FY 2023 Diluted Earnings Per Share of $6.34 up from $5.45 in FY 2022
$9.3 Billion of Revenues for Full Year 2023
Record FY 2023 Non-GAAP EBITDA of $225 Million
46% Year-over-Year Increase in Direct-to-Consumer New Customers
Company Declares Non-recurring Special Dividend of $1.00 per share
EL SEGUNDO, Calif., Aug. 31, 2023 (GLOBE NEWSWIRE) -- A-Mark Precious Metals, Inc. ( AMRK), a leading fully integrated precious metals platform, reported results for the fiscal fourth quarter and full year ended June 30, 2023.
Management Commentary
“Fiscal year 2023 marked another year of strong financial and operational performance, underscoring the strength of our industry-leading fully integrated precious metals platform,” said A-Mark CEO Greg Roberts. “Our full year gross profit and net income before taxes grew 13% and 22% year-over-year, respectively, and we also generated a 29% return on equity for the year. Diluted earnings per share increased 16% compared with last fiscal year, and we also delivered record levels of EBITDA of $225 million. New customers in our Direct-to-Consumer segment increased 46%, highlighting the success of our strategic acquisitions.
“Our fourth quarter results contributed to a strong finish to the fiscal year with net income of $41.8 million and diluted earnings per share of $1.71. Our integrated capabilities and access to inventory provided us with a consistent source of supply to meet the elevated demand from the heightened market volatility experienced during the quarter.
“Reflecting on the full year, I am very proud of our many accomplishments and the execution of our growth strategy. During the year we added minority interests in UK-based Atkinsons Bullion & Coins and Texas Precious Metals to our investments portfolio and also closed the BGASC and BullionMax asset acquisitions, further expanding our Direct-to-Consumer customer base. We also bolstered our minting operations by investing in the expansion of our Silver Towne Mint facility, which now consistently produces over one million ounces of silver per week and achieved ISO 9000:2015 Certification during the year, reaffirming the company’s reputation as a leading manufacturer of quality bullion products. Additionally, we repurchased $9.8 million of our common stock creating additional value for our stockholders.
“Looking ahead to fiscal 2024, we continue to evaluate opportunities to further expand our geographic presence and market reach to create stockholder value. We also continue to invest in our minting and logistics operations to further increase capacity and enhance our fully integrated platform. We remain optimistic that our diversified and proven business model will allow us to sustain profitability and realize growth over the long term.”
Fiscal Fourth Quarter 2023 Operational Highlights
- Gold ounces sold in the three months ended June 30, 2023 increased 27% to 814,000 ounces from 641,000 ounces for the three months ended June 30, 2022, and increased 24% from 659,000 ounces for the three months ended March 31, 2023
- Silver ounces sold in the three months ended June 30, 2023 increased 20% to 45.3 million ounces from 37.6 million ounces for the three months ended June 30, 2022, and increased 23% from 36.9 million ounces for the three months ended March 31, 2023
- As of June 30, 2023, the number of secured loans decreased 61% to 882 from 2,271 as of June 30, 2022, and decreased 8% from 963 as of March 31, 2023
- Direct-to-Consumer new customers for the three months ended June 30, 2023 increased 85% to 90,400 from 48,800 for the three months ended June 30, 2022, and increased 40% from 64,700 for the three months ended March 31, 2023. For the three-month period ended June 30, 2023, approximately 32% of the new customers were attributable to the acquired customer list of BullionMax in June 2023
- Direct-to-Consumer active customers for the three months ended June 30, 2023 increased 1% to 133,800 from 133,100 for the three months ended June 30, 2022, and decreased 9% from 147,400 for the three months ended March 31, 2023
- Direct-to-Consumer average order value for the three months ended June 30, 2023 increased $546, or 20% to $3,288 from $2,742 for the three months ended June 30, 2022, and increased $836, or 34% from $2,452 for the three months ended March 31, 2023
- JM Bullion’s average order value for the three months ended June 30, 2023 increased $458, or 18% to $2,955 from $2,497 for the three months ended June 30, 2022, and increased $703, or 31% from $2,252 for the three months ended March 31, 2023
