Envela Corp
For the period ended Sep 30, 2025. Filed Nov 5, 2025.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Sep 30, 2025 · Filed Nov 5, 2025
ELA$10.77-0.4%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-06-30; filed 2025-08-06.
0000701719-25-000036
ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONSCurrent report: 10-Q
Period ended 2025-09-30; filed 2025-11-05.
0000701719-25-000045
ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONSThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 142 previous paragraphs and 167 current paragraphs.
58 unchanged; 41 reworded; 67 added; 41 removed; 2 previous and 1 current paragraphs rearranged.
Tables are not compared: 33 previous and 47 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (67)
Current report
as remeasuring estimated U.S. deferred tax assets and liabilities. The Company intends to utilize bonus depreciation, effectively reducing taxable income in the respective period of taxation and the cash deployed to settle such obligations. There was no material impact on the effective tax rate, financial position, results of operations, or cash flows during the three and nine months ended September 30, 2025. In future fiscal periods, the impact of OBBBA is contingent on the continued election of bonus depreciation and the amount of qualifying assets acquired by the Company.
Current report
Sales increased by $10,489,852, or 22.4%, during the three months ended September 30, 2025, to $57,389,411, as compared to $46,899,559 during the same period in Fiscal 2024.
Current report
Sales in the consumer segment increased by $11,311,436, or 33.5%, during the three months ended September 30, 2025, to $45,068,036, as compared to $33,756,600 during the same period in Fiscal 2024. The change was primarily attributed to higher transaction volumes, supported by record precious metals pricing, but was partially offset by moderate softness in certain customer-facing verticals. Overall performance benefited from favorable supply flows and strong customer engagement, when compared to the same period in Fiscal 2024.
Current report
Sales in the commercial segment decreased by $821,584, or 6.3%, during the three months ended September 30, 2025, to $12,321,375, as compared to $13,142,959 during the same period in Fiscal 2024. The change was primarily attributed to less revenue from: ITAD revenue share settlements, electronic scrap grades and associated recoveries, and personal technology assets sourced from our trade-in programs, which were partially offset by increased service revenue from product returns and secured processing of end-of-life assets. Our overall service-related verticals continue to grow and become a greater component of our revenue mix.
Current report
Cost of goods sold as a percentage of sales was 88.5% during the three months ended September 30, 2025, as compared to 88.4% during the three months ended September 30, 2024. The change was immaterial, indicating a similar impact of product mix compared to the same period in Fiscal 2024.
Current report
Cost of goods sold in the commercial segment decreased by $1,140,520, or 20.4%, during the three months ended September 30, 2025, to $4,454,515, as compared to $5,595,035 during the same period in Fiscal 2024. The change was primarily attributed to the aforementioned impact from less ITAD revenue share settlements and incrementally from electronic scrap grades and associated recoveries along with personal technology assets sourced from our trade-in programs.
Current report
Cost of goods sold as a percentage of sales was 36.2% during the three months ended September 30, 2025, as compared to 42.6% during the three months ended September 30, 2024. The change was primarily attributed to favorable margins from our ITAD revenue share settlements, albeit on lower overall sales, and was partially offset by less favorable margins from electronic scrap grades and associated recoveries. Our margins on the sale of personal technology assets were stable compared to the same period in Fiscal 2024.
Current report
Selling, general and administrative expense decreased by $635,110, or 7.0%, during the three months ended September 30, 2025, to $8,393,878, as compared to $9,028,988 during the same period in Fiscal 2024.
Current report
Selling, general and administrative expense in the commercial segment decreased by $537,011, or 10.5%, during the three months ended September 30, 2025, to $4,565,996, as compared to $5,103,007 during the same period in Fiscal 2024. The change was primarily attributed to a reduction in variable-cost production expenses, of which human-capital costs were a significant component, along with a reduction in lease costs from the closure of our Arizona ITAD facility, which occurred in the latter part of the second quarter of Fiscal 2025. We began diverting inbound asset flow prior to closure, and we fully absorbed the asset flow from the former Arizona ITAD facility into our Texas ITAD facility in the third quarter of 2025.
Current report
Depreciation and amortization expense increased by $57,745, or 13.9%, during the three months ended September 30, 2025, to $472,524, as compared to $414,779 during the same period in Fiscal 2024.
Current report
Depreciation and amortization expense in the commercial segment increased by $5,053, or 1.9%, during the three months ended September 30, 2025, to $269,175, as compared to $264,122 during the same period in Fiscal 2024. The change was primarily attributed to the allocation of corporate depreciation and amortization expense.
Current report
Other income decreased by $106,709, or 31.4%, during the three months ended September 30, 2025, to $233,642, as compared to $340,351 during the same period in Fiscal 2024.
Current report
Other income in the consumer segment increased by $42,361, or 67.8%, during the three months ended September 30, 2025, to $104,863, as compared to $62,502 during the same period in Fiscal 2024. The change was primarily attributable to the proportionate share of earned dividend and interest income. While our earned interest rate has reduced, our overall cash balances are higher, resulting in incrementally higher earned income on excess cash balances. Excess cash balances are now aggregated at the corporate level to optimize earnings as opposed to being held at the segment level. This resulted in higher segment earned income on excess cash balances. Further, the same period in Fiscal 2024 included the proportionate share of income from a settlement for repairs related to our corporate headquarters. The impact of dividend and interest income is referenced below.
Current report
Other income in the commercial segment decreased by $149,070, or 53.7%, during the three months ended September 30, 2025, to $128,779, as compared to $277,849 during the same period in Fiscal 2024. The change was primarily attributable to the proportionate share of earned dividend and interest income. While our earned interest rate has reduced, our overall cash balances are higher, resulting in incrementally higher earned income on excess cash balances. Excess cash balances are now aggregated at the corporate level to optimize earnings as opposed to being held at the segment level. This resulted in lower segment earned income on excess cash balances. Further, the same period in Fiscal 2024 included the proportionate share of income from a settlement for repairs related to our corporate headquarters. The impact of dividend and interest income is referenced below.
Current report
Interest expense decreased by $382, or 0.4%, during the three months ended September 30, 2025, to $105,757, as compared to $106,139 during the same period in Fiscal 2024.
Current report
Interest expense in the consumer segment increased by $1,943, or 3.8%, during the three months ended September 30, 2025, to $53,429, as compared to $51,486 during the same period in Fiscal 2024. There was no material change in debt amortization from the same period in Fiscal 2024, and as such, no discussion point.
Current report
Interest expense in the commercial segment decreased by $2,325, or 4.3%, during the three months ended September 30, 2025, to $52,328, as compared to $54,653 during the same period in Fiscal 2024. There was no material change in debt amortization from the same period in Fiscal 2024, and as such, no discussion point.
