# EDGAR Filing Document

**Accession Number:** 0000216877
**File Stem:** 0001062993-26-002570
**Filing Date:** 2026-5
**Character Count:** 74027
**Document Hash:** 1a8e173639918c44fdfdee21db71a38f
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001062993-26-002570.hdr.sgml**: 20260513

**ACCESSION NUMBER**: 0001062993-26-002570

**CONFORMED SUBMISSION TYPE**: 10-Q

**PUBLIC DOCUMENT COUNT**: 56

**CONFORMED PERIOD OF REPORT**: 20260331

**FILED AS OF DATE**: 20260513

**DATE AS OF CHANGE**: 20260513

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** PISMO COAST VILLAGE INC
- **CENTRAL INDEX KEY:** 0000216877
- **STANDARD INDUSTRIAL CLASSIFICATION:** HOTELS, ROOMING HOUSE, CAMPS & OTHER LODGING PLACES [7000]
- **ORGANIZATION NAME:** 05 Real Estate & Construction
- **EIN:** 952990441
- **STATE OF INCORPORATION:** CA
- **FISCAL YEAR END:** 0930

**FILING VALUES:**
- **FORM TYPE:** 10-Q
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 000-08463
- **FILM NUMBER:** 26972956

**BUSINESS ADDRESS:**
- **STREET 1:** 165 S DOLLIVER ST
- **CITY:** PISMO BEACH
- **STATE:** CA
- **ZIP:** 93449
- **BUSINESS PHONE:** 8057735649

**MAIL ADDRESS:**
- **STREET 1:** 165 S DOLLIVER ST
- **CITY:** PISMO BEACH
- **STATE:** CA
- **ZIP:** 93449

?xml version='1.0' encoding='ASCII'? Pismo Coast Village Inc.: Form 10-Q - Filed by newsfilecorp.com

------

**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

Washington, D.C. 20549

**FORM 10-Q**

**(Mark One)**

[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended <u>**March 31, 2026**</u>

OR

[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from _________to __________

Commission file number <u>**0-8463**</u>

**PISMO COAST VILLAGE, INC.**

(Exact name of registrant as specified in its charter)

---

| | |
|:---|:---|
| <u>**California**</u> | **95-2990441** |
| (State or other jurisdiction of <br>incorporation or organization) | (IRS Employer ID No.) |
| <u>**165 South Dolliver Street, Pismo Beach, CA**</u> | **93449** |
| (Address of Principal Executive Offices) | (Zip Code) |

---

**(**<u>**805) 773-5649**</u>

Registrant's telephone number, including area code.

_____________________________________________________________________________________

(Former name, former address, and former fiscal year, if changed since last report)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

YES [X] NO [ ]

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web Site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (Subsection 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).

YES [X] NO [ ]

Indicate by check mark whether the registrant is a large, accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company.

[ ] Large accelerated filer [ ] Accelerated filer <br> [X] Non-accelerated filer [X] Smaller reporting company <br> [ ] Emerging growth company

------

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

YES [ ] NO [X]

APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY

PROCEEDINGS DURING THE PRECEDING FIVE YEARS:

Indicate by check mark whether the registrant has filed all documents and reports required to be filed by Section 12, 13, or 15 (d) of the Securities Exchange Act of 1934 subsequent to the distribution of securities under a plan confirmed by a court.

YES [ ] NO [ ]

APPLICABLE ONLY TO CORPORATE ISSUERS:

Indicate the number of shares outstanding of each of the issuer's classes of common stock, as of the latest practicable date.

**<u>1,774</u>**

------

**TABLE OF CONTENTS**

---

| | |
|:---|:---|
| [PART I - FINANCIAL INFORMATION](#page_4) | [4](#page_4) |
| [ITEM 1. Financial Statements](#page_4) | [4](#page_4) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[Balance Sheets as of March 31, 2026 (unaudited) and September 30, 2025](#page_4) | [4](#page_4) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[Statements of Comprehensive Income (Loss) for the Three and Six Months Ended March 31, 2026 and 2025 (unaudited)](#page_5) | [5](#page_5) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[Statements of Changes in Stockholders' Equity & Accumulated Other Comprehensive Income for the Six Months Ended March 31, 2026 and 2025 (unaudited)](#page_6) | <br>[6](#page_6) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[Statements of Cash Flows for the Six Months Ended March 31, 2026 and 2025 (unaudited)](#page_7) | [7](#page_7) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[Notes to Unaudited Financial Statements](#page_8) | [8](#page_8) |
| [ITEM 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](#page_16) | [16](#page_16) |
| [ITEM 3. Quantitative and Qualitative Disclosures About Market Risk](#page_24) | [24](#page_24) |
| [ITEM 4. Controls and Procedures](#page_25) | [25](#page_25) |
| [PART II -- OTHER INFORMATION](#page_27) | [27](#page_27) |
| [ITEM 1. Legal Proceedings](#page_27) | [27](#page_27) |
| [ITEM 2. Unregistered Sales of Equity Securities and Use of Proceeds](#page_27) | [27](#page_27) |
| [ITEM 3. Defaults Upon Senior Securities](#page_27) | [27](#page_27) |
| [ITEM 4. Mine Safety Disclosures](#page_27) | [27](#page_27) |
| [ITEM 5. Other Information](#page_27) | [27](#page_27) |
| [ITEM 6. Exhibits](#page_28) | [28](#page_28) |
| [SIGNATURES](#page_29) | [29](#page_29) |

---

------

**PART I - FINANCIAL INFORMATION**

**ITEM 1. Financial Statements**

**Pismo Coast Village, Inc.**

**Balance Sheets**

**as of March 31, 2026 (unaudited) and September 30, 2025**

---

| | | | |
|:---|:---|:---|:---|
|  |  | **March 31,** | **September 30,** |
|  |  | **2026** | **2025** |
|  |  | (unaudited) |  |
| **Assets** |  |  |  |
| **Current assets** | **Current assets** |  |  |
| Cash and cash equivalents | Cash and cash equivalents | $1483000 | $1348000 |
| Cash reserved for capital improvements and deferred maintenance | Cash reserved for capital improvements and deferred maintenance | 13068000 | 11935000 |
| Accounts receivable, net of allowance for credit losses of $37,000 and $29,000, respectively | Accounts receivable, net of allowance for credit losses of $37,000 and $29,000, respectively | 65000 | 35000 |
| Inventories, net | Inventories, net | 77000 | 75000 |
| Prepaid income taxes | Prepaid income taxes | 93000 | 100000 |
| Prepaid expenses | Prepaid expenses | 290000 | 448000 |
|  | Total current assets | 15076000 | 13941000 |
| **Property and equipment, net** | **Property and equipment, net** | 16573000 | 16588000 |
|  | Total assets | $31649000 | $30529000 |
| **Liabilities and Stockholders' Equity** | **Liabilities and Stockholders' Equity** |  |  |
| **Current liabilities** | **Current liabilities** |  |  |
| Accounts payable and accrued liabilities | Accounts payable and accrued liabilities | $305000 | $450000 |
| Accrued wages and related | Accrued wages and related | 47000 | 295000 |
| Customer deposits | Customer deposits | 3977000 | 2596000 |
| Current portion of operating lease obligation | Current portion of operating lease obligation | 8000 | 31000 |
| Current portion of finance lease obligations | Current portion of finance lease obligations | 128000 | 113000 |
|  | Total current liabilities | 4465000 | 3485000 |
| **Long-term liabilities** | **Long-term liabilities** |  |  |
| Deferred income taxes | Deferred income taxes | 483000 | 483000 |
| Building security deposits | Building security deposits | 20000 | 25000 |
| Operating lease obligation, net of current portion | Operating lease obligation, net of current portion |  |  |
| Finance lease obligations, net of current portion | Finance lease obligations, net of current portion | 573000 | 539000 |
|  | Total liabilities | 5541000 | 4532000 |
| **Stockholders' equity** | **Stockholders' equity** |  |  |
| Common stock - no par value, 1,800 shares authorized, 1,774 shares issued and outstanding | Common stock - no par value, 1,800 shares authorized, 1,774 shares issued and outstanding | 5566000 | 5566000 |
| Retained earnings | Retained earnings | 20542000 | 20431000 |
|  | Total stockholders' equity | 26108000 | 25997000 |
|  | Total liabilities and stockholders' equity | $31649000 | $30529000 |

---

The accompanying notes are an integral part of these (unaudited) financial statements.

