Core Viewpoint - A-Mark Precious Metals, Inc. (NASDAQ:AMRK) has faced challenges with its stock price remaining stagnant despite rising gold prices, but current weaknesses may present a buying opportunity as the company consolidates market share and prepares for potential growth in the precious metals market [2][10]. Financial Performance - A-Mark reported fiscal 2024 Q2 results with GAAP EPS of $0.57, missing estimates by $0.22, while revenue reached $2.1 billion, a 6.7% year-over-year increase but also below expectations [4]. - Key financial metrics for A-Mark show a significant decline in earnings before interest, taxes, depreciation, and amortization (EBITDA) by 50% year-over-year, with gross profit margins at 2.2% [6][9]. Market Dynamics - The market premiums for gold and silver have narrowed significantly due to increased supply and lower demand, impacting the company's gross margins and necessitating adjustments in pricing strategies [6][9]. - Despite lower wholesale volumes, the number of active retail customers has increased by 29% year-over-year, indicating a potential for future growth [7]. Strategic Initiatives - A-Mark is pursuing growth through acquisitions, including the recent purchase of I.PM Group Limited to enter the Asian market and the acquisition of the "Gold.com" domain to enhance its online presence [7][8]. - The company is also adding inventory at opportunistic prices to position itself favorably for future market conditions [7]. Long-term Outlook - The long-term outlook for A-Mark is considered strong due to its expanded global footprint and the potential for increased investor demand as gold prices rise [10]. - The company is expected to benefit from favorable U.S. Federal Reserve policies and ongoing geopolitical risks that support higher precious metals prices [10]. Stock Performance - A-Mark's stock is currently above its lows from late 2023 and has technical support around $25.00, suggesting potential for recovery in 2024 [12]. - The company is rated as a buy with a price target of $40.00, reflecting an 8x multiple on projected fiscal 2025 EPS of $5.14, contingent on the expansion of physical premiums for gold and silver [14].

[PART I FINANCIAL INFORMATION](index=3&type=section&id=PART%20I%20FINANCIAL%20INFORMATION) This section provides comprehensive financial data, including statements, management's analysis, market risk disclosures, and control procedures [Financial Statements](index=3&type=section&id=Item%201.%20Financial%20Statements) This section presents the unaudited condensed consolidated financial statements for the quarterly period ended December 31, 2023, including balance sheets, income statements, stockholders' equity, and cash flows, with detailed notes Condensed Consolidated Balance Sheets (in thousands) | | Dec 31, 2023 (unaudited) | Jun 30, 2023 | | :--- | :--- | :--- | | **Total current assets** | $1,340,281 | $1,267,191 | | **Total assets** | **$1,623,858** | **$1,545,571** | | **Total current liabilities** | $719,660 | $924,061 | | **Total liabilities** | $1,038,478 | $945,178 | | **Total stockholders' equity** | **$585,380** | **$600,393** | Condensed Consolidated Statements of Income (in thousands) | | Three Months Ended Dec 31, 2023 | Three Months Ended Dec 31, 2022 | Six Months Ended Dec 31, 2023 | Six Months Ended Dec 31, 2022 | | :--- | :--- | :--- | :--- | :--- | | **Revenues** | $2,078,815 | $1,949,705 | $4,563,433 | $3,850,056 | | **Gross profit** | $46,041 | $63,969 | $95,446 | $140,561 | | **Net income** | $13,961 | $33,597 | $32,944 | $78,834 | | **Net income attributable to the Company** | $13,766 | $33,481 | $32,593 | $78,606 | | **Diluted EPS** | $0.57 | $1.35 | $1.34 | $3.18 | Condensed Consolidated Statements of Cash Flows (in thousands) | | Six Months Ended Dec 31, 2023 | Six Months Ended Dec 31, 2022 | | :--- | :--- | :--- | | **Net cash used in operating activities** | ($101,667) | ($48,518) | | **Net cash (used in) provided by investing activities** | ($10,659) | $15,080 | | **Net cash provided by financing activities** | $101,503 | $68,154 | | **Net (decrease) increase in cash** | ($10,823) | $34,716 | [Note 1. Description of Business](index=9&type=section&id=Note%201.