Document And Entity Information
Document And Entity Information - shares | 9 Months Ended | |
Mar. 31, 2020 | Apr. 27, 2020 | |
Document Information Line Items | ||
Entity Registrant Name | U S GLOBAL INVESTORS INC | |
Document Type | 10-Q | |
Current Fiscal Year End Date | --06-30 | |
Amendment Flag | false | |
Entity Central Index Key | 0000754811 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Document Period End Date | Mar. 31, 2020 | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q3 | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Interactive Data Current | Yes | |
Common Class A [Member] | ||
Document Information Line Items | ||
Entity Common Stock, Shares Outstanding | 12,964,117 | |
Common Class B [Member] | ||
Document Information Line Items | ||
Entity Common Stock, Shares Outstanding | 0 | |
Common Class C [Member] | ||
Document Information Line Items | ||
Entity Common Stock, Shares Outstanding | 2,068,737 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Mar. 31, 2020 | Jun. 30, 2019 |
Current Assets | ||
Cash and cash equivalents | $ 2,086 | $ 1,466 |
Restricted cash | 1,025 | 1,025 |
Investments in securities at fair value | 6,313 | 8,021 |
Accounts and other receivables | 399 | 309 |
Note receivable | 0 | 199 |
Prepaid expenses | 310 | 293 |
Total assets held related to discontinued operations | 0 | 1,780 |
Total Current Assets | 10,133 | 13,093 |
Net Property and Equipment | 1,556 | 1,708 |
Other Assets | ||
Investments in securities at fair value, non-current | 3,167 | 7,166 |
Other investments | 1,518 | 1,404 |
Equity method investments | 150 | 309 |
Right of use assets | 105 | 0 |
Other assets, non-current | 90 | 64 |
Total Other Assets | 5,030 | 8,943 |
Total Assets | 16,719 | 23,744 |
Current Liabilities | ||
Accounts payable | 36 | 31 |
Accrued compensation and related costs | 269 | 311 |
Dividends payable | 113 | 113 |
Lease liability, short-term | 49 | 0 |
Other accrued expenses | 885 | 496 |
Total liabilities held related to discontinued operations | 0 | 481 |
Total Current Liabilities | 1,352 | 1,432 |
Long-Term Liabilities | ||
Deferred tax liability | 0 | 133 |
Lease liability, long-term | 56 | 0 |
Total Long-Term Liabilities | 56 | 133 |
Total Liabilities | 1,408 | 1,565 |
Commitments and Contingencies (Note 14) | ||
Shareholders’ Equity | ||
Additional paid-in-capital | 15,636 | 15,646 |
Treasury stock, class A shares at cost; 873,793 shares and 804,959 shares at March 31, 2020, and June 30, 2019, respectively | (1,953) | (1,888) |
Accumulated other comprehensive income (loss), net of tax | (9) | (206) |
Retained earnings | 1,238 | 7,761 |
Total U.S. Global Investors Inc. Shareholders’ Equity | 15,311 | 21,712 |
Non-Controlling Interest in Subsidiary | 0 | 467 |
Total Shareholders’ Equity | 15,311 | 22,179 |
Total Liabilities and Shareholders’ Equity | 16,719 | 23,744 |
Common Class A [Member] | ||
Shareholders’ Equity | ||
Common stock, value | 347 | 347 |
Common Class B [Member] | ||
Shareholders’ Equity | ||
Common stock, value | 0 | 0 |
Common Class C [Member] | ||
Shareholders’ Equity | ||
Common stock, value | $ 52 | $ 52 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parentheticals) - $ / shares | Mar. 31, 2020 | Jun. 30, 2019 |
Common Class A [Member] | ||
Common stock; par value (in Dollars per share) | $ 0.025 | $ 0.025 |
Common stock, shares authorized | 28,000,000 | 28,000,000 |
Common stock, shares issued | 13,866,811 | 13,866,751 |
Treasury stock, class A shares at cost; shares | 873,793 | 804,959 |
Common Class B [Member] | ||
Common stock; par value (in Dollars per share) | $ 0.025 | $ 0.025 |
Common stock, shares authorized | 4,500,000 | 4,500,000 |
Common stock, shares issued | 0 | 0 |
Common Class C [Member] | ||
Common stock; par value (in Dollars per share) | $ 0.025 | $ 0.025 |
Common stock, shares authorized | 3,500,000 | 3,500,000 |
Common stock, shares issued | 2,068,737 | 2,068,797 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Operating Revenues | ||||
Revenues | $ 914 | $ 857 | $ 2,605 | $ 2,694 |
Operating Expenses | ||||
Employee compensation and benefits | 715 | 680 | 2,060 | 2,150 |
General and administrative | 1,091 | 753 | 2,440 | 2,234 |
Advertising | 37 | 42 | 111 | 122 |
Depreciation and amortization | 50 | 54 | 152 | 164 |
1,893 | 1,529 | 4,763 | 4,670 | |
Operating Loss | (979) | (672) | (2,158) | (1,976) |
Other Income (Loss) | ||||
Investment income (loss) | (441) | 2,100 | (3,922) | (2,231) |
Income (loss) from equity method investments | (91) | 3 | (146) | (52) |
Other income | 29 | 7 | 90 | 27 |
(503) | 2,110 | (3,978) | (2,256) | |
Income (Loss) from Continuing Operations Before Income Taxes | (1,482) | 1,438 | (6,136) | (4,232) |
Provision for Income Taxes | ||||
Tax expense (benefit) | 75 | 546 | (174) | (554) |
Income (Loss) from Continuing Operations | (1,557) | 892 | (5,962) | (3,678) |
Discontinued Operations | ||||
Income (loss) from discontinued operations of investment management services in Canada before income taxes | (85) | (185) | (338) | 149 |
Tax benefit | 0 | (11) | 0 | 0 |
Income (Loss) from Discontinued Operations | (85) | (174) | (338) | 149 |
Net Income (Loss) | (1,642) | 718 | (6,300) | (3,529) |
Less: Net Income (Loss) Attributable to Non-Controlling Interest from Discontinued Operations | (30) | (61) | (118) | 52 |
Net Loss Attributable to U.S. Global Investors, Inc. | $ (1,612) | $ 779 | $ (6,182) | $ (3,581) |
Basic Net Income (Loss) per Share | ||||
Income (loss) from continuing operations (in Dollars per share) | $ (0.11) | $ 0.06 | $ (0.40) | $ (0.24) |
Income (loss) from discontinued operations (in Dollars per share) | 0 | (0.01) | (0.01) | 0 |
Net income (loss) (in Dollars per share) | (0.11) | 0.05 | (0.41) | (0.24) |
Diluted Net Income (Loss) per Share | ||||
Income (loss) from continuing operations (in Dollars per share) | (0.11) | 0.06 | (0.40) | (0.24) |
Income (loss) from discontinued operations (in Dollars per share) | 0 | (0.01) | (0.01) | 0 |
Net income (loss) (in Dollars per share) | $ (0.11) | $ 0.05 | $ (0.41) | $ (0.24) |
Basic weighted average number of common shares outstanding (in Shares) | 15,121,950 | 15,132,408 | 15,127,118 | 15,141,061 |
Diluted weighted average number of common shares outstanding (in Shares) | 15,121,950 | 15,132,408 | 15,127,118 | 15,141,061 |
Investment Advisory Services [Member] | ||||
Operating Revenues | ||||
Revenues | $ 875 | $ 812 | $ 2,477 | $ 2,553 |
Administrative Service [Member] | ||||
Operating Revenues | ||||
Revenues | $ 39 | $ 45 | $ 128 | $ 141 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Net Income (Loss) Attributable to U.S. Global Investors, Inc. | $ (1,612) | $ 779 | $ (6,182) | $ (3,581) |
Other Comprehensive Income (Loss), Net of Tax: | ||||
Foreign currency translation adjustment | 310 | 41 | 311 | (7) |
Comprehensive Income (Loss) | (1,302) | 820 | (5,871) | (3,588) |
Less: Comprehensive Income (Loss) Attributable to Non-Controlling Interest | 114 | 13 | 114 | (8) |
Comprehensive Income (Loss) Attributable to U.S. Global Investors, Inc. | $ (1,416) | $ 807 | $ (5,985) | $ (3,580) |
CONSOLIDATED STATEMENTS OF SHAR
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY - USD ($) $ in Thousands | Common Stock [Member]Common Class A [Member] | Common Stock [Member]Common Class C [Member] | Additional Paid-in Capital [Member] | Treasury Stock [Member] | AOCI Attributable to Parent [Member] | Retained Earnings [Member] | Noncontrolling Interest [Member] | Total |
