FRMO Corp. Announces Fiscal 2024 Results and Annual Meeting
Financial Highlights
FRMO’s total book value as of May 31, 2024 was
Current assets, comprised primarily of cash and equivalents, equity securities, and digital assets, amounted to
Annual net income (loss) attributable to the Company in the fiscal year ended May 31, 2024 was
For the three months ended May 31, 2024, FRMO’s net income (loss) attributable to the Company was
Net income (loss) attributable to the Company excluding the effect of unrealized gain (loss) from equity securities and digital assets net of taxes for the three months ended May 31, 2024 was
Net income (loss) attributable to the Company excluding the effect of unrealized gain (loss) from equity securities and digital assets net of taxes is a measure not based on GAAP and is defined and reconciled to the most directly comparable GAAP measures in “Information Regarding Non-GAAP Measures� at the end of this release.
Valuation of securities and digital assets are subject to change after May 31, 2024. The market value of several securities and digital assets might have changed substantially since that date. We look forward to finding new ways to expand our digital asset mining operations.
As of May 31, 2024 and 2023, the Company held a
Further details are available in the Company’s Consolidated Financial Statements for the fiscal year ended May 31, 2024. These statements have been filed on the OTC Markets Group Disclosure and News Services, which may be accessed at . These documents are also available on the FRMO website at .
Annual Meeting
Murray Stahl, Chairman and CEO, and Steven Bregman, President and CFO, will host the 2024 Annual Meeting of Shareholders (“Meeting�) on Thursday, September 5, 2024, at 2:30 p.m. Eastern Time, to be held at
The Harvard Club of
For admission to the physical Annual Meeting at The Harvard Club, please see the FRMO representative in the lobby who will provide the necessary code for access.
No cameras, recording equipment, electronic devices, large bags, briefcases, or packages will be permitted in the Annual Meeting. Dress code for the Harvard Club is business casual (no jeans, sneakers, or athletic wear permitted).
Condensed Consolidated Balance Sheets | |||||
(in thousands) | |||||
May 31, | May 31, | ||||
2024 |
Ìý |
2023 |
|||
Ìý | |||||
Assets | |||||
Current Assets: | |||||
Cash and cash equivalents | $ |
39,190 |
$ |
38,077 |
|
Equity securities, at fair value | Ìý |
221,682 |
Ìý |
155,512 |
|
Digital assets, at fair value | Ìý |
10,979 |
Ìý |
4,217 |
|
Other current assets | Ìý |
4,252 |
Ìý |
3,539 |
|
Total Current Assets | Ìý |
276,102 |
Ìý |
201,346 |
|
Investment in limited partnerships and other | |||||
equity investments, at fair value | Ìý |
127,579 |
Ìý |
70,656 |
|
Investments in securities exchanges | Ìý |
6,463 |
Ìý |
4,869 |
|
Other assets | Ìý |
1,609 |
Ìý |
1,815 |
|
Investment in Horizon Kinetics LLC | Ìý |
17,205 |
Ìý |
14,608 |
|
Participation in Horizon Kinetics LLC revenue stream | Ìý |
10,200 |
Ìý |
10,200 |
|
Total Assets | $ |
439,159 |
$ |
303,494 |
|
Ìý | |||||
Liabilities and Stockholders' Equity | |||||
Current Liabilities: | |||||
Securities sold, not yet purchased | $ |
951 |
$ |
2,353 |
|
Other current liabilities | Ìý |
1,258 |
Ìý |
354 |
|
Total Current Liabilities | Ìý |
2,209 |
Ìý |
2,707 |
|
Deferred Tax Liability | Ìý |
33,668 |
Ìý |
16,004 |
|
Mortgage payable | Ìý |
- |
Ìý |
669 |
|
Total Liabilities | Ìý |
35,877 |
Ìý |
19,379 |
|
Ìý | |||||
Stockholders' Equity: | |||||
Stockholders' Equity Attributable to the Company | Ìý |
242,137 |
Ìý |
169,283 |
|
Noncontrolling interests | Ìý |
161,145 |
Ìý |
114,832 |
|
Total Stockholders' Equity | Ìý |
403,282 |
Ìý |
284,114 |
|
Ìý | |||||
Total Liabilities and Stockholders' Equity | $ |
439,159 |
$ |
303,494 |
(Components may not sum to totals due to rounding)
ÌýCondensed Consolidated Statements of IncomeÌý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | ||||||
Ìý(amounts in thousands, except share data)Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | ||||||
Ìý | ÌýThree Months EndedÌý | Ìý | ÌýYears EndedÌý | ||||||||||
Ìý | May 31, | Ìý | May 31, | Ìý | May 31, | Ìý | May 31, | ||||||
Ìý | Ìý |
2024 |
Ìý |
Ìý |
2023 |
Ìý |
Ìý |
Ìý |
2024 |
Ìý |
Ìý |
2023 |
Ìý |
Ìý | (Unaudited) | Ìý | |||||||||||
ÌýRevenue:Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | ||||||
ÌýFeesÌý | Ìý$ |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 709 |
Ìý | Ìý$ |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 737 |
Ìý |
Ìý | Ìý$ |
ÌýÌýÌýÌýÌýÌýÌýÌýÌý 2,715 |
Ìý | Ìý$ |
ÌýÌýÌýÌýÌýÌýÌýÌýÌý 3,222 |
Ìý |
ÌýEquity earnings (losses) from limited partnershipsÌý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | ||||||
