UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
(Mark One)
|
☑ |
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
For the quarterly period ended March 31, 2021
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) |
|
11-2464169 (IRS Employer I.D. No.) |
2121 Rosecrans Ave. Suite 6300
El Segundo, CA 90245
(Address of principal executive offices)(Zip Code)
(310) 587-1477
(Registrant’s Telephone Number, Including Area Code)
Securities registered pursuant to Section 12(b) of the Act:
|
Title of each class |
Trading Symbol(s) |
Name of each exchange on which registered |
|
Common Stock, $0.01 par value |
AMRK |
NASDAQ Global Select Market |
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes. ☑ No. ☐
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes. ☑ No. ☐
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
|
Large accelerated filer |
☐ |
|
Accelerated filer |
☐ |
|
Non-accelerated filer |
☑ |
|
Smaller reporting company |
☑ |
|
|
|
|
Emerging growth company |
☐ |
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes. ☐ No. ☑
Indicate by check mark whether the registrant has filed all documents and reports required to be filed by Sections 12, 13 or 15(d) of the Securities Exchange Act of 1934 subsequent to the distribution of securities under a plan confirmed by a court. Yes ☑ No ☐
As of May 6, 2021, the registrant had 11,136,233 shares of common stock outstanding, par value $0.01 per share.
A-MARK PRECIOUS METALS, INC. AND SUBSIDIARIES
QUARTERLY REPORT ON FORM 10-Q
For the Nine Months Ended March 31, 2021
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Page |
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Item 1. |
2 |
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Item 2. |
Management's Discussion and Analysis of Financial Condition and Results of Operations |
48 |
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Item 3. |
86 |
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Item 4. |
86 |
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Item 1. |
87 |
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Item 1A. |
87 |
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Item 2. |
101 |
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Item 3. |
101 |
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Item 4. |
101 |
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Item 5. |
101 |
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Item 6. |
102 |
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103 |
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PART I — FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA
|
Index to the Condensed Consolidated Financial Statements and Notes thereof |
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Page |
|
Condensed Consolidated Balance Sheets as of March 31, 2021 and June 30, 2020 |
3 |
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5 |
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6 |
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Condensed Consolidated Statements of Cash Flows for the Nine Months Ended March 31, 2021 and 2020 |
8 |
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9 |
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9 |
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12 |
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22 |
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25 |
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25 |
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27 |
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29 |
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29 |
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31 |
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31 |
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31 |
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34 |
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36 |
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38 |
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40 |
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40 |
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42 |
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43 |
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47 |
2
A-MARK PRECIOUS METALS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(amounts in thousands, except for share data) (unaudited)
|
|
|
March 31, 2021 |
|
|
|
June 30, 2020 |
|
||
|
ASSETS |
|
|
|
|
|
|
|
|
|
|
Current assets: |
|
|
|
|
|
|
|
|
|
|
Cash(1) |
|
$ |
38,766 |
|
|
|
$ |
52,325 |
|
|
Receivables, net(1) |
|
|
64,713 |
|
|
|
|
49,142 |
|
|
Derivative assets(1) |
|
|
