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What changed in Gold.com, Inc.'s 10-K — 2024 vs 2025

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Paragraph-level year-over-year comparison of Gold.com, Inc.'s 2024 and 2025 10-K annual filings, covering the Business, Risk Factors, Legal Proceedings, Cybersecurity, MD&A and Market Risk sections. Every new, removed and edited paragraph is highlighted side-by-side so you can see exactly what management changed in the 2025 report.

+526 added−474 removedSource: 10-K (2025-09-11) vs 10-K (2024-09-13)

Top changes in Gold.com, Inc.'s 2025 10-K

526 paragraphs added · 474 removed · 397 edited across 8 sections

Item 1. Business

Business — how the company describes what it does

61 edited+21 added−26 removed56 unchanged
Biggest changeSpecifically, A-Mark: • operates as a wholesaler of gold, silver, platinum, and palladium bullion and related products, including bars, wafers, grain, and coins; • distributes gold and silver coins and bars from sovereign and private mints; • sells to and purchases from the retail community; • provides financing and other services relating to the purchase and sale of bullion and numismatics; • offers secure storage for precious metal products; • provides our customers a platform of turn-key logistics services; and • provides a variety of custom fabricated gold and silver bullion and other specialty products through sovereign and private mint suppliers and its mint operations.
Biggest changeThe Company conducts its operations through three complementary segments: • Wholesale Sales & Ancillary Services operates as a wholesaler of gold, silver, platinum, and palladium bullion and related products, including bars, wafers, grain, and coins. Wholesale Sales & Ancillary Services also provides customized financing programs, secure storage, and turn-key logistic services.
JMB’s products consist primarily of coins, rounds, and bars. Coins are minted by a sovereign government, are legal currency and have a face value, although the face value is typically less than the value of their precious metal content.
Products . JMB’s products consist primarily of coins, rounds, and bars. Coins are minted by a sovereign government, are legal currency and have a face value, although the face value is typically less than the value of their precious metal content.
JMB utilizes an internally developed search engine optimization strategy to drive traffic to its websites, particularly to JMBullion.com. JMB also pays for placement on the major search engines, including Google, Bing, Apple, and Yahoo!, employing internally developed strategies to reach a targeted audience and to optimize the cost effectiveness of paid for searches. 8 JMB's Direct-to-Consumer Purchase Program .
JMB utilizes an internally developed search engine optimization strategy to drive traffic to its websites, particularly to JMBullion.com. JMB also pays for placement on the major search engines, including Google, Bing, Apple, and Yahoo!, employing internally developed strategies to reach a targeted audience and to optimize the cost effectiveness of paid for searches. JMB's Direct-to-Consumer Purchase Program .
We frequently face different competitors in each area, and it is not uncommon for a customer and/or a supplier in one market segment to be a competitor in another. Our Direct-to-Consumer segment competes with numerous online and other retailers of direct-to-consumer precious metal products. The principal competitors of JMB include APMEX, SD Bullion, and Bullion Exchanges.
We frequently face different competitors in each area, and it is not uncommon for a customer and/or a supplier in one market segment to be a competitor in another. 10 Our Direct-to-Consumer segment competes with numerous online and other retailers of direct-to-consumer precious metal products. The principal competitors of JMB include APMEX, SD Bullion, and Bullion Exchanges.
We believe factors, including access to capital, secure storage facilities, bullion and numismatic expertise, and other related services and offerings, provide us a competitive advantage in that marketplace. 11 Seasonality and Other Factors Influencing Demand Our business is generally not seasonal, although demand in the retail market tends to be lower in the summer months.
We believe factors, including access to capital, secure storage facilities, bullion and numismatic expertise, and other related services and offerings, provide us a competitive advantage in that marketplace. Seasonality and Other Factors Influencing Demand Our business is generally not seasonal, although demand in the retail market tends to be lower in the summer months.
The Company's main distribution facility in Las Vegas, Nevada, together with its ancillary facility in Dallas, Texas, handle the back end logistics for the Company's Direct-to-Consumer Purchase Program and the secured storage for CyberMetals' precious metals. Goldline Goldline, acquired by the Company in August 2017, is a direct retailer of precious metals to the investor community.
The Company's main distribution facility in Las Vegas, Nevada, together with its ancillary facility in Dallas, Texas, handle the back end logistics for the Company's Direct-to-Consumer Purchase Program and the secured storage for CyberMetals' precious metals. 7 Goldline Goldline, acquired by the Company in August 2017, is a direct retailer of precious metals to the investor community.
The growth in our direct-to-consumer customer base allows us to increase the number of proprietary products we design, source, and ultimately sell. • Expanding our global footprint—We currently serve customers on four continents.
The growth in our direct-to-consumer customer base allows us to increase the number of proprietary products we design, source, and ultimately sell. 4 • Expanding our global footprint—We currently serve customers on four continents.
The Secured Lending segment maintains administrative support at its headquarters in El Segundo, California for the processing of its originated loans, including billing, managing margin calls, and tracking of precious metal collateral.
The Secured Lending segment maintains administrative support at its headquarters in El Segundo and its offices in California for the processing of its originated loans, including billing, managing margin calls, and tracking of precious metal collateral.
This means we both sell product to and purchase product from our customers. Material Resources We maintain a substantial inventory of bullion and coins in order to provide our customers with selection and prompt delivery.
This means we both sell product to and purchase product from our customers. 9 Material Resources We maintain a substantial inventory of bullion and coins in order to provide our customers with selection and prompt delivery.
Because the loans are of relatively short duration, CFC does not have significant exposure to interest rate fluctuations, even in a rising interest rate environment. Loans carried by CFC range in size up to approximately $14.0 million. All loans are fully secured by bullion, numismatic coins, graded sports cards, or other eligible alternative investment assets.
Because the loans are of relatively short duration, CFC does not have significant exposure to interest rate fluctuations, even in a rising interest rate environment. Loans carried by CFC range in size up to approximately $8.0 million. All loans are fully secured by bullion, numismatic coins, graded sports cards, or other eligible alternative investment assets.
The dealer network consists of approximately 1,200 independent precious metal and coin companies, with whom we transact on a non-exclusive basis. The arrangements with the dealers vary, but generally the dealers acquire product from us for resale to their customers. In some instances, we deliver bullion to the dealers on a consignment basis.
The dealer network consists of approximately 1,300 independent precious metal and coin companies, with whom we transact on a non-exclusive basis. The arrangements with the dealers vary, but generally the dealers acquire product from us for resale to their customers. In some instances, we deliver bullion to the dealers on a consignment basis.
It diversifies the products and services offered to the Company’s retail customers by providing them access to the Company’s wider assortment of precious metal coins and bars, as well as TDS’s storage and asset protection services. JMB JMB is a leading internet retailer of precious metal products that it sells through its proprietary websites. Products .
It diversifies the products and services offered to the Company’s retail customers by providing them access to the Company’s wider assortment of precious metal coins and bars, as well as AMGL's storage and logistic services and TDS’s storage and asset protection services. JMB JMB is a leading internet retailer of precious metal products that it sells through its proprietary websites.
For the companies we have owned and operated for less than five years, the percentage of employees who have continued their employment since the respective acquisition dates was 73%. A-Mark is committed to supporting our employees’ financial, mental, and physical well-being.
For the companies we have owned and operated for less than five years, the percentage of employees who have continued their employment since the respective acquisition dates was 80%. A-Mark is committed to supporting our employees’ financial, mental, and physical well-being.
JMB offers over 6,000 different products, measured by stock keeping units or SKUs, on its websites during a fiscal year. This number can vary over time, particularly when demand is high.
JMB offers over 7,000 different products, measured by stock keeping units or SKUs, on its websites during a fiscal year. This number can vary over time, particularly when demand is high.
Customer Concentrations For the year ended June 30, 2024, we had one customer that comprised more than 10% of our revenues. See Note 18 to the Company’s consolidated financial statements.
Customer Concentrations For the year ended June 30, 2025, we had one customer that comprised more than 10% of our revenues. See Note 18 to the Company’s consolidated financial statements.
We intend to develop new digital products that will allow customers to more easily buy, sell, and arrange for storage of physical metal products through a mobile interface.
We intend to develop new digital products, including those that will allow customers to more easily buy, sell, and arrange for storage of physical metal products through a mobile interface.
This program provides Goldline's and SGB's customers with a means to monetize their holdings efficiently and at competitive prices. Intellectual Property . AM IP Assets, LLC ("AMIP"), a wholly-owned subsidiary of Goldline, manages certain intellectual property of Goldline, including customer lists and a sales lead data base.
This program provides Goldline's and SGB's customers with a means to monetize their holdings efficiently and at competitive prices. Intellectual Property . AM IP Assets, LLC ("AMIP"), a wholly-owned subsidiary of Goldline, manages certain intellectual property of Goldline, including customer lists and a sales lead database.
ITEM 1. D ESCRIPTION OF BUSINESS Overview A-Mark, also referred to (together with its subsidiaries) as "we", "us" and the "Company", is a fully integrated precious metals platform that offers an array of gold, silver, platinum, palladium, and copper bullion, numismatic coins, and related products to wholesale and retail customers via a portfolio of channels.
ITEM 1. DESCRIPTION OF BUSINESS Overview A-Mark, also referred to (together with its subsidiaries) as "we", "us", and the "Company", is a fully integrated precious metals company that offers an array of gold, silver, platinum, palladium, and copper bullion, numismatic coins, and related products to wholesale and retail customers via a portfolio of channels.
Sales and Marketing We market our products and services to our wholesale customers primarily through our offices in El Segundo, California, Hong Kong, and Vienna, Austria, our websites, and our dealer network, which we believe is the largest of its kind.
Sales and Marketing We market our products and services to our wholesale customers primarily through our offices in El Segundo and Costa Mesa, California, Hong Kong, Singapore, and Vienna, Austria, our websites, and our dealer network, which we believe is the largest of its kind.
In some cases, we have developed exclusive products with sovereign and private mints for distribution through our dealer network. In our Industrial and Coin and Bar units, orders are taken telephonically and on an electronic trading platform that can be accessed by qualified wholesale customers at www.amark.com.
In some cases, we have developed exclusive products with sovereign and private mints for distribution through our dealer network. Orders are taken telephonically and on an electronic trading platform that can be accessed by qualified wholesale customers at www.amark.com.
We believe that our existing administrative and operational support infrastructure has the capacity to scale with our business activities. We store our inventories of bullion and numismatics at third-party depositories in major financial centers around the world and at our secured facility in Las Vegas, Nevada.
We believe that our existing administrative and operational support infrastructure has the capacity to scale with our business activities. We store our inventories of bullion and numismatics at third-party depositories in major financial centers around the world and at our secured facilities in Las Vegas, Nevada and Dallas, Texas.
We also intend to continue to improve our customer interfaces to allow more seamless order processing, better cross-selling of products and services across our business units, to increase our new customer targeting and acquisition strategies, and to further improve our fulfillment and inventorying capabilities. • Pursuing strategic investments and acquisitions—Since our initial investment in JMB in 2014, we have acquired Goldline, made minority investments in several additional consumer facing precious metals retailers, acquired the entire equity interest in JMB, acquired new brands which we have fully integrated into JMB, acquired the entire equity interest in Silver Towne Mint, acquired a noncontrolling interest in a private mint, and recently acquired LPM in February 2024 and a controlling interest in SGB in June 2024.
We also intend to continue to improve our customer interfaces to allow more seamless order processing, better cross-selling of products and services across our business units, to increase our new customer targeting and acquisition strategies, and to further improve our fulfillment and inventorying capabilities. • Pursuing strategic investments and acquisitions—Since our initial investment in JMB in 2014, we have acquired Goldline, made minority investments in several additional consumer facing precious metals retailers, acquired the entire equity interest in JMB, acquired new brands which we have fully integrated into JMB, acquired the entire equity interest in Silver Towne Mint, acquired a noncontrolling interest in a private mint, acquired LPM in February 2024, acquired a controlling interest in SGB in June 2024, and recently acquired SGI and the outstanding equity interests we did not previously own of Pinehurst and AMS.
These include: • integrated operations that span trading, distribution, logistics, minting, storage, hedging, financing, and consignment products and services; • an extensive and varied customer base that includes banks and other financial institutions, coin dealers, collectors, private investors, retail customers, investment advisors, industrial manufacturers, refiners, sovereign and private mints, and mines; • the ability to cost effectively acquire and retain new retail customers, with approximately 466,300 active customers on the JMB platform and approximately 15,600 active Goldline customers during the year ended June 30, 2024; • the ability to offer secured financing to customers; • our expertise in e-commerce and marketing; • secure storage and turn-key logistic services for precious metals products; • long-standing relationships with the United States Mint and other sovereign mints, including a working relationship with the United States Mint of over 35 years; 5 • access to primary market makers, suppliers and refiners that, along with government mints, provide a dependable supply of precious metals and precious metal products; • the ability to obtain more favorable pricing and financing terms due to our size; • minting operations and partnerships which produce silver bullion and custom coins, allowing for a ready response to changing market demands; • the ability to design and fabricate proprietary silver products for customers; • the largest precious metals dealer network; • depository relationships in major financial centers around the world; • our global trading systems, coupled with experienced traders who also effectively manage A-Mark's exposure to commodity price risk; and • a strong management team, with over 100 years of collective industry experience.
These include: • integrated operations that span trading, distribution, logistics, minting, storage, hedging, financing, and consignment products and services; • an extensive and varied customer base that includes banks and other financial institutions, coin dealers, collectors, private investors, retail customers, investment advisors, industrial manufacturers, refiners, sovereign and private mints, and mines; • the ability to cost effectively acquire and retain new retail customers, • the ability to offer secured financing to customers; • our expertise in e-commerce and marketing; • secure storage and turn-key logistic services for precious metals products; • long-standing relationships with the United States Mint and other sovereign mints, including a working relationship with the United States Mint of over 35 years; • access to primary market makers, suppliers and refiners that, along with government mints, provide a dependable supply of precious metals and precious metal products; • the ability to obtain more favorable pricing and financing terms due to our size; • minting operations and partnerships which produce silver bullion and custom coins, allowing for a ready response to changing market demands; • the ability to design and fabricate proprietary silver products for customers; • the largest precious metals dealer network; • depository relationships in major financial centers around the world; • our global trading systems, coupled with experienced traders who also effectively manage A-Mark's exposure to commodity price risk; and • a strong management team, with over 100 years of collective industry experience.
We market our secured loan products and services to customers primarily through our proprietary websites, print advertising, and strategic partnerships. Operational Support The Wholesale Sales & Ancillary Services segment maintains administrative and operational support related to its trading, hedging, and finance product operations at its global headquarters in El Segundo, California and regional headquarters in Hong Kong.
We market our secured loan products and services to customers primarily through our proprietary websites, print advertising, and strategic partnerships. Operational Support The Wholesale Sales & Ancillary Services segment maintains administrative and operational support related to its trading, hedging, and finance product operations primarily at its offices in El Segundo and Costa Mesa, California and in Hong Kong.
The Direct-to-Consumer segment maintains administrative and operational support at its offices in Dallas, Texas, Los Angeles, California, and Calgary, Canada for originating and processing its retail orders. The Company's Trading, Finance, and Logistics business units provide supporting services such as hedging and order fulfillment.
The Direct-to-Consumer segment maintains administrative and operational support at its offices in Dallas, Texas, Los Angeles, California, Eagan, Minnesota, Pinehurst, North Carolina, Calgary, Canada, and Singapore for originating and processing its retail orders. The Company's Trading, Finance, and Logistics business units provide supporting services such as hedging and order fulfillment.
As of June 30, 2024, approximately 34% of our employees identified as female, and 46% of our employees were made up of underrepresented minorities. 12 Corporate Information Our executive offices are located at 2121 Rosecrans Avenue, Suite 6300, El Segundo CA 90245. Our telephone number is (310) 587-1477, and our website is www.amark.com.
As of June 30, 2025, approximately 35% of our employees identified as female, and 39% of our employees were made up of underrepresented minorities. Corporate Information Our executive offices are located at 2121 Rosecrans Avenue, Suite 6300, El Segundo CA 90245. Our telephone number is (310) 587-1477, and our website is www.amark.com.
See Note 19 to the Company’s consolidated financial statements for further information regarding our reportable segments. 6 Wholesale Sales & Ancillary Services A-Mark operates through several business units that comprise the Wholesale Sales & Ancillary Services segment, including Industrial, Coin and Bar, Trading and Finance, Storage, Logistics, and Mint. Industrial.
See Note 19 to the Company’s consolidated financial statements for further information regarding our reportable segments. Wholesale Sales & Ancillary Services A-Mark operates through several business units that comprise the Wholesale Sales & Ancillary Services segment, including Wholesale Sales, Storage and Logistics, and Mint. Wholesale Sales.
A-Mark also offers precious metals price quotes in a number of foreign currencies. Our Finance unit engages in precious metals borrowing and lending transactions and other customized financial transactions with or on behalf of our customers and other counterparties.
A-Mark also offers precious metals price quotes in a number of foreign currencies. We engage in precious metals borrowing and lending transactions and other customized financial transactions with or on behalf of our customers and other counterparties.
As part of our growth strategy, we are focused on: • Continuing to grow our consumer facing brands—We own numerous unique direct-to-consumer brands and have partial ownership interests in four additional consumer facing brands.
Growth Strategy As we pursue strategic growth, we are focused on: • Continuing to grow our consumer facing brands—We own numerous unique direct-to-consumer brands and have partial ownership interests in additional consumer facing brands.
Our overall employee retention rate for the year ended June 30, 2024 was 83%; excluding the Mint and Logistics operations, which hire largely in response to fluctuating business demands, our retention rate was 93%. For the companies we have owned for more than five years, the percentage of employees who have more than five years of service was 36%.
Our overall employee retention rate for the year ended June 30, 2025 was 84%; excluding the Mint and Logistics operations, which hire largely in response to fluctuating business demands, our retention rate was 87%. For the companies we have owned for more than five years, the percentage of employees who have more than five years of service was 37%.
The Company’s line of credit provides it with the liquidity to buy and sell billions of dollars of precious metals annually, and is used to fund a substantial portion of the operations of the Company. As of June 30, 2024, A-Mark's uncommitted line of credit provided access up to $422.5 million.
The Company’s line of credit provides it with the liquidity to buy and sell billions of dollars of precious metals annually, and is used to fund a substantial portion of the operations of the Company. As of June 30, 2025, A-Mark's uncommitted line of credit provided access up to $467.0 million with a maturity date of September 2026.
We plan to continue to invest in the Direct-to-Consumer segment, to facilitate both the acquisition of new customers and the retention of our existing customers. • Cross-selling existing A-Mark products and services to JMB customers—As of June 30, 2024, JMB had approximately 2.4 million total customers and 466,300 active customers.
We plan to continue to invest in the Direct-to-Consumer segment, to facilitate both the acquisition of new customers and the retention of our existing customers. • Cross-selling existing products and services to retail customers—As of June 30, 2025, we had approximately 4.2 million total retail customers and 0.6 million active retail customers.
JMB and SGB market their products over the internet through their proprietary websites, using an internally developed search optimization strategy and paid placements with major search engines. Goldline reaches its retail customer base on television, radio, and the internet, as well as through customer service outreach.
Our Direct-to-Consumer segment primarily markets its products over the internet through their proprietary websites, using an internally developed search optimization strategy and paid placements with major search engines. However, Goldline reaches its retail customer base on television, radio, and the internet, as well as through customer service outreach.
A-Mark maintains relationships with major market-makers and multiple futures brokers in order to provide a variety of alternatives for its hedging needs. Our traders employ a combination of future and forward contracts to hedge our market exposure.
We hedge the commodity risk on A-Mark's inventory in order to protect A-Mark from market price fluctuations. A-Mark maintains relationships with major market-makers and multiple futures brokers in order to provide a variety of alternatives for its hedging needs. Our traders employ a combination of future and forward contracts to hedge our market exposure.
Our global customer base, spanning four continents, includes mints, manufacturers and fabricators, refiners, coin and bullion dealers, e-commerce retailers, banks and other financial institutions, commodity brokerage houses, industrial users of precious metals, investors, collectors, and retail customers.
Our global customer base, spanning four continents, includes mints, manufacturers and fabricators, refiners, coin and bullion dealers, e-commerce retailers, banks and other financial institutions, commodity brokerage houses, industrial users of precious metals, investors, collectors, and retail customers. A-Mark believes its businesses largely function independently of the price movement of the underlying commodities.
The secured loans that CFC issues consist of on-demand loans and loans with a term of three months to 364 days, with a typical term of approximately six months. Repayment of the loans can be made at any time without penalty.
In December 2023, the AMCF Notes were repaid and AMCF was dissolved in June 2024. General . The secured loans that CFC issues consist of on-demand loans and loans with a term of three months to 364 days, with a typical term of approximately six months. Repayment of the loans can be made at any time without penalty.
As of June 30, 2024, the Company had 489 employees, with 439 located in North America, 48 located in Asia, and 2 located in Europe; all except 7 of these employees were considered full-time employees.
As of June 30, 2025, the Company had 993 employees, with 941 located in North America, 50 located in Asia, and 2 located in Europe; all except 37 of these employees were considered full-time employees.
A-Mark believes its businesses largely function independently of the price movement of the underlying commodities. However, factors such as global economic activity or uncertainty and inflationary trends, which affect market volatility, have the potential to impact demand, supply, volumes, and margins. History A-Mark was founded in 1965 and has grown into a significant participant in the bullion and coin market.
However, factors such as global economic activity or uncertainty and inflationary trends, which affect market volatility, have the potential to impact demand, supply, volumes, and margins. History A-Mark was founded in 1965 and has grown into a significant participant in the bullion and coin market. Over the years, A-Mark has been steadily expanding its products and services.
The maturity date of the credit facility is September 2025. The Company also generates funds from other finance products that include product financing arrangements with customers, whereby the Company sells its inventory with an option to repurchase, and through precious metal borrowing and leasing arrangements with its suppliers.
In August 2025, we amended the credit facility; see Note 20 f or additional information . The Company also generates funds from other finance products that include product financing arrangements with customers, whereby the Company sells its inventory with an option to repurchase, and through precious metal borrowing and leasing arrangements with its suppliers.
The diversity of our workforce is essential, and we are committed to diversity and inclusion throughout the Company to ensure a wide range of experiences, perspectives, and skills to provide better solutions, drive innovation and creativity, and enhance decision making.
Equal employment opportunity includes, but is not limited to, hiring, training, promotion, demotion, transfer, leaves of absence, and termination. The diversity of our workforce is essential, and we are committed to diversity and inclusion throughout the Company to ensure a wide range of experiences, perspectives, and skills to provide better solutions, drive innovation and creativity, and enhance decision making.
Pricing is generally based on screen quotes for bullion transactions in the spot market, with two-day settlement, although special pricing and extended settlement terms are also available. Almost all customers in these units take physical delivery of the precious metal.
Pricing is generally based on screen quotes for bullion transactions in the spot market, with two-day settlement, although special pricing and extended settlement terms are also available. Almost all customers take physical delivery of the precious metal. Product is shipped upon receipt of payment, except where the purchase is financed under credit arrangements between A-Mark and the customer.
Similar arrangements with other sovereign mints followed, so that by the early 1990s, A-Mark had (and continues to have) relationships with all major sovereign mints offering bullion coins and bars internationally. The Company became a publicly traded company in March 2014.
In 1986, A-Mark became an authorized purchaser of gold and silver bullion coins struck by the United States Mint. Similar arrangements with other sovereign mints followed, so that by the early 1990s, A-Mark had (and continues to have) relationships with all major sovereign mints offering bullion coins and bars internationally.
A-Mark seeks to minimize the effect of price changes of the underlying commodity through the use of financial derivative instruments, such as forward and futures contracts.
A-Mark’s policy is to remain substantially hedged as to its inventory position and its individual sale and purchase commitments. A-Mark seeks to minimize the effect of price changes of the underlying commodity through the use of financial derivative instruments, such as forward and futures contracts.
The Company conducts its operations through three complementary segments: Wholesale Sales & Ancillary Services, Direct-to-Consumer, and Secured Lending. A-Mark believes it has one of the largest customer bases in each of its markets and provides one of the most comprehensive offerings of products and services in the precious metals trading industry.
A-Mark believes it has one of the largest customer bases in each of its markets and provides one of the most comprehensive offerings of products and services in the precious metals trading industry.
Our Coin and Bar unit deals in approximately 2,100 different products, including gold and silver coins from around the world and gold, silver, platinum and palladium bars and ingots in a variety of weights, shapes, and sizes.
We sell over 2,000 different products through our Wholesale Sales business, including gold and silver coins from around the world and gold, silver, platinum and palladium bars and ingots in a variety of weights, shapes, and sizes.
Through its website, SilverGoldBull.com, SGB offers a variety of products from gold, silver, platinum, and palladium bars, coins and rounds, as well as certified coins from mints around the world. Secured Lending The Company operates its Secured Lending segment through its wholly-owned subsidiary, CFC, which in turn owned AM Capital Funding, LLC (“AMCF”).
Through its website, SilverGoldBull.com, SGB offers a variety of products from gold, silver, platinum, and palladium bars, coins and rounds, as well as certified coins from mints around the world.
Through strategic relationships with its customers and suppliers and vertical integration across its markets, A-Mark seeks to grow its business volume, expand its presence in non-U.S. markets around the globe, and enlarge its offering of complementary products and services. A-Mark seeks to continue its expansion by building on its strengths and what it perceives to be its competitive advantages.
(As used herein, and as the context may require, the term "SGI" refers to Spectrum Group International, Inc. and its successor company Spectrum Group International, LLC.) 3 Competitive Advantages Through strategic relationships with its customers and suppliers and vertical integration across its markets, A-Mark seeks to grow its business volume, expand its presence in non-U.S. markets around the globe, and enlarge its offering of complementary products and services.
A-Mark has leveraged Silver Towne Mint’s fabrication capabilities to introduce new custom products for individual customers. Although the Company is the Mint’s primary customer, the Mint also markets its products at www.silvertownemint.com. In March 2023, the Mint achieved ISO 9000:2015 certification which allows all products produced by the Mint to be accepted into individual retirement accounts ("IRA"). LPM.
Although the Company is the Mint’s primary customer, the Mint also markets its products at www.silvertownemint.com. In March 2023, the Mint achieved ISO 9000:2015 certification which allows all products produced by the Mint to be accepted into individual retirement accounts ("IRA"). 6 Direct-to-Consumer The Company operates its Direct-to-Consumer segment through its wholly-owned subsidiaries JM Bullion, Inc. (“JMB”), Goldline, Inc.
We acquire product for our inventory in the course of our trading activities with our customers, directly from government and private mints, mines, and refiners, and from commodities brokers and dealers, privately and in transactions on established commodity exchanges. 10 A-Mark’s precious metals inventories are subject to market value changes created by change in the underlying commodity price, as well as supply and demand of the individual products the Company trades.
We acquire product for our inventory in the course of our trading activities with our customers, directly from government and private mints, mines, and refiners, and from commodities brokers and dealers, privately and in transactions on established commodity exchanges.
Across our various companies, we offer competitive pay and benefits, including annual short-term incentive awards and long-term equity awards, an employee savings 401(k) plan and company matching contributions, health insurance, disability insurance, life insurance, health savings and flexible spending accounts, wellness incentives, paid time off, family leave, parental leave, and employee assistance programs.
Across our various companies, we offer competitive pay and benefits, including annual short-term incentive awards and long-term equity awards, an employee savings 401(k) plan and company matching contributions, health insurance, disability insurance, life insurance, health savings and flexible spending accounts, wellness incentives, paid time off, family leave, parental leave, and employee assistance programs. 11 A-Mark provides equal employment opportunities to all qualified individuals without regard to race, color, religion, sex, gender identity, sexual orientation, pregnancy, age, national origin, physical or mental disability, military or veteran status, genetic information, or any other protected classification.
(“Goldline”), and through its investment in Silver Gold Bull, Inc. ("SGB"). The Company’s Direct-to-Consumer segment expands the Company’s distribution capabilities with a retail distribution channel.
(“Goldline”), Spectrum Group International, LLC ("SGI"), Pinehurst Coin Exchange, Inc. ("Pinehurst"), AMS Holding, LLC ("AMS"), AM LPM Singapore PTE, Ltd, through its investment in Silver Gold Bull, Inc. ("SGB") and through its subsidiary Precious Metals Purchasing Partners, LLC ("PMPP"). The Company’s Direct-to-Consumer segment expands the Company’s distribution capabilities with a retail distribution channel.
Through its AMST subsidiary, the Company owns the minting operations of the Silver Towne Mint (or the "Mint"), providing greater product selection to our customers and greater pricing stability within the supply chain, as well as increased access to fabricated silver products during volatile market environments.
Through these minting operations we can provide a diverse product selection to our customers and greater pricing stability within the supply chain, as well as increased access to fabricated products during volatile market environments. A-Mark has leveraged Silver Towne Mint’s fabrication capabilities to introduce new custom products for individual customers.
These arrangements range from simple hedging structures to complex inventory finance arrangements and forward purchase and sale structures, tailored to the needs of our customers. Storage. Our Transcontinental Depository Services, LLC ("TDS") subsidiary provides storage solutions for precious metals and numismatic coins for financial institutions, dealers, investors, and collectors worldwide.
These arrangements range from simple hedging structures to complex inventory finance arrangements and forward purchase and sale structures, tailored to the needs of our customers.
Product is shipped upon receipt of payment, except where the purchase is financed under credit arrangements between A-Mark and the customer. We have relationships with precious metal depositories around the world to facilitate shipment of product from our inventory to the customer, in many cases for next day delivery.
We have relationships with precious metal depositories around the world to facilitate shipment of product from our inventory to the customer, in many cases for next day delivery. Product may either be shipped to the customer's location or delivered to a depository or other storage facility designated by the customer.
TDS's marketing efforts are conducted both in conjunction with A-Mark's trading operations and independently, including through its dedicated website www.tdsvaults.com. Logistics.
TDS's marketing efforts are conducted both in conjunction with A-Mark's trading operations and independently, including through its dedicated website www.tdsvaults.com. We also operate a 25,000 square foot storage facility in Texas near the Dallas Fort Worth International Airport through our Direct-to-Consumer subsidiary JM Bullion, Inc. Mint.
Our inventory is marked-to-market daily for accounting and financial reporting purposes, except for a relatively insignificant amount of inventory that is accounted for at lower of cost or net realizable value. A-Mark’s policy is to remain substantially hedged as to its inventory position and its individual sale and purchase commitments.
A-Mark’s precious metals inventories are subject to market value changes created by change in the underlying commodity price, as well as supply and demand of the individual products the Company trades. Our inventory is marked-to-market daily for accounting and financial reporting purposes, except for our collectible coin inventory that is accounted for at lower of cost or net realizable value.
TDS contracts on behalf of our clients with independent secure storage facilities in the United States, Canada, Europe, Singapore, and Hong Kong, for either fully segregated or allocated storage. We assist our clients in developing appropriate storage options for their particular requirements, and we manage the operational aspects of the storage with the third-party facilities on our clients' behalf.
Our AMGL facility, located in the Harry Reid International Airport, comprises approximately 25,000 square feet and utilizes autonomous processing to enhance operational efficiency and maintain premium quality control. TDS contracts on behalf of our clients with independent secure storage facilities in the United States, Canada, Europe, Singapore, and Hong Kong, for either fully segregated or allocated storage.
AMCF was a special purpose entity whose sole activity consisted of operating, owning, and financing precious metal inventory through the issuance of notes (the “AMCF Notes”). In December 2023, the AMCF Notes were repaid and AMCF was dissolved in June 2024.
As of June 30, 2025, the aggregate balance of CFC's secured loans was approximately $94.0 million which is comprised of approximately 11% of loans acquired from third-parties and approximately 89% of loans originated by CFC. 8 AMCF was a special purpose entity whose sole activity consisted of operating, owning, and financing precious metal inventory through the issuance of notes (the “AMCF Notes”).
Our Industrial unit sells gold, silver, platinum, and palladium to industrial and commercial users. Customers include coin fabricators such as mints and industrial manufacturers, encompassing electronics and component parts companies and refiners. Depending on the intended usage, the metals are either investment or industrial grade and are generally in the form of bars or grains. Coin and Bar.
We also sell gold, silver, platinum, and palladium to industrial and commercial users, including coin fabricators such as mints and industrial manufacturers, encompassing electronics and component parts companies and refiners.
Product may either be shipped to the customer's location or delivered to a depository or other storage facility designated by the customer. The Company also periodically loans metals to customers on a short-term consignment basis and may charge interest fees based on the value of the metals loaned. Trading and Finance.
The Company also periodically loans metals to customers on a short-term consignment basis and may charge interest fees based on the value of the metals loaned. 5 We engage in commodity hedging as well as borrowing and lending transactions in support of our Wholesale Sales operations.
Based in Hong Kong, LPM serves as the Company's Asia headquarters, offering the Company's full-service precious metals products and services in Asia and internationally. LPM has a large numismatics showroom in the heart of Hong Kong's Central Financial District. Direct-to-Consumer The Company operates its Direct-to-Consumer segment through its wholly-owned subsidiaries JM Bullion, Inc. (“JMB”) and Goldline, Inc.
LPM is one of Asia's largest precious metals dealers and serves as the Company's Asia headquarters. LPM has a large numismatics showroom in the heart of Hong Kong's Central Financial District. • Our AM Precious Metals Singapore PTE Ltd. subsidiary operates a trading office located in strategically important Singapore. We acquired SGI in February 2025.
Removed
Over the years, A-Mark has been steadily expanding its products and services. In 1986, A-Mark became an authorized purchaser of gold and silver bullion coins struck by the United States Mint.
Added
The Company also owns its own silver mint as well as distributes gold and silver coins and bars from sovereign and private mints. • Direct-to-Consumer sells precious metals to domestic and international retail customers through its consumer-facing subsidiaries. • Secured Lending offers liquidity to customers by originating and acquiring commercial loans collateralized by bullion, numismatic coins, and graded sports cards.
Removed
In 2005, the Company launched Collateral Finance Corporation ("CFC"), a wholly-owned subsidiary, for the purpose of making secured loans primarily collateralized by bullion and numismatic material. Since then, CFC has expanded the value of its aggregate loan portfolio and number of its customers and also makes secured loans collateralized by graded sport cards.
Added
In 2005, 80% of A-Mark was acquired by Spectrum Group International, Inc., which acquired the balance of the Company in 2011. In 2014, the Company was then spun-off and became a publicly traded company.
Removed
CFC has achieved its growth through both loan origination and acquisitions of loan portfolios from wholesale customers of A-Mark. The Company opened an overseas office in Vienna, Austria in 2009, for the purpose of marketing A-Mark's goods and services in the international markets. The office operates through A-Mark Trading AG ("AMTAG"), a wholly-owned subsidiary of the Company.
Added
The Company began to develop a range of ancillary services in 2015 that has since grown to include, among others, A-M Global Logistics, LLC (“AMGL”), our Las Vegas based precious metals depository and distribution center, which is complemented by a second facility in proximity to the Dallas Fort Worth International Airport, and through the Company’s AM&ST Associates, LLC (“AMST”) subsidiary, acquired full ownership of SilverTowne Mint in 2021.
Removed
In 2012, the Company formed Transcontinental Depository Services, LLC. ("TDS"), a wholly-owned subsidiary, for the purpose of providing customers with turn-key global storage solutions for their precious metal products. In July 2015, the Company launched its Las Vegas-based logistics fulfillment center, A-M Global Logistics, LLC.
Added
A-Mark’s transition to a vertically integrated precious metals company began with the 2017 acquisition of Goldline, Inc. and continued with its foundational acquisition in 2021 of the remaining equity interests in JM Bullion, Inc. it did not own at the time.
Removed
("AMGL" or "Logistics"), a wholly-owned subsidiary, for the purpose of providing our customers a platform of complementary services, including packaging, shipping, handling, receiving, processing, and inventorying of precious metals, custom coins, and graded sports cards on a secure basis. 4 In August 2016, the Company formed a joint venture, AM&ST Associates, LLC.
Added
The Company’s international operations have grown over the last several years through a series of organic investments and acquisitions to include Wholesale and Direct-to-Consumer operations in Canada, Europe, as well as Asia, with a specific focus on Hong Kong and Singapore.
Removed
("AMST"), with SilverTowne, L.P., an Indiana-based fabricator of silver bullion products, for the purpose of acquiring and operating SilverTowne, L.P.'s minting business unit ("Silver Towne Mint" or the "Mint").
Added
In February 2025, A-Mark acquired the successor company to Spectrum Group International, Inc., its former parent company and the owner of Stack’s Bowers Galleries and Spectrum Wine Auctions. This acquisition expanded the Company’s operations into the collectible coin and currency market and was followed by two complementary acquisitions.
Removed
Since the formation of AMST, the Company has invested in minting equipment and fabrication tools to expand output capabilities, increase production efficiencies and improve product quality, and has leveraged the Mint’s fabrication capabilities and coin die portfolio to expand our custom coin programs, as well as to introduce new custom products for individual customers.
Added
A-Mark seeks to continue its expansion by building on its strengths and what it perceives to be its competitive advantages.
Removed
In April 2021, the Company purchased the 31% interest in AMST previously held by the joint venture partner and currently owns 100% of AMST. In August 2017, the Company acquired substantially all of the assets of Goldline, LLC, a direct retailer of precious metals to the investor community, and now conducts those operations through its subsidiary Goldline, Inc. ("Goldline").
Added
We promote and sell products and services to international markets through several strategic locations: • We market A-Mark’s goods and services to international markets through our A-Mark Trading AG (“AMTAG”) subsidiary which has operated an overseas office in Vienna, Austria since 2009. • We formed our subsidiary AM/LPM Ventures, LLC, to acquire LPM Group Limited (“LPM”) in 2024.
Removed
Goldline, LLC was formed in 1960 and became well-known to collectors and investors for its distribution of gold, silver, and platinum bullion coins and bars, in part, due to its television, radio, and internet marketing and customer service outreach. Since our acquisition, Goldline has expanded its product offerings and improved its delivery times.
Added
SGI is the parent company of Stack's Bowers Galleries, which is one of the world's largest rare coin and currency auction houses and a leading wholesale and retail dealer specializing in numismatic and bullion products. SGI is also the majority owner of Spectrum Wine, a global auctioneer, retailer, and storage provider of fine and rare wine.
Removed
In August 2019, Goldline entered into a joint venture agreement with a U.S. subsidiary of Silver Gold Bull, Inc. ("SGB") to form Precious Metals Purchasing Partners, LLC ("PMPP"), primarily for the purpose of purchasing precious metals from the partners' retail customers for resale back into the marketplace.

