Heritage Global Inc. Files Q2 2024 10-Q

TL;DR

**HGBL Q2 10-Q is IN! Check financials for specialty lending & asset management performance.**

AI Summary

Heritage Global Inc. filed its 10-Q for the period ending June 30, 2024. The filing details financial performance and operational updates for the second quarter. Key financial data and business segments, such as specialty lending and asset management, are presented. The company's address is 12625 High Bluff Drive, Suite 305, San Diego, CA 92130.

Why It Matters

This 10-Q filing provides investors with a detailed look at Heritage Global Inc.'s financial health and operational performance for the second quarter of 2024, influencing investment decisions.

Risk Assessment

Risk Level: medium — The filing is a standard quarterly report, but the nature of business segments like specialty lending can introduce inherent financial risks.

Key Numbers

• 2024-06-30 — Reporting Period End Date (Indicates the end of the fiscal quarter for which financial data is reported.)
• 2024-01-01 — Reporting Period Start Date (Indicates the beginning of the fiscal quarter for which financial data is reported.)

Key Players & Entities

• Heritage Global Inc. (company) — Filer of the 10-Q
• 20240630 (date) — End of the reporting period
• 12625 High Bluff Drive, Suite 305, San Diego, CA 92130 (address) — Company's business and mailing address
• Counsel RB Capital Inc. (company) — Former company name
• C2 Global Technologies Inc (company) — Former company name
• ACCERIS COMMUNICATIONS INC (company) — Former company name

FAQ

Key Financial Figures

• $0.01 — nge on which registered Common stock, $0.01 par value HGBL The Nasdaq Stock Market

Filing Documents

• hgbl-20240630.htm (10-Q) — 1948KB
• hgbl-ex10_1.htm (EX-10.1) — 90KB
• hgbl-ex31_1.htm (EX-31.1) — 13KB
• hgbl-ex31_2.htm (EX-31.2) — 13KB
• hgbl-ex32_1.htm (EX-32.1) — 5KB
• hgbl-ex32_2.htm (EX-32.2) — 5KB
• img162492327_0.jpg (GRAPHIC) — 569KB
• 0000950170-24-093848.txt ( ) — 8635KB
• hgbl-20240630.xsd (EX-101.SCH) — 1023KB
• hgbl-20240630_htm.xml (XML) — 1292KB

Financial Statements

Financial Statements 3 Condensed Consolidated Balance Sheets as of June 30, 2024 (unaudited) and December 31, 2023 3 Condensed Consolidated Statements of Income for the three and six month periods ended June 30, 2024 and 2023 (unaudited) 4 Condensed Consolidated Statements of Stockholders' Equity for the six months ended June 30, 2024 and 2023 (unaudited) 5 Condensed Consolidated Statements of Cash Flows for the six months ended June 30, 2024 and 2023 (unaudited) 6 Notes to Unaudited Condensed Consolidated Financial Statements 7 Item 2.

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

Management's Discussion and Analysis of Financial Condition and Results of Operations 22 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 33 Item 4.

Controls and Procedures

Controls and Procedures 33 Part II. Other Information Item 1.

Legal Proceedings

Legal Proceedings 34 Item 1A.

Risk Factors

Risk Factors 34 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 34 Item 3. Defaults Upon Senior Securities 34 Item 4. Mine Safety Disclosures 34 Item 5. Other Information 34 Item 6. Exhibits 35 Signature Page 36 2

– FINANC I AL INFORMATION

PART I – FINANC I AL INFORMATION

– Financ ial Statements

Item 1 – Financ ial Statements. HERITAGE GLOBAL INC. CONDENSED CONSOLIDA TED BALANCE SHEETS (In thousands of US dollars, except share and per share amounts) June 30, 2024 December 31, 2023 ASSETS (unaudited) Current assets: Cash and cash equivalents $ 24,583 $ 12,279 Accounts receivable (net of allowance for credit losses of $ 131 in 2024 and $ 132 in 2023) 1,049 1,910 Current portion of notes receivable (net of allowance for credit losses of $ 466 in 2024 and $ 650 in 2023) 5,065 6,581 Inventory – equipment 4,285 5,074 Other current assets 953 448 Total current assets 35,935 26,292 Non-current portion of notes receivable, net 8,533 10,890 Equity method investments 22,380 21,361 Right-of-use assets 2,214 2,539 Property and equipment, net 1,712 1,705 Intangible assets, net 3,558 3,753 Goodwill 7,446 7,446 Deferred tax assets 8,159 9,115 Other assets 64 67 Total assets $ 90,001 $ 83,168 LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Accounts payable and accrued liabilities $ 5,107 $ 7,237 Payables to sellers 10,381 4,975 Current portion of third party debt 1,797 1,733 Current portion of lease liabilities 740 789 Total current liabilities 18,025 14,734 Non-current portion of third party debt 4,579 5,495 Non-current portion of lease liabilities 1,584 1,859 Total liabilities 24,188 22,088 Stockholders' equity: Preferred stock, $ 10.00 par value, authorized 10,000,000 shares; issued and outstanding 563 of Series N as of June 30, 2024 and December 31, 2023; with liquidation preference over common stockholders equivalent to $ 1,000 per share 6 6 Common stock, $ 0.01 par value, authorized 300,000,000 shares; issued 37,341,185 and 37,157,616 shares as of June 30, 2024 and December 31, 2023, respectively; and outstanding 36,945,010 and 36,761,441 shares as of June 30, 2024 and December 31,

View Full Filing

View this 10-Q filing on SEC EDGAR