70,325 |
|
|
|
|
46,325 |
|
|
Secured loans receivable(1) |
|
|
100,728 |
|
|
|
|
63,710 |
|
|
Precious metals held under financing arrangements(1) |
|
|
160,988 |
|
|
|
|
178,577 |
|
|
Inventories: |
|
|
|
|
|
|
|
|
|
|
Inventories(1) |
|
|
310,854 |
|
|
|
|
246,603 |
|
|
Restricted inventories |
|
|
250,067 |
|
|
|
|
74,678 |
|
|
|
|
|
560,921 |
|
|
|
|
321,281 |
|
|
Prepaid expenses and other assets(1) |
|
|
4,464 |
|
|
|
|
2,659 |
|
|
Total current assets |
|
|
1,000,905 |
|
|
|
|
714,019 |
|
|
Operating lease right of use assets |
|
|
6,066 |
|
|
|
|
4,223 |
|
|
Property, plant, and equipment, net |
|
|
8,264 |
|
|
|
|
5,675 |
|
|
Goodwill |
|
|
101,673 |
|
|
|
|
8,881 |
|
|
Intangibles, net |
|
|
101,516 |
|
|
|
|
4,974 |
|
|
Long-term investments |
|
|
12,429 |
|
|
|
|
16,763 |
|
|
Other long-term assets |
|
|
2,500 |
|
|
|
|
3,500 |
|
|
Total assets |
|
$ |
1,233,353 |
|
|
|
$ |
758,035 |
|
|
LIABILITIES AND STOCKHOLDERS’ EQUITY |
|
|
|
|
|
|
|
|
|
|
Current liabilities: |
|
|
|
|
|
|
|
|
|
|
Lines of credit |
|
$ |
165,000 |
|
|
|
$ |
135,000 |
|
|
Liabilities on borrowed metals |
|
|
109,735 |
|
|
|
|
168,206 |
|
|
Product financing arrangements |
|
|
250,067 |
|
|
|
|
74,678 |
|
|
Accounts payable and other current liabilities |
|
|
228,254 |
|
|
|
|
140,930 |
|
|
Derivative liabilities(1) |
|
|
14,620 |
|
|
|
|
25,414 |
|
|
Accrued liabilities(1) |
|
|
17,098 |
|
|
|
|
10,397 |
|
|
Income tax payable |
|
|
15,929 |
|
|
|
|
2,135 |
|
|
Total current liabilities |
|
|
800,703 |
|
|
|
|
556,760 |
|
|
Notes payable(1) |
|
|
93,060 |
|
|
|
|
92,517 |
|
|
Deferred tax liabilities |
|
|
20,382 |
|
|
|
|
62 |
|
|
Other liabilities |
|
|
5,530 |
|
|
|
|
3,802 |
|
|
Total liabilities |
|
|
919,675 |
|
|
|
|
653,141 |
|
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Commitments and contingencies |
|
|
|
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|
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Stockholders’ equity: |
|
|
|
|
|
|
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Preferred stock, $0.01 par value, authorized 10,000,000 shares; issued and outstanding: none as of March 31, 2021 and June 30, 2020 |
|
|
— |
|
|
|
|
— |
|
|
Common stock, par value $0.01; 40,000,000 shares authorized; 11,136,233 and 7,031,500 shares issued and outstanding as of March 31, 2021 and June 30, 2020, respectively |
|
|
112 |
|
|
|
|
71 |
|
|
Additional paid-in capital |
|
|
147,370 |
|
|
|
|
27,289 |
|
|
Retained earnings |
|
|
161,086 |
|
|
|
|
73,644 |
|
|
Total A-Mark Precious Metals, Inc. stockholders’ equity |
|
|
308,568 |
|
|
|
|
101,004 |
|
|
Non-controlling interests |
|
|
5,110 |
|
|
|
|
3,890 |
|
|
Total stockholders’ equity |
|
|
313,678 |
|
|
|
|
104,894 |
|
|
Total liabilities, non-controlling interests and stockholders’ equity |
|
$ |
1,233,353 |
|
|
|
$ |
758,035 |
|
|
(1) |
Includes amounts of the consolidated variable interest entity, which is presented separately in the table below. |
See accompanying
3
Notes to Condensed Consolidated Financial Statements
A-MARK PRECIOUS METALS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(amounts in thousands) (unaudited)
In September 2018, AM Capital Funding, LLC (“AMCF”), a wholly-owned subsidiary of Collateral Finance Corporation, completed an issuance of Secured Senior Term Notes, Series 2018-1, Class A in the aggregate principal amount of $72.0 million and Secured Subordinated Term Notes, Series 2018-1, Class B in the aggregate principal amount of $28.0 million (collectively, the "Notes"). The Class A Notes bear interest at a rate of 4.98% and the Class B Notes bear interest at a rate of 5.98%. The Notes have a maturity date of December 15, 2023.
The Company consolidates a variable interest entity ("VIE") if the Company is considered to be the primary beneficiary. AMCF is a VIE because its equity may be insufficient to maintain its on-going collateral requirements without additional financial support from the Company. The securitization is primarily secured by cash, bullion loans, and precious metals, and the Company is required to continuously hedge the value of certain collateral and make future contributions as necessary. The Company is the primary beneficiary of this VIE because the Company has the right to determine the type of collateral (i.e., cash, secured loans, or precious metals) placed into the entity, has the right to receive (and has received) the proceeds from the securitization transaction, earns on-going interest income from the secured loans (subject to collateral requirements), and has the obligation to absorb losses should AMCF's interest expense and other costs exceed its interest income.
