FRMO Corp. Announces First Quarter 2017 Financial Results and Conference Call

WHITE PLAINS, N.Y.--()--FRMO Corp. (the “Company” or “FRMO”) (OTC Pink:FRMO) today reported its financial results for the 2017 first quarter, which ended August 31, 2016 (May Fiscal Year).

Financial Highlights

FRMO’s book value was $102.8 million ($2.34 per share on a fully diluted basis) as of August 31, 2016, compared with $99.8 million ($2.27 per share) as of May 31, 2016, the prior fiscal year-end. Current assets, comprised primarily of cash and equivalents and investments available for sale, amounted to $92.8 million as of August 31, 2016, and $90.3 million as of May 31, 2016. Total liabilities were $14.6 million as of August 31, 2016, compared to $15.2 million as of May 31, 2016, the majority of each being deferred taxes.

FRMO’s net income was $421,953 ($0.01 per share basic and diluted) for the three months ended August 31, 2016 compared with $1,161,105 ($0.03 per share basic and diluted) for the quarter ended August 31, 2015. Income from operations was $582,693 for the first quarter of fiscal 2017, compared to $2,148,921 for the same period in the prior year. Comprehensive income (loss) was $1,902,226 for the first quarter of fiscal 2017 compared to $(2,084,024) for the same period in the prior year.

Further details are available in the Quarterly Report of the Company’s Consolidated Financial Statements for the quarter ended August 31, 2016. These statements have been filed on the OTC Markets Group Disclosure and News Services (DNS), which may be accessed at These documents are also available on the FRMO web site at

Conference Call

Murray Stahl, Chairman and CEO, and Steven Bregman, President and CFO, will host a conference call on Tuesday, October 18, 2016 at 4:15 p.m. ET. Only questions submitted to before 1:00 p.m. on the day of the call will be considered. The call can be accessed by dialing 1- 800-378-6710 (domestic toll free) or 719-325-2381 (international toll) and entering the following conference ID: 7332237. A replay will be available from 7:15 p.m. on the day of the teleconference until Thursday, November 17, 2016. To listen to the archived call, dial 1-888-203-1112 (domestic toll free) or 719-457-0820 (international toll), and enter conference ID number 7332237.

Condensed Consolidated Balance Sheets
(in thousands)
August 31, May 31,
2016 2016
Current Assets:
Cash and cash equivalents $ 50,000 $ 49,092
Investments, available for sale, at fair value 41,077 39,198
Other 1,704 1,994
Total Current Assets 92,781 90,284
Investment in OneChicago LLC 246 246
Investment in Digital Currency Group Inc. 76 76
Investment in CNSX Markets, Inc. 243 243
Investment in Miami International Holdings, Inc. 250 250
Investment in The Bermuda Stock Exchange 2,671 2,642
Investment in Horizon Kinetics LLC 10,971 10,880
Participation in Horizon Kinetics LLC revenue stream 10,200 10,200
Other assets - 139
Total Assets $ 117,438 $ 114,960
Liabilities and Stockholders' Equity
Current Liabilities:
Securities sold, not yet purchased $ 3,769 $ 4,412
Deferred Tax Liability 5,784 5,820
Other current liabilities 217 183
Total Current Liabilities 9,770 10,415
Deferred Tax Liability - non-current 4,823 4,753
Total Liabilities 14,593 15,168
Stockholders' Equity 102,845 99,792
Total Liabilities and Stockholders' Equity $ 117,438 $ 114,960

Condensed Consolidated Statements of Income
(amounts in thousands, except share data)
Three Months Ended
August 31, August 31,
  2016     2015
Consultancy and advisory fees $ 502 $ 690
Income from investment partnerships
and limited liability companies 96 813
Income from unconsolidated subsidiary 29 9
Other   178     806
Total Revenue 805 2,318
Total Expenses   223     169
Income from Operations 582 2,149
Provision for Income Taxes   100     988
Net Income 482 1,161
Less net income attributable to noncontrolling interests   60     -
Net Income Attributable to FRMO Corporation $ 422   $ 1,161
Diluted Net Income per Common Share $ 0.01 $ 0.03
Weighted Average Common Shares Outstanding
Basic 43,953,155 43,728,155
Diluted 43,999,239 44,124,046

About FRMO Corp.

FRMO Corp. invests in and receives revenues based upon consulting and advisory fee interests in the asset management sector.

FRMO has 43,953,155 shares of common stock outstanding as of August 31, 2016.

For more information, visit our Web site at www

Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995 – With the exception of historical information, the matters discussed in this press release are forward-looking statements that involve a number of risks and uncertainties. Words like “believe,” “expect” and “anticipate” mean that these are our best estimates as of this writing, but that there can be no assurances that expected or anticipated results or events will actually take place, so our actual future results could differ significantly from those statements. Factors that could cause or contribute to such differences include, but are not limited to: our ability to maintain our competitive advantages, the general economics of the financial industry, our ability to finance growth, our ability to identify and close acquisitions on terms favorable to the Company, and a sustainable market.

Further information on our risk factors is contained in our quarterly and annual reports as filed on our website and on


FRMO Corp.
Thérèse Byars, 646-495-7337
Corporate Secretary

Release Summary

FRMO Corp. reported its financial results today for the 2017 first quarter ended August 31, 2016. A conference call is scheduled for Tuesday, October 18, 2016.


FRMO Corp.
Thérèse Byars, 646-495-7337
Corporate Secretary