Omnitek Engineering Corp 10-Q for FY2026 Q2

Omnitek Engineering Corp (OMTK)

10-Q 2026-08-19 For: 2026-06-30

Added on August 19, 2026

About this 10-Q

Omnitek Engineering Corp filed this 10-Q on August 19, 2026, covering the quarter ended June 30, 2026 (FY2026 Q2).

Headline figures

Quarter ended June 30, 2026, as reported in this filing, compared with the same period a year earlier where the filing states it.

Revenue: $306.24K; down 49.4% from $605.41K a year earlier
Net loss: $72.75K; compared with net income of $125.85K a year earlier

Search and read filings like this one from Claude or ChatGPT with the SEC filings MCP server →

California		33-0984450
(State or other jurisdiction of incorporation or organization)		(I.R.S. Employer Identification No.)

Large accelerated filer	☐	Accelerated filer	☐
Non-accelerated filer	☒	Smaller reporting company	☒
Emerging growth company	☐

Title of each class	Trading Symbols(s)	Name of each exchange on which registered
N/A

TABLE OF CONTENTS
	Page
PART I - FINANCIAL INFORMATION

Item 1. Financial Statements	3

Condensed Balance Sheets as of June 30, 2026 (unaudited) and December 31, 2025	3

Condensed Statements of Operations for the three and six months ended June 30, 2026 and June 30, 2025 (unaudited)	4

Condensed Statements of Cash Flows for the six months ended June 30, 2026 and June 30, 2025 (unaudited)	5

Condensed Statements of Stockholders’ Deficit for the three and six months ended June 30, 2026 and June 30, 2025 (unaudited)	6

Notes to the Unaudited Condensed Financial Statements	7

Item 2. Management's Discussion and Analysis of the Financial Condition and Results of Operations	16

Item 3. Quantitative and Qualitative Disclosures about Market Risk	19

Item 4. Controls and Procedures	20

PART II - OTHER INFORMATION

Item 1. Legal Proceedings	21

Item 1A. Risk Factors	21

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds	21

Item 3. Defaults Upon Senior Securities	21

Item 4. Mine Safety Disclosure	21

Item 5. Other Information	21

Item 6. Exhibits	22

		June 30, 2026		December 31, 2025
		(Unaudited)		(Audited)
ASSETS
CURRENT ASSETS
Cash	$	`45,192`	$	`14,097`
Accounts receivable, net		`24,778`		`4,089`
Accounts receivable – related parties		`16,698`		`20,393`
Inventories, net		`483,193`		`296,132`
Deposits		`219,262`		`329,250`
Total Current Assets		`789,123`		`663,961`

Property & Equipment, net		`2,887`		`4,816`

LONG-TERM ASSETS
Prepaid Expense		`1,500`		`0`
Operating lease – right-of-use asset		`0`		`72,095`
Long-term deposit – Activity		`11,721`		`0`
Long-term deposit - Specialty		`13,514`		`13,514`
Total Long-Term Assets		`29,622`		`90,425`

TOTAL ASSETS		`$818,745`		`$754,386`
LIABILITIES AND STOCKHOLDERS' DEFICIT
CURRENT LIABILITIES
Accounts payable and accrued expenses		`$272,416`		`$269,086`
Accrued management compensation		`636,311`		`636,888`
Accounts payable - related parties		`34,047`		`34,630`
Notes payable - related parties		`232,940`		`198,940`
Convertible notes payable – related party		`10,000`		`10,000`
Customer deposits		`644,009`		`388,301`
Operating lease liabilities - current		`0`		`86,878`
Total Current Liabilities		`1,829,723`		`1,624,723`
LONG-TERM LIABILITIES
Loans payable – SBA, net of current portion		`199,000`		`199,000`
Operating lease liabilities – long-term		`-`		`-`
Total Long-term Liabilities		`199,000`		`199,000`
Total Liabilities		`2,028,722`		`1,823,723`

STOCKHOLDERS' DEFICIT
Common stock, 125,000,000 shares authorized; no par value; 21,948,091 and 21,948,091 shares, respectively issued and outstanding		`8,607,086`		`8,607,086`
Additional paid-in capital		`12,078,116`		`12,077,422`
Accumulated deficit		`(21,895,180)`		`(21,753,845)`
Total Stockholders' Deficit		`(1,209,978)`		`(1,069,337)`

TOTAL LIABILITIES AND STOCKHOLDERS' DEFICIT		`$818,745`		`$754,386`

	For the Three	For the Three	For the Six	For the Six
	Months Ended	Months Ended	Months Ended	Months Ended
	June 30, 2026	June 30, 2025	June 30, 2026	June 30, 2025

