10-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-K

(Mark One)

☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the fiscal year ended April 30, 2020

or

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from _____________________________________ to __________________________________

Commission file number: 0-11306

VALUE LINE, INC.

(Exact name of registrant as specified in its charter)

New York	13-3139843
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)
551 Fifth Avenue, New York, New York	10176-0001
(Address of principal executive offices)	(Zip Code)

Registrant's telephone number, including area code (212) 907-1500

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading symbol	Name of each Exchange on which registered
Common stock, $0.10 par value per share	VALU	The Nasdaq Capital Market

Securities registered pursuant to Section 12 (g) of the Act: None

Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act.     ☐ Yes ☒ No

Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Act.  ☐ Yes ☒ No

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15 (d) of the

Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.                                ☒ Yes ☐ No

         Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).            ☒ Yes ☐ No

       Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulations S-K (§229.405 of this chapter) is not contained herein, and will not be contained, to the best of registrant’s knowledge, in definitive proxy or information statements incorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K.                             ☒

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See definition of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act. (Check one):

Large accelerated filer ☐ Accelerated filer ☐ Non-accelerated filer ☒ Smaller reporting company ☐ Emerging growth company ☐

If an emerging growth company, indicate by check mark whether the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

☐ Yes ☐ No

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). ☐ Yes ☒ No

The aggregate market value of the registrant's voting and non-voting common stock held by non-affiliates at October 31, 2019 was $20,499,767.

There were 9,616,721 shares of the registrant’s Common Stock outstanding at June 30, 2020.

DOCUMENTS INCORPORATED BY REFERENCE

Portions of the registrant’s Proxy Statement relating to the registrant’s 2020 Annual Meeting of Shareholders, to be held on

October 9, 2020, are incorporated by reference into Part III of this Annual Report on Form 10-K where indicated.

TABLE OF CONTENTS

PART I
Item 1	Business	5
Item 1A	Risk Factors	15
Item 1B	Unresolved Staff Comments	18
Item 2	Properties	18
Item 3	Legal Proceedings	19
Item 4	Mine Safety Disclosures	19
PART II
Item 5	Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities	19
Item 6	Selected Financial Data	21
Item 7	Management’s Discussion and Analysis of Financial Condition and Results of Operations	22
Item 7A	Quantitative and Qualitative Disclosures About Market Risk	39
Item 8	Financial Statements and Supplementary Data	41
Item 9	Changes in and Disagreements with Accountants on Accounting and Financial Disclosure	43
Item 9A	Controls and Procedures	43
Item 9B	Other Information	44
PART III
Item 10	Directors, Executive Officers, and Corporate Governance	45
Item 11	Executive Compensation	46
Item 12	Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters	47
Item 13	Certain Relationships and Related Transactions and Director Independence	47
Item 14	Principal Accounting Fees and Services	48
PART IV
Item 15	Exhibits and Financial Statement Schedules	49

Value Line, the Value Line logo, The Most Trusted Name In Investment Research, “Smart research. Smarter investing”, The Value Line Investment Survey, Value Line Select, Timeliness and Safety are trademarks or registered trademarks of Value Line Inc. and/or its affiliates in the United States and other countries. All other trademarks are the property of their respective owners.

Cautionary Statement Regarding Forward-Looking Information

This report contains statements that are predictive in nature, depend upon or refer to future events or conditions (including certain projections and business trends) accompanied by such phrases as “believe”, “estimate”, “expect”, “anticipate”, “will”, “intend” and other similar or negative expressions, that are “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995, as amended. Actual results for Value Line, Inc. (“Value Line” or “the Company”) may differ materially from those projected as a result of certain risks and uncertainties, including but not limited to the following:

● maintaining revenue from subscriptions for the Company’s digital and print published products;

● changes in market and economic conditions, including global financial issues;

● protecting intellectual property rights;

● dependence on non-voting revenues and non-voting profits interests in EULAV Asset Management, a Delaware statutory trust (“EAM” or “EAM Trust”), which serves as the investment advisor to the Value Line Funds and engages in related distribution, marketing and administrative services;

● fluctuations in EAM’s and third party copyright assets under management due to broadly based changes in the values of equity and debt securities, redemptions by investors and other factors;

● possible changes in the valuation of EAM’s intangible assets from time to time;

● generating future revenues or collection of receivables from significant customers;

● dependence on key personnel;

● competition in the fields of publishing, copyright and investment management, along with associated effects on the level and structure of prices and fees, and the mix of services delivered;

● the impact of government regulation on the Company’s and EAM’s businesses;

● availability of free or low cost investment data through discount brokers or generally over the internet;

● terrorist attacks, cyber attacks and natural disasters;

● the coronavirus pandemic, which has drastically affected markets, employment, and other economic conditions, and may have additional unpredictable impacts on employees, suppliers, customers, and operations;

● other possible epidemics;

● changes in prices of materials and other inputs required by the Company;

● other risks and uncertainties, including but not limited to the risks described in Item 1A, “Risk Factors” herein; and other risks and uncertainties arising from time to time.

These factors are not necessarily all of the important factors that could cause actual results to differ materially from those expressed in any of our forward-looking statements. Other unknown or unpredictable factors which may involve external factors over which we may have no control or changes in our plans, strategies, objectives, expectations or intentions, which may happen at any time at our discretion, could also have material adverse effects on future results. Except as otherwise required to be disclosed in periodic reports required to be filed by public companies with the SEC pursuant to the SEC's rules, we have no duty to update these statements, and we undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. In light of these risks and uncertainties, current plans, anticipated actions, and future financial conditions and results may differ from those expressed in any forward-looking information contained herein.

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Explanatory Notes

References in this Annual Report on Form 10-K for the fiscal year ending April 30, 2020, to “the Company”, “Value Line”, “we”, “us” and “our” refer to Value Line, Inc. and its consolidated subsidiaries, unless the context otherwise requires. In addition, unless the context otherwise requires, references to:

“fiscal 2020” are to the twelve month period from May 1, 2019 to April 30, 2020;

“fiscal 2019” are to the twelve month period from May 1, 2018 to April 30, 2019;

“fiscal 2018” are to the twelve month period from May 1, 2017 to April 30, 2018;

the “Adviser” or “EAM” are to EULAV Asset Management Trust, a Delaware business statutory trust;

the “Distributor” or “ES” are to EULAV Securities LLC, a Delaware limited liability company wholly

owned by EAM;

“EAM LLC” are to EULAV Asset Management LLC, a Delaware limited liability company and wholly-owned former subsidiary of the Company, which prior to the Restructuring Date, was the adviser to the Value Line Funds;

“ESI” are to EULAV Securities, Inc., a New York corporation and wholly-owned subsidiary of the Company which, prior to the Restructuring Date was the distributor of the Value Line Funds;

the “EAM Declaration of Trust” are to the EAM Declaration of Trust dated December 23, 2010;

the “Restructuring Date” are to December 23, 2010, the effective date of the Restructuring Transaction;

the “Restructuring Transaction” are to the restructuring of the Company’s asset management and mutual fund distribution businesses whereby (1) ESI was restructured into ES, (2) the Company transferred 100% of its ownership interest in ES to EAM LLC, (3) EAM LLC was converted into EAM and (4) the capital structure of EAM was established so that the Company owns only non-voting revenue and non-voting profits interests of EAM, and each of five individuals owns 20% of the voting profits interests of EAM; and

the “Value Line Funds” or the “Funds” are to the Value Line Mutual Funds registered under the Investment Company Act of 1940 for which EAM serves (and, prior to the Restructuring Date, EAM LLC served) as investment adviser.

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Part I

Item 1. BUSINESS.

Value Line, Inc. is a New York corporation headquartered in New York City and formed in 1982. The Company's core business is producing investment periodicals and their underlying research and making available certain Value Line copyrights, Value Line trademarks and Value Line Proprietary Ranking System results and other proprietary information, to third parties under written agreements for use in third-party managed and marketed investment products and for other purposes. Value Line markets under well-known brands including Value Line®, the Value Line logo®, The Value Line Investment Survey®, Smart Research, Smarter Investing™ and The Most Trusted Name in Investment Research®. The name "Value Line" as used to describe the Company, its products, and its subsidiaries, is a registered trademark of the Company. Prior to December 23, 2010, (see “Asset Management and Mutual Fund Distribution Businesses” below), the Company provided investment management services to the Value Line Mutual Funds ("Value Line Funds"), institutional and individual accounts and provided distribution, marketing, and administrative services to the Value Line Funds. Since December 23, 2010, EULAV Asset Management Trust (“EAM”) provides the investment management services to the Value Line Funds accounts and provides distribution, marketing, and administrative services to the Value Line Funds. Value Line holds substantial non-voting revenues and non-voting profits interests in EAM.

The Company is the successor to substantially all of the operations of Arnold Bernhard & Co, Inc. ("AB&Co."). AB&Co. is the controlling shareholder of the Company and, as of April 30, 2020, owns 89.78% of the outstanding shares of the common stock of the Company.

A. Investment Related Periodicals & Publications

The investment periodicals and related publications offered by Value Line Publishing LLC (“VLP”), a wholly-owned entity of the Company, cover a broad spectrum of investments including stocks, mutual funds, ETFs and options. The Company’s periodicals and related publications and services are marketed to individual and professional investors, as well as to institutions including municipal and university libraries and investment firms.

 The services generally fall into four categories:

● Comprehensive reference periodical publications

● Targeted, niche periodical newsletters

● Investment analysis software

● Current and historical financial databases

The comprehensive research services (The Value Line Investment Survey, The Value Line Investment Survey - Small and Mid-Cap, The Value Line 600, and The Value Line Fund Advisor Plus) provide both statistical and text coverage of a large number of investment securities, with an emphasis placed on Value Line’s proprietary research, analysis and statistical ranks. The Value Line Investment Survey is the Company’s flagship service, published each week in print and daily on the web, and covering approximately 1,700 stocks.        

The niche newsletters (Value Line Select®, Value Line Select: Dividend Income & Growth, Value Line Select: ETFs, and The Value Line Special Situations Service®) provide information on a less comprehensive basis for securities that the Company believes will be of particular interest to subscribers. These services also make use of Value Line’s proprietary statistical ranks and ratings. Value Line Select® is a targeted service with an emphasis on Value Line’s proprietary in-depth research analysis and statistical selections, highlighting a monthly stock with strong return potential and reasonable risk.  Value Line Select: Dividend Income & Growth represents Value Line's targeted coverage of dividend paying stocks with good growth potential. Value Line Select: ETFs recommends a new ETF for purchase each month. The Value Line Special Situations Service provides in-depth research analysis on selected small and mid-cap stocks.

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Value Line offers digital versions of most of its products through the Company’s website, www.valueline.com. Subscribers to the print versions have, in some cases, received free access to the corresponding digital versions, although digital subscribers do not receive a free print edition. The most comprehensive of the Company’s online platforms is The Value Line Research Center, which allows subscribers to access most of the Company’s research and publications at a packaged price via the Internet.

Investment analysis software (The Value Line Investment Analyzer) includes data sorting and filtering tools. In addition, for institutional and professional subscribers, VLP offers current and historical financial databases (DataFile, Estimates & Projections, and Mutual Funds) via the Internet. 

The print and digital services include, but are not limited to the following:

The Value Line Investment Survey

The Value Line Investment Survey is an investment periodical research service providing both timely articles on economic, financial and investment matters and analysis and ranks for equity securities. Two of the evaluations for covered equity securities are "Timeliness™" and "Safety™”. “Timeliness” Ranks relate to the probable relative price performance of one stock over the next six to twelve months, as compared to the rest of the approximately 1,700 stocks covered. Ranks are updated each week and range from Rank 1 for the expected best performing stocks to Rank 5 for the expected poorest performers. "Safety" Ranks are a measure of risk and are based on the issuer's relative Financial Strength and its stock's Price Stability. "Safety" ranges from Rank 1 for the least risky stocks to Rank 5 for the riskiest. VLP employs analysts and statisticians who prepare articles of interest for each periodical and who evaluate stock performance and provide future earnings estimates and quarterly written evaluations with more frequent updates when relevant. The Value Line Investment Survey is comprised of three parts: The "Summary & Index" provides updated Timeliness and Safety Ranks, selected financial data, and "screens" of key financial measures; the "Ratings & Reports" section contains updated reports on about 130 stocks each week; and the “Selection & Opinion” section provides economic commentary and data, general interest articles, and four model portfolios managed by analysts covering a range of investment approaches.

The Value Line Investment Survey - Small and Mid-Cap

The Value Line Investment Survey - Small and Mid-Cap is an investment research product introduced in 1995 that provides short descriptions of and extensive data for approximately 1,700 small and medium-capitalization stocks, many listed on The NASDAQ Exchange, beyond the approximately 1,700 equity securities of generally larger-capitalization companies covered in The Value Line Investment Survey. Like The Value Line Investment Survey, the Small and Mid-Cap has its own "Summary & Index" providing updated performance ranks and other data, as well as "screens" of key financial measures and two model portfolios. The "Ratings and Reports" section, providing updated reports on around 130 equity securities each week, has been organized to correspond closely to the industries reviewed in The Value Line Investment Survey. One unique feature of the Small and Mid-Cap is The Performance Ranking System, which incorporates many of the elements of the Value Line Timeliness Ranking System, modified to accommodate the approximately 1,700 equity securities in the Small and Mid-Cap Survey. The Performance Rank is based on earnings growth and price momentum, and is designed to predict relative price performance over the next six to twelve months. The principal differences between the Small and Mid-Cap Survey and The Value Line Investment Survey are that the Small and Mid-Cap Survey does not include Value Line’s Timeliness Ranks, financial forecasts, analyst commentary, or a Selection & Opinion section. These modifications allow VLP to offer this service at a lower price.

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The Value Line Fund Advisor Plus

The Value Line Mutual Fund Ranking System was introduced in 1993. It is the system utilized in the Fund Advisor Plus product, a 48-page newsletter featuring load, no-load, and low-load open-end mutual funds. Each issue offers strategies for maximizing total return, and highlights of specific mutual funds. It also includes information about retirement planning and industry news. A full statistical review, including latest performance, ranks, and sector weightings, is updated each month on approximately 800 leading load, no-load and low-load funds. Included with this product is online access to Value Line’s database of approximately 20,000 mutual funds, including screening tools and full-page printable reports on each fund.

The Fund Advisor was discontinued in June 2018 and replaced by The Value Line Fund Advisor Plus, which contains data on approximately 20,000 no-load and low-load funds and a new digital screener. The new screener offers additional fields (about a dozen more) and functionality (e.g. export).

The Value Line Special Situations Service

The Value Line Special Situations Service’s core focus is on smaller companies whose equity securities are perceived by Value Line’s analysts as having exceptional appreciation potential. This publication was introduced in 1951. A second portfolio of stocks for more conservative investors seeking small company exposure was added in 2009.

The Value Line Options Survey

The Value Line Options Survey is a daily digital service that evaluates and ranks approximately 500,000 U.S. equity and equity index options. Features include an interactive database, spreadsheet tools, and a weekly email newsletter. This product is only offered as an online subscription due to the volatility in the pricing of options.

Value Line Select

Value Line Select is a monthly stock selection service and was first published in 1998. It focuses each month on a single company that the Value Line Research Department has selected from a group of high-quality companies whose stocks are viewed as having a superior risk/reward ratio. Recommendations are backed by in-depth research and are subject to ongoing monitoring by research personnel.

Value Line Select: Dividend Income & Growth

Value Line Select: Dividend Income & Growth (formerly Value Line Dividend Select), a monthly stock selection service, was introduced in June 2011. This product focuses on companies with dividend yields greater than the average of all stocks covered by Value Line, with a preference for companies that have consistently increased their dividends above the rate of inflation over the longer term and, based on Value Line analysis, have the financial strength both to support and increase dividend payments in the future. Value Line Select: Dividend Income and Growth is available online and in print.

Value Line Select: ETFs

In May 2017, we launched Value Line Select: ETFs, a monthly ETF selection service. This product focuses on ETFs that appear poised to outperform the broader market. The selection process utilizes an industry approach, with the same data-focused analysis that is the hallmark of Value Line.

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The New Value Line ETFs Service

In September 2019, we introduced The New Value Line ETFs Service. This online-only product provides data, analysis, and screening capabilities on more than 2,700 publicly traded ETFs. Almost all of the ETFs tracked in the product are ranked by The Value Line ETF Ranking System, a proprietary estimate with the goal of predicting an ETF’s future performance relative to all other ranked ETFs. The screener includes more than 30 fields, and each ETF has its own full PDF report. All data and information can be downloaded, exported, and printed.

The Value Line 600

The Value Line 600 is a monthly publication, which contains full-page research reports on approximately 600 equity securities. Its reports provide information on many actively traded, larger capitalization issues as well as some smaller growth stocks. As a lower priced service, it offers investors who want the same type of analysis provided in The Value Line Investment Survey, but who do not want or need coverage of the approximately 1,700 companies covered by that product a suitable alternative. Readers also receive supplemental reports as well as a monthly Index, which includes updated statistics, including proprietary ranks and ratings. A model portfolio, delivered via a weekly email newsletter, was added to this service in January 2015.

Value Line Information You Should Know Wealth Newsletter

This is a monthly service that started with January 2020. It is a general interest publication focusing on useful and actionable investing and financial information. It is a succinct 4 page newsletter covering topics such as. “How Can I Avoid Probate? And Should I?”, “How to Handle Your Investments in a Bear Market”.  It is available as a print product or as a PDF delivered via email.  The newsletter is marketed via a variety of channels including as an add-on in select direct mail campaigns and email.

 Value Line Investment Analyzer

Value Line Investment Analyzer is a powerful menu-driven software program with fast filtering, ranking, reporting and graphing capabilities utilizing more than 230 data fields for various industries and indices and for the approximately 1,700 stocks covered in VLP’s flagship publication, The Value Line Investment Survey. Value Line Investment Analyzer allows subscribers to apply numerous charting and graphing variables for comparative research.  In addition to containing digital replicas of the entire Value Line Investment Survey, the Value Line Investment Analyzer includes 20-minute delayed data updates through its integration with the Value Line databases via the Internet. Value Line Investment Analyzer Professional is a more comprehensive product which covers some 5,500 stocks and allows subscribers to create both standardized and customized screens.

Value Line DataFile Products

              For our institutional customers, Value Line offers both current and historical data for equities, mutual funds and exchange traded funds (“ETFs”). Value Line DataFile products are offered via FTP. Below is a listing of the DataFile products: 

Fundamental DataFile I and II

Value Line’s Fundamental DataFile I contains fundamental data (both current and historical) on more than 5,500 publicly traded companies that follow U.S. generally accepted accounting principles (“GAAP”). This data product provides annual data from 1955, quarterly data from 1963, and full quarterly data as reported to the SEC from 1985. Value Line also offers historical data on over 9,500 companies that no longer exist in nearly 100 industries via our “Dead Company” File. The Fundamental DataFile has over 400 annual and over 80 quarterly fields for each of the companies included in the database. DataFile is sold primarily to the institutional and academic markets. Value Line also offers a scaled down DataFile product, Fundamental DataFile II, which includes a limited set of historical fundamental data.

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Estimates and Projections DataFile

This DataFile offering contains the proprietary estimates and projections from Value Line analysts on approximately 1,700 companies. Data includes earnings, sales, cash flow, book value, margin, and other popular fields. Estimates are for the current year and next year, while projections encompass the three to five year period.

Mutual Fund DataFile

The Value Line Mutual Fund DataFile covers approximately 20,000 mutual funds with up to 20 years of historical data with more than 200 data fields.  The Mutual Fund DataFile provides monthly pricing, basic fund information, weekly performance data, sector weights, and many other important mutual fund data fields. This file is updated monthly and delivered via FTP.

Value Line Research Center

The Value Line Research Center provides on-line access to select Company investment research services covering stocks, mutual funds, options and special situations stocks.  This service includes full digital subscriptions to The Value Line Investment Survey, The Value Line Fund Advisor Plus, The Value Line Daily Options Survey, The Value Line Investment Survey - Small and Mid-Cap, The New Value Line ETFs Service and The Value Line Special Situations Service.  Users can screen more than 250 data fields, create graphs using multiple different variables, and access technical history.  The Value Line Research Center has the ability to track model portfolios (large, small and mid-cap) as well as providing ranks and news. 

Digital Services

The Value Line Investment Survey - Smart Investor offers digital access to full page reports, analyst commentary and Value Line proprietary ranks on approximately 1,700 stocks. Online tools include a screener, alerts, watch-lists and charting. Print capabilities are included.

The Value Line Investment Survey - Savvy Investor offers digital access to full page reports and Value Line proprietary ranks on approximately 3,400 stocks. Online tools include a screener, alerts, watch-lists and charting. Print capabilities are included.

The Value Line Investment Survey - Small Cap Investor offers digital access to full page reports and Value Line proprietary ranks on approximately 1,700 stocks. One year of history is included. Online tools include a screener, alerts, watch-lists and charting. Print capabilities are included.

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The Value Line Investment Survey - Investor 600, equivalent to The Value Line 600 print, offers digital access to full page reports, analyst commentary and Value Line proprietary ranks on approximately 600 selected stocks covering the same variety of industries as The Value Line Investment Survey. Online tools include a screener, alerts, watch-lists and charting. Print capabilities are included.

Value Line Pro Premium digital service includes The Value Line Investment Survey® and The Value Line Investment Survey® — Small & Mid-Cap and covers 3,400 stocks. This equity package monitors companies with market values ranging from $100 million to well over $500 billion, across nearly 100 industries, representing 95% of daily U.S. trading volume. There are over 250 data fields that can be screened to help make informed decisions. Features of the service include three years of historical reports and data, customizable modules, alerts and screening.

Value Line Pro Basic digital service covers the 1,700 stocks included in The Value Line Investment Survey®, drawn from 100 industries, representing 90% of total U.S. trading volume. There are over 200 data fields that can be screened to help make informed decisions. Features of the service include three years of historical reports and data, customizable modules, alerts and screening.

Value Line Pro Elite digital service includes The Value Line Investment Survey®  and The Value Line Investment Survey® — Small & Mid-Cap. Pro Elite service package aimed at professional industry includes digital access to full page reports and Value Line proprietary ranks on approximately 3,400 stocks.  In addition, our database of mostly microcap firms adds more than 2,000 additional names. Five years’ history is included. Online tools include a screener, alerts, watch-lists and charting.  Downloading and print capabilities are included. 

The Value Line Investment Survey – Library Basic covers the 1,700 stocks included in The Value Line Investment Survey, drawn from nearly 100 industries, and representing 90% of total U.S. daily trading volume. There are over 200 data fields that can be applied to help you make more informed decisions. Value Line has led its subscribers towards financial success by satisfying the demand for actionable insights and tools to manage equity investments.

The Value Line Investment Survey – Library Elite offers libraries digital access to full reports, analyst commentary and Value Line proprietary ranks on approximately 3,400 stocks, along with one year of fully-detailed history. Online tools include a screener, and charting. Print capabilities are included.

The Value Line Pro Equity Research Center is an equities-only package that includes access to exclusive premium services and provides online access to all of Value Line’s equity products. This service offered both to financial advisers and high-net-worth individuals, includes full online subscriptions to The Value Line Investment Survey, The Value Line Investment Survey – Small & Mid-Cap, Value Line Select, Value Line Select: Dividend Income and Growth, and The Value Line Special Situations Service. Users can screen more than 250 data fields, create graphs using multiple different variables, and access technical history.  The Value Line Pro Equity Research Center has the ability to track model portfolios (large, small and mid-cap) as well as providing ranks and news.

All the digital services have Charting features, including many options to chart against popular indexes with the ability to save settings and print. Products offer an Alerts Hub which allows the user to set up alerts for up to 25 companies, with delivery via text or email.

B. Copyright Fees Programs

The Company’s available copyrights services, which include certain proprietary Ranking System results and other proprietary information are made available for use in third party products, such as unit investment trusts, variable annuities, managed accounts and exchange traded funds.  The sponsors of these products act as wholesalers and distribute the products generally by syndicating them through an extensive network of national and regional brokerage firms.  The sponsors of these products will typically receive Proprietary Ranking System results, which may include Value Line Timeliness, Safety, Technical and Performance ranks, as screens for their portfolios.  The sponsors are also given permission to associate Value Line’s trademarks with the products.  Value Line collects a copyright fee from each of the product sponsors/managers primarily based upon the market value of assets invested in each product’s portfolio utilizing the Value Line proprietary data.  Since these fees are based on the market value of the respective portfolios using the Value Line proprietary data, the payments to Value Line, which are typically received on a quarterly basis, will fluctuate.

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Value Line’s primary copyright products are structured as ETFs and Unit Investment Trusts, all of which have in common some degree of reliance on the Value Line Ranking System for their portfolio creation. These products are offered and distributed by independent sponsors.

C. Investment Management Services

The Company completed a restructuring of its asset management and mutual fund distribution businesses (the “Restructuring Transaction”) on December 23, 2010 (the “Restructuring Date”) and executed the EAM Declaration of Trust (the “EAM Declaration of Trust”). Pursuant to the EAM Declaration of Trust, the Company received an interest in certain revenues of EAM and a portion of the residual profits of EAM but has no voting authority with respect to the election or removal of the trustees of EAM.

The business of EAM is managed by five individual trustees and a Delaware resident trustee (collectively, the “Trustees”) and by its officers subject to the direction of the Trustees.

Collectively, the holders of the voting profits interests in EAM are entitled to receive 50% of the residual profits of the business, subject to temporary adjustments in certain circumstances. Value Line holds a non-voting profits interest representing 50% of residual profits, subject to temporary adjustments in certain circumstances, and has no power to vote for the election, removal or replacement of the trustees of EAM. Value Line also has a non-voting revenues interest in EAM pursuant to which it is entitled to receive a portion of the non-distribution revenues of the business ranging from 41% at non-distribution fee revenue levels of $9 million or less to 55% at such revenue levels of $35 million or more. In the event the business is sold or liquidated, the first $56.1 million of net proceeds (the value of the business at the time the Restructuring Transaction was approved as determined by the directors of Value Line after reviewing a valuation report by the directors’ financial advisors) plus any additional capital contributions (Value Line or any holder of a voting profits interest, at its discretion, may make future contributions to its capital account in EAM), which contributions would increase its capital account but not its percentage interest in operating profits, will be distributed in accordance with capital accounts; 20% of the next $56.1 million will be distributed to the holders of the voting profits interests and 80% to the holder of the non-voting profits interests (currently, Value Line); and the excess will be distributed 45% to the holders of the voting profits interests and 55% to the holder of the non-voting profits interest (Value Line). EAM has elected to be taxed as a pass-through entity similar to a partnership.

Also, in connection with the Restructuring Transaction and pursuant to the EAM Declaration of Trust, Value Line (1) granted each Fund use of the name “Value Line” so long as EAM remains the Fund’s adviser and on the condition that the Fund does not alter its investment objectives or fundamental policies from those in effect on the date of the investment advisory agreement with EAM, provided also that the Funds do not use leverage for investment purposes or engage in short selling or other complex or unusual investment strategies that create a risk profile similar to that of so-called hedge funds, (2) agreed to provide EAM its proprietary Ranking System information without charge or expense on as favorable basis as to Value Line’s best institutional customers and (3) agreed to capitalize the business with $7 million of cash and cash equivalents at inception.

EAM is organized as a Delaware statutory trust and has no fixed term. However, in the event that control of the Company’s majority shareholder changes, or in the event that the majority shareholder no longer beneficially owns 5% or more of the voting securities of the Company, then the Company has the right, but not the obligation, to buy the voting profits interests in EAM at a fair market value to be determined by an independent valuation firm in accordance with the terms of the EAM Declaration of Trust.

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Value Line also has certain consent rights with respect to extraordinary events involving EAM, such as a proposed sale of all or a significant part of EAM, material acquisitions, entering into businesses other than asset management and fund distribution, paying compensation in excess of the mandated limit of 22.5%-30% of non-distribution fee revenues (depending on the level of such revenues), declaring voluntary bankruptcy, making material changes in tax or accounting policies or making substantial borrowings, and entering into related party transactions. These rights were established to protect Value Line’s non-voting revenues and non-voting profits interests in EAM.

Until December 23, 2010, the Company, through its wholly-owned subsidiary EAM LLC, was the investment adviser for the Value Line Funds. Since December 23, 2010, EAM has acted as the Adviser to the Value Line Funds.

Until December 23, 2010, the Company through its wholly-owned subsidiary ESI, was the distributor for the Value Line Funds. Since December 23, 2010, EULAV Securities has acted as the Distributor for the Value Line Funds. State Street Bank, an unaffiliated entity, is the custodian of the assets of the Value Line Funds and provides them with fund accounting and administrative services. Shareholder services for the Value Line Funds are provided by DST Asset Manager Solutions.

On December 23, 2010, the Company deconsolidated its asset management and mutual fund distribution businesses and its interests in these businesses were restructured as non-voting revenues and non-voting profits interests in EAM. Accordingly, the Company no longer reports this operation as a separate business segment, although it still maintains a significant interest in the cash flows generated by this business and will continue to receive ongoing payments in respect of its non-voting revenues and non-voting profits interests, as discussed below. Total assets in the Value Line Funds managed and/or distributed by EAM at April 30, 2020, were $3.58 billion, which is $485 million, or 15.7%, above total assets of $3.09 billion in the Value Line Funds managed and/or distributed by EAM at April 30, 2019.    

Total net assets of the Value Line Funds at April 30, 2020, were:

	($ in thousands)
Value Line Asset Allocation Fund	$	1,255,505
Value Line Capital Appreciation Fund		423,876
Value Line Select Growth Fund		401,581
Value Line Mid Cap Focused Fund		375,394
Value Line Small Cap Opportunities Fund		360,291
Value Line Larger Companies Focused Fund		290,902
Value Line Strategic Asset Management Fund		232,433
Value Line Centurion Fund		131,161
Value Line Core Bond Fund		53,761
Value Line Tax Exempt Fund		49,495
Value Line VIP Equity Advantage Fund		1,678
Total EAM managed net assets	$	3,576,077

Investment management fees and distribution service fees (“12b-1fees”) vary among the Value Line Funds and may be subject to certain limitations. Certain investment strategies among the equity funds include, but are not limited to, reliance on the Value Line Timeliness ™ Ranking System (the “Ranking System”) and/or the Value Line Performance Ranking System in selecting securities for purchase or sale. Each Ranking System seeks to compare the estimated probable market performance of each stock during the next six to twelve months to that of all of the approximately 1,700 stocks under review in each system and ranks stocks on a scale of 1 (highest) to 5 (lowest). All the stocks followed by the Ranking System are listed on U.S. stock exchanges or traded in the U.S. over-the-counter markets. Prospectuses and annual reports for each of the Value Line open end mutual funds are available on the Funds’ website www.vlfunds.com. Each mutual fund may use "Value Line" in its name only to the extent permitted by the terms of the EAM Declaration of Trust.

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D. Wholly-Owned Operating Subsidiaries

Wholly-owned operating subsidiaries of the Company as of April 30, 2020 include the following:

1. Value Line Publishing LLC (“VLP”) is the publishing unit for the investment related periodical publications and copyrights.

2. Vanderbilt Advertising Agency, Inc. places advertising on behalf of the Company's publications.

3. Value Line Distribution Center, Inc. (“VLDC”) provides subscription fulfillment services and subscriber relations services for Value Line’s publications and continues to distribute Value Line’s print publications.

E. Trademarks

The Company holds trademark and service mark registrations for various names and logos in multiple countries. Value Line believes that these trademarks and service marks provide significant value to the Company and are an important factor in the marketing of its products and services, as well as in the marketing of the Value Line Funds, now managed by EAM. The Company is utilizing all of its trademarks and service marks, and properly maintaining all registrations.

F. Investments

As of April 30, 2020 and April 30, 2019, the Company held total investment assets (excluding its interests in EAM) with a fair market value of $29,204,000 and $21,828,000, respectively, including equity securities and fixed income securities classified as available-for-sale on the Consolidated Balance Sheets.  As of April 30, 2020 and April 30, 2019, the Company held equity securities classified as available-for-sale, which consist of investments in the SPDR Series Trust S&P Dividend ETF (SDY), First Trust Value Line Dividend Index ETF (FVD), PowerShares Financial Preferred ETF (PGF), Select Utilities Select Sector SPDR ETF (XLU), First Trust Value Line 100 ETF (FVL), ProShares Trust S&P 500 Dividend Aristocrats ETF (NOBL), SPDR S&P 500 ETF (SPY) and iShares Select Dividend ETF (DVY) and equity securities portfolio under EAM management held at Charles Schwab.   As of April 30, 2020 and April 30, 2019, the Company held fixed income securities classified as available-for-sale, which consist of certificates of deposits and securities issued by federal, state and local governments within the United States.

G. Employees

At April 30, 2020, the Company and its subsidiaries employed 161 people.

The Company and its affiliates, officers, directors and employees may from time to time own securities which are also held in the portfolios of the Value Line Funds or recommended in the Company's publications. Value Line analysts are not permitted to own securities of the companies they cover. The Company has adopted rules requiring reports of securities transactions by employees for their respective accounts. The Company has also established policies restricting trading in securities whose ranks are about to change in order to avoid possible conflicts of interest.

H. Principal Business Segments

The information with respect to revenues from external customers and profit and loss of the Company's identifiable principal business segments is incorporated herein by reference to Note 18 of the Notes to the Company's Consolidated Financial Statements included in this Form 10-K.

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Prior to December 23, 2010, the Company’s businesses consolidated into two reportable business segments. The investment periodicals and related publications (retail and institutional) and Value Line copyrights and Value Line Proprietary Ranking System results and other proprietary information, consolidated into one segment called Publishing, and the investment management services to the Value Line Funds and other managed accounts were consolidated into a second business segment called Investment Management. Subsequent to December 23, 2010, the Publishing segment constitutes the Company’s only reportable business segment.

I. Competition

       The investment information and publishing business conducted by the Company and the investment management business conducted by EAM are very competitive. There are many competing firms and a wide variety of product offerings. Some of the firms in these industries are substantially larger and have greater financial resources than the Company and EAM. The Internet continues to increase the amount of competition in the form of free and paid online investment research. With regard to the investment management business conducted by EAM, the prevalence of broker supermarkets or platforms permitting easy transfer of assets among mutual funds, mutual fund families, and other investment vehicles tends to increase the speed with which shareholders can leave or enter the Value Line Funds based, among other things, on short-term fluctuations in performance.

J. Executive Officers of the Registrant

       The following table lists the names, ages (at June 30, 2020), and principal occupations and employment during the past five years of the Company's Executive Officers. All officers are elected to terms of office for one year. Except as noted, each of the following has held an executive position with the companies indicated for at least five years.

Name	Age	Principal Occupation or Employment
Howard A. Brecher	66	Chairman and Chief Executive Officer since October 2011; Acting Chairman and Acting Chief Executive Officer from November 2009 to October 2011; Chief Legal Officer; Vice President and Secretary until January 2010; Vice President and Secretary of each of the Value Line Funds from June 2008 to December 2010; Secretary of EAM LLC from February 2009 until December 2010; Director and General Counsel of AB&Co. Mr. Brecher has been an officer of the Company for more than 20 years.
Stephen R. Anastasio	61	Vice President since December 2010; Director since February 2010; Treasurer since 2005. Mr. Anastasio has been an officer of the Company for more than 10 years.

WEBSITE ACCESS TO SEC REPORTS

       The Company’s Internet site address is www.valueline.com. The Company’s annual report on Form 10-K, quarterly reports on Form 10-Q, current reports on Form 8-K and any amendments to these reports are made available on the “Corporate Filings” page under the “About Value Line” tab on the Company’s website @www.valueline.com/About/corporate_filings.aspx. free of charge as soon as reasonably practicable after the reports are filed electronically with the SEC. All of the Company’s SEC reports are also available on the SEC Internet site, www.sec.gov.

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ITEM 1A. RISK FACTORS

In addition to the risks referred to elsewhere in this Form 10-K, the following risks, among others, sometimes may have affected, and in the future could affect, the Company’s businesses, financial condition or results of operations and/or the investment management business conducted by EAM and consequently, the amount of revenue we receive from EAM. The risks described below are not the only ones we face. Additional risks not discussed or not presently known to us or that we currently deem insignificant, may also impact our businesses.

The Company and its subsidiaries are dependent on the efforts of its executives and professional staff.

The Company’s future success relies upon its ability to retain and recruit qualified professionals and executives. The Company’s executive officers do not have employment agreements with the Company and the Company does not maintain “key man” insurance policies on any of its executive officers. The loss of the services of key personnel could have an adverse effect on the Company.

A decrease in the revenue generated by EAM’s investment management business could adversely affect the Company’s cash flow and financial condition.

The Company derives a significant portion of its cash flow from its non-voting revenues and non-voting profits interests in EAM. A decrease in the revenue generated by EAM’s investment management business, whether resulting from performance, competitive, regulatory or other reasons, would reduce the amount of cash flow received by the Company from EAM, which reduction could adversely affect the Company’s cash flow and financial condition.

EAM’s assets under management, which impact EAM’s revenue, and consequently the amount of the cash flow that the Company receives from EAM, are subject to fluctuations based on market conditions and individual fund performance.

Financial market declines and/or adverse changes in interest rates would generally negatively impact the level of EAM’s assets under management and consequently its revenue and net income. Major sources of investment management revenue for EAM (i.e., investment management and service and distribution fees) are calculated as percentages of assets under management. A decline in securities prices or in the sale of investment products or an increase in fund redemptions would reduce fee income. A prolonged recession or other economic or political events could also adversely impact EAM’s revenue if it led to decreased demand for products, a higher redemption rate, or a decline in securities prices. Good performance of managed assets relative to both competing products and benchmark indices generally assists in both retention and growth of assets, and may result in additional revenues. Conversely, poor performance of managed assets relative to competing products or benchmark indices tends to result in decreased sales and increased redemptions with corresponding decreases in revenues to EAM. Poor performance could therefore reduce the amount of cash flow that the Company receives from EAM, which reduction could adversely affect the Company’s financial condition.

EAM derives all of its investment management fees from the Value Line Funds.

EAM is dependent upon management contracts and service and distribution contracts with the Value Line Funds under which these fees are paid. As required by the Investment Company Act of 1940 (the “1940 Act”), the Trustees/Directors of the Funds, all of whom are independent of the Company and EAM (except for the CEO of EAM), have the right to terminate such contracts. If any of these contracts are terminated, not renewed, or amended to reduce fees, EAM’s financial results, and consequently, the amount of cash flow received by the Company from EAM, and the Company’s financial condition, may be adversely affected.

A decrease in the revenue generated by a significant customer could adversely affect the Company’s cash flow and financial condition.

The Company derives a significant portion of its cash flow and publishing revenues from a single significant customer.

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If the Company does not maintain its subscriber base, its operating results could suffer. 

A substantial portion of the Company’s revenue is generated from print and digital subscriptions, which are paid in advance by subscribers. Unearned revenues are accounted for on the Consolidated Balance Sheets of the Company within current and long-term liabilities. The backlog of orders is primarily generated through renewals and new subscription marketing efforts as the Company deems appropriate. Future results will depend on the renewal of existing subscribers and obtaining new subscriptions for the investment periodicals and related publications. The availability of competitive information on the Internet at low or no cost has had and may continue to have a negative impact on the demand for our products.

The Company believes that the negative trend in retail print subscription revenue experienced in recent years is likely to continue.

During the last several years, the Company has experienced a negative trend in retail print subscription revenue. It is expected that print revenues will continue to decline long-term, while the Company emphasizes digital offerings. The Company has established the goal of maintaining competitive digital products and marketing them through traditional and digital channels to retail and institutional customers. However, the Company is not able to predict whether revenues from digital retail publications will grow more than print revenues decline, nor whether its initiatives to increase business in the professional investor market segment will continue to be successful.

Loss of copyright clients or decline in their customers, or assets managed by third party sponsors could reduce the Company’s revenues.

Copyright agreements are based on market interest in the respective proprietary information. The Company believes this part of the business is dependent upon the desire of third parties to use the Value Line trademarks and proprietary research for their products, competition and on fluctuations in segments of the equity markets. If the fees from proprietary information decline, the Company’s operating results could suffer.

Failure to protect its intellectual property rights and proprietary information could harm the Company’s ability to compete effectively and could negatively affect operating results.

The Company’s trademarks are important assets to the Company. Although its trademarks are registered in the United States and in certain foreign countries, the Company may not always be successful in asserting global trademark protection. In the event that other parties infringe on its intellectual property rights and it is not successful in defending its intellectual property rights, the result may be a dilution in the value of the Company’s brands in the marketplace. If the value of the Company’s brands becomes diluted, such developments could adversely affect the value that its customers associate with its brands, and thereby negatively impact its sales. Any infringement of our intellectual property rights would also likely result in a commitment of Company resources to protect these rights through litigation or otherwise. In addition, third parties may assert claims against our intellectual property rights and we may not be able successfully to resolve such claims. The Company is utilizing all of its trademarks and properly maintaining registrations for them.

Adverse changes in market and economic conditions could lower demand for the Company’s and EAM’s products and services. 

The Company provides its products and services to individual investors, financial advisors, and institutional clients. Adverse conditions in the financial and securities markets may have an impact on the Company’s subscription revenues, securities income, and copyright fees which could adversely affect the Company’s results of operations and financial condition. Adverse conditions in the financial and securities markets could also have an adverse effect on EAM’s investment management revenues and reduce the amount of cash flow that the Company receives from EAM, which reduction could adversely affect the Company’s financial condition.

The Company and EAM face significant competition in their respective businesses.

Both the investment information and publishing business conducted by the Company and the investment management business conducted by EAM are very competitive. There are many competing firms and a wide variety of product offerings. Some of the firms in these industries are substantially larger and have greater financial resources than the Company and EAM. With regard to the investment information and publishing business, barriers to entry have been reduced by the minimal cost structure of the Internet and other technologies. With regard to the investment management business, the absence of significant barriers to entry by new investment management firms in the mutual fund industry increases competitive pressure. Competition in the investment management business is based on various factors, including business reputation, investment performance, quality of service, marketing, distribution services offered, the range of products offered and fees charged. Access to mutual fund distribution channels has also become increasingly competitive.

