Heritage Global Inc (HGBL) 2025 Q3 法說會逐字稿

Please stand by. Your program is about to begin.

請稍候。您的程式即將開始。

(Operator Instructions)

（操作說明）

Hello and welcome to today's Heritage Global Incorporated third quarter 2025 earnings call.

大家好，歡迎參加Heritage Global Incorporated 2025年第三季財報電話會議。

(Operator Instructions)

（操作說明）

Please note this call may be recorded. I'll be standing by if you should need any assistance. It is my pleasure to turn the program over to IMS Investor Relations, John Nesbitt.

請注意，本次通話可能會被錄音。如果您需要任何幫助，我隨時待命。我很高興將節目交給IMS投資者關係部的約翰·內斯比特。

Thank you and good afternoon, everyone. Before we begin, I'd like to remind everyone that this conference call contains forward-looking statements based on our current expectations and projections about future events and are subject to change based on various important factors. In light of these risks, uncertainties, and assumptions, you should not place undue reliance on these forward-looking statements. We speak only as the date of this call. For more details on factors that could affect these expectations, please see your filings with the Securities and Exchange Commission.

謝謝大家，下午好。在會議開始之前，我想提醒大家，本次電話會議包含基於我們目前對未來事件的預期和預測的前瞻性陳述，這些陳述可能會根據各種重要因素而改變。鑑於這些風險、不確定性和假設，您不應過度依賴這些前瞻性陳述。我們僅以本次通話日期為準。有關可能影響這些預期因素的更多詳細信息，請參閱您向美國證券交易委員會提交的文件。

Now I'd like to turn the call over to Heritage Global's Chief Executive Officer, Mr. Ross Dove. Ross?

現在我想把電話交給 Heritage Global 的執行長羅斯多夫先生。羅斯？

Thank you, John, and welcome everyone and thank you for joining. The older I get, the faster every 90 days seems to come. What never changes is every 90 days presents new opportunities and challenges. Earning $1.4 million in EBIT in this 90 days was to me more than meets the eyes.

謝謝你，約翰，也歡迎各位，謝謝你們的參與。年紀越大，感覺每隔90天就過去越快。不變的是，每隔90天都會出現新的機會和挑戰。90天內實現140萬美元的息稅前利潤，在我看來遠不止表面看起來那麼簡單。

My brother and lifetime business partner always said, Ross, numbers don't lie. To put that in context, every Sunday he was on the golf course and I was in the card room. Of course he was correct, but what I have learned is there are many factors to the story beyond the numbers. The greatest challenge in a business is not always execution, but equally significant how you play the cards you're dealt. For many reasons, we were challenged and succeeded through a wait and see economy for transactions. We made a profit more like a journeyman fighter, going all12 rounds because we kept swinging.

我的兄弟兼終身商業夥伴總是說：“羅斯，數字不會說謊。”舉個例子來說，每個星期天他都在高爾夫球場上，而我則在牌室裡。他當然是對的，但我了解到，除了數字之外，這個故事還有很多其他因素。企業面臨的最大挑戰並不總是執行力，同樣重要的是如何利用好手中的牌。由於種種原因，我們在交易持觀望態度的經濟環境下，面臨挑戰並取得了成功。我們像職業拳擊手一樣贏得了比賽，打滿了 12 個回合，因為我們一直堅持進攻。

With many large transactions slowed in a wait and see time with interest rate and tariff considerations, and overall less ability to execute large transactions, there were no needle movers. Opportunities we performed were at a high conversion rate on transactions that did occur, albeit a lot of smaller ones. Without overemphasizing the future outlook on the financial side, regional banks continue to report an increase in distressed assets, and every indicator says, asset flow is on the rise.

由於利率和關稅等因素導致許多大額交易陷入觀望狀態，而且整體上執行大額交易的能力下降，因此沒有出現任何重大事件。我們所進行的業務機會轉換率很高，雖然其中有許多小額交易，但最終達成的交易數量都相當可觀。儘管不宜過度強調金融方面的未來前景，但區域性銀行持續報告不良資產增加​​，而且所有指標都表明，資產流動正在上升。

On the industrial side, a continued push towards lean manufacturing and the prediction of more consolidation over time also bodes well for increased asset flow. We have built both our balance sheet and staffing and systems very prepared to garner market share as opportunities arise.

在工業方面，持續推進精實生產以及對未來整合趨勢的預測也預示著資產流動將會增加。我們已經建立了完善的資產負債表、人員配備和系統，為抓住機會、搶佔市場份額做好了充分準備。

Further, I am excited to report after a 2-year phased approach to our M&A, we are well past fine-tuning our strategy and 100% now in tactical execution. We have isolated the companies that I define as plugging in the gaps, that will create long-term shareholder value with the fastest accretion dynamics.