------

**Pismo Coast Village, Inc. Statements of Comprehensive Income (Loss)**

**for the Three and Six Months Ended March 31, 2026 and 2025 (unaudited)**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three months ended March 31,** | **Three months ended March 31,** | **Six months ended March 31,** | **Six months ended March 31,** |
|  | **2026** | **2025** | **2026** | **2025** |
| **Revenue** |  |  |  |  |
| Resort operations | $2031000 | $1769000 | $4156000 | $3615000 |
| Retail operations | 140000 | 140000 | 279000 | 290000 |
| Property lease income | 52000 | 57000 | 101000 | 114000 |
| Total revenue | 2223000 | 1966000 | 4536000 | 4019000 |
| **Cost and expenses** |  |  |  |  |
| Operating expenses | 1909000 | 1941000 | 4052000 | 3942000 |
| Cost of goods sold | 95000 | 72000 | 188000 | 148000 |
| Depreciation and amortization | 155000 | 140000 | 310000 | 277000 |
| Total cost and expenses | 2159000 | 2153000 | 4550000 | 4367000 |
| **Income (loss) from operations** | 64000 | (187000) | (14000) | (348000) |
| **Other income and expense, net** | 83000 | 82000 | 174000 | 184000 |
| **Income (loss) before provision for income tax** | 147000 | (105000) | 160000 | (164000) |
| **Income tax provision (benefit)** | 45000 |  | 49000 | (4000) |
| **Net income (loss)** | $102000 | $(105000) | $111000 | $(160000) |
| Weighted average shares (basic and diluted) | 1774 | 1774 | 1774 | 1774 |
| **Net income (loss) per share (basic and diluted)** | $57 | $(59) | $63 | $(90) |
| **Net income (loss)** | $102000 | $(105000) | $111000 | $(160000) |
| **Other comprehensive loss** |  |  |  |  |
| Change in unearned gain on investments |  |  |  | (6000) |
| **Comprehensive gain (loss)** | $102000 | $(105000) | $111000 | $(166000) |
| **Total comprehensive income (loss) per share** | $57 | $(59) | $63 | $(94) |

---

The accompanying notes are an integral part of these (unaudited) financial statements.

------

**Pismo Coast Village, Inc. Statements of Changes in Stockholders' Equity & Accumulated Other Comprehensive Income (Loss) for the Six Months Ended March 31, 2026 and 2025**

**(unaudited)**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  |  |  |  | **Accumulated** |  |
|  |  |  |  | **Other** |  |
|  | **Common Stock** | **Common Stock** | **Retained** | **Comprehensive** |  |
|  | **Shares** | **Amount** | **Earnings** | **Income (Loss)** | **Total** |
| **Balance - September 30, 2024** | 1774 | $5566000 | $19523000 | $6000 | $25095000 |
| Net loss |  |  | (160000) |  | (160000) |
| Other comprehensive loss |  |  |  | (6000) | (6000) |
| **Balance - March 31, 2025** | 1774 | $5566000 | $19363000 | $- | $24929000 |
| **Balance - September 30, 2025** | 1774 | $5566000 | $20431000 | $- | $25997000 |
| Net income |  |  | 111000 |  | 111000 |
| Other comprehensive income |  |  |  |  |  |
| **Balance - March 31, 2026** | 1774 | $5566000 | $20542000 | $- | $26108000 |

---

The accompanying notes are an integral part of these (unaudited) financial statements.

------

**Pismo Coast Village, Inc.**

**Statements of Cash Flows**

**for the Six Months Ended March 31, 2026 and 2025 (unaudited)**

---

| | | |
|:---|:---|:---|
|  | **Six months ended March 31,** | **Six months ended March 31,** |
|  | **2026** | **2025** |
| **Cash flows from operating activities** |  |  |
| Net income (loss) | $111000 | $(160000) |
| Adjustments to reconcile net income to net cash provided by operating activities: |  |  |
| Depreciation and amortization | 310000 | 277000 |
| Deferred income tax expense |  |  |
| Amortization of operating lease right-of-use asset | 21000 | 21000 |
| Other non-cash expenses | 13000 | 13000 |
| Changes in operating assets and liabilities: |  |  |
| Accounts receivable | (35000) | (1000) |
| Inventories | (2000) | (21000) |
| Prepaid income taxes | 7000 | 96000 |
| Prepaid expenses | 158000 | 234000 |
| Accounts payable and accrued liabilities | (145000) | (3000) |
| Accrued wages and related | (248000) | (207000) |
| Customer deposits | 1376000 | 1319000 |
| Operating lease liability | (23000) | (23000) |
| Net cash provided by operating activities | 1543000 | 1545000 |
| **Cash flows from investing activities** |  |  |
| Capital expenditures | (213000) | (113000) |
| Redemption (purchase) of investments, net |  | 1092000 |
| Net cash provided by (used in) investing activities | (213000) | 979000 |
| **Cash flows from financing activities** |  |  |
| Principal payments on finance lease obligations | (62000) | (57000) |
| Principal payments on notes payable |  | (148000) |
| Net cash used in financing activities | (62000) | (205000) |
| Net increase in cash and cash equivalents | 1268000 | 2319000 |
| **Cash and cash equivalents - beginning of period** | 13283000 | 10786000 |
| **Cash and cash equivalents - end of period** | $14551000 | $13105000 |
| **Reconciliation of Cash and Cash Equivalents Per Balance Sheets:** |  |  |
| Cash and equivalents | 1483000 | 401000 |
| Cash reserved for capital improvements | 13068000 | 12704000 |
| Cash and cash equivalents per statement of cash flows | 14551000 | $13105000 |
| **Schedule of payments of interest and taxes** |  |  |
| Cash paid for income tax | $45000 | $50000 |
| Cash paid for interest | $41000 | $40000 |
| **Supplemental schedule of non-cash investing and financing activities** | **Supplemental schedule of non-cash investing and financing activities** |  |
| Assets acquired under finance leases | $111000 | $- |

---

The accompanying notes are an integral part of these (unaudited) financial statements.

------

**Pismo Coast Village, Inc. Notes to Unaudited Financial Statements March 31, 2026**

**Note 1: Nature of Business and Basis of Presentation**

Description of Business

Pismo Coast Village, Inc. (the "Company" or "we" or "our" or "Resort") owns and manages a recreational vehicle ("RV") camping resort. Its revenue streams originate primarily from camping site rentals, recreational vehicle storage, tow services, and retail sales through a general store.

