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What changed in VALUE LINE INC's 10-K — 2023 vs 2024

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Paragraph-level year-over-year comparison of VALUE LINE INC's 2023 and 2024 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 2024 report.

+157 added−164 removedSource: 10-K (2024-07-26) vs 10-K (2023-07-28)

Top changes in VALUE LINE INC's 2024 10-K

157 paragraphs added · 164 removed · 127 edited across 6 sections

Item 1. Business

Business — how the company describes what it does

25 edited+2 added−2 removed89 unchanged
Biggest changeValue Line also has certain consent rights with respect to extraordinary events involving EAM, such as a proposed sale of all or a significant part of EAM, material acquisitions, entering into businesses other than asset management and fund distribution, paying compensation in excess of the mandated limit of 22.5%-30% of non-distribution fee revenues (depending on the level of such revenues), declaring voluntary bankruptcy, making material changes in tax or accounting policies or making substantial borrowings, and entering into related party transactions.
Biggest changeHowever, in the event that control of the Company’s majority shareholder changes, or in the event that the majority shareholder no longer beneficially owns 5% or more of the voting securities of the Company, then the Company has the right, but not the obligation, to buy the voting profits interests in EAM at a fair market value to be determined by an independent valuation firm in accordance with the terms of the EAM Declaration of Trust. 11 Value Line also has certain consent rights with respect to extraordinary events involving EAM, such as a proposed sale of all or a significant part of EAM, material acquisitions, entering into businesses other than asset management and fund distribution, paying compensation in excess of the mandated limit of 22.5%-30% of non-distribution fee revenues (depending on the level of such revenues), declaring voluntary bankruptcy, making material changes in tax or accounting policies or making substantial borrowings, and entering into related party transactions.
Value Line’s primary copyright products are structured as ETFs and Unit Investment Trusts, all of which have in common some degree of reliance on the Value Line Ranking System for their portfolio creation. These products are offered and distributed by independent sponsors. 10 C.
Value Line’s primary copyright products are structured as ETFs and Unit Investment Trusts, all of which have in common some degree of reliance on the Value Line Ranking System for their portfolio creation. These products are offered and distributed by independent sponsors. C.
The most comprehensive of the Company’s online platforms is The Value Line Research Center , which allows subscribers to access most of the Company’s research and publications at a packaged price via the Internet. Investment analysis software ( The Value Line Investment Analyzer and The New Value Line ETFs Service ) includes data sorting and filtering tools.
The most comprehensive of the Company’s online platforms is The Value Line Research Center , which allows subscribers to access most of the Company’s research and publications at a packaged price via the Internet. Investment analysis software ( The Value Line Investment Analyzer and The Value Line ETFs Service ) includes data sorting and filtering tools.
Principal Business Segments The information with respect to revenues from external customers and profit and loss of the Company's identifiable principal business segments is incorporated herein by reference to Note 18 of the Notes to the Company's Consolidated Financial Statements included in this Form 10-K.
Principal Business Segments The information with respect to revenues from external customers and profit and loss of the Company's identifiable principal business segments is incorporated herein by reference to Note 18 of the Notes to the Company's Consolidated Financial Statements included in this Form 10-K. I.
These rights were established to protect Value Line’s non-voting revenues and non-voting profits interests in EAM. 11 EAM acts as the Adviser to the Value Line Funds. EULAV Securities acts as the Distributor for the Value Line Funds.
These rights were established to protect Value Line’s non-voting revenues and non-voting profits interests in EAM. EAM acts as the Adviser to the Value Line Funds. EULAV Securities acts as the Distributor for the Value Line Funds.
Products offer an Alerts Hub which allows the user to set up alerts for up to 25 companies, with delivery via text or email. B.
Products offer an Alerts Hub which allows the user to set up alerts for up to 25 companies, with delivery via text or email. 10 B.
As of April 30, 2023 and April 30, 2022, the Company held equity securities, which consist of investments in the SPDR Series Trust S&P Dividend ETF (SDY), First Trust Value Line Dividend Index ETF (FVD), ProShares Trust S&P 500 Dividend Aristocrats ETF (NOBL), IShares DJ Select Dividend ETF (DVY) and other Exchange Traded Funds and common stock equity securities.
As of April 30, 2024 and April 30, 2023, the Company held equity securities, which consist of investments in the SPDR Series Trust S&P Dividend ETF (SDY), First Trust Value Line Dividend Index ETF (FVD), ProShares Trust S&P 500 Dividend Aristocrats ETF (NOBL), IShares DJ Select Dividend ETF (DVY) and other Exchange Traded Funds and common stock equity securities.
Mr. Brecher has been an officer of the Company for more than 20 years. Stephen R. Anastasio 64 Vice President since December 2010; Director since February 2010; Treasurer since 2005. Mr. Anastasio has been an officer of the Company for more than 10 years. WEBSITE ACCESS TO SEC REPORTS The Company’s Internet site address is www.valueline.com .
Mr. Brecher has been an officer of the Company for more than 20 years. Stephen R. Anastasio 65 Vice President since December 2010; Director since February 2010; Treasurer since 2005. Mr. Anastasio has been an officer of the Company for more than 10 years. WEBSITE ACCESS TO SEC REPORTS The Company’s Internet site address is www.valueline.com .
Brecher 69 Chairman and Chief Executive Officer since October 2011; Acting Chairman and Acting Chief Executive Officer from November 2009 to October 2011; Chief Legal Officer; Vice President and Secretary until January 2010; Vice President and Secretary of each of the Value Line Funds from June 2008 to December 2010; Secretary of EAM LLC from February 2009 until December 2010; Director and General Counsel of AB&Co.
Brecher 70 Chairman and Chief Executive Officer since October 2011; Acting Chairman and Acting Chief Executive Officer from November 2009 to October 2011; Chief Legal Officer; Vice President and Secretary until January 2010; Vice President and Secretary of each of the Value Line Funds from June 2008 to December 2010; Secretary of EAM LLC from February 2009 until December 2010; Director and General Counsel of AB&Co.
Executive Officers of the Registrant The following table lists the names, ages (at June 30, 2023), and principal occupations and employment during the past five years of the Company's Executive Officers. All officers are elected to terms of office for one year.
Executive Officers of the Registrant The following table lists the names, ages (at June 30, 2024), and principal occupations and employment during the past five years of the Company's Executive Officers. All officers are elected to terms of office for one year.
The New Value Line ETFs Service In September 2019, we introduced The New Value Line ETFs Service . This online-only, web based analysis software provides data, analysis, and screening capabilities on more than 2,700 publicly traded ETFs.
The Value Line ETFs Service In September 2019, we introduced this service entitled The Value Line ETFs Service . This online-only, web based analysis software provides data, analysis, and screening capabilities on more than 2,700 publicly traded ETFs.
Each mutual fund may use "Value Line" in its name only to the extent permitted by the terms of the EAM Declaration of Trust. D. Wholly-Owned Operating Subsidiaries Wholly-owned operating subsidiaries of the Company as of April 30, 2023 include the following: 1.
Each mutual fund may use "Value Line" in its name only to the extent permitted by the terms of the EAM Declaration of Trust. 12 D. Wholly-Owned Operating Subsidiaries Wholly-owned operating subsidiaries of the Company as of April 30, 2024 include the following: 1.
As of April 30, 2023 and April 30, 2022, the Company held fixed income securities classified as available-for-sale, that consist of securities issued by United States federal government and bank certificates of deposit within the United States. G. Employees At April 30, 2023, the Company and its subsidiaries employed 138 people.
As of April 30, 2024 and April 30, 2023, the Company held fixed income securities classified as available-for-sale, that consist of securities issued by United States federal government and bank certificates of deposit within the United States. G. Employees At April 30, 2024, the Company and its subsidiaries employed 122 people.
The Company is the successor to substantially all of the operations of Arnold Bernhard & Co, Inc. ("AB&Co."). AB&Co. is the controlling shareholder of the Company and, as of April 30, 2023, owns 91.51% of the outstanding shares of the common stock of the Company. A.
The Company is the successor to substantially all of the operations of Arnold Bernhard & Co, Inc. ("AB&Co."). AB&Co. is the controlling shareholder of the Company and, as of April 30, 2024, owns 91.63% of the outstanding shares of the common stock of the Company. A.
This publication was introduced in 1951. 6 The Value Line Daily Options Survey The Value Line Daily Options Survey is a daily digital service that evaluates and ranks approximately 600,000 U.S. equity and equity index options. Features include an interactive database, spreadsheet tools, and a weekly email newsletter. This product is only offered as an online subscription.
The Value Line Daily Options Survey The Value Line Daily Options Survey is a daily digital service that evaluates and ranks approximately 600,000 U.S. equity and equity index options. Features include an interactive database, spreadsheet tools, and a weekly email newsletter. This product is only offered as an online subscription.
State Street Bank, an unaffiliated entity, is the custodian of the assets of the Value Line Funds and provides them with fund accounting and administrative services. Shareholder services for the Value Line Funds are provided by SS&C, formerly named DST Asset Manager Solutions.
State Street Bank, an unaffiliated entity, is the custodian of the assets of the Value Line Funds and provides them with fund accounting and administrative services. Shareholder services for the Value Line Funds are provided by SS&C.
Value Line Publishing LLC (“VLP”) is the publishing unit for the investment related periodical publications and copyrights. 2. Vanderbilt Advertising Agency, Inc. places advertising on behalf of the Company's publications. 3. Value Line Distribution Center, Inc. (“VLDC”) distributes Value Line’s print publications. 12 E.
Value Line Publishing LLC (“VLP”) is the publishing unit for the investment related periodical publications and copyrights. 2. Vanderbilt Advertising Agency, Inc. places advertising on behalf of the Company's publications. 3. Value Line Distribution Center, Inc. (“VLDC”) distributed Value Line’s print publications through April 30, 2024.
The Company maintains registrations of all active and eligible trademarks. F. Investments As of April 30, 2023 and April 30, 2022, the Company held total investment assets (excluding its interests in EAM) with a fair market value of $54,474,000 and $28,122,000, respectively, including equity securities and available-for-sale fixed income securities on the Consolidated Balance Sheets.
Investments As of April 30, 2024 and April 30, 2023, the Company held total investment assets (excluding its interests in EAM) with a fair market value of $63,955,000 and $54,474,000, respectively, including equity securities and available-for-sale fixed income securities on the Consolidated Balance Sheets.
Trademarks The Company holds trademark and service mark registrations for various names and logos in multiple countries. Value Line believes that these trademarks and service marks provide significant value to the Company and are an important factor in the marketing of its products and services, as well as in the marketing of the Value Line Funds, now managed by EAM.
Value Line believes that these trademarks and service marks provide significant value to the Company and are an important factor in the marketing of its products and services, as well as in the marketing of the Value Line Funds, now managed by EAM. The Company maintains registrations of all active and eligible trademarks. F.
There are over 250 data fields that can be screened to help make informed decisions. Features of the service include three years of historical reports and data, customizable modules, alerts and screening. Value Line Pro Basic digital service has coverage on stocks drawn from 100 industries.
There are over 250 data fields that can be screened to help make informed decisions. Features of the service include three years of historical reports and data, customizable modules, alerts and screening.
Total assets in the Value Line Funds managed and/or distributed by EAM at April 30, 2023, were $3.09 billion, which is $0.27 billion, or 8.0%, below total assets of $3.36 billion in the Value Line Funds managed and/or distributed by EAM at April 30, 2022.
Total assets in the Value Line Funds managed and/or distributed by EAM at April 30, 2024, were $4.17 billion, which is $1.08 billion, or 35.0%, above total assets of $3.09 billion in the Value Line Funds managed and/or distributed by EAM at April 30, 2023.
There are over 200 data fields that can be screened to help make informed decisions. Features of the service include three years of historical reports and data, customizable modules, alerts and screening. 9 Value Line Pro Elite digital service includes The Value Line Investment Survey ® and The Value Line Investment Survey ® — Small & Mid-Cap.
Features of the service include three years of historical reports and data, customizable modules, alerts and screening. 9 Value Line Pro Elite digital service includes The Value Line Investment Survey ® and The Value Line Investment Survey ® — Small & Mid-Cap.
One recommends specific U.S. mutual funds from different objective groups, while the other highlights similar exchange traded funds (ETFs). The remaining two highlight mutual funds and ETFs globally. The Value Line Fund Advisor Plus contains data on approximately 20,000 no-load and low-load funds and a digital screener.
One recommends specific U.S. mutual funds from different objective groups, while the other highlights similar exchange traded funds (ETFs). The remaining two highlight mutual funds and ETFs globally.
Total net assets of the Value Line Funds at April 30, 2023, were: ($ in thousands) Value Line Asset Allocation Fund $ 937,202 Value Line Capital Appreciation Fund 406,868 Value Line Mid Cap Focused Fund 695,794 Value Line Small Cap Opportunities Fund 408,656 Value Line Select Growth Fund 366,324 Value Line Larger Companies Focused Fund 236,706 Value Line Core Bond Fund 41,104 Total EAM managed net assets $ 3,092,654 Investment management fees and distribution service fees (“12b-1 fees”) vary among the Value Line Funds and may be subject to certain limitations.
Total net assets of the Value Line Funds at April 30, 2024, were: ($ in thousands) Value Line Asset Allocation Fund $ 909,517 Value Line Capital Appreciation Fund 427,755 Value Line Mid Cap Focused Fund 1,462,284 Value Line Small Cap Opportunities Fund 587,214 Value Line Select Growth Fund 417,967 Value Line Larger Companies Focused Fund 332,473 Value Line Core Bond Fund 35,837 Total EAM managed net assets $ 4,173,047 Investment management fees and distribution service fees (“12b-1 fees”) vary among the Value Line Funds and may be subject to certain limitations.
The Value Line Special Situations Service The Value Line Special Situations Service ’s core focus is on smaller companies whose equity securities are perceived by Value Line’s analysts as having exceptional appreciation potential.
The Value Line Fund Advisor Plus contains data on approximately 20,000 no-load and low-load funds and a digital screener. 6 The Value Line Special Situations Service The Value Line Special Situations Service ’s core focus is on smaller companies whose equity securities are perceived by Value Line’s analysts as having exceptional appreciation potential. This publication was introduced in 1951.
Removed
However, in the event that control of the Company’s majority shareholder changes, or in the event that the majority shareholder no longer beneficially owns 5% or more of the voting securities of the Company, then the Company has the right, but not the obligation, to buy the voting profits interests in EAM at a fair market value to be determined by an independent valuation firm in accordance with the terms of the EAM Declaration of Trust.
Added
Value Line Pro Basic digital service covers the stocks included in The Value Line Investment Survey®, drawn from nearly 100 industries, and representing 90% of total U.S. daily trading volume on stocks drawn from 100 industries. There are over 200 data fields that can be screened to help make informed decisions.
Removed
The investment periodicals and related publications (retail and institutional) and Value Line copyrights and Value Line Proprietary Ranks and other proprietary information, consolidated into one segment called Publishing. The Publishing segment constitutes the Company’s only reportable business segment. I.
Added
Operations were outsourced to a third party in the United States effective May 1, 2024. E. Trademarks The Company holds trademark and service mark registrations for various names and logos in multiple countries.