16

Government regulations, any changes to government regulations, and regulatory proceedings and litigation may adversely impact the business.

Changes in legal, regulatory, accounting, tax and compliance requirements could have an effect on EAM’s operations and results, including but not limited to increased expenses and restraints on marketing certain funds and other investment products. EAM is registered with the SEC under the Investment Advisers Act of 1940 (the “Advisers Act”). The Advisers Act imposes numerous obligations on registered investment advisers, including fiduciary, record keeping, operational and disclosure obligations. ES is registered as a broker-dealer under the Securities Exchange Act of 1934 and is a member of the Financial Industry Regulatory Authority, also known as “FINRA”. Each Value Line Fund is a registered investment company under the 1940 Act. The 1940 Act requires numerous compliance measures, which must be observed, and involves regulation by the SEC. Each fund and its shareholders may face adverse tax consequences if the Value Line Funds are unable to maintain qualification as registered investment companies under the Internal Revenue Code of 1986, as amended. Those laws and regulations generally grant broad administrative powers to regulatory agencies and bodies such as the SEC and FINRA. If these agencies and bodies believe that EAM, ES or the Value Line Funds have failed to comply with their laws and regulations, these agencies and bodies have the power to impose sanctions. EAM, ES and the Value Line Funds, like other companies, can also face lawsuits by private parties. Regulatory proceedings and lawsuits are subject to uncertainties, and the outcomes are difficult to predict. Changes in laws, regulations or governmental policies, and the costs associated with compliance, could adversely affect the business and operations of the EAM, ES and the Value Line Funds. An adverse resolution of any regulatory proceeding or lawsuit against the EAM or ES could result in substantial costs or reputational harm to them or to the Value Line Funds and have an adverse effect on their respective business and operations. An adverse effect on the business and operations of EAM, ES and/or the Value Line Funds could reduce the amount of cash flow that the Company receives in respect of its non-voting revenues and non-voting profits interests in EAM and, consequently, could adversely affect the Company’s cash flows, results of operations and financial condition.

Terrorist attacks could adversely affect the Company and EAM.

A terrorist attack, including biological or chemical weapons attacks, and the response to such terrorist attacks, could have a significant impact on the New York City area, the local economy, the United States economy, the global economy, and U.S. and/or global financial markets, and could also have a material adverse effect on the Company’s business and on the investment management business conducted by EAM.

Our controlling stockholder exercises voting control over the Company and has the ability to elect or remove from office all of our directors.

As of April 30, 2020, AB&Co., Inc. beneficially owned 89.78% of the outstanding shares of the Company’s voting stock. AB&Co. is therefore able to exercise voting control with respect to all matters requiring stockholder approval, including the election or removal from office of all of our directors.

We are not subject to most of the listing standards that normally apply to companies whose shares are quoted on NASDAQ.

Our shares of common stock are quoted on the NASDAQ Capital Market (“NASDAQ”). Under the NASDAQ listing standards, we are deemed to be a “controlled company” by virtue of the fact that AB&Co. has voting power with respect to more than 50% of our outstanding shares of voting stock. A controlled company is not required to have a majority of its board of directors comprised of independent directors. Director nominees are not required to be selected or recommended for the board’s selection by a majority of independent directors or a nomination committee comprised solely of independent directors, nor do the NASDAQ listing standards require a controlled company to certify the adoption of a formal written charter or board resolution, as applicable, addressing the nominations process. A controlled company is also exempt from NASDAQ’s requirements regarding the determination of officer compensation by a majority of the independent directors or a compensation committee comprised solely of independent directors. Although we currently comply with certain of the NASDAQ listing standards that do not apply to controlled companies, our compliance is voluntary, and there can be no assurance that we will continue to comply with these standards in the future.

17

We are subject to cyber risks and may incur costs in connection with our efforts to enhance and ensure security from cyber attacks.

Substantial aspects of our business depend on the secure operation of our computer systems and e-commerce websites. Security breaches could expose us to a risk of loss or misuse of sensitive information, including our own proprietary information and that of our customers and employees.  While we devote substantial resources to maintaining adequate levels of cyber security, our resources and technical sophistication may not be adequate to prevent all of the rapidly evolving types of cyber attacks.  Anticipated attacks and risks may cause us to incur increasing costs for technology, personnel, insurance and services to enhance security or to respond to occurrences. We maintain cyber risk insurance, but this insurance may not be sufficient to cover all of our losses from any possible future breaches of our systems.

Changes to existing accounting pronouncements or taxation rules or practices may affect how we conduct our business and affect our reported results of operations.

New accounting pronouncements or tax rules and varying interpretations of accounting pronouncements or taxation practice have occurred and may occur in the future. A change in accounting pronouncements or interpretations or taxation rules or practices can have a significant effect on our reported results and may even affect our reporting of transactions completed before the change is effective. Changes to existing rules and pronouncements, future changes, if any, or the questioning of current practices or interpretations may adversely affect our reported financial results or the way we conduct our business.

Item 1B. UNRESOLVED STAFF COMMENTS.

None.

Item 2. PROPERTIES.

The Company leases 24,726 square feet of office space at 551 Fifth Avenue in New York, NY. In addition to the New York office space, the Company leases a warehouse facility with 24,110 square feet in New Jersey. The facility primarily serves the fulfillment and the distribution operations of VLDC for the various Company publications and serves as a disaster recovery site for the Company.

On November 30, 2016, Value Line, Inc., received consent from the landlord at 551 Fifth Avenue, New York, NY to the terms of a new sublease agreement between Value Line, Inc. and ABM Industries, Incorporated commencing on December 1, 2016. Pursuant to the agreement Value Line leased from ABM 24,726 square feet of office space located on the second and third floors at 551 Fifth Avenue, New York, NY (“Building” or “Premises”) beginning on December 1, 2016 and ending on November 29, 2027. Base rent under the sublease agreement is $1,126,000 per annum during the first year with an annual increase in base rent of 2.25% scheduled for each subsequent year, payable in equal monthly installments on the first day of each month, subject to customary concessions in the Company’s favor and pass-through of certain increases in utility costs and real estate taxes over the base year. The Company provided a security deposit represented by a letter of credit in the amount of $469,000 in October 2016, which is scheduled to be reduced to $305,000 on September 30, 2021 and fully refunded after the sublease ends. This Building became the Company’s new corporate office facility. The Company is required to pay for certain operating expenses associated with the Premises as well as utilities supplied to the Premises. The sublease terms provide for a significant decrease (23% initially) in the Company’s annual rental expenditure taking into account free rent for the first six months of the sublease. Sublandlord provided Value Line a work allowance of $417,000 which accompanied with the six months free rent worth $563,000 was applied against the Company’s obligation to pay rent at our NYC headquarters, delaying the actual rent payments until November 2017.

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On February 29, 2016, the Company’s subsidiary VLDC and Seagis Property Group LP (the “Landlord”) entered into a lease agreement, pursuant to which VLDC has leased 24,110 square feet of warehouse and appurtenant office space located at 205 Chubb Ave., Lyndhurst, NJ (“Warehouse”) beginning on May 1, 2016 and ending on April 30, 2024 (“Lease”). Base rent under the Lease is $192,880 per annum payable in equal monthly installments on the first day of each month, in advance during fiscal 2017 and will gradually increase to $237,218 in fiscal 2024, subject to customary increases based on operating costs and real estate taxes. The Company provided a security deposit in cash in the amount of $32,146, which will be fully refunded after the lease term expires. The lease is a net lease requiring the Company to pay for certain operating expenses associated with the Warehouse as well as utilities supplied to the Warehouse.

Item 3. LEGAL PROCEEDINGS.

None.

Item 4. MINE SAFETY DISCLOSURES.

Not applicable.

Part II

Item 5. MARKET FOR REGISTRANT'S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES.

The Registrant's Common Stock is traded on NASDAQ under the symbol “VALU”. The approximate number of record holders of the Registrant's Common Stock at April 30, 2020 was 33. As of April 30, 2020, the closing stock price was $30.98.

The reported high and low prices and the dividends declared on these shares during the past two fiscal years were as follows:                      

Quarter Ended	High		Low		Regular Dividend Declared Per Share
April 30, 2020	$	36.60	$	20.01	$	0.21
January 31, 2020	$	36.31	$	19.62	$	0.20
October 31, 2019	$	27.27	$	18.40	$	0.20
July 31, 2019	$	29.49	$	20.86	$	0.20
April 30, 2019	$	27.30	$	19.00	$	0.20
January 31, 2019	$	30.64	$	17.12	$	0.19
October 31, 2018	$	26.93	$	20.88	$	0.19
July 31, 2018	$	25.14	$	18.93	$	0.19

On July 17, 2020, the Board of Directors of Value Line declared a quarterly dividend of $0.21 per share to shareholders of record as of July 27, 2020 to be paid on August 11, 2020.

There are no securities of the Company authorized for issuance under equity compensation plans. The Company did not sell any unregistered shares of common stock during the fiscal year ended April 30, 2020.

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Purchases of Equity Securities by the Company

The following table provides information with respect to all repurchases of common stock made by or on behalf of the Company during the fiscal quarter ended April 30, 2020. All purchases listed below were made in the open market at prevailing market prices.

ISSUER PURCHASES OF EQUITY SECURITIES
Period	(a) Total Number of Shares (or Units) Purchased		(b) Average Price Paid per Share (or Unit)		(c) Total Number of Shares (or Units) Purchased as Part of Publicly Announced Plans or Programs		(d) Maximum Number (or Approximate Dollar Value) of Shares (or Units) that May Yet Be Purchased Under the Plans or Programs (1)
February 1, 2020 through February 29, 2020		1,537	$	29.55		1,537	$	821,000
March 1, 2020 through March 31, 2020		18,328		27.76		18,328		312,000
April 1, 2020 through April 30, 2020		2,959		29.55		2,959		2,000,000
Total		22,824	$	28.11		22,824	$	2,000,000

(1)     On April 17, 2020, the Company's Board of Directors approved a share repurchase program authorizing the repurchase of shares of the Company’s common stock up to an aggregate purchase price of $2,000,000. The repurchases may be made from time to time on the open market at prevailing market prices, in negotiated transactions off the market, in block purchases or otherwise. No purchases were made under this new program through the date of this report. The repurchase program may be suspended or discontinued at any time at the Company’s discretion and has no set expiration date. During fiscal 2020, the Company repurchased an aggregate of 46,840 shares of the Company's common stock for $1,214,000 at an average price of $25.91 per share under the prior repurchase program authorized on October 19, 2018. During fiscal 2019, the Company repurchased an aggregate of 28,059 shares of the Company's common stock for $608,000 at an average price of $21.68 per share under the prior repurchase program authorized on October 19, 2018. During fiscal 2018, the Company repurchased an aggregate of 20,045 shares of the Company's common stock for $354,000 at an average price of $17.67 per share.

Arnold Bernhard and Co., Inc. may purchase additional shares of common stock of the Company from time to time.

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Item 6. SELECTED FINANCIAL DATA.

	Fiscal Years Ended April 30,
($ in thousands, except number of shares and earnings per share amounts)	2020		2019		2018		2017		2016
Revenues:
Investment periodicals and related publications	$	27,628	$	28,820	$	29,503	$	30,168	$	31,925
Copyright fees		12,671		7,437		6,365		4,406		2,621
Total investment periodicals and related publications	$	40,299	$	36,257	$	35,868	$	34,574	$	34,546
Gain on sale of operating facility		-		-		-		8,123		-
Total revenues	$	40,299	$	36,257	$	35,868	$	42,697	$	34,546
Income from operations	$	9,090	$	5,413	$	2,572	$	7,459	$	1,880
Revenues and profits interests from EAM Trust	$	12,350	$	9,309	$	8,786	$	7,714	$	7,651
Income from securities transactions and other, net	$	44	$	504	$	540	$	312	$	477
Net income	$	15,663	$	11,150	$	14,738	$	10,367	$	7,291
Earnings per share, basic and fully diluted	$	1.62	$	1.15	$	1.52	$	1.07	$	0.75
Total assets	$	109,728	$	91,788	$	86,788	$	86,724	$	86,507
Long term liabilities	$	29,364	$	18,864	$	18,376	$	24,280	$	25,609
Weighted average number of common shares outstanding		9,646,885		9,683,771		9,703,255		9,721,958		9,781,495
Cumulative cash dividends declared per share during the fiscal year	$	0.81	$	0.77	$	0.93	$	0.69	$	0.65

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Item 7. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS.

The following Management’s Discussion and Analysis of Financial Condition and Results of Operations (“MD&A”) is intended to help a reader understand Value Line, its operations and business factors. The MD&A should be read in conjunction with Item 1, “Business”, and Item 1A, “Risk Factors” of Form 10-K, and in conjunction with the consolidated financial statements and the accompanying notes contained in Item 8 of this report.

The MD&A includes the following subsections:

● Executive Summary of the Business

● Results of Operations

● Liquidity and Capital Resources

● Recent Accounting Pronouncements

● Critical Accounting Estimates and Policies

Executive Summary of the Business

The Company's core business is producing investment periodicals and their underlying research and making available certain Value Line copyrights, Value Line trademarks and Value Line Proprietary Ranking System results and other proprietary information, to third parties under written agreements for use in third-party managed and marketed investment products and for other purposes. Value Line markets under well-known brands including Value Line®, the Value Line logo®, The Value Line Investment Survey®, Smart Research, Smarter Investing™ and The Most Trusted Name in Investment Research®. The name "Value Line" as used to describe the Company, its products, and its subsidiaries, is a registered trademark of the Company. Effective December 23, 2010, EULAV Asset Management Trust (“EAM”) was established to provide the investment management services to the Value Line Funds, institutional and individual accounts and provide distribution, marketing, and administrative services to the Value Line® Mutual Funds ("Value Line Funds"). The Company maintains a significant investment in EAM from which it receives payments in respect of its non-voting revenues and non-voting profits interests.

The Company’s target audiences within the investment research field are individual investors, colleges, libraries, and investment management professionals. Individuals come to Value Line for complete research in one package. Institutional licensees consist of corporations, financial professionals, colleges, and municipal libraries. Libraries and universities offer the Company’s detailed research to their patrons and students. Investment management professionals use the research and historical information in their day-to-day businesses. The Company has a dedicated department that solicits institutional subscriptions.

Payments received for new and renewal subscriptions and the value of receivables for amounts billed to retail and institutional customers are recorded as unearned revenue until the order is fulfilled. As the orders are fulfilled, the Company recognizes revenue in equal installments over the life of the particular subscription. Accordingly, the subscription fees to be earned by fulfilling subscriptions after the date of a particular balance sheet are shown on that balance sheet as unearned revenue within current and long-term liabilities.

Prior to December 23, 2010, the Company’s businesses consolidated into two reportable business segments. The investment periodicals and related publications (retail and institutional) and Value Line copyrights and Value Line Proprietary Ranking System results and other proprietary information consolidate into one segment called Publishing and the investment management services to the Value Line Funds were consolidated into a second business segment called Investment Management. Subsequent to December 23, 2010, the Publishing segment constitutes the Company’s only reportable business segment.

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Asset Management and Mutual Fund Distribution Businesses

The Company completed the restructuring of its asset management and mutual fund distribution businesses (the “Restructuring Transaction”) on December 23, 2010 (the “Restructuring Date”) and executed the EAM Declaration of Trust (the “EAM Declaration of Trust”). Pursuant to the EAM Declaration of Trust, the Company received an interest in certain revenues of EAM and a portion of the residual profits of EAM but has no voting authority with respect to the election or removal of the trustees of EAM or control of its business.

The business of EAM is managed by its trustees each owning 20% of the voting profits interest in EAM and by its officers subject to the direction of the trustees. The Company’s non-voting revenues and non-voting profits interests in EAM entitle it to receive a range of 41% to 55% of EAM’s revenues (excluding distribution revenues) from EAM’s mutual fund and separate account business and 50% of the residual profits of EAM (subject to temporary increase in certain limited circumstances). The Voting Profits Interest Holders will receive the other 50% of residual profits of EAM. Distribution is not less than 90% of EAM’s profits payable each fiscal quarter under the provisions of the EAM Trust Agreement.

Business Environment 

The long business expansion, which commenced more than a decade ago, came to a sudden and abrupt end earlier this year. That reversal was brought about by the fast-spreading and deadly COVID-19 pandemic. Thus far, COVID-19 has caused a reported four million infections in the U.S. and led to the deaths of well over 100,000 Americans.  

Meanwhile, the disease also quickly wreaked havoc on the nation's economy, causing many businesses to close indefinitely or to operate at very low levels due to social distancing mandates. The consequent recession also resulted in the layoffs of more than 40 million workers. The nation's gross domestic product, meantime, contracted by 5% in the first quarter and a larger proportion in the second. In response to this crisis, the U.S. Government earlier passed and implemented massive fiscal stimulus programs, which helped to alleviate some of the more serious economic dislocations resulting from the pandemic. On the monetary side, the Federal Reserve (“Fed”) cut the federal funds rate target to near zero and initiated a massive program of asset purchases.

Not only did the long economic expansion grind to a halt, but so too did the historic bull market, which at its peak had seen the Dow Jones Industrial Average reach the doorstep of 30,000. Then, after that painful equity market reversal, investors, emboldened by the actions taken by Washington and the Fed, and cheered by the initial reopening of a majority of the country's businesses, regained their stride in April, May, and June, causing a V-shaped recovery in many market sectors, albeit not in the economy. At mid- summer, much of the late-winter damage to Wall Street had been reversed.    

Now, the challenge will be for the economy to respond in kind. To be sure, markets often lead the economy by several months, so it is entirely possible, even likely, that business activity will respond affirmatively to the actions taken by Washington and the Fed and to reopening efforts. Thus far, in fact, some of the recent business data have been encouraging, with lesser declines seen in manufacturing and non-manufacturing and with the release of surprisingly good employment figures for May as well as a rebound in retail sales overall. 

23

Results of Operations for Fiscal Years 2020, 2019 and 2018

The following table illustrates the Company’s key components of revenues and expenses.

	Fiscal Years Ended April 30,						Change
($ in thousands, except earnings per share)	2020		2019		2018		'20 vs. '19			'19 vs. '18
Income from operations	$	9,090	$	5,413	$	2,572		67.9	%		110.5	%
Non-voting revenues and non-voting profits interests from EAM Trust		12,350		9,309		8,786		32.7	%		6.0	%
Income from operations plus non-voting revenues and non-voting profits interests from EAM Trust		21,440		14,722		11,358		45.6	%		29.6	%
Operating expenses		31,209		30,844		33,296		1.2	%		-7.4	%
Income from securities transactions, net		44		504		540		-91.3	%		-6.7	%
Income before income taxes	$	21,484	$	15,226	$	11,898		41.1	%		28.0	%
Net income *	$	15,663	$	11,150	$	14,738		40.5	%		-24.3	%
Earnings per share	$	1.62	$	1.15	$	1.52		40.9	%		-24.3	%

*Net income in fiscal 2018 exceeded income before income taxes because the one-time tax adjustment from the Federal Income tax rate changes effective January 1, 2018 in our favor is actually larger than income tax provision for the fiscal year ended April 30, 2018.

During the twelve months ended April 30, 2020, the Company’s income from operations of $9,090,000 was $3,677,000 or 67.9% above income from operations of $5,413,000 during the twelve months ended April 30, 2019. During the twelve months ended April 30, 2020, there were 9,646,885 average common shares outstanding as compared to 9,683,771 average common shares outstanding during the twelve months ended April 30, 2019. For the twelve months ended April 30, 2020, operating expenses increased 1.2% above those during the twelve months ended April 30, 2019. During the twelve months ended April 30, 2020, the Company’s net income of $15,663,000, or $1.62 per share, was $4,513,000 or 40.5% above net income of $11,150,000, or $1.15 per share, for the twelve months ended April 30, 2019. The largest factors in the increases in net income and income from operations during the twelve months ended April 30, 2020, compared to the prior fiscal year were an increase in copyright fees, an increase from revenues and profits interests in EAM Trust and well controlled overall expenses.

During the three months ended April 30, 2020, the Company’s income from operations of $1,307,000 was 34.7% above income from operations of $970,000 during the three months ended April 30, 2019. During the three months ended April 30, 2020, the Company’s net income of $2,810,000, or $0.29 per share, was 22.5% above net income of $2,293,000, or $0.24 per share, for the three months ended April 30, 2019.

During the twelve months ended April 30, 2019, the Company’s income from operations of $5,413,000 was 110.5% above income from operations of $2,572,000 during the twelve months ended April 30, 2018. During the twelve months ended April 30, 2019, there were 9,683,771 average common shares outstanding as compared to 9,703,255 average common shares outstanding during the twelve months ended April 30, 2018. For the twelve months ended April 30, 2019, operating expenses were well controlled and decreased $2,452,000 or 7.4% below those during the twelve months ended April 30, 2018. During the twelve months ended April 30, 2019, the Company’s net income of $11,150,000, or $1.15 per share, was 24.3% below net income of $14,738,000, or $1.52 per share, for the twelve months ended April 30, 2018. The largest factor in the decrease in net income during the twelve months ended April 30, 2019, compared to the prior fiscal year was the January 1, 2018, reduction in the U.S. statutory federal corporate income tax rate from 35% to 21% resulting in a one-time deferred noncash tax benefit of $6,485,000 or 54.51% of pre-tax income during fiscal 2018.

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During the twelve months ended April 30, 2018, the Company’s net income of $14,738,000, or $1.52 per share, was $4,371,000 or 42.2% above net income of $10,367,000, or $1.07 per share, for the twelve months ended April 30, 2017 due to the fiscal 2018 reduction in the U.S. statutory federal corporate income tax rate from 35% to 21% on the Company’s long-term deferred tax liabilities, resulting in a tax benefit of 54.51% of pre-tax income for the twelve months ended April 30, 2018. The Company re-calculated its net deferred tax assets and liabilities using the Federal Tax Rate under the Tax Act. The effect of the re-calculation was reflected entirely in the third quarter ended January 31, 2018 (the period that included the enactment date) and was allocated directly to both current and deferred income tax expenses from continuing operations. Income from operations of $2,572,000 during the twelve months ended April 30, 2018 was $4,887,000 below income from operations of $7,459,000, which included a pre-tax gain of $8,123,000 from the sale of the Company's operating facility during the twelve months ended April 30, 2017 for which it received net proceeds of $11,555,000 on July 29, 2016 and additional depreciation and amortization expense of $3,498,000 in fiscal 2017.

Total operating revenues

	Fiscal Years Ended April 30,						Change
($ in thousands)	2020		2019		2018		'20 vs. '19			'19 vs. '18
Investment periodicals and related publications:
Print	$	12,351	$	13,339	$	13,850		-7.4	%		-3.7	%
Digital		15,277		15,481		15,653		-1.3	%		-1.1	%
Total investment periodicals and related publications		27,628		28,820		29,503		-4.1	%		-2.3	%
Copyright fees		12,671		7,437		6,365		70.4	%		16.8	%
Total operating revenues	$	40,299	$	36,257	$	35,868		11.1	%		1.1	%

Within investment periodicals and related publications, subscription sales orders are derived from print and digital products. The following chart illustrates the changes in the sales orders associated with print and digital subscriptions.       

Sources of subscription sales

	Fiscal Years Ended April 30,
	2020						2019						2018
	Print			Digital			Print			Digital			Print			Digital
New Sales		10.0	%		15.8	%		13.4	%		13.3	%		15.5	%		15.2	%
Renewal Sales		90.0	%		84.2	%		86.6	%		86.7	%		84.5	%		84.8	%
Total Gross Sales		100.0	%		100.0	%		100.0	%		100.0	%		100.0	%		100.0	%

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During the twelve months ended April 30, 2020 new sales of digital publications increased as a percent of the total gross digital sales versus the prior fiscal year due to an increase in new Institutional gross sales of digital publications. During the twelve months ended April 30, 2020 new sales of print publications decreased as a percent of the total gross print sales versus the prior fiscal year due to the timing of advertising.

During the twelve months ended April 30, 2019 conversion and renewal sales of print and digital publications increased as a percent of the total gross print and digital sales versus the prior fiscal year partly as a result of successful Advance Renewal campaigns executed in February 2018 and in November 2018 which brought in 4,080 orders and generated $1,394,000 in gross sales and due to increased efforts by our in-house Retail and Institutional Sales departments. During the twelve months ended April 30, 2019 new sales of print and digital publications decreased as a percent of the total gross print and digital sales versus the prior fiscal year due to a decrease in new gross sales of print and digital publications.

During twelve months ended April 30, 2018 new sales of print publications increased as a percent of the total gross print sales as a result of an increase in new print retail sales orders while conversion and renewal sales of print orders decreased from the prior fiscal year. New sales of digital publications slightly increased as a percent of the total gross digital sales as a result of an increase in new digital institutional sales orders. Conversion and renewal sales of digital services decreased as a percent of the total gross digital sales over the prior fiscal year.

	As of April 30,						Change
($ in thousands)	2020		2019		2018		'20 vs. '19			'19 vs. '18
Unearned subscription revenue (current and long-term liabilities)	$	24,738	$	25,483	$	25,525		-2.9	%		-0.2	%

Unearned subscription revenue as of April 30, 2020 is 2.9% below April 30, 2019. A certain amount of variation is to be expected due to the volume of new orders and timing of renewal orders, direct mail campaigns and large Institutional Sales orders. The fourth quarter sales on the institutional side felt the effects of coronavirus recession and market volatility.

Investment periodicals and related publications revenues

Investment periodicals and related publications revenues of $27,628,000 (excluding Copyright fees), decreased 4.1% during the twelve months ended April 30, 2020, as compared to the prior fiscal year. The Company continued activity to attract new subscribers, primarily digital subscriptions through various marketing channels, primarily direct mail, e-mail, and by the efforts of our sales personnel. Total product line circulation at April 30, 2020 was 5.4% below total product line circulation at April 30, 2019. During the twelve months ended April 30, 2020 Institutional Sales department generated total sales orders of $13,566,000 and the retail telemarketing sales team generated total sales orders of $8,322,000.

Print publication revenues of $12,351,000, decreased 7.4%, during the twelve months ended April 30, 2020 as compared to the prior fiscal year as a result of a 6.1% decline in total print circulation in fiscal 2020. Total digital circulation at April 30, 2020 was 4.4% below total digital circulation at April 30, 2019, however, digital publications revenues of $15,277,000 during the twelve months ended April 30, 2020 were only 1.3 % below the prior fiscal year, as higher-priced subscriptions were generally retained.

Investment periodicals and related publications revenues of $28,820,000 decreased 2.3%, during the twelve months ended April 30, 2019, as compared to the prior fiscal year. Total product line circulation at April 30, 2019 was 2.4% below total product line circulation at April 30, 2018. During the twelve months ended April 30, 2019 Institutional Sales department generated total sales orders of $14,815,000 which is 2.3% above the prior fiscal year and the retail telemarketing sales team generated total sales orders of $8,946,000 which is 1% above the prior fiscal year.

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Total print circulation at April 30, 2019 was 3.0% below the total print circulation at April 30, 2018. Print publication revenues of $13,339,000 decreased 3.7% during the twelve months ended April 30, 2019 as compared to the prior fiscal year. Total digital circulation at April 30, 2019 was 1.6% below total digital circulation at April 30, 2018 and digital publications revenues of $15,481,000 during the twelve months ended April 30, 2019 were 1.1% below the prior fiscal year.

Investment periodicals and related publications revenues decreased $665,000, or 2.2%, for the twelve months ended April 30, 2018, as compared to fiscal 2017. Total product line circulation at April 30, 2018 was comparable to total product line circulation at April 30, 2017. Institutional Sales generated total sales orders of $14,487,000 for the twelve months ended April 30, 2018. The retail telemarketing sales team generated total sales orders of $8,872,000 for the twelve months ended April 30, 2018.

Value Line serves primarily individual and professional investors in stocks, who pay mostly on annual subscription plans, for basic services or as much as $100,000 or more annually for comprehensive premium quality research, not obtainable elsewhere. The ongoing goal of adding new subscribers has led us to experiment with varying terms for our reliable, proprietary research including periods of intensive promotion of “starter” services and publications. Further, new services and new features for existing services are regularly under consideration and development. Prominently introduced thus far in 2020 were new features in the Value Line Research Center, one of which is The New Value Line ETFs Service. A new monthly publication Value Line Information You Should Know Wealth Newsletter was introduced in January 2020, and features of the Value Line Research Center and The Value Line Fund Advisor Plus services were enhanced.              

The Value Line Proprietary Ranking System results (the “Ranking System”), a component of the Company’s flagship product, The Value Line Investment Survey, is also utilized in the Company’s copyright business. The Ranking System is made available to EAM for specific uses without charge. The Ranking System is designed to be predictive over a six to twelve month period. During the six month period ended April 30, 2020, the combined Ranking System “Rank 1 & 2” stocks’ decrease of 10.4% compared to the Russell 2000 Index’s decrease of 16.1% during the comparable period. During the twelve month period ended April 30, 2020, the combined Ranking System “Rank 1 & 2” stocks’ decrease of 7.6% compared to the Russell 2000 Index’s decrease of 17.6% during the comparable period.

Copyright fees

During the twelve months ended April 30, 2020, copyright fees of $12,671,000 were 70.4% above those during the corresponding period in the prior fiscal year. The largest of the individual ETFs active under Value Line’s copyright program has again earned a five star overall Morningstar rating. The Company has negotiated with the sponsor of the largest exchange traded fund (“ETF”) in the program, the restructuring of the Company’s asset based fees and overall fees of the ETF in light of the competitive market. The Company’s copyright fees may be reduced in the range of ten percent, although the level of assets under management in the ETF will be critical to this projection.

During the twelve months ended April 30, 2019, copyright fees of $7,437,000 were 16.8% above those during the corresponding period in the prior fiscal year.

Investment management fees and services – (unconsolidated)

The Company has substantial non-voting revenues and non-voting profits interests in EAM, the asset manager to the Value Line Mutual Funds. Accordingly, the Company does not report this operation as a separate business segment, although it maintains a significant interest in the cash flows generated by this business and will receive ongoing payments in respect of its non-voting revenues and non-voting profits interests.

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Total assets in the Value Line Funds managed and/or distributed by EAM at April 30, 2020, were $3.58 billion, which is $485 million, or 15.7%, above total assets of $3.09 billion in the Value Line Funds managed and/or distributed by EAM at April 30, 2019. The increase reflects successful investment selection capturing market appreciation and positive net flows for the Value Line Funds, partially offset by net redemptions in nine of the eleven Funds over the twelve month period ended April 30, 2020.

Total assets in the Value Line Funds managed and/or distributed by EAM at April 30, 2019, were $3.09 billion, which is $610 million, or 24.6%, above total assets of $2.48 billion in the Value Line Funds managed and/or distributed by EAM at April 30, 2018.

Shares of Value Line Strategic Asset Management Trust (“SAM”) and Value Line Centurion Fund (“Centurion”) are only distributed within certain variable annuity and variable life insurance contracts issued by The Guardian Insurance & Annuity Company, Inc. (“GIAC”).

Sales and inflows for the Value Line Equity Funds during fiscal 2020 increased 109.1%, as compared to fiscal 2019. Sales and inflows for the Value Line Equity Funds during fiscal 2019 increased 169.2%, as compared to fiscal 2018 while Value Line Funds experienced net redemptions and the associated net asset outflows (redemptions less new sales) in fiscal 2018.

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The following table shows the change in assets for the past three fiscal years including sales (inflows), redemptions (outflows), dividends and capital gain distributions, and market value changes. Inflows for sales, and outflows for redemptions reflect decisions of individual investors. The table also illustrates the assets within the Value Line Funds broken down into equity funds, variable annuity funds and fixed income funds as of April 30, 2020, 2019 and 2018.

Value Line Mutual Funds

Total Net Assets
For the Years Ended April 30,	2020			2019			2018			2020			2019
										vs.			vs.
										2019			2018
Value Line equity fund assets (excludes variable annuity)— beginning	$	2,582,416,326		$	1,991,265,258		$	1,877,029,899			29.7	%		6.1	%
Sales/inflows		1,516,434,399			710,828,252			264,010,632			113.3	%		169.2	%
Dividends/Capital Gains Reinvested		206,956,280			165,389,974			93,929,756			25.1	%		76.1	%
Redemptions/outflows		(1,006,449,848	)		(461,981,970	)		(381,198,181	)		117.9	%		21.2	%
Dividend and Capital Gain Distributions		(214,033,328	)		(171,356,856	)		(97,598,435	)		24.9	%		75.6	%
Market value change		22,225,964			348,271,669			235,091,588			-93.6	%		48.1	%
Value Line equity fund assets (non-variable annuity)— ending		3,107,549,794			2,582,416,326			1,991,265,258			20.3	%		29.7	%
Variable annuity fund assets — beginning	$	402,171,626		$	378,970,470		$	405,395,163			6.1	%		-6.5	%
Sales/inflows		3,489,595			4,023,089			5,154,384			-13.3	%		-21.9	%
Dividends/Capital Gains Reinvested		34,384,214			29,440,239			23,241,352			16.8	%		26.7	%
Redemptions/outflows		(50,911,955	)		(53,044,047	)		(59,902,699	)		-4.0	%		-11.4	%
Dividend and Capital Gain Distributions		(34,384,214	)		(29,440,239	)		(23,241,352	)		16.8	%		26.7	%
Market value change		10,522,627			72,222,114			28,323,622			-85.4	%		155.0	%
Variable annuity fund assets — ending		365,271,893			402,171,626			378,970,470			-9.2	%		6.1	%
Fixed income fund assets — beginning (1)	$	106,204,372		$	110,860,197		$	131,309,317			-4.2	%		-15.6	%
Sales/inflows		5,872,737			1,581,923			2,355,131			271.2	%		-32.8	%
Dividends/Capital Gains Reinvested		2,247,503			2,337,429			2,565,532			-3.8	%		-8.9	%
Redemptions/outflows		(13,556,768	)		(10,837,962	)		(22,403,260	)		25.1	%		-51.6	%
Dividend and Capital Gain Distributions		(2,578,873	)		(2,743,543	)		(2,879,805	)		-6.0	%		-4.7	%
Market value change		5,066,630			5,006,328			(86,718	)		1.2	%		-5873.1	%
Fixed income fund assets — ending		103,255,601			106,204,372			110,860,197			-2.8	%		-4.2	%
Assets under management — ending	$	3,576,077,288		$	3,090,792,324		$	2,481,095,925			15.7	%		24.6	%

⁽¹⁾   In  September 2018 Value Line Defensive Strategies Fund was liquidated

The Value Line Fund shareholders are provided a money market fund investment managed by Federated Government Obligations Fund.

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As of April 30, 2020 and April 30, 2019, five of six Value Line equity and hybrid mutual funds, excluding SAM and Centurion, held an overall four or five star rating by Morningstar, Inc.

Several of the Value Line Funds have received national recognition. The Value Line Asset Allocation Fund continues stellar performance as the top performing balanced fund of any allocation funds in Morningstar’s allocation categories. The Value Line Mid-Cap Focused Fund, the Value Line Small Cap Opportunities Fund and the Value Line Capital Appreciation Fund have been named “Category Kings” in The Wall Street Journal (“Journal”) in multiple months in recent years. In 2019 the Value Line Mid-Cap Focused Fund reached the Journal’s Winner’s Circle for U.S. equity funds.

EAM Trust - Results of operations before distribution to interest holders

The overall results of EAM’s investment management operations during the twelve months ended April 30, 2020, before interest holder distributions, included total investment management fees earned from the Value Line Funds of $21,985,000, 12b-1 fees and other fees of $8,436,000 and other net losses of $156,000. For the same period, total investment management fee waivers were $302,000 and 12b-1 fee waivers for three Value Line Funds were $667,000. During the twelve months ended April 30, 2020, EAM's net income was $2,332,000 after giving effect to Value Line’s non-voting revenues interest of $11,184,000, but before distributions to voting profits interest holders and to the Company in respect of its 50% non-voting profits interest.

The overall results of EAM’s investment management operations during the twelve months ended April 30, 2019, before interest holder distributions, included total investment management fees earned from the Value Line Funds of $16,715,000, 12b-1 fees and other fees of $6,811,000 and other income of $273,000. For the same period, total investment management fee waivers were $421,000 and 12b-1 fee waivers for three Value Line Funds were $654,000. During the twelve months ended April 30, 2019, EAM's net income was $2,098,000 after giving effect to Value Line’s non-voting revenues interest of $8,260,000, but before distributions to voting profits interest holders and to the Company in respect of its 50% non-voting profits interest.

The overall results of EAM’s investment management operations during the twelve months ended April 30, 2018, before interest holder distributions, included total investment management fees earned from the Value Line Funds of $15,988,000, 12b-1 fees and other fees of $6,455,000 and other income of $171,000 which included dividend, interest and licensing fees income. For the same period, total investment management fee waivers were approximately $487,000 and 12b-1 fee waivers for four Value Line Funds were approximately $754,000. During the twelve months ended April 30, 2018, EAM's net income was $1,492,000 after giving effect to Value Line’s non-voting revenues interest of $8,040,000, but before distributions to voting profits interest holders and to the Company in respect of its 50% non-voting profits interest.

As of April 30, 2020 and April 30, 2019, three of the Value Line Funds have all or a portion of the 12b-1 fees being waived, and one fund has partial investment management fee waivers in place. Although, under the terms of the EAM Declaration of Trust, the Company no longer receives or shares in the revenues from 12b-1 distribution fees, the Company could benefit from the fee waivers to the extent that the resulting reduction of expense ratios and enhancement of the performance of the Value Line Funds attracts new assets.

The Value Line equity and hybrid funds’ assets represent 86.7%, variable annuity funds issued by GIAC represent 10.4%, and fixed income fund assets represent 2.9%, respectively, of total fund assets under management (“AUM”) as of April 30, 2020. At April 30, 2020, equity, hybrid and GIAC variable annuities AUM increased by 16.3% and fixed income AUM decreased by 1.9% as compared to fiscal 2019.

The Value Line equity and hybrid funds’ assets represent 83.4%, variable annuity funds issued by GIAC represent 13.2%, and fixed income fund assets represent 3.4%, respectively, of total fund assets under management (“AUM”) as of April 30, 2019. At April 30, 2019, equity, hybrid and GIAC variable annuities AUM increased by 25.9% and fixed income AUM decreased by 4.5% as compared to fiscal 2018.

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EAM - The Company’s non-voting revenues and non-voting profits interests

The Company holds non-voting revenues and non-voting profits interests in EAM which entitle the Company to receive from EAM an amount ranging from 41% to 55% of EAM's investment management fee revenues from its mutual fund and separate accounts business, and 50% of EAM’s net profits, not less than 90% of which is distributed in cash every fiscal quarter. The applicable recent non-voting revenues interest percentage for the fourth quarter of fiscal 2020 was 51.51%.

The Company recorded income from its non-voting revenues interest and its non-voting profits interest in EAM as follows:

	Fiscal Years Ended April 30,						Change
($ in thousands)	2020		2019		2018		'20 vs. '19			'19 vs. '18
Non-voting revenues interest	$	11,184	$	8,260	$	8,040		35.4	%		2.7	%
Non-voting profits interest		1,166		1,049		746		11.2	%		40.6	%
	$	12,350	$	9,309	$	8,786		32.7	%		6.0	%

Operating expenses

	Fiscal Years Ended April 30,						Change
($ in thousands)	2020		2019		2018		'20 vs. '19			'19 vs. '18
Advertising and promotion	$	3,350	$	3,406	$	3,780		-1.6	%		-9.9	%
Salaries and employee benefits		18,189		17,781		18,488		2.3	%		-3.8	%
Production and distribution		4,945		5,222		5,857		-5.3	%		-10.8	%
Office and administration		4,725		4,435		5,171		6.5	%		-14.2	%
Total expenses	$	31,209	$	30,844	$	33,296		1.2	%		-7.4	%

Expenses within the Company are categorized into advertising and promotion, salaries and employee benefits, production and distribution, office and administration.

Operating expenses of $31,209,000 during the twelve months ended April 30, 2020 were 1.2% above those during the twelve months ended April 30, 2019. Production and distribution expense categories decreased by 5.3% as a result of cost controls, decrease in printing and distribution costs, primarily a result of a 6.1% reduction in print circulation, and a decline in amortization of internally developed software during the twelve months ended April 30, 2020. Operating expenses of $8,492,000 during the three months ended April 30, 2020 were 3.4% above those during the three months ended April 30, 2019.

Operating expenses of $30,844,000 during the twelve months ended April 30, 2019 were 7.4% below those during the twelve months ended April 30, 2018. All major expense categories decreased as a result of cost controls and a decline in amortization of internally developed software during the twelve months ended April 30, 2019.

Operating expenses of $33,296,000 for the twelve months ended April 30, 2018 decreased $1,942,000, or 5.5%, as compared to the twelve months ended April 30, 2017 primarily due to a $3,498,000 decrease in depreciation and amortization expense partially offset by a $307,000 increase in advertising expenses and a $1,011,000 increase in salaries and employee benefits in fiscal 2018.

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Advertising and promotion

During twelve months ended April 30, 2020, advertising and promotion expenses of $3,350,000, decreased 1.6% as compared to the prior fiscal year. During the twelve months ended April 30, 2020, an increase in media marketing expenses and institutional sales promotion was offset by a 15.7% decrease in direct marketing expenses. In fiscal 2020 direct mail expenses decreased for all products except for The Value Line Investment Survey and The Value Line 600. During the twelve months ended April 30, 2020 sales commissions decreased 3.7% as compared to fiscal 2019.

During the twelve months ended April 30, 2019, advertising and promotion expenses of $3,406,000 decreased 9.9% as compared to the prior fiscal year. During the twelve months ended April 30, 2019, a $442,000 decrease in direct mail expenses for The Value Line Investment Survey and The Value Line 600 was partially offset by a $170,000 increase in media marketing expenses and institutional sales promotion. During the twelve months ended April 30, 2019 sales commissions decreased $60,000 as compared to fiscal 2018.

