Charlie's Holdings Inc (OTC: CHUC) is a consumer products company that develops and sells electronic nicotine delivery systems (ENDS), nicotine salt e-liquids, and non-nicotine alternative alkaloid products. Revenue comes from direct product sales across its PACHA brand nicotine disposables and its SBX product line, which uses the company's proprietary nicotine substitute, Metatine, and is not subject to FDA Premarket Tobacco Application (PMTA) requirements. Charlie's reported net revenue of approximately $20.9 million for the year ended December 31, 2025, up from $7.8 million for the year ended December 31, 2024, while cash used in operating activities from continuing operations was approximately $6.3 million in FY2025 and $2.0 million in FY2024. The company trades on OTC Markets and carries notes payable, related-party notes, and lease liabilities on its balance sheet, with a stockholders' equity position described as a potential deficit in the FY2025 filing. Charlie's is investing in age-verification technology through a December 2025 agreement with IKE to integrate Bluetooth Low Energy chip-based access controls into its ENDS and nicotine analogue products, in support of pending FDA PMTA submissions.

Revenue model

Transactional product sales of vape hardware and e-liquid consumables, including PACHA brand nicotine disposables and SBX non-nicotine disposables. Revenue is generated through retail distribution channels.

Products and services

PACHA brand ENDS (electronic nicotine delivery systems) requiring FDA PMTA authorization for flavored nicotine variants; SBX disposable devices using proprietary Metatine nicotine substitute, not subject to PMTA requirements; nicotine salt e-liquids in 25mg and 50mg per milliliter concentrations for open, semi-open, and closed system vaporizers; age-gating and access-control technology developed in partnership with IKE using Bluetooth Low Energy chips (agreement signed December 18, 2025).

Customers and end markets

Adult smokers seeking alternatives to combustible cigarettes. Retail distribution through compliance-minded retail stores, with plans to test-market SBX age-gated disposables in 200 to 300 retail locations in Q2 2026 per the FY2025 10-K.

Value-chain role

Product developer and brand owner of ENDS hardware and e-liquid formulations. Pursues FDA regulatory approval via PMTAs for nicotine products and develops proprietary intellectual property in product access, age-gating compliance technology, and nicotine substitute chemistry (Metatine). Also pursuing potential PMTA-related asset sales as a liquidity strategy.

Source: SEC 10-K, filed 2026-04-01

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