Latest news with #ShareRepurchase
Yahoo
17-05-2025
- Business
- Yahoo
SWK Holdings Corp (SWKH) Q1 2025 Earnings Call Highlights: Strong Financial Performance and ...
Finance Segment Adjusted Non-GAAP Net Income: $8.6 million for Q1 2025; trailing 12-month total of $26 million. New Financing: $15 million to an innovative life science company. Non-GAAP Tangible Financing Book Value Per Share: Grew to $21.73, achieving 10% year-over-year growth. Total Tangible Book Value Per Share: $22.11, pro forma for the May 2025 $4 per share special dividend. Share Repurchase: $1.1 million worth of shares repurchased year-to-date. Gross Finance Receivables Portfolio: $220 million of performing first lien loans and $13 million in non-accruals. Net Financial Receivables: $224 million, pro forma for the sale of the royalty portfolio. Gross Cash: Approximately $22 million as of March 30, 2025. Effective ARM Model Yield: 14.5%, with expected $32 million of annual interest income. Mod 3 CDMO Division Revenue: $1 billion for Q1 2025. Mod 3 CDMO Division Loss: $50,000 for Q1 2025. GAAP Pre-Tax Net Income: $5.8 million or $0.48 per diluted share for Q1 2025. Net Income: $4.5 million after income tax expense of $1.3 million for Q1 2025. GAAP Book Value Per Share: $23.94 as of March 31, 2025, a 6.8% increase from March 31, 2024. Overall Operating Expenses: $3.7 million for Q1 2025, compared to $10.3 million in Q1 2024. Finance Receivable Segment Operating Expenses: $2.2 million for Q1 2025, compared to $8.6 million in Q1 2024. Provision for Credit Losses: Gain of $1.5 million for Q1 2025. Share Repurchase Program: Approximately 52,000 shares repurchased at a total cost of $900,000 during the quarter. Warning! GuruFocus has detected 5 Warning Signs with SWKH. Release Date: May 16, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. SWK Holdings Corp (NASDAQ:SWKH) reported strong financial segment profitability for the first quarter of 2025. The company successfully monetized the majority of its royalty portfolio. SWK Holdings Corp (NASDAQ:SWKH) achieved a 10% year-over-year growth in Non-GAAP tangible financing book value per share. The company initiated a new $15 million financing to an innovative life science company. SWK Holdings Corp (NASDAQ:SWKH) repurchased $1.1 million of its shares, indicating confidence in its stock value. The finance receivable segment revenue decreased by $300,000 year-over-year due to partial paydowns and payoffs. The company has $13 million in non-accruals within its gross finance receivables portfolio. SWK Holdings Corp (NASDAQ:SWKH) reported a loss of $50,000 in its Mod 3 CDMO division for the first quarter. The market for high-quality borrowers remains competitive, posing challenges for maintaining a high-quality portfolio. The company faces ongoing risks from healthcare and general economic regulatory changes, although they are not currently seen as outsized risks. Q: Can you clarify the nature of the two loans that scored a number two on your credit rating? Are these loans or royalties? A: Those are both loans. We have three non-accruals that are post-reorganization royalties, where we are largely passive check collectors. The two loans are first lien term loans with full lien covenants. Q: Are you seeing increased competition in your lending space, particularly with private credit firms? A: Yes, the $10 to $25 million space remains competitive. We need to be proactive and creative with our proposals to maintain our position. We focus on loans that fit our underwriting criteria, even if they aren't immediately obvious opportunities. Q: How do you account for potential assets like warrants or CVR rights in your financials? A: We carry these at zero on our books, as their value is uncertain until realized. Some may not be worth anything, but others could be valuable. We also have some IP at Mod 3 that could potentially be monetized. Q: What is the best use of capital for SWK Holdings at this point? A: Buying back stock is a great use of capital, given our portfolio's value. We also consider special dividends and selective additional loans to maintain a stable and modestly growing portfolio. Q: How does the current pipeline of potential loans compare to previous quarters? A: The pipeline is roughly the same as the past year, with some modestly worse opportunities sequentially. While there was a brief period of increased interest, the market has stabilized, and smaller companies still face challenges in accessing capital. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Sign in to access your portfolio
Business Wire
15-05-2025
- Business
- Business Wire
Savers Value Village, Inc. Announces Pricing of Secondary Public Offering of Common Stock and Concurrent Share Repurchase