The following table presents the assets and liabilities of this VIE, which are included in the condensed consolidated balance sheets above. The holders of the Notes have a first priority security interest in the assets as shown in the table below, which are in excess of the Notes' aggregate principal amount. Additionally, the liabilities of the VIE include intercompany balances, which are eliminated in consolidation. (See Note 14.)
|
|
|
March 31, 2021 |
|
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|
June 30, 2020 |
|
||
|
|
|
|
|
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|
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|
Cash |
|
$ |
3,309 |
|
|
|
$ |
26,697 |
|
|
Receivables, net |
|
|
— |
|
|
|
|
3,005 |
|
|
Secured loans receivable |
|
|
74,822 |
|
|
|
|
34,739 |
|
|
Precious metals held under financing arrangements |
|
|
24,699 |
|
|
|
|
20,968 |
|
|
Inventories |
|
|
5,838 |
|
|
|
|
24,057 |
|
|
Prepaid expenses and other assets |
|
|
28 |
|
|
|
|
16 |
|
|
Total assets of the consolidated variable interest entity |
|
$ |
108,696 |
|
|
|
$ |
109,482 |
|
|
LIABILITIES OF THE CONSOLIDATED VIE |
|
|
|
|
|
|
|
|
|
|
Deferred payment obligations(1) |
|
$ |
14,620 |
|
|
|
$ |
13,275 |
|
|
Derivative liabilities |
|
|
— |
|
|
|
|
541 |
|
|
Accrued liabilities |
|
|
773 |
|
|
|
|
387 |
|
|
Notes payable(2) |
|
|
98,060 |
|
|
|
|
97,517 |
|
|
Total liabilities of the consolidated variable interest entity |
|
$ |
113,453 |
|
|
|
$ |
111,720 |
|
|
(1) |
This is an intercompany balance, which is eliminated in consolidation and hence is not shown on the condensed consolidated balance sheets. |
|
(2) |
$5.0 million of the Notes are held by the Company, which is eliminated in consolidation and hence is not shown on the condensed consolidated balance sheets. |
See accompanying Notes to Condensed Consolidated Financial Statements
4
A-MARK PRECIOUS METALS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(in thousands, except for share and per share data) (unaudited)
|
|
Three Months Ended |
|
|
|
Nine Months Ended |
|
|||||||||||||
|
|
|
March 31, 2021 |
|
|
|
March 31, 2020 |
|
|
|
March 31, 2021 |
|
|
|
March 31, 2020 |
|
||||
|
Revenues |
|
$ |
2,049,489 |
|
|
|
$ |
1,258,722 |
|
|
|
$ |
5,434,349 |
|
|
|
$ |
3,795,326 |
|
|
Cost of sales |
|
|
1,981,318 |
|
|
|
|
1,236,247 |
|
|
|
|
5,311,282 |
|
|
|
|
3,756,380 |
|
|
Gross profit |
|
|
68,171 |
|
|
|
|
22,475 |
|
|
|
|
123,067 |
|
|
|
|
38,946 |
|
|
Selling, general, and administrative expenses |
|
|
(14,783 |
) |
|
|
|
(10,388 |
) |
|
|
|
(33,822 |
) |
|
|
|
(26,528 |
) |
|
Interest income |
|
|
4,724 |
|
|
|
|
5,968 |
|
|
|
|
13,240 |
|
|
|
|
17,968 |
|
|
Interest expense |
|
|
(5,335 |
) |
|
|
|
(5,051 |
) |
|
|
|
(14,665 |
) |
|
|
|
(15,274 |
) |
|
Other income, net |
|
|
7,750 |
|
|
|
|
463 |
|
|
|
|
14,802 |
|
|
|
|
447 |
|
|
Remeasurement gain on pre-existing equity interest |
|
|
26,306 |
|
|
|
|
— |
|
|
|
|
26,306 |
|
|
|
|
— |
|
|
Unrealized losses on foreign exchange |
|
|
(53 |
) |
|
|
|
(45 |
) |
|
|
|
(131 |
) |
|
|
|
(42 |
) |
|
Net income before provision for income taxes |