Current report
Income Tax (Expense) Benefit
Current report
Net income increased by $1,671,881, or 99.2%, during the three months ended September 30, 2025, to $3,356,920, as compared to $1,685,039 during the same period in Fiscal 2024. Refer to the aforementioned attributes discussed within the Comparison of the Three Months Ended September 30, 2025 and 2024 for further details.
Current report
Comparison of the nine months ended September 30, 2025 and 2024
Current report
Sales increased by $28,467,732 or 21.6%, during the nine months ended September 30, 2025, to $160,522,073, as compared to $132,054,341 during the same period in Fiscal 2024.
Current report
Sales in the commercial segment decreased by $2,572,021, or 6.8%, during the nine months ended September 30, 2025, to $35,509,675, as compared to $38,081,696 during the same period in Fiscal 2024. The change was primarily attributed to less revenue from: ITAD revenue share settlements, electronic scrap grades and associated recoveries, and personal technology assets sourced from our trade-in programs, which were partially offset by increased service revenue from our product returns and secured processing of end-of-life assets. Our overall service-related verticals continue to grow and become a greater component of our revenue mix. The aforementioned impact on sales has been relatively consistent throughout the year, representing a continued shift to a greater proportional share of service revenue in our sales mix.
Current report
Cost of goods sold in the consumer segment increased by $28,456,627, or 34.5%, during the nine months ended September 30, 2025, to $110,942,439, as compared to $82,485,812 during the same period in Fiscal 2024. The change was primarily attributed to the aforementioned higher sales volumes and rising gold prices compared to the same period in Fiscal 2024.
Current report
Cost of goods sold in the commercial segment decreased by $4,238,392, or 25.9%, during the nine months ended September 30, 2025, to $12,155,757, as compared to $16,394,149 during the same period in Fiscal 2024. The change was primarily attributed to the impact from less ITAD revenue share settlements and incrementally from the recognition of costs associated with the sale of trade-in related personal technology assets. While sales decreased on our electronic scrap grades and associated recoveries, it did not correspondingly decrease the recognition of costs as a result of the mix of assets being sold.
Current report
Cost of goods sold as a percentage of sales was 34.2% during the nine months ended September 30, 2025, as compared to 43.0% during the nine months ended September 30, 2024. The change was primarily attributed to favorable margins on ITAD revenue share settlements and trade-in product mix, which was partially offset by lower margins associated with sales associated with our sales of electronic waste and associated recoveries.
Current report
Selling, general and administrative expense decreased by $313,805, or 1.2%, during the nine months ended September 30, 2025, to $25,470,207, as compared to $25,784,012 during the same period in Fiscal 2024.
Current report
Selling, general and administrative expense in the commercial segment decreased by $578,081, or 4.0%, during the nine months ended September 30, 2025, to $14,018,992, as compared to $14,597,073 during the same period in Fiscal 2024. The change was primarily attributed to a reduction in variable-cost production expenses of which human-capital costs were a significant component along with a reduction in lease costs from the closure of our Arizona ITAD facility, which occurred in the later part of the second quarter of Fiscal 2025. We began diverting inbound asset flow prior to closure and we fully absorbed the asset flow from the former Arizona ITAD facility into our Texas ITAD facility in the third quarter of 2025.
Current report
Depreciation and amortization expense increased by $257,665, or 23.0%, during the nine months ended September 30, 2025, to $1,378,276, as compared to $1,120,611 during the same period in Fiscal 2024.
Current report
Other income increased by $29,202, or 3.6%, during the nine months ended September 30, 2025, to $833,498, as compared to $804,296 during the same period in Fiscal 2024.
Current report
Other income in the consumer segment increased by $183,360, or 233.5%, during the nine months ended September 30, 2025, to $261,870, as compared to $78,510 during the same period in Fiscal 2024. The change was primarily attributable to the proportionate share of earned dividend and interest income. While our earned interest rate has reduced, our overall cash balances are higher, resulting in incrementally higher earned income on excess cash balances. Excess cash balances are now aggregated at the corporate level to optimize earnings as opposed to being held at the segment level. This resulted in higher segment earned income on excess cash balances. The segment also received an employee retention credit in Fiscal 2025, and Fiscal 2024 included the proportionate share of income from a settlement for repairs related to our corporate headquarters. The impact of dividend and interest income is referenced below.
Current report
Dividend income comprised $51,069 and $0 of other income during the nine months ended September 30, 2025 and 2024, respectively. Interest income comprised $114,339 and $10 of other income during the nine months ended September 30, 2025 and 2024, respectively.
Current report
Other income in the commercial segment decreased by $154,158, or 21.2%, during the nine months ended September 30, 2025, to $571,628, as compared to $725,786 during the same period in Fiscal 2024. The change was primarily attributable to the proportionate share of earned dividend and interest income. While our earned interest rate has reduced, our overall cash balances are higher, resulting in incrementally higher earned income on excess cash balances. Excess cash balances are now aggregated at the corporate level to optimize earnings as opposed to being held at the segment level. This resulted in lower segment earned income on excess cash balances. Further, the same period in Fiscal 2024 included the proportionate share of income from a settlement for repairs related to our corporate headquarters. The impact of dividend and interest income is referenced below.
Current report
Dividend income comprised $172,596 and $0 of other income during the nine months ended September 30, 2025 and 2024, respectively. Interest income comprised $340,404 and $599,774 of other income during the nine months ended September 30, 2025 and 2024, respectively.
Current report
Interest expense decreased by $17,828, or 5.3%, during the nine months ended September 30, 2025, to $318,306, as compared to $336,134 during the same period in Fiscal 2024.
Current report
Interest expense in the consumer segment decreased by $10,115, or 5.9%, during the nine months ended September 30, 2025, to $161,469, as compared to $171,584 during the same period in Fiscal 2024. There was no material change in debt amortization from the same period in Fiscal 2024, and as such, no discussion point.
Current report
Interest expense in the commercial segment decreased by $7,713, or 4.7%, during the nine months ended September 30, 2025, to $156,837, as compared to $164,550 during the same period in Fiscal 2024. There was no material change in debt amortization from the same period in Fiscal 2024, and as such, no discussion point.
Current report
Income Tax (Expense) Benefit
Current report
Net income increased by $3,445,909, or 66.8%, during the nine months ended September 30, 2025, to $8,602,666, as compared to $5,156,757 during the same period in Fiscal 2024.