The Company operates in one reporting unit and one operating segment, as an RV resort. We determine our operating segment considering our overall management structure, how forecasts are approved, how executive compensation is determined, as well as how our board of directors, who represent our chief operating decision maker "CODM"), regularly review our operating results, assess performance, allocate resources, and make decisions regarding the Company's operations.

Basis of Presentation

The accompanying unaudited Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP") for interim financial information and with the instructions on Form 10-Q pursuant to the rules and regulations of the U.S. Securities and Exchange Commission. In accordance with these rules and regulations, we have omitted certain information and notes normally provided in our annual financial statements. The Company qualifies as a "smaller reporting company" as defined in Rule 12b-2 under the Securities Exchange Act of 1934, and, as such, may take advantage of specified reduced reporting requirements and deferred accounting standards adoption dates, and is relieved of other requirements that are otherwise generally applicable to other public companies.

In the opinion of management, the unaudited Financial Statements contain all adjustments, consisting only of normal recurring items, necessary for the fair presentation of our financial position and results of operations for the interim periods. The results of operations for the three and six months ended March 31, 2026 are not necessarily indicative of the results expected for the entire fiscal year.

These unaudited Financial Statements should be read in conjunction with the audited Financial Statements and Notes thereto included in our Annual Report on Form 10-K for the fiscal year ended September 30, 2025.

------

Pismo Coast Village, Inc.

Notes to Unaudited Financial Statements

March 31, 2026

<u>Seasona<u>li</u></u><u>ty</u>

The Company's business is seasonal in nature with the three months ending September 30, the summer, being its busiest quarter, as can be seen by the following table which depicts quarterly revenue and income (loss) from operations for the past nine quarters:

---

| | | | |
|:---|:---|:---|:---|
| Revenue for the three months ended |  |  |  |
|  | **2026** | **2025** | **2024** |
| March 31 | $2223000 | $1966000 | $1935000 |
| June 30 |  | $2911000 | $2680000 |
| September 30 |  | $3152000 | $3027000 |
| December 31 |  | $2313000 | $2053000 |
| Income (loss) from operations for the three months ended |  |  |  |
|  | **2026** | **2025** | **2024** |
| March 31 | $64000 | $(187000) | $(13000) |
| June 30 |  | $810000 | $832000 |
| September 30 |  | $483000 | $481000 |
| December 31 |  | $(78000) | $(161000) |

---

Use of Estimates

The preparation of financial statements in conformity with U.S. GAAP requires the Company to make estimates and assumptions that affect certain reported amounts and disclosures. We base our estimates on both positive and negative evidence, historical experience and information available at the time these estimates are made. Examples of such estimates include estimates of the useful life of long-lived assets, assessments of long-lived asset impairments and allowances for credit losses. Actual results could differ materially from these estimates.

<u>**Note 2: S**</u>**ig**<u>**nificant Accounting**</u><u>**Policies**</u>

During the six months ended March 31, 2026, there have been no changes in our significant accounting policies as described in our Annual Report on Form 10-K for the fiscal year ended September 30, 2025.

<u>Disa</u>gg<u>regation of Revenue</u>

The following table summarizes disaggregated revenue totals and percentages of revenue for the three and six months ended March 31, 2026 and 2025 (unaudited):

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Three months ended March 31,** | **Three months ended March 31,** | **Three months ended March 31,** | **Three months ended March 31,** | **Six months ended March 31,** | **Six months ended March 31,** | **Six months ended March 31,** | **Six months ended March 31,** |
|  | **2026** |  | **2025** |  | **2026** |  | **2025** |  |
| RV camping site rentals | $1488000 | 67% | $1246000 | 64% | $3075000 | 68% | $2586000 | 64% |
| RV storage and towing fees | 504000 | 23% | 481000 | 24% | 1003000 | 22% | 945000 | 24% |
| Retail store sales | 140000 | 6% | 140000 | 7% | 279000 | 6% | 290000 | 7% |
| Property lease income | 52000 | 2% | 57000 | 3% | 101000 | 2% | 114000 | 3% |
| Other ancillary services | 39000 | 2% | 42000 | 2% | 78000 | 2% | 84000 | 2% |
|  | $2223000 | 100% | $1966000 | 100% | $4536000 | 100% | $4019000 | 100% |

---

------

Pismo Coast Village, Inc.

Notes to Unaudited Financial Statements

March 31, 2026

Tourism Taxes

As of March 31, 2026 and September 30, 2025, the Company had $92,000, and $82,000 in Transient Occupancy Taxes (TOT) and Tourism Business Improvement District (TBID) assessments due to the City of Pismo Beach and the County of San Luis Obispo included in accrued liabilities on the Balance Sheets, respectively.

Concentration of Credit Risk

The Company maintains its cash at several commercial banks in the United States and has significantly more cash and cash equivalents than would be covered by Federal Deposit Insurance Corporate ("FDIC") insurance with one bank. To ensure that cash remains protected by FDIC insurance, the Company has placed its Cash Reserved for Capital Improvements and Deferred Maintenance in a Certificate of Deposit Account Registry Service ("CDARS") account. By using a CDARS account, the Company's large deposits are divided into smaller amounts and placed with multiple FDIC insured banks that are members of the CDARS network. Each member bank issues CDs in amounts under $250,000, so that the entire deposit balance is eligible for FDIC insurance.

The Company keeps day-to-day operating cash with a single bank in a non-CDARS account. Due to large fluctuations in operating cash from timing of customer deposits and vendor payments, there may be times when the amount of operating cash is above the $250,000 FDIC threshold. At September 30, 2025, the operating account balance was fully insured because it was less than the FDIC threshold. At March 31, 2026 the Company had cash deposits in the operating checking account with Columbia Bank which exceeded the $250,000 federally insured limit by $66,000.

Fair Value Measurements

Our financial assets and liabilities consist principally of cash, cash equivalents, accounts receivable, accounts payable, and rental deposits, and are reported at fair value.

The Company had no US Treasury instruments with an original maturity longer than three months as of March 31, 2026 or 2025.

During the six months ended March 31, 2026, there was no material change in the items we measure and record at fair value on a recurring basis. Additionally, there were no transfers between levels of the fair value hierarchy for the six months ended March 31, 2026.

Advertising

Advertising expense was $14,000 and $10,000 for the three months ended March 31, 2026 and 2025, respectively. Advertising expense was $21,000 and $20,000 for the six months ended March 31, 2026 and 2025, respectively.

------

Pismo Coast Village, Inc.

Notes to Unaudited Financial Statements

March 31, 2026

Recent Accounting Pronouncements Issued But Not Yet Adopted

*ASU 2025-12 Codification Improvements*

In December 2025, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2025-12, *Codification Improvements* ("ASU 2025-12"). ASU 2025-12 makes thirty-three incremental improvements to generally accepted accounting principles. ASU 2025-12 is effective for all entities for annual reporting periods beginning after December 15, 2026, and interim reporting periods within those annual reporting periods. The Company is currently evaluating the impact of ASU2025-12 on its financial statements and related disclosures.

*ASU 2025-11 Interim Reporting*

In December 2025, the FASB issued ASU No. 2025-11, *Interim Reporting (Topic 270): Narrow-Scope Improvements* ("ASU 2025-11"). ASU 2025-11 is intended to improve the navigability of required interim disclosures and clarify when that guidance is applicable, and also to provide additional guidance on what disclosures should be provided in interim reporting periods. ASU 2025-11 is effective for public business entities for interim reporting periods within annual reporting periods beginning after December 15, 2027. Early adoption is permitted. The Company is currently evaluating the impact of ASU 2025-11 on its financial statements and related disclosures.

