Company: MGLD
Filing Date: 2025-02-05
Form Type: 10-Q
Source: 0001493152-25-005002
Chunk: 71

Company: Marygold Companies, Inc.
Filing Date: 2025-02-05
Form: 10-Q
Item: Part I, Item 8
Chunk 71
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 outcome in any of these matters could materially adversely affect
the Company’s financial condition, results of operations and cash flows.

Retirement
Plan

The
Company has a 401(k) Profit Sharing Plan (“401K Plan”) covering U.S. employees. Participants may make contributions pursuant
to a salary reduction agreement. In addition, the 401K Plan makes a safe harbor matching contribution. The Company’s matching contributions
were less than $0.1 million for each of the three months ended December 31, 2024 and 2023 and less than $0.2 million for each of the
six months ended December 31, 2024 and 2023.

NOTE
11. RELATED PARTY TRANSACTIONS

USCF
Investments – Related Party Transactions

The
funds managed by USCF LLC and USCF Advisers are considered related parties for financial accounting purposes. The Company’s
fund management revenue, totaling $4.7
million and $5.0
million for the three months ended December 31, 2024 and 2023, respectively, and $9.3
million and $10.0
million for the six months ended December 31, 2024 and 2023, respectively, were earned from these related parties. Accounts
receivable, totaling $1.5
million as of both December 31, 2024 and June 30, 2024, were owed from the funds that may be deemed related parties. USCF
Investments, from time to time, provides initial seed capital investments in connection with the organization of ETP and ETF funds
that USCF LLC manages. As of December 31, 2024 and June 30, 2024, the Company invested a total of $6.1
million and $7.5
million, respectively, in funds managed by USCF Advisers which are included in investments on the consolidated balance sheets. The
Company owns 41%
and 45%
of the outstanding shares of or other interest in these funds as of December 31, 2024 and June 30, 2024, respectively. Included in
interest and dividend income on the consolidated statements of operations are $1.0
million and $0.1
million for the three months ended December 31, 2024 and 2023, respectively, and $1.1
million and $0.2
million for the six months ended December 31, 202