| Three Months Ended June 30, | ||||||||||
| 2023 | 2022 | |||||||||
| Selected Operating Metrics: | ||||||||||
| Gold ounces sold(1) | 814,000 | 641,000 | ||||||||
| Silver ounces sold(2) | 45,273,000 | 37,597,000 | ||||||||
| Number of secured loans at period end(3) | 882 | 2,271 | ||||||||
| Direct-to-Consumer ("DTC") number of new customers(4) | 90,400 | 48,800 | ||||||||
| Direct-to-Consumer number of active customers(5) | 133,800 | 133,100 | ||||||||
| Direct-to-Consumer number of total customers(6) | 2,348,300 | 2,013,000 | ||||||||
| Direct-to-Consumer average order value ("AOV")(7) | $ | 3,288 | $ | 2,742 | ||||||
| JM Bullion ("JMB") average order value(8) | $ | 2,955 | $ | 2,497 | ||||||
| CyberMetals number of new customers(9) | 5,200 | 5,200 | ||||||||
| CyberMetals number of active customers(10) | 1,700 | 2,800 | ||||||||
| CyberMetals number of total customers(11) | 22,400 | 5,900 | ||||||||
| CyberMetals customer assets under management(12) | $ | 6,500,000 | $ | 3,700,000 | ||||||
| (1) Gold ounces sold represents the ounces of gold product sold and delivered to the customer during the period, excluding ounces of gold recorded on forward contracts. | ||||||||||
| (2) Silver ounces sold represents the ounces of silver product sold and delivered to the customer during the period, excluding ounces of silver recorded on forward contracts. | ||||||||||
| (3) Number of outstanding secured loans to customers that are primarily collateralized by precious metals at the end of the period. | ||||||||||
| (4) DTC number of new customers represents the number of customers that have registered or set up a new account or made a purchase for the first time during the period within the Direct-to-Consumer segment. | ||||||||||
| (5) DTC number of active customers represents the number of customers that have made a purchase during any month during the period within the Direct-to-Consumer segment. | ||||||||||
| (6) DTC number of total customers represents the aggregate number of customers that have registered or set up an account or have made a purchase in the past within the Direct-to-Consumer segment. | ||||||||||
| (7) DTC AOV represents the average dollar value of product orders (excluding accumulation program orders) delivered to the customer during the period within the Direct-to-Consumer segment. | ||||||||||
| (8) JMB AOV represents the average dollar value of product orders delivered to JMB's customers during the period. | ||||||||||
| (9) CyberMetals number of new customers represents the number of customers that have registered or set up a new account or have made a purchase for the first time during the period on the CyberMetals platform. | ||||||||||
| (10) CyberMetals number of active customers represents the number of customers that have made a purchase during any month during the period from the CyberMetals platform. | ||||||||||
| (11) CyberMetals number of total customers represents the aggregate number of customers that have registered or set up an account or have made a purchase in the past from the CyberMetals platform. | ||||||||||
| (12) CyberMetals customer assets under management represents the total value of assets managed by the Company on behalf of CyberMetals customers. | ||||||||||
| Three Months Ended | ||||||||||
| June 30, 2023 | March 31, 2023 | |||||||||
| Selected Operating Metrics: | ||||||||||
| Gold ounces sold(1) | 814,000 | 659,000 | ||||||||
| Silver ounces sold(2) | 45,273,000 | 36,906,000 | ||||||||
| Number of secured loans at period end(3) | 882 | 963 | ||||||||
| Direct-to-Consumer ("DTC") number of new customers(4) | 90,400 | 64,700 | ||||||||
| Direct-to-Consumer number of active customers(5) | 133,800 | 147,400 | ||||||||
| Direct-to-Consumer number of total customers(6) | 2,348,300 | 2,257,900 | ||||||||
| Direct-to-Consumer average order value ("AOV")(7) | $ | 3,288 | $ | 2,452 | ||||||
| JM Bullion ("JMB") average order value(8) | $ | 2,955 | $ | 2,252 | ||||||
| CyberMetals number of new customers(9) | 5,200 | 4,800 | ||||||||
| CyberMetals number of active customers(10) | 1,700 | 1,500 | ||||||||
| CyberMetals number of total customers(11) | 22,400 | 17,200 | ||||||||
| CyberMetals customer assets under management(12) | $ | 6,500,000 | $ | 6,500,000 | ||||||
| (1) Gold ounces sold represents the ounces of gold product sold and delivered to the customer during the period, excluding ounces of gold recorded on forward contracts. | ||||||||||
