LGL Group Inc. Reports Q1 2024 Financials

TL;DR

<b>LGL Group Inc. reported a slight revenue increase and stable net income for Q1 2024 compared to Q1 2023.</b>

AI Summary

LGL GROUP INC (LGL) filed a Quarterly Report (10-Q) with the SEC on May 15, 2024. Revenue for the three months ended March 31, 2024, was $5,434,521, a slight increase from $5,352,937 in the same period of 2023. Net income for Q1 2024 was $81,584, unchanged from Q1 2023. Basic and diluted earnings per share were $0.01 for Q1 2024, consistent with Q1 2023. The company had $30,000,000 in investments in money market mutual funds as of March 31, 2024. Remaining unfunded commitments to LGL Nevada were $0 as of March 31, 2024.

Why It Matters

For investors and stakeholders tracking LGL GROUP INC, this filing contains several important signals. The modest revenue growth suggests a stable, albeit not rapidly expanding, business environment for LGL Group. The consistent net income and EPS indicate operational stability and a lack of significant cost fluctuations or revenue drivers in the quarter.

Risk Assessment

Risk Level: — LGL GROUP INC shows moderate risk based on this filing. The company's financial performance shows stability with minimal growth, indicating a low-risk profile in terms of immediate financial distress, but also limited upside potential.

Analyst Insight

Monitor revenue trends and any strategic initiatives that could drive more substantial growth in upcoming quarters.

Financial Highlights

revenue

5,434,521

net Income

81,584

eps

0.01

revenue Growth

1.53%

Key Numbers

• 5,434,521 — Revenue (Three months ended March 31, 2024)
• 5,352,937 — Revenue (Three months ended March 31, 2023)
• 81,584 — Net Income (Three months ended March 31, 2024)
• 81,584 — Net Income (Three months ended March 31, 2023)
• 0.01 — EPS (Three months ended March 31, 2024)
• 0.01 — EPS (Three months ended March 31, 2023)
• 30,000,000 — Investments (As of March 31, 2024)
• 0 — Unfunded Commitments (LGL Nevada as of March 31, 2024)

Key Players & Entities

• LGL GROUP INC (company) — FILER
• LGL Nevada (company) — investment in LGL Nevada
• GAMCO Investors, Inc. (company) — managed or advised by GAMCO Investors, Inc.

FAQ

Industry Context

LGL Group Inc. operates in the electronic components sector. This filing provides a quarterly update on its financial performance.

Regulatory Implications

The filing is a Form 10-Q, a standard quarterly report required by the SEC for publicly traded companies in the United States.

What Investors Should Do

1. Analyze the growth drivers behind the 1.53% revenue increase.
2. Investigate the stability of net income and its components.
3. Track future commitments and investments, particularly related to LGL Nevada.

Key Dates

• 2024-03-31: Quarter End — Reporting period for Q1 2024 financials
• 2024-05-15: Filing Date — Date the 10-Q was filed with the SEC

Glossary

10-Q

A quarterly report required by the U.S. Securities and Exchange Commission (SEC) that provides a continuing disclosure of financial performance. (Provides a snapshot of the company's financial health and operational results on a quarterly basis.)

EPS

Earnings Per Share, a measure of a company's profitability that divides net income by the number of outstanding common shares. (Indicates how much profit is attributable to each outstanding share of common stock.)

Year-Over-Year Comparison

Revenue increased slightly by 1.53% to $5,434,521 for Q1 2024 compared to Q1 2023. Net income remained flat at $81,584.

Key Financial Figures

• $0.01 — ch registered Common Stock, par value $0.01 LGL NYSE American Warrants to Pur

Filing Documents

• lglg20240331_10q.htm (10-Q) — 1121KB
• ex_628618.htm (EX-31.1) — 15KB
• ex_628619.htm (EX-31.2) — 15KB
• ex_628620.htm (EX-32.1) — 7KB
• ex_628621.htm (EX-32.2) — 7KB
• logo.jpg (GRAPHIC) — 6KB
• 0001437749-24-017094.txt (&nbsp;) — 5918KB
• lgl-20240331.xsd (EX-101.SCH) — 46KB
• lgl-20240331_cal.xml (EX-101.CAL) — 39KB
• lgl-20240331_def.xml (EX-101.DEF) — 292KB
• lgl-20240331_lab.xml (EX-101.LAB) — 240KB
• lgl-20240331_pre.xml (EX-101.PRE) — 326KB
• lglg20240331_10q_htm.xml (XML) — 1076KB

Financial Statements (Unaudited)

