Fiscal Second Quarter 2022 Financial Highlights
- Revenues for the three months ended
December 31, 2021 increased 28% to$1.95 billion from$1.52 billion for the three months endedDecember 31, 2020 and decreased 3% from$2.01 billion for the three months endedSeptember 30, 2021 - Gross profit for the three months ended
December 31, 2021 increased 252% to$65.9 million from$18.8 million for the three months endedDecember 31, 2020 and increased 18% from$56.0 million for the three months endedSeptember 30, 2021 - Gross profit margin for the three months ended
December 31, 2021 increased to 3.39% of revenue, from 1.23% of revenue for the three months endedDecember 31, 2020 , and increased from 2.78% of revenue in the three months endedSeptember 30, 2021 - Net income attributable to the Company for the three months ended
December 31, 2021 totaled$31.8 million or$2.61 per diluted share, as compared to net income of$8.9 million or$1.16 per diluted share for the three months endedDecember 31, 2020 , and net income of$26.0 million or$2.17 per diluted share for the three months endedSeptember 30, 2021 - Adjusted net income before provision for income taxes, depreciation, amortization and acquisition costs, a non-GAAP financial measure, for the three months ended
December 31, 2021 totaled$49.0 million , an increase of$36.3 million compared to$12.7 million for the three months endedDecember 31, 2020 , and an increase of$7.9 million compared to$41.1 million for the three months endedSeptember 30, 2021 - Adjusted net income before provision for income taxes, depreciation, amortization and acquisition costs per diluted share, a non-GAAP financial measure, for the three months ended
December 31, 2021 was$4.02 , as compared to$1.64 for the three months endedDecember 31, 2020 , and$3.42 for the three months endedSeptember 30, 2021 - Gold ounces sold in the three months ended
December 31, 2021 increased 32% to 631,000 ounces from 479,000 ounces for the three months endedDecember 31, 2020 , and decreased 6% from 669,000 ounces for the three months endedSeptember 30, 2021
- Silver ounces sold in the three months ended
December 31, 2021 increased 51% to 32.0 million ounces from 21.2 million ounces for the three months endedDecember 31, 2020 , and increased 14% from 28.1 million ounces for the three months endedSeptember 30, 2021 - As of
December 31, 2021 , the number of secured loans increased 81% to 2,393 from 1,324 as ofDecember 31, 2020 , and increased 15% from 2,074 as ofSeptember 30, 2021
Fiscal Second Quarter 2022 Financial Results
Revenues increased 28% to
Gross profit increased 252% to
Selling, general and administrative expenses increased 119% to
Depreciation and amortization expense increased 1,535% to
Interest income increased 16% to
Interest expense increased 7% to
Earnings from equity method investments decreased 48% to
Net income attributable to the Company totaled
Adjusted net income before provision for income taxes, depreciation, amortization and acquisition costs, a non-GAAP financial measure, totaled
Adjusted net income before provision for income taxes, depreciation, amortization and acquisition costs per diluted share, a non-GAAP financial measure, for the three months ended
Fiscal Six Months 2022 Financial Highlights
- Revenues for the six months ended
December 31, 2021 increased 17% to$3.96 billion from$3.38 billion for the six months endedDecember 31, 2020 - Gross profit for the six months ended
December 31, 2021 increased 122% to$121.9 million from$54.9 million for the six months endedDecember 31, 2020 - Gross profit margin for the six months ended
December 31, 2021 increased to 3.08% of revenue, from 1.62% of revenue for the six months endedDecember 31, 2020 - Net income attributable to the Company for the six months ended
December 31, 2021 totaled$57.8 million or$4.78 per diluted share, as compared to net income of$32.0 million or$4.21 per diluted share for the six months endedDecember 31, 2020 - Adjusted net income before provision for income taxes, depreciation, amortization and acquisition costs, a non-GAAP financial measure, for the six months ended
