Alliance Entertainment Files 2024 10-K

TL;DR

AENT filed its 2024 10-K. Shows financials for the year ending 6/30/24.

AI Summary

Alliance Entertainment Holding Corp. filed its 10-K for the fiscal year ending June 30, 2024. The company, formerly Adara Acquisition Corp., is incorporated in Delaware and headquartered in Plantation, Florida. Key financial data points and share information for common stock and redeemable warrants are included in the filing.

Why It Matters

This filing provides a comprehensive overview of Alliance Entertainment's financial performance and position for the fiscal year, offering insights for investors and stakeholders.

Risk Assessment

Risk Level: medium — As a publicly traded company filing a 10-K, there are inherent risks associated with financial reporting and market performance.

Key Numbers

• 0.0001 — Par Value Per Share (Par value for Class Common Stock)
• 11.50 — Warrant Exercise Price (Exercise price for redeemable warrants)

Key Players & Entities

• ALLIANCE ENTERTAINMENT HOLDING CORP (company) — Filer
• Adara Acquisition Corp. (company) — Former company name
• 20240630 (date) — Fiscal year end
• 20240920 (date) — Filing date
• 8201 PETERS ROAD SUITE 1000 PLANTATION FL 33324 (address) — Business and mailing address
• 11.50 (dollar_amount) — Exercise price for redeemable warrants

FAQ

Key Financial Figures

• $0.0001 — tered Class A common stock, par value $0.0001 per share AENT The Nasdaq Stock Mar
• $11.50 — A common stock at an exercise price of $11.50 per share AENTW The Nasdaq Stock Ma

Filing Documents

• form10-k.htm (10-K) — 1939KB
• ex19.htm (EX-19) — 74KB
• ex23-1.htm (EX-23.1) — 4KB
• ex31-1.htm (EX-31.1) — 17KB
• ex32-1.htm (EX-32.1) — 6KB
• ex32-2.htm (EX-32.2) — 6KB
• ex97-1.htm (EX-97.1) — 38KB
• 0001493152-24-037185.txt ( ) — 8654KB
• aent-20240630.xsd (EX-101.SCH) — 60KB
• aent-20240630_cal.xml (EX-101.CAL) — 97KB
• aent-20240630_def.xml (EX-101.DEF) — 244KB
• aent-20240630_lab.xml (EX-101.LAB) — 549KB
• aent-20240630_pre.xml (EX-101.PRE) — 431KB
• form10-k_htm.xml (XML) — 1164KB

Business

Business 1 Item 1A. Risk Factors. 11 Item 1B. Unresolved Staff Comments. 37 Item 1C. Cybersecurity 37 Item 2.

Properties

Properties 38 Item 3.

Legal Proceedings

Legal Proceedings 38 Item 4. Mine Safety Disclosure 38 Part II. Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities. 39 Item 6.

Selected Financial Data

Selected Financial Data. 39 Item 7.

Management's Discussion and Analysis Of Financial Condition and Results Of Operations

Management's Discussion and Analysis Of Financial Condition and Results Of Operations 39 Item 7A.

Quantitative and Qualitative Disclosures about Market Risk

Quantitative and Qualitative Disclosures about Market Risk 47 Item 8.

Financial Statements and Supplementary Data

Financial Statements and Supplementary Data 47 Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 48 Item 9A.

Controls and Procedures

Controls and Procedures 48 Item 9B Other Information. 49 Part III. Item 10 Directors, Executive Officers and Corporate Governance. 50 Item 11

Executive Compensation

Executive Compensation. 55 Item 12

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters. 59 Item 13 Certain Relationships and Related Transactions. 60 Item 14 Principal Accountant Fees and Services. 62 Part IV. Item 15 Exhibits, Financial Statement Schedules. 63 Item 16 Form 10-K Summary. 65

SIGNATURES

SIGNATURES 66 i CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS Certain These include, but are not limited to, expectations regarding our financial and business performance, strategies, and future operations.

Forward-looking statements often include words such as "anticipate," "believe," "estimate," "expect,"

Forward-looking statements often include words such as "anticipate," "believe," "estimate," "expect," "intend," "plan," "potential," "will," and similar expressions. However, the absence of these words does not mean a statement is not forward-looking. These results to differ materially from those expressed or implied. These risks include, but are not limited to: Risks related to market acceptance and growth opportunities. Potential changes in laws or regulations. Supply chain disruptions and increased costs. Dependence on key suppliers and customers. Risks related to our significant indebtedness and compliance with debt covenants. Litigation and regulatory risks. Economic factors such as inflation and interest rates. Challenges in retaining key personnel. Cybersecurity threats and IT infrastructure issues. Environmental, safety, and product liability concerns. Risks related to potential acquisitions. Changes in U.S. tax laws. We caution investors not to place undue reliance on these forward-looking statements, which are based on information available as of the date of this filing. We are not obligated to update these statements to reflect new information or future events, except as required by law. ii PART I Item 1. Business. Alliance is a leading global wholesaler/retailer of entertainment products consisting of music, movies, gaming, collectables, and a key player in the entertainment industry. Alliance boasts of a diverse portfolio of owned retail brands, including Critics ' Choice, Collectors ' Choice, Movies Unlimited, DeepDiscount, popmarket, blowitoutahere, Fulfillment Express, importCDs, GamerCandy, WowHD, and others. As a leading global wholesaler, direct-to-consumer ( " DTC " ) distributor, and e-commerce provider, Alliance operates as the vital link between renowned suppliers of music

Business

Business With more than thirty years of distribution experience, Alliance serves customers of every size, providing a suite of services to resellers and retailers worldwide. We believe that our efficient processing and essential seller tools noticeably reduce the costs associated with administrating multiple vendor relationships and streamline the overall purchasing experience. Alliance believes that it is a single source for all customer entertainment product needs. As a solutions-based operation, Alliance seeks to drive sales for their suppliers with broad product selection and cost-efficient processing. 1 Alliance's distribution business is built around three areas, where our marketplace value is created: Service, Selection and Technology. Service Alliance provides efficient, Omni-Channel expansion solutions for retailers, including: E-Commerce and Direct to Consumer (DTC) Alliance provides leading product and e-commerce distribution and inventory solutions. Alliance provides a full, enterprise-level infrastructure and whitelists dropships orders directly to consumers on behalf of its omni customers. The entire ordering, confirmation and invoicing process is automated. The functionality allows customers to focus on sales while Alliance performs all stocking, warehousing, and shipping functions. Vendor Managed Inventory Alliance is a leader in vendor managed inventory (VMI) solutions providing solutions tailored to customers to support their inventory needs. These value-add services provide a highly technical, critical business function for our partners using traiting of locations and min/max system of supply. Subsidiary Brands— We operate under the following subsidiaries which focus on the following product brand areas: Alliance—was a competitor to CD Listening Bar when CD Listening Bar acquired Alliance in 2013. Alliance primarily serviced Barnes &Noble and Best Buy, and hundreds of independent retailers. This reverse merger by which CD Lis

View Full Filing

View this 10-K filing on SEC EDGAR