AXIL Brands Inc delivered a solid top-line performance for QQ3 2024 with revenue of $6.92 million, marking a 7.0% year-over-year increase. The company posted a robust gross margin of 71.7%, reflecting a favorable product mix and scalable fixed-cost absorption at the margin line, while operating margin stood at 8.4% and net margin at 8.3%. Notably, EBITDA was $0.68 million, supporting positive operating profitability on a high-margin product portfolio that includes Reviv3 hair and skin care lines and AXIL hearing protection products. Despite this favorable profitability snapshot, the company recorded negative free cash flow (-$0.26 million) driven primarily by working capital dynamics, with a sizable sequential drag from working capital changes (-$0.81 million). The balance sheet remains liquidity-rich, with cash and equivalents of about $4.74 million and net debt of approximately negative $3.89 million, implying net cash on the books and ample liquidity for near-term operational needs. Investors should note the quarterly revenue dip QoQ (-10.5%) alongside a sustained strong gross margin, suggesting revenue volatility around seasonality or channel mix rather than a deterioration in underlying profitability. The rebranding to AXIL Brands in early 2024 and ongoing distribution across direct-to-consumer platforms, domestic and international distributors, and retail channels positions AXIL to leverage light-touch operating costs with margin discipline, but requires discipline on working capital and scalable growth to support a higher growth trajectory.