Current report
These non-U.S. GAAP financial measures should not be considered a substitute for, nor superior to, financial results and measures determined or calculated in accordance with U.S. GAAP. Each of these non-U.S. GAAP financial measures is not calculated in the same manner by all companies and, accordingly, may not be an appropriate measure for comparing performance among different companies. The Company also presents certain non-U.S. GAAP financial measures and its nearest financial measure utilizing U.S. GAAP for the trailing four quarters period ended September 30, 2025. Management considers the trailing four quarters period ended September 30, 2025, to be helpful in understanding historical financial results, trends, and the calculation of leverage ratios. The non-U.S. GAAP and U.S. GAAP financial measures for the trailing four quarters period ended September 30, 2025, are compared against the most recent fiscal period ended December 31, 2024, which is the nearest twelve-month reporting period under U.S. GAAP. These financial measure comparisons, along with comparisons utilizing three- and nine-month periods for non-U.S. GAAP and its nearest financial measure utilizing U.S. GAAP may differ materially from those reported for the fiscal period ended December 31, 2025.
Current report
We have included the definitions of our non-U.S. GAAP financial measures and reconciliations to the most comparable U.S. GAAP financial measures in the following tables below.
Showing the first 40 of 67 passages. Open the source sections for the rest.
Removed paragraphs (41)
Previous report
Sales increased by $9,579,831, or 21.1%, during the three months ended June 30, 2025, to $54,876,833, as compared to $45,297,002 during the same period in Fiscal 2024.
Previous report
Sales in the consumer segment increased by $11,183,730, or 35.0%, during the three months ended June 30, 2025, to $43,173,758, as compared to $31,990,028 during the same period in Fiscal 2024. The change was primarily attributed to stronger volumes and pricing on our wholesale precious metals transactions. Our wholesale precious metals transactions were impacted by favorable inbound material flow from our in-store buying programs. Our retail stores business also achieved favorable sales results.
Previous report
Sales in the commercial segment decreased by $1,603,899, or 12.1%, during the three months ended June 30, 2025, to $11,703,075, as compared to $13,306,974 during the same period in Fiscal 2024. The change was primarily attributed to the unfavorable performance from our electronic scrap grades and associated recoveries attributable to significant inbound material flow from a single supplier that was present in the same period in Fiscal 2024 and less sales of personal technology assets and from ITAD revenue share settlements during the current period in Fiscal 2025, which were offset by continued growth in our product returns business.
Previous report
Cost of goods sold in the commercial segment decreased by $1,965,708, or 33.1%, during the three months ended June 30, 2025, to $3,973,138, as compared to $5,938,846 during the same period in Fiscal 2024. The change was primarily attributed to the aforementioned lower sales volumes across most of our segment verticals.
Previous report
Cost of goods sold as a percentage of sales was 33.9% during the three months ended June 30, 2025, as compared to 44.6% during the three months ended June 30, 2024. The change was primarily attributed to our sales mix during Fiscal 2025 in which we experienced higher overall margins from the sale of personal technology assets and ITAD revenue share settlements coupled with continued growth in revenue from our service-related product returns business, which does not have a cost of goods sold component as the associated inventory remains with the client.
Previous report
Selling, general and administrative expense decreased by $445,981, or 4.9%, during the three months ended June 30, 2025, to $8,672,067, as compared to $9,118,048 during the same period in Fiscal 2024.
Previous report
Selling, general and administrative expense in the commercial segment decreased by $171,940, or 3.4%, during the three months ended June 30, 2025, to $4,936,640, as compared to $5,108,580 during the same period in Fiscal 2024. The change was primarily attributed to onboarding support services associated with our enterprise resource planning system (“ERP”) that occurred during the same period in Fiscal 2024 as well as a reduction in variable-cost production expenses that scale with sales volumes, which was partially offset by an increase in non-production human capital costs during the current period in Fiscal 2025.
Previous report
Depreciation and amortization expense increased by $98,144, or 27.1%, during the three months ended June 30, 2025, to $460,411, as compared to $362,267 during the same period in Fiscal 2024.
Previous report
Depreciation and amortization expense in the commercial segment increased by $15,058, or 6.0%, during the three months ended June 30, 2025, to $264,807, as compared to $249,749 during the same period in Fiscal 2024. There was no material change in depreciation or amortization expense from the same period in Fiscal 2024, and as such, no discussion point.
Previous report
Other income increased by $168,834, or 74.9%, during the three months ended June 30, 2025, to $394,251, as compared to $225,417 during the same period in Fiscal 2024.
Previous report
Other income in the consumer segment increased by $148,155, or 1,851.2%, during the three months ended June 30, 2025, to $156,158, as compared to $8,003 during the same period in Fiscal 2024. The change was primarily attributed to the receipt of an employee retention credit and incrementally from the earnings on excess cash balances. The impact of dividend and interest income are referenced below.
Previous report
Other income in the commercial segment increased by $20,679, or 9.5%, during the three months ended June 30, 2025, to $238,093, as compared to $217,414 during the same period in Fiscal 2024. The change was primarily attributed to the earnings on excess cash balances. The impact of dividend and interest income are referenced below.
Previous report
Interest expense decreased by $2,913, or 2.7%, during the three months ended June 30, 2025, to $106,228, as compared to $109,141 during the same period in Fiscal 2024.
Previous report
Interest expense in the consumer segment decreased by $1,704, or 3.1%, during the three months ended June 30, 2025, to $53,993, as compared to $55,697 during the same period in Fiscal 2024. There was no material change in debt amortization from the same period in Fiscal 2024, and as such, no discussion point.
Previous report
Interest expense in the commercial segment decreased by $1,209, or 2.3%, during the three months ended June 30, 2025, to $52,235, as compared to $53,444 during the same period in Fiscal 2024. There was no material change in debt amortization from the same period in Fiscal 2024, and as such, no discussion point.
Previous report
Income Tax Expense
Previous report
Net income increased by $1,188,220, or 76%, during the three months ended June 30, 2025, to $2,752,399, as compared to $1,564,179 during the same period in Fiscal 2024. Refer to the aforementioned attributes discussed within the Comparison of the Three Months Ended June 30, 2025 and 2024 for further details.
Previous report
Comparison of the Six Months EndedJune 30, 2025 and 2024
Previous report
Sales increased by $17,977,880 or 21.1%, during the six months ended June 30, 2025, to $103,132,662, as compared to $85,154,782 during the same period in Fiscal 2024.