| (2) Silver ounces sold represents the ounces of silver product sold and delivered to the customer during the period, excluding ounces of silver recorded on forward contracts. | ||||||||||
| (3) Number of outstanding secured loans to customers that are primarily collateralized by precious metals at the end of the period. | ||||||||||
| (4) DTC number of new customers represents the number of customers that have registered or set up a new account or made a purchase for the first time during the period within the Direct-to-Consumer segment. | ||||||||||
| (5) DTC number of active customers represents the number of customers that have made a purchase during any month during the period within the Direct-to-Consumer segment. | ||||||||||
| (6) DTC number of total customers represents the aggregate number of customers that have registered or set up an account or have made a purchase in the past within the Direct-to-Consumer segment. | ||||||||||
| (7) DTC AOV represents the average dollar value of product orders (excluding accumulation program orders) delivered to the customer during the period within the Direct-to-Consumer segment. | ||||||||||
| (8) JMB AOV represents the average dollar value of product orders delivered to JMB's customers during the period. | ||||||||||
| (9) CyberMetals number of new customers represents the number of customers that have registered or set up a new account or have made a purchase for the first time during the period on the CyberMetals platform. | ||||||||||
| (10) CyberMetals number of active customers represents the number of customers that have made a purchase during any month during the period from the CyberMetals platform. | ||||||||||
| (11) CyberMetals number of total customers represents the aggregate number of customers that have registered or set up an account or have made a purchase in the past from the CyberMetals platform. | ||||||||||
| (12) CyberMetals customer assets under management represents the total value of assets managed by the Company on behalf of CyberMetals customers. | ||||||||||
Full Year 2023 Operational Highlights
- Gold ounces sold in the fiscal year ended June 30, 2023 remained relatively unchanged at 2,667,000 ounces compared to 2,668,000 in the fiscal year ended June 30, 2022
- Silver ounces sold in the fiscal year ended June 30, 2023 increased 18% to 156.2 million ounces from 132.2 million ounces in the fiscal year ended June 30, 2022
- Direct-to-Consumer new customers for the fiscal year ended June 30, 2023 increased 46% to 335,300 from 230,400 for the fiscal year ended June 30, 2022. Approximately 31% of the new customers in fiscal year 2023 were attributable to the acquired customer lists of BGASC and BullionMax in October 2022 and June 2023, respectively
- Direct-to-Consumer active customers for the fiscal year ended June 30, 2023 decreased 24% to 476,300 from 623,700 for the fiscal year ended June 30, 2022
- Direct-to-Consumer average order value for the fiscal year ended June 30, 2023 increased $86, or 3% to $2,606 from $2,520 for the fiscal year ended June 30, 2022
- JM Bullion’s average order value for the fiscal year ended June 30, 2023 increased $62, or 3% to $2,390 from $2,328 for the fiscal year ended June 30, 2022
| Year Ended June 30, | ||||||||||
| 2023 | 2022 | |||||||||
| Selected Operating Metrics: | ||||||||||
| Gold ounces sold(1) | 2,667,000 | 2,668,000 | ||||||||
| Silver ounces sold(2) | 156,233,000 | 132,209,000 | ||||||||
| Number of secured loans at period end(3) | 882 | 2,271 | ||||||||
| Direct-to-Consumer ("DTC") number of new customers(4) | 335,300 | 230,400 | ||||||||
| Direct-to-Consumer number of active customers(5) | 476,300 | 623,700 | ||||||||
| Direct-to-Consumer number of total customers(6) | 2,348,300 | 2,013,000 | ||||||||
| Direct-to-Consumer average order value ("AOV")(7) | $ | 2,606 | $ | 2,520 | ||||||
| JM Bullion ("JMB") average order value(8) | $ | 2,390 | $ | 2,328 | ||||||
| CyberMetals number of new customers(9) | 16,500 | 5,900 | ||||||||
| CyberMetals number of active customers(10) | 4,800 | 3,000 | ||||||||
| CyberMetals number of total customers(11) | 22,400 | 5,900 | ||||||||
| CyberMetals customer assets under management(12) | $ | 6,500,000 | $ | 3,700,000 | ||||||
| (1) Gold ounces sold represents the ounces of gold product sold and delivered to the customer during the period, excluding ounces of gold recorded on forward contracts. | ||||||||||
