Company: RILY
Filing Date: 2025-12-15
Form Type: 10-Q
Source: 0001464790-25-000029
Chunk: 39

Company: B. Riley Financial, Inc.
Filing Date: 2025-12-15
Form: 10-Q
Item: Part I, Item 1
Chunk 39
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Equity securities$22,897 Market approachMultiple of EBITDA(2)4.5x - 5.5x5.5xMultiple of sales0.8x - 7.3x2.2xMarket price of related security$10.57 - $11.62$11.044,829 Option pricing modelAnnualized volatility48.0% - 178.0%62.0%Loans receivable at fair value36,512 Discounted cash flowDiscount rate19.9% - 22.9%22.7%11,000 Liquidation approachCash recovery rate12.4%12.4%1,468 Market approachMarket price of related security$6.85$6.85Other assets1,029 Market approachMarket price of related security$1.47$1.47Options pricing modelAnnualized volatility90.4%90.4%Total level 3 assets measured at fair value$77,735 Liabilities:Contingent consideration$4,608 Discounted cash flowRevenue volatility5.0% - 7.5%5.0%Liability-classified warrants4,160 Monte Carlo simulation and Black-Scholes option pricing modelAnnualized volatility77.5%77.5%Discount for lack of marketability6.9%6.9%Total level 3 liabilities measured at fair value$8,768 (1) Unobservable inputs were weighted by the relative fair value of the financial instruments.(2) Multiple of earnings before interest, taxes, depreciation, and amortization (“EBITDA”).

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Fair value at December 31,2024Valuation TechniqueUnobservable InputRangeWeighted Average(1)Assets:Equity securities$34,654 Market approachMultiple of EBITDA6.3x6.3xMultiple of Sales2.1x - 8.0x3.1xMarket price of related security$9.97 - $11.10$10.765,862 Option pricing modelAnnualized volatility47.0% - 171.0%87.0%Loans receivable at fair value86,150 Discounted cash flowDiscount rate7.3% - 69.1%19.7%3,953 Market approachMarket price of related security$9.60 - $16.48$12.90Total level 3 assets measured at fair value$130,