%20Description%20of%20Business) This note details the company's operational structure across its wholesale, direct-to-consumer, and secured lending segments - The company operates through three reportable segments: - **Wholesale Sales & Ancillary Services:** A full-service precious metals business offering gold, silver, platinum, and palladium, along with services like financing, storage, and logistics. This segment includes subsidiaries AMTAG, TDS, AMGL, and the Silver Towne Mint (AMST) - **Direct-to-Consumer:** Operates through subsidiaries JM Bullion (JMB) and Goldline, providing a wide array of precious metals products to retail customers via e-commerce websites and direct marketing - **Secured Lending:** Conducted through Collateral Finance Corporation (CFC), which originates and acquires commercial loans secured primarily by bullion and numismatic coins[22](index=22&type=chunk)[23](index=23&type=chunk)[24](index=24&type=chunk) [Note 3. Assets and Liabilities, at Fair Value](index=21&type=section&id=Note%203.%20Assets%20and%20Liabilities,%20at%20Fair%20Value) This note outlines the company's assets and liabilities measured at fair value, primarily classified as Level 1 Assets and Liabilities Measured at Fair Value on a Recurring Basis (in thousands, as of Dec 31, 2023) | | Level 1 | Level 2 | Level 3 | Total | | :--- | :--- | :--- | :--- | :--- | | **Total assets, valued at fair value** | $1,154,883 | $— | $5,300 | **$1,160,183** | | **Total liabilities, valued at fair value** | $571,736 | $— | $— | **$571,736** | - The vast majority of assets and liabilities measured at fair value are classified as Level 1, indicating their values are based on quoted prices in active markets for identical instruments. This includes inventories, derivative assets/liabilities, and product financing arrangements. A Level 3 asset of **$5.3 million** represents an option to purchase additional interest in a long-term investment[81](index=81&type=chunk)[83](index=83&type=chunk)[84](index=84&type=chunk) [Note 5. Secured Loans Receivable](index=24&type=section&id=Note%205.%20Secured%20Loans%20Receivable) This note provides a breakdown of the company's secured loan portfolio, highlighting its high-quality loan-to-value ratios Secured Loans Receivable Breakdown (in thousands) | Loan Type | Dec 31, 2023 | Jun 30, 2023 | | :--- | :--- | :--- | | Secured loans originated | $85,055 | $68,630 | | Secured loans acquired | $21,510 | $31,990 | | **Total** | **$106,565** | **$100,620** | - As of December 31, 2023, **93.3%** of secured loans had a loan-to-value (LTV) ratio of less than 75%, indicating a high-quality loan portfolio. The company had no loans with an LTV ratio exceeding 100% and recorded no allowance for credit losses[98](index=98&type=chunk)[99](index=99&type=chunk) [Note 6. Inventories](index=26&type=section&id=Note%206.%20Inventories) This note details the composition of the company's inventory, including held for sale, repurchase arrangements, and product financing Inventory Components (in thousands) | Inventory Type | Dec 31, 2023 | Jun 30, 2023 | | :--- | :--- | :--- | | Inventory held for sale | $343,512 | $437,670 | | Repurchase arrangements with customers | $220,367 | $181,751 | | Borrowed precious metals | $24,215 | $21,642 | | Product financing arrangements (Restricted) | $518,613 | $335,831 | | **Total Inventory** | **$1,110,350** | **$981,643** | [Note 12. Derivative Instruments and Hedging Transactions](index=30&type=section&id=Note%2012.%20Derivative%20Instruments%20and%20Hedging%20Transactions) This note explains the company's use of derivative instruments to hedge precious metals price risk - The company uses derivative instruments, such as forward and futures contracts, to hedge its market exposure to precious metals prices. This is not for speculative purposes but to mitigate the price risk of holding inventory[118](index=118&type=chunk)[119](index=119&type=chunk) Net Precious Metals Subject to Commodity Price Risk (in thousands) | | Dec 31, 2023 | Jun 30, 2023 | | :--- | :--- | :--- | | Precious metal subject to price risk | $1,015,063 | $941,845 | | Total market value of derivative financial instruments | $1,012,452 | $938,233 | | **Net precious metals subject to commodity price risk** | **$2,611** | **$3,612** | [Note 15. Financing Agreements](index=36&type=section&id=Note%2015.