December 31, 2021 totaled$90.1 million , an increase of$46.7 million compared to$43.4 million for the six months endedDecember 31, 2020 - Adjusted net income before provision for income taxes, depreciation, amortization and acquisition costs per diluted share, a non-GAAP financial measure, for the six months ended
December 31, 2021 was$7.44 , as compared to$5.70 for the six months endedDecember 31, 2020 - Gold ounces sold in the six months ended
December 31, 2021 increased 8% to 1.3 million ounces from 1.2 million ounces for the six months endedDecember 31, 2020 - Silver ounces sold in the six months ended
December 31, 2021 increased 32% to 60.1 million ounces from 45.5 million ounces for the six months endedDecember 31, 2020
Fiscal Six Months 2022 Financial Results
Revenues increased 17% to
Gross profit increased 122% to
Selling, general and administrative expenses increased 96% to
Depreciation and amortization expense increased 1,543% to
Interest income increased 27% to
Interest expense increased 16% to
Earnings from equity method investments decreased 58% to
Net income attributable to the Company totaled
Adjusted net income before provision for income taxes, depreciation, amortization and acquisition costs, a non-GAAP financial measure, totaled
Adjusted net income before provision for income taxes, depreciation, amortization and acquisition costs per diluted share, a non-GAAP financial measure, for the six months ended
Management Commentary
“Our results for the second quarter represent a continuation of the favorable macro conditions for our business and the strength of our fully integrated business model,” said A-Mark CEO
“Our Direct-to-Consumer (DTC) segment continues to deliver strong results, generating sequential growth in revenue, gross profit and gross profit margin, as JMB continues to execute well and grow its customer base. We are optimistic about our DTC prospects, including the forthcoming rollout of our CyberMetals platform, which remains on track for commercial release this month.
“Favorable business trends have continued into the third quarter, keeping us optimistic about the outlook for A-Mark. We believe our fully integrated business model allows us to generate profit in stable periods and also benefit from the positive macro tailwinds we continue to experience in the market. While our core business remains in a strong position, we continue to evaluate strategic opportunities that can further augment our capabilities and drive strong results for our shareholders over the long term.”
Conference Call
A-Mark will hold a conference call today (
To participate, please dial the appropriate number at least five minutes prior to the start time and ask for the
International number: 1-201-689-8563
Conference ID: 13726226
The conference call will be broadcast simultaneously and available for replay via the Investor Relations section of A-Mark’s website at www.amark.com. If you have any difficulty connecting with the conference call or webcast, please contact A-Mark’s investor relations team at 1-949-574-3860.
A replay of the call will be available after
Toll-free replay number: 1-844-512-2921
International replay number: 1-412-317-6671
Conference ID: 13726226
About A-Mark Precious Metals
Founded in 1965,
A-Mark’s Wholesale Sales & Ancillary Services segment distributes and purchases precious metal products from sovereign and private mints. As a
Through its A-M Global Logistics subsidiary, A-Mark provides its customers with a range of complementary services, including managed storage options for precious metals as well as receiving, handling, inventorying, processing, packaging, and shipping of precious metals and coins on a secure basis. A-Mark’s mint operations, which are conducted through its wholly owned subsidiary
A-Mark’s Direct-to-Consumer segment operates as an omni-channel retailer of precious metals, providing access to a multitude of products through its wholly owned subsidiaries,
The company operates its Secured Lending segment through its wholly owned subsidiaries, Collateral Finance Corporation (CFC) and AM Capital Funding. Founded in 2005, CFC is a California licensed finance lender that originates and acquires loans secured by bullion and numismatic coins. Its customers include coin and precious metal dealers, investors and collectors. AM Capital Funding was formed in 2018 for the purpose of securitizing eligible secured loans of CFC.