Previous report
Sales in the commercial segment decreased by $1,750,437, or 7.0%, during the six months ended June 30, 2025, to $23,188,300, as compared to $24,938,737 during the same period in Fiscal 2024. The change was primarily attributed to less sales of personal technology assets and from ITAD revenue share settlements that occurred throughout Fiscal 2025 and incrementally from lower volumes of our electronic scrap grades and associated recoveries which was most pronounced in our second quarter of Fiscal 2025. Offsetting these unfavorable variances was the strong performance of our service-related product returns business.
Previous report
Cost of goods sold in the consumer segment increased by $18,429,946, or 35.0%, during the six months ended June 30, 2025, to $71,075,473, as compared to $52,645,527 during the same period in Fiscal 2024. The change was primarily attributed to the aforementioned higher wholesale precious metals transactions compared to the same period in Fiscal 2024.
Previous report
Cost of goods sold in the commercial segment decreased by $3,097,872, or 28.7%, during the six months ended June 30, 2025, to $7,701,242, as compared to $10,799,114 during the same period in Fiscal 2024. The change was primarily attributed to the aforementioned lower sales volumes across most of our segment verticals.
Previous report
Cost of goods sold as a percentage of sales was 33.2% during the six months ended June 30, 2025, as compared to 43.3% during the six months ended June 30, 2024. The change was primarily attributed to our sales mix during Fiscal 2025 in which we experienced higher overall margins from the sale of personal technology assets and ITAD revenue share
Previous report
settlements coupled with continued growth in revenue from our service-related product returns business, which does not have a cost of goods sold component as the associated inventory remains with the client.
Previous report
Selling, general and administrative expense increased by $321,305, or 1.9%, during the six months ended June 30, 2025, to $17,076,329, as compared to $16,755,024 during the same period in Fiscal 2024.
Previous report
Selling, general and administrative expense in the commercial segment decreased by $41,070, or 0.4%, during the six months ended June 30, 2025, to $9,452,996, as compared to $9,494,066 during the same period in Fiscal 2024. The business has been able to maintain its cost structure over the same period in Fiscal 2024, and as such, no discussion point.
Previous report
Depreciation and amortization expense increased by $199,920, or 28.3%, during the six months ended June 30, 2025, to $905,752, as compared to $705,832 during the same period in Fiscal 2024.
Previous report
Other income increased by $135,911, or 29.3%, during the six months ended June 30, 2025, to $599,856, as compared to $463,945 during the same period in Fiscal 2024.
Previous report
Other income in the consumer segment increased by $140,999, or 880.8%, during the six months ended June 30, 2025, to $157,007, as compared to $16,008 during the same period in Fiscal 2024. The change was primarily attributed to the receipt of an employee retention credit and incrementally from the earnings on excess cash balances. The impact of dividend and interest income is referenced below.
Previous report
Dividend income comprised $8,883 and $0 of other income during the six months ended June 30, 2025 and 2024, respectively. Interest income comprised $51,038 and $8 of other income during the six months ended June 30, 2025 and 2024, respectively.
Previous report
Other income in the commercial segment decreased by $5,088, or 1.1%, during the six months ended June 30, 2025, to $442,849, as compared to $447,937 during the same period in Fiscal 2024. The change was primarily attributed to a reduction in earned interest rates associated with our interest bearing account and from rental income being present in our first quarter of Fiscal 2024 results. The impact of dividend and interest income is referenced below.
Previous report
Dividend income comprised $129,567 and $0 of other income during the six months ended June 30, 2025 and 2024, respectively. Interest income comprised $274,758 and $396,522 of other income during the six months ended June 30, 2025 and 2024, respectively.
Previous report
Interest expense decreased by $17,446, or 7.6%, during the six months ended June 30, 2025, to $212,549, as compared to $229,995 during the same period in Fiscal 2024.
Previous report
Interest expense in the consumer segment decreased by $12,058, or 10%, during the six months ended June 30, 2025, to $108,040, as compared to $120,098 during the same period in Fiscal 2024. There was no material change in debt amortization from the same period in Fiscal 2024, and as such, no discussion point.
Previous report
Interest expense in the commercial segment decreased by $5,388, or 4.9%, during the six months ended June 30, 2025, to $104,509, as compared to $109,897 during the same period in Fiscal 2024. There was no material change in debt amortization from the same period in Fiscal 2024, and as such, no discussion point.
Previous report
Income Tax Expense
Previous report
Net income increased by $1,774,028, or 51.1%, during the six months ended June 30, 2025, to $5,245,746, as compared to $3,471,718 during the same period in Fiscal 2024.
Previous report
Adjusted EBITDA
Previous report
The following table provides a reconciliation of net income to Adjusted EBITDA for the three months ended June 30, 2025 and 2024:
Previous report
The following table provides a reconciliation of net income to Adjusted EBITDA for the six months ended June 30, 2025 and 2024:
Showing the first 40 of 41 passages. Open the source sections for the rest.
Reworded paragraphs (41)
Previous wording
This section includes a discussion of our operations for the three and six months ended June 30, 2025 and 2024. The following discussion and analysis provide information that management believes is relevant to an assessment and understanding of our financial condition and results of operations. The discussion should be read in conjunction with the Company’s 2024 Annual Report, the unaudited condensed consolidated financial statements, and the related Notes thereto included in Part I, Item 1 of this report.
Current wording
This section includes a discussion of our operations for the three and nine months ended September 30, 2025 and 2024. The following discussion and analysis provide information that management believes is relevant to an assessment and understanding of our financial condition and results of operations. The discussion should be read in conjunction with the Company’s 2024 Annual Report, the unaudited condensed consolidated financial statements, and the related Notes thereto included in Part I, Item 1 of this report.
Previous wording
On July 4, 2025, the “One Big Beautiful Bill Act” was signed into law, which includes significant changes to federal tax law and other regulatory provisions that may impact the Company. We are currently evaluating the provisions of the new law and the potential effects on our financial position, results of operations, and cash flows. However, the Company does not expect the new law to have a material impact on the Company’s results of operations, financial condition, or liquidity.
Current wording
On July 4, 2025, the One Big Beautiful Bill Act (“OBBBA”) was signed into law, which includes significant changes to federal tax law and other regulatory provisions that may impact the Company. We have evaluated the provisions of the new law and its potential effects on our effective tax rate, financial position, results of operations, and cash flows. OBBBA allows businesses to immediately deduct the full cost of qualifying assets in the year they are placed in service, rather than spreading the deduction over several years, and is effective for property acquired and placed in service after January 19, 2025. OBBBA also requires the businesses to recognize the effect of the tax law changes in the period of enactment, such
Previous wording
The U.S. and other world economies are currently experiencing high interest rates and elevated levels of inflation, coupled with commodity price risk, mainly associated with variations in the market price of precious metals and diamonds, which have the potential to impact consumer discretionary spending behavior. Furthermore, adverse macroeconomic conditions can also impact demand for resale technology assets.
