Acquisitions and Business Operations - Live Ventures acquired Flooring Liquidators, Inc. in January 2023, which operates 25 warehouse-format stores and design centers across California, Arkansas, Missouri, and Nevada[28]. - Marquis Industries, a subsidiary of Live Ventures, operates through ten brands and focuses on residential, niche commercial, and printed hospitality end-markets[34][36]. - Vintage Stock operates 73 storefronts across the U.S. and has a customer list of approximately 900,000 for promotions[23][24]. - Flooring Liquidators offers a wide selection of flooring, cabinets, and countertops, featuring high-quality imported hardwood, laminate, and vinyl products[29]. - Flooring Liquidators utilizes social media and targeted paid search advertising to expand its reach and attract customers[33]. - Flooring Liquidators leases all 25 of its retail stores and warehouses, with a corporate office located in Modesto, California[187]. - Vintage Stock operates 73 stores across various states, with a significant presence in Missouri (19 stores) and Texas (16 stores)[186]. - The company operates in five segments: Retail-Entertainment, Retail-Flooring, Flooring Manufacturing, Steel Manufacturing, and Corporate & Other[206]. Financial Performance and Market Conditions - The U.S. floor covering industry had an estimated $33.2 billion in sales in 2024, with the carpet and rug industry shipments approximately $11.2 billion[40][42]. - The video game industry reported over $59 billion in consumer spending in 2024, with 205 million adults in the U.S. playing video games[26]. - The average video game player in the U.S. is 36 years old, with 64% of American adults playing video games for at least one hour weekly[26]. - Economic conditions in the U.S. could adversely affect demand for the company's products, impacting sales driven by discretionary consumer spending[132]. - The flooring manufacturing segment is sensitive to economic conditions, with potential adverse effects from declines in the U.S. or global economies impacting demand for flooring products[147]. - The steel manufacturing segment's business is cyclical and may be adversely affected by fluctuations in demand from industries such as automotive and construction[165]. Operational Challenges and Risks - The company faces risks related to fluctuating demand for its products and services, which could lead to significant fluctuations in operating results[99]. - The company may struggle to pass on rising costs of raw materials and energy to customers, which could adversely affect its financial results[151]. - Disruptions in the global supply chain, including recent geopolitical conflicts and natural disasters, may lead to increased costs and delays in delivery[152]. - Labor disruptions due to union negotiations could interfere with operations and increase operating expenses[159]. - The company may face challenges in predicting customer preferences and responding to technological developments, which could adversely affect its business[148]. - The company may struggle to renew or enter into new leases on favorable terms, potentially leading to revenue growth decline[138]. - Seasonal sales trends, particularly during winter and holiday periods, could significantly impact financial results[139]. - Results of operations may fluctuate from quarter to quarter due to various uncontrollable factors, making financial predictions challenging[140]. - Failure to effectively manage new store openings could lower sales and profitability, impacting the company's growth strategy[141]. Financial Obligations and Capital Expenditures - As of September 30, 2025, the company had approximately $117.7 million in total consolidated principal indebtedness outstanding, including $48.7 million in floating rate credit borrowings[100][102]. - The company has significant obligations under its consolidated indebtedness, which may limit its ability to react to changing market conditions and could adversely affect its financial flexibility[101]. - The company anticipates needing to make increased capital expenditures to support anticipated growth in operations and infrastructure[104]. - The company may be adversely affected by interest rate changes due to its floating rate credit facilities, which could impact its financial condition[101]. Intellectual Property and Legal Matters - The company relies on trade secrets and unpatented proprietary know-how as its principal method of protecting proprietary technologies, which may impact its competitive edge[93]. - The company is committed to protecting its intellectual property rights, but there is no assurance that these protections will be adequate against third-party infringement[110]. - The company is subject to ongoing legal proceedings that could materially affect its operations and financial condition[172]. - The company is involved in an ongoing SEC investigation, which could divert management's focus and result in substantial investigation expenses[123]. - The SEC complaint alleges various financial, disclosure, and reporting violations related to income and earnings per share data from 2016 through 2018[123]. Stock and Shareholder Information - As of September 30, 2025, the company has 198 holders of record for its common stock and 29 holders for its Series E Preferred Stock[197]. - The Series E Preferred Stock has 47,840 shares issued and outstanding, with dividends of approximately $720 paid during the year ending September 30, 2025[198]. - The company has no current plans to pay cash dividends on its common stock for the foreseeable future, with any future dividends dependent on various financial factors[199]. - A $10 million common stock repurchase program was announced on June 4, 2024, and extended through May 31, 2028[200]. - The company repurchased a total of 59,977 shares of common stock from October 1, 2024, to September 30, 2025, at an average purchase price of $8.88 per share[201]. - As of September 30, 2025, the maximum amount available for future stock repurchases under the announced plan is $9,467,429[201]. Manufacturing and Production Capabilities - Precision Marshall, acquired in July 2020, is the North American leader in pre-finished de-carb-free tool and die steel, serving over 500 steel distributors[51]. - Precision Metal Works, Inc. (PMW) ships over 35 million stampings and assemblies annually, operating across 400,000 square feet of manufacturing space[56]. - Kinetic Co. manufactures over 90 types of knives and employs approximately 100 non-union employees, serving a diverse customer base of around 600[54][67]. - Central Steel Fabricators offers over 2,300 unique products to more than 500 customers, primarily for data centers[57]. - Precision Marshall maintains a national distribution center with over 99% same-day shipment capability for its Precision Ground Flat Stock products[60]. - Kinetic's revenues are primarily derived from replacement knives, with 95% of sales to U.S.-based companies[67]. - PMW has established long-term relationships with major appliance manufacturers, serving the largest and second-largest in North America[75]. - Central Steel's adaptability to new communication technologies positions it well in the evolving data and IP markets[69]. - Precision Marshall's tool and die steel market is highly competitive, requiring significant investment in inventory and service infrastructure[79]. - Marquis has invested in new yarn extrusion capacity to expand into new markets and reduce production costs, enhancing margins[49].