During the twelve months ended April 30, 2018, advertising and promotion expenses of $3,780,000 increased $307,000 above those of fiscal 2017 primarily due to a $249,000 increase in direct mail expenses and a $285,000 increase in media marketing expenses. Direct mail expenses of $1,256,000 during the twelve months ended April 30, 2018 increased above those of the prior fiscal year due to the increases in expenses for The Value Line Investment Survey, The Value Line 600, The Value Line Small and Mid-Cap and The Value Line Special Situations Service in fiscal 2018. During the twelve months ended April 30, 2018 sales commissions decreased $241,000 as compared to fiscal 2017 based on the structure of commission schedules and the mix of renewal and new sales.

Salaries and employee benefits

During the twelve months ended April 30, 2020, salaries and employee benefits of $18,189,000, increased 2.3% above the prior fiscal year due to a 47.0% increase in Profit Sharing employee retirement benefits during fiscal 2020 and a 10.2% increase in independent contractors’ costs over the prior year primarily in the Quantitative Research department. In fiscal 2020 salaries and employee benefits in the Information Technology department (“IT”) decreased 2.2% from the prior year reflecting completion of certain initiatives to upgrade operating systems.

During the twelve months ended April 30, 2019, salaries and employee benefits of $17,781,000 decreased 3.8% below the prior fiscal year primarily due to decreases in salaries and employee benefits in the Information Technology department (“IT”), reflecting completion of certain initiatives.

During the twelve months ended April 30, 2018 salaries and employee benefits of $18,488,000 increased $1,011,000 above those of fiscal 2017 primarily due to the increases in salaries and employee benefits in the Information Technology department (“IT”) related to the Company’s digital infrastructure and production processes and Quantitative Research departments. 

During the twelve months ended April 30, 2020, 2019 and 2018, the Company recorded profit sharing expenses of $870,000, $592,000 and $496,000, respectively.

Production and distribution

During the twelve months ended April 30, 2020, production and distribution expenses of $4,945,000, decreased 5.3% below the prior fiscal year. During the twelve months ended April 30, 2020, a 1.8% decrease in overall expenses related to renegotiated production support of the Company’s website, maintenance of the Company’s publishing and application software and operating systems and a 56.3% decrease in amortization of internally developed software costs related to digital security and publication production software as compared to fiscal 2019. In fiscal 2020, printing and distribution costs decreased 9.8% due to a 6.1% decrease in print circulation during the twelve months ended April 30, 2020.

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During the twelve months ended April 30, 2019, production and distribution expenses of $5,222,000 decreased 10.8% below the prior fiscal year. During the twelve months ended April 30, 2019, a decrease of $719,000 was attributable to a decline in amortization of internally developed software costs related to digital security and publication production software. In fiscal 2019 distribution costs increased 2.8% due to a 2% increase in postal rates in January 2018 and 2% in January 2019.

During the twelve months ended April 30, 2018, production and distribution expenses of $5,857,000 decreased $3,206,000 below those of fiscal 2017. During the twelve months ended April 30, 2018, a decrease of $3,548,000 was attributable to a decline in amortization of internally developed software costs related to digital security and product production software. During the twelve months ended April 30, 2018, the decrease in production costs was partially offset by a $294,000 increase in production support of the Company’s website, maintenance of the Company’s publishing and application software and operating systems and web “framework”.

Office and administration

During the twelve months ended April 30, 2020, office and administrative expenses of $4,725,000, increased 6.5% above the prior fiscal year. The increase of $222,000 during the twelve months ended April 30, 2020 was a result of the operating lease amortization expense in fiscal 2020 due to a change in lease accounting standard ASU 2016-02,"Leases (Topic 842)".

During the twelve months ended April 30, 2019, office and administrative expenses of $4,435,000 decreased 14.2% below the prior fiscal year.

During the twelve months ended April 30, 2018, office and administrative expenses of $5,171,000, decreased $54,000 below those of fiscal 2017. During the twelve months ended April 30, 2018, a decrease in office and administrative expenses was primarily as a result of a $431,000 decrease in the cost of space rental due to lower rent payments resulting from the sub-lease agreement with ABM Industries, Incorporated (“ABM” or the “Sublandlord”). In accordance with GAAP, we allocated the benefit of the free rent period and other concessions over the term of our new NYC sublease, commenced on December 1, 2016. In fact, however, the Company did not pay cash rent for the new New York City office facility from December 2016 through October 2017. Additional decreases include $194,000 savings in real estate taxes due to the relocation of VLDC operations to a new downsized leased NJ facility upon the sale of the operating facility in July 2016 and relocation of the NYC office to a new smaller facility at 551 Fifth Ave., NY in February 2017. These savings in fiscal 2018 were partially offset by a $370,000 increase in professional fees above those of fiscal 2017.

Concentration

During the twelve months ended April 30, 2020, 31.4% of total publishing revenues of $40,299,000 were derived from a single customer. During the twelve months ended April 30, 2019, 20.5% of total publishing revenues of $36,257,000 were derived from a single customer. During the twelve months ended April 30, 2018, 17.7% of total publishing revenues of $35,868,000 were derived from a single customer.

Lease Commitments

On November 30, 2016, Value Line, Inc. received consent from the landlord at 551 Fifth Avenue, New York, NY to the terms of a new sublease agreement between Value Line, Inc. and ABM Industries, Incorporated commencing on December 1, 2016. Pursuant to the agreement Value Line leased from ABM 24,726 square feet of office space located on the second and third floors at 551 Fifth Avenue, New York, NY (“Building” or “Premises”) beginning on December 1, 2016 and ending on November 29, 2027. Base rent under the sublease agreement is $1,126,000 per annum during the first year with an annual increase in base rent of 2.25% scheduled for each subsequent year, payable in equal monthly installments on the first day of each month, subject to customary concessions in the Company’s favor and pass-through of certain increases in utility costs and real estate taxes over the base year. The Company provided a security deposit represented by a letter of credit in the amount of $469,000 in October 2016, which is scheduled to be reduced to $305,000 on September 30, 2021 and fully refunded after the sublease ends. This Building became the Company’s new corporate office facility. The Company is required to pay for certain operating expenses associated with the Premises as well as utilities supplied to the Premises. The sublease terms provide for a significant decrease (23% initially) in the Company’s annual rental expenditure taking into account free rent for the first six months of the sublease. Sublandlord provided Value Line a work allowance of $417,000 which accompanied with the six months free rent worth $563,000 was applied against the Company’s obligation to pay rent at our NYC headquarters, delaying the actual rent payments until November 2017.

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On February 29, 2016, the Company’s subsidiary VLDC and Seagis Property Group LP (the “Landlord”) entered into a lease agreement, pursuant to which VLDC has leased 24,110 square feet of warehouse and appurtenant office space located at 205 Chubb Ave., Lyndhurst, NJ (“Warehouse”) beginning on May 1, 2016 and ending on April 30, 2024 (“Lease”). Base rent under the Lease is $192,880 per annum payable in equal monthly installments on the first day of each month, in advance during fiscal 2017 and will gradually increase to $237,218 in fiscal 2024, subject to customary increases based on operating costs and real estate taxes. The Company provided a security deposit in cash in the amount of $32,146, which will be fully refunded after the lease term expires. The lease is a net lease requiring the Company to pay for certain operating expenses associated with the Warehouse as well as utilities supplied to the Warehouse.

Income from Securities Transactions, net

	Fiscal Years Ended April 30,							Change
($ in thousands)	2020			2019		2018		'20 vs. '19			'19 vs. '18
Dividend income	$	352		$	257	$	226		37.0	%		13.7	%
Interest income		279			201		103		38.8	%		95.1	%
Capital gain distributions from ETFs		-			-		152		n/a			-100	%
Capital gain/(loss)		(581	)		-		-		n/a			n/a
Other		(6	)		46		59		-113.0	%		-22.0	%
Total income from securities transactions and other, net	$	44		$	504	$	540		-91.3	%		-6.7	%

During the twelve months ended April 30, 2020 and April 30, 2019, the Company’s income from securities transactions, net, primarily derived from dividend and interest income mostly offset by realized losses on sales of securities held for sales in fiscal 2020, was $44,000 and $504,000, respectively. Proceeds from maturities and sales of government debt securities classified as available-for-sale during the twelve months ended April 30, 2020 and April 30, 2019, were $8,663,000 and $8,346,000, respectively. Proceeds from the sales of equity securities classified as available-for-sale during the twelve months ended April 30, 2020 were $4,387,000. Losses on the sales of equity securities classified as available-for-sale were reclassified from other comprehensive income in the Consolidated Balance Sheet in the amount of $581,000 during the twelve months ended April 30, 2020. There were no sales or proceeds from sales of equity securities during the twelve months ended April 30, 2019. There were no capital gain distributions from ETFs in fiscal 2020 or fiscal 2019.

During the twelve months ended April 30, 2019 and April 30, 2018, the Company’s income from securities transactions, net, primarily derived from dividend and interest income, was $504,000 and $540,000, respectively. Proceeds from maturities and sales of government debt securities classified as available-for-sale during the twelve months ended April 30, 2019 and April 30, 2018, were $8,346,000 and $3,384,000, respectively. There were no sales or proceeds from sales of equity securities during the twelve months ended April 30, 2019. Proceeds from sales of equity securities classified as available-for-sale were $152,000 that represent capital gain distributions from ETFs during the twelve months ended April 30, 2018. 

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Effective income tax rate 

The overall effective income tax rates, as a percentage of pre-tax ordinary income for the twelve months ended April 30, 2020, April 30, 2019 and April 30, 2018 were 27.09% 26.81% and (23.87%), respectively. Due to evolving state tax legislation, the Company's state and local effective income tax rate, net of Federal income tax benefit, increased from 6.02% of pretax income for the twelve months ended April 30, 2019, to 6.30% of pretax income for the twelve months ended April 30, 2020.

The overall change in the effective Federal tax rate during the twelve months ended April 30, 2019 and April 30, 2018 is primarily a result of the reduced Federal Tax Rate. In fiscal 2018 the U.S. statutory federal corporate income tax rate was reduced from 35% to 21%, which resulted in a tax benefit of 54.51% of pre-tax income for the twelve months ended April 30, 2018, primarily attributable to the effect on the long-term deferred tax liability. The Company re-calculated its net deferred tax assets and liabilities using the Federal Tax Rate under the Tax Act and allocated it directly to both current and deferred income tax expenses from continuing operations. In addition, due to evolving state tax legislation, the Company's state and local effective income tax rate, net of Federal income tax benefit, increased from 0.7% of pretax income for the twelve months ended April 30, 2018, to 6.02% of pretax income for the twelve months ended April 30, 2019.

Liquidity and Capital Resources

The Company had working capital, defined as current assets less current liabilities, of $13,700,000 as of April 30, 2020 and $6,014,000 as of April 30, 2019. These amounts include short-term unearned revenue of $18,854,000 and $20,008,000 reflected in total current liabilities at April 30, 2020 and April 30, 2019, respectively. Cash and short-term securities were $34,158,000 and $28,321,000 as of April 30, 2020 and April 30, 2019, respectively.

The Company’s cash and cash equivalents include $2,115,000 and $5,617,000 at April 30, 2020 and April 30, 2019, respectively, invested primarily in commercial banks and in Money Market Funds at brokers, which operate under Rule 2a-7 of the 1940 Act and invest primarily in short-term U.S. government securities.

Cash from operating activities

The Company had cash inflows from operating activities of $13,745,000 during the twelve months ended April 30, 2020 compared to cash inflows from operations of $11,494,000 and $9,907,000 during the twelve months ended April 30, 2019 and 2018, respectively. The increase in cash flows from fiscal 2019 to fiscal 2020 is primarily attributable to higher pre-tax income and an increase in cash receipts from copyright programs. The increase in cash inflows from fiscal 2018 to fiscal 2019 is primarily attributable to higher pre-tax income and a further decrease in the Federal income taxes, partially offset by prepayments to vendors and the timing of payments of invoices including rent at the Company’s NYC headquarters in fiscal 2019.

Cash from investing activities

The Company’s cash outflows from investing activities of $8,657,000 during the twelve months ended April 30, 2020 compared to cash outflows from investing activities of $2,972,000 for the twelve months ended April 30, 2019 and cash outflows from investing activities of $1,240,000 for the twelve months ended April 30, 2018. Cash outflows for the twelve months ended April 30, 2020 were higher than in fiscal 2019 primarily due to the Company’s decision to invest in additional equity and fixed income securities in fiscal 2020. Cash outflows for the twelve months ended April 30, 2019 were higher than in fiscal 2018 primarily due to the Company’s decision to invest in additional fixed income securities in fiscal 2019. Cash outflows for the twelve months ended April 30, 2018 included purchases of $408,000 for property and equipment.

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Cash from financing activities

During the twelve months ended April 30, 2020, the Company’s cash outflows from financing activities were $6,627,000 and compared to cash outflows from financing activities of $7,970,000 and $9,283,000 for the twelve months ended April 30, 2019 and 2018, respectively. Cash outflows for financing activities included $1,214,000, $608,000 and $354,000 for the repurchase of 46,840 shares, 28,059 shares and 20,045 shares of the Company’s common stock under the October 19, 2018 and the September 19, 2012 board approved common stock repurchase programs, during fiscal years 2020, 2019 and 2018, respectively. During fiscal 2020, the Company applied for and received an SBA loan under the Paycheck Protection Program in the amount of $2,331,000. Quarterly dividend payments of $0.20 per share during fiscal 2020 aggregated $7,724,000. Quarterly dividend payments of $0.19 per share during fiscal 2019 aggregated $7,362,000. Quarterly regular dividend payments of $0.18 per share during fiscal 2018 and a special dividend of $0.20 per share declared in January 2018 aggregated $8,929,000.

At April 30, 2020 there were 9,616,721 common shares outstanding as compared to 9,663,561 common shares outstanding at April 30, 2019. The Company expects financing activities to continue to include use of cash for dividend payments for the foreseeable future.

Management believes that the Company’s cash and other liquid asset resources used in its business together with the proceeds from the SBA loan and the future cash flows from operations and from the Company’s non-voting revenues and non-voting profits interests in EAM will be sufficient to finance current and forecasted liquidity needs for the next twelve months. Management does not anticipate making any additional borrowings during the next twelve months. As of April 30, 2020, retained earnings and liquid assets were $56,450,000 and $34,158,000, respectively. As of April 30, 2019, retained earnings and liquid assets were $48,598,000 and $28,321,000, respectively.

Seasonality

Our publishing revenues are comprised of subscriptions which are generally annual subscriptions. Our cash flows from operating activities are minimally seasonal in nature, primarily due to the timing of customer payments made for orders and subscription renewals.

Recent Accounting Pronouncements

In February 2016, the FASB issued ASU No. 2016-02, “Leases (Topic 842)”. This ASU requires that, for leases longer than one year, a lessee recognize in the statements of financial position a right-of-use asset, representing the right to use the underlying asset for the lease term, and a lease liability, representing the liability to make lease payments. It also requires that for finance leases, a lessee recognize interest expense on the lease liability, separately from the amortization of the right-of-use asset in the statements of earnings, while for operating leases, such amounts should be recognized as a combined expense. The Company adopted this ASU in May 2019 under a modified retrospective approach (see Note 9).

In August 2016, the FASB issued Accounting Standards Update No. 2016-15, Classification of Certain Cash Receipts and Cash Payments (a consensus of the Emerging Issues Task Force) (“ASU 2016-15”), effective for public business entities for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. The amendments in ASU 2016-15 address eight specific cash flow issues and apply to all entities that are required to present a statement of cash flows under ASC Topic 230, Statement of Cash Flows. The Company has adopted ASU 2016-15 in the first quarter of fiscal 2019.

The FASB issued ASU No. 2014-09, “Revenue from Contracts with Customers (Topic 606)”, which requires an entity to recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which it expects to be entitled in exchange for those goods or services. In addition, ASU No. 2014-09 requires disclosures of the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers. ASU No. 2014-09 supersedes most existing U.S. GAAP revenue recognition principles, and it permits the use of either the retrospective or cumulative effect transition method. ASU No. 2014-09 is effective for annual reporting periods beginning after December 15, 2017, including interim periods within those annual periods. The Company has adopted ASU No. 2014-09 in the first quarter of fiscal 2019, which does not have a material impact on the Company's consolidated condensed financial statements and related disclosures.

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In November 2016, the FASB issued ASU No. 2016-18, "Statement of Cash Flows (Topic 230): Restricted Cash (a consensus of the FASB Emerging Issues Task Force)", effective for annual reporting periods beginning after December 15, 2017, including interim periods within those annual periods. This ASU requires that the reconciliation of the beginning-of-period and end-of-period amounts shown in the statement of cash flows include cash, cash equivalents and amounts generally described as restricted cash or restricted cash equivalents. The Company has adopted ASU No. 2016-18 in the first quarter of fiscal 2019, which does not have a material impact on the Company's consolidated condensed financial statements and related disclosures.

On June 21, 2018, the United States Supreme Court reversed the 1992 ruling in Quill, which protected firms delivering items by common carrier into a state where it had no physical presence from having to collect sales tax in such state. The Company has integrated the effects of the various state laws into its operations and continues to do so.

Critical Accounting Estimates and Policies

The Company prepares its consolidated financial statements in accordance with Generally Accepted Accounting Principles as in effect in the United States (U.S. “GAAP”). The preparation of these financial statements requires the Company to make estimates and judgments that affect the reported amounts of assets, liabilities, revenues and expenses. The Company bases its estimates on historical experience and on various other assumptions that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent, and the Company evaluates its estimates on an ongoing basis. Actual results may differ from these estimates under different assumptions or

conditions. The Company believes the following critical accounting policies reflect the significant judgments and estimates used in the preparation of its Consolidated Financial Statements:

● Revenue recognition

● Income taxes

● Valuation of EAM

Revenue Recognition

The majority of the Company’s revenues come from the sale of print and digital subscriptions and fees for copyright proprietary information. The Company recognizes subscription revenue, net of discounts, in equal amounts over the term of the subscription, which generally ranges from three months to one year or longer, varying based on the product or service. Copyright fees are calculated monthly based on market fluctuation and billed quarterly. The Company believes that the estimates related to revenue recognition are critical accounting estimates, and to the extent that there are material differences between its determination of revenues and actual results, its financial condition or results of operations may be affected.

Income Taxes

The Company’s effective annual income tax expense rate is based on the U.S. federal and state and local jurisdiction tax rates on income and losses that are part of its Consolidated Financial Statements. Tax-planning opportunities, non-taxable income, expenses that are not deductible in the Company’s tax returns, and the blend of business income, including income derived from the Company’s non-voting revenue and non-voting profits interests in EAM and income from securities transactions, will impact the effective tax rate in the jurisdictions in which the Company operates. Significant judgment is required in evaluating the Company’s tax positions.

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Tax law requires items to be included in the tax return at different times from when these items are reflected in the Company’s Consolidated Financial Statements. As a result, the effective tax rate reflected in the Company’s Consolidated Financial Statements is different from the tax rate reported on the Company’s tax returns (the Company’s cash tax rate). These differences reverse over time, such as depreciation and amortization expenses. These timing differences create deferred tax assets and liabilities. Deferred tax assets and liabilities are determined based on temporary differences between the financial reporting and the tax basis of assets and liabilities.

On December 22, 2017 H.R. 1, originally known as the Tax Cuts and Jobs Act (the "Tax Act"), was enacted. The Tax Act lowered the U.S. federal income tax rate ("Federal Tax Rate") from 35% to 21% effective January 1, 2018. Accordingly, the Company computes Federal income tax expense for the twelve months ended April 30, 2019 using the Federal Tax Rate of 21%, and computed its income tax expense for the twelve months ended April 30, 2018 using a blended Federal Income tax rate of 30.33%. The 21% Federal Tax Rate applies to the full fiscal year ending April 30, 2019 and each year thereafter.

 In assessing the need for a valuation allowance, the Company considers both positive and negative evidence, including tax-planning strategies, projected future taxable income, and recent financial performance. If after future assessments of the realizability of the deferred tax assets the Company determines a lesser allowance is required, the Company would record a reduction to the income tax expense and to the valuation allowance in the period this determination was made. This would cause the Company’s income tax expense, effective tax rate, and net income to fluctuate.

In addition, the Company establishes reserves at the time that it determines that it is more likely than not that it will need to pay additional taxes related to certain matters. The Company adjusts these reserves, including any impact of the related interest and penalties, in light of changing facts and circumstances such as the progress of a tax audit. A number of years may elapse before a particular matter for which the Company has established a reserve is audited and finally resolved. The number of years with open tax audits varies depending on the tax jurisdiction. Such liabilities are recorded as income taxes payable in the Company’s Consolidated Balance Sheets. The settlement of any particular issue would usually require the use of cash. Favorable resolutions of tax matters for which the Company has previously established reserves are recognized as a reduction to the Company’s income tax expense when the amounts involved become known.

Assessing the future tax consequences of events that have been recognized in the Company’s financial statements or tax returns requires judgment. Variations in the actual outcome of these future tax consequences could materially impact the Company’s financial position, results of operations, or cash flows.

Investment in EAM Trust

The Company accounts for its investment in EAM using the equity method of accounting. The value of its investment in EAM is the fair value of the contributed capital at inception, plus the Company’s share of non-voting revenues and non-voting profits from EAM, less distributions received from EAM. The Company evaluates its investment in EAM on a regular basis for other-than-temporary impairment, which requires significant judgment and includes quantitative and qualitative analysis of identified events or circumstances that impact the fair value of the investment.

Should the fair value of the investment fall below its carrying value, the Company will determine whether the investment is other-than-temporarily impaired, which includes assessing the severity and duration of the impairment and the likelihood of recovery. If the investment is considered to be other-than-temporarily impaired, the Company will write down the investment to its fair value. Since the inception of EAM, the Company has not recognized any other-than-temporary impairment in the investment.

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Off-Balance Sheet Arrangements

We are not a party to any off-balance sheet arrangements, other than operating leases and a secured Letter of Credit (“LOC”) in the amount of $469,000 issued as a security deposit for the Company’s office facility entered into in the ordinary course of business. The LOC is secured by a restricted Money Market Investment of similar amount.

Contractual Obligations

Below is a summary of certain contractual obligations of the Company as of April 30, 2020 ($ in thousands):

	Payments due by period
Contractual Obligations	Total		Less than 1 year		1-3 years		3-5 years		More than 5 years
Loan Obligations	$	2,331	$	194	$	2,137	$	-	$	-
Operating Lease Obligations		11,435		1,432		3,103		3,062		3,838
Total	$	13,766	$	1,626	$	5,240	$	3,062	$	3,838

Item 7A. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK.

Market Risk Disclosures

The Company’s Consolidated Balance Sheet includes a substantial amount of assets whose fair values are subject to market risks. The Company’s market risks are primarily associated with interest rates and equity price risk. The following sections address the significant market risks associated with the Company’s investment activities.

Interest Rate Risk

The Company’s strategy has been to acquire debt securities with low credit risk. Despite this strategy management recognizes and accepts the possibility that losses may occur. To limit the price fluctuation in these securities from interest rate changes, the Company’s management invests primarily in short-term obligations maturing within one year.

The fair values of the Company’s fixed maturity investments will fluctuate in response to changes in market interest rates. Increases and decreases in prevailing interest rates generally translate into decreases and increases in fair values of those instruments. Additionally, fair values of interest rate sensitive instruments may be affected by prepayment options, relative values of alternative investments, and other general market conditions.

Fixed income securities consist of Bank certificates of deposits and securities issued by the federal government within the United States. As of April 30, 2020 the aggregate cost and fair value of fixed income securities classified as available-for-sale were $14,902,000 and $15,079,000, respectively.  As of April 30, 2019 the aggregate cost and fair value of fixed income securities classified as available-for-sale were $11,163,000 and $11,206,000, respectively. 

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 The following table summarizes the estimated effects of hypothetical increases and decreases in interest rates on assets that are subject to interest rate risk. It is assumed that the changes occur immediately and uniformly to each category of instrument containing interest rate risks. The hypothetical changes in market interest rates do not reflect what could be deemed best or worst case scenarios. Variations in market interest rates could produce significant changes in the timing of repayments due to prepayment options available. For these reasons, actual results might differ from those reflected in the table.

Fixed Income Securities

			Estimated Fair Value after Hypothetical Change in Interest Rates
			(in thousands)
			(bp = basis points)
			1 year		1 year		1 year		1 year
	Fair		50 bp		50 bp		100 bp		100 bp
	Value		increase		decrease		increase		decrease
As of April 30, 2020
Investments in securities with fixed maturities	$	15,079	$	15,058	$	15,179	$	14,998	$	15,240
As of April 30, 2019
Investments in securities with fixed maturities	$	11,206	$	11,476	$	11,446	$	11,493	$	11,451

Management regularly monitors the maturity structure of the Company’s investments in debt securities in order to maintain an acceptable price risk associated with changes in interest rates.

Equity Price Risk 

 The carrying values of investments subject to equity price risks are based on quoted market prices as of the balance sheet dates. Market prices are subject to fluctuation and, consequently, the amount realized in the subsequent sale of an investment may significantly differ from the reported market value. Fluctuation in the market price of a security may result from perceived changes in the underlying economic characteristics of the issuer, the relative price of alternative investments and general market conditions. Furthermore, amounts realized in the sale of a particular security may be affected by the relative quantity of the security being sold.

The Company’s equity investment strategy has been to acquire equity securities across a diversity of industry groups. The portfolio consists of ETFs held for dividend yield that attempt to replicate the performance of certain equity indexes and ETFs that hold preferred shares primarily of financial institutions. In order to maintain liquidity in these securities, the Company’s policy has been to invest in and hold in its portfolio, no more than 5% of the approximate average daily trading volume in any one issue.

As of April 30, 2020 and April 30, 2019, the aggregate cost of the equity securities classified as available-for-sale, which consist of investments in the SPDR Series Trust S&P Dividend ETF (SDY), First Trust Value Line Dividend Index ETF (FVD), PowerShares Financial Preferred ETF (PGF), Select Utilities Select Sector SPDR ETF (XLU), First Trust Value Line 100 ETF (FVL), ProShares Trust S&P 500 Dividend Aristocrats ETF (NOBL), SPDR S&P 500 ETF (SPY) and iShares Select Dividend ETF (DVY) and equity securities portfolio under EAM management held at Charles Schwab was $12,877,000 and $8,541,000, respectively, and the fair value was $14,125,000 and $10,622,000, respectively.  

Equity Securities					Estimated Fair Value after		Hypothetical Percentage
				Hypothetical	Hypothetical		Increase (Decrease) in
($ in thousands)		Fair Value		Price Change	Change in Prices		Shareholders’ Equity
As of April 30, 2020	Equity Securities and ETFs held for dividend yield	$	14,125	30% increase	$	18,363		6.25	%
				30% decrease	$	9,888		-6.25	%

Equity Securities					Estimated Fair Value after		Hypothetical Percentage
				Hypothetical	Hypothetical		Increase (Decrease) in
($ in thousands)		Fair Value		Price Change	Change in Prices		Shareholders’ Equity
As of April 30, 2019	Equity Securities and ETFs held for dividend yield	$	10,622	30% increase	$	13,809		5.30	%
				30% decrease	$	7,436		-5.30	%

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Item 8. FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA.

       The following consolidated financial statements of the registrant and its subsidiaries are included as a part of this Form 10-K:

	Page Number
Report of independent auditors	53
Consolidated balance sheets at April 30, 2020 and 2019	54
Consolidated statements of income for the fiscal years ended April 30, 2020, 2019 and 2018	55
Consolidated statements of comprehensive income for the fiscal years ended April 30, 2020, 2019 and 2018	56
Consolidated statements of cash flows for the fiscal years ended April 30, 2020, 2019 and 2018	57
Consolidated statement of changes in shareholders’ equity for the fiscal years ended April 30, 2020, 2019 and 2018	58
Notes to the consolidated financial statements	59

41

Quarterly Results (Unaudited)

($ in thousands, except per share amounts)     

	Net Revenues		Income/ (Loss) from Operations			Revenues and Profits Interests in EAM Trust		Income/ (Loss) From Securities Trans. and Other, net			Net Income		Earnings Per Share
2020, by Quarter
First	$	9,617	$	2,025		$	2,871	$	141		$	3,690	$	0.38
Second		10,080		2,629			3,058		143			4,211		0.44
Third		10,803		3,129			3,455		167			4,952		0.51
Fourth *		9,799		1,307			2,966		(407	)		2,810		0.29
Total	$	40,299	$	9,090		$	12,350	$	44		$	15,663	$	1.62
2019, by Quarter
First	$	8,971	$	1,270		$	2,271	$	114		$	3,104	$	0.32
Second		9,051		1,760			2,384		123			3,302		0.34
Third		9,052		1,413			2,210		140			2,451		0.25
Fourth		9,183		970			2,444		127			2,293		0.24
Total	$	36,257	$	5,413		$	9,309	$	504		$	11,150	$	1.15
2018, by Quarter
First	$	8,914	$	1,165		$	2,136	$	96		$	2,215	$	0.23
Second		8,989		808			2,237		91			2,072		0.21
Third *		9,094		787			2,284		258			8,996		0.93
Fourth *		8,871		(188	)		2,129		95			1,455		0.15
Total	$	35,868	$	2,572		$	8,786	$	540		$	14,738	$	1.52

* During the fourth quarter of fiscal 2020, the company recognized $581,000 of capital losses on securities available for sale. During the third quarter ended January 31, 2018 the net income of $8,996,000 included deferred tax benefit of $6,485,000 as a result of a decrease in the Federal income taxes due to the Federal tax rate change in fiscal 2018. During the fourth quarter ended April 30, 2018, the Company’s loss from operations of $188,000 was the result of an increase in professional fees and to a lesser extent a decrease in digital publications revenues.

42

Item 9.  CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE.

       None.

Item 9A.  CONTROLS AND PROCEDURES.

(a)  Evaluation of Disclosure Controls and Procedures.

The Company's Chief Executive Officer and Vice President & Treasurer carried out an evaluation of the effectiveness of the Company's "disclosure controls and procedures" (as defined in the Securities Exchange Act of 1934 (the “Exchange Act”) Rules 13a-15(e) or 15d-15(e)) as of April 30, 2020, as required by paragraph (b) of Exchange Act Rules 13a-15 or 15d-15. The Company’s Chief Executive Officer and Vice President & Treasurer are engaged in a comprehensive effort to review, evaluate and improve the Company's controls; however, management does not expect that the Company's disclosure controls or its internal controls over financial reporting can prevent all possible errors and fraud.

The Company maintains disclosure controls and procedures that are designed to ensure that information required to be disclosed in the Company’s reports filed with the SEC is recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms, and that such information is accumulated and communicated to the Company’s management, including its Chief Executive Officer and Vice President & Treasurer, as appropriate, to allow timely decisions regarding required disclosure.

The Company’s management has evaluated, with the participation of the Company’s Chief Executive Officer and, the effectiveness of the Company’s disclosure controls and procedures as of the end of the period covered by this report. Based on that evaluation, the Chief Executive Officer and Vice President & Treasurer have concluded that the Company’s disclosure controls and procedures were effective as of the end of the period covered by this report.

This Form 10-K does not include an attestation report of the Company's registered public accounting firm regarding the Company’s internal control over financial reporting. Under applicable SEC rules, no such attestation report by the Company's registered public accounting firm is required.

Changes in Internal Controls

In the course of the evaluation of disclosure controls and procedures, the Chief Executive Officer and Vice President & Treasurer considered certain internal control areas in which the Company has made and is continuing to make changes to improve and enhance controls. Based upon that evaluation, the Chief Executive Officer and Vice President & Treasurer of the Company concluded that there were no changes in the Company's internal control over financial reporting identified in connection with the evaluation required by paragraph (d) of Exchange Act Rules 13a-15 or 15d-15 that occurred during the fourth quarter of fiscal 2020 that have materially affected, or are reasonably likely to materially affect, the Company's internal controls over financial reporting.

(b)  Management’s Annual Report on Internal Control over Financial Reporting.

The Company’s management is responsible for establishing and maintaining adequate internal control over financial reporting as defined in Rule 13a-15(f) under the Exchange Act. Internal control over financial reporting is a process designed by, or under the supervision of, the Company’s principal executive and principal financial officers, and effected by the board of directors, management, and other personnel, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with U.S. GAAP including those policies and procedures that: (i) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the Company, (ii) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with U.S. GAAP and that receipts and expenditures are being made only in accordance with authorizations of management and directors of the Company, and (iii) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the Company’s assets that could have a material effect on the financial statements.

43

Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with policies and procedures may deteriorate.

Under the supervision and with the participation of management, including the Chief Executive Officer and the Vice President & Treasurer, acting as Principal Financial Officer, the Company has assessed the effectiveness of its internal control over financial reporting as of April 30, 2019. In making this assessment, management used the criteria described in Internal Control - Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Based on this assessment and those criteria, management concluded that the Company did maintain effective internal control over financial reporting as of April 30, 2020.

Changes in Internal Control over Financial Reporting

There have been no changes in the Company’s internal control over financial reporting during the fourth quarter of fiscal 2020 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

Item 9B. OTHER INFORMATION.

None.

44

Part III

Item 10. DIRECTORS, EXECUTIVE OFFICERS, AND CORPORATE GOVERNANCE.

(a) Names of Directors, Age as of June 30, 2020 and Principal Occupation	Director Since
Howard A. Brecher* (66). Chairman and Chief Executive Officer of the Company since October 2011; Acting Chairman and Acting Chief Executive Officer of the Company from November 2009 until October 2011; Chief Legal Officer of the Company from prior to 2005 to the present; Vice President and Secretary of the Value Line Funds from June 2008 until December 2010; Secretary of EAM LLC from February 2009 until December 2010; Director and General Counsel of AB&Co., Inc. from prior to 2005 to the present. Mr. Brecher has been an officer of the Company for more than 25 years. In addition to his current roles with the Company, he has also served as Secretary of the Company and as a senior officer of significant affiliates of the Company. Mr. Brecher is a graduate of Harvard College, Harvard Business School and Harvard Law School. He also holds a Master’s Degree in tax law from New York University.	1992
Stephen P. Davis (68). Retired Deputy Commissioner, New York City Police Department (“NYPD”), from 2014 to 2018. Managing Member, Davis Investigative Group, LLC from 2001 to 2013, and since April, 2018. Mr. Davis served as a senior appointed official in the NYPD from which he retired in 1992 as a uniformed senior officer.  He has successfully managed his own business serving the financial services industry and other clients for more than 13 years.	2010
Alfred R. Fiore (64). Retired Chief of Police, Westport, CT from 2004 to 2011. Mr. Fiore served as the senior official of a municipal department with both executive and budget responsibilities. He was Chief of Police, Westport, CT for seven years and was a member of that Police Department for more than 33 years.	2010
Glenn J. Muenzer (62). Special Agent (Retired), Federal Bureau of Investigation (the “FBI”) from 1991 to 2012. Mr. Muenzer is an accomplished law enforcement professional with extensive law enforcement and financial investigative experience. Prior to joining the FBI, Mr. Muenzer was Vice President and Manager of Internal Audit at Thomson McKinnon Securities, Inc.; Assistant Vice President of Internal Audit at EF Hutton; Senior Auditor with Deloitte. Mr. Muenzer is a Certified Public Accountant and Certified in Financial Forensics.	2012
Stephen R. Anastasio* (61). Vice President of the Company since December 2010; Treasurer since September 2005 and Director since February 2010. Mr. Anastasio has been employed by Value Line, Inc. for more than 30 years. In addition to his current roles with the Company, he has served as Chief Financial Officer, Treasurer, Chief Accounting Officer and Corporate Controller of the Company. Mr. Anastasio is a graduate of Fairleigh Dickinson University and is a Certified Public Accountant.	2010
Mary Bernstein* (70). Director of Accounting of the Company since 2010; Accounting Manager of the Company from 2000 to 2010. Mrs. Bernstein holds an MBA Degree in accounting from Baruch College of CUNY and is a Certified Public Accountant. Mrs. Bernstein has been employed by Value Line, Inc. for more than 20 years.	2010

* Member of the Executive Committee of the Board of Directors.

Except as noted, the directors have held their respective positions for at least five years. Information about the experience, qualifications, attributes and skills of the directors is incorporated by reference from the section entitled "Director Qualifications" in the Company's Proxy Statement for the 2020 Annual Meeting of Shareholders.

(b) The information pertaining to executive officers of the Company is set forth in Part I, Item I, subsection J under the caption "Executive Officers of the Registrant" of this Form 10-K.

45

Audit Committee

The Company has a standing Audit Committee performing the functions described in Section 3(a) (58) (A) of the Securities Exchange Act of 1934, the members of which are: Mr. Glenn Muenzer, Mr. Stephen Davis, and Mr. Alfred Fiore. Mr. Muenzer, a qualified financial expert, was elected Chairman of the Audit Committee in 2012. The Board of Directors have determined that Mr. Muenzer is an “audit committee financial expert” (as defined in the rules and regulations of the SEC). The Board of Directors believes that the experience and financial sophistication of the members of the Audit Committee are sufficient to permit the members of the Audit Committee to fulfill the duties and responsibilities of the Audit Committee. All members of the Audit Committee meet the NASDAQ’s financial sophistication requirements for audit committee members.

Code of Ethics

The Company’s Code of Business Conduct and Ethics that applies to its principal executive officer, principal financial officer, all other officers, and all other employees is available on the Company’s website at www.valueline.com/About/Code of Ethics.aspx.

Procedures for Shareholders to Nominate Directors

There have been no material changes to the procedures by which shareholders of the Company may recommend nominees to the Company's Board of Directors.

Section 16(a) Beneficial Ownership Reporting Compliance

Section 16(a) of the Securities Exchange Act of 1934 requires the Company's executive officers and directors, and persons who own more than ten percent of a registered class of the Company’s equity securities, to file reports of ownership and changes in ownership with the SEC on Forms 3, 4 and 5. Executive officers, directors and greater than ten percent shareholders are required by SEC regulations to furnish the Company with copies of all Forms 3, 4 and 5 they file.

Based on the Company's review of the copies of such forms that it has received and written representations from certain reporting persons confirming that they were not required to file Forms 5 for the fiscal year ended April 30, 2020, the Company believes that all its executive officers, directors and greater than ten percent shareholders complied with applicable SEC filing requirements during fiscal 2020.

Item 11.  EXECUTIVE COMPENSATION.

The information required in response to this Item 11, Executive Compensation, is incorporated by reference from the section entitled “Compensation of Directors and Executive Officers” in the Company’s Proxy Statement for the 2020 Annual Meeting of Shareholders.

46

Item 12.  SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS.

The following table sets forth information as of April 30, 2020 as to shares of the Company's Common Stock held by persons known to the Company to be the beneficial owners of more than 5% of the Company's Common Stock.

Name and Address of Beneficial Owner	Number of Shares Beneficially Owned	Percentage of Shares  Beneficially Owned
Arnold Bernhard & Co., Inc.*	8,633,733	89.78%
551 Fifth Avenue
New York, NY 10176

*All of the outstanding voting stock of Arnold Bernhard & Co., Inc. is owned by Jean B. Buttner.

The following table sets forth information as of April 30, 2020, with respect to shares of the Company's Common Stock owned by each director of the Company, by each executive officer listed in the Summary Compensation Table and by all executive officers and directors as a group.

Name and Address of Beneficial Owner	Number of Shares Beneficially Owned	Percentage of Shares  Beneficially Owned
Howard A. Brecher	1,400	*
Stephen R. Anastasio	1,000	*
Glenn J. Muenzer	300	*
Stephen P. Davis	200	*
Alfred R. Fiore	350	*
Mary Bernstein	200	*
All directors and executive officers as a group (6 persons)	3,450	*

* Less than one percent

Securities Authorized for Issuance under Equity Compensation Plans

There are no securities of the Company authorized for issuance under equity compensation plans.

Item 13.  CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS AND DIRECTOR INDEPENDENCE.

AB&Co., which owns 89.78% of the outstanding shares of the Company’s common stock as of April 30, 2020, utilizes the services of officers and employees of the Company to the extent necessary to conduct its business. The Company and AB&Co. allocate costs for office space, equipment and supplies and shared staff pursuant to a servicing and reimbursement agreement. During the fiscal years ended April 30, 2020 and April 30, 2019, the Company was reimbursed $388,000 and $384,000, respectively for payments it made on behalf of and services it provided to AB&Co. There were no receivables due from the Parent at April 30, 2020 or April 30, 2019. In addition, a tax-sharing arrangement allocates the tax liabilities of the two companies between them. The Company is included in the consolidated federal income tax return filed by AB&Co. The Company pays to AB&Co. an amount equal to the Company's liability as if it filed a separate federal income tax return. For the years ended April 30, 2020 and 2019, the Company made payments to AB&Co. for federal income taxes amounting to $3,325,000 and $2,700,000, respectively.

47

The Company holds non-voting revenues and non-voting profits interests in EAM which entitle the Company to receive from EAM an amount ranging from 41% to 55% of EAM's investment management fee revenues from the Value Line Mutual Funds and separate accounts business, and 50% of EAM’s net profits. EAM currently has no separately managed account clients.

During the twelve months ended April 30, 2020 and April 30, 2019, the Company recorded revenues of $12,350,000 and $9,309,000, respectively, consisting of $11,184,000 and $8,260,000, from its non-voting revenues interest in EAM and $1,166,000 and $1,049,000, from its non-voting profits interest in EAM without incurring any directly related expenses. During the twelve months ended April 30, 2018, the Company recorded revenues of $8,786,000, consisting of $8,040,000, from its non-voting revenues interest in EAM and $746,000, from its non-voting profits interest in EAM.

Included in the Company’s Investment in EAM Trust are receivables due from EAM of $2,949,000 and $2,420,000 at April 30, 2020 and April 30, 2019, respectively, for the unpaid portion of Value Line’s non-voting revenues and non-voting profits interests. The non-voting revenues and non-voting profits interests due from EAM are payable to Value Line quarterly under the provisions of the EAM Declaration of Trust.

