Company: STAK
Filing Date: 2025-11-05
Form Type: 20-F
Source: 0001493152-25-020818
Chunk: 81

Company: STAK Inc.
Filing Date: 2025-11-05
Form: 20-F
Item: Item 5
Chunk 81
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 profit margins, given that all specialized oilfield equipment shares the same production facilities. Such transformation resulted in a 12.35% increase in the sales volume and a 19.83% increase in the average sales price of specialized oilfield equipment for the year ended June 30, 2025, compared to the same period for the year ended June 30, 2024.
 
We design and manufacture the equipment and components, then outsource them to qualified specialized vehicle manufacturing companies to integrate and produce specialized oilfield vehicles, and the vehicles are sold by us externally. Sales of specialized oilfield vehicles increased by $5.5 million, or 101.78%, to $10.9 million for the year ended June 30, 2025 from $5.4 million for the year ended June 30, 2024. The increase was mainly due to our decision to optimize product portfolio. We used to produce and sell large quantities of lower unit price vehicles to improve our efficiency of inventories’ turnover for the year ended June 30, 2024. While for the year ended June 30, 2025, we keep focusing on producing and selling vehicles with higher price, which resulted in the declining sales volume. We produced higher selling price and higher margin specialized oilfield vehicles, resulting in the average unit sales price of specialized oilfield vehicles increased from $2,368 to $29,564, or 1,148.48% for the year ended June 30, 2025.
 
We provide customers with automation solutions services, including software development or customized function development on customers’ system, testing, debugging and other automation solutions services with respect to specialized equipment used in the oilfield. The service revenue remained stable at $1.8 million for both the years ended June 30, 2025 and 2024. Because we earned cultivate positive word-of-mouth recommendations within the oilfield industry and a good reputation in the market. We have potential to keep the revenue relatively stable. But we still are not expecting to achieve such trend in service income from automation solutions continuously as we are going to focus our research and development efforts on our own vehicle products.
 
Other revenue derives primarily from sales of parts and materials, such as integrated circuits, box iron and backlight panel, etc. Our revenue generated from others decreased by $2.6 million, or 89.86%, to $0.3 million for the year ended June 30, 2025 from $2.9 million for the year