*ASU 2024-03 Expense Disaggregation*

In November 2024, the FASB issued ASU No. 2024-03,

Income Statement -Reporting Comprehensive Income-Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses ("ASU 2024-03"). ASU 2024-03 requires additional disclosures about the nature of expenses included in the income statement such as purchases of inventory, employee compensation and depreciation. ASU 2024-03 is effective for public business entities for annual periods beginning after December 15, 2026 and interim reporting periods within fiscal years beginning after December 15, 2027. Early adoption is permitted. The Company is currently evaluating the impact of ASU 2024-03 on its financial statements and related disclosures.

*ASU 2023-09 Income Taxes*

In December 2023, the FASB issued ASU No. 2023-09, *Income Taxes (Topic 740): Improvements to Income Tax Disclosures* ("ASU 2023-09"). ASU 2023-09 expands income tax disclosures to provide information to better assess how an entity's operations and related tax risks and tax planning and operational opportunities affect its tax rate and prospects for future cash flows. ASU 2023-09 is effective for public business entities for annual periods beginning after December 15, 2024. The Company is currently evaluating the impact of ASU 2023-09 on its financial statements and related disclosures.

**Note 3: Balance Sheet Components**

<u>Proper</u>ty <u>and Equipment</u>

At March 31, 2026 and September 30, 2025, property and equipment include the following:

---

| | | |
|:---|:---|:---|
|  | **March 31,** | **September 30,** |
|  | **2026** | **2025** |
|  | *(unaudited)* |  |
| Land | $11609000 | $11609000 |
| Building and resort improvements | 13677000 | 13531000 |
| Furniture, fixtures and equipment | 1113000 | 1105000 |
| Transportation equipment | 1176000 | 1092000 |
| Operating lease right-of-use asset | 85000 | 85000 |
| Construction in progress | 221000 | 171000 |
|  | 27881000 | 27593000 |
| Less accumulated depreciation and amortization | (11308000) | (11005000) |
|  | $16573000 | $16588000 |

---

Transportation equipment includes assets under finance leases. Refer to Note 5 for additional information.

------

Pismo Coast Village, Inc.

Notes to Unaudited Financial Statements

March 31, 2026

Accounts Payable and Accrued Liabilities

Accounts payable and accrued liabilities include trade payables, tourism taxes payable, property taxes payable, and other liabilities. The following table summarizes accounts payable and accrued liabilities as of March 31, 2026 and September 30, 2025:

---

| | | |
|:---|:---|:---|
|  | **March 31,** | **September 30,** |
|  | **2026** | **2025** |
|  | (unaudited) |  |
| Trade accounts payable | $67000 | $111000 |
| Accrued expenses | 75000 | 127000 |
| Tourism taxes payable | 92000 | 82000 |
| Property taxes payable |  | 68000 |
| Other | 71000 | 62000 |
|  | $305000 | $450000 |

---

Accrued expenses in the table above relate primarily to accrued utilities and other accrued operating expenses. Other accrued liabilities in the table above relate primarily to unclaimed property and gift certificates.

Accrued Wages and Related

Accrued wages and related are primarily related to the Company's annual bonus and employee vacation liabilities. The Company's annual bonus for the prior fiscal year is typically paid during the first quarter of the following year.

<u>**Note 4: Financing**</u><u>**Transactions**</u>

Line of Credit

On April 6, 2026, the Company entered into a revolving line of credit with Columbia Bank for $500,000, expiring April 1, 2027. Previously, the Company had a revolving line of credit with Columbia Bank that expired April 1, 2026. There was no outstanding balance on the prior line of credit as of March 31, 2026 or September 30, 2025.

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Pismo Coast Village, Inc.

Notes to Unaudited Financial Statements

March 31, 2026

**Note 5: Leases**

The Company has both finance and operating leases. Finance leases are primarily for transportation equipment and are generally 60-84 months in duration with maturities through September 2032. The Company's one operating lease is for a storage lot and has a maturity date in June 2026.

The following table summarizes the future minimum payments under lease liabilities as of March 31, 2026:

---

| | | |
|:---|:---|:---|
| **For the Fiscal Year Ending September 30,** | **Finance Leases** | **Operating Lease** |
| 2026 (6 months) | $101000 | $8000 |
| 2027 | 199000 |  |
| 2028 | 199000 |  |
| 2029 | 176000 |  |
| 2030 | 106000 |  |
| Thereafter | 132000 |  |
| Total future minimum payments | 913000 | 8000 |
| Less amount representing interest | (212000) |  |
| Total lease obligations | 701000 | 8000 |
| Less current portion of lease obligations | (128000) | (8000) |
| Lease obligations, net of current portion | $573000 | $- |

---

The following table summarizes the components of the lease cost for the three and six months ended March 31, 2026 and 2025 (unaudited):

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three months ended March 31,** | **Three months ended March 31,** | **Six months ended March 31,** | **Six months ended March 31,** |
|  | **2026** | **2025** | **2026** | **2025** |
| Finance lease cost: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Amortization of right-of-use assets | $42000 | $33000 | $83000 | $67000 |
| &nbsp;&nbsp;&nbsp;Interest on lease liabilities | 21000 | 18000 | 41000 | 35000 |
| Total finance lease cost | $63000 | $51000 | $124000 | $102000 |
| Operating lease cost | $11000 | $11000 | $21000 | $25000 |

---

Supplemental balance sheet information related to leases as of March 31, 2026 and September 30, 2025 is as follows:

---

| | | |
|:---|:---|:---|
|  | **March 31,** | **September 30,** |
|  | **2026** | **2025** |
|  | *(unaudited)* |  |
| Right-of-use assets, gross | $895000 | $784000 |
| Accumulated amortization | (267000) | (184000) |
| Net asset value included in property and equipment, net | $628000 | $600000 |

---

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Pismo Coast Village, Inc.

Notes to Unaudited Financial Statements

March 31, 2026

The following table summarizes the weighted-average remaining lease term and weighted-average discount rate as of March 31, 2026 and September 30, 2025:

---

| | | |
|:---|:---|:---|
|  | **March 31,** | **September 30,** |
|  | **2026** | **2026** |
|  | (unaudited) |  |
| Weighted-average remaining lease term |  |  |
| Finance leases | 4.9 years | 5.0 years |
| Operating lease | 0.2 years | 0.75 years |
| Weighted-average discount rate |  |  |
| Finance leases | 11.3% | 11.4% |
| Operating lease | 12.0% | 12.0% |

---

**Note 6: Property Leases - Lessor**

The Company is the lessor on various property leases, which currently represent approximately $16,000 in monthly income and extend over periods through 2038. These leases relate to one building, as well as several cell towers and a billboard on our storage properties. The leases have durations ranging from two to twenty years and are generally renewable for additional five-year durations. The following table summarizes the future minimum operating lease income under these leases:

---

| | |
|:---|:---|
| **<u>For the Fiscal Year Ending September 30,</u>** |  |
| 2026 (6 months) | $90000 |
| 2027 | 162000 |
| 2028 | 148000 |
| 2029 | 150000 |
| 2030 | 150000 |
| Thereafter | 480000 |
|  | $1180000 |

---

**Note 7: Common Stock**

Each share of stock is intended to provide the shareholder with free use of the resort for a maximum of 45 days per year. If the Company is unable to generate sufficient funds from the public, the Company may be required to charge shareholders for services.