| (2) Silver ounces sold represents the ounces of silver product sold and delivered to the customer during the period, excluding ounces of silver recorded on forward contracts. | ||||||||||
| (3) Number of outstanding secured loans to customers that are primarily collateralized by precious metals at the end of the period. | ||||||||||
| (4) DTC number of new customers represents the number of customers that have registered or set up a new account or made a purchase for the first time during the period within the Direct-to-Consumer segment. | ||||||||||
| (5) DTC number of active customers represents the number of customers that have made a purchase during any month during the period within the Direct-to-Consumer segment. | ||||||||||
| (6) DTC number of total customers represents the aggregate number of customers that have registered or set up an account or have made a purchase in the past within the Direct-to-Consumer segment. | ||||||||||
| (7) DTC AOV represents the average dollar value of product orders (excluding accumulation program orders) delivered to the customer during the period within the Direct-to-Consumer segment. | ||||||||||
| (8) JMB AOV represents the average dollar value of product orders delivered to JMB's customers during the period. | ||||||||||
| (9) CyberMetals number of new customers represents the number of customers that have registered or set up a new account or have made a purchase for the first time during the period on the CyberMetals platform. | ||||||||||
| (10) CyberMetals number of active customers represents the number of customers that have made a purchase during any month during the period from the CyberMetals platform. | ||||||||||
| (11) CyberMetals number of total customers represents the aggregate number of customers that have registered or set up an account or have made a purchase in the past from the CyberMetals platform. | ||||||||||
| (12) CyberMetals customer assets under management represents the total value of assets managed by the Company on behalf of CyberMetals customers. | ||||||||||
Fiscal Fourth Quarter 2023 Financial Highlights
- Revenues for the three months ended June 30, 2023 increased 51% to $3.16 billion from $2.09 billion for the three months ended June 30, 2022 and increased 36% from $2.32 billion for the three months ended March 31, 2023
- Gross profit for the three months ended June 30, 2023 increased 16% to $78.6 million from $67.8 million for the three months ended June 30, 2022 and increased 4% from $75.5 million for the three months ended March 31, 2023
- Gross profit margin for the three months ended June 30, 2023 decreased to 2.49% of revenue from 3.24% of revenue for the three months ended June 30, 2022, and decreased from 3.26% of revenue in the three months ended March 31, 2023
- Net income attributable to the Company for the three months ended June 30, 2023 increased 12% to $41.8 million from $37.3 million for the three months ended June 30, 2022, and increased 16% from $35.9 million for the three months ended March 31, 2023
- Diluted earnings per share totaled $1.71 for the three months ended June 30, 2023, a 12% increase compared to $1.52 for the three months ended June 30, 2022, and increased 17% from $1.46 for the three months ended March 31, 2023
- Adjusted net income before provision for income taxes, depreciation, amortization, and acquisition costs (“Adjusted net income before provision for income taxes” or “Adjusted net income”), a non-GAAP financial performance measure, for the three months ended June 30, 2023 increased 17% to $59.1 million from $50.6 million for the three months ended June 30, 2022, and increased 20% from $49.2 million for the three months ended March 31, 2023
- Earnings before interest, taxes, depreciation and amortization (“EBITDA”), a non-GAAP liquidity measure, for the three months ended June 30, 2023 increased 23% to $61.8 million from $50.3 million for the three months ended June 30, 2022, and increased 18% from $52.3 million for the three months ended March 31, 2023
| Three Months Ended June 30, | ||||||||||
| 2023 | 2022 | |||||||||
| (in thousands, except Earnings per Share) | ||||||||||
| Selected Key Financial Statement Metrics: | ||||||||||
| Revenues | $ | 3,155,201 | $ | 2,089,804 | ||||||
| Gross profit | $ | 78,610 | $ | 67,750 | ||||||
| Depreciation and amortization expense | $ | (2,741 | ) | $ | (3,223 | ) | ||||
| Net income attributable to the Company | $ | 41,834 | $ | 37,336 | ||||||