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Item 1A. Risk Factors

Risk Factors — what could go wrong, per management

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Biggest changeGreg Roberts. • We are dependent on our computer systems for executing trades and conducting our direct-to-consumer business, and breaches, damage and malfunctions affecting these systems could interrupt our ability to conduct our business. • Because our business is dependent on the volatility and pricing of precious metals, we are likely to be influenced by world events more than businesses in other economic sectors. • The level of growth and profitability that we experienced as a consequence of the uncertainties and volatility in the financial markets during the last several years may not be attainable in future periods, as global circumstances change. • We derive a significant portion of our business outside the United States, and are subject to the risk of foreign operations, particularly in the Peoples Republic of China as a result of our recent LPM acquisition. • Our Wholesale Sales and Ancillary Services segment is dependent on our relationships with government mints. • Our mint operations are subject to the risk of catastrophic loss and other business interruptions. • Our Wholesale Sales and Ancillary Services segment is dependent on a concentrated customer base. • Because retail investors are more vulnerable to economic loss, we may be subject to claims of unfair business practices that could subject us to government enforcement actions. • Our Direct-to Consumer segment is subject to intense competition from other online retailers, traditional coin stores and general online merchandisers. • Our strategy for growing our direct-to-consumer business includes acquisitions that may be unsuccessful. • JMB’s search engine optimization (SEO) has provided it with a competitive advantage, but its competitors are improving their own SEO strategies which may reduce JMB’s advantage. 13 • Our Direct-to-Consumer segment must be able to effectively respond to changes in technology and could make technological missteps. • The performance of our Secured Lending Segment is subject to our ability to maintain, through origination or acquisition, a loan portfolio of sufficient size, but we may not be able to do so. • The growth of Secured Lending segment is likely to require significant resources, that we may determine are better applied elsewhere in our business. • Our business is heavily influenced by volatility in commodity prices, so that our results may vary considerably from period-to-period. • We hedge the value of our precious metals inventory against changes in commodity prices, but the hedges may prove ineffective, and we are at risk of default by our counterparties. • If commodity prices were to rise significantly, we would be able to carry less inventory, which would adversely affect our ability to service our customers. • The Commodities Trading Futures Commission has in the past brought an action against us and may seek to regulate our business activities. • Recently enacted rules in California and the European Union, and by the SEC, will require us to spend considerable time and resources on environmental reporting. • Our direct-to-consumer business collects personal data and information, and as a consequence we are subject to a growing number of complex data protection and privacy statutes, whose violation could subject us to sanctions. • Because we ship products throughout the United States, we are subject to laws requiring us to collect out-of-state sales tax, and we could have liability if we fail to comply. • Our Direct-to-Consumer segment relies on lead providers and other marketing affiliates to generate sales, but these arrangements have been subject to regulatory challenges and in some cases have been terminated. • Our consumer advertising and marketing materials are subject to regulation, and consistent with the retailing industry generally are coming under increasing scrutiny. • Our board of directors has adopted a policy of paying regular cash dividends, but there is no assurance that dividends will be paid in the future. • Our shareholders’ equity interest in the Company could be diluted by future issuances of stock, including in connection with acquisitions and minority investments. • Our board and management own approximately 22% of our outstanding common stock, and acting together can exert substantial influence over matters submitted to stockholders for their vote.
Biggest changeGreg Roberts. • We are dependent on our computer systems for executing trades and conducting our direct-to-consumer business, and breaches, damage and malfunctions affecting these systems could interrupt our ability to conduct our business. • Because our business is dependent on the volatility and pricing of precious metals, we are likely to be influenced by world events more than businesses in other economic sectors. • The level of growth and profitability that we experienced as a consequence of the uncertainties and volatility in the financial markets in recent years may not be attainable in future periods, as global circumstances change. • We derive a significant portion of our business outside the United States, and are subject to the risk of foreign operations, particularly in the Peoples Republic of China as a result of our acquisition of LPM. • Tariffs that have recently been announced or threatened may result in higher costs to us of gold and silver products, and if reciprocal tariffs were enacted, may increase prices for our foreign customers. 12 • Our Wholesale Sales and Ancillary Services segment is dependent on our relationships with government mints. • Our mint operations are subject to the risk of catastrophic loss and other business interruptions. • Our Wholesale Sales and Ancillary Services segment is at times dependent on a concentrated customer base. • We recently acquired the Stack’s Bowers Gallery auction business, but there is no assurance that it will obtain rights to auction major collections needed to make the business successful. • Because retail investors are more vulnerable to economic loss, we may be subject to claims of unfair business practices that could subject us to government enforcement actions. • Our Direct-to Consumer segment is subject to intense competition from other online retailers, traditional coin stores and general online merchandisers. • Our strategy for growing our direct-to-consumer business includes acquisitions that may be unsuccessful. • JMB’s search engine optimization (SEO) has provided it with a competitive advantage, but its competitors are improving their own SEO strategies which may reduce JMB’s advantage. • Our Direct-to-Consumer segment must be able to effectively respond to changes in technology and could make technological missteps. • The performance of our Secured Lending Segment is subject to our ability to maintain, through origination or acquisition, a loan portfolio of sufficient size, but we may not be able to do so. • The growth of Secured Lending segment is likely to require significant resources, that we may determine are better applied elsewhere in our business. • Our business is heavily influenced by volatility in commodity prices, so that our results may vary considerably from period-to-period. • We hedge the value of our precious metals inventory against changes in commodity prices, but the hedges may prove ineffective, and we are at risk of default by our counterparties. • If commodity prices were to rise significantly, we would be able to carry less inventory, which would adversely affect our ability to service our customers. • The Commodities Trading Futures Commission has in the past brought an action against us and may seek to regulate our business activities. • Recently enacted rules in California and the European Union, and by the SEC, will require us to spend considerable time and resources on environmental reporting. • Our direct-to-consumer business collects personal data and information, and as a consequence we are subject to a growing number of complex data protection and privacy statutes, whose violation could subject us to sanctions. • Because we ship products throughout the United States, we are subject to laws requiring us to collect out-of-state sales tax, and we could have liability if we fail to comply. • Our Direct-to-Consumer segment relies on lead providers and other marketing affiliates to generate sales, but these arrangements have been subject to regulatory challenges and in some cases have been terminated. • Our consumer advertising and marketing materials are subject to regulation, and consistent with the retailing industry generally are coming under increasing scrutiny. • Our board of directors has adopted a policy of paying regular cash dividends, but there is no assurance that dividends will be paid in the future. • Our shareholders’ equity interest in the Company could be diluted by future issuances of stock, including in connection with acquisitions and minority investments. • Members of our board and management own approximately 23% of our outstanding common stock, and acting together can exert substantial influence over matters submitted to stockholders for their vote. 13 Introductory Risks The demand for our products and our profitability ultimately depends on preferences and perceptions regarding the desirability of owning precious metals, but those preferences and perceptions are subject to change.
As a consequence, the performance of the Secured Lending segment in a particular financial reporting period may not be indicative of the how the segment will perform in any future period, either in the short or the long term. The growth of the Secured Lending segment is likely to require significant resources.
As a consequence, the performance of the Secured Lending segment in a particular financial reporting period may not be indicative of how the segment will perform in any future period, either in the short or the long term. The growth of the Secured Lending segment is likely to require significant resources.
If the board of directors were to determine not to pay dividends in the future, stockholders would not receive any further return on an investment in our capital stock in the form of dividends and may obtain an economic benefit from the common stock only after an increase in its trading price and only by selling the common stock.
If our board of directors were to determine not to pay dividends in the future, stockholders would not receive any further return on an investment in our capital stock in the form of dividends and may obtain an economic benefit from the common stock only after an increase in its trading price and only by selling the common stock.
This risk factor summary does not contain all of the information that may be important to you, and you should read these together with the more detailed discussion of risks set forth following this section, as well as elsewhere in this report under the heading “ Management’s Discussion and Analysis of Financial Condition and Results of Operations .” Additional risks beyond those summarized below, or discussed elsewhere in “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations,” may apply to our activities or operations as currently conducted or as we may conduct them in the future, or to the markets in which we currently operate or may in the future operate. • Preferences and perceptions regarding ownership of precious metals may change. • We may not be successful in responding to changing market realities, particularly in our direct-to-consumer business. • Our business is heavily dependent on our credit facility, and the failure to renew or replace this credit facility could limit our ability to conduct our business and have other adverse consequences. • We provide a variety of financing alternatives to our customers, and there is no assurance that the methods we use to minimize losses on the credit we extend will be sufficient. • Liquidity constraints may limit our ability to grow our business. • Interruptions to us in the supply of coin and bullion products that we sell or silver for our minting operations could result in our inability to satisfy our customers and loss of sales. • We are dependent on key management, particularly our CEO, Mr.
This risk factor summary does not contain all of the information that may be important to you, and you should read these together with the more detailed discussion of risks set forth following this section, as well as elsewhere in this report under the heading “ Management’s Discussion and Analysis of Financial Condition and Results of Operations. ” Additional risks beyond those summarized below, or discussed elsewhere in “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations,” may apply to our activities or operations as currently conducted or as we may conduct them in the future, or to the markets in which we currently operate or may in the future operate. • Preferences and perceptions regarding ownership of precious metals may change. • We may not be successful in responding to changing market realities, particularly in our direct-to-consumer business. • Our business is heavily dependent on our credit facility, and the failure to renew or replace this credit facility could limit our ability to conduct our business and have other adverse consequences. • We provide a variety of financing alternatives to our customers, and there is no assurance that the methods we use to minimize losses on the credit we extend will be sufficient. • Liquidity constraints may limit our ability to grow our business. • Interruptions in the supply of coin and bullion products that we sell or silver for our minting operations could result in our inability to satisfy our customers and could result in loss of sales. • We are dependent on key management, particularly our CEO, Mr.
These advances are limited to a portion of the materials received. • The Company makes unsecured, short-term, non-interest bearing advances to wholesale metals dealers and government mints. • The Company periodically extends short-term credit through the issuance of notes receivable to approved customers at interest rates determined on a customer-by-customer basis. 15 • The Company operates a financing business through CFC which makes secured loans at loan-to-value ratios—principal loan amount divided by the liquidation value, as conservatively estimated by management, of the collateral—of, in most cases, 50% to 85%.
These advances are limited to a portion of the materials received. • The Company makes unsecured, short-term, non-interest bearing advances to wholesale metals dealers and government mints. • The Company periodically extends short-term credit through the issuance of notes receivable to approved customers at interest rates determined on a customer-by-customer basis. • The Company operates a financing business through CFC which makes secured loans at loan-to-value ratios—principal loan amount divided by the liquidation value, as conservatively estimated by management, of the collateral—of, in most cases, 50% to 85%.
However, there can be no assurance that these hedging activities will be adequate to protect the Company against commodity price risks associated with A-Mark’s business activities. 22 Furthermore, even if we are fully hedged as to any given position, there is the risk of default by our counterparties to the financial instruments that we use to hedge our inventory.
However, there can be no assurance that these hedging activities will be adequate to protect the Company against commodity price risks associated with A-Mark’s business activities. Furthermore, even if we are fully hedged as to any given position, there is the risk of default by our counterparties to the financial instruments that we use to hedge our inventory.
As a company with operations in California, we may fall under the jurisdiction of these new laws, which impose rigorous reporting obligations regarding our climate-related financial risks and extensive requirements for the disclosure of greenhouse gas emissions. 23 SB 253 imposes its greenhouse gas reporting obligations on companies with annual revenues exceeding $1.0 billion.
As a company with operations in California, we may fall under the jurisdiction of these new laws, which impose rigorous reporting obligations regarding our climate-related financial risks and extensive requirements for the disclosure of greenhouse gas emissions. SB 253 imposes its greenhouse gas reporting obligations on companies with annual revenues exceeding $1.0 billion.
We believe that, as a full-service firm devoted exclusively to precious metals trading, we offer pricing, product availability, execution, financing alternatives and storage options that are attractive to our customers and allow us to compete effectively. We also believe that our purchaser/distributorship arrangements with various governmental mints give us a competitive advantage in our coin distribution business.
We believe that, as a full-service firm devoted exclusively to precious metals trading and marketing, we offer pricing, product availability, execution, financing alternatives and storage options that are attractive to our customers and allow us to compete effectively. We also believe that our purchaser/distributorship arrangements with various governmental mints give us a competitive advantage in our coin distribution business.
Also, because these investments are illiquid, we may not be able to dispose of our ownership interests in these entities should be choose to do so, at a price that we believe reflects its fair value or at all. Risks Related to World Events Our business is influenced by political conditions and world events.
Also, because these investments are illiquid, we may not be able to dispose of our ownership interests in these entities should we choose to do so, at a price that we believe reflects its fair value or at all. 16 Risks Related to World Events Our business is influenced by political conditions and world events.
A sustained decline in our revenues and earnings would have adverse effects on our operations and would likely cause our stock price to decline. It is not possible to predict with any accuracy future market trends, and in particular whether the extremely favorable environment for our business during these volatile financial markets will return.
A sustained decline in our revenues and earnings would have adverse effects on our operations and would likely cause our stock price to decline. It is not possible to predict with any accuracy future market trends, and in particular whether the extremely favorable environment for our business during volatile financial markets will return.
Our stock price responded favorably to these unprecedented circumstances as well. 17 Our profits have since retreated from their all-time highs experienced during these times, and there can be no assurance that this historically unprecedented performance of the precious metals business will be attainable in future periods.
Our stock price responded favorably to these unprecedented circumstances as well. Our profits have since retreated from their all-time highs experienced during these times, and there can be no assurance that this historically unprecedented performance of the precious metals business will be attainable in future periods.
Our business in the past has been subject to cyclical fluctuations, and we are beginning to experience to a degree a return to cyclicality in our more recent operating results. Consumer perceptions with respect to precious coins and metals could shift, and these commodities may no longer be viewed as secure investments.
Our business in the past has been subject to fluctuations, and we are beginning to experience to a degree a return to cyclicality in our more recent operating results. Consumer perceptions with respect to precious coins and metals could shift, and these commodities may no longer be viewed as secure investments.
Moreover, because of the sensitivity of our business to macro-economic, social and political circumstances, there may be no effective strategy to insulate us from the adverse effects that these circumstances could have on our business. 14 Risks Relating to our Operations Our business is heavily dependent on our credit facility.
Moreover, because of the sensitivity of our business to macro-economic, social and political circumstances, there may be no effective strategy to insulate us from the adverse effects that these circumstances could have on our business. Risks Relating to our Operations Our business is heavily dependent on our credit facility.
Also, the Trading Credit Facility contains, and any future debt financing is likely to contain, various financial and other restrictive covenants. The need to comply with these covenants may limit our ability to implement our growth initiatives. We may experience supply chain disruptions in our operations.
Also, the Trading Credit Facility contains, and any future debt financing is likely to contain, various financial and other restrictive covenants. The need to comply with these covenants may limit our ability to implement our growth initiatives. 15 We may experience supply chain disruptions in our operations.
This could result in an increase in our tax liability or require changes in our business in order to mitigate any adverse effects of changes in tax laws. 29 Third-party expectations relating to ESG factors may impose additional costs and expose us to new risks.
This could result in an increase in our tax liability or require changes in our business in order to mitigate any adverse effects of changes in tax laws. Third-party expectations relating to ESG factors may impose additional costs and expose us to new risks.
For example, the Consumer Financial Protection Bureau ("CFPB") has indicated its intention to examine compliance with federal laws and regulations by lead providers and to scrutinize the flow of non-public, private borrower information between lead providers and lead buyers, such as us.
For example, the Consumer Financial Protection Bureau ("CFPB") has indicated its intention to examine compliance with federal laws and regulations by lead providers and to scrutinize the flow of non-public, private information between lead providers and lead buyers, such as us.
The declaration of regular cash dividends in the future is subject to the determination each quarter by the board of directors, based on a number of factors, including the Company’s financial performance, available cash resources, cash requirements and alternative uses of cash and applicable bank covenants.
The declaration of regular cash dividends in the future is subject to the determination each quarter by our board of directors, based on a number of factors, including the Company’s financial performance, available cash resources, cash requirements and alternative uses of cash and applicable bank covenants.
In a declining market for precious metal products, JMB, Goldline, and SGB could be burdened with substantial amounts of purchased inventory that they are unable to resell at an economic price, or at all.
In a declining market for precious metal products, JMB, Goldline, SGB, and SGI could be burdened with substantial amounts of purchased inventory that they are unable to resell at an economic price, or at all.
Given our current revenue levels, we are subject to the requirements of SB 253. SB 253 requires the reporting of Scope 1 greenhouse gas emissions (direct emissions from our operations) and Scope 2 greenhouse gas emissions (indirect emissions from our operations) for the prior fiscal year beginning in 2026.
Given our revenue levels, we are subject to the requirements of SB 253. SB 253 requires the reporting of Scope 1 greenhouse gas emissions (direct emissions from our operations) and Scope 2 greenhouse gas emissions (indirect emissions from our operations) for the prior fiscal year beginning in 2026.
The Company’s recent acquisition of LPM, a precious metals business located in Hong Kong, reflects the Company’s efforts to increase its presence in Asia, particularly the Far East. There can be no assurance that the Company’s expansion efforts in the Far East will be successful.
The Company’s acquisition of LPM, a precious metals business located in Hong Kong, reflects the Company’s efforts to increase its presence in Asia, particularly the Far East. There can be no assurance that the Company’s expansion efforts in the Far East will be successful.
See also “Risk Factors of General Applicability—If our customer data were breached, we could suffer damages and loss of reputation;” and “—New rules have recently become effective that will require the Company to provide disclosures regarding cybersecurity management and events.” The Company has minority investments in a number of entities engaged in precious metal marketing; as a minority investor the Company is not able to exercise absolute control over these entities.
See also “Risk Factors of General Applicability—If our customer data were breached, we could suffer damages and loss of reputation;” and “—New rules have recently become effective that will require the Company to provide disclosures regarding cybersecurity management and events.” The Company has minority investments in several entities engaged in precious metal marketing; as a minority investor the Company is not able to exercise absolute control over these entities.
There can be no assurance, however, that JMB, Goldline, or SGB will in fact be able to resell product that they purchase at a price that will justify the cost of purchase.
There can be no assurance, however, that JMB, Goldline, SGB, or SGI will in fact be able to resell product that they purchase at a price that will justify the cost of purchase.
Mint, could have a material adverse effect on our business. 18 We operate in a highly competitive industry. The business of buying and selling precious metals is global and highly competitive.
Mint, could have a material adverse effect on our business. We operate in a highly competitive industry. The business of buying and selling precious metals is global and highly competitive.
Certain investors, including customers of our Direct-to-Consumer segment, may regard precious metal products as a hedge against inflation and high interest rates, which could positively affect demand for our goods and services. However, inflation may also increase our expenses of operations, which because of the nature of our business we cannot generally pass along to our customers.
Certain investors, including customers of our Direct-to-Consumer segment, may regard precious metal products as a hedge against inflation and high interest rates, which could positively affect demand for our goods and services. However, inflation may also increase our operational expenses, which because of the nature of our business we cannot generally pass along to our customers.
Third parties may currently have, or may be issued, patents upon which the technologies used by the Company infringe. The Company could incur significant costs to defend infringements claims, regardless of their validity, or could be required to develop non-infringing technology at considerable expense or be compelled to enter into expensive royalty or license agreements.
Third parties may currently have, or may be issued, patents upon which the technologies used by the Company are alleged to infringe. The Company could incur significant costs to defend infringements claims, regardless of their validity, or could be required to develop non-infringing technology at considerable expense or be compelled to enter into expensive royalty or license agreements.
Our dependence on computer and communications technology increased with the acquisition of JMB, whose sales are conducted exclusively through the internet. It is therefore critical that we maintain uninterrupted operation of these systems, and we have invested considerable resources to protect our systems from physical compromise and security breaches and to maintain backup and redundancy.
Our dependence on computer and communications technology increased with the acquisition of JMB, whose sales are conducted exclusively through the internet. It is therefore critical that we maintain uninterrupted operation of these systems, and we have invested considerable resources to protect our systems from physical compromise and security breaches and to maintain backups and redundancy.
Slower precious metals markets with lower volatility and greater supply, as we have experienced more recently, have had and could continue to have the effect of decreasing the volume of products sold and also adversely impact our product premiums, which are a key driver of our overall performance.
Slower precious metals markets with lower volatility and greater supply, as we have experienced more recently, have had and could continue to have the effect of decreasing the volume of products sold and also adversely impacting our product premiums, which are a key driver of our overall performance.
To the extent that we grow through acquisitions or investments, we cannot ensure that we will be able to adequately or profitably manage this growth. JMB’s search engine optimization strategies have provided it with an important competitive advantage, but this may not continue.
Accordingly, to the extent that we grow through acquisitions or investments, we cannot ensure that we will be able to adequately or profitably manage this growth. 20 JMB’s search engine optimization strategies have provided it with an important competitive advantage, but this may not continue.
There can be no assurance the CFC will be successful in continuing to originate and acquire secured loans in amounts sufficient to justify the conduct of this business. The number of loans and the size of CFC’s loan portfolio can vary significantly from period to period.
There can be no assurance that CFC will be successful in continuing to originate and acquire secured loans in amounts sufficient to justify the conduct of this business. 22 The number of loans and the size of CFC’s loan portfolio can vary significantly from period to period.
Owing to the cyclicality of our business, we may be required to request limited waivers of compliance with certain financial covenants under the Trading Credit Facility. There can be no assurance that such waivers will be granted.
Owing to the variability of our business, we may be required to request limited waivers of compliance with certain financial covenants under the Trading Credit Facility. There can be no assurance that such waivers will be granted.
The increased pace of change also means that the window in which a technologically advanced or sophisticated product or service can achieve and maintain partner and consumer interest is shrinking and, to the extent our Direct-to-Consumer Segment fails to timely anticipate or respond to changes in their industry, the effects of such missteps may be amplified.
The increased pace of change also means that the window in which a technologically advanced or sophisticated product or service can achieve and maintain partner and consumer interest is shrinking and, to the extent our Direct-to-Consumer segment fails to timely anticipate or respond to changes in its industry, the effects of missteps may be amplified.
