Massimo Group (NASDAQ: MAMO) reported fiscal year 2025 results showing gross margin expansion to approximately 37.5% from 29.7% in the prior year, representing a 780 basis point improvement. The company filed its annual report with the Securities and Exchange Commission.

Revenue declined to $71.8 million from $109.3 million in fiscal 2024. Gross profit decreased to $26.9 million from $32.5 million, while net income fell to $1.5 million from $1.8 million. Cash at year-end totaled $5.8 million compared to $10.2 million previously.

The revenue reduction reflects what the company described as a strategy to rebalance dealer inventory and reduce channel saturation while prioritizing pricing integrity over short-term volume growth. Gross margin expansion resulted from product mix optimization, supply chain efficiencies and cost control initiatives.

Massimo operates through approximately 2,800 dealer locations across the United States, supported by over 600 motor vehicle service providers and over 5,500 marine service providers. The company maintains a 376,000 square-foot integrated operations facility in Texas.

The company introduced its Sentinel Series UTVs and MVR Pro Series electric carts, featuring integrated HVAC systems. Massimo plans to launch the Sentinel 770 HVAC in April 2026, followed by the Sentinel 1500 in July 2026.

"2025 marked a deliberate transition year in which we prioritized margin expansion, dealer channel health, and operational discipline," said Chief Executive Officer David Shan. "While these actions impacted near-term revenue, they have strengthened the foundation of our business."

For 2026, the company plans to explore opportunities in intelligent automation and scalable consumer service platforms, including robotic-assisted systems, AI-enabled retail solutions and security-related technologies. These initiatives remain in early evaluation stages.