Tue, May 14, 8:11 PM (73 days ago)
HG Holdings, Inc. reported its financial results for the quarter ended March 31, 2024. Key highlights include: 1. **Revenue Growth**: Total revenue increased to $2.7 million from $1.9 million year-over-year, driven by higher net title premiums and management advisory services. 2. **Cost Management**: Cost of revenues decreased to $118,000 from $206,000, reflecting lower underwriting expenses and title claim provisions. 3. **Operating Expenses**: Operating expenses rose to $3.1 million from $2.8 million, primarily due to increased personnel costs. 4. **Net Income**: The company reported a net income attributable to shareholders of $20,000, compared to a net loss of $799,000 in the prior year. 5. **Cash Flow**: Net cash provided by operating activities was $4.7 million, primarily due to increased escrow liabilities. Cash and cash equivalents totaled $10.3 million, with an additional $12.1 million in restricted cash. 6. **Investment Income**: Net investment income increased to $423,000 from $356,000, bolstered by dividends from HC Realty’s Series B Preferred Stock. Overall, HG Holdings showed improved financial health with increased revenues and better cost management, though operating expenses saw a slight uptick. The company remains well-positioned with sufficient liquidity to support its operations.