SG&A expenses increased by $3.5 million to $5.6 million, an increase of 175 percent, compared to $2 million during the same period in 2011, primarily due to $2 million related to the addition of the SBT stores. The opening of four new non-SBT stores added $645,000, due to increased advertising costs, salaries, payroll taxes, building rent and other costs. In addition, the Company incurred $365,000 in professional fees associated with the restatement of our financial statements, and the related SEC investigation.In March 2012, current management decided to discontinue the operations of the Company’s Superior Galleries subsidiary due to the lack of profitability and our belief that it was unlikely that profitability would be reached in the foreseeable future. The Company officially discontinued operations in June of 2012 but recognized losses in the first and second quarter of 2012 as discontinued operations. In the first quarter of 2012, the discontinued operations of Superior generated a net loss of $461,000.
DGSE Reports Restated Financials For Fiscal 2010, Consolidated Financials For Fiscal 2011, And Financial Results For First And Second Quarter 2012
Check Out Our Best Services for Investors
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Model portfolio
- Stocks trading below $10
- Intraday trade alerts