U.S. Global Investors(GROW) - 2025 Q3 - Quarterly Results

Financial Performance - Operating revenues for Q3 2025 were $2.1 million, down from $2.6 million in Q3 2024, with a net loss of $382,000 or $0.03 per share[1][22]. - Total assets under management (AUM) decreased to approximately $1.2 billion as of March 31, 2025, from approximately $1.5 billion at December 31, 2024[2]. - The company repurchased 784,466 shares during the 12-month period ended March 31, 2025, an increase of approximately 12% compared to the same period in 2024[16]. - As of March 31, 2025, the company reported approximately $26.3 million in cash and cash equivalents, providing substantial flexibility for future opportunities[20]. - The company initiated a monthly dividend of $0.0075 per share starting in April 2025[15]. Investment Strategy - The company plans to increase its investment in Bitcoin and HIVE Digital Technologies, reflecting a favorable shift in the U.S. regulatory environment towards digital assets[4]. - The Travel UCITS ETF (TRIP) transitioned to an actively managed strategy, focusing primarily on the airline industry[13][14]. - Smart beta 2.0 merges passive and active investing strategies, offering potential benefits to investors[39]. Market Trends - The U.S. Global Technology and Aerospace & Defense ETF (WAR) launched in December 2024, has gained traction amid rising geopolitical risks, with global defense spending reaching a record $2.7 trillion in 2024[5][7]. - Gold prices reached an all-time high of over $3,500 per ounce, with expectations that it could climb as high as $6,000 due to Basel III rules recognizing gold as a Tier 1 asset[10]. Risks and Volatility - Investments in non-U.S. securities may lead to increased volatility and reduced liquidity due to currency fluctuations and political instability[36]. - Cryptocurrencies, including Bitcoin, are highly speculative with significant risk and historical price volatility expected to continue[37]. Stock Performance - The company's shareholder yield was 10.5%, more than double the yield on five-year and ten-year Treasury bonds[3]. - The IBD 50 index identifies the top 50 growth stocks based on fundamental and technical indicators, published weekly[38].