Company: MGLD
Filing Date: 2025-09-19
Form Type: 10-K
Source: 0001493152-25-014286
Chunk: 193

Company: Marygold Companies, Inc.
Filing Date: 2025-09-19
Form: 10-K
Item: Item 1A
Chunk 193
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 cash dividends, if any, will be at the discretion of our board of directors
and will depend on our financial condition, results of operations, contractual restrictions and covenants included under any bank or
other indebtedness that we may enter into, capital requirements, business prospects and other factors that our board of directors considers
relevant.

Our
ability to pay dividends is subject to limitations under Nevada law. Under Nevada law, dividends may be paid to the extent that a corporation’s
assets exceed its liabilities and it is able to pay its debts as they become due in the usual course of business. Under Nevada law, a
company can pay dividends only:

    ●
    from
    retained earnings, and

    ●
    no
    distribution can be made, if after giving it effect, the corporation would not be able to pay its debts as they become due in the
    usual course of business; or

    ●
    except
    as otherwise specifically allowed by the articles of incorporation, the corporation’s total assets would be less than the sum
    of its total liabilities plus the amount that would be needed, if the corporation were to be dissolved at the time of distribution,
    to satisfy the preferential rights upon dissolution of stockholders whose preferential rights are superior to those receiving the
    distribution.

Our
strategy on dividends is to declare and pay dividends only from retained earnings and only when our board of directors deems it prudent
and in the best interests of the Company to declare and pay dividends.

22

Recent
Sales of Unregistered Securities; Shares Issued for Services; Outstanding Stock Options

On
February 17, 2025, the Schoenberger Family Trust converted 36,058 shares of Series B Preferred Stock into 721,160 shares of
restricted shares of our common stock. No other unregistered shares of any class of stock were issued during the year ended June 30,
2025.

ITEM
6. [RESERVED]

ITEM
7. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

The
following discussion and analysis should be read in conjunction with our consolidated financial statements and the accompanying notes
thereto included in this Form 10-K and is qualified in its entirety by the foregoing and by more detailed financial information appearing
elsewhere in this Form 10-K. See “Consolidated Financial Statements.” In addition to historical financial information, the
following discussion and analysis contains forward-looking statements that involve risks, uncertainties and