The Company has adopted a written Related Party Transactions Policy as part of its Code of Business Conduct and Ethics.  This policy requires that any related party transaction which would be required to be disclosed under Item 404(a) of Regulation S-K must be approved or ratified by the Audit Committee of the Board of Directors.  Transactions covered for the fiscal year ended April 30, 2020 include the matters described in the preceding paragraphs of this Item 13.

Director Independence

The information required with respect to director independence and related matters are incorporated by reference from the section entitled “Compensation of Directors and Executive Officers” in the Company’s Proxy Statement for the 2020 Annual Meeting of Shareholders.

Item 14. PRINCIPAL ACCOUNTING FEES AND SERVICES.

Audit and Non-Audit Fees

The following table illustrates the fees paid to the Company’s independent auditor, Horowitz & Ullmann P.C., for services provided:        

	Fiscal Years Ended April 30,
	2020		2019		2018
Audit fees	$	157,485	$	151,000	$	151,000
Audit-related fees		18,660		4,240		5,960
Tax related fees		116,320		170,115		132,550
Total	$	292,465	$	325,355	$	289,510

In the above table, in accordance with the SEC's definitions and rules, “audit fees” are fees the Company paid Horowitz & Ullmann, P.C. for professional services for the audit of the Company's consolidated financial statements for the fiscal years ended April 30, 2020 and 2019 included in Form 10-K and the review of consolidated condensed financial statements and included in Form 10-Qs and for services that are normally provided by the accountant in connection with statutory and regulatory filings or engagements; “audit-related fees” are fees for assurance and related services that are reasonably related to the performance of the audit or review of the Company's consolidated financial statements; and “tax fees” are fees for tax compliance, tax advice and tax planning.

48

Audit Committee Pre-Approval Policies and Procedures

The Audit Committee of the Company's Board of Directors approves all services provided by Horowitz & Ullmann, P.C., prior to the provision of those services. The Audit Committee has not adopted any specific pre-approval policies and procedures.

Part IV

Item 15. EXHIBITS AND FINANCIAL STATEMENT SCHEDULES.

(a)      (1) Financial Statements - See Part II Item 8.

All other Schedules are omitted because they are not applicable or the required information is shown in the financial statements or notes thereto.

(b) Exhibits

3.1 Certificate of Incorporation of the Company, as amended through April 7, 1983, is incorporated by reference to Exhibit 3.1 to the Registration Statement on Form S-1 of Value Line, Inc. filed with the SEC on April 7, 1983.

3.2 Certificate of Amendment of Certificate of Incorporation dated October 24, 1989 is incorporated by reference to Exhibit 3.2 to the Amended Annual Report on Form 10-K/A for the year ended April 30, 2008 filed with the SEC on June 8, 2009.

3.3 By-laws of the Company, as amended through January 18, 1996, are incorporated by reference to Exhibit 99. (A) 3 to the Amended Quarterly Report on Form 10-Q/A for the quarter ended January 31, 1996 filed with the SEC on March 19, 1996.

10.1 Form of tax allocation arrangement between the Company and AB&Co., Inc. is incorporated by reference to Exhibit 10.8 to the Registration Statement on Form S-1 of Value Line, Inc. filed with the SEC on April 7, 1983.

10.2 Form of Servicing and Reimbursement Agreement between the Company and AB&Co., dated as of November 1, 1982, is incorporated by reference to Exhibit 10.9 to the Registration Statement on Form S-1 of Value Line, Inc. filed with the SEC on April 7, 1983.

10.4 Form of indemnification agreement, dated July 13, 2010, by and between the Company and each of Howard A. Brecher, Stephen Davis, Alfred Fiore, William E. Reed, Mitchell E. Appel, Stephen R. Anastasio and Thomas T. Sarkany is incorporated by reference to Exhibit 10.15 to the Annual Report on Form 10-K for the year ended April 30, 2010 filed with the SEC on July 16, 2010.

10.5 EULAV Asset Management Declaration of Trust dated as of December 23, 2010 is incorporated by reference to Exhibit 10 to the Quarterly Report on Form 10-Q for the quarter ended January 31, 2011 filed with the SEC on March 24, 2011.

10.6(a) Agreement of Sublease, dated as of February 7, 2013, for the Company’s premises at 485 Lexington Ave., New York, NY, is incorporated by reference to Exhibit 10.1 to the Quarterly Report on Form 10-Q for the quarter ended January 31, 2013 filed with the SEC on March 13, 2013.

49

10.6(b) Lease Modification, dated as of February 7, 2013, is incorporated by reference to Exhibit 10.2 to the Quarterly Report on Form 10-Q for the quarter ended January 31, 2013 filed with the SEC on March 13, 2013.

10.7 Agreement of Lease, dated as of February 29, 2016, between the Company’s subsidiary, VLDC and SPG 205 Chubb Ave., Lyndhurst, NJ, is incorporated by reference to Exhibit 10.1 to the Quarterly Report on Form 10-Q for the quarter ended January 31, 2016 filed with the SEC on March 11, 2016.

10.8   Agreement of Sublease, dated as of October 3, 2016, possession commencing December 1, 2016 for The Company’s premises at 551 Fifth Ave., New York, NY and Consent of Landlord dated November 30, 2016, is incorporated by reference to Exhibit 10.1 to the Quarterly Report on Form 10-Q for the quarter ended October 31, 2016 filed with the SEC on December 13, 2016.

14.1 Code of Business Conduct and Ethics is incorporated by reference to Exhibit 14.1 to the Quarterly Report on Form 10-Q for the quarter ended January 31, 2011 filed with the SEC on March 24, 2011.

21.1 List of subsidiaries of Value Line, Inc.*

31.1 Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.*

31.2 Certification of Principal Financial Officer and Principal Accounting Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.*

32.1 Certification of the Chief Executive Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. This exhibit shall not be deemed “filed” as a part of this Annual Report on Form 10-K.*

32.2 Certification of the Principal Financial Officer and Principal Accounting Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. This exhibit shall not be deemed “filed” as a part of this Annual Report on Form 10-K.*

99.1 EULAV Asset Management Audited Consolidated Financial Statements as of April 30, 2020. Separate financial statements of subsidiaries not consolidated and fifty percent or less owned persons.*

* Filed herewith.

101.INS	XBRL Instance Document
101.SCH	XBRL Taxonomy Extension Schema Document
101.CAL	XBRL Taxonomy Extension Calculation Linkbase Document
101.DEF	XBRL Taxonomy Extension Definition Linkbase Document
101.LAB	XBRL Taxonomy Extension Label Linkbase Document
101.PRE	XBRL Taxonomy Extension Presentation Linkbase Document

50

SIGNATURES

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

VALUE LINE, INC.

(Registrant)

By:	/s/ Howard A. Brecher
	Howard A. Brecher
	Chairman & Chief Executive Officer
	(Principal Executive Officer)

Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following persons on behalf of the Registrant and in the capacities and on the dates indicated.

By:	/s/ Howard A. Brecher
	Howard A. Brecher
	Chairman & Chief Executive Officer and Director
	(Principal Executive Officer)

By:	/s/ Stephen R. Anastasio
	Stephen R. Anastasio
	Vice President & Treasurer and Director
	(Principal Financial Officer and Principal Accounting Officer)

Dated: July 27, 2020

51

Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed by the undersigned on behalf of the Registrant as Directors of the Registrant.

/s/ Glenn J. Muenzer

Glenn Muenzer

Director

/s/ Stephen P. Davis

Stephen Davis

Director

/s/ Alfred R. Fiore

Alfred Fiore

Director

/s/ Mary Bernstein

Mary Bernstein

Director

Dated: July 27, 2020

52

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Shareholders and
Board of Directors of Value Line, Inc.

Opinion on the Financial Statements

We have audited the accompanying consolidated balance sheets of Value Line, Inc. (the “Company”) as of April 30, 2020 and 2019, and the related consolidated statements of income, comprehensive income, changes in shareholders’ equity, and cash flows for each of the three years in the period ended April 30, 2020, and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Company as of April 30, 2020 and 2019, and the results of its operations and its cash flows for each of the three years in the period ended April 30, 2020, in conformity with accounting principles generally accepted in the United States of America.

Basis for Opinion

These financial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on the Company’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Company is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal control over financial reporting, but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

/s/ Horowitz & Ullmann, P.C.

We have served as the Company’s auditor since 1996.

New York, NY

July 27, 2020

53

Part II

Item 8.

Value Line, Inc.

Consolidated Balance Sheets

(in thousands, except share amounts)

	April 30,			April 30,
	2020			2019
Assets
Current Assets:
Cash and cash equivalents (including short term investments of $2,115 and $5,617, respectively)	$	4,954		$	6,493
Securities available-for-sale		29,204			21,828
Accounts receivable, net of allowance for doubtful accounts of $38 and $22, respectively		4,438			1,504
Receivable from clearing broker		608			-
Prepaid and refundable income taxes		-			254
Prepaid expenses and other current assets		1,321			1,335
Total current assets		40,525			31,414
Long term assets:
Investment in EAM Trust		59,165			58,625
Restricted money market investments		469			469
Property and equipment, net		9,500			1,146
Capitalized software and other intangible assets, net		69			134
Total long term assets		69,203			60,374
Total assets	$	109,728		$	91,788
Liabilities and Shareholders' Equity
Current Liabilities:
Accounts payable and accrued liabilities	$	2,057		$	2,068
Accrued salaries		1,145			1,211
Dividends payable		2,019			1,933
Accrued taxes on income		1,043			180
Payable to clearing broker		588			-
Loan obligation-short term		194			-
Operating lease obligation-short term		925			-
Unearned revenue		18,854			20,008
Total current liabilities		26,825			25,400
Long term liabilities:
Unearned revenue		5,884			5,475
Loan obligation-long term		2,137			-
Operating lease obligation-long term		8,492			-
Deferred charges		-			765
Deferred income taxes		12,851			12,624
Total long term liabilities		29,364			18,864
Total liabilities		56,189			44,264
Shareholders' Equity:
Common stock, $0.10 par value; authorized 30,000,000 shares; issued 10,000,000 shares		1,000			1,000
Additional paid-in capital		991			991
Retained earnings		56,450			48,598
Treasury stock, at cost (383,279 shares and 336,439 shares, respectively)		(5,957	)		(4,743	)
Accumulated other comprehensive income, net of tax		1,055			1,678
Total shareholders' equity		53,539			47,524
Total liabilities and shareholders' equity	$	109,728		$	91,788

See independent auditor's report and accompanying notes to the consolidated financial statements.

54

Part II

Item 8.

Value Line, Inc.

Consolidated Statements of Income

(in thousands, except share & per share amounts)

	For the Fiscal Years Ended
	April 30,
	2020		2019		2018
Revenues:
Investment periodicals and related publications	$	27,628	$	28,820	$	29,503
Copyright fees		12,671		7,437		6,365
Total publishing revenues		40,299		36,257		35,868
Expenses:
Advertising and promotion		3,350		3,406		3,780
Salaries and employee benefits		18,189		17,781		18,488
Production and distribution		4,945		5,222		5,857
Office and administration		4,725		4,435		5,171
Total expenses		31,209		30,844		33,296
Income from operations		9,090		5,413		2,572
Revenues interest in EAM Trust		11,184		8,260		8,040
Profits interest in EAM Trust		1,166		1,049		746
Income from securities transactions, net		44		504		540
Income before income taxes		21,484		15,226		11,898
Income tax provision		5,821		4,076		(2,840	)
Net income	$	15,663	$	11,150	$	14,738
Earnings per share, basic & fully diluted	$	1.62	$	1.15	$	1.52
Weighted average number of common shares		9,646,885		9,683,771		9,703,255

See independent auditor's report and accompanying notes to the consolidated financial statements.

55

Part II

Item 8.

Value Line, Inc.

Consolidated Statements of Comprehensive Income

(in thousands)

	For the Fiscal Years Ended
	April 30,
	2020			2019		2018
Net income	$	15,663		$	11,150	$	14,738
Other comprehensive income/(loss), net of tax:
Change in unrealized gains on securities, net of taxes		(623	)		895		325
Other comprehensive income/(loss)		(623	)		895		325
Comprehensive income	$	15,040		$	12,045	$	15,063

See independent auditor's report and accompanying notes to the consolidated financial statements.

56

Part II

Item 8.

Value Line, Inc.

Consolidated Statements of Cash Flows

(in thousands)

	For the Fiscal Years Ended
	April 30,
	2020			2019			2018
Cash flows from operating activities:
Net income	$	15,663		$	11,150		$	14,738
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization		266			367			1,125
Realized gain on sales of equity securities		581			-			(152	)
Non-voting profits interest in EAM Trust		(1,166	)		(1,049	)		(746	)
Non-voting revenues interest in EAM Trust		(11,184	)		(8,260	)		(8,040	)
Revenues distribution received from EAM Trust		10,588			8,027			7,879
Profits distributions received from EAM Trust		1,222			945			957
Deferred rent		99			(89	)		422
Deferred income taxes		267			512			(7,058	)
Other, net		-			(55	)		(60	)
Changes in operating assets and liabilities:
Unearned revenue		(745	)		(42	)		(134	)
Accounts payable & accrued expenses		(12	)		142			669
Accrued salaries		(66	)		(176	)		102
Accrued taxes on income		898			339			324
Prepaid and refundable income taxes		254			203			(385	)
Prepaid expenses and other current assets		14			(65	)		297
Accounts receivable		(2,934	)		(455	)		(31	)
Total adjustments		(1,918	)		344			(4,831	)
Net cash provided by operating activities		13,745			11,494			9,907
Cash flows from investing activities:
Purchases/sales of securities classified as available-for-sale:
Proceeds from sales of equity securities		4,387			-			152
Purchases of equity securities		(9,302	)		(156	)		-
Proceeds from sales of fixed income securities		8,663			8,346			3,384
Purchases of fixed income securities		(12,403	)		(11,040	)		(4,368	)
Acquisition of property and equipment		(2	)		(11	)		(408	)
Expenditures for capitalized software		-			(111	)		-
Net cash used in investing activities		(8,657	)		(2,972	)		(1,240	)
Cash flows from financing activities:
Purchase of treasury stock at cost		(1,214	)		(608	)		(354	)
Proceeds from SBA loan		2,331			-			-
Receivable from clearing broker		(608	)		-			-
Payable to clearing broker		588			-			-
Dividends paid		(7,724	)		(7,362	)		(8,929	)
Net cash used in financing activities		(6,627	)		(7,970	)		(9,283	)
Net change in cash and cash equivalents		(1,539	)		552			(616	)
Cash, cash equivalents and restricted cash at beginning of year		6,962			6,410			7,026
Cash, cash equivalents and restricted cash at end of year	$	5,423		$	6,962		$	6,410

See independent auditor's report and accompanying notes to the consolidated financial statements.

57

Part II

Item 8.

Value Line, Inc.

Consolidated Statements of Changes in Shareholders' Equity

For the Fiscal Years Ended April 30, 2020, 2019 and 2018

(in thousands, except share amounts)

	Common stock				Additional paid-in		Treasury Stock						Retained			Accumulated Other Comprehensive
	Shares		Amount		capital		Shares			Amount			earnings			income		Total
Balance as of April 30, 2017		10,000,000	$	1,000	$	991		(288,335	)	$	(3,781	)	$	39,186		$	458	$	37,854
Net income														14,738					14,738
Change in unrealized gains on securities, net of taxes																	325		325
Purchase of treasury stock								(20,045	)		(354	)							(354	)
Dividends declared														(9,022	)				(9,022	)
Balance as of April 30, 2018		10,000,000	$	1,000	$	991		(308,380	)	$	(4,135	)	$	44,902		$	783	$	43,541

Dividends declared per share were $0.18 for each of the three months ended July 31, 2017, October 31, 2017 and January 31, 2018 and $0.19 for the three months ended April 30, 2018. In addition, a special dividend of $0.20 per share was declared on January 19, 2018.

	Common stock				Additional paid-in		Treasury Stock						Retained			Accumulated Other Comprehensive
	Shares		Amount		capital		Shares			Amount			earnings			income		Total
Balance as of April 30, 2018		10,000,000	$	1,000	$	991		(308,380	)	$	(4,135	)	$	44,902		$	783	$	43,541
Net income														11,150					11,150
Change in unrealized gains on securities, net of taxes																	895		895
Purchase of treasury stock								(28,059	)		(608	)							(608	)
Dividends declared														(7,454	)				(7,454	)
Balance as of April 30, 2019		10,000,000	$	1,000	$	991		(336,439	)	$	(4,743	)	$	48,598		$	1,678	$	47,524

Dividends declared per share were $0.19 for each of the three months ended July 31, 2018, October 31, 2018 and January 31, 2019 and $0.20 for the three months ended April 30, 2019.

	Common stock				Additional paid-in		Treasury Stock						Retained			Accumulated Other Comprehensive
	Shares		Amount		capital		Shares			Amount			earnings			income			Total
Balance as of April 30, 2019		10,000,000	$	1,000	$	991		(336,439	)	$	(4,743	)	$	48,598		$	1,678		$	47,524
Net income														15,663						15,663
Change in unrealized gains on securities, net of taxes																	(623	)		(623	)
Purchase of treasury stock								(46,840	)		(1,214	)								(1,214	)
Dividends declared														(7,811	)					(7,811	)
Balance as of April 30, 2020		10,000,000	$	1,000	$	991		(383,279	)	$	(5,957	)	$	56,450		$	1,055		$	53,539

Dividends declared per share were $0.20 for each of the three months ended July 31, 2019, October 31, 2019 and January 31, 2020 and $0.21 for the three months ended April 30, 2020.

See independent auditor's report and accompanying notes to the consolidated financial statements.

58

Value Line, Inc.

Notes to Consolidated Financial Statements

Note 1-Organization and Summary of Significant Accounting Policies:

Value Line, Inc. ("Value Line" or "VLI", and collectively with its subsidiaries, the “Company”) is incorporated in the State of New York. The name "Value Line" as used to describe the Company, its products, and its subsidiaries, is a registered trademark of the Company. The Company's core business is producing investment periodicals and their underlying research and making available certain Value Line copyrights, Value Line trademarks and Value Line Proprietary Ranking System results and other proprietary information, to third parties under written agreements for use in third-party managed and marketed investment products and for other purposes. The Company maintains a significant investment in Eulav Asset Management LLC ("EAM") from which it received a non-voting revenues interest and a non-voting profits interest. EAM was established to provide investment management services to the Value Line Mutual Funds ("Value Line Funds" or the "Funds").

Prior to December 23, 2010 (the "Restructuring Date"), VLI, through its direct subsidiary EULAV Asset Management LLC ("EAM LLC"), provided investment management services to the Value Line Funds, institutions and individual accounts, and through EAM LLC's subsidiary EULAV Securities, Inc. ("ESI"), provided distribution, marketing, and administrative services to the Value Line Funds. On December 23, 2010, the Company deconsolidated the asset management and mutual fund distribution subsidiaries and exchanged its controlling interest in these subsidiaries for a non-voting revenues interest and a non-voting profits interest in EULAV Asset Management Trust, a Delaware business statutory trust ("EAM" or "EAM Trust"), the successor to EAM LLC and the sole member of EULAV Securities LLC ("ES"), the successor to ESI, (the "Restructuring Transaction"). Pursuant to the EAM Declaration of Trust dated as of December 23, 2010 (the "EAM Trust Agreement"), VLI granted EAM the right to use the Value Line name for all existing Value Line Funds and agreed to supply, without charge or expense, the Value Line Proprietary Ranking System information to EAM for use in managing the Value Line Funds.

Use of Estimates:

The preparation of financial statements in conformity with U.S. generally accepted accounting principles ("GAAP") requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results may differ from those estimates.

Principles of Consolidation:

The Company follows the guidance in the Financial Accounting Standards Board's ("FASB") Topic 810 “Consolidation” to determine if it should consolidate its investment in a variable interest entity ("VIE"). A VIE is a legal entity in which either (i) equity investors do not have sufficient equity investment at risk to enable the entity to finance its activities independently or (ii) the equity holders at risk lack the obligation to absorb losses, the right to receive residual returns or the right to make decisions about the entity’s activities that most significantly affect the entity's economic performance. A holder of a variable interest in a VIE is required to consolidate the entity if it is determined that it has a controlling financial interest in the VIE and is therefore the primary beneficiary. The determination of a controlling financial interest in a VIE is based on a qualitative assessment to identify the variable interest holder, if any, that has (i) the power to direct the activities of the VIE that most significantly impact the VIE’s economic performance, and (ii) either the obligation to absorb losses of the entity or the right to receive benefits from the entity that could potentially be significant to the VIE. The accounting guidance requires the Company to perform an ongoing assessment of whether the Company is the primary beneficiary of a VIE and the Company has determined it is not the primary beneficiary of a VIE (see Note 5).

In accordance with FASB's Topic 810, the assets, liabilities, and results of operations of subsidiaries in which the Company has a controlling interest have been consolidated. All significant intercompany accounts and transactions have been eliminated in consolidation. On December 23, 2010, the Company completed the Restructuring Transaction and deconsolidated the related affiliates in accordance with FASB's Topic 810. As part of the Restructuring Transaction, the Company received a significant non-voting revenues interest (excluding distribution revenues) and a significant non-voting profits interest in the new entity, EULAV Asset Management, a Delaware statutory trust (“EAM” or “EAM Trust”). The Company relied on the guidance in FASB's ASC Topics 323 and 810 in its determination not to consolidate its investment in EAM and to account for such investment under the equity method of accounting. The Company reports the amount it receives for its non-voting revenues and non-voting profits interests as a separate line item below operating income in the Consolidated Statements of Income.

Revenue Recognition:

Depending upon the product, subscription fulfillment for Value Line periodicals and related publications is available in print or digitally, via internet access. The length of a subscription varies by product and offer received by the subscriber. Generally, subscriptions are offered as annual subscriptions with the majority of subscriptions paid in advance. Subscription revenues, net of discounts, are recognized ratably on a straight line basis when the product is served to the client over the life of the subscription. Accordingly, the amount of subscription fees to be earned by fulfilling subscriptions after the date of the balance sheets are shown as unearned revenue within current and long-term liabilities.

Copyright fees are derived from providing certain Value Line trademarks and the Value Line Proprietary Ranking System results to third parties under written agreements for use in selecting securities for third party marketed products, including unit investment trusts, annuities and exchange traded funds ("ETFs"). The Company earns asset-based copyright fees upon delivery of the product to the customer as specified in the individual agreements. Revenue is recognized monthly and received either quarterly or in advance over the term of the agreement and, because it is asset-based, will fluctuate as the market value of the underlying portfolio increases or decreases in value.

EAM earns investment management fees from the Value Line Funds. The management fees and average daily net assets for the Value Line Funds are calculated by State Street Bank, which serves as the fund accountant, fund administrator, and custodian of the Value Line Funds.

The Value Line Funds are open-end management companies registered under the Investment Company Act of 1940 (the "1940 Act"). Shareholder transactions for the Value Line Funds are processed each business day by the third party transfer agent of the Funds. Shares can be redeemed without advance notice upon request of the shareowners each day that the New York Stock Exchange is open.

59

Investment in Unconsolidated Entities:

The Company accounts for its investment in its unconsolidated entity, EAM, using the equity method of accounting in accordance with FASB’s ASC 323. The equity method is an appropriate means of recognizing increases or decreases measured by GAAP in the economic resources underlying the investments. Under the equity method, an investor recognizes its share of the earnings or losses of an investee in the periods for which they are reported by the investee in its financial statements rather than in the period in which an investee declares a dividend or distribution. An investor adjusts the carrying amount of an investment for its share of the earnings or losses recognized by the investee.

The Company’s “interests” in EAM, the investment adviser to and the sole member of the distributor of the Value Line Funds, consist of a "non-voting revenues interest" and a "non-voting profits interest" in EAM as defined in the EAM Trust Agreement. The non-voting revenues interest entitles the Company to receive a range of 41% to 55%, based on the amount of EAM’s adjusted gross revenues, excluding EULAV Securities' distribution revenues (“Revenues Interest”). The non-voting profits interest entitles the Company to receive 50% of EAM's profits, subject to certain limited adjustments as defined in the EAM Trust Agreement (“Profits Interest”). The Revenues Interest and at least 90% of the Profits Interest are to be distributed each quarter to all interest holders of EAM, including Value Line. Subsequent to the Restructuring Date, the Company's Revenues Interest in EAM excludes participation in the service and distribution fees of EAM's subsidiary EULAV Securities. The Company reflects its non-voting revenues and non-voting profits interests in EAM as non-operating income under the equity method of accounting subsequent to the Restructuring Transaction. Although the Company does not have control over the operating and financial policies of EAM, pursuant to the EAM Trust Agreement, the Company has a contractual right to receive its share of EAM's revenues and profits.

Recent Accounting Pronouncements:

In February 2016, the FASB issued ASU No. 2016-02, “Leases (Topic 842)”. This ASU requires that, for leases longer than one year, a lessee recognize in the statements of financial position a right-of-use asset, representing the right to use the underlying asset for the lease term, and a lease liability, representing the liability to make lease payments. It also requires that for finance leases, a lessee recognize interest expense on the lease liability, separately from the amortization of the right-of-use asset in the statements of earnings, while for operating leases, such amounts should be recognized as a combined expense. The Company adopted this ASU in May 2019 under a modified retrospective approach (see Note 9).

In August 2016, the FASB issued Accounting Standards Update No. 2016-15, Classification of Certain Cash Receipts and Cash Payments (a consensus of the Emerging Issues Task Force) (“ASU 2016-15”), effective for public business entities for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. The amendments in ASU 2016-15 address eight specific cash flow issues and apply to all entities that are required to present a statement of cash flows under ASC Topic 230, Statement of Cash Flows. The Company has adopted ASU 2016-15 in the first quarter of fiscal 2019.

The FASB issued ASU No. 2014-09, “Revenue from Contracts with Customers (Topic 606)”, which requires an entity to recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which it expects to be entitled in exchange for those goods or services. In addition, ASU No. 2014-09 requires disclosures of the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers. ASU No. 2014-09 supersedes most existing U.S. GAAP revenue recognition principles, and it permits the use of either the retrospective or cumulative effect transition method. ASU No. 2014-09 is effective for annual reporting periods beginning after December 15, 2017, including interim periods within those annual periods. The Company has adopted ASU No. 2014-09 in the first quarter of fiscal 2019, which does not have a material impact on the Company's consolidated condensed financial statements and related disclosures.

In November 2016, the FASB issued ASU No. 2016-18, "Statement of Cash Flows (Topic 230): Restricted Cash (a consensus of the FASB Emerging Issues Task Force)", effective for annual reporting periods beginning after December 15, 2017, including interim periods within those annual periods. This ASU requires that the reconciliation of the beginning-of-period and end-of-period amounts shown in the statement of cash flows include cash, cash equivalents and amounts generally described as restricted cash or restricted cash equivalents. The Company has adopted ASU No. 2016-18 in the first quarter of fiscal 2019, which does not have a material impact on the Company's consolidated condensed financial statements and related disclosures.

On June 21, 2018, the United States Supreme Court reversed the 1992 ruling in Quill, which protected firms delivering items by common carrier into a state where it had no physical presence from having to collect sales tax in such state. The Company has  integrated the effects of the various state laws into its operations and continues to do so.

60

Valuation of Securities:

The Company's securities classified as cash equivalents and available-for-sale consist of shares of money market funds that invest primarily in short-term U.S. Government securities and investments in equities including ETFs and are valued in accordance with the requirements of the Fair Value Measurements Topic of the FASB's ASC 820. The securities classified as available-for-sale reflected in the Consolidated Balance Sheets are valued at market and unrealized gains and losses, net of applicable taxes, are reported as a separate component of shareholders' equity. Realized gains and losses on sales of the securities classified as available-for-sale are recorded in earnings as of the trade date and are determined on the identified cost method.

The Company classifies its securities available-for-sale as current assets to properly reflect its liquidity and to recognize the fact that it has liquid assets available-for-sale should the need arise.

Market valuations of securities listed on a securities exchange and ETF shares are based on the closing sales prices on the last business day of each month. The market value of the Company's fixed maturity U.S. Government debt securities is determined utilizing publicly quoted market prices. Cash equivalents consist of investments in money market funds that invest primarily in U.S. Government securities valued in accordance with rule 2a-7 under the 1940 Act.

The Fair Value Measurements Topic of FASB's ASC defines fair value as the price that the Company would receive upon selling an investment in a timely transaction to an independent buyer in the principal or most advantageous market for the investment. The Fair Value Measurements Topic established a three-tier hierarchy to maximize the use of observable market data and minimize the use of unobservable inputs and to establish classification of fair value measurements for disclosure purposes. Inputs refer broadly to the information that market participants would use in pricing the asset or liability, including assumptions about risk. Examples of risks include those inherent in a particular valuation technique used to measure fair value such as the risk inherent in the inputs to the valuation technique. Inputs are classified as observable or unobservable. Observable inputs are inputs that reflect the assumptions market participants would use in pricing the asset or liability developed based on market data obtained from sources independent of the reporting entity. Unobservable inputs are inputs that reflect the reporting entity’s own assumptions about the factors market participants would use in pricing the asset or liability developed based on the best information available in the circumstances.

The three-tier hierarchy of inputs is summarized in the three broad levels listed below.

Level 1 – quoted prices in active markets for identical investments

Level 2 – other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.)

Level 3 – significant unobservable inputs (including the Company’s own assumptions in determining the fair value of investments)

The following summarizes the levels of fair value measurements of the Company’s investments:

		As of April 30, 2020
($ in thousands)	Level 1		Level 2		Level 3		Total
Cash equivalents	$	2,115	$	-	$	-	$	2,115
Securities available-for-sale		29,204		-		-		29,204
	$	31,319	$	-	$	-	$	31,319

		As of April 30, 2019
($ in thousands)	Level 1		Level 2		Level 3		Total
Cash equivalents	$	5,617	$	-	$	-	$	5,617
Securities available-for-sale		21,828		-		-		21,828
	$	27,445	$	-	$	-	$	27,445

The Company had no other financial instruments such as futures, forwards and swap contracts. For the periods ended April 30, 2020 and April 30, 2019, there were no Level 2 nor Level 3 investments. The Company does not have any liabilities subject to fair value measurement.

61

Advertising expenses:

The Company expenses advertising costs as incurred.

Income Taxes:

The Company computes its income tax provision in accordance with the Income Tax Topic of the FASB's ASC. Deferred tax liabilities and assets are recognized for the expected future tax consequences of events that have been reflected in the Consolidated Financial Statements. Deferred tax liabilities and assets are determined based on the differences between the book values and the tax bases of particular assets and liabilities, using tax rates currently in effect for the years in which the differences are expected to reverse. The Company adopted the provisions of ASU 2015-17, Income taxes (Topic 740) during the first quarter of fiscal 2018 and now classifies all deferred taxes as long-term liabilities on the Consolidated Balance Sheets.

The Income Tax Topic of the FASB's ASC establishes for all entities, a minimum threshold for financial statement recognition of the benefit of positions taken in filing tax returns (including whether an entity is taxable in a particular jurisdiction), and requires certain expanded tax disclosures. As of April 30, 2020, management has reviewed the tax positions for the years still subject to tax audit under the statute of limitations, evaluated the implications, and determined that there is no material impact to the Company's financial statements.

Earnings per share:

Earnings per share are based on the weighted average number of shares of common stock and common stock equivalents outstanding during each period. Any shares that are reacquired during the period are weighted for the portion of the period that they are outstanding. The Company does not have any potentially dilutive common shares from outstanding stock options, warrants, restricted stock, or restricted stock units.

Cash and Cash Equivalents:

For purposes of the Consolidated Statements of Cash Flows, the Company considers all cash held at banks and short-term liquid investments with an original maturity of less than three months to be cash and cash equivalents. As of April 30, 2020 and April 30, 2019, cash equivalents included $2,115,000 and $5,617,000, respectively, for amounts invested in money market mutual funds that invest in short-term U.S. government securities.

Note 2 - Supplementary Cash Flow Information:

Reconciliation of Cash, Cash Equivalents, and Restricted Cash:

The following table provides a reconciliation of cash, cash equivalents, and restricted cash reported within the Consolidated Statement of Cash Flows that sum to the total of the same such amounts shown in the Consolidated Statement of Cash Flows.

	Fiscal Years Ended April 30,
($ in thousands)	2020		2019		2018
Cash and cash equivalents	$	4,954	$	6,493	$	5,941
Restricted cash	$	469	$	469	$	469
Total cash, cash equivalents, and restricted cash shown in the Consolidated Statement of Cash Flows	$	5,423	$	6,962	$	6,410

Income Tax Payments:

The Company made income tax payments as follows:

	Fiscal Years Ended April 30,
($ in thousands)	2020		2019		2018
State and local income tax payments	$	1,105	$	387	$	307
Federal income tax payments to the Parent	$	3,325	$	2,700	$	3,975

See Note 3 - Related Party Transactions for tax amounts associated with Arnold Bernhard and Co., Inc. (“AB&Co.” or the "Parent").

62

Note 3 - Related Party Transactions:

Investment Management (overview):

On December 23, 2010, the Company deconsolidated its asset management and mutual fund distribution businesses and its interest in these businesses was restructured as a non-voting revenues and non-voting profits interests in EAM. Accordingly, the Company no longer reports this operation as a separate business segment, although it still maintains a significant interest in the cash flows generated by this business and will receive non-voting revenues and non-voting profits interests going forward, as discussed below.

Total assets in the Value Line Funds managed and/or distributed by EAM at April 30, 2020, were $3.58 billion, which is $485 million, or 15.7%, above total assets of $3.09 billion in the Value Line Funds managed and/or distributed by EAM at April 30, 2019.

The Company’s non-voting revenues and non-voting profits interests in EAM entitle it to receive quarterly distributions in a range of 41% to 55% of EAM’s revenues (excluding distribution revenues) from EAM’s mutual fund and separate account business and 50% of the residual profits of EAM (subject to temporary increase in certain limited circumstances). The Voting Profits Interest Holders will receive the other 50% of residual profits of EAM. Distribution is not less than 90% of EAM’s profits payable each fiscal quarter under the provisions of the EAM Trust Agreement. Value Line’s percent share of EAM’s revenues is calculated each fiscal quarter. The applicable recent non-voting revenues interest percentage for the fourth quarter of fiscal 2020 was 51.51%.

The non-voting revenues and 90% of the Company's non-voting profits interests due from EAM to the Company are payable each fiscal quarter under the provisions of the EAM Trust Agreement. The distributable amounts earned through the balance sheet date, which is included in the Investment in EAM Trust on the Consolidated Balance Sheets, and not yet paid, were $2,949,000 and $2,420,000 at April 30, 2020 and April 30, 2019, respectively.

EAM Trust - VLI's non-voting revenues and non-voting profits interests:

The Company holds non-voting revenues and non-voting profits interests in EAM which entitle the Company to receive from EAM an amount ranging from 41% to 55% of EAM's investment management fee revenues from its mutual fund and separate accounts business. EAM currently has no separately managed account clients. The Company recorded income from its non-voting revenues interest and its non-voting profits interests in EAM as follows:

	Fiscal Years Ended April 30,
($ in thousands)	2020		2019		2018
Non-voting revenues interest in EAM	$	11,184	$	8,260	$	8,040
Non-voting profits interest in EAM		1,166		1,049		746
	$	12,350	$	9,309	$	8,786

Transactions with Parent:

During the fiscal years ended April 30, 2020 and April 30, 2019, the Company was reimbursed $388,000 and $384,000, respectively for payments it made on behalf of and for services it provided to AB&Co. There were no receivables due from the Parent at April 30, 2020 or April 30, 2019.

The Company is a party to a tax-sharing arrangement with the Parent which allocates the tax liabilities of the two Companies between them. For the years ended April 30, 2020, 2019, and 2018, the Company made payments to the Parent for federal income tax amounting to $3,325,000, $2,700,000 and $3,975,000, respectively.

From time to time, the Parent has purchased additional shares of common stock of the Company in the market when and as the Parent has determined it to be appropriate. The Parent may make additional purchases of common stock of the Company from time to time in the future. As of April 30, 2020, the Parent owned 89.78% of the outstanding shares of common stock of the Company.

63

Note 4 - Investments:

Securities Available-for-Sale:

Investments held by the Company and its subsidiaries are classified as securities available-for-sale in accordance with FASB's ASC 320, Investments - Debt and Equity Securities.  All of the Company's securities classified as available-for-sale were readily marketable or had a maturity of twelve months or less and are classified as current assets on the Consolidated Balance Sheets.

Equity Securities:

Equity securities classified as available-for-sale on the Consolidated Balance Sheets, consist of ETFs held for dividend yield that attempt to replicate the performance of certain equity indexes and ETFs that hold preferred shares primarily of financial institutions.

As of April 30, 2020 and April 30, 2019, the aggregate cost of the equity securities classified as available-for-sale, which consist of investments in the SPDR Series Trust S&P Dividend ETF (SDY), First Trust Value Line Dividend Index ETF (FVD), PowerShares Financial Preferred ETF (PGF), Select Utilities Select Sector SPDR ETF (XLU), First Trust Value Line 100 ETF (FVL), ProShares Trust S&P 500 Dividend Aristocrats ETF (NOBL), SPDR S&P 500 ETF (SPY) and iShares Select Dividend ETF (DVY) and equity securities portfolio under EAM management held at Charles Schwab was $12,877,000 and $8,541,000, respectively, and the fair value was $14,125,000 and $10,622,000, respectively.

Proceeds from sales of equity securities classified as available-for-sale during the twelve months ended April 30, 2020 were $4,387,000 and the related capital losses of $581,000 were reclassified from Accumulated Other Comprehensive Income in the Consolidated Balance Sheet to the Consolidated Statement of Income. There were no gains or losses on sales of equity securities classified as available-for-sale during fiscal 2019 or fiscal 2018. Capital gain distributions of $152,000 were reclassified from Accumulated Other Comprehensive Income in the Consolidated Balance Sheet to the Consolidated Statement of Income during the twelve months ended April 30, 2018.  There were no capital gain distributions in fiscal 2020 and 2019. The decrease in gross unrealized gains on equity securities classified as available-for-sale of $833,000, net of deferred  tax benefit of $112,000 was included in Shareholders' Equity at April 30, 2020.  The increase in gross unrealized gains on equity securities classified as available-for-sale of $1,087,000, net of deferred  taxes of $228,000 was included in Shareholders' Equity at April 30, 2019.  As of April 30,2020 and April 30, 2019, accumulated other comprehensive income included net unrealized  gains of $1,248,000 and $2,081,000, net of deferred taxes of $325,000  and $437,000, respectively.

The carrying value and fair value of securities available-for-sale at April 30, 2020 were as follows:

($ in thousands)	Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
ETFs - equities	$	12,877	$	1,317	$	(69	)	$	14,125

The carrying value and fair value of securities available-for-sale at April 30, 2019 were as follows:

($ in thousands)	Cost		Gross Unrealized Holding Gains		Fair Value
ETFs - equities	$	8,541	$	2,081	$	10,622

Government Debt Securities (Fixed Income Securities):

Fixed income securities consist of certificates of deposits and securities issued by federal, state and local governments within the United States.

Proceeds from maturities and sales of government debt securities classified as available-for-sale during the twelve months ended April 30, 2020 and April 30, 2019, were $8,663,000 and $8,346,000, respectively.  As of April 30, 2020 and April 30, 2019, accumulated other comprehensive income included unrealized  gains of $177,000 and $43,000, net of deferred taxes of $46,000  and $9,000, respectively.

The aggregate cost and fair value at April 30, 2020 of fixed income securities classified as available-for-sale were as follows:

	Amortized		Gross Unrealized
($ in thousands)	Historical Cost		Holding Gains		Fair Value
Maturity
Due within 1 year	$	14,652	$	177	$	14,829
Due 1 year through 5 years		250		-		250
Total investment in government debt securities	$	14,902	$	177	$	15,079

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The increase in gross unrealized  gains of $134,000 on fixed income securities classified as available-for-sale net of deferred income taxes of $37,000, was included in Accumulated Other Comprehensive Income on the Consolidated Balance Sheet as of April 30, 2020.

The aggregate cost and fair value at April 30, 2019 of fixed income securities classified as available-for-sale were as follows:

	Amortized		Gross Unrealized
($ in thousands)	Historical Cost		Holding Gains		Fair Value
Maturity
Due within 1 year	$	6,913	$	33	$	6,946
Due 1 year through 5 years		4,250		10		4,260
Total investment in government debt securities	$	11,163	$	43	$	11,206

The increase in gross unrealized  gains of $46,000 on fixed income securities classified as available-for-sale net of deferred income taxes of $10,000, was included in Accumulated Other Comprehensive Income on the Consolidated Balance Sheet as of April 30, 2019.

The average yield on the Government debt securities classified as available-for-sale at April 30, 2020 and April 30, 2019 was 2.27% and 2.09%, respectively.

Income from Securities Transactions:

Income from securities transactions was comprised of the following:

		Fiscal Years Ended April 30,
($ in thousands)	2020			2019		2018
Dividend income	$	352		$	257	$	226
Interest income		279			201		103
Capital gain distributions from ETFs (1)		-			-		152
Realized loss on sale of securities (2)		(581	)		-		-
Other		(6	)		46		59
Total income from securities transactions, net	$	44		$	504	$	540

(1) Capital gain distributions of $152,000 were reclassified from Accumulated Other Comprehensive Income in the Consolidated Balance Sheets to the Consolidated Statements of Income in fiscal 2018.

(2) Realized losses of $581,000 were reclassified from Accumulated Other Comprehensive Income in the Consolidated Balance Sheets to the Consolidated Statements of Income in fiscal 2020.

