A-Mark Precious Metals, Inc.

Good afternoon and welcome to AMARC Precious Metals conference call for the fiscal fourth quarter and full year ended June 30th, 2021. My name is Laura and I will be your operator this afternoon. Before this call, AMARC issued its results for the fiscal fourth quarter and full year 2021 in a press release, which is available in the investor relations section of the company's website at www.amarc.com. You can find the link to the investor relations section at the top of the homepage. Joining us for today's call are AMARC CEO, Greb Roberts, President, Thor Jerdrum, CFO, Kathleen Simpson Taylor, as well as JM Bullion CEO, Michael Whitmire. Following their remarks, we will open the call to your questions. Then, before we conclude the call, I will provide the necessary cautions regarding the forward-looking statements made by management during this call. I would like to remind everyone that this call is being recorded and we will be made available for replay via a link available in the investor relations section of AMARC's website. Now, I would like to turn the call over to AMARC's CEO, Mr. Greg Roberts. Sir, please proceed.

Thank you, Laura, and good afternoon, everyone. And thank you for joining our call today. As you can see from our earnings release, we just reported the fourth quarter marked a fantastic finish to a record and truly transformative year for AMARC. During the quarter, we delivered $51 million in net income and diluted EPS of $4.28. We also generated a 28% sequential increase in gross profit, with our overall gross profit margin at 4%. This outstanding performance is due to our best-in-class platform and continued strong market conditions, greatly enhanced by our recent acquisition of JM Bullion, which had its first full quarter of contribution to AMARC. In fact, $37.6 million, or 43% of our gross profit, and $24 million of our pre-tax earnings for the quarter were attributable to JM. For the full fiscal year, our net income was $159.6 million, or $17.79 a diluted share, with a 37% return on shareholder equity, excluding the non-recurring remeasurement gain related to the JM bullion acquisition. We continue to see positive macro tailwinds benefiting our business. The sustained wholesale and retail demand for silver and gold products, combined with ongoing supply constraints and volatility, have resulted in continued higher premium spreads, contributing to our excellent financial performance. The inherent synergies of our complementary businesses have positioned us well and have allowed us to benefit greatly from the robust and favorable market dynamics we've experienced this fiscal year. We continue to be proactive in implementing our strategies to further grow the AMARC business and capitalize on market opportunities. This is demonstrated not only by our expanded direct-to-consumer segment with our acquisition of JM Bullion in March and our recently announced increased investment in Pinehurst Coins, but also through our improved access to precious metal and finished product supply through our now full ownership of Silvertown Mint and our recent increased ownership of the Sunshine Mint. Over the last several years, our business has transformed, diversified, and become even more vertically integrated, allowing us to enhance product offerings to our customers and outperform our competition. Now, I will turn the call over to our CFO, Kathleen Simpson Taylor, to walk you through our financials in more detail. Then, AMARC President Thor Jordan will discuss our KPIs. And finally, Michael Whitmire, CEO of JM Bullion, will provide an update on our direct-to-consumer segment. After all of that, I will provide a further update on our business growth and strategy and take your questions. Kathleen?