%20Financing%20Agreements) This note describes the company's credit facilities and product financing arrangements, key sources of liquidity - The company's primary credit line is the Trading Credit Facility, with a total revolving commitment of up to **$350.0 million**, maturing in September 2025. As of December 31, 2023, borrowings totaled **$298.0 million**[154](index=154&type=chunk)[155](index=155&type=chunk) - In December 2023, the AMCF Notes, which had an aggregate principal amount of **$100.0 million**, were repaid in full. The issuing entity, AMCF, is now inactive[156](index=156&type=chunk)[215](index=215&type=chunk) - Product financing arrangements, a key source of liquidity, increased to **$518.6 million** as of December 31, 2023, from **$335.8 million** as of June 30, 2023[160](index=160&type=chunk) [Note 17. Stockholders' Equity](index=39&type=section&id=Note%2017.%20Stockholders'%20Equity) This note details changes in stockholders' equity, including dividend declarations and share repurchase activities - During the six months ended December 31, 2023, the company declared a special dividend of **$1.00 per share** and two regular quarterly dividends of **$0.20 per share**[165](index=165&type=chunk) - The company repurchased **611,360 shares** for **$16.9 million** during the six months ended December 31, 2023. The board amended the share repurchase program to authorize a total of **2.0 million shares** for repurchase, with **1,052,905 shares** remaining authorized as of December 31, 2023[166](index=166&type=chunk) [Note 18. Customer and Supplier Concentrations](index=42&type=section&id=Note%2018.%20Customer%20and%20Supplier%20Concentrations) This note identifies significant customer concentrations in terms of revenue and accounts receivable - For the six months ended December 31, 2023, one customer, HSBC Bank, accounted for **23.1%** of the company's total revenues[179](index=179&type=chunk) - As of December 31, 2023, two customers, Bank of America and Morgan Stanley, accounted for **15.4%** and **12.8%** of total accounts receivable, respectively[181](index=181&type=chunk) [Note 20. Subsequent Events](index=46&type=section&id=Note%2020.%20Subsequent%20Events) This note discloses significant events occurring after the reporting period, including a planned acquisition - On February 1, 2024, the company entered into a non-binding letter of intent for three transactions, including the acquisition of **100%** of LPM Group Limited, a precious metals dealer in Asia, for upfront consideration of **$41.5 million** plus potential earn-outs[203](index=203&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=47&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) This section provides management's perspective on the company's financial condition and results of operations, highlighting revenue increases but declines in gross profit and net income due to lower premium spreads and reduced sales volume of gold and silver ounces, particularly in the Direct-to-Consumer segment, along with discussions on liquidity and capital resources Consolidated Results Overview - Three Months Ended Dec 31 (in millions) | Metric | 2023 | 2022 | Change | % Change | | :--- | :--- | :--- | :--- | :--- | | **Revenues** | $2,078.8M | $1,949.7M | $129.1M | 6.6% | | **Gross Profit** | $46.0M | $64.0M | ($17.9M) | (28.0%) | | **Net Income** | $13.8M | $33.5M | ($19.7M) | (58.9%) | | **Gold Ounces Sold** | 450,000 | 565,000 | (115,000) | (20.4%) | | **Silver Ounces Sold** | 26,575,000 | 38,137,000 | (11,562,000) | (30.3%) | Consolidated Results Overview - Six Months Ended Dec 31 (in millions) | Metric | 2023 | 2022 | Change | % Change | | :--- | :--- | :--- | :--- | :--- | | **Revenues** | $4,563.4M | $3,850.1M | $713.4M | 18.5% | | **Gross Profit** | $95.4M | $140.6M | ($45.1M) | (32.1%) | | **Net Income** | $32.6M | $78.6M | ($46.0M) | (58.5%) | | **Gold Ounces Sold** | 945,000 | 1,194,000 | (249,000) | (20.9%) | | **Silver Ounces Sold** | 56,953,000 | 74,054,000 | (17,101,000) | (23.1%) | [Quantitative and Qualitative Disclosures About Market Risk](index=78&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) This section details the company's exposure to market risks, primarily commodity price risk, foreign exchange risk, and interest rate risk, noting that the company substantially hedges its inventory and open commitments against commodity price fluctuations - The company's primary market risk is from fluctuations in precious metals commodity prices. This risk is managed through a policy of substantially hedging its inventory position and open commitments using derivative instruments like forward and futures contracts[348](index=348&type=chunk) - Foreign exchange risk is managed using foreign currency forward contracts with maturities generally less than one week, and the company does not believe this exposure is material[350](index=350&type=chunk) - Interest rate risk exposure relates mainly to the variable-rate Trading Credit Facility and product financing arrangements. The company does not use derivatives to hedge this risk but manages it by adjusting rates on its own lending products[351](index=351&type=chunk) [Controls and Procedures](index=79&type=section&id=Item%204.