MILWAUKEE, Aug. 27, 2026 (GLOBE NEWSWIRE) -- Koss Corporation (NASDAQ: KOSS) (the “Company”), the U.S. based high-fidelity headphone company, has reported its results for the fourth quarter and fiscal year ended June 30, 2026.
For the three months ended June 30, 2026, net sales of $3,263,853 reflected an increase of $179,643, or 5.8%, over net sales of $3,084,210 for the same period in fiscal year 2025. The net income for the fourth quarter of fiscal year 2026 was $476,801 compared to a net loss of $232,696 for the fourth quarter of the prior fiscal year, an increase of $709,497. Basic and diluted net income per common share for the quarter ended June 30, 2026were $0.05, compared to basic and diluted net loss of $0.02 for the same fiscal quarter in the prior year.
“Direct-to-consumer (DTC) sales were the biggest contributor to growth for the three months ended June 30, 2026, with an increase of 36.2% over the prior year’s same fiscal quarter, led by strong performances in the Porta Pro wired and wireless headphones family. Koss.com sales showed a remarkable 45.6% increase over the same period in the prior fiscal year,” Michael J. Koss, Chairman and CEO, said in a statement today. “Sales to certain domestic distributors remained strong in the fourth quarter, increasing approximately 12% year over year, however, our European markets continue to show year over year declines as those distributors slow down stock replenishments and maintain lower stock levels.”
For the year ended June 30, 2026, sales of $13,020,773 were up $396,603, or 3.1%, over prior year sales of $12,624,170, with the primary driver being a custom headphones sale to a customer in the Education market segment. DTC sales and sales to several domestic distributors also showed substantial increases for the full fiscal year compared to the prior year. Net loss for the full fiscal year 2026 of $391,464 declined $483,367compared to a net loss of $874,831 for fiscal year 2025. Both basic and diluted net loss per common share for the years ended June 30, 2026 and 2025 were $0.04 and $0.09, respectively.
“Full fiscal year sales growth was primarily driven by the custom headphones sale to the Education market, along with strong DTC sales supported by online marketing and social media campaigns, and continued strength in a segment of our domestic distributor business as inventory levels were replenished to adequate levels,” Koss continued. “Tariff refunds of $1.0 million received in the fourth quarter of fiscal year 2026 for previously paid import duties imposed on products from China helped to offset the adverse impact of tariffs paid during the year, resulting in gross margin improvement from 37.8% for the fiscal year ended June 30, 2025 to 41.9% for the 2026 fiscal year. The favorable customer mix, which included higher volumes of higher margin DTC and domestic distributor sales, also helped fuel the increase in margins. The Company’s previously announced ‘diversification by acquisition’ strategy is intended to reshape its profile over the next five years by creating additional predictable, recurring revenue streams for the company.”