The internet and the electronic commerce industry are characterized by rapid technological change, changes in user and customer requirements and preferences, frequent new product and service introductions embodying new technologies, and the emergence of new industry standards and practices. 20 The evolving nature of the internet could render our Direct-to-Consumer Segment's existing technology and systems obsolete.
The internet and the e-commerce industry are characterized by rapid technological change, changes in user and customer requirements and preferences, frequent new product and service introductions embodying new technologies, and the emergence of new industry standards and practices. The evolving nature of the internet could render our Direct-to-Consumer segment's existing technology and systems obsolete.
We also have employment agreements with Thor Gjerdrum, our President, and Brian Aquilino, our Chief Operating Officer, which expire in June 2025, and Robert Pacelli, Chief Executive Officer and President of JMB, which expires in June 2026.
We also have employment agreements with Thor Gjerdrum, our President, and Brian Aquilino, our Chief Operating Officer, which expire in June 2028, and Robert Pacelli, Chief Executive Officer and President of JMB, which expires in June 2026.
Our Trading Credit Facility bears interest at a variable rate of interest, so that higher interest rates will also increase our cost of borrowing under that facility, and higher interest rates may also increase the costs under our product financing arrangements.
Our Trading Credit Facility bears interest at a variable rate of interest, so that higher interest rates would also increase our cost of borrowing under that facility, and higher interest rates may also increase the costs under our product financing arrangements.
The Company believes that the sales practices of its Goldline subsidiary conform to applicable legal and ethical standards, and that there is no material basis for claims against Goldline in this regard.
The Company believes that the sales practices of its Goldline subsidiary conform to applicable legal and ethical standards, and that there was no material basis for claims against Goldline in this regard.
A-Mark’s precious metals inventory is subject to market value changes created by changes in the underlying commodity price, as well as supply and demand of the individual products the Company trades.
A-Mark’s precious metals inventory is subject to market value changes created by changes in the underlying commodity prices, as well as supply and demand of the individual products the Company trades.
If such a perception were to gain currency, traffic to JMB’s websites and its revenues would suffer. Certain of JMB’s websites publish data concerning the precious metal and cryptocurrency markets obtained from third parties, which could be inaccurate. JMB’s GoldPrice.org and SilverPrice.org publish data on precious metal and cryptocurrency pricing which is obtained from third parties.
If such a perception were to gain traction, traffic to JMB’s websites and its revenues would suffer. 21 Certain of JMB’s websites publish data concerning the precious metal and cryptocurrency markets obtained from third parties, which could be inaccurate. JMB’s GoldPrice.org and SilverPrice.org publish data on precious metal and cryptocurrency pricing which is obtained from third parties.
We are subject to numerous data privacy and protection obligations that govern our handling of Personal Information, including: various federal, state, local and foreign laws, regulations, and guidance; industry standards; external and internal privacy notices and policies; contracts; and other obligations that apply to the handling of Personal Information by us and on our behalf.
We are subject to numerous data privacy and protection obligations that govern our handling of Personal Data, including: various federal, state, local and foreign laws, regulations, and guidance; industry standards; external and internal privacy notices and policies; contracts; and other obligations that apply to the handling of Personal Data by us and on our behalf (“Applicable Data Privacy Obligations”).
Moreover, there are particular regulatory and other challenges to the conduct of business in the Peoples Republic of China, and as a result certain foreign businesses have recently been decreasing their presence there. The Company may encounter similar challenges, which may impede the Company’s expansion efforts in the region.
Moreover, there are particular regulatory, as well as other, challenges to conducting business in the Peoples Republic of China, and as a result certain foreign businesses have recently been decreasing their presence there. The Company may encounter similar challenges, which may impede the Company’s expansion efforts in the region.
Our board and management beneficially own a sizable percentage of our common stock and therefore have the ability to exert substantial influence as stockholders. Members of our board and management beneficially own approximately 22% of our outstanding common stock.
Our board and management beneficially own a sizable percentage of our common stock and therefore have the ability to exert substantial influence as stockholders. Members of our board and management beneficially own approximately 23% of our outstanding common stock.
Congress has considered legislation that would generally limit or prohibit mandatory arbitration agreements in consumer contracts and has enacted legislation with such a prohibition with respect to certain mortgage loan agreements and also certain consumer loan agreements to members of the military on active duty and their dependents.
In addition, the U.S. Congress has considered legislation that would generally limit or prohibit mandatory arbitration agreements in consumer contracts and has enacted legislation with such a prohibition with respect to certain mortgage loan agreements and also certain consumer loan agreements to members of the military on active duty and their dependents.
See Note 20 to the Company’s consolidated financial statements for more information regarding our dividends. Your percentage ownership in the Company could be diluted in the future.
See Note 17 and Note 20 to the Company's consolidated financial statements for more information regarding our dividends. Your percentage ownership in the Company could be diluted in the future.
As a result, we cannot tell, when, if at all, our profitability will once more achieve the unprecedented levels that we experienced during these periods.
As a result, we cannot tell when, if at all, our profitability will once more achieve the unprecedented levels that we experienced during recent periods.
We include arbitration provisions in our loan and financing agreements. These provisions are designed to allow us to resolve any customer disputes through individual arbitration rather than in court and explicitly provide that all arbitrations will be conducted on an individual and not on a class basis.
We include arbitration provisions in our loan and financing agreements and in our Direct-to-Consumer terms and conditions. These provisions are designed to allow us to resolve any customer disputes through individual arbitration rather than in court and explicitly provide that all arbitrations will be conducted on an individual and not on a class basis.
The unprecedented growth of the business of the Company over the last several years may be attributed to a high degree of volatility in the financial markets, resulting from various geopolitical, macroeconomic, military and global uncertainties and events. In this environment, consumers may have sought perceived financial safety in precious coins and metals.
The unprecedented growth of the business of the Company in recent years may be attributed to a high degree of volatility in the financial markets, resulting from various geopolitical, macroeconomic, military and global uncertainties and events. In this environment, consumers may have sought perceived financial safety in precious coins and metals.
We try to manage these risks by monitoring current and anticipated political, economic, legal and regulatory developments in the countries outside the United States in which we operate or have customers and adjusting operations as appropriate, but there can be no assurance that the measures we adopt will be successful in protecting the Company’s business interests.
We try to manage risks of doing business in foreign jurisdictions by monitoring current and anticipated political, economic, legal and regulatory developments in the countries outside the United States in which we operate or have customers and adjusting operations as appropriate, but there can be no assurance that the measures we adopt will be successful in protecting the Company’s business interests.
JMB, Goldline, and SGB offer to purchase coins and bullion from their customers at prices designed to reflect current market valuations, but also allows JMB, Goldline, and SGB to profit on the resale of the products.
JMB, Goldline, SGB, and SGI offer to purchase coins and bullion from their customers at prices designed to reflect current market valuations, but also allow JMB, Goldline, SGB, and SGI to profit on the resale of the products.
Nevertheless, given the nature of the retail precious metals business, the possibility that investors in precious metals may lose a substantial portion of their investment as a result of adverse market trends and the vulnerability of certain retail precious metal investors to economic loss, there can be no assurance that claims will not be made regarding business practices of Goldline, JMB or SGB, or that, if made, such claims will not attract the attention of governmental and private sector consumer advocates.
Nevertheless, given the nature of the retail precious metals business, the possibility that investors in precious metals may lose a substantial portion of their investment as a result of adverse market trends and the vulnerability of certain retail precious metal investors to economic loss, there can be no assurance that claims will not be made regarding business practices of our Direct-to-Consumer businesses or that, if made, such claims will not attract the attention of governmental and private sector consumer advocates.
Going forward, however, the changes introduced by state privacy laws that will soon take effect, and other similar regulations enacted by other jurisdictions, will subject the Company to additional costs and complexity of compliance, by requiring, among other things, changes to the Company’s security systems, policies, procedures and practices.
Going forward, however, the changes introduced by additional state privacy laws and other similar regulations enacted by other jurisdictions, will subject the Company to additional costs and complexity of compliance, by requiring, among other things, changes to the Company’s security systems, policies, procedures and practices.
The Company experienced outsized growth in its revenues and operating profits during periods of volatility in the financial markets over the last several years, and there can be no assurance that this level of performance will be attainable in the future.
The Company experienced outsized growth in its revenues and operating profits during periods of volatility in the financial markets in recent years, and there can be no assurance that this level of performance will be attainable in the future.
Competition is based upon the availability of coin and bullion product, price, delivery times, convenience and customer service. There can be no assurance that we will be able to compete effectively with other retail sources and channels for precious coin and bullion, especially if the demand for these products were to contract from its current record high levels.
Competition is based upon the availability of coin and bullion product, price, delivery times, convenience and customer service. There can be no assurance that we will be able to compete effectively with other retail sources and channels for precious coin and bullion, especially if the demand for these products were to contract.
Although this matter was settled on terms satisfactory to the Company with no material financial impact, and Goldline has discontinued these particular arrangements and practices, there can be no assurance that the CFTC will not in the future accuse us of violating the CEA or the rules and regulations of the CFTC, or otherwise (along with other federal or state agencies) seek to assert oversight over aspects of our operations which could adversely affect us.
Although this matter was settled on terms satisfactory to the Company with no material financial impact, and Goldline has discontinued these particular arrangements and practices, there can be no assurance that the CFTC will not in the future allege we are violating the CEA or the rules and regulations of the CFTC, or otherwise (along with other federal or state agencies) seek to oversee aspects of our operations which could adversely affect us.
This evolution may create uncertainty in our business; affect us or our collaborators’, service providers’, and others’ ability to operate in certain jurisdictions or to collect, store, transfer, use, share, and otherwise process Personal Information; necessitate the acceptance of more onerous obligations in our contracts; cause us to modify our business operations; result in liabilities; or otherwise impose additional compliance costs on us.
This evolution may create uncertainty in our business; affect us or our service providers’ and others’ ability to operate in certain jurisdictions or to collect, store, transfer, use, share, and otherwise process Personal Data; necessitate the acceptance or imposition of more onerous obligations in our contracts; result in liabilities; or otherwise impose additional compliance costs on us.
If JMB, Goldline, and SGB do not respond effectively to technological and market changes, they will cease to be competitive with other channels that consumers may have for the purchase of precious coins and bullion. To remain competitive, JMB, Goldline, and SGB must continue to enhance and improve the responsiveness, functionality and features of their online operations.
If our Direct-to-Consumer businesses do not respond effectively to technological and market changes, they will cease to be competitive with other channels that consumers may have for the purchase of precious coins and bullion. To remain competitive, our Direct-to-Consumer businesses must continue to enhance and improve the responsiveness, functionality and features of their online operations.
We believe that this program encourages the purchase of coins and bullion as an investment because it assures customers that their investment in the products offered by JMB, Goldline, and SGB will be liquid and can be monetized if the customers have a need for cash.
We believe that these programs encourage the purchase of coins and bullion as an investment because it assures customers that their investment in the products offered by JMB, Goldline, SGB, and SGI will be liquid and can be monetized if the customers have a need for cash.
Additionally, new legislative or regulatory initiatives related to ESG could adversely affect our business. I TEM 1B. UNRESOLVED STAFF COMMENTS None.
Additionally, new legislative or regulatory initiatives related to ESG could adversely affect our business. ITEM 1B. UNRESOLVED STAFF COMMENTS None. 30
Future advances in technology may not be beneficial to, or compatible with, JMB’s, Goldline’s, or SGB's businesses. Furthermore, JMB, Goldline and SGB may be unsuccessful in using new technologies effectively or adapting their technology and systems to user requirements or emerging industry standards on a timely basis. Their ability to remain technologically competitive may require substantial expenditures and lead time.
Future advances in technology may not be beneficial to, or compatible with, our Direct-to-Consumer businesses. Furthermore, our Direct-to-Consumer businesses may be unsuccessful in using new technologies effectively or adapting their technology and systems to user requirements or emerging industry standards on a timely basis. Their ability to remain technologically competitive may require substantial expenditures and lead time.
We may not be able to identify suitable acquisition or investment candidates in the future. If we are unable to successfully execute on organic growth opportunities or complete acquisitions or investments in the future, or if we incur greater than anticipated costs to execute this strategy, our growth may be limited.
If we are unable to successfully execute on organic growth opportunities or complete acquisitions or investments in the future, or if we incur greater than anticipated costs to execute this strategy, our growth may be limited.
We are subject to fluctuations in interest rates based on the variable interest terms of the Trading Credit Facility, and we may not be able to pass along to our customers and borrowers some or any part of an increase in the interest that we are required to pay under the Trading Credit Facility.
We are subject to fluctuations in interest rates based on the variable interest terms of the Trading Credit Facility, and we may not be able to pass along to our customers and borrowers some or any part of an increase in the interest that we are required to pay under the Trading Credit Facility. 14 Loans under our credit facility may bear interest based on SOFR, but experience with SOFR based loans is limited.
Our compliance reports must be made publicly available on our company's website. Non-compliance with the requirements of SB 261 could expose us to a fine of up to $50,000 per reporting year and we may also be required to pay an annual filing fee.
This includes detailing the strategies we have adopted to mitigate and adapt to these risks. Our compliance reports must be made publicly available on our company's website. Non-compliance with the requirements of SB 261 could expose us to a fine of up to $50,000 per reporting year and we may also be required to pay an annual filing fee.
These obligations may change, are subject to differing interpretations, and may be inconsistent among relevant jurisdictions in which we operate or from which we collect Personal Information. The data privacy and protection landscape continues to evolve in jurisdictions worldwide.
These obligations may change, are subject to differing interpretations, and may be inconsistent across applicable jurisdictions in which we operate or in which we collect or process Personal Data. The data privacy and protection landscape continues to evolve in jurisdictions worldwide.
As a consequence, circumstances may arise in which action may be taken by the management of these entities which we believe is not in our best interest and to which we object. The value of our investment in one or more of these entities may therefore decline.
As a consequence, circumstances may arise in which the management of these entities may take actions which we believe are not in our best interest and to which we object. The value of our investment in one or more of these entities may therefore decline.
If commodity prices were to rise substantially, and we were unable to modify the terms of the Trading Credit Facility to compensate for the increase, the quantity of product that we could finance, and hence maintain in our inventory, would fall. This would likely have a material adverse effect on our operations.
If commodity prices were to rise substantially, and we were unable to modify the terms of the Trading Credit Facility to compensate for the increase, the quantity of product that we could finance, and hence maintain in our inventory, would fall.
Although the Company believes it is complying with these requirements, our interpretation and application of the newly enacted legislation may differ from the states, which could result in the states' attempt to impose additional tax liabilities, including potential penalties and interest.
Although the Company believes it is complying with the applicable legislative requirements, and collecting tax where obligated to do so, our interpretation and application of the legislation may differ from the states, which could result in the states' attempt to impose additional tax liabilities, including potential penalties and interest.
Our business depends substantially on our ability to obtain financing for our operations. On December 21, 2021, we entered into a committed facility provided by a syndicate of financial institutions (the “Trading Credit Facility”), with a total current revolving commitment of up to $422.5 million and with a termination date of September 20, 2025.
Our business depends substantially on our ability to obtain financing for our operations. On December 21, 2021, we entered into a committed facility provided by a syndicate of financial institutions (the “Trading Credit Facility”), which, as of June 30, 2025, provided for a total revolving commitment of up to $467.0 million and a termination date of September 30, 2026.
As a whole, our advertising and marketing materials have come under increased scrutiny. There can be no guarantee that we will be able to continue advertising and marketing our business units in a manner we consider effective. Any inability to do so could have a material adverse effect on our business.
As a whole, our advertising and marketing materials have come under increased scrutiny. There can be no guarantee that we will be able to continue advertising and marketing our business units in a manner we consider effective.
These changing rules and regulations, and the stakeholder expectations related to ESG described in " Risk Factors of General Applicability – Third-party expectations relating to ESG factors may impose additional costs and expose us to new risks ," have resulted in and are likely to continue to result in, increased general and administrative expenses and increased management time and attention spent complying with or meeting such regulations and expectations. 24 Compliance with new and existing data protection/privacy statutes could increase our costs and expose the Company to possible sanctions for violation.
These changing rules and regulations, and the stakeholder expectations related to ESG described in " Risk Factors of General Applicability – Third-party expectations relating to ESG factors may impose additional costs and expose us to new risks ," have resulted in and are likely to continue to result in, increased general and administrative expenses and increased management time and attention spent complying with or meeting such regulations and expectations.
Provisions in our Certificate of Incorporation and Bylaws and of Delaware law may prevent or delay an acquisition of the Company, which could decrease the trading price of our common stock.
We also issued stock to the public to finance, in part, the acquisition of JMB. Provisions in our Certificate of Incorporation and Bylaws and of Delaware law may prevent or delay an acquisition of the Company, which could decrease the trading price of our common stock.
The European Union adopted new disclosure standards and rules related to environmental, social, and corporate governance ("ESG") matters in the Corporate Sustainability Reporting Directive (CSRD) which became effective in 2023 and applies to both EU and non-EU entities.
The European Union adopted new data gathering, policy implementation and disclosure standards and rules related to environmental, social, and corporate governance ("ESG") matters in the Corporate Sustainability Reporting Directive (CSRD) which became effective in 2023 and the Corporate Sustainability Due Diligence Directive (CSDDD) which became effective in 2024. Both apply to both EU and non-EU entities.
We may also be subject to many other foreign privacy laws that are modeled at least in part after the GDPR, including China’s Personal Information Protection Law (PIPL), Canada’s Personal Information Protection and Electronic Documents Act (PIPEDA) and territorial Canadian privacy laws, and the Privacy Acts of Australia and New Zealand.
We may also be subject to many other foreign privacy laws that are modeled at least in part after the GDPR, including, but not limited to, Singapore's Personal Data Protection Act (PDPA), Hong Kong's Personal Data (Privacy) Ordinance (PDPO), Canada’s Personal Information Protection and Electronic Documents Act (PIPEDA) and territorial Canadian privacy laws, and the Privacy Acts of Australia and New Zealand.
If JMB, Goldline or SGB is unable to adapt in a timely manner and at reasonable cost to changing market conditions or user requirements, they will cease to be competitive with other channels for the purchase of precious coins and bullion.
If we are unable to adapt in a timely manner and at reasonable cost to changing market conditions or user requirements, our Direct-to-Consumer businesses will cease to be competitive with other channels for the purchase of precious coins and bullion.
The Company relies on a combination of patent, trade secret, copyright and trademark laws and contractual restrictions, such as confidentiality agreements and licenses, to protect its business, services, know-how and information.
The Company’s failure or inability to protect its intellectual property could harm its competitive position. The Company relies on a combination of patent, trade secret, copyright and trademark laws and contractual restrictions, such as confidentiality agreements and licenses, to protect its business, services, know-how and information.
Risks Relating to Our Common Stock We may not continue to pay any dividends in the future. A-Mark’s board of directors has adopted a regular quarterly cash dividend policy of $0.20 per common share ($0.80 per share on an annual basis).
Any inability to do so could have a material adverse effect on our business. 28 Risks Relating to Our Common Stock We may not continue to pay any dividends in the future. A-Mark’s board of directors has adopted a regular quarterly cash dividend policy of $0.20 per common share ($0.80 per share on an annual basis), beginning in October 2022.
Moreover, because of the nature of the current business and financial environment, particularly in regards to the precious metal industry, it is difficult to create with any acceptable measure of precision customary financial projections and forecasts for our business over the next several years. This could adversely affect our ability to engage in financial and operational planning for the future.
Moreover, because of the nature of the current business and financial environment, particularly concerning the precious metal industry, it is difficult to create with any acceptable measure of precision customary financial projections and forecasts for our business over the next several years.
These laws may also limit the Company’s ability to process sensitive Personal Information, which includes financial data, account information, identification card numbers, social security numbers, and precise geolocation. The Company will have to update is policies, notices, procedures, and permissions in response to these new privacy laws. The Company may also have to update its advertising practices.
These laws may also limit the Company’s ability to process sensitive Personal Data, which includes financial data, account information, identification card numbers, social security numbers, biometric data, and precise geolocation. As each pending consumer privacy law takes effect, the Company will have to assess and potentially update its policies, notices, procedures, and permissions in response.
JMB and SGB rely upon paid and unpaid internet search engines to rank their product offerings and drive traffic to their websites, and their website traffic may suffer if their rankings decline or their relationships with these services deteriorates. JMB and SGB rely on paid and unpaid internet search engines to attract consumer interest in their product offerings.
Many of our Direct-to-Consumer businesses rely upon paid and unpaid internet search engines to rank their product offerings and drive traffic to their websites, and their website traffic may suffer if their rankings decline or their relationships with these services deteriorates.
We rely on the efficient functioning of commodity exchanges around the world, and disruptions on these exchanges could adversely affect our business. The Company buys and sells precious metals contracts on commodity exchanges around the world, both in support of its customer operations and to hedge its inventory and transactional exposure against fluctuations in commodity prices.
The Company buys and sells precious metals contracts on commodity exchanges around the world, both in support of its customer operations and to hedge its inventory and transactional exposure against fluctuations in commodity prices.
By reason of our Direct-to-Consumer business in particular, we collect personal data or personal information, which is broadly defined to include all information that can be related to a consumer or household, including identification information, demographics, usage, transactions and inquiries, preferences, and inferences drawn to create a profile about a consumer (“Personal Information”).
By reason of our Direct-to-Consumer business in particular, we collect personal data or personal information, which is broadly defined to include all information that can be linked or reasonably linked to an identified or identifiable individual, including, but not limited to, identification information, demographics, transactions, preferences, and inferences drawn to create a profile about a consumer (“Personal Data”).
For example, because of the nature and value of the products in which deal, we are required to comply with the Foreign Corrupt Practices Act and a variety of anti-money laundering and know-your-customer rules in response to the USA Patriot Act.
There are various other federal, state, local and foreign laws, ordinances and regulations that affect our trading business. For example, because of the nature and value of the products in which we deal, we are required to comply with the Foreign Corrupt Practices Act and a variety of anti-money laundering and know-your-customer rules in response to the USA Patriot Act.
We use lead providers and marketing affiliates to assist us in obtaining new customers, and if lead providers or marketing affiliates do not comply with an increasing number of applicable laws and regulations, or if our ability to use such lead providers or marketing affiliates is otherwise impaired, it could adversely affect our business.
For other risks related to taxation, see “ Risk Factors of General Applicability — Changes in tax law could adversely affect our business ,” below. 27 We use lead providers and marketing affiliates to assist us in obtaining new customers, and if lead providers or marketing affiliates do not comply with an increasing number of applicable laws and regulations, or if our ability to use such lead providers or marketing affiliates is otherwise impaired, it could adversely affect our business.