The changes in the value of equity and fixed income securities investments are recorded in Other Comprehensive Income in the Consolidated Financial Statements. Realized gains and losses are recorded on the trade date in the Consolidated Statements of Income when securities are sold, mature or are redeemed. As of April 30, 2020, the changes in gross unrealized gains of $699,000, net of deferred tax benefit of $76,000, were recorded in Accumulated Other Comprehensive Income in the Consolidated Balance Sheets. As of April 30, 2019, the changes in gross unrealized gains of $1,133,000, net of deferred tax expense of $238,000 were recorded in Accumulated Other Comprehensive Income in the Consolidated Balance Sheets.

Investment in Unconsolidated Entities:

Equity Method Investment:

As of April 30, 2020 and April 30, 2019, the Company's investment in EAM Trust, on the Consolidated Balance Sheets was $59,165,000 and $58,625,000, respectively.

The value of VLI’s investment in EAM at April 30, 2020 and April 30, 2019 reflects the fair value of contributed capital of $55,805,000 at inception, which included $5,820,000 of cash and liquid securities in excess of working capital requirements contributed to EAM’s capital account by VLI, plus VLI's share of non-voting revenues and non-voting profits from EAM less distributions, made quarterly to VLI by EAM, during the period subsequent to its initial investment through the dates of the Consolidated Balance Sheets.

It is anticipated that EAM will have sufficient liquidity and earn enough profit to conduct its current and future operations so the management of EAM will not need additional funding.

The Company monitors its Investment in EAM Trust for impairment to determine whether an event or change in circumstances has occurred that may have a significant adverse effect on the fair value of the investment. Impairment indicators include, but are not limited to the following: (a) a significant deterioration in the earnings performance, asset quality, or business prospects of the investee, (b) a significant adverse change in the regulatory, economic, or technological environment of the investee, (c) a significant adverse change in the general market condition of the industry in which the investee operates, or (d) factors that raise significant concerns about the investee’s ability to continue as a going concern such as negative cash flows, working capital deficiencies, or noncompliance with statutory capital and regulatory requirements. EAM did not record any impairment losses for its assets during the fiscal years 2020 or 2019.

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The components of EAM’s investment management operations, provided to the Company by EAM, were as follows:

	Fiscal Years Ended April 30,
($ in thousands)	2020			2019		2018
Investment management fees earned from the Value Line Funds, net of waivers shown below	$	21,985		$	16,715	$	15,988
12b-1 fees and other fees, net of waivers shown below	$	8,436		$	6,811	$	6,455
Other income	$	(156	)	$	273	$	171
Investment management fee waivers and reimbursements	$	302		$	421	$	487
12b-1 fee waivers	$	667		$	654	$	754
Value Line’s non-voting revenues interest	$	11,184		$	8,260	$	8,040
EAM's net income (1)	$	2,332		$	2,098	$	1,492

(1) Represents EAM's net income, after giving effect to Value Line’s non-voting revenues interest, but before distributions to voting profits interest holders and to the Company in respect of its 50% non-voting profits interest.

	Fiscal Years Ended April 30,
($ in thousands)	2020			2019
EAM's total assets	$	61,335		$	60,683
EAM's total liabilities (1)		(4,192	)		(3,547	)
EAM's total equity	$	57,143		$	57,136

(1) At April 30, 2020 and 2019, EAM's total liabilities included a payable to VLI for its accrued non-voting revenues and non-voting profits interests of $2,949,000 and $2,420,000, respectively.

Note 5 - Variable Interest Entity:

The Company retained a non-voting revenues interest and a 50% non-voting profits interest in EAM, which was formed, as a result of the Restructuring Transaction on December 23, 2010, to carry on the asset management and mutual fund distribution businesses formerly conducted by the Company. EAM is considered to be a VIE in relation to the Company. The Company makes its determination for consolidation of EAM as a VIE based on a qualitative assessment of the purpose and design of EAM, the terms and characteristics of the variable interests in EAM, and the risks EAM is designed to originate and pass through to holders of variable interests. Other than EAM, the Company does not have an interest in any other VIEs.

The Company has determined that it does not have a controlling financial interest in EAM because it does not have the power to direct the activities of EAM that most significantly impact its economic performance. Value Line does not hold any voting stock of EAM and it does not have any involvement in the day-to-day activities or operations of EAM. Although the EAM Trust Agreement provides Value Line with certain consent rights and contains certain restrictive covenants related to the activities of EAM, these are considered to be protective rights and therefore Value Line does not maintain control over EAM.

In addition, although EAM is expected to be profitable, there is a risk that it could operate at a loss. While all of the profit interest shareholders in EAM are subject to variability based on EAM’s operations risk, Value Line’s non-voting revenues interest in EAM is a preferred interest in the revenues of EAM, rather than a profits interest in EAM, and Value Line accordingly believes it is subject to proportionately less risk than other holders of the profits interests.

The Company has not provided any explicit or implicit financial or other support to EAM other than what was contractually agreed to in the EAM Trust Agreement. Value Line has no obligation to fund EAM in the future and, as a result, has no exposure to loss beyond its initial investment and any undistributed revenues and profits interests retained in EAM. The following table presents the total assets of EAM, the maximum exposure to loss due to involvement with EAM, as well as the value of the assets and liabilities the Company has recorded on its Consolidated Balance Sheets for its interest in EAM.

			Value Line
($ in thousands)	VIE Assets		Investment in EAM Trust (1)		Liabilities		Maximum Exposure to Loss
As of April 30, 2020	$	61,335	$	59,165	$	-	$	59,165
As of April 30, 2019	$	60,683	$	58,625	$	-	$	58,625

(1) Reported within Long-Term Assets on Consolidated Balance Sheets.

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Note 6 - Property and Equipment:

Property and equipment are carried at cost. Depreciation and amortization are provided using the straight-line method over the estimated useful lives of the assets, or in the case of leasehold improvements, over the remaining terms of the leases. For income tax purposes, depreciation of furniture and equipment is computed using accelerated methods and buildings and leasehold improvements are depreciated over prescribed extended tax lives. Property and equipment, net, on the Consolidated Balance Sheets was comprised of the following:

	As of April 30,
($ in thousands)	2020			2019
Building and leasehold improvements	$	1,013		$	1,013
Operating lease - right-of-use asset		8,550			-
Furniture and equipment		4,047			4,042
		13,610			5,055
Accumulated depreciation and amortization		(4,110	)		(3,909	)
Total property and equipment, net	$	9,500		$	1,146

Note 7 - Federal, State and Local Income Taxes:

In accordance with the requirements of the Income Tax Topic of the FASB's ASC, the Company's provision for income taxes includes the following:

	Fiscal Years Ended April 30,
($ in thousands)	2020		2019			2018
Current tax expense:
Federal	$	4,201	$	2,964		$	3,853
State and local		1,353		600			365
Current tax expense		5,554		3,564			4,218
Deferred tax expense (benefit):
Federal		1		(650	)		(7,021	)
State and local		266		1,162			(37	)
Deferred tax expense (benefit):		267		512			(7,058	)
Income tax provision	$	5,821	$	4,076		$	(2,840	)

On December 22, 2017 H.R. 1, originally known as the Tax Cuts and Jobs Act (the "Tax Act"), was enacted. The Tax Act lowered the U.S. federal income tax rate ("Federal Tax Rate") from 35% to 21% effective January 1, 2018. Accordingly, the Company computes Federal income tax expense using the Federal Tax Rate of 21% in fiscal year 2020 and each year thereafter. The Company computed Federal income tax expense for the twelve months ended April 30, 2019 using the Federal Tax Rate of 21%, and computed its income tax expense for the twelve months ended April 30, 2018 using a blended Federal Income tax rate of 30.33%.

The overall effective income tax rates, as a percentage of pre-tax ordinary income for the twelve months ended April 30, 2020, April 30, 2019 and April 30, 2018 were 27.09%, 26.81% and (23.87%), respectively. The increase in the effective tax rate during the twelve months ended April 30, 2020 is primarily a result of an increase in the state and local income taxes to 6.30% as a result of changes in state and local tax legislation and the effect of the lowering of the NYC tax allocation factor on deferred taxes in fiscal 2019. The Company's annualized overall effective tax rate fluctuates due to a number of factors, in addition to changes in tax law, including but not limited to an increase or decrease in the ratio of items that do not have tax consequences to pre-tax income, the Company's geographic profit mix between tax jurisdictions, taxation method adopted by each locality, new interpretations of existing tax laws and rulings and settlements with tax authorities.

The overall change in the effective Federal tax rate during the twelve months ended April 30, 2019 and April 30, 2018 is primarily a result of the reduced Federal Tax Rate. As mentioned above, in fiscal 2018 the U.S. statutory federal corporate income tax rate was reduced from 35% to 21%, which resulted in a tax benefit of 54.51% of pre-tax income for the twelve months ended April 30, 2018, primarily attributable to the effect on the long-term deferred tax liability. The Company re-calculated its net deferred tax assets and liabilities using the Federal Tax Rate under the Tax Act and allocated it directly to both current and deferred income tax expenses from continuing operations. In addition, due to evolving state tax legislation, the Company's state and local effective income tax rate, net of Federal income tax benefit, increased from 0.7% of pretax income for the twelve months ended April 30, 2018, to 6.02% of pretax income for the twelve months ended April 30, 2019.

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Deferred income taxes, a liability, are provided for temporary differences between the financial reporting basis and the tax basis of the Company's assets and liabilities. The tax effect of temporary differences giving rise to the Company's long-term deferred tax liability are as follows:

	Fiscal Years Ended April 30,
($ in thousands)	2020			2019
Federal tax liability (benefit):
Deferred gain on deconsolidation of EAM	$	10,669		$	10,669
Deferred non-cash post-employment compensation		(372	)		(372	)
Depreciation and amortization		108			130
Unrealized gain on securities held for sale		299			446
Right of Use Asset		(182	)		-
Deferred charges		(166	)		(354	)
Other		(207	)		(279	)
Total federal tax liability		10,149			10,240
State and local tax liabilities (benefits):
Deferred gain on deconsolidation of EAM		2,564			2,530
Deferred non-cash post-employment compensation		(88	)		(74	)
Depreciation and amortization		44			40
Unrealized gain on securities held for sale		72			106
Other		110			(218	)
Total state and local tax liabilities		2,702			2,384
Deferred tax liability, long-term	$	12,851		$	12,624

The tax effect of temporary differences giving rise to the Company's long-term deferred tax liability is primarily a result of the federal, state and local taxes related to the $50,805,000 gain from deconsolidation of the Company's asset management and mutual fund distribution subsidiaries, partially offset by the long-term tax benefit related to the non-cash post-employment compensation of $1,770,000 granted to VLI's former employee.

The Company uses the effective income tax rate determined to provide for income taxes on a year-to-date basis and reflects the tax effect of any tax law changes and certain other discrete events in the period in which they occur.

The provision for income taxes differs from the amount of income tax determined by applying the applicable U.S. statutory income tax rate to pre-tax income as a result of the following:

	Fiscal Years Ended April 30,
	2020			2019			2018
U.S. statutory federal tax rate		21.00	%		21.00	%		30.33	%
Increase (decrease) in tax rate from:
Effect on deferred tax liabilities from federal tax rate reduction to 21%		-			-			(54.51	)%
State and local income taxes, net of federal income tax benefit		6.30	%		6.02	%		0.70	%
Effect of dividends received deductions		(0.24	)%		(0.24	)%		(0.49	)%
Other, net		0.03	%		0.03	%		0.10	%
Effective income tax rate		27.09	%		26.81	%		(23.87	)%

The Company believes that, as of April 30, 2020, there were no material uncertain tax positions that would require disclosure under GAAP.

The Company is included in the consolidated federal income tax return of the Parent. The Company has a tax sharing agreement which requires it to make tax payments to the Parent equal to the Company's liability/(benefit) as if it filed a separate return. Beginning with the fiscal year ended April 30, 2017, the Company files combined income tax returns with the Parent on a unitary basis in certain states as a result of changes in state tax regulations.

The Company’s federal income tax returns (included in the Parent’s consolidated returns) and state and city tax returns for fiscal years ended 2017 through 2019, are subject to examination by the tax authorities, generally for three years after they are filed with the tax authorities. The Company is presently engaged in a New York City tax audit for the fiscal years ended April 30, 2017 through 2019 and does not expect it to have a material effect on the financial statements. 

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Note 8 - Employees' Profit Sharing and Savings Plan:

Substantially all employees of the Company and its subsidiaries are members of the Value Line, Inc. Profit Sharing and Savings Plan (the "Plan"). In general, this is a qualified, contributory plan which provides for a discretionary annual Company contribution which is determined by a formula based on the salaries of eligible employees and the amount of consolidated net operating income as defined in the Plan. For the fiscal years ended April 30, 2020, 2019 and 2018, the estimated profit sharing plan contribution, which is included as an expense in salaries and employee benefits in the Consolidated Statements of Income, was $870,000, $592,000 and $496,000, respectively.

Note 9 - Lease Commitments:

On November 30, 2016, Value Line, Inc., received consent from the landlord at 551 Fifth Avenue, New York, NY to the terms of a new sublease agreement between Value Line, Inc. and ABM Industries, Incorporated (“ABM” or the “Sublandlord”) commencing on December 1, 2016. Pursuant to the agreement Value Line leased from ABM 24,726 square feet of office space located on the second and third floors at 551 Fifth Avenue, New York, NY (“Building” or “Premises”) beginning on December 1, 2016 and ending on November 29, 2027. Base rent under the sublease agreement is $1,126,000 per annum during the first year with an annual increase in base rent of 2.25% scheduled for each subsequent year, payable in equal monthly installments on the first day of each month, subject to customary concessions in the Company’s favor and pass-through of certain increases in utility costs and real estate taxes over the base year. The Company provided a security deposit represented by a letter of credit in the amount of $469,000 in October 2016, which is scheduled to be reduced to $305,000 on September 30, 2021 and fully refunded after the sublease ends. This Building became the Company’s new corporate office facility. The Company is required to pay for certain operating expenses associated with the Premises as well as utilities supplied to the Premises. The sublease terms provide for a significant decrease (23% initially) in the Company’s annual rental expenditure taking into account free rent for the first six months of the sublease. Sublandlord provided Value Line a work allowance of $417,000 which accompanied with the six months free rent worth $563,000 was applied against the Company’s obligation to pay rent at our NYC headquarters, delaying the actual rent payments until November 2017.

On February 29, 2016, the Company’s subsidiary VLDC and Seagis Property Group LP (the “Landlord”) entered into a lease agreement, pursuant to which VLDC has leased 24,110 square feet of warehouse and appurtenant office space located at 205 Chubb Ave., Lyndhurst, NJ (“Warehouse”) beginning on May 1, 2016 and ending on April 30, 2024 (“Lease”). Base rent under the Lease is $192,880 per annum payable in equal monthly installments on the first day of each month, in advance during fiscal 2017 and will gradually increase to $237,218 in fiscal 2024, subject to customary increases based on operating costs and real estate taxes. The Company provided a security deposit in cash in the amount of $32,146, which will be fully refunded after the lease term expires. The lease is a net lease requiring the Company to pay for certain operating expenses associated with the Warehouse as well as utilities supplied to the Warehouse.

In February 2016, the FASB issued ASU No. 2016-02, “Leases (Topic 842)”. This ASU requires that, for leases longer than one year, a lessee recognizes in the statements of financial position a right-of-use asset, representing the right to use the underlying asset for the lease term, and a lease liability, representing the liability to make lease payments. It also requires that for finance leases, a lessee recognizes interest expense on the lease liability, separately from the amortization of the right-of-use asset in the statements of earnings, while for operating leases, such amounts should be recognized as a combined expense. The firm adopted this ASU in May 2019 under a modified retrospective approach.

The Company adopted ASU 2016-02 using a modified retrospective transition approach as of the Effective Date as permitted by the amendments in ASU 2018-11, which provides an alternative modified retrospective transition method. As a result, the Company was not required to adjust its comparative period financial information for effects of the standard or make the new required lease disclosures for periods before the date of adoption (i.e. May 1, 2019). The Company has elected to employ the transitionary relief offered by the FASB and, therefore, has not reassessed (1) whether existing or expired contracts contain a lease, (2) lease classification for existing or expired leases or (3) the accounting for initial direct costs that were previously capitalized.

The Company leases office space in New York, NY and a warehouse and appurtenant office space in Lyndhurst, NJ. The Company has evaluated these leases and determined that they are operating leases under the definitions of the guidance of ASU 2016-02.

The right-of-use asset is initially measured at cost, which comprises the initial amount of the net present value of the lease liability adjusted for lease payments made at or before the lease commencement date, plus any initial direct costs incurred less any lease incentives received. For operating leases, the right-of-use asset is subsequently measured throughout the lease term at the carrying amount of the net present value of the lease liability, plus initial direct costs, plus (minus) any prepaid (accrued) lease payments, less the unamortized balance of lease incentives received.

On May 1, 2019, the Company recorded a right-of-use asset in the amount of $9,575,000, which represents the lease liability of $10,340,000 adjusted for previously recorded unamortized lease incentives in the amount of $765,000. The right-of-use asset will be amortized over the remaining lease term in the amount equal to the difference between the calculated straight-line expense of the total lease payments less the monthly interest calculated on the remaining lease liability. As of April 30, 2020, the Company had a long-term lease asset of $8,550,000 recorded in property and equipment in its consolidated balance sheets.

The Company recognizes lease expense, calculated as the remaining cost of the lease allocated over the remaining lease term on a straight-line basis. Lease expense are presented as part of continuing operations in the consolidated condensed statements of income. For the twelve months ended April 30, 2020, the Company recognized $1,499,000 in lease expense.

For the twelve months ended April 30, 2020, the Company paid $1,400,000 in rent relating to the leases. As a payment arising from an operating lease, the $1,400,000 will be classified within operating activities in the consolidated statements of cash flows.

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The Company’s leases generally do not provide an implicit interest rate, and therefore the Company estimated an incremental borrowing rate, or IBR, as of the commencement date, to determine the present value of its operating lease liabilities. The IBR is defined under ASC 842 as the rate of interest that the Company would have to pay to borrow on a collateralized basis over a similar term for an amount equal to the lease payments in a similar economic environment. The following table reconciles the undiscounted future minimum lease payments to the total operating lease liabilities recognized on the consolidated balance sheet as of April 30, 2020:

Fiscal years ended April 30,	(in thousands)
2021		1,432
2022		1,506
2023		1,597
2024		1,634
2025		1,429
Thereafter		3,838
Total undiscounted future minimum lease payments		11,436
Less: difference between undiscounted lease payments & the present value of future lease payments		2,019
Total operating lease liabilities	$	9,417

For the fiscal years ended April 30, 2020, 2019 and 2018, rental expenses were $1,499,000, $1,278,000 and $1,246,000, respectively.

Note 10 - Disclosure of Credit Risk of Financial Instruments with Off-Balance Sheet Risk:

Other than EAM and the Value Line Funds as explained in Note 3 - Related Party Transactions, a single customer accounted for a significant portion of the Company's sales in fiscal 2020, 2019 or 2018, and its accounts receivable as of April 30, 2020 or 2019. During the twelve months ended April 30, 2020, 2019 and 2018, 31.4%, 20.5% and 17.7%, respectively, of total publishing revenues were derived from a single customer as explained in Note 17 - Concentration.

Note 11 - Comprehensive Income:

The FASB's ASC Comprehensive Income topic requires the reporting of comprehensive income in addition to net income from operations. Comprehensive income is a more inclusive financial reporting methodology that includes disclosure of certain financial information that otherwise would not be recognized in the calculation of net income.

As of April 30, 2020 and April 30, 2019, the Company held equity securities consisting primarily of ETFs with high relative dividend yields that are classified as securities available-for-sale on the Consolidated Balance Sheets. As of April 30, 2020 and April 30, 2019 the Company also held fixed income securities consisting of certificates of deposits and securities issued by federal, state, and local governments within the United States that are classified as securities available-for-sale on the Consolidated Balance Sheets. The change in valuation of these securities, net of deferred income taxes, has been recorded in accumulated other comprehensive income in the Company's Consolidated Balance Sheets.

The components of comprehensive income that are included in the Consolidated Statement of Changes in Shareholders' Equity for the twelve months ending April 30, 2020 are as follows:

	Fiscal Year Ended April 30, 2020
($ in thousands)	Amount Before Tax			Tax (Expense) / Benefit			Amount Net of Tax
Change in unrealized gains on securities	$	(1,280	)	$	227		$	(1,053	)
Add: Losses realized in net income		581			(151	)		430
	$	(699	)	$	76		$	(623	)

The components of comprehensive income that are included in the Consolidated Statement of Changes in Shareholders' Equity for the twelve months ending April 30, 2019 are as follows:

	Fiscal Year Ended April 30, 2019
($ in thousands)	Amount Before Tax		Tax (Expense) / Benefit			Amount Net of Tax
Change in unrealized gains on securities	$	1,133	$	(238	)	$	895
	$	1,133	$	(238	)	$	895

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The components of comprehensive income that are included in the Consolidated Statement of Changes in Shareholders' Equity for the twelve months ending April 30, 2018 are as follows:

	Fiscal Year Ended April 30, 2018
($ in thousands)	Amount Before Tax			Tax (Expense) / Benefit		Amount Net of Tax
Change in unrealized gains on securities	$	437		$	8	$	445
Less: Gains realized in net income		(152	)		32		(120	)
	$	285		$	40	$	325

Note 12 - Accounting for the Costs of Computer Software Developed for Internal Use:

The Company has adopted the provisions of the Statement of Position 98-1 (SOP 98-1), "Accounting for the Costs of Computer Software Developed for Internal Use". SOP 98-1 requires companies to capitalize as long-lived assets many of the costs associated with developing or purchasing software for internal use and amortize those costs over the software's estimated useful life in a systematic and rational manner. Such costs, when incurred, are capitalized and amortized over the expected useful life of the asset, normally 3 to 5 years.

The Company did not incur and did not capitalize expenditures related to third party programmers' costs or to the development of software for internal use during the twelve months ended April 30, 2020.

During the twelve months ended April 30, 2019 the Company capitalized $111,000 related to the third party programmers' costs. The Company did not incur and did not capitalize expenditures related to the development of software for internal use during the twelve months ended April 30, 2019 or April 30, 2018. Total amortization expenses for the years ended April 30, 2020, 2019 and 2018 were $65,000, $131,000 and $848,000, respectively.

Note 13 - Treasury Stock and Repurchase Program:

On April 17, 2020, the Company's Board of Directors approved a share repurchase program authorizing the repurchase of shares of the Company’s common stock up to an aggregate purchase price of $2,000,000. The repurchases may be made from time to time on the open market at prevailing market prices, in negotiated transactions off the market, in block purchases or otherwise. The repurchase program may be suspended or discontinued at any time at the Company’s discretion and has no set expiration date.

Treasury stock, at cost, consists of the following:

($ in thousands except for cost per share)	Shares		Cost Assigned		Average Cost per Share		Aggregate Purchase Price Remaining Under the Program
Balance as of April 30, 2017 (1), (2)		288,335	$	3,781	$	13.11	$	609
Purchases effected in open market (2)		20,045	$	354	$	17.67	$	-
Balance as of April 30, 2018		308,380	$	4,135	$	13.41	$	255
Purchases effected in open market (2) (3)		28,059	$	608	$	21.68	$	-
Balance as of April 30, 2019		336,439	$	4,743	$	14.10	$	1,438
Purchases effected in open market (2) (3)		46,840	$	1,214	$	25.91	$	-
Balance as of April 30, 2020		383,279	$	5,957	$	15.54	$	2,000

(1) Included 85,219 shares with a total average cost of $1,036,000 that were acquired during the former repurchase program, which was authorized in January 2011 and expired in January 2012; 18,400 shares were acquired prior to the repurchase program authorized in January 2011.

(2) Were acquired during the $3 million repurchase program authorized in September 2012.

(3) Were acquired during the $2 million repurchase program authorized in October 2018.

Note 14 - Copyright Fees:

During the twelve months ended April 30, 2020, copyright fees of $12,671,000 were 70.4% above fiscal 2019. During the twelve months ended April 30, 2019, copyright fees of $7,437,000 were 16.8% above fiscal 2018. As of April 30, 2020, total third party sponsored assets were $8.6 billion, as compared to $6.1 billion in assets at April 30, 2019.

Note 15 - Restricted Cash and Deposits:

Restricted Money Market Investment in the noncurrent assets on the Consolidated Balance Sheets at April 30, 2020 and April 30, 2019, includes $469,000, which represents cash invested in a bank money market fund securing a letter of credit ("LOC") in the amount of $469,000 issued to the sublandlord as a security deposit for the Company's new leased corporate office facility.

71

Note 16 - Concentration:

During the twelve months ended April 30, 2020, 31.4% of total publishing revenues of $40,299,000 were derived from a single customer. During the twelve months ended April 30, 2019, 20.5% of total publishing revenues of $36,257,000 were derived from a single customer.

Note 17 - Concentration of Credit Risk:

Financial instruments that potentially subject the Company to concentration of credit risk consist principally of cash deposits. Accounts at each institution are insured by the Federal Deposit Insurance Corporation (“FDIC”) up to $250,000. At April 30, 2020 and 2019, the Company had $5,202,000 and $1,597,000, respectively, in excess of the FDIC insured limit. Management has concluded the excess does not represent a material risk, based on the creditworthiness of the counter parties.

Note 18 - Business Segments:

The Publishing business segment, the Company's only reportable segment subsequent to December 23, 2010, produces investment periodicals and related publications (retail and institutional) in both print and digital form, and includes Value Line copyrights and Value Line Proprietary Ranking System results and other proprietary information.

As more fully described in Note 1 - Organization and Summary of Significant Accounting Policies, the Company deconsolidated its investment management business on December 23, 2010 and therefore no longer reports the investment management operation as a separate business unit. Although VLI continues to receive significant cash flows from these operations through its non-controlling investment in EAM, it no longer considers this to be a reportable business segment due to its lack of control over the operating and financial policies of EAM.

Note 19 - Paycheck Protection Program Loan:

The Company recently executed a note and received loan (the "PPP Loan") from JP Morgan Chase Bank under the Paycheck Protection Program ("PPP") which was established under the Coronavirus Aid, Relief, and Economic Security Act (the "CARES Act") and is administered by the U.S. Small Business Administration. In April 2020, the Company received the PPP Loan of $2,331,365. The proceeds from the PPP Loan will be used in accordance with the terms of the CARES Act program, as described further below.

The term of the PPP Loan is two years. The interest rate on the PPP Loan is 1.00%, which shall be deferred for the first six months of the term of the loan. Pursuant to the terms of the CARES Act, the proceeds of the PPP Loan may be used for payroll costs, mortgage interest, rent or utility costs. The promissory note evidencing the PPP Loan contains customary events of default relating to, among other things, payment defaults, breach of representations and warranties, or provisions of the promissory note. The occurrence of an event of default may result in a claim for the immediate repayment of all amounts outstanding under such PPP Loan, collection of all amounts owing from the respective Borrower, filing suit and obtaining judgment against the respective Borrower.

Under the terms of the CARES Act, Borrower can apply for and be granted forgiveness for all or a portion of the PPP Loan.  Such forgiveness will be determined, subject to limitations, based on the use of loan proceeds in accordance with the terms of the CARES Act, as described above, during a period not to exceed a twenty-four week period after loan origination and the maintenance or achievement of certain employee levels.  No assurance is provided that Borrower will obtain forgiveness under any relevant PPP Loan in whole or in part.

72

EX-21.1

Exhibit 21.1

Subsidiaries of the Registrant

	State of	Percentage of Voting Securities
	Incorporation	Owned By Registrant
Value Line Publishing LLC	Delaware	100%
The Vanderbilt Advertising Agency, Inc.	New York	100%
Value Line Distribution Center, Inc.	New Jersey	100%

EX-31.1

Exhibit 31.1

RULE 13a-14(a)/15d-14(a) CERTIFICATION

I, Howard A. Brecher, certify that:

1. I have reviewed this report on Form 10-K of Value Line, Inc;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b) )any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date:  July 27, 2020	By:	/s/ Howard A. Brecher
		Howard A. Brecher
		Chairman & Chief Executive Officer
		(Principal Executive Officer)

EX-31.2

Exhibit 31.2

RULE 13a-14(a)/15d-14(a) CERTIFICATION

I, Stephen R. Anastasio, certify that:

1. I have reviewed this report on Form 10-K of Value Line, Inc;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date:  July 27, 2020	By:	/s/ Stephen R. Anastasio
		Stephen R. Anastasio
		Vice President & Treasurer
		(Principal Financial Officer and
		Principal Accounting Officer)

EX-32.1

Exhibit 32.1

CERTIFICATION PURSUANT TO 18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Annual Report on Form 10-K of Value Line, Inc. (the “Company”), for the fiscal year ended April 30, 2020 (the “Report”), I, Howard A. Brecher, Chairman & Chief Executive Officer of the Company, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that, as of the date hereof, to my knowledge:

1) the Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”); and

2) the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company at the dates and for the periods presented.

This Certification accompanies this Report pursuant to Section 906 of the Act and shall not, except to the extent required by such Act, be deemed to be “filed” under the Exchange Act. This Certification will not be deemed to be incorporated by reference into any filing under the Securities Act of 1933, as amended, or the Exchange Act, except to the extent that the Company specifically incorporates it by reference.

Date: July 27, 2020	By:	/s/ Howard A. Brecher
		Howard A. Brecher
		Chairman & Chief Executive Officer
		(Principal Executive Officer)

EX-32.2

Exhibit 32.2

CERTIFICATION PURSUANT TO 18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Annual Report on Form 10-K of Value Line, Inc. (the “Company”), for the fiscal year ended April 30, 2020 (the “Report”), I, Stephen R. Anastasio, Vice President & Treasurer of the Company, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that, as of the date hereof, to my knowledge:

1) the Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”); and

2) the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company at the dates and for the periods presented.

This Certification accompanies this Report pursuant to Section 906 of the Act and shall not, except to the extent required by such Act, be deemed to be “filed” under the Exchange Act. This Certification will not be deemed to be incorporated by reference into any filing under the Securities Act of 1933, as amended, or the Exchange Act, except to the extent that the Company specifically incorporates it by reference.

Date: July 27, 2020	By:	/s/ Stephen R. Anastasio
		Stephen R. Anastasio
		Vice President & Treasurer
		(Principal Financial Officer and
		Principal Accounting Officer)

EX-99.1

Exhibit 99.1

EULAV ASSET MANAGEMENT

CONSOLIDATED FINANCIAL STATEMENTS

APRIL 30, 2020

INDEPENDENT AUDITORS' REPORT

To the Trustees of

EULAV Asset Management

Report on the Consolidated Financial Statements

We have audited the accompanying consolidated financial statements of EULAV Asset Management and Subsidiary, which comprise the consolidated statement of financial condition as of April 30, 2020, and the related consolidated statements of operations, changes in owners' equity, and cash flows for the year then ended, and the related notes to the consolidated financial statements.

Management's Responsibility for the Consolidated Financial Statements

Management is responsible for the preparation and fair presentation of these consolidated financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.

Auditor's Responsibility

Our responsibility is to express an opinion on these consolidated financial statements based on our audit.  We conducted our audit in accordance with auditing standards generally accepted in the United States of America.  Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements.  The procedures selected depend on the auditor's judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error.  In making those risk assessments, the auditor considers internal control relevant to the entity's preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity's internal control.  Accordingly, we express no such opinion.  An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Opinion

In our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the consolidated financial position of EULAV Asset Management and Subsidiary as of April 30, 2020, and the consolidated results of their operations and their cash flows for the year then ended in accordance with accounting principles generally accepted in the United States of America.

/s/ EISNERAMPER LLP

New York, New York

June 30, 2020

EULAV ASSET MANAGEMENT

Consolidated Statement of Financial Condition

April 30, 2020

ASSETS
Cash and cash equivalents	$	5,742,821
Investments		3,288,553
Receivable from affiliates		2,397,097
Prepaid expenses and other assets		401,740
Total current assets		11,830,211
Furniture and equipment, net		195,773
Intangible asset - management contracts		49,308,784
	$	61,334,768
LIABILITIES AND OWNERS' EQUITY
Accounts payable and accrued liabilities	$	1,038,392
Due to owners – distributions		3,071,665
Total current liabilities		4,110,057
Deferred rent		81,273
Owners' equity		57,143,438
	$	61,334,768

See notes to consolidated financial statements

2

EULAV ASSET MANAGEMENT

Consolidated Statement of Operations

For the Year Ended April 30, 2020

Revenues:
Investment management fees	$	21,985,199
12b-1 fees		7,415,848
Sub-transfer agency fees		901,255
Dividends, interest and other income		118,410
Change in unrealized loss and realized gain on investments		(155,794	)
Total revenues		30,264,918
Expenses:
Marketing and distribution		9,871,399
Compensation and benefits		4,599,708
Office and administration		1,682,022
Professional fees		559,081
Total expenses		16,712,210
Net income before New York City income taxes		13,552,708
Provision for New York City income taxes		36,839
Net income	$	13,515,869

See notes to consolidated financial statements

3

EULAV ASSET MANAGEMENT

Consolidated Statement of Changes in Owners' Equity

For the Year Ended April 30, 2020

	April 30,		Net					April 30,
	2019		Income		Distributions			2020
Non-voting revenue interest and non-voting profit interest	$	56,204,854	$	12,349,631	$	(12,337,862	)	$	56,216,623
Class A voting profit interest		920,370		1,049,614		(1,053,251	)		916,733
Class B voting profit interest		10,485		116,624		(117,027	)		10,082
	$	57,135,709	$	13,515,869	$	(13,508,140	)	$	57,143,438

See notes to consolidated financial statements

4

EULAV ASSET MANAGEMENT

Consolidated Statement of Cash Flows

For the Year Ended April 30, 2020

Cash flows from operating activities:
Net income	$	13,515,869
Adjustments to reconcile net income to net cash provided by operating activities:
Change in unrealized loss and realized gain on investments		155,794
Depreciation and amortization expense		78,055
Changes in:
Receivable from affiliates		(234,271	)
Prepaid expenses and other assets		21,939
Accounts payable and accrued liabilities		99,622
Deferred rent		81,272
Net cash provided by operating activities		13,718,280
Cash flows from investing activities:
Purchase of investments		(9,966,353	)
Proceeds from investments		11,481,260
Purchase of furniture and equipment		(205,889	)
Net cash provided by investing activities		1,309,018
Cash flows used in financing activities:
Distributions, net of change in due to owners - distributions		(13,045,292	)
Net increase in cash and cash equivalents		1,982,006
Cash and cash equivalents - April 30, 2019		3,760,815
Cash and cash equivalents - April 30, 2020	$	5,742,821
Supplemental disclosure of cash flow information:
Cash paid for New York City income taxes	$	45,000
Non-cash financing activities:
Due to owners - distributions	$	3,071,665

See notes to consolidated financial statements

5

EULAV ASSET MANAGEMENT

Notes to Consolidated Financial Statements

April 30, 2020

Note A - Organization and Transactions with Affiliates

EULAV Asset Management (“EAM"), a Delaware statutory trust, with no fixed term, was formed on December 23, 2010 as a result of Value Line, Inc. ("VLI") completing the restructuring of its asset management and broker-dealer businesses (the "Restructuring Transaction"). As part of the Restructuring Transaction, EULAV Securities, Inc., a New York corporation and wholly-owned subsidiary of VLI that acted as the distributor of the Value Line mutual funds ("Value Line Funds"), merged into EULAV Securities LLC ("ESLLC"), a Delaware limited liability company. VLI transferred 100% of its interest in ESLLC to EULAV Asset Management LLC, a wholly-owned subsidiary of VLI that acted as the investment adviser to the Value Line Funds and certain separate accounts. EULAV Asset Management LLC then converted into EAM, which still acts as the investment adviser to the Value Line Funds. ESLLC, a wholly-owned subsidiary of EAM, is a broker-dealer registered with the Securities and Exchange Commission and is a member of the Financial Industry Regulatory Authority. ESLLC claims the exemption from the provisions of SEC Rule 15c3-3 under paragraph (k)(1).

The consolidated financial statements include the accounts of EULAV Asset Management and EULAV Securities LLC (collectively, the “Company”) after elimination of inter-company balances and transactions.

VLI granted the Company the right to use the Value Line name for all existing Value Line Funds and to supply without charge or expense the Value Line proprietary ranking system information for so long as the Company is the investment adviser to the Value Line Funds.

Each of the Value Line Funds has an investment advisory agreement with the Company pursuant to which the Company serves as investment adviser to the Value Line Funds. The Company receives investment management fees from each of the Value Line Funds managed by the Company. The Company and certain of the Value Line Funds have agreed that the Company would waive a portion of the fund's respective advisory fees. The fees received by the Company from the Value Line Funds are net of any contractual fee waivers as described in Note D.

Each of the Value Line Funds has a distribution agreement with the Company's wholly owned subsidiary ESLLC pursuant to which ESLLC acts as principal underwriter and distributor of the Value Line Funds for the sale and distribution of their shares. ESLLC is eligible to receive service and distribution fees under Rule 12b-1 of the Investment Company Act of 1940 from the Value Line Funds managed by the Company. ESLLC and certain of the Value Line Funds have agreed to waive all or a portion of the Fund's respective Rule 12b-1 fees. The fees received by the ESLLC from the Value Line Funds are net of any contractual fee waivers as described in Note D.

ESLLC receives sub-transfer agency fees from certain of the Value Line Funds to compensate financial intermediaries that provide sub-transfer agency and related services to investors that hold their fund shares in omnibus accounts maintained by the financial intermediaries with the Value Line Funds.

Note B - Summary of Significant Accounting Policies

[1] Use of estimates:

The preparation of consolidated financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates.

[2] Cash and cash equivalents:

The Company considers all cash held at banks and in money market mutual funds to be cash and cash equivalents. The Company maintains cash balances in a financial institution which, at times, may exceed federally insured limits. In the event of a financial institution's insolvency, recovery of cash may be limited.

6

EULAV ASSET MANAGEMENT

Notes to Consolidated Financial Statements

April 30, 2020

Note B - Summary of Significant Accounting Policies (continued)

[3] Revenues:

The revenue recognition guidance of ASC Topic 606 requires that an entity recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The guidance requires an entity to follow a five-step model to (a) identify the contract(s) with a customer, (b) identify the performance obligations in the contract, (c) determine the transaction price, (d) allocate the transaction price to the performance obligations in the contract, and (e) recognize revenue when (or as) the entity satisfies a performance obligation. In determining the transaction price, an entity may include variable consideration only to the extent that it is probable that a significant reversal in the amount of cumulative revenue recognized would not occur when the uncertainty associated with the variable consideration is resolved. All revenues that are recognized in the current period are primarily related to performance obligations that have been satisfied in the same period.

The performance obligation relating to investment management fees relates to the management of the Client’s account which is an obligation capable of being and distinct within the context of the contracts. The Company believes its performance obligation relating to service, distribution and sub-transfer agency fees is the distribution of the Value Line Funds. This represents a single performance obligation that is continuously provided over the contract period. 

Investment management fees consist of management fees from the Value Line Funds. Investment management fees for the Value Line Funds are earned on a monthly basis as services are performed and the fees, which generally range from 0.38% to 0.75%, are calculated based on average daily net assets of the Value Line Funds in accordance with each fund's advisory agreement.

The management fees and average daily net assets for the Value Line Funds are calculated by State Street Bank, which serves as the fund accountant, fund administrator and custodian of the Value Line Funds. Shareholder servicing for the Value Line Funds is performed by DST. The Value Line Funds are open-end management companies registered under the Investment Company Act of 1940.

Service and distribution fees are received from the Value Line Funds in accordance with service and distribution plans under Rule 12b-1 of the Investment Company Act of 1940. The plans are compensation plans, which means that ESLLC's fees under the plans are payable without regard to actual expenses incurred by ESLLC. ESLLC may earn a profit under the plan. Service and distribution fees are received on a monthly basis and calculated by State Street Bank based on the average daily net assets of each of the Value Line Funds in accordance with each Fund's prospectus. Expenses incurred by ESLLC include payments to securities dealers, banks, financial institutions and other organizations that provide distribution, marketing, and related services with respect to the distribution of the Value Line Funds' shares.

Sub-transfer agency fees are received from the Value Line Funds in accordance with a sub-transfer agency plan approved by the Board of the Value Line Funds. The sub-transfer agency fee, which may be paid directly to the financial intermediary or indirectly via ESLLC, is equal to the lower of (i) the aggregate amount of additional transfer agency fees and expenses that the Value Line Funds would otherwise pay to the Value Line Funds' transfer agent, if each subaccount in the omnibus account maintained by the financial intermediary with the fund were a direct account with the fund and (ii) the amount by which the fees charged by the financial intermediary for including the fund on its platform and providing shareholder, sub-transfer agency and related services exceed the amount paid under the fund's plan with respect to fund assets attributable to shares held by the financial intermediary in the omnibus account. In addition, the amount of sub-transfer agency fees payable by the Value Line Funds to all financial intermediaries in the aggregate is subject to a maximum cap of 0.05% of each fund's average daily net assets. If the sub-transfer agency fee is paid to financial intermediaries indirectly via ESLLC, ESLLC does not retain any amount thereof and such fee otherwise reduces the amount that ESLLC is contractually obligated to pay to the financial intermediary.

7

EULAV ASSET MANAGEMENT

Notes to Consolidated Financial Statements

April 30, 2020

Note B - Summary of Significant Accounting Policies (continued)

Future estimates of payments for revenues are not recognized as there is significant uncertainty as to their amounts, which are dependent upon factors outside the Company’s control, such as fund shareholder activity and market appreciation/depreciation. Additionally, it should be noted that contracts between the Company and its customers do not include performance-based fees.

The Company considers that recognizing revenue for both management fees, service and distribution fees, and sub-transfer agency fees over time best represents the transfer of control to the customer for management investment activities. The Company considers that time elapsed to be the method that best represents the transfer of control to the customer for management investment activities.

Revenue from contracts with customers
Service and distribution
Service and distribution fees	$	7,415,848
Sub-transfer agency fees		901,255
Total service and distribution revenue		8,317,103
Investment management fees
Investment management fees	$	21,985,199
Total investment management fees		21,985,199
Total revenue from contracts with customers	$	30,302,302

[4] Income taxes:

The Company, as a trust, has elected to be taxed as a pass-through entity similar to a partnership for federal and state income tax purposes and, accordingly, is not subject to federal and state income taxes. The Company is subject to New York City unincorporated business tax.