Financial Data and Key Metrics Changes - Total revenue decreased approximately $27.9 million, or 5.9%, to approximately $444.9 million for the fiscal year ended September 30, 2025, compared to approximately $472.8 million in the prior year [6] - Operating income increased by $10.2 million, or 231.7%, compared to the prior year, excluding an $18.1 million goodwill impairment recorded in Fiscal Year 2024 [5] - Adjusted EBITDA for Fiscal Year 2025 was approximately $33.4 million, an increase of approximately $8.9 million, or 36.3%, compared to $24.5 million in the prior year [15] - Net income was approximately $22.7 million, with diluted EPS of $4.93, compared to a net loss of approximately $26.7 million and a loss per share of $8.48 in the prior year [14] - Gross profit increased approximately $900,000 to $145.7 million, with gross margin increasing 210 basis points to 32.7% [10][11] Business Line Data and Key Metrics Changes - Retail entertainment segment revenue increased by approximately $6.5 million, or 9.1%, to approximately $77.5 million, driven by strong consumer demand for vintage and collectible media [8] - Retail flooring segment revenue decreased by approximately $14.7 million, or 10.7%, to approximately $122.3 million, primarily due to the disposition of certain stores and decreased consumer demand [9] - Flooring manufacturing segment revenue decreased by approximately $11.5 million, or 8.6%, to approximately $121.6 million, attributed to reduced consumer demand [9] - Steel manufacturing segment revenue decreased by approximately $7.2 million, or 5.1%, to approximately $132.6 million, driven by lower sales volumes, partially offset by incremental revenue from Central Steel [10] Market Data and Key Metrics Changes - Continued softness in the new home construction and home refurbishment markets negatively impacted the retail flooring and flooring manufacturing segments [5][6] - The fourth quarter of 2025 showed year-over-year revenue improvement compared to the fourth quarter of 2024, indicating potential recovery [7] Company Strategy and Development Direction - The company is focused on driving sustainable profitability and enhancing overall performance across its businesses [18] - Strategic pricing initiatives and targeted cost reduction measures were implemented to strengthen operating disciplines [4] - The company aims to build a durable platform of businesses that are resilient in the real economy [17] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the company's position for continued progress, despite challenges in the housing market [18] - The company is excited about recent interest rate cuts, which are expected to benefit interest expenses and stimulate housing sales [30][31] Other Important Information - Total debt declined approximately $33.5 million in Fiscal Year 2025, leading to a decrease in interest expense by approximately $1.3 million, or 7.7% [13] - The company repurchased 59,704 shares of common stock at an average price of $8.85 per share during the fiscal year [17] Q&A Session Summary Question: Regarding share repurchases and issuance strategy - Management indicated that shares may be issued in connection with acquisitions and that repurchase levels are monitored based on market conditions [26][28] Question: Debt repayment intentions - Management confirmed a commitment to continue paying down debt, evaluating the optimal level for long-term sustainability [28] Question: Impact of interest rate reductions - Management noted that interest rate cuts have positively impacted the company, reducing interest expenses and potentially stimulating the housing market [30][31]