BELLEVUE, Wash.--(BUSINESS WIRE)--Savers Value Village, Inc. (the 'Company') (NYSE: SVV), the largest for-profit thrift operator in the United States ('U.S.') and Canada for value priced pre-owned clothing, accessories and household goods, today announced the pricing of the previously announced public offering (the 'Offering') of 15,000,000 shares of common stock, par value $0.000001, of the Company (the 'Common Stock') offered by certain Ares Management Private Equity and Opportunistic Credit funds and accounts (the 'Ares Selling Stockholders') and the chief executive officer of the Company (the 'Management Selling Stockholder' and, together with the Ares Selling Stockholders, the 'Selling Stockholders') at a price to the public of $9.25 per share. As part of the Offering, the underwriters will have a 30-day option to purchase up to an additional 2,250,000 shares of Common Stock from the Ares Selling Stockholders. The Offering is expected to close, subject to customary closing conditions, on May 16, 2025. In addition, the Company will purchase from the underwriters $20.0 million of the shares of Common Stock as part of the Offering, at a price per share equal to the price per share to be paid by the underwriters to the Selling Stockholders (the 'Concurrent Share Repurchase'). The Company intends to fund the Concurrent Share Repurchase from its existing cash on hand and it is not part of its existing share repurchase program authorized on November 9, 2023. The underwriters will not receive any compensation for the shares being repurchased by the Company. The Selling Stockholders are offering all of the shares of Common Stock being sold in the Offering, including any shares that may be sold in connection with the exercise of the underwriters' option to purchase additional shares, and will receive all of the net proceeds from the sales of shares of Common Stock being sold in the Offering. The Company is not selling any shares of its Common Stock in the Offering and will not receive any proceeds from the sale of the shares by the Selling Stockholders. J.P. Morgan, Jefferies, Goldman Sachs & Co. LLC and UBS Investment Bank are acting as the joint lead book-running managers and as representatives of the underwriters for the Offering. Baird, Piper Sandler and William Blair are also acting as book-running managers. KKR Capital Markets LLC and Loop Capital Markets are acting as co-managers for the Offering. The offering of these securities is being made only by means of a preliminary prospectus supplement, copies of which may be obtained by contacting J.P. Morgan Securities LLC, c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717, by telephone at (866) 803-9204 or by email at prospectuseq_fi@ Jefferies LLC, Attention: Equity Syndicate Prospectus Department, 520 Madison Avenue, New York, NY 10022, by telephone at (877) 821-7388 or by email at Prospectus_Department@ Goldman Sachs & Co. LLC, Prospectus Department, 200 West Street, New York, NY 10282, by telephone at (866) 471-2526, facsimile at (212) 902-9316 or by email at Prospectus-ny@ or UBS Securities LLC, Attention: Prospectus Department, 1285 Avenue of the Americas, New York, NY 10019 or by email at ol-prospectus-request@ A registration statement on Form S-3 relating to the Offering was declared effective by the Securities and Exchange Commission (the 'Commission') on May 14, 2025. A preliminary prospectus supplement relating to the Offering has also been filed with the Commission. This press release does not constitute an offer to sell or the solicitation of an offer to buy any securities, nor will there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction. Any offers, solicitations or offers to buy, or any sales of securities will be made in accordance with the registration requirements of the Securities Act of 1933, as amended. About the Savers® Value Village® family of thrift stores As the largest for-profit thrift operator in the U.S. and Canada for value priced pre-owned clothing, accessories and household goods, our mission is to champion reuse and inspire a future where secondhand is second nature. Forward-Looking Statements This press release contains forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as 'could,' 'may,' 'might,' 'will,' 'likely,' 'anticipates,' 'intends,' 'plans,' 'seeks,' 'believes,' 'estimates,' 'expects,' 'continues,' 'projects' or the negative of these terms or other comparable terminology. In particular, statements about future events and similar references to future periods, or by the inclusion of forecasts or projections, the outlook for the Company's future business, prospects, financial performance, including its fiscal 2025 outlook or financial guidance, and industry outlook are forward-looking statements. Forward-looking statements are based on the Company's current expectations and assumptions regarding its business, the economy and other future conditions. Because forward-looking statements relate to the future, by their nature, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. As a result, the Company's actual results may differ materially from those contemplated by the forward-looking statements. Important factors that could cause actual results to differ materially from those in the forward-looking statements include, but are not limited to: the impact on both the supply and demand for the Company's products caused by general economic conditions, such as the macroeconomic pressures in Canada and/or the U.S., and changes in consumer confidence and spending; the Company's ability to anticipate consumer demand and to source and process a sufficient quantity of quality secondhand items at attractive prices on a recurring basis; risks related to attracting new, and retaining existing customers, including by increasing acceptance of secondhand items among new and growing customer demographics; risks associated with its