Item 1A. Risk Factors

Risk Factors — what could go wrong, per management

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Biggest changeDuring the last several years, the Company has experienced a negative trend in retail print subscription revenue. While circulation of some print publications has increased, others have experienced a decline in circulation or in average yearly price realized. It is expected that print revenues will continue to decline long-term, while the Company emphasizes digital offerings.
Biggest changeThe Company believes that the negative trend in retail print subscription revenue experienced in recent years is likely to continue. During recent years, the Company has experienced a negative trend in retail print subscription revenue. While circulation of some print publications has increased, others have experienced a decline in circulation or in average yearly price realized.
A decrease in the revenue generated by a significant customer could adversely affect the Company ’ s cash flow and financial condition. The Company derives a significant portion of its cash flow and publishing revenues from a single significant customer. If the Company does not maintain its subscriber base, its operating results could suffer.
A decrease in the revenue generated by a significant customer could adversely affect the Company ’ s cash flow and financial condition. The Company derives a significant portion of its cash flow and publishing revenues from a single significant customer. 15 If the Company does not maintain its subscriber base, its operating results could suffer.
Our controlling stockholder exercises voting control over the Company and has the ability to elect or remove from office all of our directors. As of April 30, 2023, AB&Co., Inc. beneficially owned 91.51% of the outstanding shares of the Company’s voting stock.
Our controlling stockholder exercises voting control over the Company and has the ability to elect or remove from office all of our directors. As of April 30, 2024, AB&Co., Inc. beneficially owned 91.63% of the outstanding shares of the Company’s voting stock.
In addition, third parties may assert claims against our intellectual property rights and we may not be able successfully to resolve such claims. The Company is utilizing all of its trademarks and properly maintaining registrations for them. Adverse changes in market and economic conditions could lower demand for the Company ’ s and EAM ’ s products and services.
In addition, third parties may assert claims against our intellectual property rights and we may not be able successfully to resolve such claims. The Company is utilizing all of its trademarks and properly maintaining registrations for them. The Company and EAM face significant competition in their respective businesses.
Loss of copyright clients or decline in their customers, or assets managed by third party sponsors could reduce the Company ’ s revenues. Copyright agreements are based on market interest in the respective proprietary information.
However, the Company is not able to predict whether revenues from digital retail publications will grow more than print revenues decline. Loss of copyright clients or decline in their customers, or assets managed by third party sponsors could reduce the Company ’ s revenues. Copyright agreements are based on market interest in the respective proprietary information.
The Company has established the goal of maintaining competitive digital products and marketing them through traditional and digital channels to retail and institutional customers. However, the Company is not able to predict whether revenues from digital retail publications will grow more than print revenues decline.
It is expected that print revenues will continue to decline long-term, while the Company emphasizes digital offerings. The Company has established the goal of maintaining competitive digital products and marketing them through traditional and digital channels to retail and institutional customers.
Future results will depend on the renewal of existing subscribers and obtaining new subscriptions for the investment periodicals and related publications.
Future results will depend on the renewal of existing subscribers and obtaining new subscriptions for the investment periodicals and related publications. The availability of competitive information on the Internet at low or no cost has had and may continue to have a negative impact on the demand for our products.
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The availability of competitive information on the Internet at low or no cost has had and may continue to have a negative impact on the demand for our products. 15 The Company believes that the negative trend in retail print subscription revenue experienced in recent years is likely to continue.
Removed
The Company provides its products and services to individual investors, financial advisors, and institutional clients. Adverse conditions in the financial and securities markets may have an impact on the Company’s subscription revenues, securities income, and copyright fees which could adversely affect the Company’s results of operations and financial condition.
Removed
Adverse conditions in the financial and securities markets could also have an adverse effect on EAM’s investment management revenues and reduce the amount of cash flow that the Company receives from EAM, which reduction could adversely affect the Company’s financial condition. The Company and EAM face significant competition in their respective businesses.

Item 2. Properties

Properties — owned and leased real estate

2 edited+2 added−3 removed5 unchanged
Biggest changeSublandlord provided Value Line a work allowance of $417,000 which accompanied with the six months free rent worth $563,000 was applied against the Company’s obligation to pay rent at our NYC headquarters, delaying the actual rent payments until November 2017. 18 On February 29, 2016, the Company’s subsidiary VLDC and Seagis Property Group LP (the “Landlord”) entered into a lease agreement, pursuant to which VLDC has leased 24,110 square feet of warehouse and appurtenant office space located at 205 Chubb Ave., Lyndhurst, NJ (“Warehouse”) beginning on May 1, 2016 and ending on April 30, 2024 (“Lease”).
Biggest changeSublandlord provided Value Line a work allowance of $417,000 which accompanied with the six months free rent worth $563,000 was applied against the Company’s obligation to pay rent at our NYC headquarters, delaying the actual rent payments until November 2017. Base rent under the Lease was $237,218 per annum.
Item 2. PROPERTIES. The Company leases 24,726 square feet of office space at 551 Fifth Avenue in New York, NY. In addition to the New York office space, the Company leases a warehouse facility with 24,110 square feet in New Jersey.
Item 2. PROPERTIES. The Company leases 24,726 square feet of office space at 551 Fifth Avenue in New York, NY. In addition to the New York office space, the Company leased a warehouse facility with 24,110 square feet in New Jersey until April 30, 2024. Value Line Distribution Center, Inc.
Removed
The facility primarily serves the fulfillment and the distribution operations of VLDC for the various Company publications and serves as a disaster recovery site for the Company.
Added
(“VLDC”) distributed Value Line’s print publications prior to April 30, 2024. Operations were outsourced to a third party in the United States prior to April 30, 2024.
Removed
Base rent under the Lease is $192,880 per annum payable in equal monthly installments on the first day of each month, in advance during fiscal 2017 and will gradually increase to $237,218 in fiscal 2024, subject to customary increases based on operating costs and real estate taxes.
Added
The Company has outsourced to a U.S. facility the functions formerly performed at the Warehouse, subsequent to the expiration of the lease on April 30, 2024. 18
Removed
The Company provided a security deposit in cash in the amount of $32,146, which will be fully refunded after the lease term expires. The lease is a net lease requiring the Company to pay for certain operating expenses associated with the Warehouse as well as utilities supplied to the Warehouse.

