ADM Endeavors, Inc. (OTCQB: ADMQ), a vertically integrated provider of custom apparel, uniforms, promotional products, and fulfillment services, announced financial results for the second quarter ended June 30, 2026, marking a significant turnaround. The company returned to profitability, reporting net income of $51,476 compared to a net loss of $(69,110) in the same period last year. This achievement is largely attributed to the successful consolidation of operations into its new 100,000-square-foot production and retail facility in Fort Worth, Texas, which has enhanced capacity and visibility, attracting new customers while reducing overhead costs.
Revenue for the second quarter increased 11.4% to $1,307,924, up from $1,173,827 in the prior-year quarter. The growth was driven by a 19.7% surge in promotional products revenue, which reached $1,208,576. Operating income improved to $39,102, a stark contrast to the operating loss of $(59,901) in the second quarter of 2025. General and administrative expenses declined 6.7% to $398,792, reflecting operational efficiencies gained from consolidating operations under one roof.
For the first half of 2026, revenue grew 11.1% to $2,332,544, compared with $2,100,363 in the same period last year. The operating loss narrowed by 44% to $(118,422), and cash used in operating activities improved 26% to $(273,934). The net loss for the six-month period was $(80,598), which includes a prior-year one-time insurance gain of $264,514 that boosted the 2025 net income to $34,345. Excluding that gain, the company's underlying performance improved significantly.
Marc Johnson, Chief Executive Officer of ADM Endeavors, stated, "The second quarter marked the inflection point we have been building toward. Our new facility is doing exactly what we designed it to do. Its expanded capacity and visibility are winning new customers, while operating under one roof is bringing our overhead down. We grew revenue double digits, reduced administrative costs, and converted that operating leverage directly into bottom-line profitability."
The company's new facility, which received its Certificate of Occupancy in March 2026, is approximately 5.8 times larger than its previous location and designed to support up to five times the prior production capacity. The consolidation of production divisions is complete, and the retail buildout is in its final stages, expected to further expand walk-in and workwear revenue opportunities.
ADM Endeavors has also been expanding its contract base. On July 21, 2026, the company announced new contract awards and renewals across government, education, and corporate customers, including a uniform program for a Lockheed Martin division in Arizona and a bid award from Dallas College. These contracts are expected to contribute to revenue in the second half of 2026. The company's diversified revenue stream is reflected in the fact that no single customer represented more than 10% of revenue during the first half of the year.
In June 2026, Calvin Tsang was appointed Chief Financial Officer, strengthening the company's financial leadership as it builds infrastructure to support its next phase of growth. The company's common shares outstanding remained unchanged at 158,520,409 during the first half of 2026, indicating no shareholder dilution.
With the retail buildout nearing completion, the back-to-school season underway, and new contracts beginning to contribute, ADM Endeavors believes it is well positioned to build on this momentum in the second half of 2026. The company's ability to achieve profitability while absorbing the costs of its largest expansion demonstrates the effectiveness of its strategic initiatives.