status as a 'brick and mortar' only retailer and its lack of operations in the growing online retail marketplace; its failure to open new profitable stores, or successfully enter new markets on a timely basis or at all; the risks associated with conducting business internationally, including challenges related to serving customers that are international manufacturers and suppliers, such as transportation and shipping challenges, regulatory risks in foreign jurisdictions (particularly in Canada, where the Company maintains extensive operations) and exchange rate risks, which the Company may not choose to fully hedge; the loss of, or disruption or interruption in the operations of, its centralized processing centers and other offsite processing locations; risks associated with litigation, the expense of defense, and the potential for adverse outcomes; its failure to properly hire and to retain key personnel and other qualified personnel or to manage labor costs; risks associated with the timely and effective deployment, protection, and defense of computer networks and other electronic systems, including e-mail; changes in government regulations, procedures and requirements; its ability to maintain an effective system of internal controls and produce timely and accurate financial statements or comply with applicable regulations; risks associated with heightened geopolitical instability due to the conflicts in the Middle East and Eastern Europe; outbreak of viruses or widespread illness, such as the COVID-19 pandemic, natural disasters or other highly disruptive events and regulatory responses thereto; and each of the other factors set forth under the heading 'Risk Factors' in its filings with the United States Securities and Exchange Commission. Any forward-looking statement made by us in this press release speaks only as of the date on which it is made. Factors or events that could cause the Company's actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. The Company is not under any obligation (and specifically disclaims any such obligation) to update or alter these forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
Yahoo
15-05-2025
- Business
- Yahoo
Savers Value Village, Inc. Announces Pricing of Secondary Public Offering of Common Stock and Concurrent Share Repurchase
BELLEVUE, Wash., May 15, 2025--(BUSINESS WIRE)--Savers Value Village, Inc. (the "Company") (NYSE: SVV), the largest for-profit thrift operator in the United States ("U.S.") and Canada for value priced pre-owned clothing, accessories and household goods, today announced the pricing of the previously announced public offering (the "Offering") of 15,000,000 shares of common stock, par value $0.000001, of the Company (the "Common Stock") offered by certain Ares Management Private Equity and Opportunistic Credit funds and accounts (the "Ares Selling Stockholders") and the chief executive officer of the Company (the "Management Selling Stockholder" and, together with the Ares Selling Stockholders, the "Selling Stockholders") at a price to the public of $9.25 per share. As part of the Offering, the underwriters will have a 30-day option to purchase up to an additional 2,250,000 shares of Common Stock from the Ares Selling Stockholders. The Offering is expected to close, subject to customary closing conditions, on May 16, 2025. In addition, the Company will purchase from the underwriters $20.0 million of the shares of Common Stock as part of the Offering, at a price per share equal to the price per share to be paid by the underwriters to the Selling Stockholders (the "Concurrent Share Repurchase"). The Company intends to fund the Concurrent Share Repurchase from its existing cash on hand and it is not part of its existing share repurchase program authorized on November 9, 2023. The underwriters will not receive any compensation for the shares being repurchased by the Company. The Selling Stockholders are offering all of the shares of Common Stock being sold in the Offering, including any shares that may be sold in connection with the exercise of the underwriters' option to purchase additional shares, and will receive all of the net proceeds from the sales of shares of Common Stock being sold in the Offering. The Company is not selling any shares of its Common Stock in the Offering and will not receive any proceeds from the sale of the shares by the Selling Stockholders. J.P. Morgan, Jefferies, Goldman Sachs & Co. LLC and UBS Investment Bank are acting as the joint lead book-running managers and as representatives of the underwriters for the Offering. Baird, Piper Sandler and William Blair are also acting as book-running managers. KKR Capital Markets LLC and Loop Capital Markets are acting as co-managers for the Offering. The offering of these securities is being made only by means of a preliminary prospectus supplement, copies of which may be obtained by contacting J.P. Morgan Securities LLC, c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717, by telephone at (866) 803-9204 or by email at prospectuseq_fi@ Jefferies LLC, Attention: Equity Syndicate Prospectus Department, 520 Madison Avenue, New York, NY 10022, by telephone at (877) 821-7388 or by email at Prospectus_Department@ Goldman Sachs & Co. LLC, Prospectus Department, 200 West Street, New York, NY 10282, by telephone at (866) 471-2526, facsimile at (212) 902-9316 or by email at Prospectus-ny@ or UBS Securities LLC, Attention: Prospectus Department, 1285 Avenue of the Americas, New York, NY 10019 or by email at ol-prospectus-request@ A registration statement on Form S-3 relating to the Offering was declared effective by the Securities and Exchange Commission (the "Commission") on May 14, 2025. A preliminary prospectus supplement relating to the Offering has also been filed with the Commission. This press release does not constitute an offer to sell or the solicitation of an offer to buy any securities, nor will there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction. Any offers, solicitations or offers to buy, or any sales of securities will be made in accordance with the registration requirements of the Securities Act of 1933, as amended. About the Savers® Value Village® family of thrift stores As the largest for-profit thrift operator in the U.S. and Canada for value priced pre-owned clothing, accessories and household goods, our mission is to champion reuse and inspire a future where secondhand is second nature. Forward-Looking Statements This press release contains forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as "could," "may," "might," "will," "likely," "anticipates," "intends," "plans," "seeks," "believes," "estimates," "expects," "continues," "projects" or the negative of these terms or other comparable terminology. In particular, statements about future events and similar references to future periods, or by the inclusion of forecasts or projections, the outlook for the Company's future business, prospects, financial performance, including its fiscal 2025 outlook or financial guidance, and industry outlook are forward-looking statements. Forward-looking statements are based on the Company's current expectations and assumptions regarding its business, the economy and other future conditions. Because forward-looking statements relate to the future, by their nature, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. As a result, the Company's actual results may differ materially from those contemplated by the forward-looking statements. Important factors that could cause actual results to differ materially from those in the forward-looking statements include, but are not limited to: the impact on both the supply and demand for the Company's products caused by general economic conditions, such as the macroeconomic pressures in Canada and/or the U.S., and changes in consumer confidence and spending; the Company's ability to anticipate consumer demand and to source and process a sufficient quantity of quality secondhand items at attractive prices on a recurring basis; risks related to attracting new, and retaining existing customers, including by increasing acceptance of secondhand items among new and growing customer demographics; risks associated with its status as a "brick and mortar" only retailer and its lack of operations in the growing online retail marketplace; its failure to open new profitable stores, or successfully enter new markets on a timely basis or at all; the risks associated with conducting business internationally, including challenges related to serving customers that are international manufacturers and suppliers, such as transportation and shipping challenges, regulatory risks in foreign jurisdictions (particularly in Canada, where the Company maintains extensive operations) and exchange rate risks, which the Company may not choose to fully hedge; the loss of, or disruption or interruption in the operations of, its centralized processing centers and other offsite processing locations; risks associated with litigation, the expense of defense, and the potential for adverse outcomes; its failure to properly hire and to retain key personnel and other qualified personnel or to manage labor costs; risks associated with the timely and effective deployment, protection, and defense of computer networks and other electronic systems, including e-mail; changes in government regulations, procedures and requirements; its ability to maintain an effective system of internal controls and produce timely and accurate financial statements or comply with applicable regulations; risks associated with heightened geopolitical instability due to the conflicts in the Middle East and Eastern Europe; outbreak of viruses or widespread illness, such as the COVID-19 pandemic, natural disasters or other highly disruptive events and regulatory responses thereto; and each of the other factors set forth under the heading "Risk Factors" in its filings with the United States Securities and Exchange Commission. Any forward-looking statement made by us in this press release speaks only as of the date on which it is made. Factors or events that could cause the Company's actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. The Company is not under any obligation (and specifically disclaims any such obligation) to update or alter these forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. View source version on Contacts Media Edelman Smithfield | 713.299.4115 | Savers@ Savers | 206.228.2261 | sgaugl@ Investors Ed Yrumaeyruma@
Yahoo
13-05-2025
- Business
- Yahoo
The Brink's Co (BCO) Q1 2025 Earnings Call Highlights: Strong Organic Growth Amid Currency ...