%20Controls%20and%20Procedures) Management, including the CEO and CFO, evaluated the company's disclosure controls and procedures and concluded they were effective as of December 31, 2023, with no material changes in internal control over financial reporting during the quarter - The Chief Executive Officer and Chief Financial Officer concluded that the company's disclosure controls and procedures were effective as of the end of the period covered by the report[352](index=352&type=chunk) - No changes in internal control over financial reporting occurred during the most recent fiscal quarter that have materially affected, or are reasonably likely to materially affect, the company's internal control over financial reporting[353](index=353&type=chunk) [PART II OTHER INFORMATION](index=80&type=section&id=PART%20II%20OTHER%20INFORMATION) This section covers legal proceedings, risk factors, equity sales, and required exhibits [Legal Proceedings](index=80&type=section&id=Item%201.%20Legal%20Proceedings) The company is involved in various legal proceedings incidental to its business but does not expect these to have a material adverse impact on its financial position, results of operations, or cash flows - The company states that based on current information, it does not expect that ongoing legal proceedings or claims will have any material adverse impact on its future consolidated financial position, results of operations, or cash flows[354](index=354&type=chunk) [Risk Factors](index=80&type=section&id=Item%201A.%20Risk%20Factors) This section outlines significant risks that could adversely affect the company's business, including dependence on market trends and global events influencing precious metals demand, reliance on its credit facility, potential supply chain disruptions, competition, and various regulatory risks - The business is heavily dependent on its Trading Credit Facility for liquidity to purchase metals and finance operations. An inability to access these funds could severely limit business activities[359](index=359&type=chunk) - Profitability is influenced by global and macroeconomic events. While recent volatility has been beneficial, a return to more normalized, less volatile markets could reduce demand and profitability, particularly in the direct-to-consumer business[357](index=357&type=chunk)[371](index=371&type=chunk) - The company faces significant competition in both its wholesale and direct-to-consumer segments from other precious metals firms, banks, and online retailers, some of whom have greater resources[377](index=377&type=chunk)[384](index=384&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=94&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) This section details the company's share repurchase activity for the quarter ended December 31, 2023, including the board's amendment to the share repurchase program Share Repurchase Activity for the Quarter Ended Dec 31, 2023 | Period | Total Shares Purchased | Average Price Per Share | | :--- | :--- | :--- | | Oct 2023 | 128,732 | $28.20 | | Nov 2023 | 239,393 | $25.93 | | Dec 2023 | 71,967 | $28.36 | - In November 2023, the board amended the share repurchase program, resulting in a total of **2.0 million shares** authorized for repurchase. As of December 31, 2023, **1,052,905 shares** remain available for repurchase under the program[413](index=413&type=chunk) [Exhibits](index=96&type=section&id=Item%206.%20Exhibits) This section lists the exhibits filed with the Form 10-Q, including XBRL data files, an amendment to the credit agreement, and certifications by the CEO and CFO as required by the Sarbanes-Oxley Act

A-Mark Precious Metals, Inc. (NASDAQ:AMRK) Q2 2024 Results Conference Call February 6, 2024 4:30 PM ET Company Participants Greg Roberts - Chief Executive Officer Kathleen Simpson Taylor - Chief Financial Officer Thor Gjerdrum - President Conference Call Participants Mike Baker - D.A. Davidson Lucas Pipes - B. Riley Securities Andrew Scutt - ROTH MKM Greg Gibas - Northland Securities Brandon Coffin - Praetorian Capital Sy Jacobs - Jacobs Asset Management. Operator Good afternoon, and welcome to the A-Mark P ...

