BABB BAB, INC.

Overview and Growth

Fiscal 2025 results for BAB, INC. combined $3.44M of revenue with net income of $559.04K and an operating cash inflow of $414.39K. At $3.44M, the top line establishes the operating scale supporting the company’s profit and cash-flow profile. Revenue was 3.0% below fiscal 2024 revenue of $3.55M, marking a top-line contraction. Total assets stood at $4.78M, showing the scale of resources supporting revenue, earnings, liquidity, and financing. Asset turnover was 0.72x, relating the company’s annual revenue directly to the total assets reported at the period end.

Profitability

Operating income was $721.63K, the earnings remaining from reported operations after the company’s recognized operating cost structure. Relative to revenue, operating income represented 21.0%, showing how efficiently sales converted into operating profit. The bottom-line result was net income of $559.04K, after the operating, financing, tax, and other items recognized for the period. Net margin was 16.3%, meaning that this portion of revenue remained as net income after all recognized expenses. Reported EBITDA totaled $726.11K, adding a pre-interest, tax, depreciation, and amortization perspective to the profitability profile. Pretax income was $780.04K, isolating the reported earnings outcome before the income-tax provision recognized for the fiscal year. Measured against revenue, pretax income equaled 22.7%, adding a pre-tax profitability layer between revenue and net income. The reported income-tax provision was $221.00K, the amount recognized between pretax income and the final net-income result. The effective relationship between income tax and positive pretax income was 28.3%, without assuming a statutory-rate comparison. Net income equaled 16.1% of period-end equity, showing the earnings generated on shareholders’ book capital. The net-income-to-assets relationship measured 11.7%, showing earnings relative to the full balance sheet. Against $525.20K in fiscal 2024, the current $559.04K bottom line finished above the prior-year result in absolute terms.

Liquidity and Capital Structure

The company held $4.78M of assets against $1.32M of liabilities and $3.46M of equity, revealing how the asset base was financed. The near-term balance sheet paired $2.50M of current assets with $586.32K of current liabilities at the reporting date. Current assets covered current liabilities by 4.26x, leaving a positive buffer for near-term obligations. Cash and equivalents totaled $2.15M, identifying the most liquid reported component available within the broader current-asset balance. Cash and equivalents represented 367.3% of current liabilities, showing the portion of near-term obligations matched by reported cash alone. The equity-to-assets relationship was 72.5%, placing book capital against the total resource base. The liabilities-to-assets relationship was 27.5%, placing reported obligations against the full positive asset balance. The cash-to-assets relationship was 45.0%, comparing reported cash and equivalents with the full positive asset balance. The asset base changed 1.3% from $4.84M in fiscal 2024, leaving current total assets lower year over year. Book equity was 3.7% higher than fiscal 2024 equity of $3.34M, showing how shareholder capital changed year over year. Compared with $2.18M in fiscal 2024, the current cash balance moved 1.1% and finished lower.

Cash Flow and Earnings Quality

Operating activities produced a cash inflow of $414.39K, giving the cash-flow counterpart to the accrual-based profit measures reported for the year. Operating cash flow equaled 0.74x of net income, showing how strongly accounting earnings converted into cash from operations. Operating cash flow of $414.39K finished below fiscal 2024 operating cash flow of $637.75K, showing the year-over-year direction of cash generation.

Based on the annual report for the fiscal year ending Nov 30, 2025. Analysis generated Oct 21, 2026.