A-Mark Precious Metals(AMRK) - 2025 Q1 - Quarterly Results

Financial Performance - Revenues for the three months ended September 30, 2024, increased 9% to $2.72 billion from $2.48 billion for the same period in 2023[10] - Gross profit for the three months ended September 30, 2024, decreased 12% to $43.4 million from $49.4 million for the same period in 2023[10] - Net income attributable to the Company for the three months ended September 30, 2024, decreased 52% to $9.0 million from $18.8 million for the same period in 2023[10] - Diluted earnings per share totaled $0.37 for the three months ended September 30, 2024, a 52% decrease compared to $0.77 for the same period in 2023[10] - Adjusted net income before provision for income taxes for the three months ended September 30, 2024, decreased 45% to $14.8 million from $26.8 million for the same period in 2023[10] - EBITDA for the three months ended September 30, 2024, decreased 42% to $17.8 million from $30.4 million for the same period in 2023[10] - Revenues increased 9% to $2.72 billion from $2.48 billion in the same year-ago quarter, with a $217.4 million increase in forward sales[15] - Gross profit decreased 12% to $43.4 million, representing 1.60% of revenue, down from $49.4 million or 1.99% of revenue year-over-year[17] - Net income attributable to the Company totaled $9.0 million or $0.37 per diluted share, compared to $18.8 million or $0.77 per diluted share in the same year-ago quarter[23] - Adjusted net income before provision for income taxes decreased 45% to $14.8 million from $26.8 million year-over-year[24] - Net income for the three months ended September 30, 2024, was $8,418, a decrease of 55.7% compared to $18,983 in the same period of 2023[45] - Basic and diluted net income per share decreased by 51.9%, with basic earnings at $0.39 and diluted earnings at $0.37 for Q3 2024, compared to $0.81 and $0.77 respectively in Q3 2023[45][46] - Earnings before interest, taxes, depreciation, and amortization (non-GAAP) fell to $17,782, down $12,666 or 41.6% from $30,448 in the previous year[51] Sales Performance - Gold ounces sold for the three months ended September 30, 2024, were 398,000, down from 495,000 for the same period in 2023[11] - Silver ounces sold for the three months ended September 30, 2024, were 20,449,000, down from 30,378,000 for the same period in 2023[11] - Gold ounces sold decreased 20% to 398,000 ounces from 495,000 ounces for the same period last year, and decreased 11% from 448,000 ounces for the previous quarter[13] - Silver ounces sold decreased 33% to 20.4 million ounces from 30.4 million ounces year-over-year, and decreased 20% from 25.4 million ounces quarter-over-quarter[13] Operational Metrics - The number of secured loans at period end decreased to 562 from 803 for the same period in 2023[11] - The number of secured loans decreased 30% to 562 from 803 year-over-year, and decreased 4% from 588 quarter-over-quarter[13] - Direct-to-Consumer new customers increased 41% to 55,300 from 39,100 year-over-year, but decreased 90% from 570,300 quarter-over-quarter[14] - Direct-to-Consumer average order value increased 22% to $2,967 from $2,440 year-over-year, and increased 3% from $2,890 quarter-over-quarter[14] Expenses and Liabilities - Selling, general and administrative expenses increased 22% to $26.6 million from $21.8 million year-over-year[18] - Total liabilities increased to $1,364,300 as of September 30, 2024, compared to $1,165,964 as of June 30, 2024, reflecting a rise of 17.0%[41] - Depreciation and amortization expense rose significantly by 68.7% to $4,709 in Q3 2024 from $2,792 in Q3 2023[46] - Amortization of acquired intangibles increased to $3,864, up $1,699 or 78.5% from $2,165 in the previous year[50] Cash Flow and Assets - Net cash used in operating activities was $(127,529) for Q3 2024, compared to $(44,262) in Q3 2023[43] - Net cash provided by financing activities was $110,336 in Q3 2024, a significant increase from $53,617 in Q3 2023[43] - Cash at the end of the period was $46,924 for Q3 2024, down from $48,245 at the end of Q3 2023[43] - Total current assets increased to $1,645,542 as of September 30, 2024, compared to $1,442,203 as of June 30, 2024, representing a growth of 14.1%[41] - Total assets reached $2,029,017 as of September 30, 2024, up from $1,827,820 as of June 30, 2024, indicating an increase of 11.0%[41] - The company reported a significant increase in inventories, which rose to $735,555 as of September 30, 2024, from $579,400 as of June 30, 2024, marking a 27.0% increase[41] - The company’s secured loans receivable decreased to $101,887 as of September 30, 2024, from $113,067 as of June 30, 2024, a decline of 9.9%[41] Adjusted Metrics - Net income before provision for income taxes decreased to $10,173, a decline of $13,762 or 57.5% compared to $23,935 in the same period last year[50] - Adjusted net income before provision for income taxes (non-GAAP) was $14,784, down $11,995 or 44.8% from $26,779 in the prior year[50] - The adjusted net income before provision for income taxes (non-GAAP) for the three months ended September 30, 2024, was $14,784, down $5,360 or 26.6% from $20,144 in the previous quarter[53] - Changes in operating working capital improved to $142,317, an increase of $77,190 or 118.5% from $65,127 in the prior year[51] - Interest income for Q3 2024 was $7,087, up from $6,102 in Q3 2023, representing a growth of 16.1%[42] - Interest income increased by 16.1% to $7,087 in Q3 2024, compared to $6,102 in Q3 2023[46]