Item 5. Market for Registrant's Common Equity

Market for Common Equity — stock, dividends, buybacks

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Biggest changeThe reported high and low prices and the dividends declared on these shares during the past two fiscal years were as follows: Quarter Ended High Low Regular Dividend Declared Per Share April 30, 2023 $ 53.77 $ 45.00 $ 0.28 January 31, 2023 $ 69.85 $ 42.02 $ 0.25 October 31, 2022 $ 118.40 $ 42.52 $ 0.25 July 31, 2022 $ 92.00 $ 52.55 $ 0.25 April 30, 2022 $ 91.72 $ 52.61 $ 0.25 January 31, 2022 $ 61.79 $ 33.46 $ 0.22 October 31, 2021 $ 39.51 $ 30.44 $ 0.22 July 31, 2021 $ 33.77 $ 28.60 $ 0.22 On July 21, 2023, the Board of Directors of Value Line declared a quarterly dividend of $0.28 per share to shareholders of record as of July 31, 2023 to be paid on August 10, 2023.
Biggest changeThe reported high and low prices and the dividends declared on these shares during the past two fiscal years were as follows: Quarter Ended High Low Regular Dividend Declared Per Share April 30, 2024 $ 49.00 $ 36.00 $ 0.30 January 31, 2024 $ 58.45 $ 39.63 $ 0.28 October 31, 2023 $ 60.27 $ 32.07 $ 0.28 July 31, 2023 $ 62.09 $ 43.10 $ 0.28 April 30, 2023 $ 53.77 $ 45.00 $ 0.28 January 31, 2023 $ 69.85 $ 42.02 $ 0.25 October 31, 2022 $ 118.40 $ 42.52 $ 0.25 July 31, 2022 $ 92.00 $ 52.55 $ 0.25 On July 19, 2024, the Board of Directors of Value Line declared a quarterly dividend of $0.30 per share to shareholders of record as of July 29, 2024 to be paid on August 12, 2024.
The Company did not sell any unregistered shares of common stock during the fiscal year ended April 30, 2023. 19 Purchases of Equity Securities by the Company The following table provides information with respect to all repurchases of common stock made by or on behalf of the Company during the fiscal quarter ended April 30, 2023.
The Company did not sell any unregistered shares of common stock during the fiscal year ended April 30, 2024. 19 Purchases of Equity Securities by the Company The following table provides information with respect to all repurchases of common stock made by or on behalf of the Company during the fiscal quarter ended April 30, 2024.
Item 5. MARKET FOR REGISTRANT'S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES. The Registrant's Common Stock is traded on NASDAQ under the symbol “VALU”. The approximate number of record holders of the Registrant's Common Stock at April 30, 2023 was 32. As of April 28, 2023, the closing stock price was $45.80.
Item 5. MARKET FOR REGISTRANT'S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES. The Registrant's Common Stock is traded on NASDAQ under the symbol “VALU”. The approximate number of record holders of the Registrant's Common Stock at April 30, 2024 was 31. As of April 30, 2024, the closing stock price was $36.20.
ISSUER PURCHASES OF EQUITY SECURITIES Period (a) Total Number of Shares (or Units) Purchased (b) Average Price Paid per Share (or Unit) (c) Total Number of Shares (or Units) Purchased as Part of Publicly Announced Plans or Programs (d) Maximum Number (or Approximate Dollar Value) of Shares (or Units) that May Yet Be Purchased Under the Plans or Programs (1) February 1, 2023 through February 28, 2023 3,050 $ 51.07 3,050 $ 1,795,000 March 1, 2023 through March 31, 2023 1,009 48.20 1,009 1,746,000 April 1, 2023 through April 30, 2023 263 46.48 263 1,734,000 Total 4,322 $ 50.12 4,322 $ 1,734,000 On October 21, 2022, the Company's Board of Directors approved a share repurchase program authorizing the repurchase of shares of the Company’s common stock up to an aggregate purchase price of $3,000,000.
ISSUER PURCHASES OF EQUITY SECURITIES Period (a) Total Number of Shares (or Units) Purchased (b) Average Price Paid per Share (or Unit) (c) Total Number of Shares (or Units) Purchased as Part of Publicly Announced Plans or Programs (d) Maximum Number (or Approximate Dollar Value) of Shares (or Units) that May Yet Be Purchased Under the Plans or Programs (1) February 1, 2024 through February 29, 2024 2,000 $ 43.11 2,000 $ 1,310,000 March 1, 2024 through March 31, 2024 500 40.04 500 1,290,000 April 1, 2024 through April 30, 2024 2,000 39.21 2,000 1,211,000 Total 4,500 $ 41.03 4,500 $ 1,211,000 On October 21, 2022, the Company's Board of Directors approved a share repurchase program authorizing the repurchase of shares of the Company’s common stock up to an aggregate purchase price of $3,000,000.
During fiscal 2022, the Company repurchased an aggregate 53,327 shares of the Company's common stock for $2,484,000 at an average price of $46.57 per share including a repurchase of an aggregate 12,320 shares of the Company's common stock for $759,000 at an average price of $61.58 per share under the repurchase program authorized on March 14, 2022.
During fiscal 2024, the Company repurchased an aggregate 12,057 shares of the Company's common stock for $523,000 at an average price of $43.38 per share including a repurchase of an aggregate 35,722 shares of the Company's common stock for $1,789,000 at an average price of $50.07 per share under the repurchase program authorized on October 21, 2022.