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Item 1C. Cybersecurity

Cybersecurity — threats and controls disclosure

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Biggest changeFor more information on the risks that we face from cybersecurity threats, see “Risk Factors – Risk Factors of General Applicability—New rules have recently become effective that will require the Company to provide disclosures regarding cybersecurity management and events.” in Part 1, Item 1A of this report.
Biggest changeFor more information on the risks that we face from cybersecurity threats, see “Risk Factors – Risk Factors of General Applicability—Legislatures and regulators continue to scrutinize cybersecurity management and incident reporting.” in Part 1, Item 1A of this report. 31 Cybersecurity Governance The Board has overall responsibility for risk oversight and has delegated oversight of our Cybersecurity Program, including enterprise-wide risk assessment and management, to the CCDC.
During vendor onboarding, we perform risk-based due diligence on these third-parties, with heightened requirements for vendors that have access to confidential or personal information or that require access to our information systems. This Vendor Management Program includes specific cybersecurity requirements for our vendors, as well as ongoing monitoring, assessment, and contract review.
During vendor onboarding, we perform risk-based due diligence on these third-parties, with heightened requirements for vendors that have access to confidential enterprise information, personal data, or that require access to our information systems. This Vendor Management Program includes specific cybersecurity requirements for our vendors, as well as ongoing monitoring, assessment, and contract review.
Other members of the CCDC include top executives and management from the Company and its subsidiaries, including A-Mark’s General Counsel, President, Chief Financial Officer, Chief Operating Officer, Senior Director of Financial Reporting, Director of Internal Audit, and Director of Enterprise Development and Administration, as well as JM Bullion’s President and Chief Executive Officer and its Chief Financial Officer.
Other members of the CCDC include top executives and management from the Company and its subsidiaries, including A-Mark’s General Counsel and Assistant General Counsel, CPO, President, Chief Financial Officer, Chief Operating Officer, Senior Director of Financial Reporting, Senior Director of Internal Audit, and Director of Enterprise Development and Administration, as well as JM Bullion’s President and Chief Executive Officer and its Chief Financial Officer.
ITEM 1C. CYBERSECURITY Cybersecurity Risk Management and Strategy We recognize the importance of information security practices designed to protect the confidentiality, integrity, and availability of company information and the personal information that we process. Cybersecurity risk management is an integral part of our overall enterprise risk management efforts.
ITEM 1C. CYBE RSECURITY Cybersecurity Risk Management and Strategy We recognize the importance of information security practices designed to protect the confidentiality, integrity, and availability of company information and the personal information that we process. Cybersecurity risk management is an integral part of our overall enterprise risk management efforts.
The CCDC regularly enlists subject matter experts to assist where necessary. We also maintain a formal Vendor Management Program that provides oversight of cybersecurity risks related to our vendor and supplier relationships.
The CCDC regularly enlists internal and external subject matter experts to assist where necessary. We also maintain a formal Vendor Management Program that provides oversight of cybersecurity risks related to our vendor and supplier relationships.
However, the sophistication of and risks from cybersecurity threats and incidents continue to increase, and the preventative actions that we have taken and continue to take to reduce the risk of cybersecurity threats and incidents may not successfully protect against all cybersecurity threats and incidents.
However, the sophistication of and risks from cybersecurity threats and incidents continue to increase, and the preventative actions that we have taken and continue to take to reduce the risk of cybersecurity threats and incidents may not successfully protect against all cybersecurity threats and inciden ts.
Finally, the CCDC is assisted by an external compliance consultant with over twenty years of IT experience, and A-Mark’s outside legal counsel for privacy and data security. 31
Finally, the CCDC is assisted by an external compliance consultant with over twenty years of IT experience, and A-Mark’s outside legal counsel for privacy and data security. 32
We may also be subject to examinations by applicable regulators. We conduct annual cybersecurity training for employees to enhance awareness of how to detect and respond to cybersecurity threats, as well as periodic phishing training and testing campaigns. We also conduct table-top exercises annually to simulate a response to a cybersecurity incident.
We may also be subject to examinations or disclosures by applicable regulators. We conduct annual cybersecurity training for employees to enhance awareness of how to detect and respond to cybersecurity threats, as well as periodic phishing training and testing campaigns. We also conduct periodic table-top exercises to simulate a response to a cybersecurity incident.
As part of our Cybersecurity Program, we maintain a Written Information Security Plan that outline internal controls and procedures designed to protect our information systems.
As part of our Cybersecurity Program, we maintain a Written Information Security Plan that outlines internal controls and procedures designed to protect our information systems.
Our Cybersecurity Compliance and Disclosure Committee (CCDC), which is further described below, is chaired by our CIO and includes the General Counsel of A-Mark and other representatives from the Company and our subsidiaries, including top-level management, to ensure enterprise-wide implementation and consistent application of the Company’s data security policies and procedures.
Our Cybersecurity Compliance and Disclosure Committee ("CCDC"), which is further described below, is chaired by our CIO and includes the General Counsel and the CPO of A-Mark and other representatives from the Company and our subsidiaries, including top-level management, to ensure enterprise-wide implementation and consistent application of the Company’s data security, privacy, and artificial intelligence policies and procedures.
The CCDC is also authorized and directed to report to the Board and A-Mark’s CEO promptly in the event of a significant cybersecurity incident, as appropriate. A-Mark’s Chief Information Officer (CIO) chairs the CCDC. Our CIO brings over 14 years of IT experience to A-Mark.
The CCDC is also authorized and directed to report to the Board and A-Mark’s CEO promptly in the event of a significant cybersecurity incident, as appropriate. A-Mark’s CIO chairs the CCDC. Our CIO brings over 15 years of IT experience to A-Mark.
Our designated IT team members monitor cybersecurity threats in real time for the Company at the enterprise level, with the assistance of third-party threat detection and monitoring software. Cybersecurity threats at the subsidiary level are also monitored in real time by experienced IT professionals at those subsidiaries, including our Vice President of Digital and Technology at JM Bullion.
Our designated IT team members monitor cybersecurity threats in real time for the Company at the enterprise level, with the assistance of third-party threat detection and monitoring software. Cybersecurity threats at the subsidiary level are also monitored in real time by experienced IT professionals at those subsidiaries, including our IT leadership at JM Bullion, AMS, Pinehurst, LPM, and SGI.
The CCDC oversees and approves all Company policies and procedures related to cybersecurity. The CCDC also ensures that significant cybersecurity issues or concerns are reported to the Board and A-Mark’s CEO, and disclosed to the public, individuals, or regulators where required by law.
The CCDC also ensures that significant cybersecurity issues or concerns are reported to the Board and A-Mark’s CEO, and disclosed to the public, individuals, or regulators where required by law.
These individuals report cybersecurity incidents immediately to our Chief Information Officer (CIO), who in turn follows approved reporting protocols, as more fully described below.
These individuals report cybersecurity incidents immediately to our Chief Information Officer ("CIO") and Chief Privacy Officer ("CPO"), who in turn follow approved incident response and reporting protocols, as more fully described below.
Members of the CCDC are involved in and review the Vendor Management Program at least annually. 30 To date, we have not identified any risks from cybersecurity threats, including as a result of any previous cybersecurity incidents, that have materially affected us or are reasonably likely to materially affect us, including our business strategy, results of operations, or financial condition.
To date, we have not identified any risks from cybersecurity threats, including as a result of any previous cybersecurity incidents, that have materially affected us or are reasonably likely to materially affect us, including our business strategy, results of operations, or financial condition.
Once the threat has been analyzed, our CIO will inform our General Counsel of any security incidents. The General Counsel will report on the incident, as appropriate, to the CCDC, our CEO, President and CFO, and to the Board, either at the next scheduled meeting or on a current basis, depending on the severity of the incident.
The General Counsel or her delegate will report on the incident, as appropriate, to the CCDC, our CEO, President, CFO, and to the Board, either at the next scheduled meeting or on a current basis, depending on the severity of the incident.
The CCDC directly oversees information technology and information security risks through regular meetings, reports from management on information technology, cybersecurity, and related risk assessments, and incidents disclosed by third-party service providers as applicable. If a cybersecurity threat is identified, our Vice President of IT or other reporting individuals will immediately inform our IT service desk and notify our CIO.
The CCDC directly oversees information technology and information security risks through regular meetings, reports from management on information technology, cybersecurity, and related risk assessments, and incidents disclosed by third-party service providers as applicable.
Cybersecurity Governance The Board has overall responsibility for risk oversight and has delegated oversight of our Cybersecurity Program, including enterprise-wide risk assessment and management, to the CCDC. The CCDC’s charter requires it to monitor Company efforts to prevent, detect, mitigate, and remediate cybersecurity incidents, and to comply with cybersecurity laws and regulations.
The CCDC’s charter requires it to monitor Company efforts to prevent, detect, mitigate, and remediate cybersecurity incidents, and to comply with cybersecurity laws and regulations. The CCDC oversees and approves all Company policies and procedures related to cybersecurity.
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Members of the CCDC are involved in and review the Vendor Management Program annually. We also maintain a formal Generative Artificial Intelligence ("GAI") Policy and Program that provides oversight of cybersecurity, privacy, and contractual risks related to enterprise use of GAI .
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All GAI tools and use cases must be submitted for review and approval by a subcommittee of CCDC members based on specific cybersecurity, privacy, and contractual requirements.
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If a cybersecurity threat is identified, our Vice President of IT or other reporting individuals will immediately inform our IT service desk and notify our CIO and CPO. Once the threat has been analyzed, our CIO and CPO will inform our General Counsel of any security incidents.
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Each quarter, the enterprise CPO presents legal and regulatory updates concerning cybersecurity, security incident response and notification, privacy, and artificial intelligence. A-Mark’s CPO is certified by the International Association of Privacy Professionals as an EU, US, and management privacy professional, as well as an artificial intelligence governance professional.
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Our CPO has over a decade of privacy, data protection, and information management experience.

Item 2. Properties

Properties — owned and leased real estate

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Biggest changePROPERTIES As of June 30, 2024, the Company owned or leased properties as described below: Location General Use of Facility Square Footage Ownership Lease-term Expiration Wholesale Sales and Ancillary Services Segment El Segundo, California (1) Corporate headquarters, trading desk, secured lending, marketing, and back-office operations 9,000 Leased March-2026 Las Vegas, Nevada Storage and fulfillment logistics operations 24,743 Leased April-2030 Winchester, Indiana Minting operations 17,000 Owned not applicable Winchester, Indiana Minting operations 5,000 Owned not applicable Winchester, Indiana Fabrication facility 17,000 Leased May-2025 Carson City, Nevada Die-cutting and engraving facility 2,000 Leased June-2025 Vienna, Austria International marketing support operations 248 Leased every three months Hong Kong Regional headquarters and back-office operations 4,599 Leased June-2026 Hong Kong Numismatics showroom 3,500 Leased January-2026 Direct-to-Consumer Segment Los Angeles, California Corporate office and support center 11,468 Leased January-2028 Dallas, Texas Corporate office and support center 3,093 Leased December-2024 Dallas, Texas Corporate office and support center 10,586 Leased November-2028 Irving, Texas Distribution hub 24,640 Leased April-2031 Calgary, Canada Corporate office and support center 22,650 Leased August-2028 Calgary, Canada Corporate office and support center 4,176 Leased August-2025 (1) The Secured Lending segment shares office space at this facility.
Biggest changePROPERTIES As of June 30, 2025, the Company owned or leased properties as described below: Location General Use of Facility Square Footage Ownership Lease-term Expiration Wholesale Sales and Ancillary Services Segment El Segundo, California (1) Corporate headquarters, trading desk, secured lending, marketing, and back-office operations 9,000 Leased March-2026 Las Vegas, Nevada Storage and fulfillment logistics operations 24,743 Leased April-2030 Las Vegas, Nevada Warehouse 14,614 Leased September-2030 Winchester, Indiana Minting operations 17,000 Owned not applicable Winchester, Indiana Minting operations 5,000 Owned not applicable Winchester, Indiana Fabrication facility 17,000 Leased May-2026 Carson City, Nevada Die-cutting and engraving facility 2,000 Leased month-to-month Vienna, Austria International marketing support operations 248 Leased every three months Hong Kong Regional headquarters and back-office operations 4,599 Leased June-2026 Hong Kong Numismatics showroom 3,500 Leased January-2026 Costa Mesa, California (2) Corporate office and support center 27,973 Leased August-2027 Pinehurst, North Carolina (2) Corporate office and support center 10,000 Leased November-2025 Direct-to-Consumer Segment Los Angeles, California Corporate office and support center 11,468 Leased January-2028 Dallas, Texas Corporate office and support center 3,093 Leased December-2024 Dallas, Texas Corporate office and support center 10,586 Leased November-2028 Irving, Texas Distribution hub 24,640 Leased April-2031 Calgary, Canada Corporate office and support center 22,650 Leased August-2028 Calgary, Canada Corporate office and support center 4,176 Leased August-2026 Burnsville, Minnesota Warehouse 23,319 Leased June-2027 Eagan, Minnesota Corporate office and support center 44,298 Leased August-2039 Tulsa, Oklahoma Retail office and support center 3,200 Leased May-2030 Hong Kong Retail office and support center 4,684 Leased June-2026 Miami, Florida Retail office, walk-in showroom 3,500 Leased August-2034 Costa Mesa, California Corporate office, auction and event venue 12,691 Leased August-2027 Santa Ana, California Warehouse 41,722 Leased April-2030 Philadelphia, Pennsylvania Retail office and support center 3,128 Leased September-2028 San Francisco, California Retail office and support center 4,839 Leased June-2035 New York, New York Retail, auction and event venue 2,150 Leased October-2029 Boston, Massachusetts Retail office and support center 5,662 Leased April-2032 Newport Beach, California Warehouse 3,025 Leased February-2027 Wolfboro, New Hampshire Retail office and support center 2,000 Leased month-to-month Paris, France Retail office and support center 250 Leased month-to-month Copenhagen, Denmark Retail office 1,851 Leased month-to-month Singapore Corporate office and support center 2,020 Leased March-2027 (1) The Secured Lending segment shares office space at this facility.
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(2) The Direct-to-Consumer segment shares office space at this facility.