A-Mark is headquartered in
Important Cautions Regarding Forward-Looking Statements
Statements in this press release that relate to future plans, objectives, expectations, performance, events and the like are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 and the Securities Exchange Act of 1934. These include statements regarding future macroeconomic conditions and demand for precious metal products, and the Company’s ability to effectively respond to changing economic conditions. Future events, risks and uncertainties, individually or in the aggregate, could cause actual results or circumstances to differ materially from those expressed or implied in these statements. Factors that could cause actual results to differ include the following: the failure to execute the Company’s growth strategy as planned; greater than anticipated costs incurred to execute this strategy; changes in the current international political climate which has favorably contributed to demand and volatility in the precious metals markets; increased competition for the Company’s higher margin services, which could depress pricing; the failure of the Company’s business model to respond to changes in the market environment as anticipated; general risks of doing business in the commodity markets; the effects of the COVID-19 pandemic and the eventual return to normalized business and economic conditions; and the strategic, business, economic, financial, political and governmental risks described in in the company’s public filings with the
The words "should," "believe," "estimate," "expect," "intend," "anticipate," "foresee," "plan" and similar expressions and variations thereof identify certain of such forward-looking statements, which speak only as of the dates on which they were made. Additionally, any statements related to future improved performance and estimates of revenues and earnings per share are forward-looking statements. The company undertakes no obligation to publicly update or revise any forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements.
Use and Reconciliation of Non-GAAP Financial Measures
In addition to presenting the Company’s financial results determined in accordance with GAAP, management believes the following non-GAAP financial measures are useful in evaluating the Company’s operating performance. The Company presents “adjusted net income before provision for income taxes” and “adjusted net income before provision for income taxes per diluted share” because management believes these assist investors and analysts by facilitating comparison of period-to-period operational performance on a consistent basis by excluding items that management does not believe are indicative of the Company’s core operating performance. The items excluded from these financial measures may have a material impact on the Company’s financial results. Certain of those items are non-recurring, while others are non-cash in nature. Accordingly, these non-GAAP financial measures should be considered in addition to, and not as a substitute for or superior to, the comparable measures prepared in accordance with GAAP, and should be read in conjunction with the financial statements included in the Company’s Quarterly Report on Form 10-Q to be filed with the
In the Company’s reconciliation from its reported GAAP “net income before provision for taxes” and “diluted net income per share” to its non-GAAP “adjusted net income before provision for income taxes” and “adjusted net income before provision for income taxes per diluted share,” the Company eliminates the impact of the following three amounts: (i) acquisition expenses; (ii) amortization expenses related to intangible assets acquired; and (iii) depreciation expense.
