A-Mark Precious Metals, Inc. Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

Leases

Leases

9 Months Ended

Mar. 31, 2022

7. LEASES

As of March 31, 2022 and June 30, 2021, the balance of the operating lease right of use assets ("ROU") was $6.8 million and $5.7 million respectively. Components of operating lease expense for the three and nine months ended March 31, 2022 and 2021 were as follows:


in thousands
	Three Months Ended				Nine Months Ended
	March 31, 2022		March 31, 2021		March 31, 2022		March 31, 2021
Operating lease costs	$	347	$	361	$	1,181	$	1,060
Variable lease costs		143		67		379		217
Short term lease costs		23		21		70		73
Finance lease costs		6		5		16		16
	$	519	$	454	$	1,646	$	1,366

For the nine months ended March 31, 2022, we made cash payments of $1.4 million for operating lease obligations. These payments are included in operating cash flows. At March 31, 2022, the weighted-average remaining lease term under our capitalized operating leases was 5.6 years, while the weighted-average discount rate for our operating leases was approximately 4.9%.

The following represents our future undiscounted cash flows for each of the next five years and thereafter and reconciliation to the lease liabilities, as of March 31, 2022:


Years ending June 30,	Operating Leases
2022 (3 months remaining)		380
2023		1,646
2024		1,692
2025		1,669
2026		1,244
Thereafter		2,102
Total lease payments		8,733
Imputed interest		(1,159	)
	$	7,574		(1)
Operating lease liability - current	$	1,270		(2)
Operating lease liability - long-term		6,304		(3)
	$	7,574		(1)

(1)

Represents the present value of the capitalized operating lease liabilities as of March 31, 2022.

(2)

Current operating lease liabilities are presented within accrued liabilities on our condensed consolidated balance sheets.

(3)

Long-term operating lease liabilities are presented within other liabilities on our condensed consolidated balance sheets.

The Company has no related party leases. We do not have leases that have not yet commenced, which would create significant rights and obligations for us, including any involvement with the construction or design of the underlying asset.