Item 3. Legal Proceedings

Legal Proceedings — active lawsuits and investigations

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MINE SAFET Y DISCLOSURES None. 33 PART II

Item 5. Market for Registrant's Common Equity

Market for Common Equity — stock, dividends, buybacks

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Biggest change(BGC) Enova International, Inc. (ENVA) Carvana Co. (CVNA) IG Group Holdings plc (IGG.L) EZCORP, Inc. (EZPW) Stitch Fix, Inc. (SFIX) StoneX Group Inc. (SNEX) FirstCash Holdings, Inc. (FCFS) The Lovesac Company (LOVE) Swissquote Group Holding Ltd (SQN.SW) Regional Management Corp. (RM) Liquidity Services, Inc. (LQDT) B. Riley Financial, Inc. (RILY) World Acceptance Corporation (WRLD) Beyond, Inc. (BYON) Oppenheimer Holdings Inc.
Biggest change(FCFS) The Lovesac Company (LOVE) Swissquote Group Holding Ltd (SQN.SW) Regional Management Corp. (RM) Liquidity Services, Inc. (LQDT) B. Riley Financial, Inc. (RILY) World Acceptance Corporation (WRLD) Beyond, Inc. (BYON) Oppenheimer Holdings Inc. (OPY) GreenDot Corporation (GDOT) PC Connection, Inc.
The dividend was paid on July 28, 2023 and totaled $4.7 million. 33 • On August 17, 2023, the Company's board of directors declared a non-recurring special dividend of $1.00 per share of common stock to stockholders of record at the close of business on September 12, 2023.
The dividend was paid on July 28, 2023 and totaled $4.7 million. • On August 17, 2023, the Company's board of directors declared a non-recurring special dividend of $1.00 per share of common stock to stockholders of record at the close of business on September 12, 2023.
The dividend was paid on September 26, 2023 and totaled $23.4 million. • On August 17, 2023, the Company's board of directors also declared a regular cash dividend of $0.20 per share of common stock to stockholders of record at the close of business on October 10, 2023.
The dividend was paid on September 26, 2023 and totaled $23.4 million. 34 • On August 17, 2023, the Company's board of directors also declared a regular cash dividend of $0.20 per share of common stock to stockholders of record at the close of business on October 10, 2023.
Stock Performance Graph Set forth below is a graph comparing the cumulative total stockholder return on shares of A-Mark common stock against the cumulative total return of (i) the Nasdaq Composite Index and (ii) a group of companies that are in lines of business reasonably comparable to A-Mark's businesses ("peer companies") for the five-year period from June 30, 2019 to June 30, 2024.
Stock Performance Graph Set forth below is a graph comparing the cumulative total stockholder return on shares of A-Mark common stock against the cumulative total return of (i) the Nasdaq Composite Index and (ii) a group of companies that are in lines of business reasonably comparable to A-Mark's businesses ("peer companies") for the five-year period from June 30, 2020 to June 30, 2025.
ITEM 5. MARKET FOR REGISTRANT'S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES Market Information A-Mark's shares of common stock are traded on the NASDAQ Global Select Market under the symbol "AMRK". As of September 6, 2024, there were 104 registered stockholders of record of our common stock.
ITEM 5. MARKET FOR REGISTRANT'S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES Market Information A-Mark's shares of common stock are traded on the NASDAQ Global Select Market under the symbol "AMRK". As of September 5, 2025, there were 139 registered stockholders of record of our common stock.
All of the 2014 Plan shares that are available for future issuance include the following award types: stock options, stock appreciation rights, restricted stock units, restricted stock, and other "full-value" awards.
Represents shares that are available for future issuance under the Company's amended and restated 2014 Stock Award and Incentive Plan (the "2014 Plan"). All of the 2014 Plan shares that are available for future issuance include the following award types: stock options, stock appreciation rights, restricted stock units, restricted stock, and other "full-value" awards.
We did not repurchase any shares during the quarter ended June 30, 2024. Recent Sales of Unregistered Equity Securities We did not sell any unregistered equity securities during the period covered by this report. ITEM 6. [RE SERVED] 34
We did not repurchase any shares during the quarter ended June 30, 2025. Recent Sales of Unregistered Equity Securities We did not sell any unregistered equity securities during the period covered by this report. ITEM 6. [RESERVED]
As of June 30, 2024, 1,151,491 shares had been repurchased and 848,509 shares remain authorized for repurchase under the program. Under the share repurchase program, we may repurchase shares of our common stock from time to time at prevailing market prices, depending on market conditions, through open market or privately negotiated transactions.
As of June 30, 2025, 1,321,003 shares had been repurchased and 678,997 shares remain authorized for repurchase under the program. 35 Under the share repurchase program, we may repurchase shares of our common stock from time to time at prevailing market prices, depending on market conditions, through open market or privately negotiated transactions.
(OPY) GreenDot Corporation (GDOT) PC Connection, Inc. (CNXN) Dividend Policy The Company's board of directors has adopted a regular quarterly cash dividend policy of $0.20 per common share ($0.80 per share on an annual basis).
(CNXN) Dividend Policy The Company's board of directors has adopted a regular quarterly cash dividend policy of $0.20 per common share ($0.80 per share on an annual basis).
Equity Compensation Plan Information The following table provides information as of June 30, 2024 with respect to the shares of our common stock that may be issued under existing equity compensation plans: Plan category (a) Number of securities to be issued upon exercise of outstanding options, warrants, and restricted stock units (b) Weighted-average exercise price of outstanding options, warrants, and restricted stock units (c) Number of securities remaining available for future issuance under equity compensation plans (excluding securities reflected in column (a)) Equity compensation plans approved by security holders 1,261,794 $ 6.52 (1) 1,692,891 (2) Equity compensation plans not approved by security holders — — — 1,261,794 $ 6.52 (1) 1,692,891 (2) (1) The weighted-average exercise prices are calculated including the restricted stock units ("RSUs") as rights to acquire shares with an exercise price assumed to be zero.
Equity Compensation Plan Information The following table provides information as of June 30, 2025 with respect to the shares of our common stock that may be issued under existing equity compensation plans: Plan category (a) Number of securities to be issued upon exercise of outstanding options, warrants, and restricted stock units (b) Weighted-average exercise price of outstanding options, warrants, and restricted stock units (c) Number of securities remaining available for future issuance under equity compensation plans (excluding securities reflected in column (a)) Equity compensation plans approved by security holders 1,316,702 $ 8.66 (1) 1,379,222 (2) Equity compensation plans not approved by security holders — — — 1,316,702 $ 8.66 (1) 1,379,222 (2) 1.
The dividend was paid on October 24, 2022 and totaled $4.7 million. • On January 4, 2023, the Company's board of directors declared a quarterly regular cash dividend of $0.20 per common share to stockholders of record at the close of business on January 16, 2023.
The dividend was paid on October 22, 2024 and totaled $4.6 million. • On January 2, 2025, the Company's board of directors declared a regular cash dividend of $0.20 per share of common stock to stockholders of record at the close of business on January 14, 2025.
The dividend totaling $4.7 million was paid on January 27, 2023. • On April 5, 2023, our board of directors declared a regular dividend of $0.20 per share to shareholders of record at the close of business on April 17, 2023. The dividend totaling $4.7 million was paid on April 28, 2023.
The dividend was paid on January 28, 2025 and totaled $4.6 million. • On April 3, 2025, our board of directors declared a regular dividend of $0.20 per share to shareholders of record at the close of business on April 15, 2025. The dividend totaling $4.9 million was paid on April 29, 2025.
The graph assumes that $100 was invested on June 30, 2019 in our common stock, in the Nasdaq Composite Index companies and in the peer group companies (on a market-capitalization-weighted basis), and that all dividends were reinvested in the same class of stock. 32 Below are the companies which comprise the peer group in the graph above, in the indicated lines of business: Alternative Brokerage Firms Alternative Financial Services E-Commerce BGC Group, Inc.
The graph assumes that $100 was invested on June 30, 2020 in our common stock, in the Nasdaq Composite Index companies and in the peer group companies (on a market-capitalization-weighted basis), and that all dividends were reinvested in the same class of stock.
The dividend was paid on September 26, 2022 and totaled $23.4 million. • On August 18, 2022, the Company's board of directors also declared the initial quarterly regular cash dividend under its dividend policy of $0.20 per common share to stockholders of record at the close of business on October 10, 2022.
The dividend was paid on July 31, 2024 and totaled $4.6 million. • On August 20, 2024, the Company's board of directors declared a regular cash dividend of $0.20 per share of common stock to stockholders of record at the close of business on October 8, 2024.
In fiscal 2023, the Company paid the following dividends. • On August 18, 2022, the Company's board of directors declared a non-recurring special dividend of $1.00 per common share to stockholders of record at the close of business on September 12, 2022.
In fiscal 2025, the Company paid the following dividends. • On July 5, 2024, the Company's board of directors declared a regular dividend of $0.20 per share of common stock to stockholders of record at the close of business on July 18, 2024.
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The weighted-average exercise price of stock options for all outstanding stock options excluding RSUs was $7.10. (2) Represents shares that are available for future issuance under the Company's amended and restated 2014 Stock Award and Incentive Plan (the "2014 Plan").
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Below are the companies which comprise the peer group in the graph above, in the indicated lines of business: Alternative Brokerage Firms Alternative Financial Services E-Commerce BGC Group, Inc. (BGC) Enova International, Inc. (ENVA) Carvana Co. (CVNA) IG Group Holdings plc (IGG.L) EZCORP, Inc. (EZPW) Stitch Fix, Inc. (SFIX) StoneX Group Inc. (SNEX) FirstCash Holdings, Inc.
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The weighted-average exercise prices are calculated including the restricted stock units ("RSUs") as rights to acquire shares with an exercise price assumed to be zero. The weighted-average exercise price of stock options for all outstanding stock options excluding RSUs was $9.68. 2.