Balance at Jun. 30, 2018 | $ 347 | $ 52 | $ 15,650 | $ (1,878) | $ 1,858 | $ 9,513 | $ 518 | $ 26,060 |
Reclassification pursuant to adoption of ASU 2016-01, net of tax of $1,049 | (2,089) | 2,089 | 0 | |||||
Balance at Jul. 01, 2018 | 347 | 52 | 15,650 | (1,878) | (231) | 11,602 | 518 | 26,060 |
Balance at Jun. 30, 2018 | 347 | 52 | 15,650 | (1,878) | 1,858 | 9,513 | 518 | 26,060 |
Purchases of shares of Common Stock (class A) | (24) | (24) | ||||||
Issuance of stock under ESPP shares of Common Stock (class A) | (2) | 5 | 3 | |||||
Dividends declared | (341) | (341) | ||||||
Stock bonuses | (3) | 6 | 3 | |||||
Stock-based compensation expense | 2 | 2 | ||||||
Other comprehensive income (loss), net of tax | 1 | (8) | (7) | |||||
Net income (loss) | (3,581) | 52 | (3,529) | |||||
Balance at Mar. 31, 2019 | 347 | 52 | 15,647 | (1,891) | (230) | 7,680 | 562 | 22,167 |
Balance at Dec. 31, 2018 | 347 | 52 | 15,649 | (1,885) | (258) | 7,015 | 610 | 21,530 |
Purchases of shares of Common Stock (class A) | (9) | (9) | ||||||
Issuance of stock under ESPP shares of Common Stock (class A) | (1) | 1 | ||||||
Dividends declared | (114) | (114) | ||||||
Stock bonuses | (1) | 2 | 1 | |||||
Other comprehensive income (loss), net of tax | 28 | 13 | 41 | |||||
Net income (loss) | 779 | (61) | 718 | |||||
Balance at Mar. 31, 2019 | 347 | 52 | 15,647 | (1,891) | (230) | 7,680 | 562 | 22,167 |
Balance at Jun. 30, 2019 | 347 | 52 | 15,646 | (1,888) | (206) | 7,761 | 467 | 22,179 |
Purchases of shares of Common Stock (class A) | (74) | (74) | ||||||
Issuance of stock under ESPP shares of Common Stock (class A) | (1) | 3 | 2 | |||||
Dividends declared | (341) | (341) | ||||||
Stock bonuses | (3) | 6 | 3 | |||||
Stock-based compensation expense | (6) | (6) | ||||||
Deconsolidation of non-controlling interest | (463) | (463) | ||||||
Other comprehensive income (loss), net of tax | 197 | 114 | 311 | |||||
Net income (loss) | (6,182) | (118) | (6,300) | |||||
Balance at Mar. 31, 2020 | 347 | 52 | 15,636 | (1,953) | (9) | 1,238 | 0 | 15,311 |
Balance at Dec. 31, 2019 | 347 | 52 | 15,638 | (1,888) | (205) | 2,964 | 379 | 17,287 |
Purchases of shares of Common Stock (class A) | (68) | (68) | ||||||
Issuance of stock under ESPP shares of Common Stock (class A) | (1) | 1 | ||||||
Dividends declared | (114) | (114) | ||||||
Stock bonuses | (1) | 2 | 1 | |||||
Deconsolidation of non-controlling interest | (463) | (463) | ||||||
Other comprehensive income (loss), net of tax | 196 | 114 | 310 | |||||
Net income (loss) | (1,612) | (30) | (1,642) | |||||
Balance at Mar. 31, 2020 | $ 347 | $ 52 | $ 15,636 | $ (1,953) | $ (9) | $ 1,238 | $ 0 | $ 15,311 |
CONSOLIDATED STATEMENTS OF SH_2
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Parentheticals) - USD ($) $ in Thousands | Jul. 01, 2018 | Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 |
Common Class A [Member] | |||||
Purchases of shares of Common Stock (class A) | 69,420 | 8,075 | 72,820 | 20,075 | |
Common Stock [Member] | Common Class A [Member] | |||||
Balance | 13,866,691 | 13,866,811 | 13,866,691 | 13,866,751 | 13,866,691 |
Balance | 13,866,811 | 13,866,691 | 13,866,811 | 13,866,691 | |
Purchases of shares of Common Stock (class A) | 69,420 | 8,075 | 72,820 | 20,075 | |
Issuance of stock under ESPP shares of Common Stock (class A) | 553 | 505 | 1,286 | 1,966 | |
Number of shares issued as result of stock conversion | 60 | ||||
Common Stock [Member] | Common Class C [Member] | |||||
Balance | 2,068,857 | 2,068,737 | 2,068,857 | 2,068,797 | 2,068,857 |
Balance | 2,068,737 | 2,068,857 | 2,068,737 | 2,068,857 | |
Number of shares converted | (60) | ||||
Cumulative Effect, Period of Adoption, Adjusted Balance [Member] | Accounting Standards Update 2016-01 [Member] | |||||
Reclassification pursuant to adoption of ASU 2016-01, tax (in Dollars) | $ 1,049 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 9 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Cash Flows from Operating Activities: | ||
Net loss | $ (6,300) | $ (3,529) |
Adjustments to reconcile net loss to net cash provided by (used in) operating activities: | ||
Depreciation and amortization | 152 | 164 |
Net recognized loss on securities | 0 | 98 |
Investment basis adjustment | (49) | (19) |
Gain on disposal of Galileo | (151) | 0 |
Net loss from equity method investment | 146 | 52 |
Net (income) loss from discontinued operations, net of tax | 338 | (149) |
Foreign currency transaction loss | 228 | 22 |
Provision for deferred taxes | (139) | (547) |
Stock bonuses | 3 | 3 |
Stock-based compensation expense | 0 | 2 |
Changes in operating assets and liabilities: | ||
Accounts receivable and notes receivable | 108 | 671 |
Prepaid expenses and other assets | (148) | (25) |
Investment securities | 5,707 | 2,902 |
Accounts payable and accrued expenses | 456 | (452) |
Total adjustments | 6,651 | 2,722 |
Net cash provided by (used in) operating activities | 351 | (807) |
Cash Flows from Investing Activities: | ||
Purchase of investments in securities at fair value, non-current | 0 | (1,588) |
Purchase of equity method investment | 0 | (230) |
Purchase of other investments | (75) | (100) |
Proceeds from sale of Galileo | 746 | 0 |
Proceeds on sale of equity method investment | 0 | 230 |
Proceeds from note receivable | 0 | 18 |
Return of capital on investments | 10 | 68 |
Net cash provided by (used in) investing activities | 681 | (1,602) |
Cash Flows from Financing Activities: | ||
Issuance of common stock | 2 | 3 |
Repurchases of common stock | (74) | (24) |
Dividends paid | (340) | (341) |
Net cash used in financing activities | (412) | (362) |
Net increase (decrease) in cash, cash equivalents, and restricted cash | 620 | (2,771) |
Beginning cash, cash equivalents, and restricted cash | 2,491 | 5,766 |
Ending cash, cash equivalents, and restricted cash | 3,111 | 2,995 |
Supplemental Disclosures of Cash Flow Information | ||
Cash paid for income taxes | $ 0 | $ 119 |
BASIS OF PRESENTATION
BASIS OF PRESENTATION | 9 Months Ended |
Mar. 31, 2020 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies [Text Block] | NOTE 1. BASIS OF PRESENTATION U.S. Global Investors, Inc. (the “Company” or “U.S. Global”) has prepared the consolidated financial statements pursuant to accounting principles generally accepted in the United States of America (“U.S. GAAP”) and the rules and regulations of the United States Securities and Exchange Commission (“SEC”) that permit reduced disclosure for interim periods. The financial information included herein reflects all adjustments (consisting solely of normal recurring adjustments), which are, in management’s opinion, necessary for a fair presentation of results for the interim periods presented. The Company has consistently followed the accounting policies set forth in the notes to the consolidated financial statements in the Company’s Form 10-K for the fiscal year ended June 30, 2019, except for the adoption of new accounting pronouncements discussed below. The consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries, U.S. Global Investors (Bermuda) Limited, U.S. Global Investors (Canada) Limited (“USCAN”), and U.S. Global Indices, LLC, and its 65 percent interest in Galileo Global Equity Advisors Inc. (“Galileo”). Effective March 2, 2020, the Company sold its shares in Galileo back to Galileo. Through the date of sale, Galileo was consolidated with the operations of the Company. The non-controlling interest in this subsidiary was included in “Non-Controlling Interest in Subsidiary” in the equity section of the Consolidated