The Company may recognize tax benefits from any uncertain positions only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. The Company's policy is to recognize interest and penalties in general and administration expense. The Company has not recognized in these consolidated financial statements any interest or penalties related to income taxes and has no material unrecognized tax benefits. The Company is subject to U.S. federal, state and local tax examinations by tax authorities since inception.

Tax laws are complex and subject to different interpretations by the taxpayer and taxing authorities. Significant judgment is required when evaluating tax provisions and related uncertainties. Future events such as changes in tax legislation could require a provision for income taxes. Any such changes could significantly affect the amounts reported in the consolidated statement of operations.

8

EULAV ASSET MANAGEMENT

Notes to Consolidated Financial Statements

April 30, 2020

Note B - Summary of Significant Accounting Policies (continued)

[5] Intangible assets:

The value of the intangible asset received as part of the Restructuring Transaction was derived primarily from revenue streams to be earned from management contracts contributed and from the right to use the Value Line name for all existing Value Line Funds and access the Value Line Proprietary Ranking information. This intangible asset was valued at approximately $49,197,000 and it is tested for impairment annually. It has an indefinite useful life and is not being amortized. VLI utilized the services of a third party valuation firm (the "Valuator") to assist in the determination of the fair value of the intangible asset at the time of the Restructuring Transaction.

The value of the intangible asset received as part of the Value Line Defensive Strategies Fund Transaction was derived from the value of the assets in the Fund and the value of two selling agreements that were acquired in the Transaction. The intangible asset was valued at approximately $350,000 and is being amortized over a 15 year useful life. As of April 30, 2020, the value is approximately $112,000, and accumulated amortization is approximately $238,000. The amount of amortization for the year ended April 30, 2020 was approximately $10,000.

EAM utilizes the services of the Valuator to assist in the determination of the fair value of the intangible asset each fiscal year. The Valuator employed several analytical methodologies which were used by the Company to assist in its determination of the fair value of the intangible asset. These methodologies included two market approach methods which referenced actual transactions in the equity of similar enterprises that are traded in private and public markets and one income approach method utilizing discounted cash flows to determine the present value of the future earning capacity that is available to investors in the entity. The Company assesses the recoverability of its intangible asset by determining whether the carrying amount can be recovered through discounted forecasted cash flows if events or changes in circumstances indicate that the asset may be impaired. If discounted forecasted cash flows indicate that the carrying amount will not be recovered, an adjustment will be made to reduce such amounts to fair value based on forecasted future cash discounted at a rate commensurate with the risk associated with achieving such cash flows. Future cash flows are based on trends of historical performance and the Company's estimate of future performance, giving consideration to existing and anticipated competitive and economic conditions. The Company has elected to perform its annual analysis at April 30, its fiscal year-end. No indicators of impairment were identified during the year ended April 30, 2020.

[6] Fair Value of Financial Instruments

In accordance with Fair Value Accounting, the Company has categorized its financial instruments, based on the priority of the inputs to the valuation technique, into a three-level fair value hierarchy. Financial assets and liabilities recorded on the Statement of Financial Condition are categorized based on the inputs to the valuation techniques as follows:

Level 1: Financial assets and liabilities whose values are based on unadjusted quoted prices for identical assets or liabilities in an active market.

9

EULAV ASSET MANAGEMENT

Notes to Consolidated Financial Statements

April 30, 2020

Note B - Summary of Significant Accounting Policies (continued)

Level 2: Financial assets and liabilities whose values are based on quoted prices in markets that are not active or model inputs that are observable either directly or indirectly for substantially the full term of the asset or liability.

Level 3: Financial assets and liabilities whose values are based on prices or valuation techniques that require inputs that are both unobservable and significant to the overall fair value measurement. These inputs reflect management’s own assumption about the assumptions a market participant would use in pricing the asset or liability.

The following table presents the Company’s assets by level within the fair value hierarchy at April 30, 2020:

	Carrying Value		Level 1		Level 2		Level 3		Total
Assets:
Cash and cash equivalents	$	5,742,821	$	5,742,821	$	-	$	-	$	5,742,821
Investments		3,288,553		3,288,553		-		-		3,288,553
Receivable from affiliates		2,397,097		-		2,397,097		-		2,397,097
Total Assets	$	11,428,471	$	9,031,374	$	2,397,097	$	-	$	11,428,471

The classification of financial instruments valued at fair value as of April 30, 2020 is as follows:

	Level 1
Mutual funds	$	1,724,720
Equities		870,943
Certificates of deposit		692,890
	$	3,288,553

Mutual funds and equity securities are valued on the last business day of the period at the last available reported price on their primary securities exchange.

Certificates of deposit with original maturities less than one year are classified as short-term and certificates of deposit with original maturities greater than three months and remaining maturities greater than one year are classified as long-term.

During the year ended April 30, 2020, the Company recorded change in unrealized loss on investments for $184,530 and realized gain on investments in the amount of $28,736 within change in unrealized loss and realized gain on investments within the Statement of Operations.

Note C - Owners' Equity

Class A and Class B interest holders are Trustees and holders of the voting profits interests of the Company, and Value Line, Inc. ("VLI") owns the non-voting revenue interests and the non-voting profits interests of the Company.

Collectively, the voting profits interests receive 50% of the residual profit of the business, in which the share of Class A voting profits interest is 45% and Class B voting profits interest is 5%, subject to temporary adjustments in certain circumstances, as defined in the Trust agreement.  VLI retains a nonvoting profits interest representing 50% of residual profits, subject to temporary adjustments in certain circumstances and has no power to vote for the election, removal or replacement of the Trustees of the Company. VLI also retains a Non-Voting Revenues

10

EULAV ASSET MANAGEMENT

Notes to Consolidated Financial Statements

April 30, 2020

Note C - Owners' Equity (Continued)

Interest in the business ranging from 41% at non-distribution fee (certain investment management fees) revenue levels of $9 million or less to 55% at such revenue levels of $35 million or more. The Company will make distributions to the owners and holders of the revenue interests no later than the tenth day after each respective quarter end, as defined in the Trust agreement.

Note D - Related Party Transactions

The investment management fees, 12b-1 fees, and sub-transfer agency fees, as described in Note A, are received from the Value Line Funds and are reflected within receivable from affiliates on the consolidated statement of financial condition. For the year ended April 30, 2020, total investment management fee waivers and reimbursements were approximately $302,000, total service and distributions fee waivers were approximately $667,000, and total sub-transfer agency waivers were approximately $58,000. Substantially all of the revenue is generated from related parties.

Note E - Furniture and Equipment

Furniture and equipment are carried at cost. Depreciation is recorded using the straight-line method over the estimated useful lives of three to seven years. For the year ended April 30, 2020, depreciation expense was approximately $68,000.

Furniture and equipment, net, consist of the following:

Furniture and equipment	$	359,043
Less: accumulated depreciation		(163,270	)
	$	195,773

Note F - Regulatory Requirements

For regulatory purposes, ESLLC is subject to the net capital provisions of Rule 15c3-1 under the Securities Exchange Act of 1934, which requires the maintenance of minimum net capital of $5,000 or one-fifteenth of aggregate indebtedness, if greater. At April 30, 2020, ESLLC's net capital, as defined, of approximately $358,000 exceeded required net capital by approximately $308,000 and the ratio of aggregate indebtedness to net capital was 2.1 to 1.

Note G - Employees' Profit Sharing and Savings Plan

The employees of the Company are eligible to be members of the Company's 401(k) Plan and Profit Sharing Plan. In general, the Company matched 50% of the first 4% and 100% of the next 2% of each eligible employee's salary for the 401(k) Plan and may at its discretion contribute to the Profit Sharing Plan. For the year ended April 30, 2020, the Company made $154,000 in matching contributions to the 401(k) Plan and its Profit Sharing Plan. This amount was included in compensation and benefits on the consolidated statement of operations.

11

EULAV ASSET MANAGEMENT

Notes to Consolidated Financial Statements

April 30, 2020

Note H - Co-Employee Agreement

The Company has a client service agreement with ADP TotalSource as Co-employer (as defined in the client service agreement). ADP TotalSource is an unrelated entity. The Company's employees are on the Co-employer's payroll and withholding system which is responsible for providing the payroll and tax withholding payments and reports for the Company's employees. In exchange, the Co-employer receives an administrative fee amounting to approximately $47,000 for the year ended April 30, 2020.

Note I - Commitment

In August 2019, the Company entered into a five year Lease Agreement with Boston Properties to lease office space at 7 Times Square, 16^th Floor, New York NY 10036. In addition, the Company maintains an annual lease for office space in Hollywood, Florida. Future rental commitment under the Leases are as follows:

Year Ending
April 30,	Amount
2021	$	402,227
2022		402,496
2023		406,565
2024		414,434
	$	1,625,722

Rent expense charged to operations for the year ended April 30, 2020 was approximately $372,000, which was included in office and administration on the consolidated statement of operations.

Note J - Subsequent Events

Management has evaluated all subsequent transactions and events through June 30, 2020, the date on which these consolidated financial statements were available to be issued.

The extent of the impact of the coronavirus (“COVID-19”) outbreak on the financial performance of the Company operations will depend on future developments, including the duration and spread of the outbreak and related advisories and restrictions on the financial markets and the overall economy, all of which are highly uncertain and cannot be predicted. If the financial markets and/or the overall economy are impacted for an extended period, the Company’s financial performance may be adversely affected.

12

XML

Document And Entity Information - USD ($)	12 Months Ended
	Apr. 30, 2020	Jun. 30, 2020	Oct. 31, 2019
Document Information [Line Items]
Entity Registrant Name	VALUE LINE INC
Entity Central Index Key	0000717720
Trading Symbol	valu
Current Fiscal Year End Date	--04-30
Entity Filer Category	Non-accelerated Filer
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Well-known Seasoned Issuer	No
Entity Emerging Growth Company	false
Entity Small Business	false
Entity Interactive Data Current	Yes
Entity Common Stock, Shares Outstanding (in shares)		9,616,721
Entity Public Float			$ 20,499,767
Entity Shell Company	false
Document Type	10-K
Document Period End Date	Apr. 30, 2020
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	FY
Amendment Flag	false
Title of 12(b) Security	Common stock, $0.10 par value per share

XML

Consolidated Balance Sheets - USD ($)	Apr. 30, 2020	Apr. 30, 2019
Current Assets:
Cash and cash equivalents (including short term investments of $2,115 and $5,617, respectively)	$ 4,954,000	$ 6,493,000
Securities available-for-sale	29,204,000	21,828,000
Accounts receivable, net of allowance for doubtful accounts of $38 and $22, respectively	4,438,000	1,504,000
Receivable from clearing broker	608,000
Prepaid and refundable income taxes		254,000
Prepaid expenses and other current assets	1,321,000	1,335,000
Total current assets	40,525,000	31,414,000
Long term assets:
Investment in EAM Trust	59,165,000	58,625,000
Restricted money market investments	469,000	469,000
Property and equipment, net	9,500,000	1,146,000
Capitalized software and other intangible assets, net	69,000	134,000
Total long term assets	69,203,000	60,374,000
Total assets	109,728,000	91,788,000
Current Liabilities:
Accounts payable and accrued liabilities	2,057,000	2,068,000
Accrued salaries	1,145,000	1,211,000
Dividends payable	2,019,000	1,933,000
Accrued taxes on income	1,043,000	180,000
Payable to clearing broker	588,000
Loan obligation-short term	194,000
Operating lease obligation-short term	925,000
Unearned revenue	18,854,000	20,008,000
Total current liabilities	26,825,000	25,400,000
Long term liabilities:
Unearned revenue	5,884,000	5,475,000
Loan obligation-long term	2,137,000
Operating lease obligation-long term	8,492,000
Deferred charges		765,000
Deferred income taxes	12,851,000	12,624,000
Total long term liabilities	29,364,000	18,864,000
Total liabilities	56,189,000	44,264,000
Shareholders' Equity:
Common stock, $0.10 par value; authorized 30,000,000 shares; issued 10,000,000 shares	1,000,000	1,000,000
Additional paid-in capital	991,000	991,000
Retained earnings	56,450,000	48,598,000
Treasury stock, at cost (383,279 shares and 336,439 shares, respectively)	(5,957,000)	(4,743,000)
Accumulated other comprehensive income, net of tax	1,055,000	1,678,000
Total shareholders' equity	53,539,000	47,524,000
Total liabilities and shareholders' equity	$ 109,728,000	$ 91,788,000

XML

Consolidated Balance Sheets (Parentheticals) - USD ($) $ in Thousands	Apr. 30, 2020	Apr. 30, 2019
Short term investments	$ 2,115	$ 5,617
Allowance for doubtful accounts	$ 38	$ 22
Common stock, par value (in dollars per share)	$ 0.10	$ 0.10
Common stock, shares authorized (in shares)	30,000,000	30,000,000
Common stock, shares issued (in shares)	10,000,000	10,000,000
Treasury stock, shares (in shares)	383,279	336,439

XML

Consolidated Statements of Income - USD ($)	12 Months Ended
	Apr. 30, 2020	Apr. 30, 2019	Apr. 30, 2018
Revenues:
Revenues	$ 40,299,000	$ 36,257,000	$ 35,868,000
Expenses:
Advertising and promotion	3,350,000	3,406,000	3,780,000
Salaries and employee benefits	18,189,000	17,781,000	18,488,000
Production and distribution	4,945,000	5,222,000	5,857,000
Office and administration	4,725,000	4,435,000	5,171,000
Total expenses	31,209,000	30,844,000	33,296,000
Income from operations	9,090,000	5,413,000	2,572,000
Revenues interest in EAM Trust	11,184,000	8,260,000	8,040,000
Profits interest in EAM Trust	1,166,000	1,049,000	746,000
Income from securities transactions, net	44,000	504,000	540,000
Income before income taxes	21,484,000	15,226,000	11,898,000
Income tax provision	5,821,000	4,076,000	(2,840,000)
Net income	$ 15,663,000	$ 11,150,000	$ 14,738,000
Earnings per share, basic & fully diluted (in dollars per share)	$ 1.62	$ 1.15	$ 1.52
Weighted average number of common shares (in shares)	9,646,885	9,683,771	9,703,255
Subscription and Circulation [Member]
Revenues:
Revenues	$ 27,628,000	$ 28,820,000	$ 29,503,000
License [Member]
Revenues:
Revenues	$ 12,671,000	$ 7,437,000	$ 6,365,000

XML

Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	12 Months Ended
	Apr. 30, 2020	Apr. 30, 2019	Apr. 30, 2018
Net income	$ 15,663	$ 11,150	$ 14,738
Other comprehensive income/(loss), net of tax:
Other Comprehensive Income (Loss), Available-for-sale Securities Adjustment, Net of Tax, Portion Attributable to Parent, Total	(623)	895	325
Other comprehensive income/(loss)	(623)	895	325
Comprehensive income	$ 15,040	$ 12,045	$ 15,063

XML

Consolidated Statements of Cash Flows - USD ($)	12 Months Ended
	Apr. 30, 2020	Apr. 30, 2019	Apr. 30, 2018
Cash flows from operating activities:
Net income	$ 15,663,000	$ 11,150,000	$ 14,738,000
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	266,000	367,000	1,125,000
Realized gain on sales of equity securities	581,000		(152,000)
Non-voting profits interest in EAM Trust	(1,166,000)	(1,049,000)	(746,000)
Non-voting revenues interest in EAM Trust	(11,184,000)	(8,260,000)	(8,040,000)
Revenues distribution received from EAM Trust	10,588,000	8,027,000	7,879,000
Profits distributions received from EAM Trust	1,222,000	945,000	957,000
Deferred rent	99,000	(89,000)	422,000
Deferred income taxes	267,000	512,000	(7,058,000)
Other, net		(55,000)	(60,000)
Changes in operating assets and liabilities:
Unearned revenue	(745,000)	(42,000)	(134,000)
Accounts payable & accrued expenses	(12,000)	142,000	669,000
Accrued salaries	(66,000)	(176,000)	102,000
Accrued taxes on income	898,000	339,000	324,000
Prepaid and refundable income taxes	254,000	203,000	(385,000)
Prepaid expenses and other current assets	14,000	(65,000)	297,000
Accounts receivable	(2,934,000)	(455,000)	(31,000)
Total adjustments	(1,918,000)	344,000	(4,831,000)
Net cash provided by operating activities	13,745,000	11,494,000	9,907,000
Cash flows from investing activities:
Proceeds from sales of equity securities	4,387,000		152,000
Purchases of equity securities	(9,302,000)	(156,000)
Proceeds from sales of fixed income securities	8,663,000	8,346,000	3,384,000
Purchases of fixed income securities	(12,403,000)	(11,040,000)	(4,368,000)
Acquisition of property and equipment	(2,000)	(11,000)	(408,000)
Expenditures for capitalized software		(111,000)
Net cash used in investing activities	(8,657,000)	(2,972,000)	(1,240,000)
Cash flows from financing activities:
Purchase of treasury stock at cost	(1,214,000)	(608,000)	(354,000)
Proceeds from SBA loan	2,331,000
Receivable from clearing broker	(608,000)
Payable to clearing broker	588,000
Dividends paid	(7,724,000)	(7,362,000)	(8,929,000)
Net cash used in financing activities	(6,627,000)	(7,970,000)	(9,283,000)
Net change in cash and cash equivalents	(1,539,000)	552,000	(616,000)
Cash, cash equivalents and restricted cash at beginning of year	6,962,000	6,410,000	7,026,000
Cash, cash equivalents and restricted cash at end of year	$ 5,423,000	$ 6,962,000	$ 6,410,000

XML

Consolidated Statements of Changes in Shareholders' Equity - USD ($) $ in Thousands	Common Stock [Member]	Additional Paid-in Capital [Member]	Treasury Stock [Member]	Retained Earnings [Member]	AOCI Attributable to Parent [Member]	Total
Balance (in shares) at Apr. 30, 2017	10,000,000		(288,335)
Balance at Apr. 30, 2017	$ 1,000	$ 991	$ (3,781)	$ 39,186	$ 458	$ 37,854
Net income				14,738		14,738
Change in unrealized gains on securities, net of taxes					325	$ 325
Purchase of treasury stock (in shares)			(20,045)			(20,045)	[1]
Purchase of treasury stock			$ (354)			$ (354)	[1]
Dividends declared				(9,022)		(9,022)
Balance (in shares) at Apr. 30, 2018	10,000,000		(308,380)
Balance at Apr. 30, 2018	$ 1,000	991	$ (4,135)	44,902	783	43,541
Net income				11,150		11,150
Change in unrealized gains on securities, net of taxes					895	$ 895
Purchase of treasury stock (in shares)			(28,059)			(28,059)	[1],[2]
Purchase of treasury stock			$ (608)			$ (608)	[1],[2]
Dividends declared				(7,454)		(7,454)
Balance (in shares) at Apr. 30, 2019	10,000,000		(336,439)
Balance at Apr. 30, 2019	$ 1,000	991	$ (4,743)	48,598	1,678	47,524
Net income				15,663		15,663
Change in unrealized gains on securities, net of taxes					(623)	$ (623)
Purchase of treasury stock (in shares)			(46,840)			(46,840)	[1],[2]
Purchase of treasury stock			$ (1,214)			$ (1,214)	[1],[2]
Dividends declared				(7,811)		(7,811)
Balance (in shares) at Apr. 30, 2020	10,000,000		(383,279)
Balance at Apr. 30, 2020	$ 1,000	$ 991	$ (5,957)	$ 56,450	$ 1,055	$ 53,539

[1] Were acquired during the $3 million repurchase program authorized in September 2012.

[2] Were acquired during the $2 million repurchase program authorized in October 2018.

XML

Consolidated Statements of Changes in Shareholders' Equity (Parentheticals) - $ / shares		3 Months Ended
	Jan. 19, 2018	Apr. 30, 2020	Jan. 31, 2020	Oct. 31, 2019	Jul. 31, 2019	Apr. 30, 2019	Jan. 31, 2019	Oct. 31, 2018	Jul. 31, 2018	Apr. 30, 2018	Jan. 31, 2018	Oct. 31, 2017	Jul. 31, 2017
Dividends declared per share (in dollars per share)	$ 0.20	$ 0.21	$ 0.20	$ 0.20	$ 0.20	$ 0.20	$ 0.19	$ 0.19	$ 0.19	$ 0.19	$ 0.18	$ 0.18	$ 0.18

XML

Note 1 - Organization and Summary of Significant Accounting Policies

12 Months Ended

Apr. 30, 2020

Notes to Financial Statements

Organization, Consolidation and Presentation of Financial Statements Disclosure and Significant Accounting Policies [Text Block]

Note

1

-Organization and Summary of Significant Accounting Policies:

Value Line, Inc. ("Value Line" or "VLI", and collectively with its subsidiaries, the “Company”) is incorporated in the State of New York. The name "Value Line" as used to describe the Company, its products, and its subsidiaries, is a registered trademark of the Company. The Company's core business is producing investment periodicals and their underlying research and making available certain Value Line copyrights, Value Line trademarks and Value Line Proprietary Ranking System results and other proprietary information, to

third

parties under written agreements for use in

third

-party managed and marketed investment products and for other purposes. The Company maintains a significant investment in Eulav Asset Management LLC ("EAM") from which it received a non-voting revenues interest and a non-voting profits interest. EAM was established to provide investment management services to the Value Line Mutual Funds ("Value Line Funds" or the "Funds").

Prior to

December 23, 2010 (

the "Restructuring Date"), VLI, through its direct subsidiary EULAV Asset Management LLC ("EAM LLC"), provided investment management services to the Value Line Funds, institutions and individual accounts, and through EAM LLC's subsidiary EULAV Securities, Inc. ("ESI"), provided distribution, marketing, and administrative services to the Value Line Funds. On

December 23, 2010,

the Company deconsolidated the asset management and mutual fund distribution subsidiaries and exchanged its controlling interest in these subsidiaries for a non-voting revenues interest and a non-voting profits interest in EULAV Asset Management Trust, a Delaware business statutory trust ("EAM" or "EAM Trust"), the successor to EAM LLC and the sole member of EULAV Securities LLC ("ES"), the successor to ESI, (the "Restructuring Transaction"). Pursuant to the EAM Declaration of Trust dated as of

December 23, 2010 (

the "EAM Trust Agreement"), VLI granted EAM the right to use the Value Line name for all existing Value Line Funds and agreed to supply, without charge or expense, the Value Line Proprietary Ranking System information to EAM for use in managing the Value Line Funds.

Use of Estimates:

The preparation of financial statements in conformity with U.S. generally accepted accounting principles ("GAAP") requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results

may

differ from those estimates.

Principles of Consolidation:

The Company follows the guidance in the Financial Accounting Standards Board's ("FASB") Topic

810

“Consolidation” to determine if it should consolidate its investment in a variable interest entity ("VIE"). A VIE is a legal entity in which either (i) equity investors do

not

have sufficient equity investment at risk to enable the entity to finance its activities independently or (ii) the equity holders at risk lack the obligation to absorb losses, the right to receive residual returns or the right to make decisions about the entity's activities that most significantly affect the entity's economic performance. A holder of a variable interest in a VIE is required to consolidate the entity if it is determined that it has a controlling financial interest in the VIE and is therefore the primary beneficiary. The determination of a controlling financial interest in a VIE is based on a qualitative assessment to identify the variable interest holder, if any, that has (i) the power to direct the activities of the VIE that most significantly impact the VIE's economic performance, and (ii) either the obligation to absorb losses of the entity or the right to receive benefits from the entity that could potentially be significant to the VIE. The accounting guidance requires the Company to perform an ongoing assessment of whether the Company is the primary beneficiary of a VIE and the Company has determined it is

not

the primary beneficiary of a VIE (see Note

5

).

In accordance with FASB's Topic

810,

the assets, liabilities, and results of operations of subsidiaries in which the Company has a controlling interest have been consolidated. All significant intercompany accounts and transactions have been eliminated in consolidation. On

December 23, 2010,

the Company completed the Restructuring Transaction and deconsolidated the related affiliates in accordance with FASB's Topic

810.

As part of the Restructuring Transaction, the Company received a significant non-voting revenues interest (excluding distribution revenues) and a significant non-voting profits interest in the new entity, EULAV Asset Management, a Delaware statutory trust (“EAM” or “EAM Trust”). The Company relied on the guidance in FASB's ASC Topics

323

and

810

in its determination

not

to consolidate its investment in EAM and to account for such investment under the equity method of accounting. The Company reports the amount it receives for its non-voting revenues and non-voting profits interests as a separate line item below operating income in the Consolidated Statements of Income.

Revenue Recognition:

Depending upon the product, subscription fulfillment for Value Line periodicals and related publications is available in print or digitally, via internet access. The length of a subscription varies by product and offer received by the subscriber. Generally, subscriptions are offered as annual subscriptions with the majority of subscriptions paid in advance. Subscription revenues, net of discounts, are recognized ratably on a straight line basis when the product is served to the client over the life of the subscription. Accordingly, the amount of subscription fees to be earned by fulfilling subscriptions after the date of the balance sheets are shown as unearned revenue within current and long-term liabilities.

Copyright fees are derived from providing certain Value Line trademarks and the Value Line Proprietary Ranking System results to

third

parties under written agreements for use in selecting securities for

third

party marketed products, including unit investment trusts, annuities and exchange traded funds ("ETFs"). The Company earns asset-based copyright fees upon delivery of the product to the customer as specified in the individual agreements. Revenue is recognized monthly and received either quarterly or in advance over the term of the agreement and, because it is asset-based, will fluctuate as the market value of the underlying portfolio increases or decreases in value.

EAM earns investment management fees from the Value Line Funds. The management fees and average daily net assets for the Value Line Funds are calculated by State Street Bank, which serves as the fund accountant, fund administrator, and custodian of the Value Line Funds.

The Value Line Funds are open-end management companies registered under the Investment Company Act of

1940

(the

"1940

Act"). Shareholder transactions for the Value Line Funds are processed each business day by the

third

party transfer agent of the Funds. Shares can be redeemed without advance notice upon request of the shareowners each day that the New York Stock Exchange is open.

Investment in Unconsolidated Entities:

The Company accounts for its investment in its unconsolidated entity, EAM, using the equity method of accounting in accordance with FASB's ASC

323.

The equity method is an appropriate means of recognizing increases or decreases measured by GAAP in the economic resources underlying the investments. Under the equity method, an investor recognizes its share of the earnings or losses of an investee in the periods for which they are reported by the investee in its financial statements rather than in the period in which an investee declares a dividend or distribution. An investor adjusts the carrying amount of an investment for its share of the earnings or losses recognized by the investee.

The Company's “interests” in EAM, the investment adviser to and the sole member of the distributor of the Value Line Funds, consist of a "non-voting revenues interest" and a "non-voting profits interest" in EAM as defined in the EAM Trust Agreement. The non-voting revenues interest entitles the Company to receive a range of

41%

to

55%,

based on the amount of EAM's adjusted gross revenues, excluding EULAV Securities' distribution revenues (“Revenues Interest”). The non-voting profits interest entitles the Company to receive

50%

of EAM's profits, subject to certain limited adjustments as defined in the EAM Trust Agreement (“Profits Interest”). The Revenues Interest and at least

90%

of the Profits Interest are to be distributed each quarter to all interest holders of EAM, including Value Line. Subsequent to the Restructuring Date, the Company's Revenues Interest in EAM excludes participation in the service and distribution fees of EAM's subsidiary EULAV Securities. The Company reflects its non-voting revenues and non-voting profits interests in EAM as non-operating income under the equity method of accounting subsequent to the Restructuring Transaction. Although the Company does

not

have control over the operating and financial policies of EAM, pursuant to the EAM Trust Agreement, the Company has a contractual right to receive its share of EAM's revenues and profits.

Recent Accounting Pronouncements:

In

February 2016,

the FASB issued ASU

No.

2016

-

02,

“Leases (Topic

842

)”. This ASU requires that, for leases longer than

one

year, a lessee recognize in the statements of financial position a right-of-use asset, representing the right to use the underlying asset for the lease term, and a lease liability, representing the liability to make lease payments. It also requires that for finance leases, a lessee recognize interest expense on the lease liability, separately from the amortization of the right-of-use asset in the statements of earnings, while for operating leases, such amounts should be recognized as a combined expense. The Company adopted this ASU in

May 2019

under a modified retrospective approach (see Note

9

).

In

August 2016,

the FASB issued Accounting Standards Update

No.

2016

-

15,

Classification of Certain Cash Receipts and Cash Payments (a consensus of the Emerging Issues Task Force) (“ASU

2016

-

15”

), effective for public business entities for fiscal years beginning after

December 15, 2017,

and interim periods within those fiscal years. The amendments in ASU

2016

-

15

address

eight

specific cash flow issues and apply to all entities that are required to present a statement of cash flows under ASC Topic

230,

Statement of Cash Flows. The Company has adopted ASU

2016

-

15

in the

first

quarter of fiscal

2019.

The FASB issued ASU

No.

2014

-

09,

“Revenue from Contracts with Customers (Topic

606

)”, which requires an entity to recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which it expects to be entitled in exchange for those goods or services. In addition, ASU

No.

2014

-

09

requires disclosures of the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers. ASU

No.

2014

-

09

supersedes most existing U.S. GAAP revenue recognition principles, and it permits the use of either the retrospective or cumulative effect transition method. ASU

No.

2014

-

09

is effective for annual reporting periods beginning after

December 15, 2017,

including interim periods within those annual periods. The Company has adopted ASU

No.

2014

-

09

in the

first

quarter of fiscal

2019,

which does

not

have a material impact on the Company's consolidated condensed financial statements and related disclosures.

In

November 2016,

the FASB issued ASU

No.

2016

-

18,

"Statement of Cash Flows (Topic

230

): Restricted Cash (a consensus of the FASB Emerging Issues Task Force)", effective for annual reporting periods beginning after

December 15, 2017,

including interim periods within those annual periods. This ASU requires that the reconciliation of the beginning-of-period and end-of-period amounts shown in the statement of cash flows include cash, cash equivalents and amounts generally described as restricted cash or restricted cash equivalents. The Company has adopted ASU

No.

2016

-

18

in the

first

quarter of fiscal

2019,

which does

not

have a material impact on the Company's consolidated condensed financial statements and related disclosures.

On

June 21, 2018,

the United States Supreme Court reversed the

1992

ruling in

Quill,

which protected firms delivering items by common carrier into a state where it had

no

physical presence from having to collect sales tax in such state. The Company has  integrated the effects of the various state laws into its operations and continues to do so.

Valuation of Securities:

The Company's securities classified as cash equivalents and available-for-sale consist of shares of money market funds that invest primarily in short-term U.S. Government securities and investments in equities including ETFs and are valued in accordance with the requirements of the Fair Value Measurements Topic of the FASB's ASC

820.

The securities classified as available-for-sale reflected in the Consolidated Balance Sheets are valued at market and unrealized gains and losses, net of applicable taxes, are reported as a separate component of shareholders' equity. Realized gains and losses on sales of the securities classified as available-for-sale are recorded in earnings as of the trade date and are determined on the identified cost method.

The Company classifies its securities available-for-sale as current assets to properly reflect its liquidity and to recognize the fact that it has liquid assets available-for-sale should the need arise.

Market valuations of securities listed on a securities exchange and ETF shares are based on the closing sales prices on the last business day of each month. The market value of the Company's fixed maturity U.S. Government debt securities is determined utilizing publicly quoted market prices. Cash equivalents consist of investments in money market funds that invest primarily in U.S. Government securities valued in accordance with rule

2a

-

7

under the

1940

Act.

The Fair Value Measurements Topic of FASB's ASC defines fair value as the price that the Company would receive upon selling an investment in a timely transaction to an independent buyer in the principal or most advantageous market for the investment. The Fair Value Measurements Topic established a

three

-tier hierarchy to maximize the use of observable market data and minimize the use of unobservable inputs and to establish classification of fair value measurements for disclosure purposes. Inputs refer broadly to the information that market participants would use in pricing the asset or liability, including assumptions about risk. Examples of risks include those inherent in a particular valuation technique used to measure fair value such as the risk inherent in the inputs to the valuation technique. Inputs are classified as observable or unobservable. Observable inputs are inputs that reflect the assumptions market participants would use in pricing the asset or liability developed based on market data obtained from sources independent of the reporting entity. Unobservable inputs are inputs that reflect the reporting entity's own assumptions about the factors market participants would use in pricing the asset or liability developed based on the best information available in the circumstances.

The

three

-tier hierarchy of inputs is summarized in the

three

broad levels listed below.

Level

1

– quoted prices in active markets for identical investments

Level

2

– other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.)

Level

3

– significant unobservable inputs (including the Company's own assumptions in determining the fair value of investments)

The following summarizes the levels of fair value measurements of the Company's investments:

		As of April 30, 2020
($ in thousands)	Level 1		Level 2		Level 3		Total
Cash equivalents	$	2,115	$	-	$	-	$	2,115
Securities available-for-sale		29,204		-		-		29,204
	$	31,319	$	-	$	-	$	31,319

		As of April 30, 2019
($ in thousands)	Level 1		Level 2		Level 3		Total
Cash equivalents	$	5,617	$	-	$	-	$	5,617
Securities available-for-sale		21,828		-		-		21,828
	$	27,445	$	-	$	-	$	27,445

The Company had

no

other financial instruments such as futures, forwards and swap contracts. For the periods ended

April 30, 2020

and

April 30, 2019,

there were

no

Level

2

nor Level

3

investments. The Company does

not

have any liabilities subject to fair value measurement.

Advertising expenses:

The Company expenses advertising costs as incurred.

Income Taxes:

The Company computes its income tax provision in accordance with the Income Tax Topic of the FASB's ASC. Deferred tax liabilities and assets are recognized for the expected future tax consequences of events that have been reflected in the Consolidated Financial Statements. Deferred tax liabilities and assets are determined based on the differences between the book values and the tax bases of particular assets and liabilities, using tax rates currently in effect for the years in which the differences are expected to reverse. The Company adopted the provisions of ASU

2015

-

17,

Income taxes (Topic

740

) during the

first

quarter of fiscal

2018

and now classifies all deferred taxes as long-term liabilities on the Consolidated Balance Sheets.

The Income Tax Topic of the FASB's ASC establishes for all entities, a minimum threshold for financial statement recognition of the benefit of positions taken in filing tax returns (including whether an entity is taxable in a particular jurisdiction), and requires certain expanded tax disclosures. As of

April 30, 2020,

management has reviewed the tax positions for the years still subject to tax audit under the statute of limitations, evaluated the implications, and determined that there is

no

material impact to the Company's financial statements.

Earnings per share:

Earnings per share are based on the weighted average number of shares of common stock and common stock equivalents outstanding during each period. Any shares that are reacquired during the period are weighted for the portion of the period that they are outstanding. The Company does

not

have any potentially dilutive common shares from outstanding stock options, warrants, restricted stock, or restricted stock units.

Cash and Cash Equivalents:

For purposes of the Consolidated Statements of Cash Flows, the Company considers all cash held at banks and short-term liquid investments with an original maturity of less than

three

months to be cash and cash equivalents. As of

April 30, 2020

and

April 30, 2019,

cash equivalents included

$2,115,000

and

$5,617,000,

respectively, for amounts invested in money market mutual funds that invest in short-term U.S. government securities.

XML

Note 2 - Supplementary Cash Flow Information

12 Months Ended

Apr. 30, 2020

Notes to Financial Statements

Cash Flow, Supplemental Disclosures [Text Block]

Note

2

- Supplementary Cash Flow Information:

Reconciliation of Cash, Cash Equivalents, and Restricted Cash:

The following table provides a reconciliation of cash, cash equivalents, and restricted cash reported within the Consolidated Statement of Cash Flows that sum to the total of the same such amounts shown in the Consolidated Statement of Cash Flows.

	Fiscal Years Ended April 30,
($ in thousands)	2020		2019		2018
Cash and cash equivalents	$	4,954	$	6,493	$	5,941
Restricted cash	$	469	$	469	$	469
Total cash, cash equivalents, and restricted cash shown in the Consolidated Statement of Cash Flows	$	5,423	$	6,962	$	6,410

Income Tax Payments:

The Company made income tax payments as follows:

	Fiscal Years Ended April 30,
($ in thousands)	2020		2019		2018
State and local income tax payments	$	1,105	$	387	$	307
Federal income tax payments to the Parent	$	3,325	$	2,700	$	3,975

See Note

3

- Related Party Transactions for tax amounts associated with Arnold Bernhard and Co., Inc. (“AB&Co.” or the "Parent").

XML

Note 3 - Related Party Transactions

12 Months Ended

Apr. 30, 2020

Notes to Financial Statements

Related Party Transactions Disclosure [Text Block]

Note

3

- Related Party Transactions:

Investment Management (overview):

On

December 23, 2010,

the Company deconsolidated its asset management and mutual fund distribution businesses and its interest in these businesses was restructured as a non-voting revenues and non-voting profits interests in EAM. Accordingly, the Company

no

longer reports this operation as a separate business segment, although it still maintains a significant interest in the cash flows generated by this business and will receive non-voting revenues and non-voting profits interests going forward, as discussed below.

Total assets in the Value Line Funds managed and/or distributed by EAM at

April 30, 2020,

were

$3.58

billion, which is

$485

million, or

15.7%,

above total assets of

$3.09

billion in the Value Line Funds managed and/or distributed by EAM at

April 30, 2019.

The Company's non-voting revenues and non-voting profits interests in EAM entitle it to receive quarterly distributions in a range of

41%

to

55%

of EAM's revenues (excluding distribution revenues) from EAM's mutual fund and separate account business and

50%

of the residual profits of EAM (subject to temporary increase in certain limited circumstances). The Voting Profits Interest Holders will receive the other

50%

of residual profits of EAM. Distribution is

not

less than

90%

of EAM's profits payable each fiscal quarter under the provisions of the EAM Trust Agreement. Value Line's percent share of EAM's revenues is calculated each fiscal quarter. The applicable recent non-voting revenues interest percentage for the

fourth

quarter of fiscal

2020

was

51.51%.

The non-voting revenues and

90%

of the Company's non-voting profits interests due from EAM to the Company are payable each fiscal quarter under the provisions of the EAM Trust Agreement. The distributable amounts earned through the balance sheet date, which is included in the Investment in EAM Trust on the Consolidated Balance Sheets, and

not

yet paid, were

$2,949,000

and

$2,420,000

at

April 30, 2020

and

April 30, 2019,

respectively.

EAM Trust - VLI's non-voting revenues and non-voting profits interests:

The Company holds non-voting revenues and non-voting profits interests in EAM which entitle the Company to receive from EAM an amount ranging from

41%

to

55%

of EAM's investment management fee revenues from its mutual fund and separate accounts business. EAM currently has

no

separately managed account clients. The Company recorded income from its non-voting revenues interest and its non-voting profits interests in EAM as follows:

	Fiscal Years Ended April 30,
($ in thousands)	2020		2019		2018
Non-voting revenues interest in EAM	$	11,184	$	8,260	$	8,040
Non-voting profits interest in EAM		1,166		1,049		746
	$	12,350	$	9,309	$	8,786

Transactions with Parent:

During the fiscal years ended

April 30, 2020

and

April 30, 2019,

the Company was reimbursed

$388,000

and

$384,000,

respectively for payments it made on behalf of and for services it provided to AB&Co. There were

no

receivables due from the Parent at

April 30, 2020

or

April 30, 2019.

The Company is a party to a tax-sharing arrangement with the Parent which allocates the tax liabilities of the

two

Companies between them. For the years ended

April 30, 2020,

2019,

and

2018,

the Company made payments to the Parent for federal income tax amounting to

$3,325,000,

$2,700,000

and

$3,975,000,

respectively.

From time to time, the Parent has purchased additional shares of common stock of the Company in the market when and as the Parent has determined it to be appropriate. The Parent

may

make additional purchases of common stock of the Company from time to time in the future. As of

April 30, 2020,

the Parent owned

89.78%

of the outstanding shares of common stock of the Company.

XML

Note 4 - Investments

12 Months Ended

Apr. 30, 2020

Notes to Financial Statements

Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block]

Note

4

- Investments:

Securities Available-for-Sale:

Investments held by the Company and its subsidiaries are classified as securities available-for-sale in accordance with FASB's ASC

320,

Investments - Debt and Equity Securities.  All of the Company's securities classified as available-for-sale were readily marketable or had a maturity of

twelve

months or less and are classified as current assets on the Consolidated Balance Sheets.

Equity Securities:

Equity securities classified as available-for-sale on the Consolidated Balance Sheets, consist of ETFs held for dividend yield that attempt to replicate the performance of certain equity indexes and ETFs that hold preferred shares primarily of financial institutions.

As of

April 30, 2020

and

April 30, 2019,

the aggregate cost of the equity securities classified as available-for-sale, which consist of investments in the SPDR Series Trust S&P Dividend ETF (SDY), First Trust Value Line Dividend Index ETF (FVD), PowerShares Financial Preferred ETF (PGF), Select Utilities Select Sector SPDR ETF (XLU), First Trust Value Line

100

ETF (FVL), ProShares Trust S&P

500

Dividend Aristocrats ETF (NOBL), SPDR S&P

500

ETF (SPY) and iShares Select Dividend ETF (DVY) and equity securities portfolio under EAM management held at Charles Schwab was

$12,877,000

and

$8,541,000,

respectively, and the fair value was

$14,125,000

and

$10,622,000,

respectively.

Proceeds from sales of equity securities classified as available-for-sale during the

twelve

months ended

April 30, 2020

were

$4,387,000

and the related capital losses of

$581,000

were reclassified from Accumulated Other Comprehensive Income in the Consolidated Balance Sheet to the Consolidated Statement of Income. There were

no

gains or losses on sales of equity securities classified as available-for-sale during fiscal

2019

or fiscal

2018.