Item 7. Management's Discussion & Analysis

Management's Discussion & Analysis (MD&A) — revenue / margin commentary

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Biggest changeDepreciation and Amortization Expense in thousands Year Ended June 30, 2024 2023 Change $ % of revenue $ % of revenue $ % Depreciation and amortization expense $ (11,397 ) (0.118 %) $ (12,525 ) (0.135 %) $ (1,128 ) (9.0 %) Depreciation and amortization expense for the year ended June 30, 2024 decreased $1.1 million, or 9.0%, to $11.4 million from $12.5 million in 2023 primarily due to (i) a $2.2 million decrease in JMB’s intangible asset amortization expense, partially offset by (ii) a $0.6 million increase in depreciation expense related to our property, plant and equipment and (iii) $0.5 million of amortization expense relating to intangible assets acquired through our acquisition of LPM and acquisition of a controlling interest in SGB. 43 Interest Income in thousands, except performance metric Year Ended June 30, 2024 2023 Change $ % of revenue $ % of revenue $ % Interest income $ 27,168 0.280 % $ 22,231 0.239 % $ 4,937 22.2 % Performance Metric Number of secured loans at period-end 588 882 (294 ) (33.3 %) Interest income for the year ended June 30, 2024 increased $4.9 million, or 22.2%, to $27.2 million from $22.2 million in 2023.
Biggest changeSelling, general and administrative expenses for the year ended June 30, 2025 include expenses incurred by LPM, SGB, SGI, and Pinehurst, and AMS which were not included, or only partially included, in the same year-ago period, as these were not consolidated subsidiaries for the full period. 45 Depreciation and Amortization Expense in thousands Year Ended June 30, 2025 2024 Change $ % of revenue $ % of revenue $ % Depreciation and amortization expense $ (22,920 ) (0.209 %) $ (11,397 ) (0.118 %) $ 11,523 101.1 % Depreciation and amortization expense for the year ended June 30, 2025 increased $11.5 million, or 101.1%, to $22.9 million from $11.4 million in 2024 primarily due to (i) an increase in amortization expense of $12.9 million relating to intangible assets acquired through our acquisitions of LPM, SGI, Pinehurst, AMS, and acquisition of a controlling interest in SGB, (ii) an increase of $1.8 million of depreciation expense due to an increase in capital expenditures, partially offset by (iii) a decrease in JMB intangible asset amortization of $3.1 million.
In doing so, we seek to leverage off the strengths of our existing integrated operations, which span trading, distribution, logistics, minting, storage, hedging, financing, and consignment products and services, including: • our expertise in e-commerce and marketing; • the depth of our customer relationships and our ability to acquire and retain new customers; • our long-standing relationships with the United States Mint and other sovereign and private mints; • our access to market makers and suppliers; • our global trading systems; • our network of precious metals dealers; • our depository relationships around the world; • our design and production of minted silver products; • our ability to obtain more favorable pricing and financing terms due to our size; • our ability to manage exposure to commodity price risk through our experienced traders; • our distribution, storage and logistics capabilities; • our knowledge of secured lending; and • the quality and experience of our management team.
In doing so, we seek to leverage off the strengths of our existing integrated operations, which span trading, e-commerce, distribution, logistics, minting, storage, hedging, financing, and consignment products and services, including: • our expertise in e-commerce and marketing; • the depth of our customer relationships and our ability to acquire and retain new customers; • our long-standing relationships with the United States Mint and other sovereign and private mints; • our access to market makers and suppliers; • our global trading systems; • our network of precious metals dealers; • our depository relationships around the world; • our design and production of minted silver products; • our ability to obtain more favorable pricing and financing terms due to our size; • our ability to manage exposure to commodity price risk through our experienced traders; • our distribution, storage and logistics capabilities; • our knowledge of secured lending; and • the quality and experience of our management team.
CONTRACTUAL OBLIGATIONS, CONTINGENT LIABILITIES AND COMMITMENTS Counterparty Risk We face counterparty risks in our Wholesale Sales and Ancillary Services segment.
CONTRACTUAL OBLIGATIONS, CONTINGENT LIABILITIES AND COMMITMENTS Counterparty Risk We face counterparty risks in our Wholesale Sales & Ancillary Services segment.
Due to the nature of our hedging strategy, we are not using hedge accounting as defined under Derivatives and Hedging Topic 815 of the ASC ("ASC 815"). Unrealized gains or losses resulting from our forward and futures contracts are reported as cost of sales with the related amounts due from or to counterparties reflected as derivative assets or liabilities.
Due to the nature of our hedging strategy, we are not using hedge accounting as defined under ASC Topic 815 Derivatives and Hedging ("ASC 815"). Unrealized gains or losses resulting from our forward and futures contracts are reported as cost of sales with the related amounts due from or to counterparties reflected as derivative assets or liabilities.
We eliminate the impact of the following items: (i) remeasurement gains or losses related to pre-existing equity interests, (ii) contingent consideration fair value adjustments, (iii) acquisition costs, (iv) amortization expenses related to intangible assets acquired, and (v) depreciation expense. 52 See below for the reconciliation of this non-GAAP financial performance measure to its most closely comparable U.S.
We eliminate the impact of the following items: (i) remeasurement gains or losses related to pre-existing equity interests, (ii) contingent consideration fair value adjustments, (iii) acquisition costs, (iv) amortization expenses related to intangible assets acquired, and (v) depreciation expense. See below for the reconciliation of this non-GAAP financial performance measure to its most closely comparable U.S.
We use the following three metrics as revenue growth indicators when assessing our customer base: • New Direct-to-Consumer Customers means the number of customers that have registered or set up a new account, made a purchase for the first time during the period, or acquired through investment activity. • Active Direct-to-Consumer Customers means the number of customers that have made a purchase during any month during the period. • Total Direct-to-Consumer Customers means the aggregate number of customers that have registered or set up an account or have made a purchase in the past.
We use the following three metrics as revenue growth indicators when assessing our customer base: • New Direct-to-Consumer Customers means the number of customers that have registered or set up a new account, made a purchase for the first time during the period, or acquired through investment activity. 41 • Active Direct-to-Consumer Customers means the number of customers that have made a purchase during any month during the period. • Total Direct-to-Consumer Customers means the aggregate number of customers that have registered or set up an account or have made a purchase in the past.
JMB owns and operates numerous websites targeting specific niches within the precious metals retail market, including JMBullion.com, ProvidentMetals.com, Silver.com, CyberMetals.com, GoldPrice.org, SilverPrice.org, BGASC.com, BullionMax.com, and Gold.com. In April 2022, JMB commercially launched the CyberMetals online platform, where customers can purchase and sell fractional shares of digital gold, silver, platinum, and palladium bars in a range of denominations.
JMB owns and operates numerous websites targeting specific niches within the precious metals retail market, including JMBullion.com, ProvidentMetals.com, Silver.com, CyberMetals.com, GoldPrice.org, SilverPrice.org, BGASC.com, BullionMax.com, and Gold.com. 38 In April 2022, JMB commercially launched the CyberMetals online platform, where customers can purchase and sell fractional shares of digital gold, silver, platinum, and palladium bars in a range of denominations.
For this reason, the Company believes ounces sold (excluding ounces sold on forward sales contracts) is a meaningful metric to assess our top line performance. 38 In addition, the Company earns revenue by providing storage solutions for precious metals and numismatic coins for financial institutions, dealers, investors, and collectors worldwide and by providing storage and order-fulfillment services to our retail customers.
For this reason, the Company believes ounces sold (excluding ounces sold on forward sales contracts) is a meaningful metric to assess our top line performance. In addition, the Company earns revenue by providing storage solutions for precious metals and numismatic coins for financial institutions, dealers, investors, and collectors worldwide and by providing storage and order-fulfillment services to our retail customers.
Although conditions may fluctuate from period to period, when volatility is high, we historically experience increased demand for products in each of our coin and bar, industrial, and retail businesses. While macroeconomic uncertainty continues to impact our business, its effects have been less pronounced in the current fiscal year.
Although conditions may fluctuate from period to period, when volatility is high, we historically experience increased demand for products in each of our coin and bar, industrial, and retail businesses. While macroeconomic uncertainty continues to impact our business, its effects have been less pronounced in the current and prior fiscal year.
We enter into these forward and futures contracts as part of our hedging strategy to mitigate our price risk of holding inventory; they are not entered into for speculative purposes. Forward sales contracts by their nature are required to be included in revenues, unlike futures contracts which do not impact the Company’s revenue.
We enter into these forward and futures contracts as part of our hedging strategy to mitigate our price risk of holding inventory; they are not entered into for speculative purposes. 40 Forward sales contracts by their nature are required to be included in revenues, unlike futures contracts which do not impact the Company’s revenue.
As a result, a decline of precious metal market prices may cause a decrease in the number of loans outstanding in a period. Non-GAAP Measures In addition to key operational metrics that are used to assess the performance of our business, management also uses non-GAAP financial performance and liquidity measures.
As a result, a decline of precious metal market prices may cause a decrease in the number of loans outstanding in a period. 42 Non-GAAP Measures In addition to key operational metrics that are used to assess the performance of our business, management also uses non-GAAP financial performance and liquidity measures.
Included in our analysis is a discussion of seven performance metrics: o (i) ounces of gold and silver sold, o (ii) Wholesale Sales ticket volume, o (iii) Direct-to-Consumer ticket volume: • (a) Direct-to-Consumer ticket volume from new customers, • (b) Direct-to-Consumer ticket volume from pre-existing customers, • (c) Direct-to-Consumer total ticket volume, o (iv) Direct-to-Consumer and JMB average order value, o (v) number of Direct-to-Consumer customers: • (a) Direct-to-Consumer number of new customers, • (b) Direct-to-Consumer number of active customers, • (c) Direct-to-Consumer total customers, o (vi) inventory turnover ratio, and o (vii) number of secured loans at period-end. 35 • Segment results of operations .
Included in our analysis is a discussion of seven performance metrics: o (i) ounces of gold and silver sold, o (ii) Wholesale Sales ticket volume, 36 o (iii) Direct-to-Consumer ticket volume: • (a) Direct-to-Consumer ticket volume from new customers, • (b) Direct-to-Consumer ticket volume from pre-existing customers, • (c) Direct-to-Consumer total ticket volume, o (iv) Direct-to-Consumer and JMB average order value, o (v) number of Direct-to-Consumer customers: • (a) Direct-to-Consumer number of new customers, • (b) Direct-to-Consumer number of active customers, • (c) Direct-to-Consumer total customers, o (vi) inventory turnover ratio, and o (vii) number of secured loans at period-end. • Segment results of operations .
Cash generated from the sales or financing of our precious metals products is our primary source of operating liquidity. Among other things, these include our product financing arrangements and liabilities on borrowed metals.
Cash generated from the sales or financing of our precious metals products is our primary source of operating liquidity. Among other things, these include our product financing arrangements, liabilities on borrowed metals, and precious metals leases.
We may also raise funds through the public or private offering of equity or debt securities, although there is no assurance that we will be able to do so at the times and in the amounts required. 54 We continually review our overall credit and capital needs to ensure that our capital base, both stockholders’ equity and available credit facilities, can appropriately support our anticipated financing needs.
We may also raise funds through the public or private offering of equity or debt securities, although there is no assurance that we will be able to do so at the times and in the amounts required. 57 We continually review our overall credit and capital needs to ensure that our capital base, both stockholders’ equity and available credit facilities, can appropriately support our anticipated financing needs.
When these contracts are net settled, the unrealized gains and losses are reversed and the realized gains and losses for forward contracts are recorded in revenue and cost of sales and the net realized gains and losses for futures are recorded in cost of sales.
When these contracts are net settled, the unrealized gains and losses are reversed and the realized gains and losses for forward contracts are recorded in revenue and cost of sales, respectively, and the net realized gains and losses for futures are recorded in cost of sales.
Our Direct-to-Consumer segment sells to (and, through JMB and PMPP, buys from) retail customers, with JMB and SGB focusing on e-commerce operations and Goldline marketing through various traditional and e-commerce channels to the investor community. The Direct-to-Consumer segment offers these customers a variety of gold, silver, copper, platinum, and palladium products.
Our Direct-to-Consumer segment sells to (and, through JMB and PMPP, buys from) retail customers, with JMB, SGB, Pinehurst, and AMS focusing on e-commerce operations and Goldline marketing through various traditional and e-commerce channels to the investor community. The Direct-to-Consumer segment offers these customers a variety of gold, silver, copper, platinum, and palladium products.
The fair value of the open derivative contracts is shown as a component of derivative assets or derivative liabilities in the accompanying consolidated balance sheets. The Company enters into the derivative forward and future transactions solely for the purpose of hedging its inventory holding risk, and not for speculative market purposes.
The fair value of the open derivative contracts is shown as a component of derivative assets or derivative liabilities in the accompanying consolidated balance sheets. The Company enters into the derivative forward and futures transactions solely for the purpose of hedging its inventory holding risk, and not for speculative market purposes.
We have reviewed these critical accounting estimates and related disclosures with the Audit Committee of our board of directors. Revenue Recognition The Company accounts for its metals and sales contracts using settlement date accounting. Pursuant to such accounting, the Company recognizes the sale or purchase of the metals at settlement date.
We have reviewed these critical accounting estimates and related disclosures with the Audit Committee of our board of directors. Revenue Recognition The Company accounts for a majority of its metals and sales contracts using settlement date accounting. Pursuant to such accounting, the Company recognizes the sale or purchase of the metals at settlement date.
This section provides an analysis of our cash flows, as well as a discussion of our outstanding debt as of June 30, 2024, sources of liquidity and the amount of financial capacity available to fund our future commitments and other financing arrangements. • Critical accounting policies and estimates .
This section provides an analysis of our cash flows, as well as a discussion of our outstanding debt as of June 30, 2025, sources of liquidity and the amount of financial capacity available to fund our future commitments and other financing arrangements. • Critical accounting policies and estimates .
See Note 20 to the Company's consolidated financial statements for more information regarding our dividends. Cash Flows The majority of the Company’s trading activities involve two-day value trades under which payment is received in advance of delivery or product is received in advance of payment.
See Note 17 and Note 20 to the Company's consolidated financial statements for more information regarding our dividends. Cash Flows The majority of the Company’s trading activities involve two-day value trades under which payment is received in advance of delivery or product is received in advance of payment.
See Note 12 to the Company’s consolidated financial statements. Commitments and Contingencies Refer to Note 16 to the Company’s consolidated financial statements for information relating Company's commitments and contingencies. CRITICAL ACCOU NTING POLICIES AND ESTIMATES The Company’s consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”).
See Note 12 to the Company’s consolidated financial statements. Commitments and Contingencies Refer to Note 16 to the Company’s consolidated financial statements for information related to the Company's commitments and contingencies. CRITICAL ACCOU NTING POLICIES AND ESTIMATES The Company’s consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”).
We have omitted discussion of our fiscal year 2022 results where it would be redundant to the discussion previously included in Item 7 of our fiscal year 2023 Annual Report on Form 10-K. Our discussion is organized as follows: • Executive overview .
We have omitted discussion of our fiscal year 2023 results where it would be redundant to the discussion previously included in Item 7 of our fiscal year 2024 Annual Report on Form 10-K. Our discussion is organized as follows: • Executive overview .
Unlike our bullion coins, the value of commemorative coins is not subject to the same level of volatility as bullion coins because our commemorative coins typically carry a substantially higher premium over the spot metal price than bullion coins. Additionally, neither the commemorative coin inventory nor the premium component of our inventory is hedged.
Unlike our bullion coins, the value of collectible coins is not subject to the same level of volatility as bullion coins because our collectible coins typically carry a substantially higher premium over the spot metal price than bullion coins. Additionally, neither the collectible coin inventory nor the premium component of our inventory is hedged.
Our sources of liquidity principally include cash from operations, Trading Credit Facility (see “Lines of Credit” below), and product financing arrangements. A substantial portion of our assets are liquid. As of June 30, 2024, approximately 78.4% of our assets consisted of cash, receivables, derivative assets, secured loans receivables, precious metals held under financing arrangements, and inventories, measured at fair value.
Our sources of liquidity principally include cash from operations, Trading Credit Facility (see “Lines of Credit” below), and product financing arrangements. A substantial portion of our assets are liquid. As of June 30, 2025, approximately 78% of our assets consisted of cash, receivables, derivative assets, secured loans receivables, precious metals held under financing arrangements, and inventories, measured at fair value.
Reconciliation We calculate this non-GAAP financial performance measure by eliminating from net income before provision for income taxes the impact of items we do not consider indicative of our core operating performance.
Reconciliation We calculate this non-GAAP financial performance measure by eliminating from net income or loss before provision for income taxes the impact of items we do not consider indicative of our core operating performance.
While the premium component included in inventory is marked-to-market, our commemorative coin inventory, including its premium component, is held at the lower of cost or net realizable value, because the value of commemorative coins is influenced more by supply and demand determinants than on the underlying spot price of the precious metal content of the commemorative coins.
While the premium component included in inventory is marked-to-market, our collectible coin inventory, including its premium component, is held at the lower of cost or net realizable value, because the value of collectible coins is influenced more by supply and demand determinants than by the underlying spot price of the precious metal content of the collectible coins.
Reconciliation We calculate EBITDA by eliminating from net income the following five items: (i) interest income, (ii) interest expense, (iii) amortization expenses related to intangible assets acquired, (iv) depreciation expense, and (v) income tax expense. 53 Management believes the most directly comparable GAAP financial measure is “net cash provided by or used in operating activities” presented in the consolidated statement of cash flows.
Reconciliation We calculate EBITDA by eliminating from net income or loss the following items: (i) interest income, (ii) interest expense, (iii) amortization expenses related to intangible assets acquired, (iv) depreciation expense, and (v) income tax expense. 56 Management believes the most directly comparable GAAP financial measure is “net cash provided by or used in operating activities” presented in the consolidated statement of cash flows.
(See Note 15 .) A-Mark routinely uses funds drawn under the Trading Credit Facility to purchase metals from its suppliers and for other operating cash flow purposes. Our CFC subsidiary also uses the funds drawn under the Trading Credit Facility to finance certain of its lending activities.
A-Mark routinely uses funds drawn under the Trading Credit Facility to purchase metals from its suppliers and for other operating cash flow purposes. Our CFC subsidiary also uses the funds drawn under the Trading Credit Facility to finance certain of its lending activities.
AMCF issued and administered Secured Senior Term Notes: Series 2018-1, Class A, with an 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 referred to as the "AMCF Notes"). The AMCF Notes were repaid in full in December 2023. AMCF was dissolved in June 2024.
AMCF issued and administered Secured Senior Term Notes: Series 2018-1, Class A, with an 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 referred to as the "AMCF Notes"). The AMCF Notes were repaid in full in December 2023.
Below is a summary of dividends paid to stockholders in the year ended June 30, 2024. • On July 5, 2023, the Company's board of directors declared a regular dividend of $0.20 per share of common stock to stockholders of record at the close of business on July 17, 2023.
Below is a summary of dividends paid to stockholders in the year ended June 30, 2025. • On July 5, 2024, the Company's board of directors declared a regular dividend of $0.20 per share of common stock to stockholders of record at the close of business on July 18, 2024.
Due to amortization expense being non-cash in nature, management finds it useful to exclude these charges from our operating expenses to assist in the review of a measure that more closely corresponds to cash operating income generated from our business. Amortization of purchased intangible assets will recur in future periods. For additional information about the amortization of our purchased intangibles.
Due to amortization expense being non-cash in nature, management finds it useful to exclude these charges from our operating expenses to assist in the review of a measure that more closely corresponds to cash operating income generated from our business. Amortization of purchased intangible assets will recur in future periods.
We are required to estimate the fair value of our pre-existing equity investment as well as our option to acquire additional equity interests in SGB and record the change in the value as a remeasurement gain or loss in our consolidated statements of income.
We are required to estimate the fair value of our pre-existing equity investment as well as any options to acquire additional equity interests and record the change in the value as a remeasurement gain or loss in our consolidated statements of income.
This segment’s gross sales before eliminations of inter-segment activity totaled $9.253 billion. (b) Revenues are presented net of inter-segment transactions with the Direct-to-Consumer segment that totaled $1.464 billion.
This segment’s gross sales before eliminations of inter-segment activity totaled $10.259 billion. (b) Revenues are presented net of inter-segment transactions with the Direct-to-Consumer segment that totaled $1.006 billion. This segment’s gross sales before eliminations of inter-segment activity totaled $9.253 billion.
Net Cash Flows From Operating Activities Operating activities provided $60.9 million and used $30.3 million in cash for the years ended June 30, 2024 and 2023, respectively, representing a $91.3 million change compared to the year ended June 30, 2023.
Net Cash Flows From Operating Activities Operating activities provided $152.3 million and provided $60.9 million in cash for the years ended June 30, 2025 and 2024, respectively, representing a $91.4 million change compared to the year ended June 30, 2024.
For the year ended June 30, 2023, our effective tax rate differed from the federal statutory rate primarily due to the excess tax benefit from share-based compensation, foreign derived intangible income special deduction, offset by state taxes (net of federal tax benefit), Section 162(m) executive compensation disallowance, and other normal course non-deductible expenditures. 45 SEGMENT RESULTS OF OPERATIONS The Company conducts its operations in three reportable segments: (i) Wholesale Sales & Ancillary Services, (ii) Direct-to-Consumer, and (iii) Secured Lending.
For the year ended June 30, 2024, our effective tax rate differed from the federal statutory rate primarily due to a one-time adjustment related to the SGB step acquisition, the excess tax benefit from share-based compensation, foreign derived intangible income special deduction and partially offset by state taxes (net of federal tax benefit), Section 162(m) executive compensation disallowance, and other normal course non-deductible expenditures. 47 SEGMENT RESULTS OF OPERATIONS The Company conducts its operations in three reportable segments: (i) Wholesale Sales & Ancillary Services, (ii) Direct-to-Consumer, and (iii) Secured Lending.
This segment’s profit margin percentage decreased by 63.0 basis points to 1.094% from 1.724% in 2023. The decrease in gross margin percentage was mainly attributable to the impact of increased forward sales and lower premium spreads, partially offset by higher trading profits.
This segment’s profit margin percentage decreased by 10.6 basis points to 0.988% from 1.094% in 2024. The decrease in gross margin percentage was mainly attributable to the impact of increased forward sales and lower trading profits, partially offset by higher premium spreads.
The overall increase was primarily due to (i) an increase of $5.0 million in connection with our Trading Credit Facility due to an increase in interest rates as well as increased borrowings, (ii) higher interest and fees from product financing arrangements of $3.0 million, and (iii) an increase in inter-segment eliminations related to JMB’s product financing activity with A-Mark of $1.3 million, partially offset by (iv) a decrease of $0.8 million related to the AMCF Notes (including amortization of debt issuance costs) due to the repayment in December 2023.
The overall increase was primarily due to: (i) an increase of $3.3 million in connection with our Trading Credit Facility due to an increase in interest rates and increased borrowings, (ii) an increase of $3.2 million from precious metals leases, (iii) higher interest and fees from product financing arrangements of $3.0 million, (iv) a decrease in inter-segment eliminations related to the DTC segment's product financing activity with A-Mark of $1.5 million, partially offset by (v) a decrease of $1.5 million related to the AMCF Notes (including amortization of debt issuance costs) due to their repayment in December 2023.