|
|
86,780 |
|
|
|
|
13,422 |
|
|
|
|
128,797 |
|
|
|
|
15,517 |
|
|
Income tax expense |
|
|
(9,847 |
) |
|
|
|
(1,814 |
) |
|
|
|
(18,944 |
) |
|
|
|
(2,351 |
) |
|
Net income |
|
|
76,933 |
|
|
|
|
11,608 |
|
|
|
|
109,853 |
|
|
|
|
13,166 |
|
|
Net income attributable to non-controlling interests |
|
|
308 |
|
|
|
|
287 |
|
|
|
|
1,221 |
|
|
|
|
483 |
|
|
Net income attributable to the Company |
|
$ |
76,625 |
|
|
|
$ |
11,321 |
|
|
|
$ |
108,632 |
|
|
|
$ |
12,683 |
|
|
Basic and diluted net income per share attributable to A-Mark Precious Metals, Inc.: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
$ |
9.54 |
|
|
|
$ |
1.61 |
|
|
|
$ |
14.67 |
|
|
|
$ |
1.80 |
|
|
Diluted |
|
$ |
8.84 |
|
|
|
$ |
1.61 |
|
|
|
$ |
13.61 |
|
|
|
$ |
1.80 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average shares outstanding: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
|
8,028,900 |
|
|
|
|
7,031,400 |
|
|
|
|
7,403,900 |
|
|
|
|
7,031,400 |
|
|
Diluted |
|
|
8,668,300 |
|
|
|
|
7,042,800 |
|
|
|
|
7,980,700 |
|
|
|
|
7,063,100 |
|
See accompanying Notes to Condensed Consolidated Financial Statements
5
A-MARK PRECIOUS METALS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY
(in thousands, except for share data) (unaudited)
|
|
|
Common Stock (Shares) |
|
|
Common Stock |
|
|
Additional Paid-in Capital |
|
|
Retained Earnings |
|
|
Total A-Mark Precious Metals, Inc. Stockholders' Equity |
|
|
Non- Controlling Interests |
|
|
Total Stockholders’ Equity |
|
|||||||
|
Balance, June 30, 2019 |
|
|
7,031,450 |
|
|
$ |
71 |
|
|
$ |
26,452 |
|
|
$ |
43,135 |
|
|
$ |
69,658 |
|
|
$ |
2,908 |
|
|
$ |
72,566 |
|
|
Net income |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
128 |
|
|
|
128 |
|
|
|
175 |
|
|
|
303 |
|
|
Share-based compensation |
|
|
— |
|
|
|
— |
|
|
|
166 |
|
|
|
— |
|
|
|
166 |
|
|
|
— |
|
|
|
166 |
|
|
Balance, September 30, 2019 |
|
|
7,031,450 |
|
|
|
71 |
|
|
|
26,618 |
|
|
|
43,263 |
|
|
|
69,952 |
|
|
|
3,083 |
|
|
|
73,035 |
|
|
Net income |
|
|
— |
|
|
|
— |
|
|
|
- |
|
|
|
1,234 |
|
|
|
1,234 |
|
|
|
21 |
|
|
|
1,255 |
|
|
Share-based compensation |
|
|
— |
|
|
|
— |
|
|
|
244 |
|
|
|
— |
|
|
|
244 |
|
|
|
— |
|
|
|
244 |
|
|
Balance, December 31, 2019 |
|
|
7,031,450 |
|
|
|
71 |
|
|
|
26,862 |
|
|
|
44,497 |
|
|
|
71,430 |
|
|
|
3,104 |
|
|
|
74,534 |
|
|
Net income |
|
|
— |
|
|
|
— |
|
|
|
- |
|
|
|
11,321 |
|
|
|
11,321 |
|
|
|
287 |
|
|
|
11,608 |
|
|
Share-based compensation |
|
|
— |
|
|
|
— |
|
|
|
225 |
|
|
|
— |
|
|
|
225 |
|
|
|
— |
|
|
|
225 |
|
|
Balance, March 31, 2020 |
|
|
7,031,450 |
|
|
$ |
71 |
|
|
$ |
27,087 |
|
|
$ |
55,818 |
|
|
$ |
82,976 |
|
|
$ |
3,391 |
|
|
$ |
86,367 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
See accompanying Notes to Condensed Consolidated Financial Statements
6
A-MARK PRECIOUS METALS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Continued)
(in thousands, except for share data) (unaudited)
|
|
|
Common Stock (Shares) |
|
|
Common Stock |
|
|
Additional Paid-in Capital |
|
|
Retained Earnings |
|
|
