42] Losses and Income - Net loss for Q4 FY2025 was $3.5 million, compared to net income of $2.2 million in Q4 FY2024[4] - Net loss for the thirteen weeks ended January 31, 2026, was $3,521,000, compared to a net income of $2,248,000 for the same period in 2025[28] - Adjusted net loss income for the thirteen weeks was $(287,000), compared to adjusted net income of $5,012,000 in the prior year[49] - The company incurred a loss on debt refinancing of $3,116,000 during the thirteen weeks ended January 31, 2026[36] Cash Flow and Liquidity - Free Cash Flow for the fifty-two weeks ended January 31, 2026, is presented as a supplemental measure to assess liquidity, reflecting cash flow from operations less capital expenditures[23] - For the thirteen weeks ended January 31, 2026, net cash used in operating activities was $(1,605) million, a significant decrease from $8,089 million for the same period in 2025[61] - For the fifty-two weeks ended January 31, 2026, net cash provided by operating activities was $42,144 million, down from $65,036 million in 2025[64] - Free cash flow for the thirteen weeks ended January 31, 2026, was $(11,710) million, compared to $381 million for the same period in 2025[63] - Free cash flow for the fifty-two weeks ended January 31, 2026, was $23,229 million, a decrease from $47,281 million in 2025[64] Assets and Liabilities - Total assets increased to $450,216,000 as of January 31, 2026, compared to $417,699,000 as of February 1, 2025[33] - Total liabilities rose to $328,717,000 as of January 31, 2026, up from $311,930,000 the previous year[33] Dividends - The board declared a cash dividend of $0.09 per share, reflecting a 12.5% increase over the previous dividend[12] - Cash dividends declared per common share increased to $0.32 for the fifty-two weeks ended January 31, 2026, compared to $0.21 in the prior year[31] Operational Developments - The company opened seven new stores in Q4 FY2025, ending the year with 256 stores[7] - The company is implementing new technology, including a predictive AI-powered inventory forecasting model, to enhance operational efficiency and customer engagement[24] Adjusted Metrics - Adjusted EBITDA for FY2026 is projected to be between $15 million and $17 million[20] - Adjusted EBITDA for the same period was $7,168,000, with an adjusted EBITDA margin of 5.2%, down from $14,501,000 and 10.2% respectively in the prior year[36] - Adjusted EBITDA for the fifty-two weeks was $84,342,000, with an adjusted EBITDA margin of 14.1%, compared to $107,140,000 and 17.5% in the previous year[42] - Adjusted Net Income per Diluted Share for the fifty-two weeks ended January 31, 2026, was $1.82, down from $2.61 in the previous year[31] - The adjusted net income per share for the fifty-two weeks was $2.47, down from $3.51 in the previous year[55] Inventory and Cash Management - Inventory at the end of Q4 FY2025 was $70.1 million, up from $61.3 million at the end of Q4 FY2024[6] - The total cash, cash equivalents, and restricted cash at the end of the period on January 31, 2026, was $41,378 million, compared to $35,790 million on February 1, 2025[62] - The beginning cash and cash equivalents for the fifty-two weeks ended January 31, 2026, was $35,790 million, down from $62,540 million in 2025[64] - The company recorded a decrease in restricted cash of $5 million for the fifty-two weeks ended January 31, 2026[61] - The company’s cash and cash equivalents decreased by $16,991 million for the thirteen weeks ended January 31, 2026, compared to a decrease of $3,338 million in 2025[61]