Current wording
The U.S. and other world economies are currently experiencing high interest rates and elevated levels of inflation, coupled with commodity price risk, mainly associated with variations in the market price of precious metals and diamonds, which have the potential to impact consumer discretionary spending behavior. Furthermore, adverse macroeconomic conditions can also impact demand for resale personal technology assets.
Previous wording
The U.S. government has recently adopted new approaches to trade policy, and announced tariffs on certain foreign goods, certain global tariffs, and the possibility of significant additional tariff increases or expansions of tariffs. The timing and scope of such tariffs by the U.S. and retaliatory tariffs by other countries in response to such tariffs are currently uncertain. The impacts of tariffs on each of our reportable segments are detailed below:
Current wording
The U.S. government has recently adopted new approaches to trade policy, and announced tariffs on certain foreign goods, certain global tariffs and the possibility of significant additional tariff increases or expansions of tariffs. Specifically, under Section 232 of the Trade Expansion Act of 1962 tariffs were applied to the importation of aluminum, copper, steel, and select derivative products, but excluded gold and silver. The impact of such tariffs and retaliatory tariffs by other countries in response to such tariffs continues to evolve and requires regular monitoring and evaluation. The deemed impacts of tariffs on each of our reportable segments are detailed below:
Previous wording
The Company’s consumer segment does not source inventory from or sell it into international markets, so it is not directly impacted by tariffs. However, global market uncertainty caused by tariffs can increase commodity costs on safe-haven metals such as gold and silver, which may increase working capital requirements. The Company mitigates increased working capital requirements by monitoring its inventory position and turnover, and maintaining disciplined buying practices to maintain margin.
Current wording
The consumer segment does not source inventory from or sell it into international markets, so it is not directly impacted by tariffs. However, global market uncertainty caused by tariffs can increase commodity costs on safe-haven metals such as gold and silver, which may increase working capital requirements. The Company mitigates increased working capital requirements by monitoring its inventory position and turnover, and maintaining disciplined buying practices to maintain margin.
Previous wording
The Company’s commercial segment periodically purchases limited quantities of personal technology assets for resale and replacement parts from international markets. Tariffs may increase costs for original equipment manufacturers, retailers, and parts distributors and, as a result, may require the Company to pay more for the purchase of personal technology assets for resale and replacement parts, thus increasing the Company’s required working capital requirements. The Company mitigates increased working capital requirements by monitoring its inventory position and turnover, maintaining disciplined buying practices, and using optimal domestic and international sales channels to maintain margins.
Current wording
The commercial segment periodically purchases limited quantities of personal technology assets for resale and replacement parts from international markets. Tariffs may increase costs for original equipment manufacturers, retailers, and parts distributors and, as a result, may require the Company to pay more for the purchase of personal technology assets for resale and replacement parts, thus increasing the Company’s required working capital requirements. The Company mitigates increased working capital requirements by monitoring its inventory position and turnover, maintaining disciplined buying practices, and using optimal domestic and international sales channels to maintain margins.
Previous wording
Our consumer segment primarily operates in the jewelry industry, specializing in the online and brick-and-mortar sale of authenticated high-end luxury goods, including pre-owned fine jewelry, diamonds and gemstones, luxury watches, along with secondary market bullion. We incorporate recycled diamonds and gemstones into our new designs meaning they were previously set and unset, producing a low-carbon and ethical origin product. The Company caters to consumers seeking environmentally responsible options for engagement rings, wedding bands, and other fine jewelry at accessible prices. Our
Current wording
Our consumer segment primarily operates in the jewelry industry, specializing in the online and brick-and-mortar sale of authenticated high-end luxury goods, including pre-owned fine jewelry, diamonds and gemstones, luxury watches, along with secondary market bullion. We incorporate recycled diamonds and gemstones into our new designs meaning they were previously set and unset, producing a low-carbon and ethical origin product. The Company caters to consumers seeking environmentally responsible options for engagement rings, wedding bands, and other fine jewelry at accessible prices. Our profound commitment to extending the lifespan of luxury goods stems from our understanding that well-crafted items have an enduring quality, enabling them to maintain their beauty and value as they are passed from one owner to another.
Previous wording
Cost of goods sold increased by $8,581,365, or 25.3%, during the three months ended June 30, 2025, to $42,488,910, as compared to $33,907,545 during the same period in Fiscal 2024.
Current wording
Cost of goods sold increased by $8,886,161, or 25.1%, during the three months ended September 30, 2025, to $44,321,481, as compared to $35,435,320 during the same period in Fiscal 2024.
Previous wording
Cost of goods sold in the consumer segment increased by $10,547,073, or 37.7%, during the three months ended June 30, 2025, to $38,515,772, as compared to $27,968,699 during the same period in Fiscal 2024. The change was primarily attributed to the aforementioned higher sales volumes and rising gold prices compared to the same period in Fiscal 2024.
Current wording
Cost of goods sold in the consumer segment increased by $10,026,681, or 33.6%, during the three months ended September 30, 2025, to $39,866,966, as compared to $29,840,285 during the same period in Fiscal 2024. The change was primarily attributed to the aforementioned higher sales volumes and rising gold prices compared to the same period in Fiscal 2024.
Previous wording
Gross margin increased by $998,466, or 8.8%, during the three months ended June 30, 2025, to $12,387,923, as compared to $11,389,457 during the same period in Fiscal 2024.
Current wording
Gross margin increased by $1,603,691, or 14.0%, during the three months ended September 30, 2025, to $13,067,930, as compared to $11,464,239 during the same period in Fiscal 2024.
Previous wording
Gross margin in the consumer segment increased by $636,657, or 15.8%, during the three months ended June 30, 2025, to $4,657,986, as compared to $4,021,329 during the same period in Fiscal 2024. The net impact of the aforementioned increase in sales of $11,183,730 and increase in cost of goods sold of $10,547,073 resulted in the $636,657 increase in gross margin.
Current wording
Gross margin in the consumer segment increased by $1,284,755, or 32.8%, during the three months ended September 30, 2025, to $5,201,070, as compared to $3,916,315 during the same period in Fiscal 2024. The net impact of the aforementioned increase in sales of $11,311,436 and increase in cost of goods sold of $10,026,681 resulted in the $1,284,755 increase in gross margin.
Previous wording
Gross margin in the commercial segment increased by $361,809, or 4.9%, during the three months ended June 30, 2025, to $7,729,937, as compared to $7,368,128 during the same period in Fiscal 2024. The net impact of the aforementioned decrease in sales of $1,603,899 and decrease in cost of goods sold $1,965,708 resulted in the $361,809 increase in gross margin.
