Company: RILYN
Filing Date: 2025-02-21
Form Type: 10-Q
Source: 0001628280-25-007082
Chunk: 27

Company: B. Riley Financial, Inc.
Filing Date: 2025-02-21
Form: 10-Q
Item: Part I, Item 1
Chunk 27
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 received from the sale of WS Badcock to Conn's that is still held by Freedom VCM at September 30, 2024 is impaired and there is expected to be no recovery of any value by Freedom VCM as a result of Conn’s bankruptcy filing. Subsequent to September 30, 2024, Freedom VCM filed voluntary petitions for relief under Chapter 11 of the Bankruptcy Code on November 3, 2024 which reduced the fair value of this equity investment by $(63,674) to zero.The Company has elected to account for this 31% equity investment under the fair value option. The following tables contain summarized financial information with respect to Freedom VCM, included below for purposes of the disclosure a quarter in arrears (balance sheet amounts as of June 30, 2024 and September 30, 2023 correspond to amounts as of September 30, 2024 and December 31, 2023, respectively, of the Company; income statement amounts during the three and nine months ended June 30, 2024 correspond to amounts during the three and nine months ended September 30, 2024 and 2023, respectively of the Company), which is the period in which the most recent financial information is available:June 30, 2024December 31, 2023Current assets$877,471 $961,787 Noncurrent assets$2,936,951 $3,131,506 Current liabilities$571,661 $720,510 Noncurrent liabilities$2,641,119 $2,640,805 Equity attributable to investee$601,642 $731,978 For the three months ended June 30,For the nine months ended June 30,2024202320242023Revenues$767,404 $1,038,686 $2,383,350 $3,259,396 Cost of revenues$491,702 $632,623 $1,503,104 $1,288,751 Loss from continuing operations$— $— $(1,175)$— Net loss attributable to investees$(111,881)$(50,796)$(300,720)$(159,824)As of September 30, 2024 and December 31, 2023, the fair value of the investment in Freedom VCM totaled zero and $287,043, respectively, and is included in securities and