Daily Journal Corporation Announces Financial Results for the six months ended March 31, 2024

Financial Performance - Daily Journal Corporation reported consolidated revenues of $32,564,000 for the six months ended March 31, 2024, an increase of $4,109,000 from $28,455,000 in the prior year period, driven by Journal Technologies' license and maintenance fees and other public service fees [1] - The Traditional Business' pretax income decreased by $782,000 to $861,000, primarily due to increased personnel costs, despite a reduction in long-term supplemental compensation accrual [2] - Journal Technologies' pretax income increased by $1,129,000 to $395,000, recovering from a pretax loss of $734,000 in the prior year, attributed to increased revenues [2] Marketable Securities and Income - As of March 31, 2024, the company held marketable securities valued at $297,003,000, with net pretax unrealized gains of $157,909,000, and a deferred tax liability of $40,490,000 [3] - The company sold marketable securities for approximately $40,579,000 in March 2024, realizing net gains of $14,261,000, which were used to pay down margin loan balances significantly [3] - Non-operating income decreased by $1,182,000 to $35,104,000, primarily due to lower net unrealized gains and decreased dividends and interest income [4] Net Income and Tax Provision - Consolidated pretax income was reported at $36,360,000, down from $37,195,000 in the prior fiscal year, with consolidated net income of $28,030,000 ($20.36 per share) compared to $27,260,000 ($19.80 per share) previously [5] - The income tax provision for the six months ended March 31, 2024, was $8,330,000, resulting in an overall effective tax rate of 22.9% [6] Company Overview - Daily Journal Corporation publishes newspapers and websites in California and Arizona and provides specialized information services, while Journal Technologies, Inc. offers case management software systems to courts and justice agencies [8]