Current wording
Gross margin in the commercial segment increased by $318,936, or 4.2%, during the three months ended September 30, 2025, to $7,866,860, as compared to $7,547,924 during the same period in Fiscal 2024. The net impact of the aforementioned decrease in sales of $821,584 and decrease in cost of goods sold $1,140,520 resulted in the $318,936 increase in gross margin.
Previous wording
Selling, general and administrative expense in the consumer segment decreased by $274,041, or 6.8%, during the three months ended June 30, 2025, to $3,735,427, as compared to $4,009,468 during the same period in Fiscal 2024. The change was primarily attributed to cost reductions associated with store onboarding that occurred in the same period in Fiscal 2024 along with select reductions in production and non-production human capital costs associated with optimizing our headcount during the current period in Fiscal 2025, which was partially offset by the full cost structures related to our new stores.
Current wording
Selling, general and administrative expense in the consumer segment decreased by $98,099, or 2.5%, during the three months ended September 30, 2025, to $3,827,882, as compared to $3,925,981 during the same period in Fiscal 2024. The change was primarily attributed to a reduction in costs associated with store onboarding and initial marketing that occurred in the same period in Fiscal 2024 along with select reductions in production human-capital costs, partially offset by full cost structures related to our new stores.
Previous wording
Depreciation and amortization expense in the consumer segment increased by $83,086, or 73.8%, during the three months ended June 30, 2025, to $195,604, as compared to $112,518 during the same period in Fiscal 2024. The change was primarily attributed to the depreciation of assets placed into service related to our new retail stores.
Current wording
Depreciation and amortization expense in the consumer segment increased by $52,692, or 35.0%, during the three months ended September 30, 2025, to $203,349, as compared to $150,657 during the same period in Fiscal 2024. The change was primarily attributed to the depreciation of assets placed into service related to our new retail stores.
Previous wording
Dividend income comprised $8,883 and $0 of other income during the three months ended June 30, 2025 and 2024, respectively. Interest income comprised $51,038 and $2 of other income during the three months ended June 30, 2025 and 2024, respectively.
Current wording
Dividend income comprised $42,186 and $0 of other income during the three months ended September 30, 2025 and 2024, respectively. Interest income comprised $63,301 and $2 of other income during the three months ended September 30, 2025 and 2024, respectively.
Previous wording
Dividend income comprised $74,702 and $0 other income during the three months ended June 30, 2025 and 2024, respectively. Interest income comprised $130,427 and $199,960 of other income during the three months ended June 30, 2025 and 2024, respectively.
Current wording
Dividend income comprised $43,029 and $0 other income during the three months ended September 30, 2025, and 2024, respectively. Interest income comprised $65,646 and $203,251 of other income during the three months ended September 30, 2025 and 2024, respectively.
Previous wording
Income tax expense increased by $329,830, or 71.5%, during the three months ended June 30, 2025, to $791,069, as compared to $461,239 during the same period in Fiscal 2024. Currently, the Company has a deferred tax asset reflecting a future tax benefit that the Company expects to receive. The Company has a federal tax rate of approximately 21.0%, in addition to other state and local taxes, on net income. The effective income tax rate was 22.3% and 22.8% for the three months ended June 30, 2025 and 2024, respectively. Differences between our effective income tax rate and the U.S. federal statutory rate are the result of state taxes and non-deductible expenses, as was the Company’s case for the increase for the three months ended June 30, 2025, compared to the three months ended June 30, 2024.
Current wording
Income tax expense increased by $402,848, or 70.7%, during the three months ended September 30, 2025, to $972,493, as compared to $569,645 during the same period in Fiscal 2024. Currently, the Company has a deferred tax liability reflecting a future obligation to pay taxes. The Company has a federal tax rate of approximately 21.0%, in addition to other state and local taxes, on net income. The effective income tax rate was 22.5% and 25.3% for the three months ended September 30, 2025 and 2024, respectively. Differences between our effective income tax rate and the U.S. federal statutory rate are the result of state taxes and non-deductible expenses, as was the Company’s case for the three months ended September 30, 2025 and 2024.
Previous wording
Net income (loss) increased in the consumer segment by $821,329, during the three months ended June 30, 2025, to net income of $643,371, as compared to net loss of $177,958 during the same period in Fiscal 2024. Refer to the aforementioned attributes discussed within the Comparison of the Three Months Ended June 30, 2025 and 2024 for further details.
Current wording
Net income (loss) increased in the consumer segment by $973,977, during the three months ended September 30, 2025, to net income of $947,134, as compared to net loss of $26,843 during the same period in Fiscal 2024. Refer to the aforementioned attributes discussed within the Comparison of the Three Months Ended September 30, 2025 and 2024 for further details.
Previous wording
Net income increased in the commercial segment by $366,891, or 21.1%, during the three months ended June 30, 2025, to $2,109,028, as compared to $1,742,137 during the same period in Fiscal 2024. Refer to the aforementioned attributes discussed within the Comparison of the Three Months Ended June 30, 2025 and 2024 for further details.
Current wording
Net income increased in the commercial segment by $697,904, or 40.8%, during the three months ended September 30, 2025, to $2,409,786, as compared to $1,711,882 during the same period in Fiscal 2024. Refer to the aforementioned attributes discussed within the Comparison of the Three Months Ended September 30, 2025 and 2024 for further details.
Previous wording
Basic and diluted earnings per share attributable to holders of our Common Stock increased by $0.05, or 83.3%, during the three months ended June 30, 2025, to $0.11, as compared to $0.06 during the same period in Fiscal 2024.
Current wording
Basic and diluted earnings per share attributable to holders of our Common Stock increased by $0.07, or 116.7%, during the three months ended September 30, 2025, to $0.13, as compared to $0.06 during the same period in Fiscal 2024.
Previous wording
The following table depicts our disaggregated condensed consolidated statements of income for the six months ended June 30, 2025 and 2024:
Current wording
The following table depicts our disaggregated condensed consolidated statements of income for the nine months ended September 30, 2025 and 2024:
Previous wording
The individual segments reported the following for the six months ended June 30, 2025 and 2024:
Current wording
The individual segments reported the following for the nine months ended September 30, 2025 and 2024:
Previous wording
Sales in the consumer segment increased by $19,728,317, or 32.8%, during the six months ended June 30, 2025, to $79,944,362, as compared to $60,216,045 during the same period in Fiscal 2024. The change was primarily attributed to the stronger volumes and pricing on our wholesale precious metals transactions that has been consistent throughout Fiscal 2025 as well as stronger contributions from our historical and new retail store footprint.