Balance Sheets. Frank Holmes, CEO, and Lisa Callicotte, CFO, served as directors of Galileo through March 2, 2020. See Note 2 below for further information. Results of operations of Galileo through the date of sale are presented in the consolidated financial statements as discontinued operations. Operating results for the three and nine months ended March 31, 2020, are not necessarily indicative of the results the Company may expect for the fiscal year ending June 30, 2020 (“fiscal 2020”), particularly in light of the novel coronavirus 19 (“COVID-19”) and its effects on the U.S. and global economies. The COVID-19 pandemic presents ongoing significant economic and societal disruption and market volatility, which have known and yet to be seen impacts to the Company’s business and operating environment driven by significant volatility in the interest rate and financial markets. There are no reliable estimates of how long the pandemic will last, how many people are likely to be affected by it, or its impact on the overall economy. To limit the spread of COVID-19, governments have taken various actions including the issuance of stay-at-home orders and social distancing guidelines, causing some businesses to suspend operations, disrupting the global supply chain, and creating a reduction in demand for many products. This has negatively affected global financial markets and has caused significant financial market depreciation, thus reducing certain of the Company’s assets under management (“AUM”), the revenue related to those assets, and returns on corporate investments. The AUM are the primary source of the Company’s revenues. Revenues and net income are significantly affected by investment performance and the total value and composition of AUM. These factors, in turn, are largely determined by overall investment market performance and investor activity. Should the negative effect on global financial markets continue for an extended period, there could be an adverse material financial impact on the Company’s results of operations, cash flows and financial position resulting from reduced revenues earned on AUM and returns on corporate investments. At this time, the Company cannot reasonably estimate the future impact, given the uncertainty over the duration and severity of the economic crisis. There are two primary consolidation models in U.S. GAAP, the variable interest entity (“VIE”) and voting interest entity models. The Company’s evaluation for consolidation includes whether entities in which it has an interest or from which it receives fees are VIEs and whether the Company is the primary beneficiary of any VIEs identified in its analysis. A VIE is an entity in which either (a) the equity investment at risk is not sufficient to permit the entity to finance its own activities without additional financial support or (b) the group of holders of the equity investment at risk lack certain characteristics of a controlling financial interest. The primary beneficiary is the entity that has the obligation to absorb a majority of the expected losses or the right to receive the majority of the residual returns and consolidates the VIE on the basis of having a controlling financial interest. The Company holds variable interests in, but is not deemed to be the primary beneficiary of, certain funds it advises, specifically, certain funds in U.S. Global Investors Funds (“USGIF” or the “Funds”). The Company’s interests in these VIEs consist of the Company’s direct ownership therein and any fees earned but uncollected. See further information about these funds in Notes 3 and 4. In the ordinary course of business, the Company may choose to waive certain fees or assume operating expenses of the funds it advises for competitive, regulatory or contractual reasons (see Note 4 for information regarding fee waivers). The Company has not provided financial support to any of these entities outside the ordinary course of business. The Company’s risk of loss with respect to these VIEs is limited to the carrying value of its investments in, and fees receivable from, the entities. The Company does not consolidate these VIEs because it is not the primary beneficiary. The Company’s total exposure to unconsolidated VIEs, consisting of the carrying value of investment securities and receivables for fees, was $6.9 million at March 31, 2020, and $8.8 million at June 30, 2019. Since the Company is not the primary beneficiary of the above funds it advises, the Company evaluated if it should consolidate under the voting interest entity model. Under the voting interest model, for legal entities other than partnerships, the usual condition for control is ownership, directly or indirectly, of more than 50 percent of the outstanding voting shares over an entity. The Company does not have control of any of the above funds it advises; therefore, the Company does not consolidate any of these funds. The Company currently holds a variable interest in a fund organized as a limited partnership advised by Galileo, and during fiscal years 2019 held a variable interest in another fund advised by Galileo, but these entities do not qualify as VIEs. Since they are not VIEs, the Company evaluated if it should consolidate them under the voting interest entity model. Under the voting interest model, for legal entities other than partnerships, the usual condition for control is ownership, directly or indirectly, of more than 50 percent of the outstanding voting shares over an entity. The Company does not have control of the entities and, therefore, does not consolidate them. However, the Company was considered to have the ability to exercise significant influence. Thus, the investments have been accounted for under the equity method of accounting. See further information about these investments in Note 3. All significant intercompany balances and transactions have been eliminated in consolidation. Certain amounts have been reclassified for comparative purposes. Certain quarterly amounts may not add to the year-to-date amount due to rounding. The results of operations for the nine months ended March 31, 2020, are not necessarily indicative of the results to be expected for the entire year. The unaudited interim financial information in these condensed financial statements should be read in conjunction with the consolidated financial statements contained in the Company’s annual report. Recent Accounting Pronouncements and Developments Accounting Pronouncements Adopted During the Period In February 2016, the FASB issued ASU 2016-02, Leases In February 2018, the FASB issued ASU 2018-02, Income Statement - Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income Accounting Pronouncements Not Yet Adopted In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments, In April 2019, the FASB issued ASU 2019-04, Codification Improvements to Topic 326, Financial Instruments – Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments In December 2019, the FASB issued ASU 2019-12, Simplifying the Accounting for Income Taxes Significant Accounting Policies As a result of the adoptions of accounting pronouncements during the current period that affected leases, the following accounting policies have been updated. For a complete listing of the Company's significant accounting policies, please refer to the Annual Report on Form 10-K for the year ended June 30, 2019. Leases. Fixed lease payments are included in right of use (“ROU”) assets and lease liabilities within other assets and liabilities, respectively, on the Consolidated Balance Sheets. ROU assets and lease liabilities are recognized based on the present value of the future lease payments over the lease term at the commencement date using the Company’s incremental borrowing rate as the discount rate. Fixed lease payments made over the lease term are recorded as lease expense on a straight-line basis. Variable lease payments based on usage, changes in an index or market rate are expensed as incurred. Upon adoption of ASU 2016-02, for existing leases, the Company elected to determine the discount rate based on the remaining lease term as of July 1, 2019. For new leases, the discount rates are based on the entire noncancelable lease term. The Company is the lessor of certain areas of its owned office building under operating leases. The Company determines if a contract is a lease or contains a lease at inception. The Company elected not to separate lease and related non-lease components and account for the combined component as an operating lease. |