Thank you, Greg, and good afternoon, everyone. Our revenues for fiscal Q4 2021 increased 31% to $2.18 billion from $1.6 billion in Q4 of last year. For the full fiscal year, our revenues increased 39% to $7.61 billion from $5.46 billion last fiscal year. The increase for both Q4 and the full year was primarily due to revenue from JMD combined with an increase in the total amount of gold and silver ounces sold and higher selling prices of gold and silver, which was partially offset by lower forward sales. JAB's revenues for the post acquisition period totaled 672.2 million, representing 9% of our full year revenue. Growth profit for fiscal Q4 2021 increased 211% to 87.1 million, or 4% of revenue from $28 million or 1.68% of revenue in Q4 of last year. For the full fiscal year, gross profit increased 214% to $210.2 million or 2.76% of revenue from $67 million or 1.23% of revenue in the prior fiscal year. The increase in gross profit was primarily due to J&B which contributed 22% of the total gross profit for the full fiscal year, combined with higher gross profits from the wholesale sales and ancillary services segment and also Goldline. SG&A expenses for fiscal Q4 2021 increased 144% to $25 million from $10.2 million in Q4 of last year, The increase was primarily due to $12.8 million of expenses incurred by JMB, of which $7.7 million is attributable to amortization expense, and overall increases in consulting costs of $0.5 million, compensation expense of $0.3 million, and insurance costs of $0.7 million. For the full fiscal year, SG&A expenses increased 60%, to 58.8 million from 36.8 million in fiscal 2020. The increase for the full fiscal year was primarily due to 14.5 million of expenses incurred by JMB, including 8.7 million of amortization expense, combined with acquisition costs of 2.6 million associated with the acquisition of JMB, increased compensation expense, including performance-based accruals, of $2.4 million and higher insurance costs of $1.4 million. Interest income for fiscal Q4 2021 increased 60% to $5.2 million from $3.3 million in Q4 of last year. The increase in interest income was primarily due to higher interest income earned from our secured lending segment. due to higher average monthly secured loan balances outstanding as compared to Q4 of fiscal 2020, and also higher other finance product income. For the full fiscal year, interest income decreased 13% to $18.5 million from $21.2 million in fiscal 2020. The decrease in interest income was primarily due to lower interest income earnings by our secured lending segment due to lower average monthly secured loan balances outstanding as compared to the prior fiscal year. This was partially offset by higher other finance product income. Interest expense for fiscal Q4 2021 increased 45% to $5.2 million from $3.6 million in Q4 of last fiscal year. The increase in interest expense was primarily due to higher interest expense associated with a higher usage of our trading credit facility, product financing arrangements and liabilities on borrowed metals, and also increases in loan servicing fees related to the higher average secured loan balances as compared to Q4 of fiscal 2020. For the full fiscal year, interest expense increased 5% to $19.9 million from $18.9 million in fiscal 2020. The full year increase in interest expense was primarily driven by higher interest expense associated with product financing arrangements, higher interest from liabilities on borrowed metals, and this was partially offset by a reduction in loan servicing fees and less interest expense related to the company's trading credit facility. Net income attributable to the company for the fourth quarter of fiscal 2021 totaled $51.0 million. or $4.28 per diluted share, which was a significant improvement from net income attributable to the company of $17.8 million or $2.49 per diluted share in Q4 of last year. Our diluted EPS for the quarter is based on the weighted average shares outstanding during the quarter, which total 11.9 million shares. This was compared with 7.2 million shares in weighted average shares outstanding during the fourth quarter of last year. Adjusted net income before provision for income taxes, a non-GAAP financial measure for Q4 fiscal 2021 totaled $72.3 million compared with $23 million for Q4 fiscal 2020. Our net income attributable to the company totaled $159.6 million or $17.79 per diluted share for fiscal year 2021, compared to net income attributable to the company of $30.5 million, or $4.31 per diluted share for fiscal year 2020. Our diluted EPS for the fiscal year is based on the weighted average shares outstanding during the fiscal year, which total 9 million shares, and is not based on the 11.2 million shares outstanding at the end of the fiscal year. Our net income attributable to the company for fiscal year 2021 includes a $26.3 million remeasurement gain in connection with the JMV acquisition. Excluding the remeasurement gain, net income attributable to the company for fiscal year 2021 totaled $133.3 million. Adjusted net income before provision for income taxes, a non-GAAP financial measure for fiscal 2021 totaled $179.9 million compared with $40.8 million for fiscal 2020. Now turning to our balance sheet. At fiscal year end, we had $101.4 million of cash compared to $52.3 million at the end of the prior year. Our tangible net worth at the end of the fiscal year 2021 was $169.4 million, up from $91.0 million at the end of fiscal year 2020. I'm also pleased to announce that our Board of Directors approved a non-recurring special dividend of $2 per common share. This special dividend will be paid on or about September 24, 2021, to stockholders of record as of September 20, 2021. That completes my financial summary, and now I'll turn the call over to Thor, who will provide an update on our key performance metrics. Thor?