Capital gain distributions of

$152,000

were reclassified from Accumulated Other Comprehensive Income in the Consolidated Balance Sheet to the Consolidated Statement of Income during the

twelve

months ended

April 30, 2018. 

There were

no

capital gain distributions in fiscal

2020

and

2019.

The decrease in gross unrealized gains on equity securities classified as available-for-sale of

$833,000,

net of deferred  tax benefit of

$112,000

was included in Shareholders' Equity at

April 30, 2020. 

The increase in gross unrealized gains on equity securities classified as available-for-sale of

$1,087,000,

net of deferred  taxes of

$228,000

 was included in Shareholders' Equity at

April 30, 2019. 

As of

April

30,2020

and

April 30, 2019,

accumulated other comprehensive income included net unrealized  gains of

$1,248,000

and

$2,081,000,

net of deferred taxes of

$325,000

  and

$437,000,

respectively.

The carrying value and fair value of securities available-for-sale at

April 30, 2020

were as follows:

($ in thousands)	Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
ETFs - equities	$	12,877	$	1,317	$	(69	)	$	14,125

The carrying value and fair value of securities available-for-sale at

April 30, 2019

were as follows:

($ in thousands)	Cost		Gross Unrealized Holding Gains		Fair Value
ETFs - equities	$	8,541	$	2,081	$	10,622

Government Debt Securities (Fixed Income Securities):

Fixed income securities consist of certificates of deposits and securities issued by federal, state and local governments within the United States.

Proceeds from maturities and sales of government debt securities classified as available-for-sale during the

twelve

months ended

April 30, 2020

and

April 30, 2019,

were

$8,663,000

and

$8,346,000,

respectively.  As of

April 30, 2020

and

April 30, 2019,

accumulated other comprehensive income included unrealized  gains of

$177,000

and

$43,000,

net of deferred taxes of

$46,000

  and

$9,000,

respectively.

The aggregate cost and fair value at

April 30, 2020

of fixed income securities classified as available-for-sale were as follows:

	Amortized		Gross Unrealized
($ in thousands)	Historical Cost		Holding Gains		Fair Value
Maturity
Due within 1 year	$	14,652	$	177	$	14,829
Due 1 year through 5 years		250		-		250
Total investment in government debt securities	$	14,902	$	177	$	15,079

The increase in gross unrealized  gains of

$134,000

on fixed income securities classified as available-for-sale net of deferred income taxes of

$37,000,

was included in Accumulated Other Comprehensive Income on the Consolidated Balance Sheet as of

April 30, 2020.

The aggregate cost and fair value at

April 30, 2019

of fixed income securities classified as available-for-sale were as follows:

	Amortized		Gross Unrealized
($ in thousands)	Historical Cost		Holding Gains		Fair Value
Maturity
Due within 1 year	$	6,913	$	33	$	6,946
Due 1 year through 5 years		4,250		10		4,260
Total investment in government debt securities	$	11,163	$	43	$	11,206

The increase in gross unrealized  gains of

$46,000

on fixed income securities classified as available-for-sale net of deferred income taxes of

$10,000,

was included in Accumulated Other Comprehensive Income on the Consolidated Balance Sheet as of

April 30, 2019.

The average yield on the Government debt securities classified as available-for-sale at

April 30, 2020

and

April 30, 2019

was

2.27%

and

2.09%,

respectively.

Income from Securities Transactions:

Income from securities transactions was comprised of the following:

		Fiscal Years Ended April 30,
($ in thousands)	2020			2019		2018
Dividend income	$	352		$	257	$	226
Interest income		279			201		103
Capital gain distributions from ETFs (1)		-			-		152
Realized loss on sale of securities (2)		(581	)		-		-
Other		(6	)		46		59
Total income from securities transactions, net	$	44		$	504	$	540

(

1

) Capital gain distributions of

$152,000

were reclassified from Accumulated Other Comprehensive Income in the Consolidated Balance Sheets to the Consolidated Statements of Income in fiscal

2018.

(

2

) Realized losses of

$581,000

were reclassified from Accumulated Other Comprehensive Income in the Consolidated Balance Sheets to the Consolidated Statements of Income in fiscal

2020.

The changes in the value of equity and fixed income securities investments are recorded in Other Comprehensive Income in the Consolidated Financial Statements. Realized gains and losses are recorded on the trade date in the Consolidated Statements of Income when securities are sold, mature or are redeemed. As of

April 30, 2020,

the changes in gross unrealized gains of

$699,000,

net of deferred tax benefit of

$76,000,

were recorded in Accumulated Other Comprehensive Income in the Consolidated Balance Sheets. As of

April 30, 2019,

the changes in gross unrealized gains of

$1,133,000,

net of deferred tax expense of

$238,000

were recorded in Accumulated Other Comprehensive Income in the Consolidated Balance Sheets.

Investment in Unconsolidated Entities:

Equity Method Investment:

As of

April 30, 2020

and

April 30, 2019,

the Company's investment in EAM Trust, on the Consolidated Balance Sheets was

$59,165,000

and

$58,625,000,

respectively.

The value of VLI's investment in EAM at

April 30, 2020

and

April 30, 2019

reflects the fair value of contributed capital of

$55,805,000

at inception, which included

$5,820,000

of cash and liquid securities in excess of working capital requirements contributed to EAM's capital account by VLI, plus VLI's share of non-voting revenues and non-voting profits from EAM less distributions, made quarterly to VLI by EAM, during the period subsequent to its initial investment through the dates of the Consolidated Balance Sheets.

It is anticipated that EAM will have sufficient liquidity and earn enough profit to conduct its current and future operations so the management of EAM will

not

need additional funding.

The Company monitors its Investment in EAM Trust for impairment to determine whether an event or change in circumstances has occurred that

may

have a significant adverse effect on the fair value of the investment. Impairment indicators include, but are

not

limited to the following: (a) a significant deterioration in the earnings performance, asset quality, or business prospects of the investee, (b) a significant adverse change in the regulatory, economic, or technological environment of the investee, (c) a significant adverse change in the general market condition of the industry in which the investee operates, or (d) factors that raise significant concerns about the investee's ability to continue as a going concern such as negative cash flows, working capital deficiencies, or noncompliance with statutory capital and regulatory requirements. EAM did

not

record any impairment losses for its assets during the fiscal years

2020

or

2019.

The components of EAM's investment management operations, provided to the Company by EAM, were as follows:

	Fiscal Years Ended April 30,
($ in thousands)	2020			2019		2018
Investment management fees earned from the Value Line Funds, net of waivers shown below	$	21,985		$	16,715	$	15,988
12b-1 fees and other fees, net of waivers shown below	$	8,436		$	6,811	$	6,455
Other income	$	(156	)	$	273	$	171
Investment management fee waivers and reimbursements	$	302		$	421	$	487
12b-1 fee waivers	$	667		$	654	$	754
Value Line's non-voting revenues interest	$	11,184		$	8,260	$	8,040
EAM's net income (1)	$	2,332		$	2,098	$	1,492

(

1

) Represents EAM's net income, after giving effect to Value Line's non-voting revenues interest, but before distributions to voting profits interest holders and to the Company in respect of its

50%

non-voting profits interest.

	Fiscal Years Ended April 30,
($ in thousands)	2020			2019
EAM's total assets	$	61,335		$	60,683
EAM's total liabilities (1)		(4,192	)		(3,547	)
EAM's total equity	$	57,143		$	57,136

(

1

) At

April 30, 2020

and

2019,

EAM's total liabilities included a payable to VLI for its accrued non-voting revenues and non-voting profits interests of

$2,949,000

and

$2,420,000,

respectively.

XML

Note 5 - Variable Interest Entity

12 Months Ended

Apr. 30, 2020

Notes to Financial Statements

Variable Interest Entity [Text Block]

Note 

5

- Variable Interest Entity:

The Company retained a non-voting revenues interest and a

50%

non-voting profits interest in EAM, which was formed, as a result of the Restructuring Transaction on

December 23, 2010,

to carry on the asset management and mutual fund distribution businesses formerly conducted by the Company. EAM is considered to be a VIE in relation to the Company. The Company makes its determination for consolidation of EAM as a VIE based on a qualitative assessment of the purpose and design of EAM, the terms and characteristics of the variable interests in EAM, and the risks EAM is designed to originate and pass through to holders of variable interests. Other than EAM, the Company does

not

have an interest in any other VIEs.

The Company has determined that it does

not

have a controlling financial interest in EAM because it does

not

have the power to direct the activities of EAM that most significantly impact its economic performance. Value Line does

not

hold any voting stock of EAM and it does

not

have any involvement in the day-to-day activities or operations of EAM. Although the EAM Trust Agreement provides Value Line with certain consent rights and contains certain restrictive covenants related to the activities of EAM, these are considered to be protective rights and therefore Value Line does

not

maintain control over EAM.

In addition, although EAM is expected to be profitable, there is a risk that it could operate at a loss. While all of the profit interest shareholders in EAM are subject to variability based on EAM's operations risk, Value Line's non-voting revenues interest in EAM is a preferred interest in the revenues of EAM, rather than a profits interest in EAM, and Value Line accordingly believes it is subject to proportionately less risk than other holders of the profits interests.

The Company has

not

provided any explicit or implicit financial or other support to EAM other than what was contractually agreed to in the EAM Trust Agreement. Value Line has

no

obligation to fund EAM in the future and, as a result, has

no

exposure to loss beyond its initial investment and any undistributed revenues and profits interests retained in EAM. The following table presents the total assets of EAM, the maximum exposure to loss due to involvement with EAM, as well as the value of the assets and liabilities the Company has recorded on its Consolidated Balance Sheets for its interest in EAM.

			Value Line
($ in thousands)	VIE Assets		Investment in EAM Trust (1)		Liabilities		Maximum Exposure to Loss
As of April 30, 2020	$	61,335	$	59,165	$	-	$	59,165
As of April 30, 2019	$	60,683	$	58,625	$	-	$	58,625

(

1

) Reported within Long-Term Assets on Consolidated Balance Sheets.

XML

Note 6 - Property and Equipment

12 Months Ended

Apr. 30, 2020

Notes to Financial Statements

Property, Plant and Equipment Disclosure [Text Block]

Note

6

- Property and Equipment:

Property and equipment are carried at cost. Depreciation and amortization are provided using the straight-line method over the estimated useful lives of the assets, or in the case of leasehold improvements, over the remaining terms of the leases. For income tax purposes, depreciation of furniture and equipment is computed using accelerated methods and buildings and leasehold improvements are depreciated over prescribed extended tax lives. Property and equipment, net, on the Consolidated Balance Sheets was comprised of the following:

	As of April 30,
($ in thousands)	2020			2019
Building and leasehold improvements	$	1,013		$	1,013
Operating lease - right-of-use asset		8,550			-
Furniture and equipment		4,047			4,042
		13,610			5,055
Accumulated depreciation and amortization		(4,110	)		(3,909	)
Total property and equipment, net	$	9,500		$	1,146

XML

Note 7 - Federal, State and Local Income Taxes

12 Months Ended

Apr. 30, 2020

Notes to Financial Statements

Income Tax Disclosure [Text Block]

Note

7

- Federal, State and Local Income Taxes:

In accordance with the requirements of the Income Tax Topic of the FASB's ASC, the Company's provision for income taxes includes the following:

	Fiscal Years Ended April 30,
($ in thousands)	2020		2019			2018
Current tax expense:
Federal	$	4,201	$	2,964		$	3,853
State and local		1,353		600			365
Current tax expense		5,554		3,564			4,218
Deferred tax expense (benefit):
Federal		1		(650	)		(7,021	)
State and local		266		1,162			(37	)
Deferred tax expense (benefit):		267		512			(7,058	)
Income tax provision	$	5,821	$	4,076		$	(2,840	)

On

December 22, 2017

H.R.

1,

originally known as the Tax Cuts and Jobs Act (the "Tax Act"), was enacted. The Tax Act lowered the U.S. federal income tax rate ("Federal Tax Rate") from

35%

to

21%

effective

January 1, 2018.

Accordingly, the Company computes Federal income tax expense using the Federal Tax Rate of

21%

in fiscal year

2020

and each year thereafter. The Company computed Federal income tax expense for the

twelve

months ended

April 30, 2019

using the Federal Tax Rate of

21%,

and computed its income tax expense for the

twelve

months ended

April 30, 2018

using a blended Federal Income tax rate of

30.33%.

The overall effective income tax rates, as a percentage of pre-tax ordinary income for the

twelve

months ended

April 30, 2020,

April 30, 2019

and

April 30, 2018

were

27.09%,

26.81%

and (

23.87%

), respectively. The increase in the effective tax rate during the

twelve

months ended

April 30, 2020

is primarily a result of an increase in the state and local income taxes to

6.30%

as a result of changes in state and local tax legislation and the effect of the lowering of the NYC tax allocation factor on deferred taxes in fiscal

2019.

The Company's annualized overall effective tax rate fluctuates due to a number of factors, in addition to changes in tax law, including but

not

limited to an increase or decrease in the ratio of items that do

not

have tax consequences to pre-tax income, the Company's geographic profit mix between tax jurisdictions, taxation method adopted by each locality, new interpretations of existing tax laws and rulings and settlements with tax authorities.

The overall change in the effective Federal tax rate during the

twelve

months ended

April 30, 2019

and

April 30, 2018

is primarily a result of the reduced Federal Tax Rate. As mentioned above, in fiscal

2018

the U.S. statutory federal corporate income tax rate was reduced from

35%

to

21%,

which resulted in a tax benefit of

54.51%

of pre-tax income for the

twelve

months ended

April 30, 2018,

primarily attributable to the effect on the long-term deferred tax liability. The Company re-calculated its net deferred tax assets and liabilities using the Federal Tax Rate under the Tax Act and allocated it directly to both current and deferred income tax expenses from continuing operations. In addition, due to evolving state tax legislation, the Company's state and local effective income tax rate, net of Federal income tax benefit, increased from

0.7%

of pretax income for the

twelve

months ended

April 30, 2018,

to

6.02%

of pretax income for the

twelve

months ended

April 30, 2019.

Deferred income taxes, a liability, are provided for temporary differences between the financial reporting basis and the tax basis of the Company's assets and liabilities. The tax effect of temporary differences giving rise to the Company's long-term deferred tax liability are as follows:

	Fiscal Years Ended April 30,
($ in thousands)	2020			2019
Federal tax liability (benefit):
Deferred gain on deconsolidation of EAM	$	10,669		$	10,669
Deferred non-cash post-employment compensation		(372	)		(372	)
Depreciation and amortization		108			130
Unrealized gain on securities held for sale		299			446
Right of Use Asset		(182	)		-
Deferred charges		(166	)		(354	)
Other		(207	)		(279	)
Total federal tax liability		10,149			10,240
State and local tax liabilities (benefits):
Deferred gain on deconsolidation of EAM		2,564			2,530
Deferred non-cash post-employment compensation		(88	)		(74	)
Depreciation and amortization		44			40
Unrealized gain on securities held for sale		72			106
Other		110			(218	)
Total state and local tax liabilities		2,702			2,384
Deferred tax liability, long-term	$	12,851		$	12,624

The tax effect of temporary differences giving rise to the Company's long-term deferred tax liability is primarily a result of the federal, state and local taxes related to the

$50,805,000

gain from deconsolidation of the Company's asset management and mutual fund distribution subsidiaries, partially offset by the long-term tax benefit related to the non-cash post-employment compensation of

$1,770,000

granted to VLI's former employee.

The Company uses the effective income tax rate determined to provide for income taxes on a year-to-date basis and reflects the tax effect of any tax law changes and certain other discrete events in the period in which they occur.

The provision for income taxes differs from the amount of income tax determined by applying the applicable U.S. statutory income tax rate to pre-tax income as a result of the following:

	Fiscal Years Ended April 30,
	2020			2019			2018
U.S. statutory federal tax rate		21.00	%		21.00	%		30.33	%
Increase (decrease) in tax rate from:
Effect on deferred tax liabilities from federal tax rate reduction to 21%		-			-			(54.51	)%
State and local income taxes, net of federal income tax benefit		6.30	%		6.02	%		0.70	%
Effect of dividends received deductions		(0.24	)%		(0.24	)%		(0.49	)%
Other, net		0.03	%		0.03	%		0.10	%
Effective income tax rate		27.09	%		26.81	%		(23.87	)%

The Company believes that, as of

April 30, 2020,

there were

no

material uncertain tax positions that would require disclosure under GAAP.

The Company is included in the consolidated federal income tax return of the Parent. The Company has a tax sharing agreement which requires it to make tax payments to the Parent equal to the Company's liability/(benefit) as if it filed a separate return. Beginning with the fiscal year ended

April 30, 2017,

the Company files combined income tax returns with the Parent on a unitary basis in certain states as a result of changes in state tax regulations.

The Company's federal income tax returns (included in the Parent's consolidated returns) and state and city tax returns for fiscal years ended

2017

through

2019,

are subject to examination by the tax authorities, generally for

three

years after they are filed with the tax authorities. The Company is presently engaged in a New York City tax audit for the fiscal years ended

April 30, 2017

through

2019

and does

not

expect it to have a material effect on the financial statements. 

XML

Note 8 - Employees' Profit Sharing and Savings Plan

12 Months Ended

Apr. 30, 2020

Notes to Financial Statements

Compensation Related Costs, General [Text Block]

Note

8

- Employees' Profit Sharing and Savings Plan:

Substantially all employees of the Company and its subsidiaries are members of the Value Line, Inc. Profit Sharing and Savings Plan (the "Plan"). In general, this is a qualified, contributory plan which provides for a discretionary annual Company contribution which is determined by a formula based on the salaries of eligible employees and the amount of consolidated net operating income as defined in the Plan. For the fiscal years ended

April 30, 2020,

2019

and

2018,

the estimated profit sharing plan contribution, which is included as an expense in salaries and employee benefits in the Consolidated Statements of Income, was

$870,000,

$592,000

and

$496,000,

respectively.

XML

Note 9 - Lease Commitments

12 Months Ended

Apr. 30, 2020

Notes to Financial Statements

Lessee, Operating Leases [Text Block]

Note

9

- Lease Commitments:

On

November 30, 2016,

Value Line, Inc., received consent from the landlord at

551

Fifth Avenue, New York, NY to the terms of a new sublease agreement between Value Line, Inc. and ABM Industries, Incorporated (“ABM” or the “Sublandlord”) commencing on

December 1, 2016.

Pursuant to the agreement Value Line leased from ABM

24,726

square feet of office space located on the

second

and

third

floors at

551

Fifth Avenue, New York, NY (“Building” or “Premises”) beginning on

December 1, 2016

and ending on

November 29, 2027.

Base rent under the sublease agreement is

$1,126,000

per annum during the

first

year with an annual increase in base rent of

2.25%

scheduled for each subsequent year, payable in equal monthly installments on the

first

day of each month, subject to customary concessions in the Company's favor and pass-through of certain increases in utility costs and real estate taxes over the base year. The Company provided a security deposit represented by a letter of credit in the amount of

$469,000

in

October 2016,

which is scheduled to be reduced to

$305,000

on

September 30, 2021

and fully refunded after the sublease ends. This Building became the Company's new corporate office facility. The Company is required to pay for certain operating expenses associated with the Premises as well as utilities supplied to the Premises. The sublease terms provide for a significant decrease (

23%

initially) in the Company's annual rental expenditure taking into account free rent for the

first

six

months of the sublease. Sublandlord provided Value Line a work allowance of

$417,000

which accompanied with the

six

months free rent worth

$563,000

was applied against the Company's obligation to pay rent at our NYC headquarters, delaying the actual rent payments until

November 2017.

On

February

29,

2016,

the Company's subsidiary VLDC and Seagis Property Group LP (the “Landlord”) entered into a lease agreement, pursuant to which VLDC has leased

24,110

square feet of warehouse and appurtenant office space located at

205

Chubb Ave., Lyndhurst, NJ (“Warehouse”) beginning on

May 1, 2016

and ending on

April 30, 2024 (

“Lease”). Base rent under the Lease is

$192,880

per annum payable in equal monthly installments on the

first

day of each month, in advance during fiscal

2017

and will gradually increase to

$237,218

in fiscal

2024,

subject to customary increases based on operating costs and real estate taxes. The Company provided a security deposit in cash in the amount of

$32,146,

which will be fully refunded after the lease term expires. The lease is a net lease requiring the Company to pay for certain operating expenses associated with the Warehouse as well as utilities supplied to the Warehouse.

In

February 2016,

the FASB issued ASU

No.

2016

-

02,

“Leases (Topic

842

)”. This ASU requires that, for leases longer than

one

year, a lessee recognizes in the statements of financial position a right-of-use asset, representing the right to use the underlying asset for the lease term, and a lease liability, representing the liability to make lease payments. It also requires that for finance leases, a lessee recognizes interest expense on the lease liability, separately from the amortization of the right-of-use asset in the statements of earnings, while for operating leases, such amounts should be recognized as a combined expense. The firm adopted this ASU in

May 2019

under a modified retrospective approach.

The Company adopted ASU

2016

-

02

using a modified retrospective transition approach as of the Effective Date as permitted by the amendments in ASU

2018

-

11,

which provides an alternative modified retrospective transition method. As a result, the Company was

not

required to adjust its comparative period financial information for effects of the standard or make the new required lease disclosures for periods before the date of adoption (i.e.

May 1, 2019).

The Company has elected to employ the transitionary relief offered by the FASB and, therefore, has

not

reassessed (

1

) whether existing or expired contracts contain a lease, (

2

) lease classification for existing or expired leases or (

3

) the accounting for initial direct costs that were previously capitalized.

The Company leases office space in New York, NY and a warehouse and appurtenant office space in Lyndhurst, NJ. The Company has evaluated these leases and determined that they are operating leases under the definitions of the guidance of ASU

2016

-

02.

The right-of-use asset is initially measured at cost, which comprises the initial amount of the net present value of the lease liability adjusted for lease payments made at or before the lease commencement date, plus any initial direct costs incurred less any lease incentives received. For operating leases, the right-of-use asset is subsequently measured throughout the lease term at the carrying amount of the net present value of the lease liability, plus initial direct costs, plus (minus) any prepaid (accrued) lease payments, less the unamortized balance of lease incentives received.

On

May 1, 2019,

the Company recorded a right-of-use asset in the amount of

$9,575,000,

which represents the lease liability of

$10,340,000

adjusted for previously recorded unamortized lease incentives in the amount of

$765,000.

The right-of-use asset will be amortized over the remaining lease term in the amount equal to the difference between the calculated straight-line expense of the total lease payments less the monthly interest calculated on the remaining lease liability. As of

April 30, 2020,

the Company had a long-term lease asset of

$8,550,000

recorded in property and equipment in its consolidated balance sheets.

The Company recognizes lease expense, calculated as the remaining cost of the lease allocated over the remaining lease term on a straight-line basis. Lease expense are presented as part of continuing operations in the consolidated condensed statements of income. For the

twelve

months ended

April 30, 2020,

the Company recognized

$1,499,000

in lease expense.

For the

twelve

months ended

April 30, 2020,

the Company paid

$1,400,000

in rent relating to the leases. As a payment arising from an operating lease, the

$1,400,000

will be classified within operating activities in the consolidated statements of cash flows.

The Company's leases generally do

not

provide an implicit interest rate, and therefore the Company estimated an incremental borrowing rate, or IBR, as of the commencement date, to determine the present value of its operating lease liabilities. The IBR is defined under ASC

842

as the rate of interest that the Company would have to pay to borrow on a collateralized basis over a similar term for an amount equal to the lease payments in a similar economic environment. The following table reconciles the undiscounted future minimum lease payments to the total operating lease liabilities recognized on the consolidated balance sheet as of

April 30, 2020:

Fiscal years ended April 30,	(in thousands)
2021		1,432
2022		1,506
2023		1,597
2024		1,634
2025		1,429
Thereafter		3,838
Total undiscounted future minimum lease payments		11,436
Less: difference between undiscounted lease payments & the present value of future lease payments		2,019
Total operating lease liabilities	$	9,417

For the fiscal years ended

April 30, 2020,

2019

and

2018,

rental expenses were

$1,499,000,

$1,278,000

and

$1,246,000,

respectively.

XML

Note 10 - Disclosure of Credit Risk of Financial Instruments with Off-balance Sheet Risk

12 Months Ended

Apr. 30, 2020

Notes to Financial Statements

Concentration Risk of Financial Instruments with Off-balance Sheet Risk [Text Block]

Note

10

- Disclosure of Credit Risk of Financial Instruments with Off-Balance Sheet Risk:

Other than EAM and the Value Line Funds as explained in Note

3

- Related Party Transactions, a single customer accounted for a significant portion of the Company's sales in fiscal

2020,

2019

or

2018,

and its accounts receivable as of

April 30, 2020

or

2019.

During the

twelve

months ended

April 30, 2020,

2019

and

2018,

31.4%,

20.5%

and

17.7%,

respectively, of total publishing revenues were derived from a single customer as explained in Note

17

- Concentration.

XML

Note 11 - Comprehensive Income

12 Months Ended

Apr. 30, 2020

Notes to Financial Statements

Comprehensive Income (Loss) Note [Text Block]

Note

11

- Comprehensive Income:

The FASB's ASC Comprehensive Income topic requires the reporting of comprehensive income in addition to net income from operations. Comprehensive income is a more inclusive financial reporting methodology that includes disclosure of certain financial information that otherwise would

not

be recognized in the calculation of net income.

As of

April 30, 2020

and

April 30, 2019,

the Company held equity securities consisting primarily of ETFs with high relative dividend yields that are classified as securities available-for-sale on the Consolidated Balance Sheets. As of

April 30, 2020

and

April 30, 2019

the Company also held fixed income securities consisting of certificates of deposits and securities issued by federal, state, and local governments within the United States that are classified as securities available-for-sale on the Consolidated Balance Sheets. The change in valuation of these securities, net of deferred income taxes, has been recorded in accumulated other comprehensive income in the Company's Consolidated Balance Sheets.

The components of comprehensive income that are included in the Consolidated Statement of Changes in Shareholders' Equity for the

twelve

months ending

April 30, 2020

are as follows:

	Fiscal Year Ended April 30, 2020
($ in thousands)	Amount Before Tax			Tax (Expense) / Benefit			Amount Net of Tax
Change in unrealized gains on securities	$	(1,280	)	$	227		$	(1,053	)
Add: Losses realized in net income		581			(151	)		430
	$	(699	)	$	76		$	(623	)

The components of comprehensive income that are included in the Consolidated Statement of Changes in Shareholders' Equity for the

twelve

months ending

April 30, 2019

are as follows:

	Fiscal Year Ended April 30, 2019
($ in thousands)	Amount Before Tax		Tax (Expense) / Benefit			Amount Net of Tax
Change in unrealized gains on securities	$	1,133	$	(238	)	$	895
	$	1,133	$	(238	)	$	895

The components of comprehensive income that are included in the Consolidated Statement of Changes in Shareholders' Equity for the

twelve

months ending

April 30, 2018

are as follows:

	Fiscal Year Ended April 30, 2018
($ in thousands)	Amount Before Tax			Tax (Expense) / Benefit		Amount Net of Tax
Change in unrealized gains on securities	$	437		$	8	$	445
Less: Gains realized in net income		(152	)		32		(120	)
	$	285		$	40	$	325

XML

Note 12 - Accounting for the Costs of Computer Software Developed for Internal Use

12 Months Ended

Apr. 30, 2020

Notes to Financial Statements

Internal Use Software Disclosure [Text Block]

Note

12

- Accounting for the Costs of Computer Software Developed for Internal Use:

The Company has adopted the provisions of the Statement of Position

98

-

1

(SOP

98

-

1

), "Accounting for the Costs of Computer Software Developed for Internal Use". SOP

98

-

1

requires companies to capitalize as long-lived assets many of the costs associated with developing or purchasing software for internal use and amortize those costs over the software's estimated useful life in a systematic and rational manner. Such costs, when incurred, are capitalized and amortized over the expected useful life of the asset, normally

3

to

5

years.

The Company did

not

incur and did

not

capitalize expenditures related to

third

party programmers' costs or to the development of software for internal use during the

twelve

months ended

April 30, 2020.

During the

twelve

months ended

April 30, 2019

the Company capitalized

$111,000

related to the

third

party programmers' costs. The Company did

not

incur and did

not

capitalize expenditures related to the development of software for internal use during the

twelve

months ended

April 30, 2019

or

April 30, 2018.

Total amortization expenses for the years ended

April 30, 2020,

2019

and

2018

were

$65,000,

$131,000

and

$848,000,

respectively.

XML

Note 13 - Treasury Stock and Repurchase Program

12 Months Ended

Apr. 30, 2020

Notes to Financial Statements

Treasury Stock [Text Block]

Note

13

- Treasury Stock and Repurchase Program:

On

April 17, 2020,

the Company's Board of Directors approved a share repurchase program authorizing the repurchase of shares of the Company's common stock up to an aggregate purchase price of

$2,000,000.

The repurchases

may

be made from time to time on the open market at prevailing market prices, in negotiated transactions off the market, in block purchases or otherwise. The repurchase program

may

be suspended or discontinued at any time at the Company's discretion and has

no

set expiration date.

Treasury stock, at cost, consists of the following:

($ in thousands except for cost per share)	Shares		Cost Assigned		Average Cost per Share		Aggregate Purchase Price Remaining Under the Program
Balance as of April 30, 2017 (1), (2)		288,335	$	3,781	$	13.11	$	609
Purchases effected in open market (2)		20,045	$	354	$	17.67	$	-
Balance as of April 30, 2018		308,380	$	4,135	$	13.41	$	255
Purchases effected in open market (2) (3)		28,059	$	608	$	21.68	$	-
Balance as of April 30, 2019		336,439	$	4,743	$	14.10	$	1,438
Purchases effected in open market (2) (3)		46,840	$	1,214	$	25.91	$	-
Balance as of April 30, 2020		383,279	$	5,957	$	15.54	$	2,000

(

1

) Included

85,219

shares with a total average cost of

$1,036,000

that were acquired during the former repurchase program, which was authorized in

January 2011

and expired in

January 2012;

18,400

shares were acquired prior to the repurchase program authorized in

January 2011.

(

2

) Were acquired during the

$3

million repurchase program authorized in

September 2012.

(

3

) Were acquired during the

$2

million repurchase program authorized in

October 2018.

XML

Note 14 - Copyright Fees

12 Months Ended

Apr. 30, 2020

Notes to Financial Statements

Copyright Data Fees [Text Block]

Note

14

- Copyright Fees:

During the

twelve

months ended

April 30, 2020,

copyright fees of

$12,671,000

were

70.4%

above fiscal

2019.

During the

twelve

months ended

April 30, 2019,

copyright fees of

$7,437,000

were

16.8%

above fiscal

2018.

As of

April 30, 2020,

total

third

party sponsored assets were

$8.6

billion, as compared to

$6.1

billion in assets at

April 30, 2019.

XML

Note 15 - Restricted Cash and Deposits

12 Months Ended

Apr. 30, 2020

Notes to Financial Statements

Restricted Assets Disclosure [Text Block]

Note

15

- Restricted Cash and Deposits:

Restricted Money Market Investment in the noncurrent assets on the Consolidated Balance Sheets at

April 30, 2020

and

April 30, 2019,

includes

$469,000

,

which represents cash invested in a bank money market fund securing a letter of credit ("LOC") in the amount of

$469,000

issued to the sublandlord as a security deposit for the Company's new leased corporate office facility.

XML

Note 16 - Concentration

12 Months Ended

Apr. 30, 2020

Notes to Financial Statements

Concentration Risk Disclosure [Text Block]

Note

16

- Concentration:

During the

twelve

months ended

April 30, 2020,

31.4%

of total publishing revenues of

$40,299,000

were derived from a single customer. During the

twelve

months ended

April 30, 2019,

20.5%

of total publishing revenues of

$36,257,000

were derived from a single customer.

XML

Note 17 - Concentration of Credit Risk

12 Months Ended

Apr. 30, 2020

Notes to Financial Statements

Concentration of Credit Risk [Text Block]

Note

17

- Concentration of Credit Risk:

Financial instruments that potentially subject the Company to concentration of credit risk consist principally of cash deposits. Accounts at each institution are insured by the Federal Deposit Insurance Corporation (“FDIC”) up to

$250,000.

At

April 30, 2020

and

2019,

the Company had

$5,202,000

and

$1,597,000,

respectively, in excess of the FDIC insured limit. Management has concluded the excess does

not

represent a material risk, based on the creditworthiness of the counter parties.

XML

Note 18 - Business Segments

12 Months Ended

Apr. 30, 2020

Notes to Financial Statements

Segment Reporting Disclosure [Text Block]

Note

18

- Business Segments:

The Publishing business segment, the Company's only reportable segment subsequent to

December 23, 2010,

produces investment periodicals and related publications (retail and institutional) in both print and digital form, and includes Value Line copyrights and Value Line Proprietary Ranking System results and other proprietary information.

As more fully described in Note

1

- Organization and Summary of Significant Accounting Policies, the Company deconsolidated its investment management business on

December 23, 2010

and therefore

no

longer reports the investment management operation as a separate business unit. Although VLI continues to receive significant cash flows from these operations through its non-controlling investment in EAM, it

no

longer considers this to be a reportable business segment due to its lack of control over the operating and financial policies of EAM.

XML

Note 19 - Paycheck Protection Program Loan

12 Months Ended

Apr. 30, 2020

Paycheck Protection Program CARES Act [Member]

Notes to Financial Statements

Long-term Debt [Text Block]

Note

19

- Paycheck Protection Program Loan:

The Company recently executed a note and received loan (the "PPP Loan") from JP Morgan Chase Bank under the Paycheck Protection Program ("PPP") which was established under the Coronavirus Aid, Relief, and Economic Security Act (the "CARES Act") and is administered by the U.S. Small Business Administration. In

April 2020,

the Company received the PPP Loan of

$2,331,365.

The proceeds from the PPP Loan will be used in accordance with the terms of the CARES Act program, as described further below.

The term of the PPP Loan is

two

years. The interest rate on the PPP Loan is

1.00%,

which shall be deferred for the

first

six

months of the term of the loan. Pursuant to the terms of the CARES Act, the proceeds of the PPP Loan

may

be used for payroll costs, mortgage interest, rent or utility costs. The promissory note evidencing the PPP Loan contains customary events of default relating to, among other things, payment defaults, breach of representations and warranties, or provisions of the promissory note. The occurrence of an event of default

may

result in a claim for the immediate repayment of all amounts outstanding under such PPP Loan, collection of all amounts owing from the respective Borrower, filing suit and obtaining judgment against the respective Borrower.

Under the terms of the CARES Act, Borrower can apply for and be granted forgiveness for all or a portion of the PPP Loan.  Such forgiveness will be determined, subject to limitations, based on the use of loan proceeds in accordance with the terms of the CARES Act, as described above, during a period

not

to exceed a

twenty-four

week period after loan origination and the maintenance or achievement of certain employee levels. 

No

assurance is provided that Borrower will obtain forgiveness under any relevant PPP Loan in whole or in part.

XML

Significant Accounting Policies (Policies)

12 Months Ended

Apr. 30, 2020

Accounting Policies [Abstract]

Use of Estimates, Policy [Policy Text Block]

Use of Estimates:

The preparation of financial statements in conformity with U.S. generally accepted accounting principles ("GAAP") requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results

may

differ from those estimates.

Consolidation, Policy [Policy Text Block]

Principles of Consolidation:

The Company follows the guidance in the Financial Accounting Standards Board's ("FASB") Topic

810

“Consolidation” to determine if it should consolidate its investment in a variable interest entity ("VIE"). A VIE is a legal entity in which either (i) equity investors do

not

have sufficient equity investment at risk to enable the entity to finance its activities independently or (ii) the equity holders at risk lack the obligation to absorb losses, the right to receive residual returns or the right to make decisions about the entity's activities that most significantly affect the entity's economic performance. A holder of a variable interest in a VIE is required to consolidate the entity if it is determined that it has a controlling financial interest in the VIE and is therefore the primary beneficiary. The determination of a controlling financial interest in a VIE is based on a qualitative assessment to identify the variable interest holder, if any, that has (i) the power to direct the activities of the VIE that most significantly impact the VIE's economic performance, and (ii) either the obligation to absorb losses of the entity or the right to receive benefits from the entity that could potentially be significant to the VIE. The accounting guidance requires the Company to perform an ongoing assessment of whether the Company is the primary beneficiary of a VIE and the Company has determined it is

not

the primary beneficiary of a VIE (see Note

5

).

In accordance with FASB's Topic

810,

the assets, liabilities, and results of operations of subsidiaries in which the Company has a controlling interest have been consolidated. All significant intercompany accounts and transactions have been eliminated in consolidation. On

December 23, 2010,

the Company completed the Restructuring Transaction and deconsolidated the related affiliates in accordance with FASB's Topic

810.

As part of the Restructuring Transaction, the Company received a significant non-voting revenues interest (excluding distribution revenues) and a significant non-voting profits interest in the new entity, EULAV Asset Management, a Delaware statutory trust (“EAM” or “EAM Trust”). The Company relied on the guidance in FASB's ASC Topics

323

and

810

in its determination

not

to consolidate its investment in EAM and to account for such investment under the equity method of accounting. The Company reports the amount it receives for its non-voting revenues and non-voting profits interests as a separate line item below operating income in the Consolidated Statements of Income.

Revenue from Contract with Customer [Policy Text Block]

Revenue Recognition:

Depending upon the product, subscription fulfillment for Value Line periodicals and related publications is available in print or digitally, via internet access. The length of a subscription varies by product and offer received by the subscriber. Generally, subscriptions are offered as annual subscriptions with the majority of subscriptions paid in advance. Subscription revenues, net of discounts, are recognized ratably on a straight line basis when the product is served to the client over the life of the subscription. Accordingly, the amount of subscription fees to be earned by fulfilling subscriptions after the date of the balance sheets are shown as unearned revenue within current and long-term liabilities.

Copyright fees are derived from providing certain Value Line trademarks and the Value Line Proprietary Ranking System results to

third

parties under written agreements for use in selecting securities for

third

party marketed products, including unit investment trusts, annuities and exchange traded funds ("ETFs"). The Company earns asset-based copyright fees upon delivery of the product to the customer as specified in the individual agreements. Revenue is recognized monthly and received either quarterly or in advance over the term of the agreement and, because it is asset-based, will fluctuate as the market value of the underlying portfolio increases or decreases in value.

EAM earns investment management fees from the Value Line Funds. The management fees and average daily net assets for the Value Line Funds are calculated by State Street Bank, which serves as the fund accountant, fund administrator, and custodian of the Value Line Funds.

The Value Line Funds are open-end management companies registered under the Investment Company Act of

1940

(the

"1940

Act"). Shareholder transactions for the Value Line Funds are processed each business day by the

third

party transfer agent of the Funds. Shares can be redeemed without advance notice upon request of the shareowners each day that the New York Stock Exchange is open.

Equity Method Investments [Policy Text Block]

Investment in Unconsolidated Entities:

The Company accounts for its investment in its unconsolidated entity, EAM, using the equity method of accounting in accordance with FASB's ASC

323.

The equity method is an appropriate means of recognizing increases or decreases measured by GAAP in the economic resources underlying the investments. Under the equity method, an investor recognizes its share of the earnings or losses of an investee in the periods for which they are reported by the investee in its financial statements rather than in the period in which an investee declares a dividend or distribution. An investor adjusts the carrying amount of an investment for its share of the earnings or losses recognized by the investee.

The Company's “interests” in EAM, the investment adviser to and the sole member of the distributor of the Value Line Funds, consist of a "non-voting revenues interest" and a "non-voting profits interest" in EAM as defined in the EAM Trust Agreement. The non-voting revenues interest entitles the Company to receive a range of

41%

to

55%,

based on the amount of EAM's adjusted gross revenues, excluding EULAV Securities' distribution revenues (“Revenues Interest”). The non-voting profits interest entitles the Company to receive

50%

of EAM's profits, subject to certain limited adjustments as defined in the EAM Trust Agreement (“Profits Interest”). The Revenues Interest and at least

90%

of the Profits Interest are to be distributed each quarter to all interest holders of EAM, including Value Line. Subsequent to the Restructuring Date, the Company's Revenues Interest in EAM excludes participation in the service and distribution fees of EAM's subsidiary EULAV Securities. The Company reflects its non-voting revenues and non-voting profits interests in EAM as non-operating income under the equity method of accounting subsequent to the Restructuring Transaction. Although the Company does

not

have control over the operating and financial policies of EAM, pursuant to the EAM Trust Agreement, the Company has a contractual right to receive its share of EAM's revenues and profits.

New Accounting Pronouncements, Policy [Policy Text Block]

Recent Accounting Pronouncements:

In

February 2016,

the FASB issued ASU

No.

2016

-

02,

“Leases (Topic

842

)”. This ASU requires that, for leases longer than

one

year, a lessee recognize in the statements of financial position a right-of-use asset, representing the right to use the underlying asset for the lease term, and a lease liability, representing the liability to make lease payments. It also requires that for finance leases, a lessee recognize interest expense on the lease liability, separately from the amortization of the right-of-use asset in the statements of earnings, while for operating leases, such amounts should be recognized as a combined expense. The Company adopted this ASU in

May 2019

under a modified retrospective approach (see Note

9

).

In

August 2016,

the FASB issued Accounting Standards Update

No.

2016

-

15,

Classification of Certain Cash Receipts and Cash Payments (a consensus of the Emerging Issues Task Force) (“ASU

2016

-

15”

), effective for public business entities for fiscal years beginning after

December 15, 2017,

and interim periods within those fiscal years. The amendments in ASU

2016

-

15

address

eight

specific cash flow issues and apply to all entities that are required to present a statement of cash flows under ASC Topic

230,

Statement of Cash Flows. The Company has adopted ASU

2016

-

15

in the

first

quarter of fiscal

2019.

The FASB issued ASU

No.

2014

-

09,

“Revenue from Contracts with Customers (Topic

606

)”, which requires an entity to recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which it expects to be entitled in exchange for those goods or services. In addition, ASU

No.

2014

-

09

requires disclosures of the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers. ASU

No.