DISCONTINUED OPERATIONS
DISCONTINUED OPERATIONS | 9 Months Ended |
Mar. 31, 2020 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Disposal Groups, Including Discontinued Operations, Disclosure [Text Block] | NOTE 2. DISCONTINUED OPERATIONS USCAN entered into a binding letter of intent dated December 30, 2019, with Galileo whereby Galileo, pursuant to a capital restructuring, agreed to repurchase all of its common shares owned by USCAN for $1.0 million (Canadian). The transaction was subject to the approval of Canadian securities regulatory authorities and to the satisfaction of other closing conditions. The transaction closed effective March 2, 2020. Proceeds of approximately $746,000 were received (the equivalent of $1.0 million Canadian on the closing date of sale), and a realized gain of approximately $151,000 was recorded. In addition, approximately $228,000 in foreign currency loss was released from accumulated other comprehensive income (loss) into current year loss upon closing the sale. After the transaction, the Company has not and will not have continuing involvement with the operations of Galileo, except for an equity method investment in a fund managed by Galileo. See further information on this equity method investment in Note 3, Investments. The results of Galileo through the March 2, 2020, closing date are reflected as “discontinued operations” in the Consolidated Statements of Operations and are therefore, excluded from continuing operations results. Comparative periods shown in the Consolidated Financial Statements have been adjusted to conform to this presentation. Operations of Galileo had previously been presented as the separate business segment of Investment Management Services – Canada. The components of assets and liabilities classified as discontinued operations were as follows: (dollars in thousands) March 31, 2020 June 30, 2019 Assets Cash and cash equivalents $ - $ 1,482 Accounts and other receivables - 200 Prepaid expenses - 52 Net Property and Equipment - 38 Other assets, non-current - 8 Total assets held related to discontinued operations $ - $ 1,780 Liabilities Accounts payable $ - $ 135 Accrued compensation and related costs - 84 Other accrued expenses - 262 Total liabilities held related to discontinued operations $ - $ 481 The components of income (loss) from discontinued operations were as follows. Note that amounts in the current fiscal year are through the March 2, 2020, closing date of sale. Nine Months Ended March 31, Three Months Ended March 31, (dollars in thousands) 2020 2019 2020 2019 Revenues Advisory fees $ 235 $ 1,299 $ 50 $ 114 235 1,299 50 114 Expenses Employee compensation and benefits 77 395 23 94 General and administrative 508 810 125 229 Depreciation and amortization 6 7 1 2 591 1,212 149 325 Other Income (Loss) Investment income (loss) 24 23 21 (7 ) Other income (loss) (6 ) 39 (7 ) 33 18 62 14 26 Income (loss) from discontinued operations of investment management services in Canada before income taxes (338 ) 149 (85 ) (185 ) Tax benefit - - - (11 ) Income (loss) from discontinued operations of investment management services in Canada (338 ) 149 (85 ) (174 ) Less: net income (loss) attributable to non-controlling interest from discontinued operations (118 ) 52 (30 ) (61 ) Net income (loss) attributable to U.S. Global Investors, Inc. from discontinued operations of investment management services in Canada $ (220 ) $ 97 $ (55 ) $ (113 ) Galileo provides advisory services for clients in Canada and receives advisory fees based on the net asset values of the clients. Galileo may also receive performance fees from certain clients when market appreciation or realized net gains exceeds established benchmarks. Performance fees, which were included in advisory fees in the table above, were recognized when it was determined that they were no longer probable of significant reversal. Galileo recorded no performance fees from these clients for the three or nine months ended March 31, 2020, or the three months ended March 31, 2019. Galileo recorded performance fees of $870,000 for the nine months ended March 31, 2019. Prior to November 2018, performance fees were typically recognized on an annual basis at calendar year-end. Due to changes in funds managed and new agreements in the second quarter of fiscal year 2019, the recognition of these fees changed to a quarterly basis. Galileo may, at its discretion, waive and absorb some of its clients’ operating expenses. The amount of fund expenses waived and absorbed was $19,000 and $39,000 for the three and nine months ended March 31, 2020, and $66,000 and $227,000 for the three and nine months ended March 31, 2019, respectively. Galileo had leases for office equipment and facilities. See further information on these leases in Note 7, Leases. Galileo files a separate tax return in Canada. At June 30, 2019, a valuation allowance for Galileo of $183,000 was included to fully reserve for net operating loss carryovers, other carryovers and certain book/tax differences in the balance sheet. |
INVESTMENTS
INVESTMENTS | 9 Months Ended |
Mar. 31, 2020 | |
Disclosure Text Block Supplement [Abstract] | |
Investments and Other Noncurrent Assets [Text Block] | NOTE 3. INVESTMENTS As of March 31, 2020, the Company held investments in securities at fair value totaling approximately $9.5 million with a cost basis of approximately $12.9 million. The fair value of these investments is 56.7 percent of the Company’s total assets at March 31, 2020. In addition, the Company held other investments of approximately $1.5 million and investments of approximately $150,000 accounted for under the equity method of accounting. The Company’s equity investments with readily determinable fair values are classified as securities at fair value, and changes in unrealized gains or losses are reported in current period earnings. Other investments consist of equity investments in entities over which the Company is unable to exercise significant influence and which do not have readily determinable fair values. For these securities, the Company generally elects to value using the measurement alternative, under which such securities are measured at cost, less impairment, plus or minus observable price changes for identical or similar securities of the same issuer with such changes recorded in investment income (loss). See further information about these investments in a separate section of this note. The cost basis of investments