XMax Inc. reported significant financial developments in its latest 10-Q filing for the second quarter of 2026, showcasing a net income of $32.62 million, a substantial turnaround from a net loss of $0.63 million in the same period last year. This remarkable shift was primarily driven by an unrealized gain of approximately $42.92 million from investments in Preamble Capital LLC. Total revenues for the six months ended June 30, 2026, were $4.52 million, reflecting a 13% decline from $5.19 million in the prior year, largely due to decreased sales in the furniture segment.
The company’s operational metrics revealed a decrease in sales volume, which fell by 36% to $3.42 million for the six months ended June 30, 2026, compared to the same period in 2025. The decline was attributed to a significant drop in sales to North America, which accounted for the majority of the revenue. However, XMax's new API-based service revenue reached $1.10 million, marking a 100% increase from zero in the previous year, indicating successful market entry into AI services.
XMax's total assets surged to $121.08 million as of June 30, 2026, compared to $35.55 million at the end of 2025, driven by increased cash reserves and investments. The company reported current assets of $46.94 million, up from $11.78 million, and a notable increase in cash and cash equivalents to $34.63 million from $6.71 million. This growth in liquidity was bolstered by financing activities that generated $45.30 million, primarily from stock issuances.
Strategically, XMax has expanded its operations into artificial intelligence, launching XMax AI Inc. and Elonx AI Holdings PTE. LTD. in 2026. These subsidiaries focus on providing enterprise AI infrastructure and Model-as-a-Service solutions, which are expected to enhance revenue streams. The company is also actively managing its supply chain, with advances to suppliers decreasing to $73,924 from $313,924, reflecting a shift in inventory management practices.
Looking ahead, XMax anticipates continued growth in its AI services while navigating challenges in the furniture market, including high interest rates and inflation. The company plans to leverage its increased cash reserves for further investments in technology and operational expansion, aiming to solidify its market position in both furniture and AI sectors.
About XMax Inc.
Nova Lifestyle, Inc. designs and markets contemporary residential and commercial furniture globally, featuring modern styles and versatile collections. The company operates through wholly-owned subsidiaries, supplying products primarily to North American markets via wholesale, retail, and online channels. It emphasizes quality, trend responsiveness, and efficient supply chain management, competing on design, price, and service while managing international sourcing and trade risks.
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