Item 7. Management's Discussion & Analysis

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

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Biggest changeAsset Flows For the Years Ended April 30, 2023 2022 2021 2023 2022 vs. vs. 2022 2021 Value Line equity fund assets (excludes variable annuity)— beginning $ 3,312,889,678 $ 4,432,630,658 $ 3,107,549,794 -25.3 % 42.6 % Sales/inflows 514,725,223 489,135,580 1,444,784,921 5.2 % -66.1 % Dividends/Capital Gains Reinvested 194,068,940 350,143,149 245,356,118 -44.6 % 42.7 % Redemptions/outflows (858,248,017 ) (1,228,854,315 ) (1,265,805,045 ) -30.2 % -2.9 % Dividend and Capital Gain Distributions (202,981,966 ) (365,486,450 ) (257,754,064 ) -44.5 % 41.8 % Market value change 91,096,182 (364,678,944 ) 1,158,498,934 -125.0 % -131.5 % Value Line equity fund assets (non-variable annuity)— ending 3,051,550,040 3,312,889,678 4,432,630,658 -7.9 % -25.3 % Variable annuity fund assets — beginning $ 0 $ 431,605,833 $ 365,271,893 N/A 18.2 % Sales/inflows 0 4,277,236 4,494,490 N/A -4.8 % Dividends/Capital Gains Reinvested 0 329,335,773 46,943,739 N/A 601.6 % Redemptions/outflows (1) 0 (444,323,548 ) (48,782,673 ) N/A 810.8 % Dividend and Capital Gain Distributions 0 (329,335,773 ) (46,943,739 ) N/A 601.6 % Market value change 0 8,440,479 110,622,123 N/A -92.4 % Variable annuity fund assets — ending 0 0 431,605,833 N/A -100.0 % Fixed income fund assets — beginning $ 44,736,495 $ 100,536,371 $ 103,255,601 -55.5 % -2.6 % Sales/inflows 196,436 2,519,668 2,690,636 -92.2 % -6.4 % Dividends/Capital Gains Reinvested 808,077 1,140,663 1,810,046 -29.2 % -37.0 % Redemptions/outflows (2) (3,240,355 ) (52,180,984 ) (8,240,615 ) -93.8 % 533.2 % Dividend and Capital Gain Distributions (877,002 ) (1,219,715 ) (2,084,557 ) -28.1 % -41.5 % Market value change (519,400 ) (6,059,508 ) 3,105,260 -91.4 % -295.1 % Fixed income fund assets — ending 41,104,251 44,736,495 100,536,371 -8.1 % -55.5 % Assets under management — ending $ 3,092,654,291 $ 3,357,626,173 $ 4,964,772,862 -7.9 % -32.4 % (1) Guardian Insurance redeemed from Value Line Centurion and Value Line Strategic Asset Management on April 29, 2022 and the two funds were closed and subsequently liquidated.
Biggest changeAsset Flows For the Years Ended April 30, 2024 2023 2022 2024 2023 vs. vs. 2023 2022 Value Line equity fund assets (excludes variable annuity)— beginning $ 3,051,550,040 $ 3,312,889,678 $ 4,432,630,658 -7.9 % -25.3 % Sales/inflows 1,265,003,253 514,725,223 489,135,580 145.8 % 5.2 % Dividends/Capital Gains Reinvested 133,650,073 194,068,940 350,143,149 -31.1 % -44.6 % Redemptions/outflows (786,671,032 ) (858,248,017 ) (1,228,854,315 ) -8.3 % -30.2 % Dividend and Capital Gain Distributions (134,961,191 ) (202,981,966 ) (365,486,450 ) -33.5 % -44.5 % Market value change 608,638,863 91,096,182 (364,678,944 ) 568.1 % -125.0 % Value Line equity fund assets (non-variable annuity)— ending 4,137,210,006 3,051,550,040 3,312,889,678 35.6 % -7.9 % Variable annuity fund assets — beginning $ 0 $ 0 $ 431,605,833 N/A N/A Sales/inflows 0 0 4,277,236 N/A N/A Dividends/Capital Gains Reinvested 0 0 329,335,773 N/A N/A Redemptions/outflows (1) 0 0 (444,323,548 ) N/A N/A Dividend and Capital Gain Distributions 0 0 (329,335,773 ) N/A N/A Market value change 0 0 8,440,479 N/A N/A Variable annuity fund assets — ending 0 0 0 N/A N/A Fixed income fund assets — beginning $ 41,104,251 $ 44,736,495 $ 100,536,371 -8.1 % -55.5 % Sales/inflows 149,059 196,436 2,519,668 -24.1 % -92.2 % Dividends/Capital Gains Reinvested 1,168,217 808,077 1,140,663 44.6 % -29.2 % Redemptions/outflows (4,157,474 ) (3,240,355 ) (52,180,984 ) 28.3 % -93.8 % Dividend and Capital Gain Distributions (1,279,170 ) (877,002 ) (1,219,715 ) 45.9 % -28.1 % Market value change (1,147,835 ) (519,400 ) (6,059,508 ) 121.0 % -91.4 % Fixed income fund assets — ending 35,837,048 41,104,251 44,736,495 -12.8 % -8.1 % Assets under management — ending $ 4,173,047,054 $ 3,092,654,291 $ 3,357,626,173 34.9 % -7.9 % (1) Guardian Insurance redeemed from Value Line Centurion and Value Line Strategic Asset Management on April 29, 2022 and the two funds were closed and subsequently liquidated. 27 As of April 30, 2024, four of six Value Line equity and hybrid mutual funds held an overall four or five star rating by Morningstar, Inc.
Salaries and employee benefits During the twelve months ended April 30, 2023, salaries and employee benefits of $15,203,000 decreased 12.2% below the prior fiscal year, primarily due to decreases in salaries and employee benefits resulting from a reduced employee headcount in fiscal year 2023, as well as reductions in payment for a profit sharing contribution and the company’s share of medical benefits.
During the twelve months ended April 30, 2023, salaries and employee benefits of $15,203,000 decreased 12.2% below the prior fiscal year, primarily due to decreases in salaries and employee benefits resulting from a reduced employee headcount in fiscal year 2023, as well as reductions in payment for a profit sharing contribution and the company’s share of medical benefits.
On February 29, 2016, the Company’s subsidiary VLDC and Seagis Property Group LP (the “Landlord”) entered into a lease agreement, pursuant to which VLDC has leased 24,110 square feet of warehouse and appurtenant office space located at 205 Chubb Ave., Lyndhurst, NJ (“Warehouse”) beginning on May 1, 2016 and ending on April 30, 2024 (“Lease”).
On February 29, 2016, the Company’s subsidiary VLDC and Seagis Property Group LP (the “Landlord”) entered into a lease agreement, pursuant to which VLDC leased 24,110 square feet of warehouse and appurtenant office space located at 205 Chubb Ave., Lyndhurst, NJ (“Warehouse”) beginning on May 1, 2016 and ending on April 30, 2024 (“Lease”).
During the twelve months ended April 30, 2022, Institutional Sales department generated total sales orders of $13,853,000 and the retail telemarketing sales team generated total sales orders of $8,292,000. 26 Total print circulation at April 30, 2022 was 7.6% below the total print circulation at April 30, 2021.
During the twelve months ended April 30, 2022, Institutional Sales department generated total sales orders of $13,853,000 and the retail telemarketing sales team generated total sales orders of $8,292,000. Total print circulation at April 30, 2022 was 7.6% below the total print circulation at April 30, 2021.
Since the inception of EAM, the Company has not recognized any other-than-temporary impairment in the investment. Contractual Obligations We are a party to lease contracts which will result in cash payments to landlords in future periods. Operating lease liabilities are included in our Consolidated Balance Sheets.
Since the inception of EAM, the Company has not recognized any other-than-temporary impairment in the investment. Contractual Obligations We are a party to lease contracts which will result in cash payments to lessors in future periods. Operating lease liabilities are included in our Consolidated Balance Sheets.
Our cash flows from operating activities are minimally seasonal in nature, primarily due to the timing of customer payments made for orders and subscription renewals. 34 Recent Accounting Pronouncements In December 2019, the Financial Accounting Standards Board (“FASB”) issued ASU 2019-12, “Income Taxes (Topic740): Simplifying the Accounting for Income Taxes” as part of its initiative to reduce complexity in the accounting standards.
Our cash flows from operating activities are minimally seasonal in nature, primarily due to the timing of customer payments made for orders and subscription renewals. 33 Recent Accounting Pronouncements In 2019, the Financial Accounting Standards Board (“FASB”) issued ASU 2019-12, “Income Taxes (Topic740): Simplifying the Accounting for Income Taxes” as part of its initiative to reduce complexity in the accounting standards.
Cash outflows for the twelve months ended April 30, 2023 and April 30, 2022, were primarily due to the Company’s decision to invest in additional fixed income securities, primarily United States government obligations, in fiscal 2023 and 2022.
Cash outflows for the twelve months ended April 30, 2024 and April 30, 2023, were primarily due to the Company’s decision to invest in additional fixed income securities, primarily United States government obligations, in fiscal 2024 and 2023.
During the three months ended April 30, 2022, the Company’s income from operations of $2,923,000 was 248.8% above income from operations of $838,000 during the three months ended April 30, 2021 due to an increase in copyright fees and well controlled expenses in the fourth fiscal quarter of 2022.
During the three months ended April 30, 2022, the Company’s income from operations was $2,923,000 compared to income from operations of $838,000 during the three months ended April 30, 2021 due to an increase in copyright fees and well controlled expenses in the fourth fiscal quarter of 2022.
During the twelve months ended April 30, 2022, office and administrative expenses of $4,176,000 decreased 13.1% below the prior fiscal year, primarily due to a reversal of selected settlement reserves and favorable settlement of a disputed fee with a contractor and decreases in outside data processing (communication, server hosting backup, antivirus software). 31 During the twelve months ended April 30, 2021, office and administrative expenses of $4,807,000 increased 1.7% above the prior fiscal year.
During the twelve months ended April 30, 2022, office and administrative expenses of $4,176,000 decreased 13.1% below the prior fiscal year, primarily due to a reversal of selected settlement reserves and favorable settlement of a disputed fee with a contractor and decreases in outside data processing (communication, server hosting backup, antivirus software).
As of April 30, 2023, one of the Value Line Funds has full 12b-1 fees waivers in place, and five funds have partial investment management fee waivers in place.
As of April 30, 2024, one of the Value Line Funds has 12b-1 fees waivers in place, and five funds have partial investment management fee waivers in place.
There were no capital gain distributions from ETFs in fiscal 2022 or fiscal 2021. Effective income tax rate The overall effective income tax rates, as a percentage of pre-tax ordinary income for the twelve months ended April 30, 2023, April 30, 2022 and April 30, 2021 were 24.00%, 22.25% and 23.11%, respectively.
There were no capital gain distributions from ETFs in Fiscal 2023 or 2022. Effective income tax rate The overall effective income tax rates, as a percentage of pre-tax ordinary income for the twelve months ended April 30, 2024, April 30, 2023 and April 30, 2022 were 24.50%, 24.00% and 22.25%, respectively.
Investment management fees and services – (unconsolidated) The Company has substantial non-voting revenues and non-voting profits interests in EAM, the asset manager to the Value Line Mutual Funds.
Investment management fees and services – (unconsolidated) The Company has substantial non-voting revenues and non-voting profits interests in EAM, the investment adviser to the Value Line Mutual Funds.
Operating expenses of $29,725,000 during the twelve months ended April 30, 2022, were 9.5% below those during the twelve months ended April 30, 2021 as a result of cost controls in fiscal year 2022. Operating expenses of $7,205,000 during the three months ended April 30, 2022, were 18.9% below those during the three months ended April 30, 2021.
Operating expenses of $29,725,000 during the twelve months ended April 30, 2022, were 9.5% below those during the twelve months ended April 30, 2021 as a result of cost controls in fiscal year 2022.
During the twelve months ended April 30, 2023, renewal sales of print and digital publications increased as a percent of the total gross sales versus the prior fiscal years. During the twelve months ended April 30, 2022, new sales of print and digital publications decreased as a percent of the total gross sales versus the prior fiscal year.
During the twelve months ended April 30, 2023, renewal sales of print and digital publications increased as a percent of the total gross sales versus the prior fiscal years.
There were no capital gain distributions from ETFs in fiscal 2023 or fiscal 2022.
There were no capital gain distributions from ETFs in fiscal 2024 or fiscal 2023.
The increase in the effective tax rate during for the twelve months ended April 30, 2023 as compared to April 30, 2022, is primarily a result of the non-taxable revenue derived from forgiveness of the PPP loan by the SBA offset by an increase in the state and local income taxes from 3.12% to 3.25% as a result of changes in state and local income tax allocation factors, on deferred taxes in fiscal 2023.
The increase in the effective tax rate during for the twelve months ended April 30, 2024 as compared to April 30, 2023, is primarily a result of an increase in the state and local tax rate from 3.25% to 3.72%.The increase in the effective tax rate during for the twelve months ended April 30, 2023 as compared to April 30, 2022, is primarily a result of the non-taxable revenue derived from forgiveness of the PPP loan by the SBA (see note 19) in fiscal 2022 partially offset by an increase in the state and local income taxes from 3.12% to 3.25% as a result of changes in state and local income tax allocation factors.
Advertising and promotion During twelve months ended April 30, 2023, advertising and promotion expenses of $3,049,000 decreased 5.4% as compared to the prior fiscal year. During the twelve months ended April 30, 2023, decreases were primarily due to decreases in media advertising expenses and direct mail campaigns, partially offset by the increases in renewal solicitation costs and institutional sales commissions.
During the twelve months ended April 30, 2023, decreases were primarily due to decreases in media advertising expenses and direct mail campaigns, partially offset by the increases in renewal solicitation costs and institutional sales commissions. During the twelve months ended April 30, 2022, advertising and promotion expenses of $3,223,000 decreased 13.9% as compared to the prior fiscal year.
During the twelve months ended April 30, 2022, the Company’s income from operations of $10,800,000 was 43.3% above income from operations of $7,535,000 during the twelve months ended April 30, 2021. For the twelve months ended April 30, 2022, operating expenses decreased 9.5% below those during the twelve months ended April 30, 2021.