may also be adjusted for amortization of premium or accretion of discount on debt securities held or the recharacterization of distributions from investments in partnerships. The following details the components of the Company’s investments recorded at fair value as of March 31, 2020, and June 30, 2019. March 31, 2020 (dollars in thousands) Cost Unrealized Gains (Losses) Fair Value Securities at fair value Common stock - International $ 5,641 $ (3,034 ) $ 2,607 Common stock - Domestic 45 (45 ) - Mutual funds - Fixed income 6,313 - 6,313 Mutual funds - Domestic equity 929 (369 ) 560 Total securities at fair value $ 12,928 $ (3,448 ) $ 9,480 June 30, 2019 (dollars in thousands) Cost Unrealized Gains (Losses) Fair Value Securities at fair value Common stock - International $ 5,641 $ 790 $ 6,431 Common stock - Domestic 45 (45 ) - Mutual funds - Fixed income 8,025 (4 ) 8,021 Mutual funds - Domestic equity 929 (194 ) 735 Total securities at fair value $ 14,640 $ 547 $ 15,187 Included in the above table was $6.9 million and $8.8 million as of March 31, 2020, and June 30, 2019, respectively, at fair value invested in USGIF. Investment Income (Loss) Investment income (loss) from the Company’s investments includes: • realized gains and losses on sales of securities; • unrealized gains and losses on securities at fair value; • realized foreign currency gains and losses; • other-than-temporary impairments on available-for-sale debt securities; • impairments and observable price changes on equity investments without readily determinable fair values; and • dividend and interest income. The following summarizes investment income (loss) reflected in earnings from continuing operations: Nine Months Ended Three Months Ended (dollars in thousands) March 31, March 31, Investment Income (Loss) 2020 2019 2020 2019 Unrealized gains (losses) on fair valued securities $ (3,995 ) $ (2,387 ) $ (342 ) $ 1,987 Unrealized losses on equity securities without readily determinable fair values - - (100 ) - Realized gains on sales of fair valued securities - 16 - 16 Realized gain on sale of subsidiary 151 - 151 - Realized foreign currency gains (losses) (234 ) (28 ) (234 ) 16 Impairments in equity securities without readily determinable fair values - (114 ) - (28 ) Dividend and interest income 156 282 84 109 Total Investment Income (Loss) $ (3,922 ) $ (2,231 ) $ (441 ) $ 2,100 Realized gain from sale of subsidiary shown in the table above is from the sale of Galileo. See Note 2 for further information on this transaction. Realized foreign currency gains (losses) for the three and nine months ended March 31, 2020, includes $228,000 in foreign currency losses released from other comprehensive income (loss) upon the sale of Galileo. The three and nine months ended March 31, 2020, included approximately $442,000 and $4.0 million of net unrealized losses recognized on equity securities still held at March 31, 2020. Investment income (loss) can be volatile and varies depending on market fluctuations, the Company’s ability to participate in investment opportunities, and timing of transactions. The Company expects that gains and losses will continue to fluctuate in the future. Fair Value Hierarchy ASC 820, Fair Value Measurement and Disclosures Financial instruments measured and reported at fair value are classified and disclosed in one of the following categories: Level 1 – Valuations based on quoted prices in active markets for identical assets or liabilities at the reporting date. Since valuations are based on quoted prices that are readily and regularly available in an active market, value of these products does not entail a significant degree of judgment. Level 2 – Valuations based on quoted prices in markets for which not all significant inputs are observable, directly or indirectly. Corporate debt securities valued in accordance with the evaluated price supplied by an independent service are categorized as Level 2 in the hierarchy. Other securities categorized as Level 2 include securities valued at the mean between the last reported bid and ask quotation and securities valued with an adjustment to the quoted price due to restrictions. Level 3 – Valuations based on inputs that are unobservable and significant to the fair value measurement. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the financial instrument. The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with the investing in those securities. Because of the inherent uncertainties of valuation, the values reflected may materially differ from the values received upon actual sale of those investments. For actively traded securities, the Company values investments using the closing price of the securities on the exchange or market on which the securities principally trade. If the security is not traded on the last business day of the quarter, it is generally valued at the mean between the last bid and ask quotation. The fair value of a security that has a restriction is based on the quoted price for an otherwise identical unrestricted instrument that trades in a public market, adjusted for the estimated effect of the restriction. Mutual funds, which include open- and closed-end funds and exchange-traded funds, are valued at net asset value or closing price, as applicable. Certain corporate debt securities not traded on an exchange may be valued by an independent pricing service using an evaluated quote based on such factors as institutional-size trading in similar groups of securities, yield, quality, maturity, coupon rate, type of issuance and individual trading characteristics and other market data. As part of its independent price verification process, a portfolio management team, which includes representatives from the investment and accounting departments, periodically reviews the fair value provided by the pricing service using information such as transactions in these investments, broker quotes, market transactions in comparable investments, general market conditions and the issuer’s financial condition. Certain debt securities may be valued based on review of similarly structured issuances in similar jurisdictions, when possible, or based on other traded debt securities issued by the issuer. The portfolio management team also takes into consideration numerous other factors that could affect valuation such as overall market conditions, liquidity of the security and bond structure. For other securities included in the fair value hierarchy with unobservable inputs, the portfolio management team considers a number of factors in determining a security’s fair value, including the security’s trading volume, market values of similar class issuances, investment personnel’s judgment regarding the market experience of the issuer, financial status of the issuer, the issuer’s management, and back testing, as appropriate. The fair values may differ from what may have been used had a broader market for these securities existed. The portfolio management team reviews inputs and assumptions and reports material items to the Board of Directors. Securities which do not have readily determinable fair values are also periodically reviewed by the portfolio management team. The following presents fair value measurements, as of March 31, 2020, and June 30, 2019, for the major categories of U.S. Global’s investments measured at fair value on a recurring basis: March 31, 2020 Quoted Prices Significant Other Inputs Significant Unobservable Inputs (dollars in thousands) (Level 1) (Level 