Financial Data and Key Metrics Changes - Total revenue for Fiscal Year 2025 decreased approximately $27.9 million, or 5.9%, to approximately $444.9 million compared to approximately $472.8 million in the prior year [6] - Operating income increased by $10.2 million, or 231.7%, compared to the prior year, excluding an $18.1 million goodwill impairment recorded in Fiscal Year 2024 [5] - Net income for Fiscal Year 2025 was approximately $22.7 million, with diluted EPS of $4.93, compared to a net loss of approximately $26.7 million and a loss per share of $8.48 in the prior year [14] - Adjusted EBITDA for Fiscal Year 2025 was approximately $33.4 million, an increase of approximately $8.9 million, or 36.3%, compared to $24.5 million in the prior year [15] Business Line Data and Key Metrics Changes - Retail entertainment segment revenue for Fiscal Year 2025 was approximately $77.5 million, an increase of $6.5 million, or 9.1%, compared to the prior year [8] - Retail flooring segment revenue decreased by approximately $14.7 million, or 10.7%, to approximately $122.3 million, primarily due to the disposition of certain stores and decreased consumer demand [9] - Flooring manufacturing segment revenue decreased by approximately $11.5 million, or 8.6%, to approximately $121.6 million, driven by reduced consumer demand [10] - Steel manufacturing segment revenue decreased by approximately $7.2 million, or 5.1%, to approximately $132.6 million, primarily due to lower sales volumes, partially offset by incremental revenue from an acquisition [10] Market Data and Key Metrics Changes - The company reported continued softness in the new home construction and home refurbishment markets, which negatively impacted the retail flooring and flooring manufacturing segments [6][17] - Despite revenue declines, the fourth quarter of 2025 showed year-over-year improvement, generating higher revenues than the fourth quarter of 2024 [7] Company Strategy and Development Direction - The company is focused on driving sustainable profitability and enhancing overall performance across its businesses [18] - Strategic pricing initiatives and targeted cost reduction measures were implemented to strengthen operating disciplines and optimize cost structures [4] - The company aims to build a durable platform of businesses that are resilient in the real economy [17] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the company's position for continued progress, citing actions taken during the year to strengthen operational discipline [18] - The company anticipates that interest rate reductions will benefit its financial performance, particularly as they may stimulate the housing market [30][31] Other Important Information - Total debt declined approximately $33.5 million in Fiscal Year 2025, leading to a decrease in interest expense by approximately $1.3 million, or 7.7% [13] - The company ended the fiscal year with total cash availability of approximately $38.1 million and working capital of approximately $62.1 million [15] Q&A Session Summary Question: Regarding share repurchases and issuance - Management indicated that shares may be issued in connection with acquisitions and that repurchase levels are monitored based on market conditions [26][28] Question: Debt repayment strategy - Management confirmed a commitment to continue paying down debt, with future evaluations on whether to maintain a certain level of debt for optimal returns [28] Question: Impact of interest rate reductions - Management noted that interest rate cuts have positively impacted the company, reducing interest expenses and potentially stimulating the housing market [30][31]