Ìýand limited liability companiesÌý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 2,188 |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý (685 |
) |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 5,044 |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 1,614 |
Ìý |
ÌýUnrealized gains (losses) from investmentsÌý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 12,410 |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌý (12,614 |
) |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 53,935 |
# | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌý (13,661 |
) |
ÌýOtherÌý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 1,193 |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 402 |
Ìý |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 4,275 |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 4,046 |
Ìý |
ÌýTotal revenue before unrealized gains (losses) from equity securitiesÌý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | ||||||
Ìýand digital assetsÌý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 16,500 |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌý (12,159 |
) |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 65,969 |
# | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý (4,779 |
) |
ÌýUnrealized gains (losses) from equity securitiesÌý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 32,655 |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌý (52,947 |
) |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 66,186 |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌý (27,918 |
) |
ÌýUnrealized gains (losses) from digital assetsÌý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 1,001 |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 573 |
Ìý |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 6,272 |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý (450 |
) |
ÌýTotal RevenueÌý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 50,156 |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌý (64,533 |
) |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌý 138,427 |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌý (33,147 |
) |
ÌýTotal ExpensesÌý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 332 |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 343 |
Ìý |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 1,556 |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 1,837 |
Ìý |
Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | ||||||
ÌýIncome (Loss) from Operations before Provision for (Benefit from) Income TaxesÌý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 49,824 |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌý (64,877 |
) |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌý 136,871 |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌý (34,984 |
) |
ÌýProvision for (Benefit from) Income TaxesÌýÌý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 4,742 |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý (6,075 |
) |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 18,420 |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý (3,222 |
) |
ÌýNet Income (Loss)Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 45,082 |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌý (58,802 |
) |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌý 118,451 |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌý (31,762 |
) |
ÌýLess net income (loss) attributable to noncontrolling interestsÌý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 22,545 |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌý (38,751 |
) |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 45,893 |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌý (19,158 |
) |
ÌýNet Income (Loss) Attributable to FRMO CorporationÌý | Ìý$ |
ÌýÌýÌýÌýÌýÌý 22,538 |
Ìý | Ìý$ |
ÌýÌýÌýÌýÌý (20,051 |
) |
Ìý | Ìý$ |
ÌýÌýÌýÌýÌýÌý 72,559 |
Ìý | Ìý$ |
ÌýÌýÌýÌýÌý (12,604 |
) |
Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | ||||||
ÌýDiluted Net Income (Loss) per Common ShareÌý | Ìý$ |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 0.51 |
Ìý | Ìý$ |
ÌýÌýÌýÌýÌýÌýÌýÌýÌý (0.46 |
) |
Ìý | Ìý$ |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 1.65 |
Ìý | Ìý$ |
ÌýÌýÌýÌýÌýÌýÌýÌýÌý (0.29 |
) |
Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | ||||||
ÌýWeighted Average Common Shares OutstandingÌý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | ||||||
ÌýBasicÌý | Ìý |
ÌýÌý 44,022,781 |
Ìý | Ìý |
ÌýÌý 44,022,781 |
Ìý |
Ìý | Ìý |
ÌýÌý 44,022,781 |
Ìý | Ìý |
ÌýÌý 44,021,069 |
Ìý |
ÌýDilutedÌý | Ìý |
ÌýÌý 44,027,031 |
Ìý | Ìý |
ÌýÌý 44,022,781 |
Ìý |
Ìý | Ìý |
ÌýÌý 44,026,529 |
Ìý | Ìý |
ÌýÌý 44,021,069 |
Ìý |
(Components may not sum to totals due to rounding)
About FRMO Corp.
