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Earth Science Tech Inc. (ETST) Accelerates Profitability and Governance Transformation, Signals 40% Net Income Growth Trajectory
February 25, 2026

Earth Science Tech Inc. (ETST) Accelerates Profitability and Governance Transformation, Signals 40% Net Income Growth Trajectory

  • ETST reported a third fiscal quarter 2026 revenue of $8.4 million, up 14.1% year-over-year
  • Gross margin expanded to 76.3%, highlighting an improved operating leverage across its portfolio
  • The company announced governance reforms and cost initiatives expected to drive about $1.4 million in annualized savings and over 40% projected net income growth

Earth Science Tech (OTC: ETST), a strategic holding company reputed for acquiring and growing high-potential operating businesses, is stepping into a new era of disciplined growth characterized by expanding margins, optimizing cash generation, and a total shift toward a more shareholder-focused public company model.

In the company’s third fiscal quarter ended December 31, 2025, the company published a revenue of $8.4 million, indicating a 14.1% growth over the previous fiscal year. Notably, ETST’s gross profit increased to $6.4 million, resulting in a gross margin expansion to 76.3% compared to 69.2% the previous year. This growth is a pointer to increased product sales, disciplined expense management, and better operating leverage across subsidiaries (ibn.fm/DISFJ).

The company’s net income for the quarter increased by 341% over the previous quarter to $910,000, and adjusted EBITDA rose to $1.2 million from $0.3 million during the same period under review. These outcomes underscore the scalability embedded in the company’s diverse operating structure while reinforcing the management’s view that the company is hitting a better baseline earnings profile.
A key driver of this unprecedented growth is the company’s telemedicine platform Peaks, which recently exceeded $2.0 million in revenue in just under a year of growing from $248,000. With over ten additional state licenses pending, the company is strategically positioning the platform for greater geographical reach and improved revenue acceleration in 2026.

ETST’s financial prudence has been a core aspect of the company’s overall operational strategy, and as of December 31, 2025, the company reported no bank debt and successfully generated $1.2 million in positive operating cash flow for the fiscal year-to-date. The company also successfully purchased and retired 3.7 million shares in just over nine years, cutting down outstanding common shares by 3.6% year-over-year and reinforcing capital allocation discipline.

ETST also continues to consolidate operational performance by recently announcing a number of public company initiatives designed to improve governance, long-term shareholder alignment, and transparency. The company’s management projects about $1.4 million in annual cost savings in the 2026 fiscal year, supporting projected net income growth of over 40%, to about $4.7 million on a go-forward basis before incremental organic growth (ibn.fm/H0Ro3).

Strategic aspects of the plan include portfolio optimization using divestiture of non-core assets, capital structure rationalization, and consolidation of subsidiaries under unified brands to unlock operational synergies. The company also seeks to introduce advisory shareholder votes on executive compensation in addition to the possible retirement of Series B preferred stock, underscoring accountability and transparency.

These updates place ETST strategically for margin expansion, governance reform coverage, and cost rationalization. With its solid 2026 momentum, a clear pathway to institutional readiness, and geographic expansion, the company is on its way towards consistent revenue growth.

For more information, visit EarthScienceTech.com.

NOTE TO INVESTORS: The latest news and updates relating to ETST are available in the company’s newsroom at https://ibn.fm/ETST

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