Management encourages investors and others to review the Company’s financial information in its entirety and not to rely on any single financial measure.
Company Contact:
1-310-587-1410
sreiner@amark.com
Investor Relations Contact:
Gateway Investor Relations
1-949-574-3860
AMRK@gatewayIR.com
CONDENSED CONSOLIDATED BALANCE SHEETS (amounts in thousands, except for share data) (unaudited) | ||||||
2021 | 2021 | |||||
ASSETS | ||||||
Current assets: | ||||||
Cash | $ | 19,352 | $ | 101,405 | ||
Receivables, net | 84,994 | 89,000 | ||||
Derivative assets | 24,728 | 44,536 | ||||
Secured loans receivable | 126,303 | 112,968 | ||||
Precious metals held under financing arrangements | 88,620 | 154,742 | ||||
Inventories: | ||||||
Inventories | 402,565 | 256,991 | ||||
Restricted inventories | 155,779 | 201,028 | ||||
558,344 | 458,019 | |||||
Prepaid expenses and other assets | 7,353 | 3,557 | ||||
Total current assets | 909,694 | 964,227 | ||||
Operating lease right of use assets | 7,063 | 5,702 | ||||
Property, plant, and equipment, net | 9,439 | 8,609 | ||||
100,943 | 100,943 | |||||
Intangibles, net | 77,889 | 93,633 | ||||
Long-term investments | 30,904 | 18,467 | ||||
Total assets | $ | 1,135,932 | $ | 1,191,581 | ||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||
Current liabilities: | ||||||
Lines of credit | $ | 160,000 | $ | 185,000 | ||
Liabilities on borrowed metals | 67,434 | 91,866 | ||||
Product financing arrangements | 155,779 | 201,028 | ||||
Accounts payable and other payables | 7,447 | 5,935 | ||||
Deferred revenue and other advances | 158,365 | 194,416 | ||||
Derivative liabilities | 47,751 | 7,539 | ||||
Accrued liabilities | 16,419 | 18,785 | ||||
Income tax payable | 1,343 | 5,016 | ||||
Total current liabilities | 614,538 | 709,585 | ||||
Notes payable | 93,650 | 93,249 | ||||
Deferred tax liabilities | 16,331 | 19,514 | ||||
Other liabilities | 6,625 | 5,291 | ||||
Total liabilities | 731,144 | 827,639 | ||||
Commitments and contingencies | ||||||
Stockholders’ equity: | ||||||
Preferred stock, and outstanding: none as of | — | — | ||||
Common stock, par value and 11,229,657 shares issued and outstanding as of and | 115 | 113 | ||||
Additional paid-in capital | 155,840 | 150,420 | ||||
Retained earnings | 247,269 | 212,090 | ||||
403,224 | 362,623 | |||||
Noncontrolling interests | 1,564 | 1,319 | ||||
Total stockholders’ equity | 404,788 | 363,942 | ||||
Total liabilities, noncontrolling interests and stockholders’ equity | $ | 1,135,932 | $ | 1,191,581 |
CONDENSED CONSOLIDATED STATEMENTS OF INCOME (in thousands, except for share and per share data) (unaudited) | ||||||||||||||||
Three Months Ended | Six Months Ended | |||||||||||||||
2021 | 2020 | 2021 | 2020 | |||||||||||||
Revenues | $ | 1,946,364 | $ | 1,518,744 | $ | 3,960,335 | $ | 3,384,860 | ||||||||
Cost of sales | 1,880,441 | 1,499,993 | 3,838,403 | 3,329,964 | ||||||||||||
Gross profit | 65,923 | 18,751 | 121,932 | 54,896 | ||||||||||||
Selling, general, and administrative expenses | (18,713 | ) | (8,528 | ) | (35,390 | ) | (18,033 | ) | ||||||||
Depreciation and amortization expense | (8,258 | ) | (505 | ) | (16,529 | ) | (1,006 | ) | ||||||||
Interest income | 5,251 | 4,533 | 10,782 | 8,516 | ||||||||||||
Interest expense | (5,395 | ) | (5,037 | ) | (10,868 | ) | (9,330 | ) | ||||||||
