Company: RILYN
Filing Date: 2025-02-21
Form Type: 10-Q
Source: 0001628280-25-007082
Chunk: 321

Company: B. Riley Financial, Inc.
Filing Date: 2025-02-21
Form: 10-Q
Item: Part I, Item 8
Chunk 321
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 $6,231 $985,000 Liabilities:Securities sold not yet purchased:Equity securities$1,037 $1,037 $— $— Corporate bonds5,971 — 5,971 — Other fixed income securities1,593 — 1,593 — Total securities sold not yet purchased8,601 1,037 7,564 — Contingent consideration27,985 — — 27,985 Total liabilities measured at fair value$36,586 $1,037 $7,564 $27,985 As of September 30, 2024 and December 31, 2023, financial assets measured and reported at fair value on a recurring basis and classified within Level 3 were $213,652 and $985,000, respectively, or 9.9% and 16.2%, respectively, of the Company’s total assets. In determining the fair value for these Level 3 financial assets, the Company analyzes various financial, performance and market factors to estimate the value, including where applicable, over-the-counter market trading activity.The following table summarizes the significant unobservable inputs in the fair value measurement of Level 3 financial assets and liabilities by category of investment and valuation technique as of September 30, 2024 and December 31, 2023:

21

Fair value at September 30,2024ValuationTechniqueUnobservableInputRangeWeighted Average(1)Assets:Equity securities$54,135 Market approachMultiple of EBITDA2.5x - 7.0x4.3xMultiple of Sales0.6x - 3.0x2.4xMarket price of related security$0.01 - $11.42$11.137,813 Option pricing modelAnnualized volatility47.0% - 170.0%76.0%Loans receivable at fair value142,239 Discounted cash flowMarket interest rate13.6% - 74.7%24.0%9,465 Market approachMarket price of related security$14.89-$15.98$15.68Multiple of Sales3.5x3.5xTotal level 3 assets measured at fair value$213,652 Liabilities:Contingent consideration$23,702 Discounted cash flowAsset volatility69.0%69.0%Market interest rate8.