The global hearing protection devices market is growing due to greater awareness of hearing loss, with 53% of noise-exposed workers reported as not wearing hearing protection according to the Center for Disease Control and Prevention. The global hair care market is expected to increase from approximately $82.5 billion in 2026 to $108.6 billion by 2031, reflecting a projected compound annual growth rate of approximately 5.7%, with North America representing the largest regional market and Asia-Pacific expected to experience the fastest growth. The hearing enhancement and protection segment competes with ISOtunes, Walker’s, SureFire, Sordin and others, while the hair and skin care segment competes with Keranique, Zenagen, Revita and others.

The Company believes its principal competitive advantages in the hearing enhancement and protection segment include brand recognition, product technology and innovation, product quality and safety, price, breadth of product lines, network of technology and content partners, access to third party retailers, sales channels, distributors, retailers and OEM partners, and patent protection. In the hair and skin care segment, principal competitive advantages include product quality, online marketing, and drug-free solutions for healthy scalp and hair. Many competitors in both markets have more broadly diversified product lines, well established supply and distribution systems, loyal customer bases and significant financial, marketing, research and development, and other resources.

The Company generates revenue through three operating segments: hearing enhancement and protection, hair and skin care, and marketing services. Revenue is generated from the manufacturing, marketing, sale, and distribution of high tech hearing and audio enhancement and protection products, professional quality hair and skin care products, and the delivery of marketing services. Sales are primarily driven by paid advertising, expansion of the distribution network, strategic partnerships, and retail sales, with a multi-channel strategy including direct-to-consumer via owned e-commerce sites and third-party platforms, domestic and international distributors, and professional salon partnerships. Approximately 65% of consolidated net revenues were direct-to-consumer through owned e-commerce sites and third-party online marketplaces for the fiscal year ended May 31, 2026, compared with approximately 80% for the fiscal year ended May 31, 2025.

The hearing enhancement and protection segment designs, manufactures, markets, and distributes advanced hearing enhancement and protection products including earplugs, earmuffs, earbuds, and outdoor speakers, many incorporating Bluetooth and wireless audio technologies, serving consumers in sporting goods, tactical, industrial, and recreational markets as well as military, law enforcement, and federal agencies. The segment currently offers 27 products across 114 stock keeping units (SKUs), with key offerings including GS Extreme 3.0 Bluetooth-enabled earbuds, AXIL X30 LT dual-mode in-ear device with up to 25 decibel noise reduction, XCOR True Wireless digital earbuds with touch control, MX Series Earmuffs with HearPRO digital hearing protection technology, and X-PRO passive plugs with SoundShield filter. The segment holds three active patents, one patent pending, five registered trademarks and twelve pending trademark registrations. For the fiscal year ended May 31, 2026, the hearing enhancement and protection segment accounted for approximately 96% of revenue.

The hair and skin care segment involves outsourced manufacturing, marketing, and distribution of professional-grade products under the Reviv3 Procare brand, currently offering eight products across sixteen SKUs including shampoos, conditioners, scalp treatments, styling aids, and skin health solutions. The segment holds one registered trademark and maintains 14 distribution agreements across the U.S., Canada, Europe, and Asia. For the fiscal year ended May 31, 2026, the hair and skin care segment accounted for approximately 4% of revenue. The marketing services segment accounted for less than 1% of revenue.

During fiscal year 2026, the Company broadened its retail presence to approximately 6,000 stores through expanded partnerships with big-box retailers, including Walmart, with the MX PRO and MX Passive models launching across approximately 1,250 Walmart stores. AXIL’s full product line became available at certain U.S. Marine Corps Exchange (MCX) locations in the first quarter of fiscal 2027. The Company introduced the CRX digital hearing protection platform for public safety and security markets. In February 2026, the Company formed Reviv3 ProCare Company, a wholly owned Delaware subsidiary, to support strategic development of its Reviv3 hair and skin care business. Sharper Vision Marketing Inc. was incorporated on May 5, 2025. The Company entered into a partnership with a major national salon chain across Canada during fiscal 2026.

For the fiscal year ended May 31, 2026, total revenues were $17,120,000 compared to $16,995,000 in the prior fiscal year. Net income was $1,016,000 compared to $1,614,000 in the prior year. Basic earnings per share were $0.15 and diluted earnings per share were $0.15, compared to basic earnings per share of $0.24 and diluted earnings per share of $0.24 in the prior year.