Earnings from equity method investments | 1,220 | 2,362 | 2,709 | 6,488 | ||||||||||||
Other income, net | 433 | 205 | 842 | 564 | ||||||||||||
Unrealized gains (losses) on foreign exchange | 231 | 19 | 7 | (78 | ) | |||||||||||
Net income before provision for income taxes | 40,692 | 11,800 | 73,485 | 42,017 | ||||||||||||
Income tax expense | (8,753 | ) | (2,586 | ) | (15,422 | ) | (9,097 | ) | ||||||||
Net income | 31,939 | 9,214 | 58,063 | 32,920 | ||||||||||||
Net income attributable to noncontrolling interests | 145 | 289 | 245 | 912 | ||||||||||||
Net income attributable to the Company | $ | 31,794 | $ | 8,925 | $ | 57,818 | $ | 32,008 | ||||||||
Basic and diluted net income per share attributable to | ||||||||||||||||
Per share data: | ||||||||||||||||
Basic | $ | 2.79 | $ | 1.26 | $ | 5.11 | $ | 4.53 | ||||||||
Diluted | $ | 2.61 | $ | 1.16 | $ | 4.78 | $ | 4.21 | ||||||||
Weighted average shares outstanding: | ||||||||||||||||
Basic | 11,378,400 | 7,063,000 | 11,320,500 | 7,064,800 | ||||||||||||
Diluted | 12,192,100 | 7,713,300 | 12,100,700 | 7,610,400 |
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (amounts in thousands) (unaudited) | ||||||||
Six Months Ended | 2021 | 2020 | ||||||
Cash flows from operating activities: | ||||||||
Net income | $ | 58,063 | $ | 32,920 | ||||
Adjustments to reconcile net income to net cash (used in) provided by operating activities: | ||||||||
Depreciation and amortization | 16,529 | 1,006 | ||||||
Amortization of loan cost | 1,559 | 968 | ||||||
Deferred income taxes | (3,183 | ) | — | |||||
Interest added to principal of secured loans | (9 | ) | (4 | ) | ||||
Share-based compensation | 1,055 | 388 | ||||||
Earnings from equity method investments | (2,709 | ) | (6,488 | ) | ||||
Changes in assets and liabilities: | ||||||||
Receivables | 4,006 | (52,722 | ) | |||||
Secured loans receivable | 174 | (309 | ) | |||||
Secured loans made to affiliates | 3,042 | 8,662 | ||||||
Derivative assets | 19,808 | (11,524 | ) | |||||
Precious metals held under financing arrangements | 66,122 | 18,322 | ||||||
Inventories | (100,325 | ) | (196,401 | ) | ||||
Prepaid expenses and other assets | (788 | ) | (532 | ) | ||||
Accounts payable and other payables | 1,512 | (1,515 | ) | |||||
Deferred revenue and other advances | (36,051 | ) | 2,957 | |||||
Derivative liabilities | 40,212 | 25,395 | ||||||
Liabilities on borrowed metals | (24,432 | ) | (26,410 | ) | ||||
Accrued liabilities | (2,381 | ) | (1,068 | ) | ||||
Income tax payable | (3,673 | ) | (1,420 | ) | ||||
Net cash provided by (used in) operating activities | 38,531 | (207,775 | ) | |||||
Cash flows from investing activities: | ||||||||
Capital expenditures for property, plant, and equipment | (1,627 | ) | (937 | ) | ||||
Purchase of long-term investments | (6,750 | ) | (6,763 | ) | ||||
Secured loans receivable, net | (16,542 | ) | (40,456 | ) | ||||
Other secured loans, net | — | 1,000 | ||||||
Net cash used in investing activities | (24,919 | ) | (47,156 | ) | ||||
Cash flows from financing activities: | ||||||||
Product financing arrangements, net | (45,249 | ) | 197,853 | |||||
Dividends paid | (22,639 | ) | (21,191 | ) | ||||
Borrowings and repayments under lines of credit, net | (25,000 | ) | 40,000 | |||||
Debt funding issuance costs | (4,166 | ) | (551 | ) | ||||
Net settlement on issuance of common shares on exercise of options | 1,389 | 1,417 | ||||||
Net cash (used in) provided by financing activities | (95,665 | ) | 217,528 | |||||