此外，我很高興地報告，經過兩年的分階段併購策略調整，我們已經順利完成了戰略微調，現在已 100% 進入戰術執行階段。我們已經篩選出我認為能夠填補市場空白、以最快的成長速度創造長期股東價值的公司。

I call it our GS plan, geography and sector growth. We know the sectors we believe we can serve as needle movers and the geographies we can win and execute in. We are also in advanced negotiations with who we have identified as best practices and as important, a shared vision, like-minded DNA, and all in one canoe, paddles in tandem. When is day one on this? Near term is now our emphasis, and all hands are on deck.

我稱之為我們的GS計劃，即地理和行業成長。我們清楚哪些產業我們可以發揮推動作用，以及哪些地區我們可以贏得市場並取得成功。我們也與我們認為具有最佳實踐且重要的是擁有共同願景、志同道合的基因，並且在同一條船上並肩劃槳的人進行了深入談判。這個專案的第一天是什麼時候？我們現在的工作重點是近期目標，所有人都在全力以赴。

With that, it's time for Brian to drill down on a quarter, and I'm here to answer any questions once he shares the current results. Thank you all for joining. Brian, you're up.

接下來，布萊恩將深入分析本季業績，待他公佈最新結果後，我將在此回答大家的任何問題。感謝各位的參與。布萊恩，輪到你了。

Thank you, Ross, and good afternoon, everyone.

謝謝你，羅斯，大家下午好。

I'll begin with a brief overview of our third quarter operating results before walking through our industrial and financial segment performance. Consolidated operating income was $1.3 million in the third quarter of 2025, compared to $1.5 million in the third quarter of 2024. Our industrial assets division reported operating income of approximately $900,000 in the third quarter of 2025, compared to approximately $700,000 in the prior year quarter.

我將首先簡要概述我們第三季的經營業績，然後再詳細介紹我們的工業和金融部門的業績。2025 年第三季綜合營業收入為 130 萬美元，而 2024 年第三季為 150 萬美元。我們的工業資產部門報告稱，2025 年第三季營業收入約為 90 萬美元，而去年同期約為 70 萬美元。

Our financial assets division reported operating income of $1.6 million in the third quarter of 2025, compared to $1.8 million in the third quarter of 2024. Our industrial assets division executed well on auctions and liquidation opportunities, and we saw growth in our refurbishment and resale segment. ALT reported improved operating income of approximately $400,000 in the third quarter, compared to approximately $200,000 in the third quarter of 2024.

我們的金融資產部門報告稱，2025 年第三季營業收入為 160 萬美元，而 2024 年第三季為 180 萬美元。我們的工業資產部門在拍賣和清算機會方面表現出色，我們的翻新和轉售業務也實現了成長。ALT報告稱，第三季營業收入約為40萬美元，而2024年第三季約為20萬美元。

The third quarter also included a healthy amount of auctions, though the volume was primarily comprised of smaller scale activity, as certain companies opted to hold off on larger scale nonessential transaction decisions amid ongoing economic uncertainty. As we close out the year, we are energized by the opportunities ahead and proud to be nearing the completion of our new facility in San Diego, a key milestone that supports our next phase of growth. Our financial assets division reported solid profitability in the third quarter.

第三季也出現了相當數量的拍賣，儘管拍賣量主要由小規模活動構成，因為在持續的經濟不確定性下，一些公司選擇推遲大規模的非必要交易決策。值此年末之際，我們對未來的機會充滿信心，並為我們位於聖地牙哥的新工廠即將竣工而感到自豪，這是一個重要的里程碑，將支持我們進入下一個發展階段。我們的金融資產部門第三季獲利狀況良好。

While our brokerage business was down slightly quarter over quarter, [MX] continues to proactively add new sellers to our existing clients. Transaction volumes from our largest recurring clients softened early in the quarter but ended September in an upward trend leading into the fourth quarter, which historically represents a stronger period as lending institutions work to optimize their balance sheets ahead of year end.

雖然我們的經紀業務環比略有下降，但 [MX] 繼續積極為我們現有的客戶增加新的賣家。本季初，我們最大的經常性客戶的交易量有所下降，但9 月底呈現上升趨勢，並進入第四季。從歷史上看，第四季度通常是貸款機構在年底前優化資產負債表的時期，因此交易量也會相應增加。

Overall, consumer debt remains at high levels even as credit performance metrics suggest that the market has stabilized this year. At the same time, regional banks are facing increased scrutiny over the quality of their loan portfolios, which we believe will lead to higher charge-offs and non-performing loan volumes as these institutions begin to offload underperforming assets.