A-Mark Precious Metals (AMRK) came out with quarterly earnings of $0.90 per share, missing the Zacks Consensus Estimate of $1.23 per share. This compares to earnings of $1.88 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -26.83%. A quarter ago, it was expected that this precious metals trading company would post earnings of $1.88 per share when it actually produced earnings of $1.09, delivering a surprise of -42.02%.Over the ...

Core Viewpoint - A-Mark Precious Metals, Inc. will hold a conference call on February 6, 2024, to discuss its fiscal second quarter results for the period ending December 31, 2023, with financial results to be released prior to the call [1]. Company Overview - A-Mark Precious Metals, Inc. is a fully integrated precious metals platform founded in 1965, offering a variety of products including gold, silver, platinum, palladium, and copper bullion, as well as numismatic coins [3]. - The company operates through three segments: Wholesale Sales & Ancillary Services, Direct-to-Consumer, and Secured Lending, serving a diverse global customer base [3][7]. Wholesale Sales & Ancillary Services - This segment involves the distribution and purchase of precious metal products from various mints, including the U.S. Mint, where A-Mark has been an authorized purchaser since 1986 [4]. - A-Mark sells over 200 different products to various customers, including e-commerce retailers, financial institutions, and industrial users [4]. Direct-to-Consumer Segment - A-Mark operates as an omni-channel retailer through subsidiaries like JM Bullion and Goldline, providing access to a wide range of precious metal products [6]. - JM Bullion operates multiple branded websites targeting specific niches in the precious metals market, while Goldline markets directly to investors through various channels [6][7]. Secured Lending Segment - The Secured Lending segment is managed through Collateral Finance Corporation, which originates and acquires loans secured by bullion and numismatic coins, catering to dealers, investors, and collectors [7]. Conference Call Details - The conference call is scheduled for February 6, 2024, at 4:30 p.m. Eastern time, with access available via a dedicated dial-in number and webcast [1][2]. - A replay of the call will be available after the event until February 20, 2024 [2].

A-Mark Precious Metals, Inc. (NASDAQ:AMRK) Q1 2024 Earnings Conference Call November 7, 2023 4:30 PM ET Company Participants Greg Roberts - CEO Thor Gjerdrum - President Kathleen Simpson - CFO Conference Call Participants Lucas Pipes - B. Riley Securities Tom Forte - D.A. Davidson Andrew Scutt - ROTH MKM Greg Gibas - Northland Securities Sy Jacobs - Jacobs Asset Management Operator Good afternoon and welcome to the A-Mark Precious Metals Conference Call for the Fiscal First Quarter ended September 30, 2023. ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ________ to ________ Commission File Number: 001-36347 A-MARK PRECIOUS METALS, INC. (Exact name of registrant as specified in its charter) Delaware (State of Incorpo ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☑ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended June 30, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ________ to ________ Commission File Number: 001-36347 A-MARK PRECIOUS METALS, INC. (Exact name of registrant as specified in its charter) Delaware (State of Incorporation) 11-24 ...