The Company is growing its business through expansion of product lines serving various hearing protection markets including outdoors, manufacturing, and construction, via online platforms and an expanding network of retail points of sale. The Company has increased its focus on opportunities in domestic and international distribution and retail sales and is allocating resources to expand its sales team based on capital performance and available opportunities. The Company continues to expand its marketing footprint across organic social media, affiliate marketing, and search engine optimization. The Company is further expanding product offerings in the public safety and security markets with the introduction of the CRX digital hearing protection platform.

The Company is actively exploring growth in the hair and skin care segment through co-branding, private-label partnerships, and enhanced digital marketing initiatives. The Company continues to enter new distribution and licensing agreements across target markets including construction, aviation, agriculture, forestry, fitness, power sports, target shooting, motorcycling, and live event environments. The Company currently operates primarily in the U.S. with a growing presence in Canada, Europe, Australia, New Zealand, Asia and Africa.

The filing does not discuss margin or cost outlook with specific figures.

The filing does not discuss operational outlook with specific figures.

The filing does not discuss capital allocation with specific figures.

The Company faces risks related to unstable market and general economic conditions including inflationary cost pressures, the impact of tariffs and other trade restrictions and barriers, interest rate changes, unemployment rates, decreased discretionary consumer spending, supply chain disruptions and constraints, labor shortages, ongoing economic disruption, the possibility of an economic recession and other macroeconomic factors, geopolitical events and uncertainty including the effects of the Ukraine-Russia conflict and conflicts in the Middle East. The Company also faces risks related to U.S. trade policies and tariffs, fluctuations in currency exchange rates, different regulatory environments, trade barriers and sanctions, exchange controls, and social and political instability in international markets.

The Company faces risks related to its ability to successfully execute its growth strategy including expanding into retail channels and international markets and expanding its sales team, which require significant commitments of management and capital investments and involve operational complexity. The Company also faces risks related to customer concentration, with one customer accounting for 23% of net revenues in the hearing enhancement and protection segment for the fiscal year ended May 31, 2026, and vendor concentration, with a single vendor accounting for 79% of total purchases in the hearing enhancement and protection segment and three vendors accounting for 91% of total purchases in the hair and skin care segment.

Management emphasizes the Company's growth through expansion of product lines serving various hearing protection markets, broadening retail presence to approximately 6,000 stores through expanded partnerships with big-box retailers including Walmart, with the MX PRO and MX Passive models launching across approximately 1,250 Walmart stores, and the addition of certain U.S. Marine Corps Exchange (MCX) locations as a distribution channel with availability expected to begin in July 2026. Management highlights the introduction of the CRX digital hearing protection platform for public safety and security markets, the formation of Reviv3 ProCare Company to support strategic development of the Reviv3 hair and skin care business, and the partnership with a major national salon chain across Canada. Strategic priorities include expanding into retail channels and international markets, expanding the sales team, and continuing product innovation.

For the fiscal year ended May 31, 2026, total revenues were $17,120,000 compared to $16,995,000 for the fiscal year ended May 31, 2025. Net income was $1,016,000 compared to $1,614,000 in the prior year. Basic earnings per share were $0.15 and diluted earnings per share were $0.15, compared to basic earnings per share of $0.24 and diluted earnings per share of $0.24 in the prior year. The hearing enhancement and protection segment accounted for approximately 96% of revenue and the hair and skin care segment accounted for approximately 4% of revenue for fiscal year 2026. The filing does not disclose operating income, gross margin, operating margin, return on equity, free cash flow, or net debt/cash position with specific figures.

The Company generates a significant portion of sales from a limited number of customers, with one customer accounting for 23% of net revenues in the hearing enhancement and protection segment for the fiscal year ended May 31, 2026, and the loss of any key customer could materially adversely affect results. The Company purchases a significant portion of total inventory from a limited number of vendors, with a single vendor accounting for 79% of total purchases in the hearing enhancement and protection segment and three vendors accounting for 91% of total purchases in the hair and skin care segment (62%, 18%, and 11% respectively), and the loss of any key vendor could have a material adverse effect. The Company's future operations and growth depend on successful execution of strategic initiatives including expanding into retail channels and international markets and expanding the sales team, which require significant commitments of management and capital investments and involve operational complexity. The Company faces risks related to unstable market and general economic conditions including inflationary cost pressures, tariffs and other trade restrictions, supply chain disruptions, and geopolitical events including the Ukraine-Russia conflict and conflicts in the Middle East.