Greystone Logistics FY2026: Sales Halve, $8.2M Loss, Going Concern Warning
GLGI sits 89% above its 52-week low of $0.135 on light trading volume (0.1× avg).
Summary
Greystone Logistics reported a 52% sales decline to $27.5M and an $8.2M net loss for FY2026, with a going concern warning, debt covenant defaults, and a material weakness in internal controls.
Key Events · Earnings and Guidance · GLGI
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Sales Halve After Major Customer Loss
FY2026 sales fell 52% to $27.5M from $57.9M, driven by the loss of a customer representing approximately $30M, or 55%, of annual revenue.
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Net Loss of $8.2M vs. $2.4M Profit
The company swung to a net loss of $8.2M, or $(0.30) per share, from net income of $2.4M, or $0.07 per share, in FY2025.
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Going Concern Warning
Management and the auditor both state substantial doubt about the company's ability to continue as a going concern, citing insufficient revenues, a $7.9M working capital deficit, and an accumulated deficit of $35.9M.
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Debt Covenant Defaults; All Debt Current
The company is in default on covenants with both IBC and First Interstate Bank, causing all $12.0M of long-term debt to be classified as current. A July 5, 2026 Fifth Amendment with IBC waived violations through Nov 30, 2026 but cut the revolving commitment to $3.5M and required unlimited personal guaranties from CEO Kruger and his trust.
Analysis · GLGI · Technology
The annual report confirms the damage hinted at in the last quarterly filing: sales collapsed 52% to $27.5 million after losing a customer that represented roughly $30 million, or 55%, of annual revenue. The company swung from a $2.4 million profit to an $8.2 million net loss, burned $1.5 million in operating cash, and ended the year with just $512,000 in cash against a $7.9 million working capital deficit. Management states there is substantial doubt about the company's ability to continue as a going concern. The company is in default on covenants with both of its lenders, and all $12 million of long-term debt has been classified as current. A July 5, 2026 amendment with IBC bought temporary relief — covenant waivers through November 30, 2026 and interest-only payments — but at a steep price: the revolving commitment was cut to $3.5 million, and CEO Warren Kruger and his trust signed unlimited personal guaranties. The auditor's report includes a going concern paragraph, and management disclosed a material weakness in internal controls, including failure to properly account for multiple significant equity transactions. The stock has already fallen from $1.35 to $0.14-$0.36 over the fiscal year, and this filing confirms the fundamental deterioration behind that decline.
How filings like this one have moved
In the 30 days to Sep 13, 2026, 42% of the 419 measured filings Wiseek scored 9 moved their stock by 5% or more by the next session's close. The median move was -0.47%. These are measured outcomes after filings of this importance, not a forecast for this one.
Measured one observation per ticker per day, after exclusions. Current figures: Filing Impact Tracker · open dataset
At the time of this filing, GLGI was trading at $0.26 on OTC in the Technology sector, with a market capitalization of approximately $7M. The 52-week trading range was $0.14 to $1.35. This filing was assessed with negative market sentiment and an importance score of 9 out of 10.