整體而言，儘管信貸表現指標顯示今年市場已經趨於穩定，但消費者債務水準仍然很高。同時，區域性銀行的貸款組合品質正面臨越來越嚴格的審查，我們認為這將導致更高的核銷率和不良貸款規模，因為這些機構開始拋售表現不佳的資產。

Additional consolidated financial results include the following: Adjusted EBITA was $1.6 million, compared to $1.9 million in the prior year period. Net income was approximately $600,000 or $0.02 per diluted share, compared to net income of $1.1 million or $0.03 per diluted share in the third quarter of 2024. The change largely due to a non-cash adjustment made to the valuation allowance against our deferred tax assets as we fine tune our estimated utilization of net operating loss carry forwards prior to expiration at year end.

其他合併財務表現包括：調整後 EBITA 為 160 萬美元，而去年同期為 190 萬美元。淨收入約為 60 萬美元，即每股攤薄收益 0.02 美元，而 2024 年第三季淨收入為 110 萬美元，即每股攤薄收益 0.03 美元。這項變更主要是由於我們在年末到期前對淨營業虧損結轉額的估計利用情況進行微調，從而對遞延所得稅資產的估值準備進行了非現金調整。

Our balance sheet is strong with stockholders' equity of $66.5 million as of September 30, 2025, compared to $65.2 million at December 31, 2024, with networking capital of $17.9 million. Our cash balance reflects a total of $19.4 million as of September 30, 2025, and after removing amounts due to our clients or payables to sellers on our balance sheet, our net available cash balance was $12.6 million.

截至 2025 年 9 月 30 日，我們的資產負債表穩健，股東權益為 6,650 萬美元，而截至 2024 年 12 月 31 日為 6,520 萬美元，網路資本為 1,790 萬美元。截至 2025 年 9 月 30 日，我們的現金餘額總計為 1,940 萬美元。扣除資產負債表上應付給客戶的款項或應付給賣方的款項後，我們的淨可用現金餘額為 1,260 萬美元。

M&A remains a critical component of our long-term strategy and capital deployment framework. Now with a sharpened focus, our team is laying the groundwork for accreted transactions that will define the next phase of the company's strategy and growth prospects. We are optimistic and motivated. This is the right time and the opportunities ahead are compelling. We did not repurchase any shares in the quarter as we have prioritized meaning maintaining our cash position, giving our advancing progress on the M&A front.

併購仍然是我們長期策略和資本部署框架的關鍵組成部分。現在，我們的團隊更加專注於此，正在為增值交易奠定基礎，這些交易將決定公司下一階段的策略和成長前景。我們充滿樂觀和動力。現在正是好時機，未來的機會令人振奮。本季我們沒有回購任何股票，因為我們優先考慮的是維持現金狀況，鑑於我們在併購方面取得了進展。

With that said, the company authorized a new share repurchase program on July 31st that allows for the repurchase of up to $7.5 million in common stock for the next three years, though it remains a part of a capital allocation strategy.

儘管如此，該公司於 7 月 31 日批准了一項新的股票回購計劃，允許在未來三年內回購最多 750 萬美元的普通股，儘管這仍然是資本配置策略的一部分。

And with that, I'll send it back over to Ross.

這樣，我就能把它發回給羅斯了。

Thank you, Brian.

謝謝你，布萊恩。

After hearing you, I think it's worthwhile to take a moment to add some details to our M&A strategy. We're focused on businesses that are very capable of operating independently that we also believe can scale significantly and thrive within HG Companies with systems and processes that are a match day one. Our goal is to build shareholder value that both lasts long-term and it built to last heritage, while we're also mindful that the value also needs to be transferable to the market at large. This tooks a long time to get there, but we're well on the way now and excited about our future.

聽了你的報告，我認為有必要花點時間補充一些關於我們併購策略的細節。我們專注於那些能夠獨立運作且我們相信能夠顯著擴展並在 HG 公司內部蓬勃發展的企業，這些企業擁有從第一天起就能匹配的系統和流程。我們的目標是創造能夠長期持續且具有傳承意義的股東價值，同時我們也意識到，這種價值也需要能夠傳遞給整個市場。雖然花了很長時間才走到今天，但我們現在已經走上了正軌，對未來充滿期待。

Thank you all for listening in. We're here for any questions.

謝謝大家的收聽。如有任何問題，歡迎隨時與我們聯繫。

(Operatior Instructions)

（操作說明）

Mark Argento, Lake Street.

