Note 16 - Financial Information by Business Segment

12 Months Ended

Jun. 30, 2022

Notes to Financial Statements

Segment Reporting Disclosure [Text Block]

NOTE 16. FINANCIAL INFORMATION BY BUSINESS SEGMENT

The Company manages the following business segments:

1. Investment management services, by which the Company offers, to USGIF and ETF clients, a range of investment management products and services to meet the needs of individual and institutional investors; and

2. Corporate investments, through which the Company invests for its own account in an effort to add growth and value to its cash position

These segments are managed separately. The Company’s segment information is prepared on the same basis that management uses to review the financial information for operational and investment decision-making purposes. The Company's chief operating and investment decision maker, the Chief Executive Officer, evaluates the performance of the Company’s Corporate Investments segment separately from the Investment Management Services segment based on investment income (loss), and the Corporate Investments segment does not include any allocated company expenses.  All segment accounting policies are the same as those described in the summary of significant accounting policies.

The following schedule details total revenues and income by business segment:

	Investment
	Management		Corporate
(dollars in thousands)	Services		Investments			Consolidated
Year ended June 30, 2022, As Restated
Net operating revenues	$	24,714	$	-		$	24,714
Investment loss	$	-	$	(6,174	)	$	(6,174	)
Loss from equity method investments	$	-	$	(206	)	$	(206	)
Other income	$	235	$	-		$	235
Income (loss) before income taxes	$	11,622	$	(6,654	)	$	4,968
Depreciation and amortization	$	226	$	-		$	226
Gross identifiable assets at June 30, 2022	$	23,003	$	34,487		$	57,490
Deferred tax asset						$	872
Consolidated total assets at June 30, 2022						$	58,362
Year ended June 30, 2021
Net operating revenues	$	21,654	$	-		$	21,654
Investment income	$	-	$	28,338		$	28,338
Income from equity method investments	$	-	$	347		$	347
Gain on forgiveness of PPP loan	$	444	$	-		$	444
Other income	$	144	$	-		$	144
Income before income taxes	$	10,866	$	26,572		$	37,438
Depreciation and amortization	$	196	$	-		$	196
Gross identifiable assets at June 30, 2021	$	17,522	$	44,755		$	62,277

Net operating revenues from investment management services include revenues from USGIF of $3.8 million and $4.5 million in fiscal years 2022 and 2021, respectively. Net operating revenues from investment management services also include operating revenues from ETF clients of $21.0 million and $17.1 million in fiscal years 2022 and 2021, respectively.