2014

-

09

supersedes most existing U.S. GAAP revenue recognition principles, and it permits the use of either the retrospective or cumulative effect transition method. ASU

No.

2014

-

09

is effective for annual reporting periods beginning after

December 15, 2017,

including interim periods within those annual periods. The Company has adopted ASU

No.

2014

-

09

in the

first

quarter of fiscal

2019,

which does

not

have a material impact on the Company's consolidated condensed financial statements and related disclosures.

In

November 2016,

the FASB issued ASU

No.

2016

-

18,

"Statement of Cash Flows (Topic

230

): Restricted Cash (a consensus of the FASB Emerging Issues Task Force)", effective for annual reporting periods beginning after

December 15, 2017,

including interim periods within those annual periods. This ASU requires that the reconciliation of the beginning-of-period and end-of-period amounts shown in the statement of cash flows include cash, cash equivalents and amounts generally described as restricted cash or restricted cash equivalents. The Company has adopted ASU

No.

2016

-

18

in the

first

quarter of fiscal

2019,

which does

not

have a material impact on the Company's consolidated condensed financial statements and related disclosures.

On

June 21, 2018,

the United States Supreme Court reversed the

1992

ruling in

Quill,

which protected firms delivering items by common carrier into a state where it had

no

physical presence from having to collect sales tax in such state. The Company has  integrated the effects of the various state laws into its operations and continues to do so.

Fair Value Measurement, Policy [Policy Text Block]

Valuation of Securities:

The Company's securities classified as cash equivalents and available-for-sale consist of shares of money market funds that invest primarily in short-term U.S. Government securities and investments in equities including ETFs and are valued in accordance with the requirements of the Fair Value Measurements Topic of the FASB's ASC

820.

The securities classified as available-for-sale reflected in the Consolidated Balance Sheets are valued at market and unrealized gains and losses, net of applicable taxes, are reported as a separate component of shareholders' equity. Realized gains and losses on sales of the securities classified as available-for-sale are recorded in earnings as of the trade date and are determined on the identified cost method.

The Company classifies its securities available-for-sale as current assets to properly reflect its liquidity and to recognize the fact that it has liquid assets available-for-sale should the need arise.

Market valuations of securities listed on a securities exchange and ETF shares are based on the closing sales prices on the last business day of each month. The market value of the Company's fixed maturity U.S. Government debt securities is determined utilizing publicly quoted market prices. Cash equivalents consist of investments in money market funds that invest primarily in U.S. Government securities valued in accordance with rule

2a

-

7

under the

1940

Act.

The Fair Value Measurements Topic of FASB's ASC defines fair value as the price that the Company would receive upon selling an investment in a timely transaction to an independent buyer in the principal or most advantageous market for the investment. The Fair Value Measurements Topic established a

three

-tier hierarchy to maximize the use of observable market data and minimize the use of unobservable inputs and to establish classification of fair value measurements for disclosure purposes. Inputs refer broadly to the information that market participants would use in pricing the asset or liability, including assumptions about risk. Examples of risks include those inherent in a particular valuation technique used to measure fair value such as the risk inherent in the inputs to the valuation technique. Inputs are classified as observable or unobservable. Observable inputs are inputs that reflect the assumptions market participants would use in pricing the asset or liability developed based on market data obtained from sources independent of the reporting entity. Unobservable inputs are inputs that reflect the reporting entity's own assumptions about the factors market participants would use in pricing the asset or liability developed based on the best information available in the circumstances.

The

three

-tier hierarchy of inputs is summarized in the

three

broad levels listed below.

Level

1

– quoted prices in active markets for identical investments

Level

2

– other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.)

Level

3

– significant unobservable inputs (including the Company's own assumptions in determining the fair value of investments)

The following summarizes the levels of fair value measurements of the Company's investments:

		As of April 30, 2020
($ in thousands)	Level 1		Level 2		Level 3		Total
Cash equivalents	$	2,115	$	-	$	-	$	2,115
Securities available-for-sale		29,204		-		-		29,204
	$	31,319	$	-	$	-	$	31,319

		As of April 30, 2019
($ in thousands)	Level 1		Level 2		Level 3		Total
Cash equivalents	$	5,617	$	-	$	-	$	5,617
Securities available-for-sale		21,828		-		-		21,828
	$	27,445	$	-	$	-	$	27,445

The Company had

no

other financial instruments such as futures, forwards and swap contracts. For the periods ended

April 30, 2020

and

April 30, 2019,

there were

no

Level

2

nor Level

3

investments. The Company does

not

have any liabilities subject to fair value measurement.

Advertising Cost [Policy Text Block]

Advertising expenses:

The Company expenses advertising costs as incurred.

Income Tax, Policy [Policy Text Block]

Income Taxes:

The Company computes its income tax provision in accordance with the Income Tax Topic of the FASB's ASC. Deferred tax liabilities and assets are recognized for the expected future tax consequences of events that have been reflected in the Consolidated Financial Statements. Deferred tax liabilities and assets are determined based on the differences between the book values and the tax bases of particular assets and liabilities, using tax rates currently in effect for the years in which the differences are expected to reverse. The Company adopted the provisions of ASU

2015

-

17,

Income taxes (Topic

740

) during the

first

quarter of fiscal

2018

and now classifies all deferred taxes as long-term liabilities on the Consolidated Balance Sheets.

The Income Tax Topic of the FASB's ASC establishes for all entities, a minimum threshold for financial statement recognition of the benefit of positions taken in filing tax returns (including whether an entity is taxable in a particular jurisdiction), and requires certain expanded tax disclosures. As of

April 30, 2020,

management has reviewed the tax positions for the years still subject to tax audit under the statute of limitations, evaluated the implications, and determined that there is

no

material impact to the Company's financial statements.

Earnings Per Share, Policy [Policy Text Block]

Earnings per share:

Earnings per share are based on the weighted average number of shares of common stock and common stock equivalents outstanding during each period. Any shares that are reacquired during the period are weighted for the portion of the period that they are outstanding. The Company does

not

have any potentially dilutive common shares from outstanding stock options, warrants, restricted stock, or restricted stock units.

Cash and Cash Equivalents, Policy [Policy Text Block]

Cash and Cash Equivalents:

For purposes of the Consolidated Statements of Cash Flows, the Company considers all cash held at banks and short-term liquid investments with an original maturity of less than

three

months to be cash and cash equivalents. As of

April 30, 2020

and

April 30, 2019,

cash equivalents included

$2,115,000

and

$5,617,000,

respectively, for amounts invested in money market mutual funds that invest in short-term U.S. government securities.

XML

Note 1 - Organization and Summary of Significant Accounting Policies (Tables)

12 Months Ended

Apr. 30, 2020

Notes Tables

Fair Value Measurements, Recurring and Nonrecurring [Table Text Block]

		As of April 30, 2020
($ in thousands)	Level 1		Level 2		Level 3		Total
Cash equivalents	$	2,115	$	-	$	-	$	2,115
Securities available-for-sale		29,204		-		-		29,204
	$	31,319	$	-	$	-	$	31,319

		As of April 30, 2019
($ in thousands)	Level 1		Level 2		Level 3		Total
Cash equivalents	$	5,617	$	-	$	-	$	5,617
Securities available-for-sale		21,828		-		-		21,828
	$	27,445	$	-	$	-	$	27,445

XML

Note 2 - Supplementary Cash Flow Information (Tables)

12 Months Ended

Apr. 30, 2020

Notes Tables

Schedule of Cash Flow, Supplemental Disclosures [Table Text Block]

	Fiscal Years Ended April 30,
($ in thousands)	2020		2019		2018
Cash and cash equivalents	$	4,954	$	6,493	$	5,941
Restricted cash	$	469	$	469	$	469
Total cash, cash equivalents, and restricted cash shown in the Consolidated Statement of Cash Flows	$	5,423	$	6,962	$	6,410

	Fiscal Years Ended April 30,
($ in thousands)	2020		2019		2018
State and local income tax payments	$	1,105	$	387	$	307
Federal income tax payments to the Parent	$	3,325	$	2,700	$	3,975

XML

Note 3 - Related Party Transactions (Tables)

12 Months Ended

Apr. 30, 2020

Notes Tables

Schedule of Non Voting Revenues Interest and Non Voting Profits Interests [Table Text Block]

	Fiscal Years Ended April 30,
($ in thousands)	2020		2019		2018
Non-voting revenues interest in EAM	$	11,184	$	8,260	$	8,040
Non-voting profits interest in EAM		1,166		1,049		746
	$	12,350	$	9,309	$	8,786

XML

Note 4 - Investments (Tables)

12 Months Ended

Apr. 30, 2020

Notes Tables

Schedule of Available-for-sale Securities Reconciliation [Table Text Block]

($ in thousands)	Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
ETFs - equities	$	12,877	$	1,317	$	(69	)	$	14,125

($ in thousands)	Cost		Gross Unrealized Holding Gains		Fair Value
ETFs - equities	$	8,541	$	2,081	$	10,622

	Amortized		Gross Unrealized
($ in thousands)	Historical Cost		Holding Gains		Fair Value
Maturity
Due within 1 year	$	14,652	$	177	$	14,829
Due 1 year through 5 years		250		-		250
Total investment in government debt securities	$	14,902	$	177	$	15,079

	Amortized		Gross Unrealized
($ in thousands)	Historical Cost		Holding Gains		Fair Value
Maturity
Due within 1 year	$	6,913	$	33	$	6,946
Due 1 year through 5 years		4,250		10		4,260
Total investment in government debt securities	$	11,163	$	43	$	11,206

Investment Income [Table Text Block]

		Fiscal Years Ended April 30,
($ in thousands)	2020			2019		2018
Dividend income	$	352		$	257	$	226
Interest income		279			201		103
Capital gain distributions from ETFs (1)		-			-		152
Realized loss on sale of securities (2)		(581	)		-		-
Other		(6	)		46		59
Total income from securities transactions, net	$	44		$	504	$	540

Investment Holdings, Other than Securities [Table Text Block]

	Fiscal Years Ended April 30,
($ in thousands)	2020			2019		2018
Investment management fees earned from the Value Line Funds, net of waivers shown below	$	21,985		$	16,715	$	15,988
12b-1 fees and other fees, net of waivers shown below	$	8,436		$	6,811	$	6,455
Other income	$	(156	)	$	273	$	171
Investment management fee waivers and reimbursements	$	302		$	421	$	487
12b-1 fee waivers	$	667		$	654	$	754
Value Line's non-voting revenues interest	$	11,184		$	8,260	$	8,040
EAM's net income (1)	$	2,332		$	2,098	$	1,492

Summary Investment Holdings [Table Text Block]

	Fiscal Years Ended April 30,
($ in thousands)	2020			2019
EAM's total assets	$	61,335		$	60,683
EAM's total liabilities (1)		(4,192	)		(3,547	)
EAM's total equity	$	57,143		$	57,136

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Note 5 - Variable Interest Entity (Tables)

12 Months Ended

Apr. 30, 2020

Notes Tables

Schedule of Variable Interest Entities [Table Text Block]

			Value Line
($ in thousands)	VIE Assets		Investment in EAM Trust (1)		Liabilities		Maximum Exposure to Loss
As of April 30, 2020	$	61,335	$	59,165	$	-	$	59,165
As of April 30, 2019	$	60,683	$	58,625	$	-	$	58,625

XML

Note 6 - Property and Equipment (Tables)

12 Months Ended

Apr. 30, 2020

Notes Tables

Property, Plant and Equipment [Table Text Block]

	As of April 30,
($ in thousands)	2020			2019
Building and leasehold improvements	$	1,013		$	1,013
Operating lease - right-of-use asset		8,550			-
Furniture and equipment		4,047			4,042
		13,610			5,055
Accumulated depreciation and amortization		(4,110	)		(3,909	)
Total property and equipment, net	$	9,500		$	1,146

XML

Note 7 - Federal, State and Local Income Taxes (Tables)

12 Months Ended

Apr. 30, 2020

Notes Tables

Schedule of Components of Income Tax Expense (Benefit) [Table Text Block]

	Fiscal Years Ended April 30,
($ in thousands)	2020		2019			2018
Current tax expense:
Federal	$	4,201	$	2,964		$	3,853
State and local		1,353		600			365
Current tax expense		5,554		3,564			4,218
Deferred tax expense (benefit):
Federal		1		(650	)		(7,021	)
State and local		266		1,162			(37	)
Deferred tax expense (benefit):		267		512			(7,058	)
Income tax provision	$	5,821	$	4,076		$	(2,840	)

Schedule of Deferred Tax Assets and Liabilities [Table Text Block]

	Fiscal Years Ended April 30,
($ in thousands)	2020			2019
Federal tax liability (benefit):
Deferred gain on deconsolidation of EAM	$	10,669		$	10,669
Deferred non-cash post-employment compensation		(372	)		(372	)
Depreciation and amortization		108			130
Unrealized gain on securities held for sale		299			446
Right of Use Asset		(182	)		-
Deferred charges		(166	)		(354	)
Other		(207	)		(279	)
Total federal tax liability		10,149			10,240
State and local tax liabilities (benefits):
Deferred gain on deconsolidation of EAM		2,564			2,530
Deferred non-cash post-employment compensation		(88	)		(74	)
Depreciation and amortization		44			40
Unrealized gain on securities held for sale		72			106
Other		110			(218	)
Total state and local tax liabilities		2,702			2,384
Deferred tax liability, long-term	$	12,851		$	12,624

Schedule of Effective Income Tax Rate Reconciliation [Table Text Block]

	Fiscal Years Ended April 30,
	2020			2019			2018
U.S. statutory federal tax rate		21.00	%		21.00	%		30.33	%
Increase (decrease) in tax rate from:
Effect on deferred tax liabilities from federal tax rate reduction to 21%		-			-			(54.51	)%
State and local income taxes, net of federal income tax benefit		6.30	%		6.02	%		0.70	%
Effect of dividends received deductions		(0.24	)%		(0.24	)%		(0.49	)%
Other, net		0.03	%		0.03	%		0.10	%
Effective income tax rate		27.09	%		26.81	%		(23.87	)%

XML

Note 9 - Lease Commitments (Tables)

12 Months Ended

Apr. 30, 2020

Notes Tables

Lessee, Operating Lease, Liability, Maturity [Table Text Block]

Fiscal years ended April 30,	(in thousands)
2021		1,432
2022		1,506
2023		1,597
2024		1,634
2025		1,429
Thereafter		3,838
Total undiscounted future minimum lease payments		11,436
Less: difference between undiscounted lease payments & the present value of future lease payments		2,019
Total operating lease liabilities	$	9,417

XML

Note 11 - Comprehensive Income (Tables)

12 Months Ended

Apr. 30, 2020

Notes Tables

Comprehensive Income (Loss) [Table Text Block]

	Fiscal Year Ended April 30, 2020
($ in thousands)	Amount Before Tax			Tax (Expense) / Benefit			Amount Net of Tax
Change in unrealized gains on securities	$	(1,280	)	$	227		$	(1,053	)
Add: Losses realized in net income		581			(151	)		430
	$	(699	)	$	76		$	(623	)

	Fiscal Year Ended April 30, 2019
($ in thousands)	Amount Before Tax		Tax (Expense) / Benefit			Amount Net of Tax
Change in unrealized gains on securities	$	1,133	$	(238	)	$	895
	$	1,133	$	(238	)	$	895

	Fiscal Year Ended April 30, 2018
($ in thousands)	Amount Before Tax			Tax (Expense) / Benefit		Amount Net of Tax
Change in unrealized gains on securities	$	437		$	8	$	445
Less: Gains realized in net income		(152	)		32		(120	)
	$	285		$	40	$	325

XML

Note 13 - Treasury Stock and Repurchase Program (Tables)

12 Months Ended

Apr. 30, 2020

Notes Tables

Class of Treasury Stock [Table Text Block]

($ in thousands except for cost per share)	Shares		Cost Assigned		Average Cost per Share		Aggregate Purchase Price Remaining Under the Program
Balance as of April 30, 2017 (1), (2)		288,335	$	3,781	$	13.11	$	609
Purchases effected in open market (2)		20,045	$	354	$	17.67	$	-
Balance as of April 30, 2018		308,380	$	4,135	$	13.41	$	255
Purchases effected in open market (2) (3)		28,059	$	608	$	21.68	$	-
Balance as of April 30, 2019		336,439	$	4,743	$	14.10	$	1,438
Purchases effected in open market (2) (3)		46,840	$	1,214	$	25.91	$	-
Balance as of April 30, 2020		383,279	$	5,957	$	15.54	$	2,000

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Note 1 - Organization and Summary of Significant Accounting Policies (Details Textual) - USD ($)	12 Months Ended
	Apr. 30, 2020	Apr. 30, 2019
Money Market Funds, at Carrying Value	$ 2,115,000	$ 5,617,000
EAM Trust [Member]
Non Voting Profits Interest Percent	50.00%
EAM Trust [Member] | Minimum [Member]
Non Voting Revenues Interest Percent	41.00%
Percentage of Non Voting Profits Interests Due from Ex Subsidiary Payable to Parent under Agreement	90.00%
EAM Trust [Member] | Maximum [Member]
Non Voting Revenues Interest Percent	55.00%

XML

Note 1 - Organization and Summary of Significant Accounting Policies - Schedule of Fair Value Measurements of Investments (Details) - USD ($) $ in Thousands	Apr. 30, 2020	Apr. 30, 2019
Securities available-for-sale	$ 29,204	$ 21,828
Investments, Fair Value Disclosure, Total	31,319	27,445
Money Market Funds [Member]
Cash equivalents	2,115	5,617
Fair Value, Inputs, Level 1 [Member]
Securities available-for-sale	29,204	21,828
Investments, Fair Value Disclosure, Total	31,319	27,445
Fair Value, Inputs, Level 1 [Member] | Money Market Funds [Member]
Cash equivalents	2,115	5,617
Fair Value, Inputs, Level 2 [Member]
Securities available-for-sale
Investments, Fair Value Disclosure, Total
Fair Value, Inputs, Level 2 [Member] | Money Market Funds [Member]
Cash equivalents
Fair Value, Inputs, Level 3 [Member]
Securities available-for-sale
Investments, Fair Value Disclosure, Total
Fair Value, Inputs, Level 3 [Member] | Money Market Funds [Member]
Cash equivalents

XML

Note 2 - Supplementary Cash Flow Information - Supplementary Cash Flow Elements (Details) - USD ($)	12 Months Ended
	Apr. 30, 2020	Apr. 30, 2019	Apr. 30, 2018
Cash and cash equivalents	$ 4,954,000	$ 6,493,000	$ 5,941,000
Restricted cash	469,000	469,000	469,000
Total cash, cash equivalents, and restricted cash shown in the Consolidated Statement of Cash Flows	5,423,000	6,962,000	6,410,000
State and local income tax payments	1,105,000	387,000	307,000
Federal income tax payments to the Parent	$ 3,325,000	$ 2,700,000	$ 3,975,000

XML

Note 3 - Related Party Transactions (Details Textual) - USD ($)	12 Months Ended
	Apr. 30, 2020	Apr. 30, 2019	Apr. 30, 2018
Revenue from Related Parties	$ 388,000	$ 384,000
Federal Income Tax Payments to Parent	$ 3,325,000	2,700,000	$ 3,975,000
Ownership Percentage By Parent	89.78%
Value Line Inc [Member]
Accounts Receivable, Related Parties	$ 0	0
EAM Trust [Member]
Assets under Management, Carrying Amount	3,580,000,000	3,090,000,000
Increase (Decrease) in Assets under Management	$ 485,000,000
Percentage of Assets Increased (Decreased) in Unconsolidated Entities	15.70%
Non Voting Profits Interest Percent	50.00%
Percentage of Non Voting Revenues Interest in Unconsolidated Entity	51.51%
Non Voting Profits Interest in Variable Entity Not yet Paid	$ 2,949,000	$ 2,420,000
EAM Trust [Member] | Minimum [Member]
Non Voting Revenues Interest Percent	41.00%
Percentage of Non Voting Profits Interests Due from Ex Subsidiary Payable to Parent under Agreement	90.00%
EAM Trust [Member] | Maximum [Member]
Non Voting Revenues Interest Percent	55.00%

XML

Note 3 - Related Party Transactions - Non-voting Revenues Interest and Non-voting Profits Interests (Details) - USD ($) $ in Thousands	12 Months Ended
	Apr. 30, 2020	Apr. 30, 2019	Apr. 30, 2018
Non-voting revenues interest in EAM	$ 11,184	$ 8,260	$ 8,040
Non-voting profits interest in EAM	1,166	1,049	746
Revenues and Profits Distribution from Unconsolidated Entity	$ 12,350	$ 9,309	$ 8,786

XML

Note 4 - Investments (Details Textual) - USD ($)		12 Months Ended
		Apr. 30, 2020	Apr. 30, 2019	Apr. 30, 2018
Available-for-sale Equity Securities, Amortized Cost Basis, Total		$ 12,877,000	$ 8,541,000
Available-for-sale Securities, Equity Securities		14,125,000	10,622,000
Proceeds from Sale of Available-for-sale Securities, Equity		4,387,000		$ 152,000
Net Income (Loss) Attributable to Parent, Total		15,663,000	11,150,000	14,738,000
Capital Gain Distribution from Available for Sale Securities	[1]			152,000
Other Comprehensive Income (Loss), Available-for-sale Securities Adjustment, before Tax, Portion Attributable to Parent, Total		(699,000)	1,133,000	285,000
OCI, Debt Securities, Available-for-Sale, Unrealized Holding Gain (Loss), before Adjustment, Tax		(227,000)	238,000	(8,000)
AOCI, Debt Securities, Available-for-sale, Adjustment, after Tax, Total		699,000	1,133,000
AOCI Tax, Attributable to Parent		(76,000)	238,000
Other Comprehensive Income (Loss), Available-for-sale Securities Adjustment, Net of Tax, Portion Attributable to Parent, Total		$ (623,000)	$ 895,000	325,000
Available-for-sale Securities, Debt Securities, Average Yield		2.27%	2.09%
Equity Method Investments		$ 59,165,000	$ 58,625,000
EAM Trust [Member]
Net Income (Loss) Attributable to Parent, Total	[2]	2,332,000	2,098,000	1,492,000
Fair Value of Contributed Capital at Inception		55,805,000	55,805,000
Cash and Liquid Securities in Excess of Working Capital Requirements Contributed to Capital Account		5,820,000	5,820,000
Equity Method Investment, Other than Temporary Impairment		$ 0	0
Percentage of Non Voting Profit Interest		50.00%
Accrued Non Voting Revenues and Non Voting Profits Interests Payable		$ 2,949,000	2,420,000
Equity Securities [Member]
Available-for-sale Securities, Gross Realized Gain (Loss), Total			0	0
Capital Gain Distribution from Available for Sale Securities		0	0
Other Comprehensive Income (Loss), Available-for-sale Securities Adjustment, before Tax, Portion Attributable to Parent, Total		833,000	1,087,000
OCI, Debt Securities, Available-for-Sale, Unrealized Holding Gain (Loss), before Adjustment, Tax		112,000	228,000
AOCI, Debt Securities, Available-for-sale, Adjustment, after Tax, Total		1,248,000	2,081,000
AOCI Tax, Attributable to Parent		325,000	437,000
Debt Securities [Member]
OCI, Debt Securities, Available-for-Sale, Unrealized Holding Gain (Loss), before Adjustment, Tax		37,000	10,000
AOCI, Debt Securities, Available-for-sale, Adjustment, after Tax, Total		177,000	43,000
AOCI Tax, Attributable to Parent		46,000	9,000
Proceeds from Sale and Maturity of Debt Securities, Available-for-sale, Total		8,663,000	8,346,000
Other Comprehensive Income (Loss), Available-for-sale Securities Adjustment, Net of Tax, Portion Attributable to Parent, Total		134,000	$ 46,000
Reclassification out of Accumulated Other Comprehensive Income [Member] | Equity Securities [Member] | AOCI, Accumulated Gain (Loss), Debt Securities, Available-for-sale, Parent [Member]
Net Income (Loss) Attributable to Parent, Total		$ (581,000)		$ 152,000

[1] Capital gain distributions of $152,000 were reclassified from Accumulated Other Comprehensive Income in the Consolidated Balance Sheets to the Consolidated Statements of Income in fiscal 2018.

[2] Represents EAM's net income, after giving effect to Value Line's non-voting revenues interest, but before distributions to voting profits interest holders and to the Company in respect of its 50% non-voting profits interest.

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Note 4 - Investments - Schedule of Carrying Value and Fair Value of Securities Available-for-sale (Details) - USD ($)	Apr. 30, 2020	Apr. 30, 2019
Cost	$ 12,877,000	$ 8,541,000
Fair value	14,125,000	10,622,000
Due within 1 year, amortized cost	14,652,000	6,913,000
Due within 1 year, gross unrealized gains	177,000	33,000
Due within 1 year, fair value	14,829,000	6,946,000
Due 1 year through 5 years, amortized cost	250,000	4,250,000
Due 1 year through 5 years, gross unrealized gains		10,000
Due 1 year through 5 years, fair value	250,000	4,260,000
Amortized cost	14,902,000	11,163,000
Gross unrealized gains	177,000	43,000
Fair value	15,079,000	11,206,000
Exchange Traded Funds [Member]
Cost	12,877,000	8,541,000
Gross unrealized gains	1,317,000	2,081,000
Gross unrealized losses	(69,000)
Fair value	$ 14,125,000	$ 10,622,000

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Note 4 - Investments - Income from Securities Transactions (Details) - USD ($) $ in Thousands		12 Months Ended
		Apr. 30, 2020	Apr. 30, 2019	Apr. 30, 2018
Dividend income		$ 352	$ 257	$ 226
Interest income		279	201	103
Capital gain distributions from ETFs (1)	[1]			152
Realized loss on sale of securities (2)	[2]	(581)
Other		(6)	46	59
Total income from securities transactions, net		$ 44	$ 504	$ 540

[1] Capital gain distributions of $152,000 were reclassified from Accumulated Other Comprehensive Income in the Consolidated Balance Sheets to the Consolidated Statements of Income in fiscal 2018.

[2] Realized losses of $581,000 were reclassified from Accumulated Other Comprehensive Income in the Consolidated Balance Sheets to the Consolidated Statements of Income in fiscal 2020.

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Note 4 - Investments - Components of EAM's Investment Management Operations (Details) - USD ($) $ in Thousands		12 Months Ended
		Apr. 30, 2020	Apr. 30, 2019	Apr. 30, 2018
Revenues		$ 40,299	$ 36,257	$ 35,868
Non-voting revenues interest in EAM		11,184	8,260	8,040
Net Income (Loss) Attributable to Parent, Total		15,663	11,150	14,738
EAM Trust [Member]
Other income		(156)	273	171
Investment management fee waivers and reimbursements		302	421	487
12b-1 fee waivers		667	654	754
Non-voting revenues interest in EAM		11,184	8,260	8,040
Net Income (Loss) Attributable to Parent, Total	[1]	2,332	2,098	1,492
EAM Trust [Member] | Investment Advice [Member]
Revenues		21,985	16,715	15,988
EAM Trust [Member] | Distribution and Shareholder Service [Member]
Revenues		$ 8,436	$ 6,811	$ 6,455

[1] Represents EAM's net income, after giving effect to Value Line's non-voting revenues interest, but before distributions to voting profits interest holders and to the Company in respect of its 50% non-voting profits interest.

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Note 4 - Investments - Assets and Liabilities (Details) - USD ($) $ in Thousands		Apr. 30, 2020	Apr. 30, 2019	Apr. 30, 2018	Apr. 30, 2017
EAM's total assets		$ 109,728	$ 91,788
EAM's total liabilities (1)		56,189	44,264
EAM's total equity		53,539	47,524	$ 43,541	$ 37,854
EAM Trust [Member]
EAM's total assets		61,335	60,683
EAM's total liabilities (1)	[1]	4,192	3,547
EAM's total equity		$ 57,143	$ 57,136

[1] At April 30, 2020 and 2019, EAM's total liabilities included a payable to VLI for its accrued non-voting revenues and non-voting profits interests of $2,949,000 and $2,420,000, respectively.

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Note 5 - Variable Interest Entity (Details Textual)	12 Months Ended
	Apr. 30, 2020
EAM Trust [Member]
Non Voting Profits Interest Percent	50.00%

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Note 5 - Variable Interest Entity - Total Assets, the Maximum Exposure to Loss, and Value of the Assets and Liabilities in EAM (Details) - USD ($) $ in Thousands		Apr. 30, 2020	Apr. 30, 2019
Assets		$ 109,728	$ 91,788
Liabilities		56,189	44,264
EAM Trust [Member]
Assets		61,335	60,683
Liabilities	[1]	4,192	3,547
EAM Trust [Member] | Variable Interest Entity, Not Primary Beneficiary [Member]
Assets	[2]	59,165	58,625
Liabilities
Value Line Maximum Exposure to Loss		$ 59,165	$ 58,625

[1] At April 30, 2020 and 2019, EAM's total liabilities included a payable to VLI for its accrued non-voting revenues and non-voting profits interests of $2,949,000 and $2,420,000, respectively.

[2] Reported within Long-Term Assets on Consolidated Balance Sheets.

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Note 6 - Property and Equipment - Components of Property and Equipment (Details) - USD ($)	Apr. 30, 2020	May 01, 2019	Apr. 30, 2019
Building and leasehold improvements	$ 1,013,000		$ 1,013,000
Operating lease - right-of-use asset	8,550,000	$ 9,575,000
Furniture and equipment	4,047,000		4,042,000
Property, Plant and Equipment, Gross, Ending Balance	13,610,000		5,055,000
Accumulated depreciation and amortization	(4,110,000)		(3,909,000)
Total property and equipment, net	$ 9,500,000		$ 1,146,000

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Note 7 - Federal, State and Local Income Taxes (Details Textual) - USD ($)	12 Months Ended
	Apr. 30, 2020	Apr. 30, 2019	Apr. 30, 2018
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent	21.00%	21.00%	30.33%
Effective Income Tax Rate Reconciliation, Percent, Total	27.09%	26.81%	(23.87%)
Effective Income Tax Rate Reconciliation, State and Local Income Taxes, Percent	6.30%	6.02%	0.70%
Effective Income Tax Rate Reconciliation, Change in Enacted Tax Rate, Percent			(54.51%)
Open Tax Year	2017 2018 2019
Former Employee [Member]
Deferred Tax Assets, Deferred Non Cash Postemployment Compensation, Noncurrent	$ 1,770,000
Asset Management and Mutual Fund Distribution Subsidiaries [Member]
Deconsolidation, Gain (Loss), Amount	$ 50,805,000

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Note 7 - Federal, State and Local Income Taxes - Provision for Income Taxes (Details) - USD ($) $ in Thousands	12 Months Ended
	Apr. 30, 2020	Apr. 30, 2019	Apr. 30, 2018
Federal	$ 4,201	$ 2,964	$ 3,853
State and local	1,353	600	365
Current tax expense	5,554	3,564	4,218
Federal	1	(650)	(7,021)
State and local	266	1,162	(37)
Deferred tax expense (benefit):	267	512	(7,058)
Income tax provision	$ 5,821	$ 4,076	$ (2,840)

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Note 7 - Federal, State and Local Income Taxes - Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands	Apr. 30, 2020	Apr. 30, 2019
Right of Use Asset	$ 182
Deferred tax liability	12,851	12,624
Domestic Tax Authority [Member]
Deferred gain on deconsolidation of EAM	10,669	10,669
Deferred non-cash post-employment compensation	(372)	(372)
Depreciation and amortization	108	130
Unrealized gain on securities held for sale	(299)	(446)
Deferred charges	(166)	(354)
Other	(207)	(279)
Deferred tax liability	10,149	10,240
State and Local Jurisdiction [Member]
Deferred gain on deconsolidation of EAM	2,564	2,530
Deferred non-cash post-employment compensation	(88)	(74)
Depreciation and amortization	44	40
Unrealized gain on securities held for sale	72	106
Other	110	(218)
Deferred tax liability	$ 2,702	$ 2,384

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Note 7 - Federal, State and Local Income Taxes - Effective Income Tax Rate Reconciliation (Details)	12 Months Ended
	Apr. 30, 2020	Apr. 30, 2019	Apr. 30, 2018
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent	21.00%	21.00%	30.33%
Effect on deferred tax liabilities from federal tax rate reduction to 21%			(54.51%)
Effective Income Tax Rate Reconciliation, State and Local Income Taxes, Percent	6.30%	6.02%	0.70%
Effect of dividends received deductions	(0.24%)	(0.24%)	(0.49%)
Other, net	0.03%	0.03%	0.10%
Effective income tax rate	27.09%	26.81%	(23.87%)

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Note 8 - Employees' Profit Sharing and Savings Plan (Details Textual) - USD ($)	12 Months Ended
	Apr. 30, 2020	Apr. 30, 2019	Apr. 30, 2018
Deferred Compensation Arrangement with Individual, Contributions by Employer	$ 870,000	$ 592,000	$ 496,000

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Note 9 - Lease Commitments (Details Textual)			12 Months Ended
	Nov. 30, 2016 USD ($) a	Feb. 29, 2016 USD ($) a	Apr. 30, 2020 USD ($)	Apr. 30, 2019 USD ($)	Apr. 30, 2018 USD ($)	Sep. 30, 2021 USD ($)	May 01, 2019 USD ($)	Oct. 30, 2016 USD ($)
Operating Lease, Right-of-Use Asset			$ 8,550,000				$ 9,575,000
Operating Lease, Liability, Total			9,417,000				$ 10,340,000
Lease Incentive Receivable				765,000
Operating Lease, Expense			1,499,000	$ 1,278,000	$ 1,246,000
Operating Lease, Payments			$ 1,400,000
Sublease to American Building Maintenance Industries, Incorporated [Member]
Area of Real Estate Property (Acre) | a	24,726
Operating Leases, Annual Base Rent	$ 1,126,000
Base Rent Increase, Percent	2.25%
Security Deposit								$ 469,000
Annual Rental Expenditure, Initial, Decrease, Percentage	23.00%
Lessee Leasing Arrangements, Allowance	$ 417,000
Lessee Leasing Arrangements, Allowance, Six Months of Free Rent Payment	$ 563,000
Sublease to American Building Maintenance Industries, Incorporated [Member] | Forecast [Member]
Security Deposit						$ 305,000
Seagis Property Group LP (the "Landlord") [Member] | Value Line Distribution Center ("VLDC") [Member]
Area of Real Estate Property (Acre) | a		24,110
Operating Leases, Annual Base Rent		$ 192,880
Security Deposit		32,146
Base Rent Increase Amount		$ 237,218

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Note 9 - Lease Commitment - Future Minimum Payments (Details) - USD ($)	Apr. 30, 2020	May 01, 2019
2021	$ 1,432,000
2022	1,506,000
2023	1,597,000
2024	1,634,000
2025	1,429,000
Thereafter	3,838,000
Total undiscounted future minimum lease payments	11,436,000
Less: difference between undiscounted lease payments & the present value of future lease payments	2,019,000
Operating Lease, Liability, Total	$ 9,417,000	$ 10,340,000

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Note 10 - Disclosure of Credit Risk of Financial Instruments with Off-balance Sheet Risk (Details Textual)	12 Months Ended
	Apr. 30, 2020	Apr. 30, 2019	Apr. 30, 2018
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | One Single Customer [Member]
Concentration Risk, Percentage	31.40%	20.50%	17.70%

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Note 11 - Comprehensive Income - Components of Comprehensive Income (Details) - USD ($) $ in Thousands	12 Months Ended
	Apr. 30, 2020	Apr. 30, 2019	Apr. 30, 2018
Change in unrealized gains (losses) on securities, amount before tax	$ 1,280	$ (1,133)	$ (437)
Change in unrealized gains (losses) on securities, tax expense	227	(238)	8
Change in unrealized gains (losses) on securities, amount net of tax	(1,053)	895	445
Add: Losses realized in net income, before tax	581		(152)
Add: Losses realized in net income, tax	(151)		32
Add: Losses realized in net income, net of tax	430		(120)
Other comprehensive income (loss), available-for-sale securities adjustment, amount before tax	(699)	1,133	285
Other comprehensive income (loss), available-for-sale securities, tax expense	76	(238)	40
Other comprehensive income (loss), available-for-sale securities adjustment, amount net of tax	(623)	895	325
Change in unrealized gains (losses) on securities, amount before tax	$ (1,280)	$ 1,133	$ 437

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Note 12 - Accounting for the Costs of Computer Software Developed for Internal Use (Details Textual) - USD ($)	12 Months Ended
	Apr. 30, 2020	Apr. 30, 2019	Apr. 30, 2018
Capitalized Computer Software, Additions	$ 0	$ 111,000
Internal Costs to Develop Software		0	$ 0
Capitalized Computer Software, Amortization	$ 65,000	$ 131,000	$ 848,000
Minimum [Member]
Finite-Lived Intangible Asset, Useful Life (Year)	3 years
Maximum [Member]
Finite-Lived Intangible Asset, Useful Life (Year)	5 years

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Note 13 - Treasury Stock and Repurchase Program (Details Textual) - USD ($)		1 Months Ended		12 Months Ended
		Jan. 31, 2012	Jan. 31, 2011	Apr. 30, 2020	[1]	Apr. 30, 2019	[1]	Apr. 30, 2018	Apr. 17, 2020	Oct. 31, 2018	Sep. 30, 2012
Treasury Stock, Shares, Acquired (in shares)	[2]			46,840		28,059		20,045
Treasury Stock, Value, Acquired, Cost Method	[2]			$ 1,214,000		$ 608,000		$ 354,000
October 2018 Share Repurchase Program [Member]
Stock Repurchase Program, Authorized Amount									$ 2,000,000	$ 2,000,000
Former Repurchase Program [Member]
Treasury Stock, Shares, Acquired (in shares)		85,219
Treasury Stock, Value, Acquired, Cost Method		$ 1,036,000
January 2011 Share Repurchase Program [Member]
Treasury Stock, Shares, Acquired (in shares)			18,400
September 2012 Share Repurchase Program [Member]
Stock Repurchase Program, Authorized Amount											$ 3,000,000

[1] Were acquired during the $2 million repurchase program authorized in October 2018.

[2] Were acquired during the $3 million repurchase program authorized in September 2012.

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Note 13 - Treasury Stock and Repurchase Program - Treasury Stock at Cost (Details) - USD ($) $ / shares in Units, $ in Thousands		12 Months Ended
		Apr. 30, 2020		Apr. 30, 2019		Apr. 30, 2018		Apr. 30, 2017	[1],[2]
Balance, shares (in shares)		336,439		308,380		288,335	[1],[2]
Balance, total average cost assigned		$ 4,743		$ 4,135		$ 3,781	[1],[2]
Balance, average cost per share (in dollars per share)		$ 14.10		$ 13.41		$ 13.11	[1],[2]
Balance, aggregate purchase price remaining under the program		$ 2,000		$ 1,438		$ 255		$ 609
Purchases effected in open market, shares (in shares)	[2]	46,840	[3]	28,059	[3]	20,045
Purchases effected in open market, cost	[2]	$ 1,214	[3]	$ 608	[3]	$ 354
Purchases effected in open market, average cost (in dollars per share)	[2]	$ 25.91	[3]	$ 21.68	[3]	$ 17.67
Balance, shares (in shares)		383,279		336,439		308,380
Balance, total average cost assigned		$ 5,957		$ 4,743		$ 4,135
Balance, average cost per share (in dollars per share)		$ 15.54		$ 14.10		$ 13.41

[1] Included 85,219 shares with a total average cost of $1,036,000 that were acquired during the former repurchase program, which was authorized in January 2011 and expired in January 2012; 18,400 shares were acquired prior to the repurchase program authorized in January 2011.

[2] Were acquired during the $3 million repurchase program authorized in September 2012.

[3] Were acquired during the $2 million repurchase program authorized in October 2018.

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Note 14 - Copyright Fees (Details Textual) - USD ($)	12 Months Ended
	Apr. 30, 2020	Apr. 30, 2019	Apr. 30, 2018
Revenue from Contract with Customer, Including Assessed Tax	$ 40,299,000	$ 36,257,000	$ 35,868,000
Percentage of Copyright Data Fees	70.40%	16.80%
Third Party Sponsored Assets for Copyright Data	$ 8,600,000,000	$ 6,100,000,000
License [Member]
Revenue from Contract with Customer, Including Assessed Tax	$ 12,671,000	$ 7,437,000	$ 6,365,000

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Note 15 - Restricted Cash and Deposits (Details Textual) - USD ($)	Apr. 30, 2020	Apr. 30, 2019
Restricted Investments, Noncurrent	$ 469,000	$ 469,000
Cash Securing a Letter of Credit Issued as Security Deposit [Member]
Security Deposit	$ 469,000	$ 469,000

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Note 16 - Concentration (Details Textual) - USD ($)	12 Months Ended
	Apr. 30, 2020	Apr. 30, 2019	Apr. 30, 2018
Revenue from Contract with Customer, Including Assessed Tax	$ 40,299,000	$ 36,257,000	$ 35,868,000
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | One Single Customer [Member]
Concentration Risk, Percentage	31.40%	20.50%	17.70%
Revenue from Contract with Customer, Including Assessed Tax	$ 40,299,000	$ 36,257,000

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Note 17 - Concentration of Credit Risk (Details Textual) - USD ($)	Apr. 30, 2020	Apr. 30, 2019
Cash, Uninsured Amount	$ 5,202,000	$ 1,597,000

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Note 18 - Business Segments (Details Textual) xbrli-pure in Thousands	12 Months Ended
	Apr. 30, 2020
Number of Reportable Segments	0

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Note 19 - Paycheck Protection Program Loan (Details Textual) - USD ($)	1 Months Ended	12 Months Ended
	Apr. 30, 2020	Apr. 30, 2020	Apr. 30, 2019	Apr. 30, 2018
Proceeds from Issuance of Long-term Debt, Total		$ 2,331,000
Paycheck Protection Program CARES Act [Member]
Proceeds from Issuance of Long-term Debt, Total	$ 2,331,365