FRMO Corp. invests in and receives revenues based upon consulting and advisory fee interests in the asset management sector.
FRMO had 44,022,781 shares of common stock outstanding as of May 31, 2024.
For more information, visit our website at .
Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995 � With the exception of historical information, the matters discussed in this press release are forward-looking statements that involve a number of risks and uncertainties. Words like “believe,� “expect� and “anticipate� mean that these are our best estimates as of this writing, but that there can be no assurances that expected or anticipated results or events will actually take place, so our actual future results could differ significantly from those statements. Factors that could cause or contribute to such differences include, but are not limited to: our ability to maintain our competitive advantages, the general economics of the financial industry, our ability to finance growth, our ability to identify and close acquisitions on terms favorable to the Company, and a sustainable market.
Further information on our risk factors is contained in our quarterly and annual reports as filed on our website and on .
Information Regarding Non-GAAP Measures
Net income (loss) attributable to the Company excluding the effect of unrealized gain (loss) from equity securities, digital assets, and diluted earnings (loss) per common share is net income (loss) attributable to the Company exclusive of unrealized gains (losses) from equity securities, digital assets, and diluted earnings (loss) per common share net of tax. Net income (loss) attributable to the Company is the GAAP measure most closely comparable to net income (loss) attributable to the Company excluding the effect of unrealized gain (loss) from equity securities and digital assets.
Management uses net income (loss) attributable to the Company excluding the effect of unrealized gain (loss) from equity securities, digital assets, and diluted earnings (loss) per common share along with other measures, to gauge the Company’s performance and evaluate results, which can be skewed when including unrealized gain (loss) from equity securities, digital assets, and diluted earnings per common share, which may vary significantly between periods. Net income (loss) attributable to the Company excluding the effect of unrealized gain (loss) from equity securities, digital assets, and diluted earnings per common share is provided as supplemental information, and is not a substitute for net income (loss) attributable to the Company and does not reflect the Company’s overall profitability.
The following table reconciles the net income (loss) attributable to the Company excluding the effect of unrealized gain (loss) from equity securities to net income (loss) attributable to the Company for the periods indicated:
Ìý | ÌýThree Months EndedÌý | Ìý | ÌýThree Months EndedÌý | Ìý | ÌýYears EndedÌý | Ìý | ÌýYears EndedÌý | ||||||||||||||||||||||
Ìý | May 31, 2024 | Ìý | May 31, 2023 | Ìý | May 31, 2024 | Ìý | May 31, 2023 | ||||||||||||||||||||||
Ìý | Ìý | Ìý | Ìý | Ìý | Ìý(Unaudited)Ìý | Ìý | Ìý(Unaudited)Ìý | ||||||||||||||||||||||
Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | ||||||||||||||
Ìý | ÌýAmountÌý | Ìý | Diluted earnings per common share | Ìý | ÌýAmountÌý | Ìý | Diluted earnings per common share | Ìý | ÌýAmountÌý | Ìý | Diluted earnings per common share | Ìý | ÌýAmountÌý | Ìý | Diluted earnings per common share | ||||||||||||||
(000’s except per common share amounts and percentages) | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | ||||||||||||||