Net decrease in cash, cash equivalents, and restricted cash | (82,053 | ) | (37,403 | ) | ||||
Cash, cash equivalents, and restricted cash, beginning of period | 101,405 | 52,325 | ||||||
Cash, cash equivalents, and restricted cash, end of period | $ | 19,352 | $ | 14,922 | ||||
Overview of Results of Operations for the Three Months Ended
Condensed Consolidated Results of Operations
The operating results for the three months ended
in thousands, except per share data | |||||||||||||||||||||
Three Months Ended | 2021 | 2020 | $ | % | |||||||||||||||||
$ | % of revenue | $ | % of revenue | Increase/ (decrease) | Increase/ (decrease) | ||||||||||||||||
Revenues | $ | 1,946,364 | 100.000 | % | $ | 1,518,744 | 100.000 | % | $ | 427,620 | 28.2 | % | |||||||||
Gross profit | 65,923 | 3.387 | % | 18,751 | 1.235 | % | $ | 47,172 | 251.6 | % | |||||||||||
Selling, general, and administrative expenses | (18,713 | ) | (0.961 | %) | (8,528 | ) | (0.562 | %) | $ | 10,185 | 119.4 | % | |||||||||
Depreciation and amortization expense | (8,258 | ) | (0.424 | %) | (505 | ) | (0.033 | %) | $ | 7,753 | 1,535.2 | % | |||||||||
Interest income | 5,251 | 0.270 | % | 4,533 | 0.298 | % | $ | 718 | 15.8 | % | |||||||||||
Interest expense | (5,395 | ) | (0.277 | %) | (5,037 | ) | (0.332 | %) | $ | 358 | 7.1 | % | |||||||||
Earnings from equity method investments | 1,220 | 0.063 | % | 2,362 | 0.156 | % | $ | (1,142 | ) | (48.3 | %) | ||||||||||
Other income, net | 433 | 0.022 | % | 205 | 0.013 | % | $ | 228 | 111.2 | % | |||||||||||
Unrealized gains on foreign exchange | 231 | 0.012 | % | 19 | 0.001 | % | $ | 212 | 1,115.8 | % | |||||||||||
Net income before provision for income taxes | 40,692 | 2.091 | % | 11,800 | 0.777 | % | $ | 28,892 | 244.8 | % | |||||||||||
Income tax expense | (8,753 | ) | (0.450 | %) | (2,586 | ) | (0.170 | %) | $ | 6,167 | 238.5 | % | |||||||||
Net income | 31,939 | 1.641 | % | 9,214 | 0.607 | % | $ | 22,725 | 246.6 | % | |||||||||||
Net income attributable to noncontrolling interests | 145 | 0.007 | % | 289 | 0.019 | % | $ | (144 | ) | (49.8 | %) | ||||||||||
Net income attributable to the Company | $ | 31,794 | 1.634 | % | $ | 8,925 | 0.588 | % | $ | 22,869 | 256.2 | % | |||||||||
Basic and diluted net income per share attributable to | |||||||||||||||||||||
Per share data: | |||||||||||||||||||||
Basic | $ | 2.79 | $ | 1.26 | $ | 1.53 | 121.4 | % | |||||||||||||
Diluted | $ | 2.61 | $ | 1.16 | $ | 1.45 | 125.0 | % | |||||||||||||
Overview of Results of Operations for the Three Months Ended
Condensed Consolidated Results of Operations
The operating results for the three months ended
in thousands, except per share data | |||||||||||||||||||||
Three Months Ended | |||||||||||||||||||||
$ | % | ||||||||||||||||||||
$ | % of revenue | $ | % of revenue | Increase/ (decrease) | Increase/ (decrease) | ||||||||||||||||
Revenues | $ | 1,946,364 | 100.000 | % | $ | 2,013,971 | 100.000 | % | $ | (67,607 | ) | (3.4 | %) | ||||||||
Gross profit | 65,923 | 3.387 | % | 56,009 | 2.781 | % | $ | 9,914 | 17.7 | % | |||||||||||
Selling, general, and administrative expenses | (18,713 | ) | (0.961 | )% | (16,677 | ) | (0.828 | )% | $ | 2,036 | 12.2 | % | |||||||||
Depreciation and amortization expense | (8,258 | ) | (0.424 | )% | (8,271 | ) | (0.411 | )% | $ | (13 | ) | (0.2 | %) | ||||||||
Interest income | 5,251 | 0.270 | % | 5,531 | 0.275 | % | $ | (280 | ) | (5.1 | %) | ||||||||||
Interest expense | (5,395 | ) | (0.277 | )% | (5,473 | ) | (0.272 | )% | $ | (78 | ) | (1.4 | %) | ||||||||