Total A-Mark Precious Metals, Inc. Stockholders' Equity |
|
|
Non- Controlling Interests |
|
|
Total Stockholders’ Equity |
|
|||||||
|
Balance, June 30, 2020 |
|
|
7,031,500 |
|
|
$ |
71 |
|
|
$ |
27,289 |
|
|
$ |
73,644 |
|
|
$ |
101,004 |
|
|
$ |
3,890 |
|
|
$ |
104,894 |
|
|
Net income |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
23,083 |
|
|
|
23,083 |
|
|
|
623 |
|
|
|
23,706 |
|
|
Share-based compensation |
|
|
— |
|
|
|
— |
|
|
|
178 |
|
|
|
— |
|
|
|
178 |
|
|
|
— |
|
|
|
178 |
|
|
Net settlement on issuance of common shares on exercise of options |
|
|
35,030 |
|
|
|
— |
|
|
|
416 |
|
|
|
— |
|
|
|
416 |
|
|
|
— |
|
|
|
416 |
|
|
Dividends declared ($1.50 per common share) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(10,553 |
) |
|
|
(10,553 |
) |
|
|
— |
|
|
|
(10,553 |
) |
|
Balance, September 30, 2020 |
|
|
7,066,530 |
|
|
|
71 |
|
|
|
27,883 |
|
|
|
86,174 |
|
|
|
114,128 |
|
|
|
4,513 |
|
|
|
118,641 |
|
|
Net income |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
8,925 |
|
|
|
8,925 |
|
|
|
289 |
|
|
|
9,214 |
|
|
Share-based compensation |
|
|
— |
|
|
|
— |
|
|
|
210 |
|
|
|
— |
|
|
|
210 |
|
|
|
— |
|
|
|
210 |
|
|
Net settlement on issuance of common shares on exercise of options |
|
|
64,932 |
|
|
|
1 |
|
|
|
1,000 |
|
|
|
— |
|
|
|
1,001 |
|
|
|
— |
|
|
|
1,001 |
|
|
Dividends declared ($1.50 per common share) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(10,638 |
) |
|
|
(10,638 |
) |
|
|
— |
|
|
|
(10,638 |
) |
|
Balance, December 31, 2020 |
|
|
7,131,462 |
|
|
|
72 |
|
|
|
29,093 |
|
|
|
84,461 |
|
|
|
113,626 |
|
|
|
4,802 |
|
|
|
118,428 |
|
|
Net income |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
76,625 |
|
|
|
76,625 |
|
|
|
308 |
|
|
|
76,933 |
|
|
Share-based compensation |
|
|
— |
|
|
|
— |
|
|
|
271 |
|
|
|
— |
|
|
|
271 |
|
|
|
— |
|
|
|
271 |
|
|
Issuance of common stock sold in public offering, net of offering costs |
|
|
2,875,000 |
|
|
|
29 |
|
|
|
75,315 |
|
|
|
— |
|
|
|
75,344 |
|
|
|
— |
|
|
|
75,344 |
|
|
Common stock issued for acquisition of JMB |
|
|
1,047,007 |
|
|
|
10 |
|
|
|
41,598 |
|
|
|
— |
|
|
|
41,608 |
|
|
|
— |
|
|
|
41,608 |
|
|
Net settlement on issuance of common shares on exercise of options |
|
|
82,764 |
|
|
|
1 |
|
|
|
1,093 |
|
|
|
— |
|
|
|
1,094 |
|
|
|
— |
|
|
|
1,094 |
|
|
Balance, March 31, 2021 |
|
|
11,136,233 |
|
|
$ |
112 |
|
|
$ |
147,370 |
|
|
$ |
161,086 |
|
|
$ |
308,568 |
|
|
$ |
5,110 |
|
|
$ |
313,678 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
See accompanying Notes to Condensed Consolidated Financial Statements
7
A-MARK PRECIOUS METALS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(amounts in thousands) (unaudited)
|
Nine Months Ended March 31, |
|
2021 |
|
|
2020 |
|
||
|
Cash flows from operating activities: |
|
|
|
|
|
|
|
|
|
Net income |
|
$ |
109,853 |
|
|
$ |
13,166 |
|
|
Adjustments to reconcile net income to net cash provided by (used in) operating activities: |
|
|
|
|
|
|
|
|
|
Depreciation and amortization |
|
|
2,494 |
|
|
|
2,217 |
|
|
Amortization of loan cost |
|
|
1,661 |
|
|
|
1,139 |
|
|
Deferred income taxes |