2) (Level 3) Total Securities at fair value Common stock - International $ 2,386 $ 221 $ - $ 2,607 Common stock - Domestic - - - - Mutual funds - Fixed income 6,313 - - 6,313 Mutual funds - Domestic equity 560 - - 560 Total securities at fair value $ 9,259 $ 221 $ - $ 9,480 June 30, 2019 Quoted Prices Significant Other Inputs Significant Unobservable Inputs (dollars in thousands) (Level 1) (Level 2) (Level 3) Total Securities at fair value Common stock - International $ 5,599 $ 832 $ - $ 6,431 Common stock - Domestic - - - - Mutual funds - Fixed income 8,021 - - 8,021 Mutual funds - Domestic equity 735 - - 735 Total securities at fair value $ 14,355 $ 832 $ - $ 15,187 As of March 31, 2020, 98 percent of the Company’s financial assets were classified in the fair value hierarchy as Level 1 and 2 percent as Level 2. As of June 30, 2019, 95 percent of the Company’s financial assets were classified in the fair value hierarchy as Level 1 and 5 percent as Level 2 The Company has an investment in 10 million common shares of HIVE Blockchain Technologies Ltd. (“HIVE”), a company that is headquartered and traded in Canada with cryptocurrency mining facilities in Iceland and Sweden, at a cost of $2.4 million. The shares are subject to Canadian securities regulations. The investment was valued at approximately $1.3 million at March 31, 2020, and $3.6 million at June 30, 2019. Cryptocurrency markets and related stocks have been, and are expected to continue to be, volatile. Cryptocurrency mining is considered an early stage high-risk industry, and the nature of mining is expected to evolve. There has been significant volatility in the market price of HIVE, which has materially impacted the investment’s value included on the balance sheet and unrealized gain (loss) recognized in investment income. The Company’s direct ownership of HIVE was approximately 3.1 percent as of March 31, 2020. Frank Holmes serves on the board as non-executive chairman of HIVE and held shares and options at March 31, 2020. Effective August 31, 2018, Mr. Holmes was named Interim Executive Chairman of HIVE while a search for a new CEO is undertaken. The Company has an investment in Thunderbird Entertainment Group Inc. (“Thunderbird”), a company headquartered and traded in Canada, which was valued at approximately $562,000 at March 31, 2020, of which $361,000 was classified as Level 1 and $201,000 was classified as Level 2 in the fair value hierarchy. The investment was valued at approximately $1.1 million at June 30, 2019, of which $377,000 was classified as Level 1 and $675,000 was classified as Level 2 in the fair value hierarchy. The portion of the investment classified in Level 2 is restricted for resale due to escrow provisions; its valuation is based on the quoted market price adjusted for the restriction on resale. The remaining shares in escrow will be released in April 2020. The shares are subject to Canadian securities regulations. The Company’s ownership of Thunderbird was approximately 2.5 percent as of March 31, 2020. Frank Holmes serves on the board of this company as a director and held options at March 31, 2020. The Company has an investment in GoldSpot Discoveries Corp. (“GoldSpot”), a technology company headquartered and traded in Canada which leverages machine learning in natural resource exploration. The investment was valued at approximately $695,000 at March 31, 2020, of which $675,000 was classified as Level 1 and $20,000 was classified as Level 2 in the fair value hierarchy. The investment was valued at approximately $1.7 million at June 30, 2019, of which $1.6 million was classified as Level 1 and $157,000 was classified as Level 2 in the fair value hierarchy. The portion of the investment classified in Level 2 is restricted for resale due to escrow and regulatory provisions; its valuation is based on the quoted market price adjusted for the restriction on resale. The remaining shares in escrow will be released in August 2020. The shares are subject to Canadian securities regulations. The Company’s ownership of GoldSpot was approximately 7.5 percent as of March 31, 2020. Frank Holmes serves on the board of this company as independent chairman and held common stock and options at March 31, 2020. Other Investments The carrying value of equity securities without readily determinable fair values was approximately $1.5 million and $1.4 million as of March 31, 2020, and June 30, 2019, respectively. The carrying value of equity securities without readily determinable fair values has been adjusted as follows: Nine Months Ended Three Months Ended March 31, March 31, (dollars in thousands) 2020 2019 2020 2019 Carrying amount, beginning of period $ 1,404 $ 2,207 $ 1,488 $ 602 Adjustments: Purchases 75 100 75 100 Reclassification to securities at fair value - (1,499 ) - - Impairments - (114 ) - (28 ) Other downward adjustments (124 ) (49 ) (108 ) (29 ) Upward adjustments 163 - 63 - Carrying amount, end of period $ 1,518 $ 645 $ 1,518 $ 645 Cumulative impairment adjustments to all equity securities without readily determinable fair values total $251,000 since their respective acquisitions through March 31, 2020. The cumulative amount of other downward adjustments, which primarily consist of return of capital distributions, is $777,000, which includes $108,000 and $124,000 for the three and nine months ended March 31, 2020, respectively. The cumulative amount of upward adjustments is $781,000 through March 31, 2020, which includes $63,000 and $163,000 in the three months and nine months ended March 31, 2020, respectively. Investments Classified as Equity Method Investments classified as equity method consist of investments in companies in which the Company is able to exercise significant influence but not control. Under the equity method of accounting, the investment is initially recorded at cost, then the Company’s proportional share of investee’s underlying net income or loss is recorded as a component of “other income (loss)” with a corresponding increase or decrease to the carrying value of the investment. Distributions received from the investee reduce the Company’s carrying value of the investment. These investments are evaluated for impairment if events or circumstances arise that indicate that the carrying amount of such assets may not be recoverable. During fiscal year 2018, the Company, through USCAN, invested approximately $401,000 in the Galileo Technology and Blockchain Fund, a Canadian unit trust investment fund managed by Galileo. The fund reorganized in a taxable transaction into a limited partnership effective November 30, 2018, and the fund terminated. See further discussion below. During the period of ownership, the Company’s ownership ranged between approximately 20 and 25 percent, and the Company was considered to have the ability to exercise significant influence. Thus, the investment was accounted for under the equity method of accounting. Under the equity method, the Company’s proportional share of the fund’s net income or loss, which primarily consists of realized and unrealized gains and losses on investments offset by fund expenses, is recognized in the Company’s earnings. Included in other income (loss) for the nine months ended March 31, 2019, is ($50,000) of equity method loss for the Galileo Technology and Blockchain Fund. Frank Holmes also directly held an investment in the fund. This fund had a concentration in technology and blockchain companies, which resulted in volatility in the fund’s valuation. As