馬克‧阿根托，湖街。

Yeah, Ross, hey, Brian, just wanted in terms of capital allocation question.

是的，羅斯，嘿，布萊恩，我只是想問一下關於資本配置的問題。

May I know M&A is important from a strategy perspective you guys have been focused on it for a while, but with the stock kind of where it's at. You come into this question; do you just get aggressive and buy more of your own stock back in the business and know well? Versus allocating capital to the new acquisitions. Probably answer somewhere in between, but how do you guys think about it? What are the criteria when you're looking at M&A from both the strategic perspective but also from an accretive financial perspective.

我想了解一下，從策略角度來看，併購非常重要，你們也已經關注併購一段時間了，但是就目前的股票市場狀況而言，情況如何呢？你會面臨這樣一個問題：你會採取激進的策略，重新買進更多自己熟悉的公司的股票嗎？與將資金分配給新收購項目相比。答案可能介於兩者之間，但你們怎麼看？從策略角度和加值財務角度檢視併購時，有哪些標準？

Right, so we thought these M&A transactions were more in the distance than they are, then we would have put a greater emphasis on buying the stock back. Yes, we think the stock is way undervalued, but at the same time we think that we think that these acquisitions are really going to help grow the company and showing growth in the company is really the most significant, most important thing we can do. However, we did authorize $7.5 million and are prepared to flip the switch, so to speak, and start buying stock back. But right now, there's a heightened emphasis on getting some things that are right in front of us done first, Mark, if that's a fair answer.

沒錯，所以我們之前認為這些併購交易還很遙遠，如果是這樣的話，我們就會更重視回購股票。是的，我們認為這支股票被嚴重低估了，但同時，我們認為這些收購確實將有助於公司發展，而展現公司的成長才是我們所能做的最重要、最有意義的事情。不過，我們已經批准了 750 萬美元的資金，並準備“扭轉局面”，開始回購股票。但就目前而言，馬克，如果這個回答可以理解的話，我們更應該優先完成眼前的一些事情。

Yes, it's a fair answer.

是的，這個回答很合理。

Just pivoting to the business, you said the industrial assets you saw you know decent amount of activity, but they were smaller, either smaller ticket type transactions, or a little different mix. What is it in particular, I think you kind of called it taking a wait and see approach, but what is it that you see a lot of these potential sellers or customers? What are they waiting for? Are they waiting to see how the government felt.

回到業務方面，您提到您看到的工業資產交易量相當可觀，但規模較小，要么是小額交易，要么是交易類型略有不同。具體來說，你好像稱之為採取觀望態度，但你認為這些潛在賣家或客戶有哪些共同點呢？他們還在等什麼？他們是不是在觀望政府的反應？

It felt like a lot of companies. We're releasing some surplus assets in kind of a hold on mode rather than shutting down and it felt like other companies were holding assets because they're looking at and these are the larger companies. They were looking at M&A, but they have concerns about if the supply chain is going to be wide open and they can get new assets. So, there was just a certain amount of people that weren't making the significant big decisions, so we made a profit working really hard, doing a lot of work on a lot of smaller transactions that were less needle movers, but fortunately you added them all up together and they added up to a profit. But we didn't have that one big or two big or three big really large auctions that we usually get in the quarter.

感覺和很多公司都差不多。我們正在以一種保留而非關閉的方式釋放一些剩餘資產，感覺其他公司都在持有資產，因為他們正在觀望，而這些都是規模較大的公司。他們正在考慮併購，但他們擔心供應鏈是否會完全開放，以及他們是否會獲得新的資產。所以，有一部分人沒有參與重大決策，因此我們透過努力工作，處理很多影響不大的小交易，最後獲得了利潤。幸運的是，這些小交易加起來就產生了利潤。但是，我們沒有像往常一樣在一個季度裡舉辦一兩場或三場大型拍賣會。

Got it. And then one more housekeeping one for Brian. So, it looks like it gets paid off the remaining couple million dollars on that ALT note and really at this point really the only real debt you guys have on the books is just the mortgage right for your new headquarters. Am I looking at that correctly?

知道了。然後，布萊恩還有一項家事要處理。所以，看來這筆貸款可以償還剩餘的幾百萬美元，而目前你們帳上唯一的真正債務就是新總部大樓的抵押貸款了。我理解的對嗎？

Yeah, so we purchased the building early this year for $7.3 million approximately and took out a $4.1 million interest only mortgage for three years. And we did pay off the ALT note after four years, so that's the only debt currently on the balance sheet other than we have the capacity on our line of credit which is at a zero balance currently, $10 million capacity.