Net Income (Loss) Attributable to the Company Excluding the Effect of Unrealized Gain (Loss) from Equity Securities and Digital Assets, and Diluted Earnings per Common Share Reconciliation: | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | ||||||||||||||
Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | ||||||||||||||
Net income (loss) attributable to the Company | Ìý$ |
ÌýÌýÌýÌýÌýÌý 22,538 |
Ìý |
Ìý | Ìý$ |
ÌýÌýÌý 0.51 |
Ìý | Ìý$ |
ÌýÌýÌýÌýÌý (20,051 |
) |
Ìý | Ìý$ |
Ìý (0.46 |
) |
Ìý | Ìý$ |
ÌýÌýÌýÌý 72,559 |
Ìý |
Ìý | Ìý$ |
ÌýÌýÌý 1.65 |
Ìý | Ìý$ |
ÌýÌýÌý (12,604 |
) |
Ìý | Ìý$ |
Ìý (0.29 |
) |
Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | ||||||||||||||
Unrealized gain (loss) from equity securities and digital assets | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌý 33,656 |
Ìý |
Ìý | Ìý | Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌý (52,374 |
) |
Ìý | Ìý | Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌý 72,458 |
Ìý |
Ìý | Ìý | Ìý | Ìý |
ÌýÌýÌýÌýÌýÌý (28,368 |
) |
Ìý | Ìý | ||||||
Unrealized gain (loss) from equity securities and digital assets attributable to noncontrolling interests | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌý 22,191 |
Ìý |
Ìý | Ìý | Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌý (39,059 |
) |
Ìý | Ìý | Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌý 44,532 |
Ìý |
Ìý | Ìý | Ìý | Ìý |
ÌýÌýÌýÌýÌýÌý (21,907 |
) |
Ìý | Ìý | ||||||
Unrealized gain (loss) from equity securities and digital assets attributable to the Company | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌý 11,465 |
Ìý |
Ìý | Ìý | Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌý (13,315 |
) |
Ìý | Ìý | Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌý 27,926 |
Ìý |
Ìý | Ìý | Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌý (6,461 |
) |
Ìý | Ìý | ||||||
Tax (provision) benefit on unrealized gain (loss) from equity securities and digital assets attributable to the company | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌý (1,387 |
) |
Ìý | Ìý | Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 463 |
Ìý |
Ìý | Ìý | Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌý (4,308 |
) |
Ìý | Ìý | Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý 240 |
Ìý |
Ìý | Ìý | ||||||
Unrealized gain (loss) from equity securities and digital assets attributable to the Company, net of taxes | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌýÌý 10,078 |
Ìý |
Ìý | Ìý$ |
ÌýÌýÌý 0.23 |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌý (12,853 |
) |
Ìý | Ìý$ |
Ìý (0.29 |
) |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌý 23,618 |
Ìý |
Ìý | Ìý$ |
ÌýÌýÌý 0.54 |
Ìý | Ìý |
ÌýÌýÌýÌýÌýÌýÌýÌý (6,222 |
) |
Ìý | Ìý$ |
Ìý (0.14 |
) |
Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | ||||||||||||||
Net income (loss) attributable to the Company excluding the effect of unrealized gain (loss) from equity securities and digital assets | Ìý$ |
ÌýÌýÌýÌýÌýÌý 12,460 |
Ìý |
Ìý | Ìý$ |
ÌýÌýÌý 0.28 |
Ìý | Ìý$ |
ÌýÌýÌýÌýÌýÌýÌý (7,198 |
) |
Ìý | Ìý$ |
Ìý (0.16 |
) |
Ìý | Ìý$ |
ÌýÌýÌýÌý 48,940 |
Ìý |
Ìý | Ìý$ |
ÌýÌýÌý 1.11 |
Ìý | Ìý$ |
ÌýÌýÌýÌýÌý (6,382 |
) |
Ìý | Ìý$ |
Ìý (0.14 |
) |
Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | Ìý | ||||||||||||||
Weighted average diluted shares outstanding | Ìý |
ÌýÌý 44,027,031 |
Ìý |
Ìý | Ìý | Ìý | Ìý |
ÌýÌý 44,022,781 |
Ìý |
Ìý | Ìý | Ìý | Ìý |
Ìý44,026,529 |
Ìý |
Ìý | Ìý | Ìý | Ìý |
Ìý 44,021,069 |
Ìý |
Ìý | Ìý |
(Components may not sum to totals due to rounding)
View source version on businesswire.com:
Thérèse Byars
Corporate Secretary
Email: [email protected]
Telephone: 646-495-7337
Source: FRMO Corp.