REVENUES	`$306,239`	`$605,407`	`$461,836`	`$965,153`
COST OF GOODS SOLD	`173,139`	`383,656`	`248,123`	`602,434`
GROSS MARGIN	`133,100`	`221,751`	`213,713`	`362,719`

OPERATING EXPENSES

General and administrative	`153,849`	`149,895`	`266,796`	`282,346`
Research and development	`18,881`	`16,996`	`35,667`	`35,305`
Depreciation and amortization	`964`	`964`	`1,928`	`1,928`

Total Operating Expenses	`173,694`	`167,855`	`304,391`	`319,579`

PROFIT/(LOSS) FROM OPERATIONS	`(40,594)`	`53,896`	`(90,678)`	`43,140`

OTHER INCOME (EXPENSE)

Other income	`78,401`	`88,237`	`78,670`	`88,461`
Other Expense	`(105,071)`	`(8,559)`	`(111,266)`	`(18,397)`
Interest expense	`(4,687)`	`(6,921)`	`(17,261)`	`(13,211)`

Total Other Income/(Expense)	`(31,357)`	`72,757`	`(49,857)`	`56,853`

PROFIT/(LOSS) BEFORE INCOME TAXES	`(71,951)`	`126,653`	`(140,535)`	`99,993`
INCOME TAX EXPENSE	`800`	`800`	`800`	`800`

NET PROFIT/(LOSS)	`$(72,751)`	`$125,853`	`$(141,335)`	`$99,193`

BASIC AND DILUTED LOSS PER SHARE	`$0.00`	`$0.01`	`$(0.01)`	`$(0.00)`

WEIGHTED AVERAGE NUMBER OF COMMON SHARES OUTSTANDING -BASIC AND DILUTED	`21,948,091`	`21,948,091`	`21,948,091`	`21,948,091`

				Additional				Total
	Common Stock			Paid-In		Accumulated		Stockholders’
	Shares	Amount		Capital		Deficit		Deficit

Balance, December 31, 2025	21,948,091	$	8,607,086	$	12,077,422	$	(21,753,845)	$	(1,069,337)

Value of options and warrants issued for services	-		-		345		-		345

Net profit (loss) for the three months ended March 31, 2026	-		-		-		(68,584)		(68,584)

Balance, March 31, 2026	21,948,091	$	8,607,086	$	12,077,767	$	(21,822,429)	$	(1,137,576)

Value of options and warrants	-		-	349			-	349

Net profit (loss) for three months ended June 30, 2026	-		-	-			(72,751)	(72,751)

Balance, June 30, 2026	21,948,091	$	8,607,086	$	12,078,116	$	(21,895,180)	$	(1,209,978)

		For the three months ended June 30, 2026		For the three months ended June 30, 2025
Segments		Products	Total		Products	Total
Domestic	$	`101,133`	`101,133`	$	`62,179`	`62,179`
International		`205,106`	`205,106`		`543,228`	`543,228`
	$	`306,239`	`306,239`	$	`605,407`	`605,407`

Filters	$	`223,708`	`223,708`	$	`200,716`	`200,716`
Components		`78,197`	`78,197`		`404,691`	`404,691`
Freight		`4,333`	`4,333`		`-`	`-`
	$	`306,239`	`306,239`	$	`605,407`	`605,407`

		For the six months ended June 30, 2026			For the six months ended June 30, 2025
Segments		Products	Total		Products	Total
Domestic	$	`163,592`	`163,592`	$	`174,212`	`174,212`
International		`298,244`	`298,244`		`790,941`	`790,941`
	$	`461,836`	`461,836`	$	`965,153`	`965,153`

Filters	$	`335,913`	`335,913`	$	`360,809`	`360,809`
Components		`117,593`	`117,593`		`604,344`	`604,344`
Freight		`8,330`	`8,330`		`-`	`-`
	$	`461,836`	`461,836`	$	`965,153`	`965,153`

Location : Vista, CA		June 30,		December 31,
		2026		2025
Raw materials	$	1,046,673	$	845,080
Finished goods		428,742		493,411
Total	$	1,475,415	$	1,338,491
Allowance for obsolete inventory
Opening allowance		1,043,569		1,008,049
Additional Allowance		(51,347)		34,310
Closing allowance		992,222		1,042,359
Total	$	483,193	$	296,132

Years ending December 31,
2026 (remaining)	`$0`


Total lease payments	`$0`
Less: Imputed interest
Total lease liability	`(0.00)`
Less: current lease liability	`(0.00)`
Long-term lease liability	`$0.00`


Years ending December 31,
2026 (remaining)	$	32,500
2027		131,817
2028		135,512
2029		139,316
2030		143,234
2031		100,373