是的，我們今年年初以大約 730 萬美元的價格買下了這棟大樓，併申請了一筆 410 萬美元的三年期只付息抵押貸款。四年後，我們償還了 ALT 票據，因此，除了我們目前 1000 萬美元的信貸額度（目前餘額為零）之外，這是我們資產負債表上唯一的債務。

Awesome. Appreciate the help you guys. I'll hop back in the queue.

驚人的。感謝各位的幫助。我重新排隊。

Thanks, Mark.

謝謝你，馬克。

(Operator Instructions)

（操作說明）

Mark Argento, Lake Street.

馬克‧阿根托，湖街。

Hey, if I got the mic I got the mic, right? Let's keep going.

嘿，如果我拿到了麥克風，那就是我的麥克風，對吧？我們繼續。

Yeah. Go for it.

是的。大膽試試吧。

Well, what I was going to ask, but wanted to see if somebody else would. Just any updates on any progress in regards to Heritage Capital and working down the portfolio there and the related assets there.

我本來也想問這個問題，但想看看有沒有人問過。關於Heritage Capital的投資組合及其相關資產的處置，是否有任何進展更新？

There's real progress, but I'll let Brian take over. Brian, go ahead.

雖然取得了一些進展，但我還是讓布萊恩接手。布萊恩，請講。

Yeah, so, I just have a couple high level notes of this is really a long-term workout that requires a couple of things, meaning one alignment with our senior lenders and the borrowers, so all parties that are involved and requires a good plan so we do have alignment with our senior lenders. And we do have a plan, and we've talked about the plan being one of the key initiatives in that plan being allocating cash to the legal process. So, we've been spending, we've been investing in that process since late last year and initial results are positive right now and we're kind of on an accelerated time frame now after those results to get as many consumer accounts into the process as we can. So, progress is solid right now, no change to the reserve, and as long as we continue along this path, I think we'll be in the best position in the long-term.

是的，我只想提幾點，這確實是一個長期的計劃，需要一些條件，包括與我們的高級貸款人和借款人保持一致，也就是所有相關方都需要一個好的計劃，所以我們確實與我們的高級貸款人保持一致。我們確實有一個計劃，而且我們已經討論過，該計劃的關鍵舉措之一就是將資金分配給法律程序。所以，從去年年底開始，我們就一直在投入資金，投資於這個過程，目前初步結果令人滿意，在這些結果之後，我們現在正加快步伐，盡可能地將消費者帳戶納入這個過程。所以，目前進展順利，儲備金沒有變化，只要我們繼續沿著這條路走下去，我認為從長遠來看，我們將處於最佳狀態。

Got it. It looks like you guys maybe, got, paid it down, a little bit like a couple a hundred thousand bucks or something in the quarter. Is that accurate?

知道了。看起來你們可能已經還清了貸款，大概有幾十萬美元吧。準確嗎？

Yeah, we have a small portion of really high performing loans and good borrowers that spins off some interest income. So, we are operating a small profit right now.

是的，我們有一小部分貸款表現非常出色，借款人素質也很高，這能帶來一些利息收入。所以，我們目前是小幅獲利的。

Got it. That's helpful. All right, that's it for me. Thanks guys.

知道了。那很有幫助。好了，我今天就到這裡。謝謝各位。

Thanks, Mark.

謝謝你，馬克。

And it appears that we have no further questions at this time. I'd be happy to once again return the program to our management for closing comments.

目前看來我們沒有其他問題了。我很樂意再次將節目交還給管理階層，請他們做總結發言。

Thank you all for joining. Thank you all for listening. Thank you all for sticking with us.

感謝各位的參與。謝謝大家的聆聽。感謝大家一直以來的支持。

I leave the call like I started the call feeling very positive that we're in the right place at the right time with the right opportunities right in front of us and we positioned ourselves well to capture an optimize what exists in front of us. So, I'm feeling good and hopefully you enjoyed the call and we've given you some decent insight into where we're going. So thanks for joining. We're always available if you want to check in with us. Everyone have a great day.

通話結束後，我感覺和通話開始時一樣樂觀，覺得我們正處於正確的時間、正確的地點，面前擺著正確的機會，我們已經做好了充分的準備，可以抓住並優化眼前的機會。我感覺很好，希望您喜歡這通通話，我們也讓您對我們的未來發展方向有了一些不錯的了解。謝謝大家的參與。如果您想與我們聯繫，我們隨時恭候。祝大家今天過得愉快。

This does conclude today's conference. You may now disconnect your lines and everyone have a great day.

今天的會議到此結束。你們現在可以斷開線路了，祝大家今天過得愉快。