Company: MGLD
Filing Date: 2025-02-05
Form Type: 10-Q
Source: 0001493152-25-005002
Chunk: 80

Company: Marygold Companies, Inc.
Filing Date: 2025-02-05
Form: 10-Q
Item: Part I, Item 8
Chunk 80
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UM for the current quarter when compared to the quarter ended December 31, 2023, revenue
decreased by $0.3 million or 6%. The decrease in average AUM in the quarter ended December 31, 2024 was due to commodity price
fluctuations and the high-interest rate environment, along with the impact of geopolitical and economic uncertainty.

Operating
income decreased by $0.4 million or 33% driven by the decrease in average AUM as described above and a net increase in total operating
expenses relating to sub-advisory and license fees.

Food
Products - Gourmet Foods

Gourmet
Foods has two distinct operating divisions: 1) a commercial-scale bakery producing iconic Kiwi pies and sausage rolls and 2) a digital
printing business (Printstock Products Limited) which prints specialty food wrappers. Total food products revenue decreased by $0.2
million or 12% for the quarter ended December 31, 2024 as compared to 2023, the result of decreases at both our printing business
and our bakery business. The decrease of $0.1 million or 8% in our printing business was due to the timing of job completion and invoicing. The decrease of $0.2 million or
15% in our bakery business was due to a temporary cancellation of certain product categories sold to national
grocery chains pending price increase acceptance.

Operating
income decreased by $0.1 million or 72% for the quarter ended December 31, 2024 compared to the prior year quarter which was driven
by the decrease in revenue for both the printing and bakery businesses.

23

Beauty
Products – Original Sprout

Original
Sprout derives its revenues from the sale of proprietary hair and skin care products marketed to domestic and international
distributors, grocery stores, hair salons and direct-to-consumers via online platforms. Revenue was consistent at $0.8 million for
both quarters ended December 31, 2024 and 2023.

Operating
loss decreased by less than $0.1 million or 48% for the quarter ended December 31, 2024 as compared to 2023 as a result of the elimination of amortization expense associated with the impairment
of intangible assets at the end of the prior fiscal year.

Security
Systems - Brigadier

Brigadier
earns revenue from recurring alarm monitoring fees charged to residential customers, and from hardware sales and installations of access