We use the following three metrics indicators when assessing our ticket volume: 39 • Ticket Volume from New Direct-to-Consumer Customers means the number of product orders from new customers (refer to the definition of new customers above) processed by JMB, Goldline, SGB, and PMPP during the period. • Ticket Volume from Pre-existing Direct-to-Consumer Customers means the number of product orders from pre-existing customers, processed by JMB, Goldline, SGB, and PMPP during the period. • Total Ticket Volume from Direct-to-Consumer Customers means the aggregate number of product orders processed by JMB, Goldline, SGB, and PMPP during the period.
We use the following three metrics indicators when assessing our ticket volume: • Ticket Volume from New Direct-to-Consumer Customers means the number of product orders from new Direct-to-Consumer customers (refer to the definition of new customers above) processed during the period. • Ticket Volume from Pre-existing Direct-to-Consumer Customers means the number of product orders from pre-existing Direct-to-Consumer customers processed during the period. • Total Ticket Volume from Direct-to-Consumer Customers means the aggregate number of Direct-to-Consumer product orders processed during the period.
The dividend was paid to stockholders on October 24, 2023 and totaled $4.6 million. • On January 4, 2024, the Company's board of directors declared a regular dividend of $0.20 per share of common stock to stockholders of record at the close of business on January 16, 2024.
The dividend was paid on October 22, 2024 and totaled $4.6 million. • On January 2, 2025, the Company's board of directors declared a regular dividend of $0.20 per share of common stock to stockholders of record at the close of business on January 14, 2025.
This segment’s gross sales before eliminations of inter-segment activity totaled $9.253 billion. (b) Revenues are presented net of inter-segment transactions with the Direct-to-Consumer segment that totaled $1.464 billion. This segment’s gross sales before eliminations of inter-segment activity totaled $8.754 billion. (c) Gross profit percentage before elimination of inter-segment sales to the Direct-to-Consumer segment was 0.916% for the period.
This segment’s gross sales before eliminations of inter-segment activity totaled $10.259 billion. (b) Revenues are presented net of inter-segment transactions with the Direct-to-Consumer segment that totaled $1.006 billion. This segment’s gross sales before eliminations of inter-segment activity totaled $9.253 billion. (c) Gross profit percentage before elimination of inter-segment sales to the Direct-to-Consumer segment was 0.828% for the period.
Secured Loans Receivable in thousands June 30, 2024 June 30, 2023 Change Secured loans receivable $ 113,067 $ 100,620 $ 12,447 CFC is a California licensed finance lender that makes and acquires commercial loans secured by bullion and numismatic coins, and graded sports cards that affords our customers a convenient means of financing their inventory or collections.
Secured Loans Receivable in thousands June 30, 2025 June 30, 2024 Change Secured loans receivable $ 94,037 $ 113,067 $ (19,030 ) CFC is a California licensed finance lender that makes and acquires commercial loans secured by bullion and numismatic coins, and graded sports cards that affords our customers a convenient means of financing their inventory or collections.
The decrease in other income, net was not significant.
The change in other income, net was not significant.
See Note 9 to the Company’s consolidated financial statements. Depreciation expense . Depreciation expense is calculated using a straight-line method based on the estimated useful lives of the related assets, ranging from three years to twenty-five years.
For additional information about the amortization of our purchased intangibles, see Note 9 to the Company’s consolidated financial statements. Depreciation expense . Depreciation expense is calculated using a straight-line method based on the estimated useful lives of the related assets, ranging from three years to twenty-five years.
Lines of Credit in thousands June 30, 2024 June 30, 2023 Change Lines of credit - short term $ — $ 235,000 $ (235,000 ) Lines of credit - long-term 245,000 — 245,000 $ 245,000 $ 235,000 $ 10,000 Effective December 21, 2021, A-Mark entered into a committed borrowing facility (the "Trading Credit Facility") with CIBC Bank USA, as agent and joint lead arranger, and a syndicate of banks.
Lines of Credit in thousands June 30, 2025 June 30, 2024 Change Lines of credit $ 345,000 $ 245,000 $ 100,000 Effective December 21, 2021, A-Mark entered into a committed borrowing facility (the "Trading Credit Facility") with CIBC Bank USA, as agent and joint lead arranger, and a syndicate of banks.
(6) Ticket volume from new customers represents the number of product orders from new customers processed by JMB, Goldline, SGB, and PMPP during the period. SGB's metrics are included after the Company acquired a controlling interest on June 21, 2024.
(6) Ticket volume from new customers represents the number of product orders from new customers processed by JMB, Goldline, SGB, AMS, and PMPP during the period. SGB's metrics are included after the Company acquired a controlling interest on June 21, 2024. SGI's and Pinehurst's metrics are included after February 28, 2025. AMS's metrics are included after April 1, 2025.
This measure does not have standardized definitions and is not prepared in accordance with U.S. GAAP. The items excluded from this financial measure may have a material impact on our financial results. Certain of those items are non-recurring, while others are non-cash in nature.
We use this financial measure to present our pre-tax earnings from core business operations. This measure does not have standardized definitions and is not prepared in accordance with U.S. GAAP. The items excluded from this financial measure may have a material impact on our financial results. Certain of those items are non-recurring, while others are non-cash in nature.
We also maintain relationships with major market makers in every major precious metals dealing center. The Company enters into these derivative transactions solely for the purpose of hedging our inventory holding risk, and not for speculative market purposes.
We have access to all of the precious metals markets, allowing us to place hedges. We also maintain relationships with major market makers in every major precious metals dealing center. The Company enters into these derivative transactions solely for the purpose of hedging our inventory holding risk, and not for speculative market purposes.
GAAP measure reported in our consolidated statements of income and consolidated statements of cash flows and a discussion of certain limitations inherent in such measures, refer to the “Non-GAAP Measures” section below.
GAAP measure reported in our consolidated statements of income and consolidated statements of cash flows and a discussion of certain limitations inherent in such measures, refer to the “Non-GAAP Measures” section below. Fiscal Year Our fiscal year end is June 30 each year.
Net Cash Flows From Financing Activities Financing activities provided $12.0 million and provided $25.0 million in cash for the years ended June 30, 2024 and 2023, respectively, representing a $13.0 million change compared to the year ended June 30, 2023.
Net Cash Flows From Financing Activities Financing activities used $18.6 million and provided $12.0 million in cash for the years ended June 30, 2025 and 2024, respectively, representing a $30.6 million change compared to the year ended June 30, 2024.
The Company also earns revenue from advertisements placed on our Direct-to-Consumer websites. These revenue streams represent less than 1% of the Company’s consolidated revenues. The Company operates in a high volume/low margin industry. Revenues are impacted by three primary factors: product volume, market prices, and market volatility.
The Company also earns fees for facilitating specialized auctions of numismatics, and from advertisements placed on our Direct-to-Consumer websites. These revenue streams represent approximately 2% of the Company’s consolidated revenues. The Company operates in a high volume/low margin industry. Revenues are impacted by three primary factors: product volume, market prices, and market volatility.
Results of Operations — Wholesale Sales & Ancillary Services Segment The Company operates its Wholesale Sales & Ancillary Services segment directly and through its consolidated subsidiaries, A-Mark Trading AG (“AMTAG”), Transcontinental Depository Services ("TDS"), A-M Global Logistics, LLC ("Logistics"), AM&ST Associates, LLC ("AMST" or "Silver Towne" or the "Mint"), and AM/LPM Ventures, LLC, which we formed in February 2024 to acquire LPM Group Limited ("LPM").
Results of Operations — Wholesale Sales & Ancillary Services Segment The Company operates its Wholesale Sales & Ancillary Services segment directly and through its consolidated subsidiaries, A-Mark Trading AG (“AMTAG”), Transcontinental Depository Services ("TDS"), A-M Global Logistics, LLC (“AMGL” or "Logistics"), AM&ST Associates, LLC ("AMST" or the "Silver Towne Mint"), AM/LPM Ventures, LLC, which owns a majority interest in LPM Group Limited ("LPM"), Spectrum Group International, LLC, which was formed in February 2025 to acquire all of the stock of Spectrum Group International, Inc.
Fiscal Year Our fiscal year end is June 30 each year. 40 Macroeconomic Volatility Continued macroeconomic uncertainty and the volatility in the financial markets in recent years have positively affected the Company’s trading revenues and gross profit as the volatility of the price of precious metals and numismatics typically results in an increase in the spread between bid and ask prices on these products.
Macroeconomic Volatility Macroeconomic uncertainty and the volatility in the financial markets in recent years have positively affected the Company’s trading revenues and gross profit as the volatility of the price of precious metals and numismatics typically results in an increase in the spread between bid and ask prices on these products.
As of June 30, 2024, CFC had approximately $113.1 million in secured loans outstanding, of which approximately 14.6% were acquired from third parties (some of which may be customers of A-Mark) and approximately 85.4% were originated by CFC. CAI is a holding company that has an equity method interest in Collectible Card Partners, LLC (“CCP”).
As of June 30, 2025, CFC had $94.0 million in secured loans outstanding, of which 11% were acquired from third parties (some of which may be customers of A-Mark) and approximately 89% were originated by CFC. CAI is a holding company that has an equity method interest in Collectible Card Partners, LLC (“CCP”).
Excluding an increase of $1.561 billion of forward sales that had a negligible impact to the amount of gross profit, this segment's gross margin percentage for the year ended June 30, 2024 decreased by 46.7 basis points to 2.114% from 2.581% in the prior year. Forward sales increase revenues but are associated with negligible gross profit.
Excluding forward sales that had a negligible impact to the amount of gross profit, this segment's gross margin percentage for the year ended June 30, 2025 decreased by 10.2 basis points to 2.012% from 2.114% in the prior year. Forward sales increase revenues but are associated with negligible gross profit.
JMB currently has six wholly-owned subsidiaries: Buy Gold and Silver Corp. ("BGASC"), BX Corporation ("BullionMax"), Gold Price Group, Inc. (“GPG”), Silver.com, Inc. (“Silver.com”), Provident Metals Corp. (“PMC”), and CyberMetals Corp. ("CyberMetals"). Goldline owns 100% of AMIP, LLC ("AMIP"). SGB and Goldline each have a 50% ownership interest in Precious Metals Purchasing Partners, LLC ("PMPP").
("BGASC"), BX Corporation ("BullionMax"), Gold Price Group, Inc. (“GPG”), Silver.com, Inc. (“Silver.com”), Provident Metals Corp. (“PMC”), and CyberMetals Corp. ("CyberMetals"). Goldline owns 100% of AM IP Assets, LLC ("AMIP"). SGB and Goldline each have a 50% ownership interest in Precious Metals Purchasing Partners, LLC ("PMPP").
Gross profit is the difference between our revenues and the cost of our products sold. Since we quote prices based on the current commodity market prices for precious metals, we enter into a combination of forward and futures contracts to effect a hedge position equal to the underlying precious metal commodity value, which substantially represents inventory subject to price risk.
Since we quote prices based on the current commodity market prices for precious metals, we often enter into a combination of forward and futures contracts to effect a hedge position equal to the underlying precious metal commodity value, which substantially represents inventory subject to price risk.
Our Silver Towne Mint operations allow us to provide greater product selection to our customers and greater pricing stability within the supply chain, as well as to gain increased access to fabricated silver products during volatile market environments, which have historically created higher demand for precious metals products. 36 In February 2024, the Company acquired LPM, one of Asia's largest precious metals dealers.
Our Silver Towne Mint operations allow us to provide greater product selection to our customers and greater pricing stability within the supply chain, as well as to gain increased access to fabricated silver products during volatile market environments, which have historically created higher demand for precious metals products.
The decrease is related to JMB’s reduced product financing activity with A-Mark. Results of Operations — Secured Lending Segment The Company operates its Secured Lending segment through its wholly-owned subsidiaries, Collateral Finance Corporation, LLC ("CFC") and CFC Alternative Investments (“CAI”).
The decrease is primarily related to the DTC segment's reduced product financing activity with the Wholesale & Ancillary Services segment. 53 Results of Operations — Secured Lending Segment The Company operates its Secured Lending segment through its wholly-owned subsidiaries, Collateral Finance Corporation, LLC ("CFC") and CFC Alternative Investments (“CAI”).
(2) Silver ounces sold represents the ounces of silver product sold and delivered to the customer during the period, excluding ounces of silver recorded on forward contracts. (3) Wholesales Sales ticket volume represents the total number of product orders processed.
(2) Silver ounces sold represents the ounces of silver product sold and delivered to the customer during the period, excluding ounces of silver recorded on forward contracts. SGI's and Pinehurst's metrics are included after February 28, 2025. (3) Wholesales Sales ticket volume represents the total number of product orders processed.
Our Coin and Bar unit deals in approximately 2,100 coin and bar products in a variety of weights, shapes, and sizes for distribution to dealers and other qualified purchasers. We have a marketing support office in Vienna, Austria, a numismatics showroom in Hong Kong, and a trading center in El Segundo, California.
We sell more than 2,000 products in a variety of weights, shapes, and sizes for distribution to dealers and other qualified purchasers. We have a marketing support office in Vienna, Austria, a numismatics showroom in Hong Kong, and a trading center in El Segundo, California.
Liabilities on Borrowed Metals in thousands June 30, 2024 June 30, 2023 Change Liabilities on borrowed metals $ 31,993 $ 21,642 $ 10,351 We borrow precious metals from our suppliers and customers under short-term arrangements using other precious metal from our inventory or precious metals held under financing arrangements as collateral.
Liabilities on Borrowed Metals and Precious Metals Leases in thousands June 30, 2025 June 30, 2024 Change Liabilities on borrowed metals $ 46,051 $ 31,993 $ 14,058 We borrow precious metals from our suppliers and customers under short-term arrangements using other precious metal from our inventory or precious metals held under financing arrangements as collateral.
The dividend was paid to stockholders on January 29, 2024 and totaled $4.6 million. • On April 4, 2024, the Company's board of directors declared a regular dividend of $0.20 per share of common stock to stockholders of record at the close of business on April 16, 2024. The dividend was paid on April 29, 2024 and totaled $4.6 million.
The dividend was paid on July 31, 2024 and totaled $4.6 million. • On August 20, 2024, the Company's board of directors declared a regular cash dividend of $0.20 per share of common stock to stockholders of record at the close of business on October 8, 2024.
The period over period change was primarily due to net changes in working capital, which includes inventories, derivative liabilities, deferred revenue and other advances, liabilities on borrowed metals, accounts payable and other payables, precious metals held under financing arrangements, and receivables, net, as well as a decrease in net income adjusted for noncash items, which includes a remeasurement gain of $16.7 million related to our acquisition of a controlling interest in SGB in June 2024.
The period over period change was primarily due to net changes in working capital, which includes inventories, derivative assets and liabilities, deferred revenue and other advances, liabilities on borrowed metals, accounts payable and other payables, precious metals held under financing arrangements, and receivables, net, as well as a decrease in net income adjusted for noncash items.
In 2014, the Company acquired its initial ownership interest in SGB, a leading e-commerce precious metals retailer in Canada, increasing its ownership to 55.4% in June 2024. Our investment in SGB expands our direct-to-consumer footprint in the international market.
In 2014, the Company acquired its initial ownership interest in SGB, a leading e-commerce precious metals retailer in Canada, increasing its ownership to 55.4% in June 2024 at which time we obtained a controlling ownership interest in SGB, and SGB became a consolidated subsidiary of the Company. Our investment in SGB expands our direct-to-consumer footprint in the international market.
The Company recognizes interest and penalties related to certain uncertain tax positions as a component of income tax expense and the accrued interest and penalties are included in deferred and income taxes payable in the Company’s consolidated balance sheets. See Note 13 to the Company’s consolidated financial statements for more information on the Company’s accounting for income taxes.
The Company recognizes interest and penalties related to certain uncertain tax positions as a component of income tax expense, and the accrued interest and penalties are included in deferred and income taxes payable in the Company's consolidated balance sheets.
Our effective tax rate was approximately 16.6% and 22.8% for the years ended June 30, 2024 and 2023, respectively.
Our effective tax rate was approximately 25.5% and 16.6% for the years ended June 30, 2025 and 2024, respectively.
Wholesale Sales & Ancillary Services Segment The Company operates its Wholesale Sales & Ancillary Services segment directly and through its consolidated subsidiaries, A-Mark Trading AG (“AMTAG”), Transcontinental Depository Services, LLC ("TDS" or “Storage”), A-M Global Logistics, LLC (“AMGL” or "Logistics"), AM&ST Associates, LLC ("AMST" or the “Silver Towne Mint"), and AM/LPM Ventures, LLC, which we formed in February 2024 to acquire LPM Group Limited ("LPM").
Wholesale Sales & Ancillary Services Segment The Company operates its Wholesale Sales & Ancillary Services segment directly and through its consolidated subsidiaries, A-Mark Trading AG (“AMTAG”), Transcontinental Depository Services, LLC ("TDS"), A-M Global Logistics, LLC (“AMGL” or "Logistics"), AM&ST Associates, LLC ("AMST" or the "Silver Towne Mint"), AM/LPM Ventures, LLC, which owns a majority interest in LPM Group Limited ("LPM"), Spectrum Group International, LLC, which was formed in February 2025 to acquire all of the stock of Spectrum Group International, Inc.
Income taxes are accounted for using an asset and liability approach that requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements.
See Note 13 to the Company's consolidated financial statements for more information on the Company’s accounting for income taxes. 64 Income taxes are accounted for using an asset and liability approach that requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements.
(d) Gross profit percentage before elimination of inter-segment sales to the Direct-to-Consumer segment was 1.449% for the period. (1) Gold ounces sold represents the ounces of gold product sold and delivered to the customer during the period, excluding ounces of gold recorded on forward contracts.
(d) Gross profit percentage before elimination of inter-segment sales to the Direct-to-Consumer segment was 0.916% for the period. (1) Gold ounces sold represents the ounces of gold product sold and delivered to the customer during the period, excluding ounces of gold recorded on forward contracts. SGI's and Pinehurst's metrics are included after February 28, 2025.
Net Cash Flows From Investing Activities Investing activities used $63.6 million and provided $6.8 million in cash for the years ended June 30, 2024 and 2023, respectively, representing a $70.4 million change compared to the year ended June 30, 2023.
Net Cash Flows From Investing Activities Investing activities used $104.7 million and used $63.6 million in cash for the years ended June 30, 2025 and 2024, respectively, representing a $41.1 million change compared to the year ended June 30, 2024.
(d) Gross profit percentage before elimination of inter-segment sales to the Direct-to-Consumer segment was 1.449% for the period. Gross profit for the year ended June 30, 2024 decreased $35.5 million, or 28.2%, to $90.2 million from $125.7 million in 2023. The gross profit decrease was primarily due to lower premium spreads, partially offset by higher trading profits.
(d) Gross profit percentage before elimination of inter-segment sales to the Direct-to-Consumer segment was 0.916% for the period. Gross profit for the year ended June 30, 2025 decreased $4.3 million, or 4.8%, to $85.9 million from $90.2 million in 2024. The gross profit decrease was primarily due to lower trading profits, partially offset by higher premium spreads.
JMB’s retail market activity represented 40.6% and 48.5%, respectively, of the Company’s consolidated gross profit for the years ended June 30, 2024 and 2023. Our inventory turnover ratio for the year ended June 30, 2024 decreased by 12.4% to 9.2 from 10.5 in 2023.
JMB’s retail market activity represented 31.1% and 40.6%, respectively, of the Company’s consolidated gross profit for the years ended June 30, 2025 and 2024. Our inventory turnover ratio for the year ended June 30, 2025 decreased by 1.1% to 9.1 from 9.2 in 2024. The decrease in our inventory turnover ratio was not significant.
We incur expenses for professional services rendered in connection with business combinations, which are included as a component of selling, general, and administrative expenses in the Company’s consolidated statements of income. Acquisition expenses are recorded in the periods in which the costs are incurred, and the services are received.
See Note 3 to the Company's consolidated financial statements for additional information. 55 Acquisition costs . We incur expenses for professional services rendered in connection with business combinations, which are included as a component of selling, general, and administrative expenses in the Company’s consolidated statements of income.
The increase in interest expense was primarily driven by each of the following components: (i) an increase of $8.4 million associated with our Trading Credit Facility due to an increase in interest rates as well as increased borrowings and (ii) an increase of $3.0 million related to product financing arrangements, partially offset by (iii) a decrease of $3.2 million related to the AMCF Notes (including amortization of debt issuance costs) due to the repayment in December 2023 and (iv) a $0.5 million decrease in loan servicing fees.
The increase in interest expense was primarily due to: (i) an increase of $3.7 million related to product financing arrangements, (ii) an increase of $3.2 million related to precious metals leases, and (iii) an increase of $2.3 million associated with our Trading Credit Facility due to increased borrowings as well as an increase in the weighted-average effective interest rate, partially offset by (iv) a decrease of $2.5 million related to the AMCF Notes (including amortization of debt issuance costs) due to their repayment in December 2023.
Also, the Company recognizes its storage, logistics, licensing, advertising revenue, and other services revenues in accordance with ASC 606, Revenue from Contracts with Customers , which follows five basic steps to determine whether revenue can be recognized: (i) identify the contract with a customer; (ii) identify the performance obligations in the contract; (iii) determine the transaction price; (iv) allocate the transaction price to the performance obligations in the contract, and (v) recognize revenue when (or as) the entity satisfies a performance obligation. 59 Inventories The Company's inventory, which primarily consists of bullion and bullion coins, is acquired and initially recorded at cost and then marked to fair market value.
Also, the Company recognizes its storage, logistics, licensing, advertising revenue, specialized auction fees, sales of collectible coins, and other services revenues in accordance with ASC 606, Revenue from Contracts with Customers , which follows five basic steps to determine whether revenue can be recognized: (i) identify the contract with a customer; (ii) identify the performance obligations in the contract; (iii) determine the transaction price; (iv) allocate the transaction price to the performance obligations in the contract, and (v) recognize revenue when (or as) the entity satisfies a performance obligation.
Amounts under these arrangements require repayment either in the form of precious metals or cash. Liabilities also arise from unallocated metal positions held by customers in our inventory.
Amounts under these arrangements require repayment either in the form of precious metals or cash. Liabilities also arise from unallocated metal positions held by customers in our inventory. Typically, these positions are due on demand, in a specified physical form, based on the total ounces of metal held in the position.
Excluding an increase of $1.561 billion of forward sales, our revenues decreased $1.148 billion, or 16.7%, which was due to a decrease in gold and silver ounces sold, partially offset by higher average selling prices of gold and silver.
Excluding an increase of $446.7 million of forward sales, our revenues increased $832.9 million, or 14.6%, which was due to higher average selling prices of gold and silver, partially offset by a decrease in gold and silver ounces sold.
The increase in interest income earned from the segment’s secured loan portfolio was primarily due to an increase in interest rates and higher average monthly loan balances, partially offset by fewer loans outstanding. The number of secured loans outstanding decreased by 33.3% to 588 as of June 30, 2024, from 882 as of June 30, 2023.
The decrease in interest income earned from the segment’s secured loan portfolio was primarily due to lower average monthly loan balances and fewer loans outstanding. The number of secured loans outstanding decreased by 24.3% to 445 as of June 30, 2025, from 588 as of June 30, 2024.
Excluding an increase of $1.561 billion of forward sales that had a negligible impact to the amount of gross profit, our gross margin percentage for the year ended June 30, 2024 decreased by 126.2 basis points to 3.029% from 4.291%, which was primarily due to lower premium spreads, partially offset by higher trading profits.
Excluding forward sales that had a negligible impact to the amount of gross profit, our gross margin percentage for the year ended June 30, 2025 increased by 19.0 basis points to 3.219% from 3.029%, which was primarily due to an increase in our retail market activity and higher premium spreads, partially offset by lower trading profits.
Earnings from Equity Method Investments — Wholesale Sales & Ancillary Services in thousands Year Ended June 30, 2024 2023 Change $ % of revenue $ % of revenue $ % Earnings from equity method investments $ 3,998 0.048 % $ 12,575 0.173 % $ (8,577 ) (68.2 %) Earnings from equity method investments for the year ended June 30, 2024 decreased $8.6 million, or 68.2%, to $4.0 million from $12.6 million in 2023 due to decreased earnings of our equity method investees.
Earnings (Losses) from Equity Method Investments— Wholesale Sales & Ancillary Services in thousands Year Ended June 30, 2025 2024 Change $ % of revenue $ % of revenue $ % Earnings (losses) from equity method investments $ (2,982 ) (0.034 %) $ 3,998 0.048 % $ (6,980 ) (174.6 %) Earnings (losses) from equity method investments for the year ended June 30, 2025 decreased $7.0 million, or 174.6%, to a loss of $3.0 million from earnings of $4.0 million in 2024 due to decreased earnings of our equity method investees.