Current wording
Sales in the consumer segment increased by $31,039,753, or 33.0%, during the nine months ended September 30, 2025, to $125,012,398, as compared to $93,972,645 during the same period in Fiscal 2024. The change was primarily attributed to the stronger volumes and pricing on precious metals transactions that have been consistent throughout Fiscal 2025 as well as stronger contributions from our historical and new retail store footprint.
Previous wording
Cost of goods sold increased by $15,332,074, or 24.2%, during the six months ended June 30, 2025, to $78,776,715, as compared to $63,444,641 during the same period in Fiscal 2024.
Current wording
Cost of goods sold increased by $24,218,235, or 24.5%, during the nine months ended September 30, 2025, to $123,098,196, as compared to $98,879,961 during the same period in Fiscal 2024.
Previous wording
Cost of goods sold as a percentage of sales was 89.2% during the three months ended June 30, 2025, as compared to 87.4% during the three months ended June 30, 2024. The change was primarily attributed to a greater mix of lower margin wholesale precious metals transactions in our overall cost of goods sold and incrementally from product mix at our retail stores.
Current wording
Cost of goods sold as a percentage of sales was 88.7% during the nine months ended September 30, 2025, as compared to 87.8% during the nine months ended September 30, 2024. The change was primarily attributed to a greater mix of lower margin wholesale precious metals transactions in our overall cost of goods sold and incrementally from product mix at our retail stores.
Previous wording
Gross margin increased by $2,645,806, or 12.2%, during the six months ended June 30, 2025, to $24,355,947, as compared to $21,710,141 during the same period in Fiscal 2024.
Current wording
Gross margin increased by $4,249,497, or 12.8%, during the nine months ended September 30, 2025, to $37,423,877, as compared to $33,174,380 during the same period in Fiscal 2024.
Previous wording
Gross margin in the consumer segment increased by $1,298,371, or 17.2%, during the six months ended June 30, 2025, to $8,868,889, as compared to $7,570,518 during the same period in Fiscal 2024. The net impact of the aforementioned increase in sales of $19,728,317 and increase in cost of goods sold of $18,429,946 resulted in the $1,298,371 increase in gross margin.
Current wording
Gross margin in the consumer segment increased by $2,583,126, or 22.5%, during the nine months ended September 30, 2025, to $14,069,959, as compared to $11,486,833 during the same period in Fiscal 2024. The net impact of the aforementioned increase in sales of $31,039,753 and increase in cost of goods sold of $28,456,627 resulted in the $2,583,126 increase in gross margin.
Previous wording
Gross margin in the commercial segment increased by $1,347,435, or 9.5%, during the six months ended June 30, 2025, to $15,487,058, as compared to $14,139,623 during the same period in Fiscal 2024. The net impact of the aforementioned decrease in sales of $1,750,437 and decrease in cost of goods sold of $3,097,872 resulted in the $1,347,435 increase in gross margin.
Current wording
Gross margin in the commercial segment increased by $1,666,371, or 7.7%, during the nine months ended September 30, 2025, to $23,353,918, as compared to $21,687,547 during the same period in Fiscal 2024. The net impact of the aforementioned decrease in sales of $2,572,021 and decrease in cost of goods sold of $4,238,392 resulted in the $1,666,371 increase in gross margin.
Previous wording
Selling, general and administrative expense in the consumer segment increased by $362,375, or 5.0%, during the six months ended June 30, 2025, to $7,623,333, as compared to $7,260,958 during the same period in Fiscal 2024. The change was primarily attributed to the full cost structures related to our new stores and partially offset by a reduction in costs associated with store onboarding that occurred in the same period in Fiscal 2024 along with select reductions in production human capital costs associated with optimizing our headcount which was more impactful in the second quarter of Fiscal 2025.
Current wording
Selling, general and administrative expense in the consumer segment increased by $264,276, or 2.4%, during the nine months ended September 30, 2025, to $11,451,215, as compared to $11,186,939 during the same period in Fiscal 2024. The change was primarily attributed to the full cost structures related to our new stores and partially offset by a reduction in costs associated with store onboarding and initial marketing that occurred in the same period in Fiscal 2024 along with select reductions in production human-capital costs.
Previous wording
Depreciation and amortization expense in the consumer segment increased by $170,042, or 82.5%, during the six months ended June 30, 2025, to $376,236, as compared to $206,194 during the same period in Fiscal 2024. The change was primarily attributed to the depreciation of assets placed into service related to our new retail stores.
Current wording
Depreciation and amortization expense in the consumer segment increased by $222,734, or 62.4%, during the nine months ended September 30, 2025, to $579,585, as compared to $356,851 during the same period in Fiscal 2024. The change was primarily attributed to the depreciation of assets placed into service related to our new retail stores.
Previous wording
Depreciation and amortization expense in the commercial segment increased by $29,878, or 6.0%, during the six months ended June 30, 2025, to $529,516, as compared to $499,638 during the same period in Fiscal 2024. There was no material impact from assets capitalized or reaching maturity in each comparative period, and as such, no discussion point.
Current wording
Depreciation and amortization expense in the commercial segment increased by $34,931, or 4.6%, during the nine months ended September 30, 2025, to $798,691, as compared to $763,760 during the same period in Fiscal 2024. There was no material impact from assets capitalized or reaching maturity in each comparative period, and as such, no discussion point.
Previous wording
Income tax expense increased by $503,910, or 49.8%, during the six months ended June 30, 2025, to $1,515,427, as compared to $1,011,517 during the same period in Fiscal 2024. Currently, the Company has a deferred tax asset reflecting a future tax benefit that the Company expects to receive. The Company has a federal tax rate of approximately 21.0%, in addition to other state and local taxes, on net income. The effective income tax rate was 22.4% and 22.6% for the six months ended June 30, 2025 and 2024, respectively. Differences between our effective income tax rate and the U.S. federal statutory rate are the result of state taxes and non-deductible expenses, as was the Company’s case for the increase for the six months ended June 30, 2025, compared to the six months ended June 30, 2024.
Current wording
Income tax expense increased by $906,758, or 57.3%, during the nine months ended September 30, 2025, to $2,487,920, as compared to $1,581,162 during the same period in Fiscal 2024. Currently, the Company has a deferred tax liability reflecting a future obligation to pay taxes. The Company has a federal tax rate of approximately 21.0%, in addition to other state and local taxes, on net income. The effective income tax rate was 22.4% and 23.5% for the nine months ended September 30, 2025 and 2024, respectively. Differences between our effective income tax rate and the U.S. federal statutory rate are the result of state taxes and non-deductible expenses, as was the Company’s case for the nine months ended September 30, 2025 and 2024.
