B. Riley Financial, Inc. Stock Price, News & Analysis

B. Riley Financial, Inc. (NASDAQ: RILY) is set to release its financial results for the third quarter ending September 30, 2022, after market close on November 3, 2022. The company will host an investor call at 4:30 p.m. ET to discuss these results, featuring Co-CEOs Bryant Riley and Tom Kelleher, along with CFO and COO Phillip Ahn. Investors can access the live broadcast and subsequent recording via the company’s investor relations website.

B. Riley Financial has acquired Targus, a leader in consumer and enterprise productivity products, for approximately $250 million. This transaction values Targus at about 5.2x Adjusted EBITDA based on its $415 million revenue for the trailing twelve months ending June 2022. The acquisition is financed through a mix of bank and seller financing, with significant capital allocated for shareholder dividends and repurchases. Targus's CEO, Mikel Williams, continues to lead the company, now as part of B. Riley's portfolio, enhancing the financial services firm's growth potential.

B. Riley Financial has announced the acquisition of a second portfolio of performing receivables from W.S. Badcock Corporation, part of Franchise Group. This purchase, valued at approximately $168 million, involves the acquisition of $198 million in receivables, financed through a $148 million senior secured term loan. The prior acquisition in December 2021 was valued at $535 million for around $400 million. The CEO stated that this investment enhances relationships and aims to generate strong returns for shareholders.

B. Riley Financial (NASDAQ: RILY) announced cash dividends for its preferred stock. The 6.875% Series A Preferred Stock will yield $0.42968750 per depositary share, while the 7.375% Series B Preferred Stock will provide $0.4609375 per depositary share. These dividends are set to be paid on or about October 31, 2022, to holders of record by the close of business on October 21, 2022. Each depositary share represents 1/1000th of a share with a liquidation preference of $25.00.

On October 4, 2022, GA Europe, part of B. Riley Financial (NASDAQ: RILY), announced its collaboration with CM Sports GmbH to revitalize RENO, a prominent German shoe chain. This partnership involves realigning RENO's store footprint and restocking inventory. RENO operates around 290 locations across Germany, Austria, and Switzerland. GA Europe has purchased inventory and other assets to facilitate a sale of existing stock, paving the way for new merchandise. CM Sports will manage RENO's operations and plans to re-open stores with fresh offerings soon.

B. Riley Wealth has welcomed Jay Murphy as a Senior Managing Director of Investments. Murphy, with over 40 years of experience, is tasked with serving high-net-worth clients. His hiring aligns with the firm's recent relocation to Boston's financial district at 10 Post Office Square. The firm manages over $25 billion in assets and boasts a team of around 500 financial advisors.

Murphy's prior experience includes positions at Deutsche Bank and Credit Suisse, enhancing B. Riley's expanding wealth management platform.

B. Riley Securities will host its 2nd Annual Crypto Conference on September 29, 2022 in New York. The event aims to connect institutional investors with leading companies in the digital asset space, including blockchain infrastructure and decentralized finance. Attendees will benefit from fireside chats and one-on-one meetings with executives from various firms. B. Riley is recognized as a major underwriter for crypto-related businesses, having raised hundreds of millions since 2021. This invitation-only event emphasizes the firm's commitment to serving stakeholders in the evolving crypto economy.

B. Riley Financial announced that its portfolio company, Lingo Management, has acquired BullsEye Telecom. This acquisition, part of B. Riley's strategy to enhance revenue diversification, follows Lingo's earlier increase of ownership interest to 80% in May 2022. BullsEye is recognized for its communications and cloud technology services, benefiting Lingo's existing solutions for small and medium-sized businesses. The financial terms of the transaction were not disclosed, but it is expected to generate recurring revenue and stabilize EBITDA for B. Riley.

B. Riley Financial reported Q2 2022 results with GAAP revenues of $42.7 million and operating revenues of $266.6 million. The company faced a net loss of ($142.2 million), resulting in a diluted EPS of ($5.07). Despite challenges, the firm declared a quarterly dividend of $1.00 per share. Operating adjusted EBITDA was $74.2 million, indicating resilience from non-cyclical segments. The investment portfolio has generated returns exceeding the Russell 2000 Index, showcasing potential growth in a volatile market.