A-Mark Precious Metals, Inc. (NASDAQ:AMRK) Q4 2023 Results Conference Call August 31, 2023 4:30 PM ET Company Participants Greg Roberts - Chief Executive Officer & Director Thor Gjerdrum - President Kathleen Simpson - Chief Financial Officer Conference Call Participants Thomas Forte - D.A. Davidson Lucas Pipes - B. Riley Greg Gibas - Northland Securities David Bastian - Kingdom Capital Advisors Operator Good afternoon, and welcome to the A-Mark Precious Metals Conference Call for the Fourth Quarter and Fisc ...

Financial Data and Key Metrics Changes - For Q3 2023, the company reported net income of $35.9 million and diluted EPS of $1.46, yielding a quarterly return on equity of 6% [4] - Revenue increased by 19% to $2.3 billion compared to Q3 of the previous year, while gross profit rose by 18% to $75.5 million [5][8] - For the nine-month period, revenues increased by 2% to $6.2 billion, with gross profit up 11% to $216.1 million [9][10] - SG&A expenses increased by 16% to $23.8 million in Q3 2023, primarily due to higher compensation and advertising costs [11] - Interest income rose by 14% to $6.1 million in Q3 2023, while interest expense surged by 70% to $9.2 million [13][14] - EBITDA for Q3 2023 totaled $52.3 million, a 2% decrease compared to the same quarter last year [17] Business Line Data and Key Metrics Changes - The direct-to-consumer (DTC) segment contributed 23% of consolidated revenue in Q3 2023, down from 28% in the same quarter last year [8] - The DTC segment generated 57% of consolidated gross profit in Q3 2023, slightly down from 58% in the previous year [10] - Gold sales decreased by 9% year-over-year to 659,000 ounces, while silver sales increased by 7% to 36.9 million ounces [19][20] Market Data and Key Metrics Changes - The number of new customers in the DTC segment decreased by 40% year-over-year to 64,700 in Q3 2023, but the total customer base increased by 15% to approximately 2.3 million [21] - The average order value in the DTC segment decreased by $266 to $2,452 in Q3 2023 [21] Company Strategy and Development Direction - The company is focused on expanding its geographic footprint and pursuing investment opportunities that align with its strategic vision [5] - A-Mark is investing in its minting business, with plans to expand the facility and acquire additional equipment to increase minting capacity [23][50] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the outlook for A-Mark, citing exceptional market conditions and a strong demand for products [23] - The company noted that the recent market volatility and uncertainty have created favorable conditions for its business [36] Other Important Information - The company repurchased 335,735 shares for an aggregate value of $9.8 million during the quarter [7] - A-Mark's Board of Directors reaffirmed its quarterly cash dividend policy of $0.20 per common share [18] Q&A Session Summary Question: Current thoughts on capital allocation, including dividends and share buybacks - Management indicated a robust pipeline of acquisition targets and expressed comfort with the quarterly dividend while considering special dividends based on financial performance [25][26] Question: Strategic M&A front and international DTC expansion - Management remains optimistic about the acquisition pipeline and opportunities in the DTC segment and minting business [28] Question: Impact of sustained elevated gold prices on business - Management noted that the circumstances behind gold prices are more important than the prices themselves, with recent market behavior indicating a flight to safety [30][31] Question: Trends since quarter-end regarding volume and customer acquisitions - Management reported strong activity levels and continued demand in the DTC segment, driven by recent market uncertainties [36] Question: Mint expansion capital outlays and market opportunity - The expansion requires less than $2 million in capital expenses, with a payback period of 1 to 2 years depending on demand [38][39] Question: Inventory management strategy - Management explained that inventory levels are driven by demand, with current sales exceeding production capacity [42][43] Question: Expansion of the facility at Silicon Mint - The expansion is expected to add over 500,000 ounces of monthly capacity, addressing current demand challenges [50] Question: Counterparty risk in hedging gold and silver - Management emphasized a strong risk management strategy, focusing on partnerships with large, stable institutions [56][58] Question: Sales trends in DTC for Q4 - Management expressed optimism about continued strong performance in all business segments, with seamless operations contributing to success [60]