During the twelve months ended April 30, 2022, the Company’s income from operations was $10,800,000 compared to income from operations of $7,535,000 during the twelve months ended April 30, 2021. For the twelve months ended April 30, 2022, operating expenses decreased 9.5% below those during the twelve months ended April 30, 2021.
Cash outflows for financing activities included $4,704,000, $2,484,000 and $1,526,000 for the repurchase of 75,303 shares, 53,327 shares and 53,551 shares of the Company’s common stock under the July 2021, March 2022, May 2022 & October 2022 board approved common stock repurchase programs, during fiscal years 2023, 2022 and 2021, respectively.
Cash outflows for financing activities included $523,000, $4,704,000 and $2,484,000 for the repurchase of 12,057 shares, 75,303 shares and 53,327 shares of the Company’s common stock under the July 2021, March 2022, May 2022 & October 2022 board approved common stock repurchase programs, during fiscal years 2024, 2023 and 2022, respectively.
Concentration During the twelve months ended April 30, 2023, 33.9% of total publishing revenues of $39,695,000 were derived from a single customer. During the twelve months ended April 30, 2022, 33.0% of total publishing revenues of $40,525,000 were derived from a single customer.
During the twelve months ended April 30, 2022, 33.0% of total publishing revenues of $40,525,000 were derived from a single customer.
Cash from operating activities The Company had cash inflows from operating activities of $18,178,000 during the twelve months ended April 30, 2023, compared to cash inflows from operations of $24,646,000 and $16,410,000 during the twelve months ended April 30, 2022 and 2021, respectively.
Cash from operating activities The Company had cash inflows from operating activities of $17,932,000 during the twelve months ended April 30, 2024, compared to cash inflows from operations of $18,178,000 and $24,646,000 during the twelve months ended April 30, 2023 and 2022, respectively.
Cash from financing activities During the twelve months ended April 30, 2023, the Company’s cash outflows from financing activities were $14,175,000 and compared to cash outflows from financing activities of $10,889,000 and $9,574,000 for the twelve months ended April 30, 2022 and 2021, respectively.
Cash from financing activities During the twelve months ended April 30, 2024, the Company’s cash outflows from financing activities were $11,084,000 and compared to cash outflows from financing activities of $14,175,000 and $10,889,000 for the twelve months ended April 30, 2023 and 2022, respectively.
During fiscal 2020, the Company applied for and received an SBA loan under the Paycheck Protection Program in the amount of $2,331,000. The obligation to repay the SBA loan under the Paycheck Protection Program was forgiven during fiscal 2022. Quarterly regular dividend payments of $0.25 per share during fiscal 2023 aggregated $9,471,000.
During fiscal 2020, the Company applied for and received an SBA loan under the Paycheck Protection Program in the amount of $2,331,000. The obligation to repay the SBA loan under the Paycheck Protection Program was forgiven during fiscal 2022. Quarterly regular dividend payments of $0.28 per share during fiscal 2024 aggregated $10,561,000.
The Company continued activity to attract new subscribers, primarily digital subscriptions through various marketing channels, primarily direct mail, e-mail, and by the efforts of our sales personnel. As fewer individual investors manage their own portfolios, total product line circulation at April 30, 2023, was 10.4% below total product line circulation at April 30, 2022.
The Company continued activity to attract new subscribers, primarily digital subscriptions through various marketing channels, primarily direct mail, e-mail, and by the efforts of our sales personnel. As fewer individual investors manage their own portfolios, particularly in volatile markets, total product line circulation at April 30, 2024, was 3.2% below total product line circulation at April 30, 2023.
Office and administration During the twelve months ended April 30, 2023, office and administrative expenses of $4,763,000 increased 14.1% above the prior fiscal year, primarily due to an increases in settlement costs and professional fees.
During the twelve months ended April 30, 2023, office and administrative expenses of $4,763,000 increased 14.1% above the prior fiscal year, primarily due to an increases in settlement costs and professional fees in connection with intellectual property, contractual, and other matters.
During the twelve months ended April 30, 2022, the Company’s investment gains, primarily derived from dividend and interest income, investment losses recognized on sales of equity securities during the period and unrealized gains recognized on equity securities held at the end of the period in fiscal 2022, resulted in a loss of $534,000.
During the twelve months ended April 30, 2023, the Company’s investment gains, primarily derived from dividend and interest income, investment gains recognized on sales of equity securities during the period and unrealized gains recognized on equity securities held at the end of the period in fiscal 2023, resulted in investment gains of $1,174,000.
Management does not anticipate making any additional borrowings during the next twelve months. As of April 30, 2023, retained earnings and liquid assets were $95,979,000 and $62,064,000, respectively. As of April 30, 2022, retained earnings and liquid assets were $87,645,000 and $57,825,000, respectively. Seasonality Our publishing revenues are comprised of subscriptions which are generally annual subscriptions.
Management does not anticipate making any additional borrowings during the next twelve months. As of April 30, 2024, retained earnings and liquid assets were $104,249,000 and $68,345,000, respectively. As of April 30, 2023, retained earnings and liquid assets were $95,979,000 and $62,064,000, respectively. Seasonality Our publishing revenues are comprised of subscriptions which are generally annual subscriptions.
Investment periodicals and related publications revenues of $27,145,000 (excluding copyright fees) during the twelve months ended April 30, 2022 were 1.8% below publishing revenues of $27,629,000, which included an extra week of servings for the weekly print products during the twelve months ended April 30, 2021, (decreased 1.1% excluding the extra week of print products servings), as compared to the prior fiscal year.
Sales of our higher-price, higher-profit, publications have been stronger than sales of lower price “starter” products. 25 Investment periodicals and related publications revenues of $27,145,000 (excluding copyright fees) during the twelve months ended April 30, 2022 were 1.8% below publishing revenues of $27,629,000, which included an extra week of servings for the weekly print products during the twelve months ended April 30, 2021, (decreased 1.1% excluding the extra week of print products servings), as compared to the prior fiscal year.
Cash from investing activities The Company’s cash outflows from investing activities of $26,116,000 during the twelve months ended April 30, 2023, compared to cash outflows from investing activities of $3,389,000 and cash inflows of $7,381,000 for the twelve months ended April 30, 2022 and April 30, 2021, respectively.
Cash from investing activities The Company’s cash outflows from investing activities of $10,048,000 during the twelve months ended April 30, 2024, compared to cash outflows from investing activities of $26,116,000 and cash outflows of $3,389,000 for the twelve months ended April 30, 2023 and April 30, 2022, respectively.
During the six month period ended April 30, 2023, the combined Ranking System “Rank 1 & 2” stocks’ increase of 7.0% compared to the Russell 2000 Index’s decrease of 4.2% during the comparable period.
During the six month period ended April 30, 2024, the combined Ranking System “Rank 1 & 2” stocks’ increase of 20.0% compared to the Russell 2000 Index’s increase of 18.2% during the comparable period.
Liquidity and Capital Resources The Company had working capital, defined as current assets less current liabilities, of $42,788,000 as of April 30, 2023 and $37,580,000 as of April 30, 2022. These amounts include short-term unearned revenue of $16,771,000 and $17,688,000 reflected in total current liabilities at April 30, 2023 and April 30, 2022, respectively.
Liquidity and Capital Resources The Company had working capital, defined as current assets less current liabilities, of $48,770,000 as of April 30, 2024 and $42,788,000 as of April 30, 2023. These amounts include short-term unearned revenue of $15,764,000 and $16,771,000 reflected in total current liabilities at April 30, 2024 and April 30, 2023, respectively.
Cash and short-term securities were $62,064,000 and $57,825,000 as of April 30, 2023 and April 30, 2022, respectively. 33 The Company’s cash and cash equivalents include $7,240,000 and $28,965,000 at April 30, 2023 and April 30, 2022, respectively, invested primarily in commercial banks and in Money Market Funds at brokers, which operate under Rule 2a-7 of the 1940 Act and invest primarily in short-term U.S. government securities.
Cash and short-term securities were $68,345,000 and $62,064,000 as of April 30, 2024 and April 30, 2023, respectively. 32 The Company’s cash and cash equivalents include $4,136,000 and $7,240,000 at April 30, 2024 and April 30, 2023, respectively, invested primarily in commercial banks and in Money Market Funds at brokers, which operate under Rule 2a-7 of the 1940 Act and invest primarily in short-term U.S. government securities.
During the twelve months ended April 30, 2021, EAM's net income was $4,262,000 after giving effect to Value Line’s non-voting revenues interest of $15,190,000, but before distributions to voting profits interest holders and to the Company in respect of its 50% non-voting profits interest.
During the twelve months ended April 30, 2024, EAM's net income was $2,764,000 after giving effect to Value Line’s non-voting revenues interest of $11,900,000, but before distributions to voting profits interest holders and to the Company in respect of its 50% non-voting profits interest.
Total operating revenues Fiscal Years Ended April 30, Change ($ in thousands) 2023 2022 2021 '23 vs. '22 '22 vs. '21 Investment periodicals and related publications: Print $ 9,963 $ 11,253 $ 11,929 -11.5 % -5.7 % Digital 16,269 15,892 15,700 2.4 % 1.2 % Total investment periodicals and related publications 26,232 27,145 27,629 -3.4 % -1.8 % Copyright fees 13,463 13,380 12,763 0.6 % 4.8 % Total operating revenues $ 39,695 $ 40,525 $ 40,392 -2.0 % 0.3 % Within investment periodicals and related publications, subscription sales orders are derived from print and digital products.
Total operating revenues Fiscal Years Ended April 30, Change ($ in thousands) 2024 2023 2022 '24 vs. '23 '23 vs. '22 Investment periodicals and related publications: Print $ 9,286 $ 9,963 $ 11,253 -6.8 % -11.5 % Digital 16,134 16,269 15,892 -0.8 % 2.4 % Total investment periodicals and related publications 25,420 26,232 27,145 -3.1 % -3.4 % Copyright fees 12,067 13,463 13,380 -10.4 % 0.6 % Total operating revenues $ 37,487 $ 39,695 $ 40,525 -5.6 % -2.0 % Within investment periodicals and related publications, subscription sales orders are derived from print and digital products.
During the twelve months ended April 30, 2022, there were 9,544,421 average common shares outstanding as compared to 9,596,912 average common shares outstanding during the twelve months ended April 30, 2021.
During the twelve months ended April 30, 2023, there were 9,458,605 average common shares outstanding as compared to 9,544,421 average common shares outstanding during the twelve months ended April 30, 2022.
During the three months ended April 30, 2022, the Company’s net income of $3,807,000, or $0.40 per share, was 37.1% below net income of $6,051,000, or $0.64 per share, for the three months ended April 30, 2021.
During the three months ended April 30, 2023, the Company’s income from operations was $2,757,000 compared to income from operations of $2,923,000 during the three months ended April 30, 2022. 23 During the three months ended April 30, 2022, the Company’s net income of $3,807,000, or $0.40 per share, was 37.1% below net income of $6,051,000, or $0.64 per share, for the three months ended April 30, 2021.
Sources of subscription sales Fiscal Years Ended April 30, 2023 2022 2021 Print Digital Print Digital Print Digital New Sales 10.9 % 11.0 % 11.7 % 13.0 % 14.6 % 15.4 % Renewal Sales 89.1 % 89.0 % 88.3 % 87.0 % 85.4 % 84.7 % Total Gross Sales 100.0 % 100.0 % 100.0 % 100.0 % 100.0 % 100.0 % During the twelve months ended April 30, 2023, new sales of print and digital publications decreased as a percent of the total gross sales versus the prior fiscal years as a result of weakened sentiment among prospective customers in a period of market volatility.
Sources of subscription sales Fiscal Years Ended April 30, 2024 2023 2022 Print Digital Print Digital Print Digital New Sales 12.5 % 10.4 % 10.9 % 11.0 % 11.7 % 13.0 % Renewal Sales 87.5 % 89.6 % 89.1 % 89.0 % 88.3 % 87.0 % Total Gross Sales 100.0 % 100.0 % 100.0 % 100.0 % 100.0 % 100.0 % During the twelve months ended April 30, 2024, new sales of print and digital publications increased as a percent of the total gross sales as a result of an increase in new sales orders while conversion and renewal sales orders decreased from the prior fiscal year. 24 During the twelve months ended April 30, 2023, new sales of print and digital publications decreased as a percent of the total gross sales versus the prior fiscal years as a result of weakened sentiment among prospective customers in a period of market volatility.
The Value Line equity and hybrid funds’ assets represent 98.7% and fixed income fund assets represent 1.3%, respectively, of total fund assets under management (“AUM”) as of April 30, 2023. At April 30, 2023, equity and hybrid AUM decreased by 7.9% and fixed income AUM decreased by 8.1% as compared to last year at April 30, 2022.
The Value Line equity and hybrid funds’ assets represent 99.1% and fixed income fund assets represent 0.9%, respectively, of total fund assets under management (“AUM”) as of April 30, 2024. At April 30, 2024, equity and hybrid AUM increased by 35.6% and fixed income AUM decreased by 12.8% as compared to last year at April 30, 2023.