|
|
(1,561 |
) |
|
|
2,238 |
|
|
Interest added to principal of secured loans |
|
|
(9 |
) |
|
|
(15 |
) |
|
Share-based compensation |
|
|
659 |
|
|
|
635 |
|
|
Remeasurement gain on pre-existing equity method investment |
|
|
(26,306 |
) |
|
|
— |
|
|
Earnings from equity method investments |
|
|
(13,897 |
) |
|
|
(392 |
) |
|
Changes in assets and liabilities: |
|
|
|
|
|
|
|
|
|
Receivables |
|
|
3,507 |
|
|
|
(69,858 |
) |
|
Secured loans receivable |
|
|
3,303 |
|
|
|
3,007 |
|
|
Secured loans made to affiliates |
|
|
8,646 |
|
|
|
2,315 |
|
|
Derivative assets |
|
|
(18,342 |
) |
|
|
(50,653 |
) |
|
Income tax receivable |
|
|
— |
|
|
|
35 |
|
|
Precious metals held under financing arrangements |
|
|
17,589 |
|
|
|
21,787 |
|
|
Inventories |
|
|
(181,933 |
) |
|
|
(120,268 |
) |
|
Prepaid expenses and other assets |
|
|
(634 |
) |
|
|
(319 |
) |
|
Accounts payable and other current liabilities |
|
|
525 |
|
|
|
169,740 |
|
|
Derivative liabilities |
|
|
(13,113 |
) |
|
|
29,560 |
|
|
Liabilities on borrowed metals |
|
|
(58,471 |
) |
|
|
(22,540 |
) |
|
Accrued liabilities |
|
|
4,257 |
|
|
|
4,431 |
|
|
Income tax payable |
|
|
6,324 |
|
|
|
— |
|
|
Net cash used in operating activities |
|
|
(155,448 |
) |
|
|
(13,775 |
) |
|
Cash flows from investing activities: |
|
|
|
|
|
|
|
|
|
Capital expenditures for property, plant, and equipment |
|
|
(1,351 |
) |
|
|
(686 |
) |
|
Purchase of long-term investments |
|
|
(6,763 |
) |
|
|
— |
|
|
Purchase of intangible assets |
|
|
— |
|
|
|
(150 |
) |
|
Secured loans receivable, net |
|
|
(48,958 |
) |
|
|
70,370 |
|
|
Other secured loans, net |
|
|
1,000 |
|
|
|
(3,500 |
) |
|
Incremental acquisition of pre-existing equity method investment, net of cash |
|
|
(62,232 |
) |
|
|
— |
|
|
Net cash (used in) provided by investing activities |
|
|
(118,304 |
) |
|
|
66,034 |
|
|
Cash flows from financing activities: |
|
|
|
|
|
|
|
|
|
Product financing arrangements, net |
|
|
175,389 |
|
|
|
27,621 |
|
|
Dividends paid |
|
|
(21,191 |
) |
|
|
— |
|
|
Borrowings and repayments under lines of credit, net |
|
|
30,000 |
|
|
|
8,000 |
|
|
Net proceeds from the issuance of common stock |
|
|
75,315 |
|
|
|
— |
|
|
Debt funding issuance costs |
|
|
(1,831 |
) |
|
|
(697 |
) |
|
Net settlement on issuance of common shares on exercise of options |
|
|
2,511 |
|
|
|
— |
|
|
Net cash provided by financing activities |
|
|
260,193 |
|
|
|
34,924 |
|
|
Net (decrease) increase in cash, cash equivalents, and restricted cash |
|
|
(13,559 |
) |
|
|
87,183 |
|
|
Cash, cash equivalents, and restricted cash, beginning of period |
|
|
52,325 |
|
|
|
8,320 |
|
|
Cash, cash equivalents, and restricted cash, end of period |
|
$ |
38,766 |
|
|
$ |
95,503 |
|
|
Supplemental disclosures of cash flow information: |
|
|
|
|
|
|
|
|
|
Interest paid |
|
$ |
12,655 |
|
|
$ |
14,077 |
|
|
Income taxes paid |
|
$ |
18,086 |
|
|
$ |
71 |
|
|
Income taxes refunded |
|
$ |
(3,887 |
) |
|
$ |
— |
|
|
Non-cash investing and financing activities: |
|
|
|
|
|
|
|
|
|
Interest added to principal of secured loans |
|
$ |
||||||