noted above, the Galileo Technology and Blockchain Fund reorganized into a limited partnership effective November 30, 2018. The investment portfolio and unitholders’ interests of the Galileo Technology and Blockchain Fund and the Galileo Partners Fund transferred to the new entity, named Galileo Technology and Blockchain LP. The valuation of the Company’s investment in the Galileo Technology and Blockchain Fund as of November 30, 2018, of approximately $230,000 transferred to the Galileo Technology and Blockchain LP. The Company owns approximately 22 percent of the LP as of March 31, 2020, and the Company is considered to have the ability to exercise significant influence. Thus, the investment is accounted for under the equity method of accounting. Included in other income (loss) for the three and nine months ended March 31, 2020, is ($91,000) and ($146,000) of equity method loss for this investment. Included in other income (loss) for the three and nine months ended March 31, 2019, is $3,000 and ($2,000) of equity method income (loss) for this investment. The Company’s investment in the LP was valued at approximately $150,000 at March 31, 2020. Frank Holmes also directly held an investment in the LP as of March 31, 2020. This investment has a concentration in technology and blockchain companies, which may result in volatility in its valuation. |
INVESTMENT MANAGEMENT AND OTHER
INVESTMENT MANAGEMENT AND OTHER FEES | 9 Months Ended |
Mar. 31, 2020 | |
Investment Management and Other Fees [Abstract] | |
Investment Management and Other Fees [Text Block] | NOTE 4. INVESTMENT MANAGEMENT AND OTHER FEES The following table presents operating revenues disaggregated by performance obligation: Nine Months Ended March 31, Three Months Ended March 31, (dollars in thousands) 2020 2019 2020 2019 USGIF advisory fees $ 2,413 $ 2,469 $ 753 $ 785 USGIF performance fees paid (391 ) (372 ) (79 ) (110 ) ETF advisory fees 455 456 201 137 Total Advisory Fees 2,477 2,553 875 812 USGIF administrative services fees 128 141 39 45 Total Operating Revenue $ 2,605 $ 2,694 $ 914 $ 857 The Company serves as investment adviser to USGIF and receives a fee based on a specified percentage of average assets under management. The advisory agreement for the equity funds within USGIF provides for a base advisory fee that is adjusted upwards or downwards by 0.25 percent when there is a performance difference of 5 percent or more between a fund’s performance and that of its designated benchmark index over the prior rolling 12 months. The Company has agreed to contractually limit the expenses of the Near-Term Tax Free Fund through April 2021. The Company has voluntarily waived or reduced its fees and/or agreed to pay expenses on the remaining USGIF funds. These caps will continue on a voluntary basis at the Company’s discretion. The aggregate fees waived and expenses borne by the Company for USGIF for the three and nine months ended March 31, 2020, were $141,000 and $407,000, respectively, compared with $164,000 and $541,000, respectively, for the corresponding period in the prior fiscal year. Management cannot predict the impact of future waivers due the number of variables and the range of potential outcomes. The Company receives administrative service fees from USGIF based on the average daily net assets at an annual rate 0.05 percent per investor class and 0.04 percent per institutional class of each fund. The institutional classes closed in June 2019. The Company also serves as investment advisor to two exchange-traded funds (ETFs): U.S. Global Jets ETF (ticker JETS) and U.S. Global GO GOLD and Precious Metal Miners ETF (ticker GOAU). The Company receives a unitary management fee of 0.60 percent of average net assets and has agreed to bear all expenses of the ETFs. As of March 31, 2020, the Company had $264,000 in receivables from fund clients, of which $167,000 was from USGIF and $97,000 from ETFs. As of June 30, 2019, the Company had $201,000 in receivables from fund clients, of which $159,000 was from USGIF and $42,000 from ETFs. |
RESTRICTED CASH
RESTRICTED CASH | 9 Months Ended |
Mar. 31, 2020 | |
Cash and Cash Equivalents [Abstract] | |
Cash and Cash Equivalents Disclosure [Text Block] | NOTE 5. RESTRICTED CASH Restricted cash represents cash invested in a money market account as collateral for credit facilities that is not available for general corporate use. A reconciliation of cash, cash equivalents, and restricted cash reported from the consolidated balance sheets to the statements of cash flows is shown below: (dollars in thousands) March 31, 2020 June 30, 2019 Cash and cash equivalents $ 2,086 $ 1,466 Restricted cash 1,025 1,025 Total cash, cash equivalents, and restricted cash $ 3,111 $ 2,491 |
NOTES RECEIVABLE
NOTES RECEIVABLE | 9 Months Ended |
Mar. 31, 2020 | |
Receivables [Abstract] | |
Financing Receivables [Text Block] | NOTE 6. NOTES RECEIVABLE Previously, the Company held a note receivable with an unrelated third party which had an annual interest rate of 15 percent and a stated maturity in November 2021. Interest was paid monthly. Quarterly principal repayments started in February 2019. The balance of this note was $199,000 at June 30, 2019, all of which was classified in current assets. The issuer elected an early redemption option and paid the note in full in July 2019. Proceeds were received for the principal and all accrued interest, and no gain or loss was realized. |
LEASES
LEASES | 9 Months Ended |
Mar. 31, 2020 | |
Disclosure Text Block Supplement [Abstract] | |
Commitments Disclosure [Text Block] | NOTE 7. LEASES The Company has lease agreements on a continuing operations basis for office equipment and real estate in Canada that expire between fiscal years 2020 and 2023. Lease expense included in continuing operations totaled $39,000 and $115,000 for the three and nine months ended March 31, 2020, and $36,000 and $132,000 for the three and nine months ended March 31, 2019, respectively. The Company’s former subsidiary Galileo, which is classified as discontinued operations as described in Note 2, had lease agreements for office equipment and for office facilities. Lease expense included in discontinued operations totaled $14,000 and $74,000 for the three and nine months ended March 31, 2020, and $27,000 and $81,000 for the three and nine months ended March 31, 2019, respectively. For continuing operations, the components of lease expense included in general and administrative expense on the Consolidated Statements of Operations and qualitative information concerning the Company’s operating leases were as follows: Nine Months Ended Three Months Ended March 31, March 31, (dollars in thousands) 2020 2020 Operating lease cost $ 39 $ 13 Short-term lease cost 76 26 Total lease cost $ 115 $ 39 Cash paid for amounts included in measurement of lease liabilities: Operating cash flows from operating leases $ 39 $ 13 Right-of-use assets obtained in exchanged for: Net operating lease liabilities $ 141 $ - Weighted-average remaining lease term (in years) 2.08 Weighted-average discount rate 4.11 % Maturities of lease liabilities from continuing operations as of March 31, 2020, are as follows: (dollars in thousands) Fiscal Year Operating Leases 2020 (excluding the nine months ended March 31, 2020) $ 13 2021 53 2022 44 Total lease payments 110 Less imputed interest (5 ) Total $ 105 The Company is the lessor of certain areas of its owned office building under operating leases expiring in various years through fiscal year 2023. At the commencement of an operation lease, no income is recognized; subsequently, lease payments received are recognized on a straight-line basis. Lease income included in other income on the Consolidated Statements of Operations for the three and nine months ending March 31, 2020, was $23,000 and $64,000, respectively. The cost of obtaining lessor contracts, which is included in other assets on the Consolidated Balance Sheets, was $8,000 and $0 at March 31, 2020, and June 30, 2019, respectively. A summary analysis of annual undiscounted cash flows to be received on leases as of March 31, 2020, is as follows: (dollars in thousands) Fiscal Year Operating Leases 2020 (excluding the nine months ended March 31, 2020) $ 24 2021 97 2022 81 2023 34 Total lease payments $ 236 The Company may terminate the building leases with one hundred eighty days written notice if it sells the property. If the Company terminates the lease, the Company will pay the tenant a termination fee of the lesser of six months of the base monthly rent or the base monthly rent times the number of months remaining in the initial term. |