Earnings from equity method investments | 1,220 | 0.063 | % | 1,489 | 0.074 | % | $ | (269 | ) | (18.1 | %) | ||||||||||
Other income, net | 433 | 0.022 | % | 409 | 0.020 | % | $ | 24 | 5.9 | % | |||||||||||
Unrealized gains (losses) on foreign exchange | 231 | 0.012 | % | (224 | ) | (0.011 | )% | $ | 455 | 203.1 | % | ||||||||||
Net income before provision for income taxes | 40,692 | 2.091 | % | 32,793 | 1.628 | % | $ | 7,899 | 24.1 | % | |||||||||||
Income tax expense | (8,753 | ) | (0.450 | )% | (6,669 | ) | (0.331 | )% | $ | 2,084 | 31.2 | % | |||||||||
Net income | 31,939 | 1.641 | % | 26,124 | 1.297 | % | $ | 5,815 | 22.3 | % | |||||||||||
Net income attributable to noncontrolling interests | 145 | 0.007 | % | 100 | 0.005 | % | $ | 45 | 45.0 | % | |||||||||||
Net income attributable to the Company | $ | 31,794 | 1.634 | % | $ | 26,024 | 1.292 | % | $ | 5,770 | 22.2 | % | |||||||||
Basic and diluted net income per share attributable to | |||||||||||||||||||||
Per share data: | |||||||||||||||||||||
Basic | $ | 2.79 | $ | 2.31 | $ | 0.48 | 20.8 | % | |||||||||||||
Diluted | $ | 2.61 | $ | 2.17 | $ | 0.44 | 20.3 | % | |||||||||||||
Overview of Results of Operations for the Six Months Ended
Condensed Consolidated Results of Operations
The operating results for the six months ended
in thousands, except per share data | |||||||||||||||||||||
Six Months Ended | 2021 | 2020 | $ | % | |||||||||||||||||
$ | % of revenue | $ | % of revenue | Increase/ (decrease) | Increase/ (decrease) | ||||||||||||||||
Revenues | $ | 3,960,335 | 100.000 | % | $ | 3,384,860 | 100.000 | % | $ | 575,475 | 17.0 | % | |||||||||
Gross profit | 121,932 | 3.079 | % | 54,896 | 1.622 | % | $ | 67,036 | 122.1 | % | |||||||||||
Selling, general, and administrative expenses | (35,390 | ) | (0.894 | %) | (18,033 | ) | (0.533 | %) | $ | 17,357 | 96.3 | % | |||||||||
Depreciation and amortization expense | (16,529 | ) | (0.417 | %) | (1,006 | ) | (0.030 | %) | $ | 15,523 | 1,543.0 | % | |||||||||
Interest income | 10,782 | 0.272 | % | 8,516 | 0.252 | % | $ | 2,266 | 26.6 | % | |||||||||||
Interest expense | (10,868 | ) | (0.274 | %) | (9,330 | ) | (0.276 | %) | $ | 1,538 | 16.5 | % | |||||||||
Earnings from equity method investments | 2,709 | 0.068 | % | 6,488 | 0.192 | % | $ | (3,779 | ) | (58.2 | %) | ||||||||||
Other income, net | 842 | 0.021 | % | 564 | 0.017 | % | $ | 278 | 49.3 | % | |||||||||||
Unrealized gains (losses) on foreign exchange | 7 | 0.000 | % | (78 | ) | (0.002 | %) | $ | 85 | 109.0 | % | ||||||||||
Net income before provision for income taxes | 73,485 | 1.856 | % | 42,017 | 1.241 | % | $ | 31,468 | 74.9 | % | |||||||||||
Income tax expense | (15,422 | ) | (0.389 | %) | (9,097 | ) | (0.269 | %) | $ | 6,325 | 69.5 | % | |||||||||
Net income | 58,063 | 1.466 | % | 32,920 | 0.973 | % | $ | 25,143 | 76.4 | % | |||||||||||
Net income attributable to noncontrolling interests | 245 | 0.006 | % | 912 | 0.027 | % | $ | (667 | ) | (73.1 | %) | ||||||||||
Net income attributable to the Company | $ | 57,818 | 1.460 | % | $ | 32,008 | 0.946 | % | $ | 25,810 | 80.6 | % | |||||||||
Basic and diluted net income per share attributable to | |||||||||||||||||||||
Per share data: | |||||||||||||||||||||
Basic | $ | 5.11 | $ | 4.53 | $ | 0.58 | 12.8 | % | |||||||||||||
Diluted | $ | 4.78 | $ | 4.21 | $ | 0.57 | 13.5 | % | |||||||||||||
Reconciliation of GAAP to Non-GAAP Financial Measures for the Three Months Ended
A reconciliation of net income before provision for income taxes and diluted net income per share to adjusted net income before provision for income taxes and adjusted net income before provision for income taxes per diluted share for the three months ended