During the three months ended April 30, 2023, the Company’s income from operations of $2,757,000 was 5.7% below income from operations of $2,923,000 during the three months ended April 30, 2022. 24 During the twelve months ended April 30, 2022, the Company’s net income of $23,822,000, or $2.50 per share, was 2.3% above net income of $23,280,000, or $2.43 per share, for the twelve months ended April 30, 2021.
During the twelve months ended April 30, 2022, the Company’s net income of $23,822,000, or $2.50 per share, was 2.3% above net income of $23,280,000, or $2.43 per share, for the twelve months ended April 30, 2021.
Fiscal Years Ended April 30, Change ($ in thousands, except earnings per share) 2023 2022 2021 '23 vs. '22 '22 vs. '21 Income from operations $ 11,470 $ 10,800 $ 7,535 6.2 % 43.3 % Gain on forgiveness of SBA loan - 2,331 - n/a n/a Non-voting revenues and non-voting profits interests from EAM Trust 11,131 18,041 17,321 -38.3 % 4.2 % Income from operations plus non-voting revenues and non-voting profits interests from EAM Trust and gain on SBA loan forgiveness 22,601 31,172 24,856 -27.5 % 25.4 % Operating expenses 28,225 29,725 32,857 -5.0 % -9.5 % Investment gains / (losses) 1,174 (534 ) 5,420 n/a n/a Income before income taxes $ 23,775 $ 30,638 $ 30,276 -22.4 % 1.2 % Net income $ 18,069 $ 23,822 $ 23,280 -24.1 % 2.3 % Earnings per share $ 1.91 $ 2.50 $ 2.43 -23.6 % 2.9 % During the twelve months ended April 30, 2023, the Company’s net income of $18,069,000, or $1.91 per share, was 24.1% below net income of $23,822,000, or $2.50 per share, for the twelve months ended April 30, 2022.
Fiscal Years Ended April 30, Change ($ in thousands, except earnings per share) 2024 2023 2022 '24 vs. '23 '23 vs. '22 Income from operations $ 9,141 $ 11,470 $ 10,800 -20.3 % 6.2 % Gain on forgiveness of SBA loan - - 2,331 n/a n/a Non-voting revenues and non-voting profits interests from EAM Trust 13,282 11,131 18,041 19.3 % -38.3 % Income from operations plus non-voting revenues and non-voting profits interests from EAM Trust and gain on SBA loan forgiveness 22,423 22,601 31,172 -0.8 % -27.5 % Operating expenses 28,346 28,225 29,725 0.4 % -5.0 % Investment gains 2,764 1,174 (534 ) 135.4 % n/a Income before income taxes $ 25,187 $ 23,775 $ 30,638 5.9 % -22.4 % Net income $ 19,016 $ 18,069 $ 23,822 5.2 % -24.1 % Earnings per share $ 2.02 $ 1.91 $ 2.50 5.8 % -23.6 % During the three months ended April 30, 2024, the Company’s net income of $4,784,000, or $0.51 per share, was 18.6% above net income of $4,033,000, or $0.43 per share, for the three months ended April 30, 2023.
The gross fees and net income of EAM’s investment management operations during the twelve months ended April 30, 2021, before interest holder distributions, included total investment management fees earned from the Value Line Funds of $29,022,000, 12b-1 fees and other fees of $9,604,000 and other net income of $361,000.
The gross fees and net income of EAM’s investment management operations during the twelve months ended April 30, 2023, before interest holder distributions, included total investment management fees earned from the Value Line Funds of $19,824,000, 12b-1 fees and other fees of $5,964,000 and other net gains of $142,000.
Investment periodicals and related publications revenues Investment periodicals and related publications revenues of $26,232,000 (excluding copyright fees) during the twelve months ended April 30, 2023 were 3.4% below publishing revenues of $27,145,000, as compared to the prior fiscal year.
Investment periodicals and related publications revenues Investment periodicals and related publications revenues of $25,420,000 (excluding copyright fees) during the twelve months ended April 30, 2024 were 3.1% below publishing revenues of $26,232,000 in the prior fiscal year.
Estimated payments of these liabilities in each of the next four fiscal years and thereafter are (in thousands): $1,634 in 2024; $1,429 in 2025; $1,461 in 2026; $1,493 in 2027 and $882 thereafter totaling $6,899. 35
Estimated payments of these liabilities in each of the next four fiscal years (in thousands): $1,429 in 2025; $1,461 in 2026; $1,493 in 2027 and $882 in 2028 totaling $5,265. 34
Quarterly regular dividend payments of $0.22 per share during fiscal 2022 aggregated $8,405,000. Quarterly regular dividend payments of $0.21 per share during fiscal 2021 aggregated $8,068,000. At April 30, 2023 there were 9,434,540 common shares outstanding as compared to 9,509,843 common shares outstanding at April 30, 2022.
Quarterly regular dividend payments of $0.25 per share during fiscal 2023 aggregated $9,471,000. Quarterly regular dividend payments of $0.22 per share during fiscal 2022 aggregated $8,405,000. At April 30, 2024 there were 9,428,379 common shares outstanding as compared to 9,458,605 common shares outstanding at April 30, 2023.
The Value Line equity and hybrid funds’ assets represent 98.7% and fixed income fund assets represent 1.3%, respectively, of total fund assets under management (“AUM”) as of April 30, 2022. At April 30, 2022, equity and hybrid AUM decreased by 25.3% and fixed income AUM decreased by 55.5% as compared to fiscal 2021.
The Value Line equity and hybrid funds’ assets represent 98.7% and fixed income fund assets represent 1.3%, respectively, of total fund assets under management (“AUM”) as of April 30, 2023.
During the twelve months ended April 30, 2022, copyright fees of $13,380,000 were 4.8% above those during the corresponding period in the prior fiscal year. During the twelve months ended April 30, 2021, copyright fees of $12,763,000 were 0.7% above those during the corresponding period in the prior fiscal year.
Copyright fees During the twelve months ended April 30, 2024, copyright fees of $12,067,000 were 10.4% below those during the corresponding period in the prior fiscal year. During the twelve months ended April 30, 2023, copyright fees of $13,463,000 were 0.6% above those during the corresponding period in the prior fiscal year.
Inflows for sales, and outflows for redemptions reflect decisions of individual investors and/or their investment advisors. The table also illustrates the assets within the Value Line Funds broken down into equity funds, variable annuity funds (prior to fiscal 2023) and fixed income funds as of April 30, 2023, 2022 and 2021.
The table also illustrates the assets within the Value Line Funds broken down into equity funds, variable annuity funds (prior to fiscal 2024) and fixed income funds as of April 30, 2024, 2023 and 2022.
Total sales commissions decreased 8% during the twelve months ended April 30, 2022. 30 During the twelve months ended April 30, 2021, advertising and promotion expenses of $3,745,000 increased 11.8% as compared to the prior fiscal year. During the twelve months ended April 30, 2021, increases were primarily due to advertising expenses and institutional sales promotion.
During the twelve months ended April 30, 2024, decreases were primarily due to decreases in total sales commissions. During twelve months ended April 30, 2023, advertising and promotion expenses of $3,049,000 decreased 5.4% as compared to the prior fiscal year.
For the same period, total investment management fee waivers were $121,000 and 12b-1 fee waivers for three Value Line Funds were $651,000.
For the same period, total investment management fee waivers were $288,000 and 12b-1 fee waivers were $94,000.
During the twelve months ended April 30, 2022, advertising and promotion expenses of $3,223,000 decreased 13.9% as compared to the prior fiscal year. During the twelve months ended April 30, 2022, decreases were primarily due to a decline in direct mail campaigns and lower media marketing and lower institutional sales commissions.
During the twelve months ended April 30, 2022, decreases were primarily due to a decline in direct mail campaigns and lower media marketing and lower institutional sales commissions. Total sales commissions decreased 8% during the twelve months ended April 30, 2022.
The Voting Profits Interest Holders will receive the other 50% of residual profits of EAM. Distribution is not less than 90% of EAM’s profits payable each fiscal quarter under the provisions of the EAM Trust Agreement. Business Environment The pace of economic growth slowed moderately in the first half of calendar 2023.
The Voting Profits Interest Holders received the other 50% of residual profits of EAM. Distribution is not less than 90% of EAM’s profits payable each fiscal quarter under the provisions of the EAM Trust Agreement.
Total assets in the Value Line Funds managed and/or distributed by EAM at April 30, 2022, were $3.36 billion, which is $1.6 billion, or 32.4%, below total assets of $4.96 billion in the Value Line Funds managed and/or distributed by EAM at April 30, 2021.
Total assets in the Value Line Funds managed and/or distributed by EAM at April 30, 2024, were $4.17 billion, which is $1.08 billion, or 35.0%, above total assets of $3.09 billion in the Value Line Funds managed and/or distributed by EAM at April 30, 2023.
During the twelve months ended April 30, 2022, production and distribution expenses of $5,003,000 decreased 8.0% below the prior fiscal year, primarily due to decreases in service mailers and distribution expenses and a decrease in production support of the Company’s website, maintenance of the Company’s publishing and application software and operating systems.
During the twelve months ended April 30, 2022, production and distribution expenses of $5,003,000 decreased 8.0% below the prior fiscal year, primarily due to decreases in service mailers and distribution expenses and a decrease in production support of the Company’s website, maintenance of the Company’s publishing and application software and operating systems. 30 Office and administration During the twelve months ended April 30, 2024, office and administrative expenses of $5,085,000 increased 6.8% above the prior fiscal year, primarily due to an increases in restructuring costs related to outsourcing the mailing & distribution operations at VLDC and professional fees in connection with intellectual property, contractual, and other matters.
EAM - The Company ’ s non-voting revenues and non-voting profits interests The Company holds non-voting revenues and non-voting profits interests in EAM which entitle the Company to receive from EAM an amount ranging from 41% to 55% of EAM's investment management fee revenues from its mutual fund and separate accounts business, and 50% of EAM’s net profits, not less than 90% of which is distributed in cash every fiscal quarter. 29 The Company recorded income from its non-voting revenues interest and its non-voting profits interest in EAM as follows: Fiscal Years Ended April 30, Change ($ in thousands) 2023 2022 2021 '23 vs. '22 '22 vs. '21 Non-voting revenues interest $ 10,397 $ 15,899 $ 15,190 -34.6 % 4.7 % Non-voting profits interest 734 2,142 2,131 -65.7 % 0.5 % $ 11,131 $ 18,041 $ 17,321 -38.3 % 4.2 % Operating expenses Fiscal Years Ended April 30, Change ($ in thousands) 2023 2022 2021 '23 vs. '22 '22 vs. '21 Advertising and promotion $ 3,049 $ 3,223 $ 3,745 -5.4 % -13.9 % Salaries and employee benefits 15,203 17,323 18,865 -12.2 % -8.2 % Production and distribution 5,210 5,003 5,440 4.1 % -8.0 % Office and administration 4,763 4,176 4,807 14.1 % -13.1 % Total expenses $ 28,225 $ 29,725 $ 32,857 -5.0 % -9.5 % Expenses within the Company are categorized into advertising and promotion, salaries and employee benefits, production and distribution, office and administration.
The Company recorded income from its non-voting revenues interest and its non-voting profits interest in EAM as follows: Fiscal Years Ended April 30, Change ($ in thousands) 2024 2023 2022 '24 vs. '23 '23 vs. '22 Non-voting revenues interest $ 11,900 $ 10,397 $ 15,899 14.5 % -34.6 % Non-voting profits interest 1,382 734 2,142 88.3 % -65.7 % $ 13,282 $ 11,131 $ 18,041 19.3 % -38.3 % Operating expenses Fiscal Years Ended April 30, Change ($ in thousands) 2024 2023 2022 '24 vs. '23 '23 vs. '22 Advertising and promotion $ 2,955 $ 3,049 $ 3,223 -3.1 % -5.4 % Salaries and employee benefits 14,851 15,203 17,323 -2.3 % -12.2 % Production and distribution 5,455 5,210 5,003 4.7 % 4.1 % Office and administration 5,085 4,763 4,176 6.8 % 14.1 % Total expenses $ 28,346 $ 28,225 $ 29,725 0.4 % -5.0 % Expenses within the Company are categorized into advertising and promotion, salaries and employee benefits, production and distribution, office and administration.
During the twelve months ended April 30, 2022, renewal sales of print and digital publications increased as a percent of the total gross sales versus the prior fiscal year as a result of increased efforts by our in-house Retail and Institutional Sales departments. 25 As of April 30, Change ($ in thousands) 2023 2022 2021 '23 vs. '22 '22 vs. '21 Unearned subscription revenue (current and long-term liabilities) $ 22,973 $ 23,773 $ 25,088 -3.4 % -5.2 % A certain amount of variation is to be expected due to the volume of new orders and timing of renewal orders, direct mail campaigns and large Institutional Sales orders.
As of April 30, Change ($ in thousands) 2024 2023 2022 '24 vs. '23 '23 vs. '22 Unearned subscription revenue (current and long-term liabilities) $ 22,281 $ 22,973 $ 23,773 -3.0 % -3.4 % A certain amount of variation is to be expected due to the volume of new orders and timing of long-term renewal contracts, direct mail campaigns and large Institutional Sales orders.
Fiscal 2022 included a gain of $2,331,000 from the tax-free forgiveness of SBA’s PPP loan to the Company. During the twelve months ended April 30, 2023, the Company’s income from operations of $11,470,000 was 6.2% above income from operations of $10,800,000 during the twelve months ended April 30, 2022.
During the twelve months ended April 30, 2023, the Company’s net income of $18,069,000, or $1.91 per share, was 24.1% below net income of $23,822,000, or $2.50 per share, for the twelve months ended April 30, 2022. Fiscal 2022 included a gain of $2,331,000 from the tax-free forgiveness of SBA’s PPP loan to the Company.
As of April 30, 2023, four of six Value Line equity and hybrid mutual funds held an overall four or five star rating by Morningstar, Inc. 28 EAM Trust - Results of operations before distribution to interest holders The gross fees and net income of EAM’s investment management operations during the twelve months ended April 30, 2023, before interest holder distributions, included total investment management fees earned from the Value Line Funds of $19,824,000, 12b-1 fees and other fees of $5,964,000 and other net gains of $142,000.