Previous wording
Net income (loss) increased in the consumer segment by $801,947, during the six months ended June 30, 2025, to net income of $712,465, as compared to net loss of $89,482 during the same period in Fiscal 2024. Refer to the aforementioned attributes discussed within the Comparison of the Six Months Ended June 30, 2025 and 2024 for further details.
Current wording
Net income (loss) increased in the consumer segment by $1,775,924, during the nine months ended September 30, 2025, to net income of $1,659,599, as compared to net loss of $116,325 during the same period in Fiscal 2024. Refer to the aforementioned attributes discussed within the Comparison of the Nine Months Ended September 30, 2025 and 2024 for further details.
Previous wording
Net income increased in the commercial segment by $972,081, or 27.3%, during the six months ended June 30, 2025, to $4,533,281, as compared to $3,561,200 during the same period in Fiscal 2024. Refer to the aforementioned attributes discussed within the Comparison of the Six Months Ended June 30, 2025 and 2024 for further details.
Current wording
Net income increased in the commercial segment by $1,669,985, or 31.7%, during the nine months ended September 30, 2025, to $6,943,067, as compared to $5,273,082 during the same period in Fiscal 2024. Refer to the aforementioned attributes discussed within the Comparison of the Nine Months Ended September 30, 2025 and 2024 for further details.
Previous wording
Basic and diluted earnings per share attributable to holders of our Common Stock increased by $0.07, or 53.8%, during the six months ended June 30, 2025, to $0.20, as compared to $0.13 during the same period in Fiscal 2024.
Current wording
Basic and diluted earnings per share attributable to holders of our Common Stock increased by $0.13, or 65.0%, during the nine months ended September 30, 2025, to $0.33, as compared to $0.20 during the same period in Fiscal 2024.
Previous wording
Within this management discussion and analysis, we use supplemental measures of our performance, which are derived from our consolidated financial information, but which are not presented in our condensed consolidated financial statements prepared in accordance with U.S. GAAP. We believe that providing these non-U.S. GAAP financial measures adds a meaningful presentation of our operating and financial performance. See the reconciliation of net income to adjusted earnings before interest, tax, depreciation, and amortization (“Adjusted EBITDA”) and Net Cash, in Non-U.S. GAAP Financial Measures below.
Current wording
Within this management discussion and analysis, we use supplemental measures of our financial performance, which are derived from our consolidated financial information, but which are not presented in our consolidated financial statements prepared in accordance with U.S. GAAP. When evaluated in conjunction with U.S. GAAP financial measures, the Company believes that these non-U.S. GAAP financial measures add meaningful insight into our financial position, results of operations, liquidity, and ability to meet financial obligations.
Previous wording
Adjusted EBITDA is defined as the sum of net income (loss) of the Company, adjusted for additions (deductions) of interest expense, other (income) expense, income tax expense (benefit), and depreciation and amortization. Adjusted EBITDA is a key performance measure that management uses to assess our operating performance. Because Adjusted EBITDA facilitates internal comparisons of our historical operating performance on a more consistent basis, we use this measure as an overall assessment of our performance, to evaluate the effectiveness of our strategies and for planning purposes.
Current wording
Adjusted EBITDA is defined as the sum of (i) net income (loss) of the Company, adjusted for additions (deductions) of (ii) interest expense, (iii) other (income) expense, (iv) income tax expense (benefit), and (v) depreciation and amortization. Management considers Adjusted EBITDA to be a key financial measure to assess our overall operating performance.
Previous wording
The following table depicts the Company’s Net Cash:
Current wording
The Company’s Net Cash is considered a non-U.S. GAAP financial measure and is not calculated in accordance with, or preferable to, “cash and cash equivalents” and amounts outstanding under “notes payable” balances or other financial measures of liquidity calculated in accordance with U.S. GAAP.
Previous wording
Cash flows provided by operations increased by $720,332, or 24.0%, during the six months ended June 30, 2025, to $3,722,594, as compared to $3,002,262 during the same period in Fiscal 2024. The increase in cash provided by operations was primarily attributed to an increase in net income, certain non-cash adjustments to reconcile net income to operating cash flow (as detailed in the condensed consolidated statements of cash flows), and the following significant net changes in operating assets and liabilities, from the six months ended June 30, 2024 to the same period during Fiscal 2025:
Current wording
Cash flows provided by operations decreased by $323,426, or 5.0%, during the nine months ended September 30, 2025, to $6,126,338, as compared to $6,449,764 during the same period in Fiscal 2024. The decrease in cash provided by operations was primarily attributed to an increase in net income, certain non-cash adjustments to reconcile net income to operating cash flow (as detailed in the condensed consolidated statements of cash flows), and the following significant net
Previous wording
Cash flows (used in) investing activities decreased by $385,495, or 30.5%, during the six months ended June 30, 2025, to $879,509, as compared to $1,265,004 during the same period in Fiscal 2024. The decrease in cash (used in) investing activities during the six months ended June 30, 2025 was primarily attributed to a reduction in costs spent on our ERP and was partially offset by an increase in new store capital expenditures.
Current wording
Cash flows (used in) investing activities decreased by $2,175,245, or 66.7%, during the nine months ended September 30, 2025, to $1,085,472, as compared to $3,260,717 during the same period in Fiscal 2024. The decrease in cash (used in) investing activities during the nine months ended September 30, 2025, was primarily impacted by more significant capital being deployed on ERP development, new store build-outs, and an associated real estate purchase for one of our Arizona locations in the same period in Fiscal 2024. Fiscal 2025 expenditures have primarily related to improvements to our corporate headquarters and new store-related improvements.
Showing the first 40 of 41 pairs. Open the source sections for the rest.
Rearranged current paragraphs (1)
Current report — wording carried from elsewhere
changes in cash associated with operating assets and liabilities, from the nine months ended September 30, 2024 to the same period during Fiscal 2025:
Rearranged previous paragraphs (2)
Previous report — wording carried elsewhere
profound commitment to extending the lifespan of luxury goods stems from our understanding that well-crafted items have an enduring quality, enabling them to maintain their beauty and value as they are passed from one owner to another.
Previous report — wording carried elsewhere
Cost of goods sold as a percentage of sales was 88.9% during the six months ended June 30, 2025, as compared to 87.4% during the six months ended June 30, 2024. The change was primarily attributed to a greater mix of lower margin wholesale precious metals transactions in our overall cost of goods sold and incrementally from product mix at our retail stores.