in thousands, except for share and per share data | |||||||||||||||
Three Months Ended | 2021 | 2020 | $ | % | |||||||||||
$ | $ | Increase/ (decrease) | Increase/ (decrease) | ||||||||||||
Net income before provision for income taxes | $ | 40,692 | $ | 11,800 | $ | 28,892 | 244.8 | % | |||||||
Adjustments: | |||||||||||||||
Acquisition costs | 9 | 381 | $ | (372 | ) | (97.6 | %) | ||||||||
Amortization of acquired intangibles | 7,872 | 163 | $ | 7,709 | 4,729.4 | % | |||||||||
Depreciation expense | 386 | 342 | $ | 44 | 12.9 | % | |||||||||
Adjusted net income before provision for income taxes (non-GAAP) | $ | 48,959 | $ | 12,686 | $ | 36,273 | 285.9 | % | |||||||
Net income per diluted share reconciliation: | |||||||||||||||
Diluted earnings per share | $ | 2.61 | $ | 1.16 | $ | 1.45 | 125.0 | % | |||||||
Non-GAAP adjustments: | |||||||||||||||
Acquisition costs | — | 0.05 | $ | (0.05 | ) | (100.0 | %) | ||||||||
Amortization of acquired intangibles | 0.65 | 0.02 | $ | 0.63 | 3,150.0 | % | |||||||||
Depreciation expense | 0.03 | 0.04 | $ | (0.01 | ) | (25.0 | %) | ||||||||
Income tax expense | 0.72 | 0.33 | $ | 0.39 | 118.2 | % | |||||||||
Net income attributable to noncontrolling interests | 0.01 | 0.04 | $ | (0.03 | ) | (75.0 | %) | ||||||||
Adjusted net income before provision for income taxes per diluted share (non-GAAP) | $ | 4.02 | $ | 1.64 | $ | 2.38 | 145.1 | % | |||||||
Weighted average shares outstanding: | |||||||||||||||
Diluted | 12,192,100 | 7,713,300 | 4,478,800 | 58.1 | % | ||||||||||
Reconciliation of GAAP to Non-GAAP Financial Measures for the Six Months Ended
A reconciliation of net income before provision for income taxes and diluted net income per share to adjusted net income before provision for income taxes and adjusted net income before provision for income taxes per diluted share for the six months ended
in thousands, except for share and per share data | |||||||||||||||
Six Months Ended | 2021 | 2020 | $ | % | |||||||||||
$ | $ | Increase/ (decrease) | Increase/ (decrease) | ||||||||||||
Net income before provision for income taxes | $ | 73,485 | $ | 42,017 | $ | 31,468 | 74.9 | % | |||||||
Adjustments: | |||||||||||||||
Acquisition costs | 53 | 381 | $ | (328 | ) | (86.1 | %) | ||||||||
Amortization of acquired intangibles | 15,744 | 317 | $ | 15,427 | 4,866.6 | % | |||||||||
Depreciation expense | 785 | 689 | $ | 96 | 13.9 | % | |||||||||
Adjusted net income before provision for income taxes (non-GAAP) | $ | 90,067 | $ | 43,404 | $ | 46,663 | 107.5 | % | |||||||
Net income per diluted share reconciliation: | |||||||||||||||
Diluted earnings per share | $ | 4.78 | $ | 4.21 | $ | 0.57 | 13.5 | % | |||||||
Non-GAAP adjustments: | |||||||||||||||
Acquisition costs | — | 0.05 | $ | (0.05 | ) | (100.0 | %) | ||||||||
Amortization of acquired intangibles | 1.30 | 0.04 | $ | 1.26 | 3,150.0 | % | |||||||||
Depreciation expense | 0.06 | 0.09 | $ | (0.03 | ) | (33.3 | %) | ||||||||
Income tax expense | 1.28 | 1.19 | $ | 0.09 | 7.6 | % | |||||||||
Net income attributable to noncontrolling interests | 0.02 | 0.12 | $ | (0.10 | ) | (83.3 | %) | ||||||||
Adjusted net income before provision for income taxes per diluted share (non-GAAP) | $ | 7.44 | $ | 5.70 | $ | 1.74 | 30.5 | % | |||||||
Weighted average shares outstanding: | |||||||||||||||
Diluted | 12,100,700 | 7,610,400 | 4,490,300 | 59.0 | % |
Source:
2022 GlobeNewswire, Inc., source