Total lease payments		682,752
Less: imputed interest		(79,644)
Total lease liability	$	603,108
Less: current lease liability		(76,403)
Long-term lease liability	$	526,705
Weighted average discount rate:
Operating leases			4.94%

	June 30, 2026		December 31, 2025
Convertible Note payable, related parties	$	`10,000`	$	`10,000`
Less current portion		`(10,000)`		`(10,000)`
Total	$	`-`	$	`-`

	June 30, 2026	June 30, 2025
Expected volatility	`215%`	`210%`
Expected dividends	`0%`	`0%`
Expected term	7 Years	7 Years
Risk-free interest rate	`4.11%`	`4.66%`

	June 30, 2026			December 31, 2025
		Weighted- Average			Weighted- Average
	Shares	Exercise Price		Shares	Exercise Price
Outstanding at beginning of year	`1,900,000`	$	`0.05`	`2,340,000`	$	`0.06`
Granted	`-`		`0.02`	`150,000`		`0.02`
Exercised	`-`		`-`	`-`		`-`
Expired or cancelled	`(450,000)`		`0.07`	`(590,000)`		`0.07`
Outstanding at end of period	`1,450,000`		`0.06`	`1,900,000`		`0.05`
Exercisable	`1,358,333`		`0.07`	`1,741,667`	$	`0.06`

	For the Six	For the Six
	Months Ended	Months Ended
	June 30, 2026	June 30, 2025
OPERATING ACTIVITIES
Net income (loss)	`$(141,335)`	`$99,193`
Adjustments to reconcile net loss to net cash used in operating activities:
Amortization and depreciation expense	`1,928`	`1,928`
Stock option expense	`694`	`3,782`
Amortization of ROU asset	`72,095`	`69,146`
Change in Inventory reserve	`(50,136)`	`18,068`
Changes in operating assets and liabilities:
Accounts receivable	`(20,689)`	`7,421`
Accounts receivable–related parties	`3,695`	`(10,001)`
Other noncurrent assets	`(11,721)`	`-`
Deposits	`108,488`	`158,404`
Inventory	`(136,924)`	`(76,313)`
Accounts payable and accrued expenses	`3,330`	`(70,900)`
Customer deposits	`255,708`	`(246,945)`
Accrued management compensation	`(577)`	`(577)`
Operating lease liability	`(86,878)`	`(82,698)`
Accounts payable-related parties	`(583)`	`682`
Net cash provided by (used in) operating activities	`(2,905)`	`(128,809)`

INVESTING ACTIVITIES
Purchase of fixed assets	`-`	`-`
Net cash used in investing activities	`-`	`-`

FINANCING ACTIVITIES
Proceeds from (payments on) notes payable-related party	`34,000`	`57,000`
Net cash (used in) provided by financing activities	`34,000`	`57,000`

NET CHANGE IN CASH	`31,095`	`(71,809)`
CASH AT BEGINNING OF YEAR	`14,097`	`104,445`

CASH AT END OF PERIOD	`$45,192`	`$32,636`
SUPPLEMENTAL DISCLOSURES OF CASH FLOWS
CASH PAID FOR:
Interest	`17,261`	`15,312`
Income taxes	`$800`	`$800`

	June 30,		December 31,
	2026		2025
Production/Office equipment	$	74,792	$	74,792
Leasehold Improvements		4,689		4,689
Less: accumulated depreciation		(76,594)		(74,665)
Total	$	2,887	$	4,816

Range of Exercise Prices	Number Outstanding	Weighted-Average Remaining Contractual Life	Number Exercisable	Weighted-Average Exercise Price

$0.01-1.00	1,450,000	3.43 years	1,358,333	0.06

Exhibit Number		Description of Exhibit

3.1		Amended and Restated Articles of Incorporation(1)
3.2		Amended and Restated By-Laws Adopted July 12, 2012(2)
10.1		Werner Funk Employment Agreement dated May 3, 2024 (3)
31.1		CEO certification pursuant to Section 302 of the Sarbanes – Oxley Act of 2002 (3)
31.2		CFO certification pursuant to Section 302 of the Sarbanes – Oxley Act of 2002 (3)
32.1		CEO and CFO certification pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (3)
101		The following materials from the Company's Quarterly Report on Form 10-Q for the quarter ended June 30, 2026 formatted in Extensible Business Reporting Language ("XBRL"): (i) the balance sheets (unaudited); (ii) the statements of operations (unaudited); (iii) the statements of cash flows (unaudited); and, (iv) related notes.

	Omnitek Engineering Corp.


Dated: August 19, 2026	/s/ Werner Funk
	By: Werner Funk
	Its: Chief Executive Officer, Secretary, Principal Executive Officer and Principal Accounting Officer