Greystone Logistics, Inc.

What they do

Greystone's primary business is manufacturing plastic pallets using recycled plastic and selling them through independent contractor distributors and direct sales by its President and sales department. As of May 31, 2026, it had in-house capacity of about 225,000 pallets per month from 14 injection molding machines, 12 in Bettendorf, Iowa and 2 in Palmyra, Missouri, and it outsources overflow production. It also operates two grinding lines and four pelletizing lines that convert recycled HDPE into regrind pellets used as feedstock, and it grinds and pelletizes recycled plastic for customers for a fee.

Revenue drivers

• Plastic pallet sales — The core business: injection-molded recycled-plastic pallets sold through independent distributor contractors and a direct sales force. Product list includes rackable, nestable, monoblock, display, drum, keg and can pallets in sizes such as 48x40, 37x32 and 44x56.
• Extrusion-line pallets — A Jasper, Indiana facility opened in April 2023 using purchased equipment, including robotics, in an extrusion process producing robotically welded pallets in unusual sizes (plastic 2x4 runners with six-inch boards). The equipment was moved to Greystone's Iowa facilities during fiscal 2026 after the contract operator's parent declared bankruptcy.
• Grinding and pelletizing services — Two grinding lines and four pelletizing lines process recycled HDPE into regrind pellets; Greystone currently grinds and pelletizes recycled plastic for customers for a fee.
• Subleased high-tonnage capacity — Two high-tonnage machines in Palmyra, Missouri have been periodically subleased for other high-pressure injection products.

Recent performance

Annual revenue fell from $74.2M in fiscal 2022 to $61.8M in 2024, $57.9M in 2025 and $27.5M in fiscal 2026. Net income went from $6.4M in 2023 to $2.4M in 2025 and a net loss of $8.2M in fiscal 2026, with diluted EPS of negative $0.30. Operating cash flow turned negative at negative $1.5M in fiscal 2026 after $10.3M in 2025. Recent quarterly revenue was $10.7M (Aug 2025), $7.8M (Nov 2025), $3.5M (Feb 2026) and $5.6M (May 2026). At February 28, 2026, cash was $216,600 versus $1,545,035 at May 31, 2025.

Strategy

Management's stated focus is manufacturing plastic pallets from recycled plastic and selling through independent distributor contractors plus direct sales. The company has invested in capacity: a Jasper, Indiana extrusion/robotics line opened in April 2023 to make hollow extrusion pallets, and two high-tonnage injection machines are in Palmyra, Missouri. Grinding and pelletizing lines support internal feedstock and generate fee income from third parties. The Jasper equipment was relocated to Iowa during fiscal 2026 after the contract operator's parent filed bankruptcy. The 10-K lists going-concern assessment as a critical accounting policy, citing sensitivity to operating cash flows, debt defaults, third-party and related-party financing availability, and execution of liquidity initiatives.

Risks

• Going-concern and liquidity — The 10-K identifies going-concern assessment as a critical accounting policy, sensitive to future operating cash flows, resolution of debt defaults and availability of third-party and related-party financing.
• Raw material availability and price — Greystone depends on a proprietary mix of recycled plastics; demand spikes, lower recycling rates, or changes in plastics and recycling laws could raise prices or interrupt supply, and some alternative suppliers have exclusive relationships with competitors.
• Competition from wood and larger rivals — Wooden pallets are priced substantially below plastic pallets, and recycling or plastics companies with greater financial resources could outspend Greystone on development, manufacturing and marketing.
• Customer concentration — The 10-K risk factors state that historically Greystone was dependent on a few large customers.

Outlook

The 10-K does not provide revenue or earnings guidance; its forward-looking statement list covers growth and expansion, future financial performance, acquisitions, potential product sales, financing activities and business strategy. Management's critical accounting disclosures highlight sensitivity to operating cash flows, debt default resolution and successful execution of liquidity improvement initiatives.