Company: RILY
Filing Date: 2025-12-15
Form Type: 10-Q
Source: 0001464790-25-000029
Chunk: 414

Company: B. Riley Financial, Inc.
Filing Date: 2025-12-15
Form: 10-Q
Item: Part I, Item 8
Chunk 414
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 Inc. - common stock$3,440 $3,799 Babcock & Wilcox Enterprises, Inc. - preferred stock289 (429)Double Down Interactive Co., Ltd - common stock(1,847)7,691 Synchronoss Technologies, Inc. - common stock— 974 Applied Digital Corporation - common stock5,383 — Other public equities(803)(4,760)Subtotal6,462 7,275 Private Equity Securities:Freedom VCM Holdings, LLC— (139,355)Kanaci Technologies, LLC— (9,818)BJES Holdings, LLC— (15,911)Other private equities415 2,622 Subtotal415 (162,462)Corporate bonds3,339 939 Partnership interest and other— (993)Total$10,216 $(155,241)

The favorable variance of $165.5 million was primarily due to unfavorable fair value adjustments recorded in the prior year quarter of $139.4 million for Freedom VCM, $15.9 million for BJES Holdings, LLC, and $9.8 million for Kanaci Technologies, LLC, partially offset by a favorable fair value adjustments recorded in the prior year quarter of $7.7 million for Double Down Interactive Co., Ltd.. 

Other income (expense) also includes change in fair value of financial instruments and other was a gain of $11.9 million during the three months ended June 30, 2025. Gain on senior note exchange was $44.5 million during the three months ended June 30, 2025. Income from equity investments was $25.6 million during the three months ended June 30, 2025. Loss on extinguishment of debt during the three months ended June 30, 2025 was $10.3 million compared to a gain of $0.1 million during the three months ended June 30, 2024.

Interest expense was $24.0 million during the three months ended June 30, 2025 compared to $33.5 million during the three months ended June 30, 2024. The decrease in interest expense was due to lower debt balances during the three months ended June 30, 2025. The decreases in interest expense primarily consisted of $6.2 million from the Nomura term loan as described in Note 11 to the accompanying unaudited condensed consolidated financial statements (“Nomura Term