A shareholder is entitled to a pro rata share of any dividends as well as a pro rata share of the assets of the Company in the event of its liquidation or sale. The shares are personal property and do not constitute an interest in real property. The ownership of a share does not entitle the owner to any interest in any particular site or camping period.

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Pismo Coast Village, Inc.

Notes to Unaudited Financial Statements

March 31, 2026

**Note 8: Income Taxes**

Deferred income taxes arise from temporary differences between the tax basis of assets and liabilities and their reported amounts in the financial statements, which will result in taxable or deductible amounts in the future. The majority of the balance is due to timing differences of depreciation expense, caused by the use of accelerated depreciation methods for tax calculations.

**Note 9: Employee Retirement Plans**

The Company is the sponsor of a 401(k) profit sharing pension plan, which covers substantially all full-time employees. Employer contributions are discretionary and are determined on an annual basis. The Company's matching portion of the 401(k) safe harbor plan was $16,000 and $20,000 for the three months ended March 31, 2026 and 2025, respectively, and $34,000 and $38,000 for the six months ended March 31, 2026 and 2025, respectively.

**Note 10: Subsequent Events**

Events subsequent to March 31, 2026 have been evaluated through May 13, 2026, which is the date the financial statements were issued, and except as noted in Note 4, management did not identify any subsequent events that require adjustment or disclosure in the financial statements.

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**ITEM 2. Management's Discussion and Analysis of Financial Condition and Results of Operations**

<u>Statement on Forward Looking</u> <u>Information</u>

The following analysis discusses the Company's financial condition as of March 31, 2026, compared with March 31, 2025. The discussion should be read in conjunction with the unaudited financial statements and the related notes to the financial statements included elsewhere in this Form 10-Q.

Certain information included herein contains statements that may be considered forward-looking statements, such as statements relating to anticipated expenses, capital spending and financing sources. Such forward-looking information involves important risks and uncertainties that could significantly affect anticipated results in the future and, accordingly, such results may differ from those expressed in any forward-looking statements made herein. These risks and uncertainties include, but are not limited to, those relating to competitive industry conditions, California tourism and weather conditions, dependence on existing management, leverage and debt service, the regulation of the recreational vehicle industry, domestic or global economic conditions, and changes in federal or state tax laws or the administration of such laws.

<u><u>Management's Discussion and Ana</u>ly<u>sis of Financial Condition and Results of Operations</u></u>

This section is organized as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Overview:** A discussion of the Company's business operations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Liquidity and Capital Resources:** An analysis of changes in our balance sheets and cash flows, and a discussion of our financial condition and potential sources of liquidity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Results of Operations:** An analysis and discussion of our financial results comparing our results of operations for the current fiscal year to the prior fiscal year, and of the prior fiscal year compared to the previous fiscal year.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Critical Accounting Estimates:** A discussion of the accounting estimates that we believe are most important to understand the assumptions and judgments incorporated in our reported financial results and forecasts, as well as recent accounting pronouncements that have had or are expected to have a material impact on our results of operations.

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<u>Overview</u>

Pismo Coast Village, Inc. operates as a 400-space recreational vehicle resort located along the coast of Central California. The resort offers a full range of services, such as a general store, video arcade, laundromat, and an RV storage operation.

The Company is authorized to issue 1,800 shares of one class, all with equal voting rights and all being without par value. Transfers of shares are restricted by Company bylaws. One such restriction is that transferees must acquire shares with intent to hold the same for the purpose of enjoying camping rights and other benefits to which a shareholder is entitled. Each share of stock is intended to provide the shareholder with the opportunity for 45 nights of free site use per year. However, if the Company is unable to generate sufficient funds from the public, the Company may be required to charge shareholders for services.

Management is charged with the task of developing sufficient funds to operate the Resort through site sales to general public guests by allocating a minimum of 175 sites for general public use and allocating a maximum of 225 sites for shareholder free use. The other service centers are expected to generate sufficient revenue to support themselves and/or produce a profit.

The Company continues to promote and depend upon recreational vehicle camping as the primary source of revenue. The rental of campsites to the general public provides income to cover expenses, complete capital improvements, and allow shareholders up to 45 free nights camping annually. Additional revenues come from RV storage and spotting, an on-site convenience store, property leases and other ancillary activities such as a restaurant, laundromat, arcade, and recreational activities.

The Central Coast remains a highly sought-after destination for RV enthusiasts actively seeking quality accommodations. RVing continues to provide an affordable and immersive outdoor experience, and the Company is proud to deliver top-tier facilities and services in this popular location.

The outdoor hospitality industry continues to demonstrate resilience and appeal in the first half of FY2026. According to KOA's 2025 Camping & Outdoor Hospitality Report (the most recent comprehensive annual survey available), the sector remains strong overall, with camping participation having grown significantly over the past decade-including over 11 million additional households camping in 2024 compared to 2019. Looking ahead, the industry is stabilizing in 2025-2026, with projections for continued interest: around one million new households expected to try camping, 71-72% of campers planning trips, and many viewing it as a cost-effective travel option amid economic considerations. Key attractions of the outdoor experience include spending time in nature (emphasized by a majority of campers), access to classic amenities like fire pits and outdoor seating, and traditional camping accommodations in RVs or tents.

Private campgrounds, such as Pismo Coast Village Resort, remain a top choice for travelers seeking authentic and high-quality outdoor hospitality. In April 2026, Pismo Beach was named the #1 Best Small Coastal Town in the United States by USA TODAY 10 Best Readers' Choice Awards for the second consecutive year. The Company was awarded the Best of the Best Award from RV LIFE, recognizing it as among the top 25% of campgrounds and RV parks in North America stated to be based on authentic reviews from verified RVers-highlighting the Company's guest satisfaction, prime beachfront location, and commitment to excellence.

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RV storage remains in demand and a primary revenue source for the Company. As of March 2026, the waitlist for new storage clients exceeds 300. To meet this demand, the Company is progressing with plans to develop an estimated 150-unit storage facility on a new 4.42-acre property in Nipomo. RV storage offers customers several advantages, including eliminating the stress of towing, reducing the need to own a tow vehicle, enabling shared use among family members, and providing added convenience.

Continued investment in resort enhancements remains a top priority to ensure a premier experience for both guests and shareholders. The resort is recognized as a leader in the industry, with accolades from reputable organizations such as Good Sam for its exceptional facilities and high standards. The Company's dedication to quality, value, and customer satisfaction is reflected in its success, driven by repeat business, positive word of mouth, and guest referrals.

The Company's marketing strategy focuses on digital platforms, social media content, advertising in national directories, and placements in leading trade magazines. These initiatives are designed to strengthen the Company's visibility and ensure sustained growth in the highly competitive outdoor hospitality market.

<u>Liquidi</u>ty <u>and Capital Resources</u>

The Company's policy is to use its ability to generate operating cash flow to meet its expected future needs for internal growth. The Company has continued to maintain sufficient cash so as to not require the use of a short-term line of credit during the off-season period, and the Company expects to be able to do so (although no assurance of continued cash flow can be given).

Net cash provided by operating activities was approximately $1.5 million in the six months ended March 31, 2026, compared to $1.5 million in the same period of 2025. The increase in net cash provided by operating activities is due to the timing of customer deposits, which are generally required six months in advance, so significant deposits are received in the six months prior to the summer season.