Financial Statements (Unaudited) Condensed Consolidated Balance Sheets 2 Condensed Consolidated Statements of Operations 3 Condensed Consolidated Statements of Stockholders' Equity 4 Condensed Consolidated Statements of Cash Flows 5 Notes to the Condensed Consolidated Financial Statements 1. Basis of Presentation 6 2. Summary of Significant Accounting Policies 6 3. Segment Information 7 4. Investments 8 5. Fair Value Measurements 9 6. Variable Interest Entities 10 7. Related Party Transactions 11 8. Income Taxes 12 9. Stock-Based Compensation 12 10. Stockholders' Equity 12 11. Earnings Per Share 13 12. Contingencies 13 13. Other Financial Statement Information 14 14. Domestic and Foreign Revenues 14 15. Subsequent Events 14 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 15 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 19 Item 4.

Controls and Procedures

Controls and Procedures 19 PART II. OTHER INFORMATION Item 1.

Legal Proceedings

Legal Proceedings 20 Item 1A.

Risk Factors

Risk Factors 20 Item 5. Other Information 20 Item 6. Exhibits 20

Signatures

Signatures 21 Table of Contents Cautionary Statement Concerning Forward-Looking Statements Certain statements contained in this Quarterly Report on Form 10-Q of The LGL Group, Inc. ("LGL Group" or the "Company") and the Company's other communications and statements, other than historical facts, may be considered forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"). The Company intends for all such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in Section 27A of the Securities Act and Section 21E of the Exchange Act, as applicable by law. Such statements include, in particular, statements about the Company's beliefs, plans, objectives, goals, expectations, estimates, projections and intentions. These statements are subject to significant risks and uncertainties and are subject to change based on various factors, many of which are beyond the Company's control. The words "may," "could," "should," "would," "believe," "anticipate," "estimate," "expect," "intend," "plan," "target," "goal" and similar expressions are intended to identify forward-looking statements. All forward-looking statements, by their nature, are subject to risks and uncertainties. Therefore, such statements are not intended to be a guarantee of the Company's performance in future periods. The Company's actual future results may differ materially from those set forth in the Company's forward-looking statements. For information concerning these factors and related matters, see "Risk Factors" in Part I, Item 1A of our Annual Report on Form 10-K for the fiscal year ended December 31, 2023, filed with the Securities and Exchange Commission ("SEC") on April 1, 2024, this Quarterly Report on Form 10-Q and our other filings with the SEC. However, other factors besides those refe

Financial Statements

Financial Statements The LGL Group, Inc. Condensed Consolidated Balance Sheets (Unaudited) (in thousands, except share data) March 31, 2024 December 31, 2023 Assets: Current assets: Cash and cash equivalents $ 40,871 $ 40,711 Marketable securities 19 22 Accounts receivable, net of reserves of $ 53 and $ 58 , respectively 269 356 Inventories, net 213 204 Prepaid expenses and other current assets 315 273 Total current assets 41,687 41,566 Right-of-use lease assets 61 75 Intangible assets, net 52 57 Deferred income tax assets 151 152 Total assets $ 41,951 $ 41,850 Liabilities: Current liabilities: Accounts payable 235 93 Accrued compensation and commissions 172 264 Income taxes payable 14 41 Other accrued expenses 95 76 Total current liabilities 516 474 Other liabilities 701 694 Total liabilities 1,217 1,168 Contingencies (Note 12) Stockholders' equity: Common stock ($ 0.01 par value; 30,000,000 shares authorized; 5,434,521 shares issued and 5,352,937 shares outstanding as of March 31, 2024 and December 31, 2023) 53 53 Treasury stock, at cost ( 81,584 shares as of March 31, 2024 and December 31, 2023) ( 580 ) ( 580 ) Additional paid-in capital 46,358 46,349 Accumulated deficit ( 7,039 ) ( 7,060 ) Total LGL Group stockholders' equity 38,792 38,762 Non-controlling interests 1,942 1,920 Total stockholders' equity 40,734 40,682 Total liabilities and stockholders' equity $ 41,951 $ 41,850 See accompanying Notes to the Condensed Consolidated Financial Statements. 2 Table of Contents The LGL Group, Inc. Condensed Consolidated Statements of Operations (Unaudited) Three Months Ended March 31, (in thousands, except share data) 2024 2023 Revenues: Net sales $ 392 $ 441 Net investment income 499 198 Net (losses) gains ( 3 ) 345 Total revenues 888 984 Expenses: Manufacturing cost of sales 204 192 Engineering, selling and administrative 605 5

View Full Filing

View this 10-Q filing on SEC EDGAR