EAM Trust - Results of operations before distribution to interest holders The gross fees and net income of EAM’s investment management operations during the twelve months ended April 30, 2024, before interest holder distributions, included total investment management fees earned from the Value Line Funds of $24,383,000, 12b-1 fees and other fees of $6,584,000 and other net gains of $433,000.
During the twelve months ended April 30, 2023, 2022 and 2021, the Company recorded profit sharing expenses of $410,000, $557,000 and $980,000, respectively. Production and distribution During the twelve months ended April 30, 2023, production and distribution expenses of $5,210,000 increased 4.1% above prior fiscal year.
During the twelve months ended April 30, 2024, 2023 and 2022, the Company recorded profit sharing expenses of $411,000, $410,000 and $557,000, respectively.
Asset Management and Mutual Fund Distribution Businesses Pursuant to the EAM Declaration of Trust, the Company maintains an interest in certain revenues of EAM and a portion of the residual profits of EAM but has no voting authority with respect to the election or removal of the trustees of EAM or control of its business. 21 The business of EAM is managed by its trustees each owning 20% of the voting interest in EAM and by its officers subject to the direction of the trustees.
Therefore, the investment periodicals and related publications (such as digital equivalents), along with supplying the embedded Proprietary information and intellectual property rights, are treated as one segment, Publishing. 21 Asset Management and Mutual Fund Distribution Businesses Pursuant to the EAM Declaration of Trust, the Company maintains an interest in certain revenues of EAM and a portion of the residual profits of EAM but has no voting authority with respect to the election or removal of the trustees of EAM or control of its business.
Value Line Funds experienced net redemptions and the associated net asset outflows (redemptions less new sales) in fiscal 2023 and fiscal 2022. 27 The following table shows the change in assets for the past three fiscal years including sales (inflows), redemptions (outflows), dividends and capital gain distributions, and market value changes.
The following table shows the change in assets for the past three fiscal years including sales (inflows), redemptions (outflows), dividends and capital gain distributions, and market value changes. Inflows for sales, and outflows for redemptions reflect decisions of individual investors and/or their investment advisors.
Proceeds from maturities and sales of government debt securities classified as available-for-sale during the twelve months ended April 30, 2022 and April 30, 2021, were $2,496,000 and $14,902,000, respectively. Proceeds from the sales of equity securities during the twelve months ended April 30, 2022 and April 30, 2021 were $12,039,000 and $8,212,000, respectively.
Proceeds from maturities and sales of government debt securities classified as available-for-sale during the twelve months ended April 30, 2024 and April 30, 2023, were $37,114,000 and $9,907,000, respectively. Proceeds from the sales of equity securities during the twelve months ended April 30, 2024 and April 30, 2023 were $1,129,000 and $4,706,000, respectively.
Digital revenues of $15,700,000 were up 2.8% offsetting the decrease in revenues from print publications, as compared to the prior fiscal year. Value Line serves primarily individual and professional investors in stocks, who pay mostly on annual subscription plans, for basic services or as much as $100,000 or more annually for comprehensive premium quality research, not obtainable elsewhere.
Value Line serves primarily individual and professional investors in stocks, who pay mostly on annual subscription plans, for basic services or as much as $100,000 or more annually for comprehensive premium quality research, not obtainable elsewhere. The ongoing goal of adding new subscribers has led us to introduce publications and packages at a range of price points.
The Company has integrated the effects of the various state laws into its operations and continues to do so. Critical Accounting Estimates and Policies The Company prepares its consolidated financial statements in accordance with Generally Accepted Accounting Principles as in effect in the United States (U.S. “GAAP”).
We are evaluating the impact of ASU 2023-09 on disclosures in our Consolidated Financial Statements. Critical Accounting Estimates and Policies The Company prepares its consolidated financial statements in accordance with Generally Accepted Accounting Principles as in effect in the United States (U.S. “GAAP”).
During the twelve months ended April 30, 2021, the Company’s income from operations of $7,535,000 was 17.1% below income from operations of $9,090,000 during the twelve months ended April 30, 2020. For the twelve months ended April 30, 2021, operating expenses increased 5.3% above those during the twelve months ended April 30, 2020.
During the twelve months ended April 30, 2024, the Company’s income from operations was $9,141,000 compared to income from operations of $11,470,000 during the twelve months ended April 30, 2023. For the twelve months ended April 30, 2024, operating expenses increased slightly above those during the twelve months ended April 30, 2023.
The lease is a net lease requiring the Company to pay for certain operating expenses associated with the Warehouse as well as utilities supplied to the Warehouse. 32 Investment gains / (losses) Fiscal Years Ended April 30, Change ($ in thousands) 2023 2022 2021 '23 vs. '22 '22 vs. '21 Dividend income $ 595 $ 851 $ 573 -30.1 % 48.5 % Interest income 706 18 137 n/a -86.9 % Investment gains/(losses) recognized on sale of equity securities during the period (81 ) (1,568 ) 835 -94.8 % n/a Unrealized gains/(losses) recognized on equity securities held at the end of the period (45 ) 167 3,875 -126.9 % n/a Other (1 ) (2 ) - n/a n/a Total investment gains/(losses) $ 1,174 $ (534 ) $ 5,420 n/a n/a During the twelve months ended April 30, 2023, the Company’s investment gains, primarily derived from dividend and interest income, investment gains recognized on sales of equity securities during the period and unrealized gains recognized on equity securities held at the end of the period in fiscal 2023, resulted in a gain of $1,174,000.
The Company has outsourced to a U.S. facility the functions formerly performed at the Warehouse. 31 Investment gains / (losses) Fiscal Years Ended April 30, Change ($ in thousands) 2024 2023 2022 '24 vs. '23 '23 vs. '22 Dividend income $ 551 $ 595 $ 851 -7.4 % -30.1 % Interest income 1,934 706 18 173.9 % 3822.2 % Investment (losses) recognized on sale of equity securities during the period (1 ) (81 ) (1,568 ) -98.8 % 94.8 % Unrealized gains/(losses) recognized on equity securities held at the end of the period 288 (45 ) 167 -740.0 % -126.9 % Other (8 ) (1 ) (2 ) -700.0 % -50.0 % Total investment gains/(losses) $ 2,764 $ 1,174 $ (534 ) 135.4 % 319.9 % During the twelve months ended April 30, 2024, the Company’s investment gains, primarily derived from dividend and interest income, investment gains recognized on sales of equity securities during the period and unrealized gains recognized on equity securities held at the end of the period in fiscal 2024, resulted in investment gains of $2,764,000.
Operating expenses of $32,857,000 during the twelve months ended April 30, 2021, were 5.3% above those during the twelve months ended April 30, 2020. Operating expenses of $8,886,000 during the three months ended April 30, 2021, were 4.6% above those during the three months ended April 30, 2020.
Operating expenses of $28,346,000 during the twelve months ended April 30, 2024, were 0.4% above those during the twelve months ended April 30, 2023. Operating expenses of $7,515,000 during the three months ended April 30, 2024, were 8.0% above those during the three months ended April 30, 2023.
Total print circulation at April 30, 2021 was 6.5% above the total print circulation at April 30, 2020.
Total print circulation at April 30, 2024 was 4.6% below the total print circulation at April 30, 2023.
During the twelve months ended April 30, 2021, 31.6% of total publishing revenues of $40,392,000 were derived from a single customer.
Concentration During the twelve months ended April 30, 2024, 32.2% of total publishing revenues of $37,487,000 were derived from a single customer. During the twelve months ended April 30, 2023, 33.9% of total publishing revenues of $39,695,000 were derived from a single customer.
Accordingly, the subscription fees to be earned by fulfilling subscriptions after the date of a particular balance sheet are shown on that balance sheet as unearned revenue within current and long-term liabilities. The investment periodicals and related publications (retail and institutional) and Value Line copyrights and Value Line Proprietary Ranks and other proprietary information consolidate into one segment called Publishing.
Accordingly, the subscription fees to be earned by fulfilling subscriptions after the date of a particular balance sheet are shown on that balance sheet as unearned revenue within current and long-term liabilities. The Company allocates resources and assesses financial performance on a consolidated basis.
During the twelve months ended April 30, 2021, the Company’s net income of $23,280,000, or $2.43 per share, was 55.8% above net income of $14,943,000, or $1.55 per share, for the twelve months ended April 30, 2020.
During the twelve months ended April 30, 2024, the Company’s net income of $19,016,000, or $2.02 per share, was 5.2% above net income of $18,069,000, or $1.91 per share, for the twelve months ended April 30, 2023.
During the three months ended April 30, 2021, the Company’s income from operations of $838,000 was 35.9% below income from operations of $1,307,000 during the three months ended April 30, 2020.
During the three months ended April 30, 2024, the Company’s income from operations was $1,488,000 compared to income from operations of $2,757,000 during the three months ended April 30, 2023.
The decrease in net assets was primarily due to fund shareholder redemptions and closing of two variable annuity funds.
The decrease in net assets was primarily due to fund shareholder redemptions and closing of two variable annuity funds. 26 Value Line Equity Funds experienced net inflows and the associated net asset outflows (redemptions less new sales) in fiscal 2024. Value Line Fixed Income Funds experienced net outflows during fiscal year 2024.
The increase of $440,000 during the twelve months ended April 30, 2021, was attributable to costs related to production support of the Company’s website, maintenance of the Company’s publishing and application software and operating systems as compared to fiscal 2020.
This increase was partially offset by decreases in production expenses to support the Company’s website and maintenance of the Company’s publishing application software and operating systems. During the twelve months ended April 30, 2023, production and distribution expenses of $5,210,000 increased 4.1% above prior fiscal year.
During the twelve month period ended April 30, 2023, the combined Ranking System “Rank 1 & 2” stocks’ were flat compared to the Russell 2000 Index’s decrease of 5.1% during the comparable period. Copyright fees During the twelve months ended April 30, 2023, copyright fees of $13,463,000 were 0.6% above those during the corresponding period in the prior fiscal year.
During the twelve month period ended April 30, 2024, the combined Ranking System “Rank 1 & 2” stocks’ increase of 16.3% compared favorably to the Russell 2000 Index’s increase of 11.6% during the comparable period.
During the twelve months ended April 30, 2021, salaries and employee benefits of $18,865,000 increased 3.7% above the prior fiscal year. The increase during the twelve months ended April 30, 2021, was primarily due to increases in Profit Sharing employee benefits during fiscal 2021 and increases in salaries and employee benefits.
Salaries and employee benefits During the twelve months ended April 30, 2024, salaries and employee benefits of $14,851,000 decreased 2.3% below the prior fiscal year, primarily due to decreases in salaries and employee benefits resulting from a reduced employee headcount in fiscal year 2024.
For the twelve months ended April 30, 2023, operating expenses decreased 5.0% below those during the twelve months ended April 30, 2022. During the twelve months ended April 30, 2023, there were 9,458,605 average common shares outstanding as compared to 9,544,421 average common shares outstanding during the twelve months ended April 30, 2022.
During the twelve months ended April 30, 2023, the Company’s income from operations was $11,470,000 compared to income from operations of $10,800,000 during the twelve months ended April 30, 2022. For the twelve months ended April 30, 2023, operating expenses decreased 5.0% below those during the twelve months ended April 30, 2022.
During the twelve months ended April 30, 2021, production and distribution expenses of $5,440,000 increased 10.0% above the prior fiscal year.
Production and distribution During the twelve months ended April 30, 2024, production and distribution expenses of $5,455,000 increased 4.7% above prior fiscal year primarily due to increases in third party software expenses associated with Advantage and an increase in paper costs.
The Company provided a security deposit in cash in the amount of $32,146, which will be fully refunded after the lease term expires.
Base rent under the Lease was $237,218 per annum. The Company provided a security deposit in cash in the amount of $32,146, which has been fully refunded. VLDC distributed Value Line’s print publications.
Our circulation declined as a result of management’s decision to reduce marketing efforts while the challenging stock market environment persisted. Total print circulation at April 30, 2023 was 16.0% below the total print circulation at April 30, 2022.
Total print circulation at April 30, 2023 was 16.0% below the total print circulation at April 30, 2022.
The ongoing goal of adding new subscribers has led us to introduce publications and packages at a range of price points. Further, new services and new features for existing services are regularly under consideration.
Further, new services and new features for existing services are regularly under consideration.