Working capital was $10.6 million and $10.5 million at the end of March 31, 2026 and September 30, 2025, respectively.

The Company plans approximately $1.8 million of additional capital expenditures in fiscal year 2026 to further enhance the Resort facilities and services. The most significant capital project is development of the 4.42-acre property in Nipomo for RV Storage. In addition, the Company re-graveled additional campsites during the quarter ended March 31, 2026 and plans to repair the asphalt on Resort roads as part of its ongoing facility maintenance programs. Funding for these projects is expected to come from normal operating cash flows and cash reserves. These capital expenditures are expected to increase the Resort's value to its shareholders and the general public.

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With the possibility of requiring additional funds for planned capital improvements and the winter season, the Company maintains a $500,000 Line of Credit to ensure funds will be available if required. In anticipation of future large projects, the Board of Directors has instructed management to build operational cash balances. The Company has no other liabilities to creditors other than current accounts payable arising from its normal day-to-day operations and advance Resort rental reservation deposits, none of which are in arrears.

The Board of Directors continues its previously established policy of adopting a stringent conservative budget for fiscal year 2026, which projects a positive cash flow of approximately $1.0 million from operations. This projection is based on paid site occupancy reflecting similar occupancy as experienced in fiscal year 2025. While the Company projects a positive cash flow, this cannot be assured for fiscal year 2026.

<u>Results of Operations</u>

The Company's revenue streams originate primarily from three sources: (a) RV camping site rentals, (b) RV storage & towing fees, and (c) retail sales through a general store. In addition, the Company generates revenue from leases of real property, such as a RV repair facility and cell towers on our real property and from other ancillary services, such as the restaurant, arcade and laundromat.

***Three months ended March 31, 2026 compared to the three months ended March 31, 2025***

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three months ended March 31,** | **Three months ended March 31,** | **Three months ended March 31,** |  |
|  | **2026** |  | **2025** |  |
| RV camping site rentals | $1488000 | 67% | $1246000 | 64% |
| RV storage and towing fees | 504000 | 23% | 481000 | 24% |
| Retail store sales | 140000 | 6% | 140000 | 7% |
| Property lease income | 52000 | 2% | 57000 | 3% |
| Other ancillary services | 39000 | 2% | 42000 | 2% |
|  | $2223000 | 100% | $1966000 | 100% |

---

Overall, total revenue was higher in the three months ended March 31, 2026 compared to the same period of 2025 primarily due to site rental rate increases in November 2025 (a $257,000 or 13% increase).

RV camping site rental revenues increased $242,000 (or 19%) to $1,488,000 in the three months ended March 31, 2026 compared to $1,246,000 in the same period of 2025 primarily due to a $20 per night rate increase offset by the impact of 2% lower occupancy during 2026 than 2025. Occupancy was lower in 2026 than 2025 because of the timing of weekends and holidays during the calendar quarter and site maintenance being performed during the winter season.

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three months ended March 31,** | **Three months ended March 31,** | **Three months ended March 31,** |  |
|  | **2026** |  | **2025** |  |
| Paid RV camping site nights | 14008 | 67% | 14571 | 68% |
| Unpaid shareholder nights | 6811 | 33% | 6747 | 32% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total Occupancy | 20819 | 100% | 21318 | 100% |
| Occupancy % | 58% |  | 59% |  |
| Sites Not Occupied | 15181 | 42% | 14682 | 41% |
| Total Capacity | 36000 |  | 36000 |  |

---

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RV storage & towing fees increased $23,000 to $504,000 in the three months ended March 31, 2026 compared to $481,000 in the same period of 2025, due to a $5 per month rate increase effective January 2025 that was fully realized from annual storage payers in 2026 while our storage lots continued to be at full capacity and for fluctuations in occupancy that impact towing fees.

Retail store revenues were flat at $140,000 in the three months ended March 31, 2026 compared to $140,000 in the same period of 2025 due to the offsetting impact of lower occupancy and seasonal sales incentives for slow moving product. The company strives to maintain consistent pricing, which leads to moderate margins for staples such as groceries, ice, wood, and RV parts; however some upward pricing occurred due to inflationary costs.

Property lease income, which is primarily associated with rental of the RV repair facilities, decreased $5,000 to $52,000 in the three months ended March 31, 2026 compared to $57,000 in same period of 2025 due to terminated leases in December 2025.

Operating expenses decreased $32,000 to $1,909,000 in the three months ended March 31, 2026 compared to $1,941,000 in same period of 2025. The decrease is primarily due the capitalization of $28,000 in labor costs associated with Site improvements.

Cost of goods sold increased $22,000 to $95,000 in the three months ended March 31, 2026 compared to $72,000 in the same period of 2025 primarily due to upward inflationary costs and the mix of products sold in the store.

Depreciation and amortization expense increased $15,000 to $155,000 in the three months ended March 31, 2026 compared to $140,000 in the same period of 2025 due primarily to depreciation on two new tow vehicles and new sewer pump equipment that were put in service between August and October 2025.

Other income and expense, net increased $1,000 to $83,000 in the three months ended March 31, 2026, compared to $82,000 in the same period of 2025, primarily because of additional interest on increased cash reserves, offset by decreased interest rates in 2026 compared to 2025.

Although the supply-demand balance generally remains favorable, future-operating results could be impacted by changes in inflation and the economy that lead to increases or decreases in demand. Depending on the nature of business and economic cycles and trends, rates may be adjusted accordingly, if deemed necessary. Changes in demand could limit the Company's ability to pass through inflationary increases in operating costs as higher rates.

Additionally, increases in transportation and fuel costs or sustained recessionary periods could unfavorably impact future results. However, the Company believes that its financial strength and market presence will enable it to remain extremely competitive. The company intends to continue to market site usage at its highest value and believes that currently this will not negatively impact the Company's ability to capture an optimum market share.

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***Six months ended March 31, 2026 compared to the six months ended March 31, 2025***

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Six months ended March 31,** | **Six months ended March 31,** | **Six months ended March 31,** |  |
|  | **2026** |  | **2025** |  |
| RV camping site rentals | $3075000 | 68% | $2586000 | 64% |
| RV storage and towing fees | 1003000 | 22% | 945000 | 24% |
| Retail store sales | 279000 | 6% | 290000 | 7% |
| Property lease income | 101000 | 2% | 114000 | 3% |
| Other ancillary services | 78000 | 2% | 84000 | 2% |
|  | $4536000 | 100% | $4019000 | 100% |

---

Overall, total revenue increased in the six months ended March 31, 2026 compared to the same period of 2025 primarily due to site rental rate increases (a $517,000 or 13% increase).

RV camping site rental revenues increased $489,000 (or 19%) to $3,075,000 in the six months ended March 31, 2026 compared to $2,586,000 in the same period of 2025 primarily due to a $20 per night rate increase offset by the impact of 2% lower occupancy during 2026 than 2025. Occupancy was lower in 2026 than 2025 because of the timing of weekends and holidays during the calendar quarter and site maintenance being performed during the winter season.

