APPlife Digital Solutions, Inc. reported substantial financial growth for its second quarter of fiscal year 2026, with revenue increasing 93% quarter-over-quarter to $894,309. This growth validates the company's strategic focus on e-commerce platform optimization and targeted digital media efforts, particularly within the automotive aftermarket sector following the acquisition of Sugar Auto Parts. The company's technical infrastructure for its flagship platform, LiftKits4Less.com, underwent a comprehensive rebuild that included features like real-time inventory synchronization and automated fulfillment.
These enhancements enabled broader inventory selection and more effective digital media campaigns, which increased product availability, boosted site traffic, and improved conversion rates. The company increased real-time SKU access to over 175,000, representing a 40% increase from earlier in 2025, with a target of 350,000 to 450,000 SKUs by the end of 2026. Gross profit for the quarter ended December 31, 2025 was $226,854, representing a gross margin of 25%, compared to 23% in the previous quarter.
Operating expenses totaled $774,701, reflecting costs attributable to labor, professional fees, advertising, and merchant fees as the company continued to expand product lines in Sugar Auto Parts and increased labor and contractors for regulatory compliance. Net loss for the quarter was $998,866, or $(0.00) per share, compared to net income of $96,322, or $0.00 per share, in the prior quarter. Michael Hill, CEO of APPlife Digital Solutions, Inc., stated that the second quarter marks another milestone with substantial revenue growth validating strategic focus on platform optimization and targeted media ramp-up.
These results demonstrate the scalability of the e-commerce model and position the company for continued aggressive growth across its portfolio, including LiftKits4Less.com and the emerging SugarAutoParts.com multi-seller marketplace. Looking ahead, the company remains focused on operational excellence and product innovation while actively evaluating selective acquisition opportunities that align with strategic priorities. The company's strategy balances organic growth initiatives with disciplined capital allocation, maintaining focus on high-quality targets that complement its existing portfolio while preserving financial flexibility.