Financial Data and Key Metrics Changes - Total revenue for Fiscal Year 2025 decreased approximately $27.9 million, or 5.9%, to approximately $444.9 million compared to $472.8 million in the prior year [5] - Operating income increased by $10.2 million, or 231.7%, compared to the prior year, excluding an $18.1 million goodwill impairment recorded in Fiscal Year 2024 [4] - Net income for Fiscal Year 2025 was approximately $22.7 million, with diluted EPS of $4.93, compared to a net loss of approximately $26.7 million and a loss per share of $8.48 in the prior year [10] - Adjusted EBITDA for Fiscal Year 2025 was approximately $33.4 million, an increase of approximately $8.9 million, or 36.3%, compared to $24.5 million in the prior year [11] Business Line Data and Key Metrics Changes - Retail entertainment segment revenue increased by approximately $6.5 million, or 9.1%, to approximately $77.5 million, driven by strong consumer demand for vintage and collectible media [6] - Retail flooring segment revenue decreased by approximately $14.7 million, or 10.7%, to approximately $122.3 million, primarily due to the disposition of certain stores and decreased consumer demand [6] - Flooring manufacturing segment revenue decreased by approximately $11.5 million, or 8.6%, to approximately $121.6 million, attributed to reduced consumer demand [7] - Steel manufacturing segment revenue decreased by approximately $7.2 million, or 5.1%, to approximately $132.6 million, primarily due to lower sales volumes, partially offset by incremental revenue from Central Steel [7] Market Data and Key Metrics Changes - Continued softness in the new home construction and home refurbishment markets negatively impacted the retail flooring and flooring manufacturing segments [4][5] - The company reported a year-over-year improvement in revenue for the fourth quarter of 2025 compared to the fourth quarter of 2024, despite overall revenue decline for the fiscal year [5] Company Strategy and Development Direction - The company is focused on building a durable platform of businesses that are resilient and efficient, with an emphasis on operational discipline and cost structure optimization [12] - The company plans to continue paying down debt while evaluating the best use of capital for shareholder returns, including potential acquisitions [20][22] - The management expressed optimism about future performance, citing actions taken to position the company for sustainable profitability [12] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the challenges posed by a mixed economy but highlighted the successful execution of strategic initiatives that led to improved operating performance [4][12] - The company anticipates that interest rate reductions will benefit its financials and stimulate the housing market, which could positively impact flooring sales [23][24] Other Important Information - General and administrative expenses decreased by approximately $4.3 million, or 3.6%, to $113.7 million, due to targeted cost reduction measures [9] - The company repurchased 59,704 shares of common stock at an average price of $8.85 per share during the fiscal year [12] Q&A Session Summary Question: Regarding share repurchases and issuance strategy - Management indicated that shares may be issued in connection with acquisitions and that repurchase levels are monitored based on market conditions [20] Question: Debt repayment intentions - Management confirmed a commitment to continue paying down debt and will evaluate the optimal debt level for long-term operations [22] Question: Impact of interest rate reductions - Management noted that recent interest rate cuts have positively impacted the company and are expected to benefit future financial performance [23][24]

Core Insights - Live Ventures Incorporated reported a significant turnaround in fiscal year 2025, with a 231.7% increase in operating income, driven by strategic pricing and cost-reduction initiatives despite challenges in the housing market [3][4]. Financial Performance - Revenue for fiscal year 2025 decreased by 5.9% to approximately $444.9 million from $472.8 million in the prior year, primarily due to declines in the Retail-Flooring, Flooring Manufacturing, and Steel Manufacturing segments [6][8]. - Operating income increased to $14.6 million from an operating loss of $13.6 million in the previous year, marking a 207.3% improvement [6][11]. - Net income rose to $22.7 million, a 185.2% increase compared to a net loss of $26.7 million in the prior year, with diluted earnings per share improving to $4.93 from a loss of $8.48 [6][12]. - Adjusted EBITDA increased by 36.3% to $33.4 million from $24.5 million in the prior year, reflecting improved operational performance [6][13]. Segment Performance - Retail-Entertainment segment revenue grew by 9.1% to approximately $77.5 million, driven by strong consumer demand for vintage and collectible media [22]. - Retail-Flooring segment revenue decreased by 10.7% to approximately $122.3 million, attributed to store dispositions and decreased consumer demand due to housing market weakness [23]. - Flooring Manufacturing segment revenue fell by 8.6% to approximately $121.6 million, primarily due to reduced consumer demand [24]. - Steel Manufacturing segment revenue decreased by 5.1% to approximately $132.6 million, with lower sales volumes offset by revenue from the acquisition of Central Steel [25]. Operational Highlights - Gross margin improved to 32.7% from 30.6% in the prior year, driven by efficiencies and the acquisition of higher-margin businesses [9][10]. - The company repurchased 59,704 shares of common stock at an average price of $8.85 per share [9]. - As of September 30, 2025, total assets were $386.4 million, with stockholders' equity at $95.3 million [9][14].