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Six months ended March 31,** | **Six months ended March 31,** | **Six months ended March 31,** |  |
|  | **2026** |  | **2025** |  |
| Paid RV camping site nights | 29218 | 64% | 30492 | 66% |
| Unpaid shareholder nights | 16134 | 36% | 15916 | 34% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total Occupancy | 45352 | 100% | 46408 | 100% |
| Occupancy % | 62% |  | 64% |  |
| Sites Not Occupied | 27448 | 38% | 26392 | 36% |
| Total Capacity | 72800 |  | 72800 |  |

---

RV storage & towing fees increased $58,000 to $1,003,000 in the six months ended March 31, 2026 compared to $945,000 in the same period of 2025, due to a $5 per night rate increase effective January 2025 that was fully realized in 2026 while our storage lots continue to be at full capacity and for fluctuations in occupancy that impact towing fees.

Retail store revenues decreased $11,000 to $279,000 in the six months ended March 31, 2026 compared to $290,000 in the same period of 2025 due to the offsetting impact of lower occupancy and seasonal sales incentives for slow moving product. The company strives to maintain consistent pricing, which leads to moderate margins for staples such as groceries, ice, wood, and RV parts; however, some upward pricing occurred due to inflationary costs.

Property lease income, which is primarily associated with rental of the RV repair facilities, decreased $13,000 to $101,000 in the six months ended March 31, 2026 compared to $114,000 in same period of 2025 due to terminated leases in December 2025.

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Operating expenses increased $111,000 to $4,052,000 in the six months ended March 31, 2026 compared to $3,942,000 in same period of 2025. The increase is primarily due a $167,000 increase in legal, HR, consulting, proxy voting and credit card service fees. These additional expenses were offset by a $46,000 decrease in electricity costs.

Cost of goods sold increased $40,000 to $188,000 in the six months ended March 31, 2026 compared to $148,000 in the same period of 2025 primarily due to upward inflationary cost of products and the mix of products sold in the store.

Depreciation and amortization expense increased $33,000 to $310,000 in the six months ended March 31, 2026 compared to $277,000 in the same period of 2025 due primarily to depreciation on two new tow vehicles that were put in service and new sewer pump equipment and between August and October 2025.

Other income and expense, net decreased $10,000 to $174,000 in the six months ended March 31, 2026, compared to $184,000 in the same period of 2025, primarily because of additional interest on increased cash reserves, offset by decreased interest rates in 2026 compared to 2025.

Although the supply-demand balance generally remains favorable, future-operating results could be impacted by changes in inflation and the economy that lead to increases or decreases in demand. Depending on the nature of business and economic cycles and trends, rates may be adjusted accordingly, if deemed necessary. Changes in demand could limit the Company's ability to pass through inflationary increases in operating costs as higher rates.

Additionally, increases in transportation and fuel costs or sustained recessionary periods could unfavorably impact future results. However, the Company believes that its financial strength and market presence will enable it to remain extremely competitive. The company intends to continue to market site usage at its highest value and believes that currently this will not negatively impact the Company's ability to capture an optimum market share.

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<u><u>Seasonali</u>ty</u>

The business of the Company is seasonal and is concentrated on prime days of the year which are defined as follows: President's Day weekend, Easter week, Memorial Day weekend, summer vacation months, Labor Day weekend, Thanksgiving week, and Christmas/New Year's week.

Occupancy is impacted by weather patterns, as demand decreases during the rainy season and also in years with more rain. Additionally, occupancy within any particular quarter is impacted by the timing of weekends and holidays within that calendar quarter. Due the seasonal impact, fall and winter months derive less revenue and profit than the rest of the year. Revenue, paid occupancy and income (loss) from operations for the past nine quarters were as follows:

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| | | | |
|:---|:---|:---|:---|
| <u>Revenue for the three months ended</u> |  |  |  |
|  | **2026** | **2025** | **2024** |
| March 31 | $2223000 | $1966000 | $1935000 |
| June 30 |  | $2911000 | $2680000 |
| September 30 |  | $3152000 | $3027000 |
| December 31 |  | $2313000 | $2053000 |
| <u>Paid Occupancy for the three months ended</u> |  |  |  |
|  | **2026** | **2025** | **2024** |
| March 31 | 14008 | 14571 | 14958 |
| June 30 |  | 19800 | 20339 |
| September 30 |  | 22128 | 22914 |
| December 31 |  | 15210 | 15921 |
| <u>Income (loss) from operations for the three months ended</u> |  |  |  |
|  | **2026** | **2025** | **2024** |
| March 31 | $64000 | $(187000) | $(13000) |
| June 30 |  | $810000 | $832000 |
| September 30 |  | $483000 | $481000 |
| December 31 |  | $(78000) | $(161000) |

---

Occupancy during the three months ended March 31, 2026 was slightly less than the same period of 2025 due primarily to the timing of weekends and holidays. Revenue for the three months ended March 31, 2026 was higher than the same period of 2025, due primarily to the $20 per night site rate increases established November 2025. Income from operations for the three months ended March 31, 2026 increased compared to the same period of 2025 due primarily to increased site rate increases while costs and expenses as a whole were relatively flat.

Occupancy during the quarter ending June 30, 2026 is expected to be seasonally higher than the three months ended March 31, 2026, because it is spring, resulting in higher revenue and profitability.

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<u>Critical Accounting Estimates</u>

The Company's consolidated financial statements are prepared in accordance with U.S. GAAP, which requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues, and expenses, as well as related disclosure of contingent assets and liabilities. In some cases, management could reasonably have used different accounting policies and estimates. In some cases, changes in the accounting estimates are reasonably likely to occur from period to period. Accordingly, actual results could differ materially from our estimates. To the extent that there are material differences between these estimates and actual results, the Company's financial condition or results of operations will be affected.

Management bases estimates upon past experience and other assumptions that we believe are reasonable under the circumstances, and we evaluate these estimates on an ongoing basis. We refer to accounting estimates of this type as critical accounting policies and estimates. Our critical accounting policies are described in Part II, Item 7, Management's Discussion and Analysis of Financial Condition and Results of Operations, of our 2025 Annual Report on Form 10-K.

Management's Discussion and Analysis of Financial Condition and Results of Operations is based upon our Financial Statements, which have been prepared in accordance with U.S. GAAP. Our significant accounting policies are more fully described in Note 2, Significant Accounting Policies, in the Notes to Financial Statements of our 2025 Annual Report on Form 10-K. There were no changes to our significant accounting policies during the six months ended March 31, 2026.

**ITEM 3. Quantitative and Qualitative Disclosures About Market Risk**

Not Applicable.

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**ITEM 4. Controls and Procedures**

<u>MANAGEMENT'S REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING</u> 

Our management is responsible for establishing internal control over financial reporting ("ICFR") as defined in Rules 13a-I5(f) and 15(d)-15(f) under the 1934 Act. Our ICFR is intended to be designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with U.S. GAAP. Our ICFR is expected to include policies and procedures that management believes are necessary that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the Company

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with U.S. GAAP, and that receipts and expenditures of the Company are being made only in accordance with authorizations of management and our directors; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. provide reasonable assurance regarding the prevention or timely detection of unauthorized acquisition, use or disposition of the Company's assets that could have a material effect on the financial statements.

Management recognizes that there are inherent limitations in the effectiveness of any system of internal control, and accordingly, even effective internal control can provide only reasonable assurance with respect of financial statement preparation and may not prevent or detect misstatements. In addition, effective internal control at a point in time may become ineffective in future periods because of changes in conditions or due to deterioration in the degree of compliance with our established policies and procedures.