Organic Revenue Growth: 6% in Q1 2025. AMS and DRS Growth: Over 20% for the fourth consecutive quarter. Adjusted EBITDA: $215 million with a margin of 17.2%. Earnings Per Share (EPS): $1.62. Free Cash Flow Conversion: 40% on a trailing 12-month basis. Share Repurchases: 1.3 million shares at an average price of $87.62 per share. Dividend Increase: Third consecutive annual increase announced. North America Organic Growth: 2% with constant currency growth of 4%. Latin America Organic Growth: 7%, offset by currency devaluation. Europe Organic Revenue Growth: 5% in Q1 2025. Rest of World Organic Growth: 9% in Q1 2025. Operating Profit Margin: Up 40 basis points in Q1 2025. Interest Expense: $58 million, up $2 million year over year. Effective Tax Rate: 27.8% in Q1 2025. Leverage Ratio: 3.06 times, slightly above target range. Q2 Revenue Guidance: Between $1.25 billion and $1.3 billion. Q2 Adjusted EBITDA Guidance: Between $205 million and $225 million. Q2 EPS Guidance: Between $1.25 and $1.65. Warning! GuruFocus has detected 4 Warning Signs with BCO. Release Date: May 12, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. The Brink's Co (NYSE:BCO) reported a strong first quarter with total organic growth of 6%, reaching the top end of their guidance. ATM managed services and digital retail solutions (AMS DRS) grew over 20% for the fourth consecutive quarter, contributing to higher margin recurring revenue businesses. Record Q1 operating profits increased by 40 basis points, supported by productivity and favorable revenue mix. The company repurchased 1.3 million shares, representing about 3% of the outstanding shares at year-end 2024, and announced a third consecutive annual increase to their quarterly dividend. The Brink's Co (NYSE:BCO) affirmed their full-year framework, expecting mid-single-digit organic growth and 30 to 50 basis points of EBITDA margin expansion. Currency headwinds, particularly from the Mexican peso and Argentine peso, negatively impacted revenue by $66 million or 5% in the period. Adjusted EBITDA margins were down 50 basis points from the prior year, affected by regional revenue mix and less interest income from Argentina. The Latin America segment experienced a 7% organic growth, but this was offset by a 16% FX drag, primarily due to currency devaluation. Interest income from Argentina is expected to continue to decelerate, impacting margins negatively throughout the year. The company faces challenges in maintaining margins in the first half due to FX impacts, restructuring costs, and reduced interest income. Q: Can you talk about your tariff exposure, specifically regarding hardware imports and the average effective tariff rate assumed in your guidance? A: Mark Eubanks, CEO: We don't expect any direct exposure from tariffs as most of our costs and revenues are in the same currency, and we don't import/export much of our services. Our global services business had some activity due to concerns about precious metals, but those commodities were exempted from tariffs. We manage costs with productivity and maintain pricing discipline. Q: In Latin America, organic growth was 7% with a negative 16% FX drag. Can you discuss pricing trends and if you can offset currency devaluations with pricing? A: Mark Eubanks, CEO: We maintain pricing in hyperinflationary markets like Argentina. The FX impact is mainly from the Mexican peso, which devalued last year. We expect FX headwinds to moderate in the second half of the year. Q: Your Q2 margin guidance is down year-over-year. Can you explain the factors affecting margins and how you plan to achieve full-year margin expansion? A: Kurt McMaken, CFO: The first half margin impact is due to FX, particularly the Mexican peso, Argentina interest income, and restructuring costs. In the second half, FX impacts will moderate, and we expect organic growth and seasonal ramp-up to improve margins. Q: How much of a headwind do you expect from reduced interest income from Argentina for the full year? A: Kurt McMaken, CFO: It's significant, running about $4-5 million per quarter. This depends on in-country developments, but that's our current estimate. Q: Why do you expect your AMS and DRS business to be more resilient to macroeconomic softness compared to traditional CIT business? A: Mark Eubanks, CEO: The white space for AMS and DRS is much larger, providing growth opportunities even in a down economy. These businesses have subscription-based service agreements, offering more consistent revenues compared to the volume-based traditional CIT business. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