Group 1 - Live Ventures Incorporated will release its financial results for the fiscal year ended September 30, 2025, on December 11, 2025, before market opening [1] - A conference call to discuss the financial results will take place on December 11, 2025, at 2:00 p.m. Pacific Standard Time [1] - The company encourages participants to dial in at least 15 minutes in advance for the conference call [1] Group 2 - Live Ventures is a diversified holding company focused on value-oriented acquisitions of domestic middle-market companies [2] - The company's acquisition strategy is sector agnostic, targeting well-run, closely held businesses with a proven track record of earnings growth and cash flow generation [2] - Live Ventures was founded in 1968 and refocused into a diversified holding company in 2011 under the leadership of CEO Jon Isaac [2] - The current portfolio includes subsidiaries in various industries such as textile, flooring, tools, steel, and entertainment [2]

Core Insights - Live Ventures Incorporated's portfolio company, Precision Marshall Steel, has achieved a 99.98% same-day shipment rate on qualifying orders and launched a new 24/7 customer portal as part of its modernization efforts [1][4][5] - Precision Marshall, acquired in 2020, specializes in decarb-free tool steel and alloy products, serving a network of distributors and service centers [2][6] - The company has invested in new equipment and digital tools to enhance customer service and support time-sensitive manufacturing environments [2][4] Company Performance - The same-day shipment performance of 99.98% helps distributors maintain production schedules and reduce downtime [3][5] - The newly launched customer portal provides 24/7 access to account information, order history, and shipping documents, aiming to streamline the ordering process [4][5] - Precision Marshall's operations are rooted in a long-standing trust with customers, with relationships spanning 60 to 70 years [5][6] Strategic Focus - Live Ventures focuses on acquiring durable, cash-generative industrial businesses and investing in their modernization [4][7] - The company aims to strengthen the broader supply chain and create shareholder value through technology and operational improvements [5][7] - Future plans include exploring additional digital enhancements and targeted investments in equipment for high-growth markets [5][6]

Core Insights - Live Ventures Incorporated's portfolio company, Vintage Stock, is experiencing strong growth in the Retail-Entertainment segment, with a 9% revenue increase and a 230 basis point rise in operating margin to 14.0% for the nine months ending June 30, 2025 [1] - Vintage Stock has achieved thirteen consecutive months of positive year-over-year comparable store sales, indicating sustained momentum in the retail sector [2] - The company benefits from a strategic advantage through long-standing vendor relationships, proprietary buying systems, and a hyper-localized inventory model [2] Company Performance - Vintage Stock's success is attributed to its philosophy of curating and preserving cultural artifacts, which aligns with the growing consumer demand for physical media and collectibles [3] - The company has seen a surge in consumer interest driven by social media trends, particularly on platforms like TikTok, which has increased in-store traffic [4] - Recent operational enhancements and the resurgence of analog culture among Gen Z have positioned Vintage Stock for growth in both revenue and EBITDA [5] Market Trends - The global trading card market is projected to reach $20 billion by 2030, with significant sales of Pokémon cards on platforms like eBay and Whatnot [7] - Vinyl record sales in the U.S. grew by over 21.7% last year, surpassing CD sales for the first time since the 1980s [7] - Certain retro video game cartridges and collectibles are now commanding five- and six-figure sales in secondary markets, reflecting a robust demand for vintage items [7] Future Outlook - Vintage Stock plans to expand its store count, enhance online-to-offline capabilities, and explore licensing partnerships with major entertainment brands to capitalize on the growing consumer appetite for vintage and collectible media [6]

Core Viewpoint - Halper Sadeh LLC is investigating potential breaches of fiduciary duties by officers and directors of Live Ventures Incorporated, urging shareholders to contact the firm to discuss their rights and possible legal actions [1][2]. Group 1: Shareholder Rights and Legal Options - Long-term shareholders of Live Ventures may seek corporate governance reforms, return of funds, court-approved financial incentives, or other benefits [2][3]. - Shareholder involvement is emphasized as a means to improve company policies and enhance shareholder value through better management and accountability [3]. Group 2: Firm's Background and Services - Halper Sadeh LLC represents global investors affected by securities fraud and corporate misconduct, having successfully implemented corporate reforms and recovered millions for defrauded investors [4].

Core Insights - Live Ventures (NASDAQ:LIVE) has recently been characterized more by its potential than its actual performance, with significant losses in the millions raising concerns among investors [1] Company Overview - The company has faced skepticism regarding its holding-company strategy and whether it can achieve more than just ambitious goals [1]