{
  "url": "https://struct.news/briefs/foxx-kept-3-cents-of-each-sales-dollar-after-a-1m-inventory-mark",
  "title": "Foxx kept 3 cents of each sales dollar after a $1M inventory mark",
  "summary": "A $1.0M slow-moving inventory impairment helped cut gross profit 65% as annual sales fell 20%.",
  "published_at": "2026-09-28T20:06:16.820089+00:00",
  "publisher": "Struct",
  "usage": "Figures are as reported by the company. Quote with attribution to the source filing.",
  "company": {
    "name": "Foxx Development Holdings Inc.",
    "ticker": "FOXX",
    "cik": "1213900",
    "sector": "Technology",
    "industry": "Consumer Electronics"
  },
  "source_filing": {
    "form": "10-K",
    "filed": "2026-09-28",
    "accession": "0001213900-26-104028",
    "url": "https://www.sec.gov/Archives/edgar/data/2013807/000121390026104028/ea0305072-10k_foxx.htm"
  },
  "comparison_filing": {
    "form": "10-K",
    "filed": "2025-10-15",
    "url": "https://www.sec.gov/Archives/edgar/data/2013807/000121390025098953/ea0259395-10k_foxx.htm"
  },
  "reported_figures": [
    {
      "group": "The filing in three numbers",
      "label": "Revenue",
      "value": 65919166,
      "display": "$65.9M",
      "unit": "usd",
      "period": "2025-06-30",
      "detail": null,
      "source": {
        "kind": "sec_filing",
        "label": "Filed company results",
        "form": "10-K",
        "accession": "0001213900-26-104028",
        "filing_date": "2026-09-28"
      }
    },
    {
      "group": "The filing in three numbers",
      "label": "Revenue YoY",
      "value": 1941.7519394875549,
      "display": "+1941.8%",
      "unit": "percent",
      "period": "2025-06-30",
      "detail": null,
      "source": {
        "kind": "jodie_calculation",
        "label": "Calculated from filed company results",
        "form": "10-K",
        "accession": "0001213900-26-104028",
        "filing_date": "2026-09-28"
      }
    },
    {
      "group": "The filing in three numbers",
      "label": "Operating margin",
      "value": -14.71185785329869,
      "display": "-14.7%",
      "unit": "percent",
      "period": "2025-06-30",
      "detail": null,
      "source": {
        "kind": "jodie_calculation",
        "label": "Calculated from filed company results",
        "form": "10-K",
        "accession": "0001213900-26-104028",
        "filing_date": "2026-09-28"
      }
    }
  ],
  "watch_next": [
    {
      "type": "working_capital",
      "statement": "Foxx recorded a material impairment tied to slow-moving inventory, directly reducing product economics in the reported year.",
      "importance": "medium",
      "evidence": "Cost of goods sold for wearable products and others increased by approximately $0.6 million, or 17.9%, to approximately $3.6 million for the year ended June 30, 2026 from $3.0 million for the same period in 2025, which is primarily due to inventory impairment related to slow-moving inventory of approximately $1.0 million.",
      "source_date": "2026-09-28"
    },
    {
      "type": "demand",
      "statement": "Foxx linked lower sales and order value to consumer demand pressure after higher costs led it to raise selling prices.",
      "importance": "medium",
      "evidence": "The decline was primarily driven by the declined consumer demand and lower order value due to our intention of increasing selling prices in response to higher costs driven by rising chip prices, tariffs and related pricing uncertainty.",
      "source_date": "2026-09-28"
    },
    {
      "type": "tariffs",
      "statement": "Tariffs, rising chip prices, and related pricing uncertainty affected product costs and selling-price decisions during the year.",
      "importance": "medium",
      "evidence": "The decrease in gross profit percentage of 4.0% was primarily due to the decrease in gross profit percentage across nearly all categories, which collectively accounted for 90% of our gross profit, with the exception of tablet, attributable to inventory impairment, tariffs and related pricing uncertainty, and product costs.",
      "source_date": "2026-09-28"
    }
  ],
  "related_tickers": [
    "FOXX"
  ],
  "disclaimer": "Descriptive reporting of filed results. Not investment advice, and contains no forecast or recommendation."
}