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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 changeThe following consolidated financial statements of the registrant and its subsidiaries are included as a part of this Form 10-K: Page Number Report of independent auditors (PCAOB ID No. 921) 49 Consolidated balance sheets at April 30, 2023 and 2022 51 Consolidated statements of income for the fiscal years ended April 30, 2023, 2022 and 2021 52 Consolidated statements of comprehensive income for the fiscal years ended April 30, 2023, 2022 and 2021 53 Consolidated statements of cash flows for the fiscal years ended April 30, 2023, 2022 and 2021 54 Consolidated statement of changes in shareholders’ equity for the fiscal years ended April 30, 2023, 2022 and 2021 55 Notes to the consolidated financial statements 56 38
Biggest changeThe following consolidated financial statements of the registrant and its subsidiaries are included as a part of this Form 10-K: Page Number Report of independent auditors (PCAOB ID No. 921) 48 Consolidated balance sheets at April 30, 2024 and 2023 50 Consolidated statements of income for the fiscal years ended April 30, 2024, 2023 and 2022 51 Consolidated statements of comprehensive income for the fiscal years ended April 30, 2024, 2023 and 2022 52 Consolidated statements of cash flows for the fiscal years ended April 30, 2024, 2023 and 2022 53 Consolidated statement of changes in shareholders’ equity for the fiscal years ended April 30, 2024, 2023 and 2022 54 Notes to the consolidated financial statements 55 37
Fixed Income Securities Estimated Fair Value after Hypothetical Change in Interest Rates (in thousands) (bp = basis points) 1 year 1 year 1 year 1 year Fair 50 bp 50 bp 100 bp 100 bp Value increase decrease increase decrease As of April 30, 2023 Investments in securities with fixed maturities $ 39,928 $ 39,202 $ 39,512 $ 39,048 $ 39,667 As of April 30, 2022 Investments in securities with fixed maturities $ 10,505 N/A N/A N/A N/A Management regularly monitors the maturity structure of the Company’s investments in debt securities in order to maintain an acceptable price risk associated with changes in interest rates. 36 Equity Price Risk The carrying values of investments subject to equity price risks are based on quoted market prices as of the balance sheet dates.
Fixed Income Securities Estimated Fair Value after Hypothetical Change in Interest Rates (in thousands) (bp = basis points) 1 year 1 year 1 year 1 year Fair 50 bp 50 bp 100 bp 100 bp Value increase decrease increase decrease As of April 30, 2024 Investments in securities with fixed maturities $ 47,611 $ 46,554 $ 46,935 $ 46,363 $ 47,126 As of April 30, 2023 Investments in securities with fixed maturities $ 39,928 $ 39,202 $ 39,512 $ 39,048 $ 39,667 Management regularly monitors the maturity structure of the Company’s investments in debt securities in order to maintain an acceptable price risk associated with changes in interest rates. 35 Equity Price Risk The carrying values of investments subject to equity price risks are based on quoted market prices as of the balance sheet dates.
As of April 30, 2023 and April 30, 2022, the aggregate cost of the equity securities, which consist of investments in the SPDR Series Trust S&P Dividend ETF (SDY), First Trust Value Line Dividend Index ETF (FVD), ProShares Trust S&P 500 Dividend Aristocrats ETF (NOBL), IShares DJ Select Dividend ETF (DVY) and other Exchange Traded Funds and common stock equity securities was a combined total $10,169,000 and $13,318,000, respectively, and the fair value was $14,546,000 and $17,647,000, respectively.
As of April 30, 2024 and April 30, 2023, the aggregate cost of the equity securities, which consist of investments in the SPDR Series Trust S&P Dividend ETF (SDY), First Trust Value Line Dividend Index ETF (FVD), ProShares Trust S&P 500 Dividend Aristocrats ETF (NOBL), IShares DJ Select Dividend ETF (DVY) and other Exchange Traded Funds was a combined total $11,663,000 and $10,169,000, respectively, and the fair value was $16,344,000 and $14,546,000, respectively.
As of April 30, 2023 the aggregate cost and fair value of fixed income securities classified as available-for-sale were $39,455,000 and $39,928,000, respectively. As of April 30, 2022 the aggregate cost and fair value of fixed income securities classified as available-for-sale were $10,505,000 and $10,475,000, respectively.
As of April 30, 2024 the aggregate cost and fair value of fixed income securities classified as available-for-sale were $47,931,000 and $47,611,000, respectively. As of April 30, 2023 the aggregate cost and fair value of fixed income securities classified as available-for-sale were $39,455,000 and $39,928,000, respectively.
Equity Securities Estimated Fair Value after Hypothetical Percentage Hypothetical Hypothetical Increase (Decrease) in ($ in thousands) Fair Value Price Change Change in Prices Shareholders’ Equity As of April 30, 2023 Equity Securities and ETFs held for dividend yield $ 14,546 30% increase $ 18,910 4.12 % 30% decrease $ 10,182 -4.12 % Equity Securities Estimated Fair Value after Hypothetical Percentage Hypothetical Hypothetical Increase (Decrease) in ($ in thousands) Fair Value Price Change Change in Prices Shareholders’ Equity As of April 30, 2022 Equity Securities and ETFs held for dividend yield $ 17,647 30% increase $ 22,942 4.92 % 30% decrease $ 12,353 -4.92 % 37 Item 8.
Equity Securities Estimated Fair Value after Hypothetical Percentage Increase Hypothetical Hypothetical (Decrease) in ($ in thousands) Fair Value Price Change Change in Prices Shareholders’ Equity As of April 30, 2024 Equity Securities and ETFs held for dividend yield $ 16,344 30% increase $ 21,247 4.27 % 30% decrease $ 11,441 -4.27 % Equity Securities Estimated Fair Value after Hypothetical Percentage Increase Hypothetical Hypothetical (Decrease) in ($ in thousands) Fair Value Price Change Change in Prices Shareholders’ Equity As of April 30, 2023 Equity Securities and ETFs held for dividend yield $ 14,546 30% increase $ 18,910 4.12 % 30% decrease $ 10,182 -4.12 % 36 Item 8.

Other VALU 10-K year-over-year comparisons