CirTran Corporation reported significant financial improvements in its latest 10-Q filing for the three months ended March 31, 2026, compared to the same period in 2025. The company achieved net sales of $1.16 million, a substantial increase of 152% from $460,816 in the prior year. Gross profit also rose to $463,382, up from $270,294, reflecting a strong demand for its products, particularly in the vaping segment. Despite these gains, CirTran reported a net loss of $65,737 from continuing operations, an improvement from a loss of $108,272 in the previous year.
The company's operational metrics indicate a positive trend, with total current assets slightly increasing to $2.27 million from $2.26 million, while current liabilities decreased to approximately $22.45 million from $24.69 million. This reduction in liabilities was primarily due to a decrease in liabilities from discontinued operations, which fell to $2.53 million from $4.82 million. CirTran's accumulated deficit also improved, decreasing to $60.13 million from $62.35 million, signaling a potential stabilization in its financial health.
Strategically, CirTran continues to focus on its five-year manufacturing and distribution agreement for HUSTLER®-branded products, which has been a key driver of revenue growth. The company has expanded its market presence, reaching over 50 international markets, and is actively working to enhance its product offerings. Employee costs remained stable, with only a slight increase to $130,020 from $128,908, while selling, general, and administrative expenses rose significantly by 61% to $297,240, attributed to increased promotional activities.
CirTran's cash flow from operations showed a marked improvement, with a net cash usage of $59,108 for the quarter, compared to $468,328 in the same period last year. The company generated $60,855 from financing activities, primarily through related-party loans, although this was a decrease from $469,538 in the previous year. Looking ahead, CirTran acknowledges the need for additional capital to support its operations and growth initiatives, as it continues to navigate a working capital deficit of approximately $20.2 million. The company remains focused on generating revenue and reducing expenses while exploring options for future financing.
About CIRTRAN CORP
CirTran Corporation manufactures, markets, and distributes consumer products under licensed brands, primarily the HUSTLER® trademark. Its product portfolio includes condoms, electronic tobacco products, cigars, hookahs, energy drinks, water beverages, and related merchandise. Operating globally through subsidiaries and partnerships, CirTran offers end-to-end services from product design to distribution, targeting retail, club, and specialty markets with a focus on brand management and contract manufacturing solutions.
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