As of September 30, 2025, management with the participation of our CEO, General Manager and CFO, assessed the effectiveness of the Company's internal control over financial reporting (ICFR) based on the criteria for effective ICFR established in Internal Control-Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO) and SEC guidance on conducting such assessments by smaller reporting companies and non-accelerated filers. Based on that assessment, management concluded that our disclosure controls and procedures were not effective during periods covered by this report (as defined in Rules 13a-15(e) and 15d-15(e) under the Exchange Act).

<u>MATERIAL WEAKNESS</u>

In connection with our management's assessment of controls over financial reporting during the years ended September 30, 2025 and 2024, we identified a material weakness. A material weakness is a deficiency, or a combination of deficiencies, in internal control over financial reporting such that there is a reasonable possibility that a material misstatement of our annual or interim financial statements will not be prevented or detected on a timely basis.

------

The material weakness that we identified is that we did not have sufficient qualified internal resources related to internal controls over financial reporting. To address this material weakness, we evaluated our ongoing staffing requirements. During November 2025 we appointed a new accounting manager and in September 2024 we retained an experienced part-time temporary controller consultant who has been responsible for reviewing our internal control processes. As of March 31, 2026, we conclude that we have not sufficiently remediated this control deficiency because the additional personnel have not been on board for a sufficient period of time.

<u>CHANGES IN INTERNAL CONTROL OVER FINANCIAL REPORTING</u>

Except for the remediation efforts described above, there were no changes to our internal control over financial reporting (as defined in Rules 13a-15(f) and 15d-15(f) under the Exchange Act) that occurred during the period covered by this report that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

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**PART II -- OTHER INFORMATION**

**ITEM 1. Legal Proceedings**

There are no pending legal proceedings against the Company other than routine litigation incidental to the business.

**ITEM 2. Unregistered Sales of Equity Securities and Use of Proceeds**

Not Applicable

**ITEM 3. Defaults Upon Senior Securities**

Not Applicable

**ITEM 4. Mine Safety Disclosures**

Not Applicable

**ITEM 5. Other Information**

Not Applicable

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**ITEM 6. Exhibits**

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| | |
|:---|:---|
| **Exhibit No.** | **Description of Exhibit** |
| [31.1](exhibit31-1.htm) | [Certification Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 (George Pappi, President and Chairman of the Board, and Chief Executive Officer/principal executive officer)](exhibit31-1.htm) |
| [31.2](exhibit31-2.htm) | [Certification Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 (Barbara Boswell, Chief Financial Officer, principal financial officer, and principal accounting officer)](exhibit31-2.htm) |
| [32.1](exhibit32-1.htm) | [Certification Pursuant to 18 U. S. C. Subsection 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (George Pappi, President and Chairman of the Board, and Chief Executive Officer/principal executive officer and Barbara Boswell, Chief Financial Officer, principal financial officer, and principal accounting officer)](exhibit32-1.htm) |
| 101.INS | Inline XBRL Instance Document-the instance document does not appear in the Interactive Data File as its XBRL tags are embedded within the Inline XBRL document |
| [101.SCH](pcv-20260331.xsd) | [Inline XBRL Taxonomy Extension Schema Document](pcv-20260331.xsd) |
| [101.CAL](pcv-20260331_cal.xml) | [Inline XBRL Taxonomy Extension Calculation Linkbase Document](pcv-20260331_cal.xml) |
| [101.DEF](pcv-20260331_def.xml) | [Inline XBRL Taxonomy Extension Definition Linkbase Document](pcv-20260331_def.xml) |
| [101.LAB](pcv-20260331_lab.xml) | [Inline XBRL Taxonomy Extension Label Linkbase Document](pcv-20260331_lab.xml) |
| [101.PRE](pcv-20260331_pre.xml) | [Inline XBRL Taxonomy Extension Presentation Linkbase Document](pcv-20260331_pre.xml) |
| 104 | Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101) |

---

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**SIGNATURES**

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

<u>PISMO COAST VILLAGE, INC.</u>

(Registrant)

---

| | |
|:---|:---|
| Date: | May 13, 2026 |
| Signature: | /s/ GEORGE PAPPI |
|  | George Pappi, President, and Chairman of the Board<br>(Chief Executive Officer/Principal executive officer) |
| Date: | May 13, 2026 |
| Signature: | /s/ BARBARA BOSWELL |
|  | Barbara Boswell, V.P. Finance/Chief Financial Officer<br>(Principal financial officer and principal accounting officer) |

---

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## Exhibit 31.1

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Exhibit 31.1

<u>Certification required under Section 302 of the</u>

<u>Sarbanes-Oxley Act of 2002</u>

<u>CERTIFICATION</u>

I, George Pappi, certify that:

1. I have reviewed this annual report on Form 10-K of Pismo Coast Village, Inc.

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the Company as of, and for, the periods presented in this report;

4. The Company's other certifying officers and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the Company and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Designed such disclosure controls and procedures or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the Company is made known to us by others, particularly during the period in which this report is being prepared.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Evaluated the effectiveness of the Company's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Disclosed in this report any change in the Company's internal control over financial reporting that occurred during the Company's most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the Company's internal control over financial reporting;

------

5. The Company's other certifying officers and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the Company's auditors and the audit committee of the Company's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the Company's ability to record, process, summarize and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the Company's internal controls over financial reporting.

Date: May 13, 2026

![](exhibit31-1x001.jpg)

Signature: /s/ GEORGE PAPPI

GEORGE PAPPI, President and Chief Executive Officer

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## Exhibit 31.2

------

Exhibit 31.2

<u>Certification required under Section 302 of the</u>

<u>Sarbanes-Oxley Act of 2002</u>

<u>CERTIFICATION</u>

I, Barbara Boswell, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Pismo Coast Village, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the Company as of, and for, the periods presented in this report;

4. The Company's other certifying officers and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the Company and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the Company is made known to us by others, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Evaluated the effectiveness of the Company's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Disclosed in this report any change in the Company's internal control over financial reporting that occurred during the Company's most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the Company's internal control over financial reporting;

------

5. The Company's other certifying officers and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the Company's auditors and the audit committee of the Company's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the Company's ability to record, process, summarize and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the Company's internal controls over financial reporting.

Date: May 13, 2026

![](exhibit31-2x001.jpg)

Signature: /s/ BARBARA BOSWELL

BARBARA BOSWELL, Vice President, Finance

and Chief Financial Officer

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## Exhibit 32.1

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Exhibit 32.1

**CERTIFICATION**

**PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002**

PISMO COAST VILLAGE, INC.

The undersigned, being the President and Chief Executive Officer and the Vice President-Finance and Chief Financial Officer, respectively, of Pismo Coast Village, Inc., do hereby certify, in compliance with Title 18, Chapter 63, Section 1350 of the United States Code, that the periodic report which this Certification accompanies fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934 and that the information contained in said periodic report fairly presents, in all material respects, the financial condition and results of operation of the issuer.

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| | | |
|:---|:---|:---|
| Date: | <u>May 13, 2026</u> | ![](exhibit32-1x001.jpg) |
|  |  | _________________________________________________, |
|  |  | *George Pappi* <br>*President and Chief Executive Officer* |
| Date: | <u>May 13, 2026</u> | ![](exhibit32-1x002.jpg) |
|  |  | _________________________________________________, |
|  |  | *Barbara Boswell*<br>*Vice President*, *Finance*<br>*and Chief Financial Officer* |

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A signed original of this written statement required by Section 906 has been provided to the Company and will be retained by the Company and furnished to the Securities and Exchange Commission or its staff upon request.

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