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Item 7A. Quantitative and Qualitative Disclosures About Market Risk

Market Risk — interest-rate, FX, commodity exposure

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Biggest changeTo manage the effect of foreign currency exchange fluctuations on its sale and purchase transactions, the Company utilizes foreign currency forward contracts with maturities of generally less than one week. Because of these hedging policies, we do not believe our exposure to foreign exchange risk is material.
Biggest changeThe functional currencies of LPM and SGB are U.S. dollars and therefore, we do not believe our exposure to foreign exchange risk related to these entities is material. To manage the effect of foreign currency exchange fluctuations on its sale and purchase transactions, the Company utilizes foreign currency forward contracts with maturities of generally less than one week.
While our weighted-average effective interest rates on these products increased during the year, the rate increases only partially mitigated the effect of higher interest rates related to our product financing arrangements and Trading Credit Facility. We do not believe our exposure to interest rate risk is material. 62
While our weighted-average effective interest rates on these products increased during the year, the rate increases only partially mitigated the effect of higher interest rates related to our product financing arrangements and Trading Credit Facility. We do not believe our exposure to interest rate risk is material. 66
See Note 12 to the Company’s consolidated financial statements, “Derivative Instruments and Hedging Transactions—Foreign Currency Exchange Rate Management.” Interest Rate Risk Our exposure to market risk for changes in interest rates relates primarily to our product financing arrangements and Trading Credit Facility.
Because of these hedging policies, we do not believe our exposure to foreign exchange risk is material. See Note 12 to the Company's consolidated financial statements, “Derivative Instruments and Hedging Transactions—Foreign Currency Exchange Rate Management.” 65 Interest Rate Risk Our exposure to market risk for changes in interest rates relates primarily to our product financing arrangements and Trading Credit Facility.
Removed
The functional currencies of our recent acquisitions LPM and SGB are U.S. dollars and therefore, we do not believe our exposure to foreign exchange risk related to these entities is material.

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