BORROWINGS
BORROWINGS | 9 Months Ended |
Mar. 31, 2020 | |
Debt Disclosure [Abstract] | |
Debt Disclosure [Text Block] | NOTE 8. BORROWINGS The Company has access to a $1 million credit facility for working capital purposes. The credit agreement requires the Company to maintain certain covenants; the Company has been in compliance with these covenants during the current fiscal year. The credit agreement will expire on May 31, 2020, and the Company intends to renew annually. The credit facility is collateralized by $1 million at March 31, 2020, shown as restricted cash on the balance sheet, held in deposit in a money market account at the financial institution that provided the credit facility. As of March 31, 2020, the credit facility remains unutilized by the Company. See Note 15, Subsequent Events, for a borrowing that was entered into subsequent to March 31, 2020. |
STOCKHOLDERS' EQUITY
STOCKHOLDERS' EQUITY | 9 Months Ended |
Mar. 31, 2020 | |
Disclosure Text Block Supplement [Abstract] | |
Shareholders' Equity and Share-based Payments [Text Block] | NOTE 9. STOCKHOLDERS’ EQUITY Payment of cash dividends is within the discretion of the Company’s board of directors and is dependent on earnings, operations, capital requirements, general financial condition of the Company, and general business conditions. A monthly dividend of $0.0025 per share was paid during fiscal year 2019 and for July 2019 through March 2020 and is authorized through June 2020, at which time it will be considered for continuation. The Company has a share repurchase program, approved by the Board of Directors, authorizing the Company to annually purchase up to $2.75 million of its outstanding common shares, as market and business conditions warrant, on the open market in compliance with Rule 10b-18 of the Securities Exchange Act of 1934 through December 31, 2020. The repurchase program has been in place since December 2012, and the Board of Directors has annually renewed the repurchase program each calendar year. The acquired shares may be used for corporate purposes, including shares issued to employees in the Company’s stock-based compensation programs. For the three and nine months ended March 31, 2020, the Company repurchased 69,420 and 72,820 class A shares using cash of $68,000 and $74,000, respectively. For the three and six months ended March 31, 2019, the Company repurchased 8,075 and 20,075 class A shares using cash of $9,000 and $24,000, respectively. Stock compensation plans The Company’s stock option plans provide for the granting of class A shares as either incentive or nonqualified stock options to employees and non-employee directors. Options are subject to terms and conditions determined by the Compensation Committee of the Board of Directors. There were 2,000 options outstanding and exercisable at March 31, 2020, at a weighted average exercise price of $2.74. There were no options granted, forfeited, or exercised for the three months ended March 31, 2020. There were 2,000 options that were forfeited and no options granted or exercised during the nine months ended March 31, 2020. There were no options granted, exercised, or forfeited for the three or nine months ended March 31, 2019. Stock-based compensation expense is measured at the grant date based on the fair value of the award, and the cost is recognized as expense ratably over the award’s vesting period. There was no stock-based compensation expense for the three and nine months ended March 31, 2020, or the three months ended March 31, 2019. Stock-based compensation expense was $2,000 for the nine months ended March 31, 2019. As of March 31, 2020, and 2019, there was no unrecognized share-based compensation cost related to share-based awards granted under the plans. |
EARNINGS PER SHARE
EARNINGS PER SHARE | 9 Months Ended |
Mar. 31, 2020 | |
Earnings Per Share [Abstract] | |
Earnings Per Share [Text Block] | NOTE 10. EARNINGS PER SHARE The basic earnings per share (“EPS”) calculation excludes dilution and is computed by dividing net income by the weighted average number of common shares outstanding for the period. Diluted EPS reflects the potential dilution of EPS that could occur if options to issue common stock were exercised. The following table sets forth the computation for basic and diluted EPS: Nine Months Ended March 31, Three Months Ended March 31, (dollars in thousands, except per share data) 2020 2019 2020 2019 Income (Loss) from Continuing Operations $ (5,962 ) $ (3,678 ) $ (1,557 ) $ 892 Income (Loss) from Discontinued Operations (338 ) 149 (85 ) (174 ) Less: Net Income (Loss) Attributable to Non-Controlling Interest from Discontinued Operations (118 ) 52 (30 ) (61 ) Net Income (Loss) Attributable from Discontinued Operations to U.S. Global Investors, Inc. (220 ) 97 (55 ) (113 ) Net Income (Loss) Attributable to U.S. Global Investors, Inc. $ (6,182 ) $ (3,581 ) $ (1,612 ) $ 779 Weighted average number of outstanding shares Basic 15,127,118 15,141,061 15,121,950 15,132,408 Effect of dilutive securities Employee stock options - - - - Diluted 15,127,118 15,141,061 15,121,950 15,132,408 Earnings Per Share Attributable to U.S. Global Investors, Inc. Basic Net Income (Loss) per Share Income (loss) from continuing operations $ (0.40 ) $ (0.24 ) $ (0.11 ) $ 0.06 Income (loss) from discontinued operations $ (0.01 ) $ - $ - $ (0.01 ) Net income (loss) $ (0.41 ) $ (0.24 ) $ (0.11 ) $ 0.05 Diluted Net Income (Loss) per Share Income (loss) from continuing operations $ (0.40 ) $ (0.24 ) $ (0.11 ) $ 0.06 Income (loss) from discontinued operations $ (0.01 ) $ - $ - $ (0.01 ) Net income (loss) $ (0.41 ) $ (0.24 ) $ (0.11 ) $ 0.05 The diluted EPS calculation excludes the effect of stock options when their exercise prices exceed the average market price for the period. For the three and nine months ended March 31, 2020, employee stock options for 2,000 were excluded from diluted EPS. For the three and nine months ended March 31, 2019, employee stock options for 4,000 were excluded from diluted EPS. During the three and nine months ended March 31, 2020, and 2019, the Company repurchased class A shares on the open market. Upon repurchase, these shares are classified as treasury shares and are deducted from outstanding shares in the earnings per share calculation. |
INCOME TAXES
INCOME TAXES | 9 Months Ended |
Mar. 31, 2020 | |
Income Tax Disclosure [Abstract] | |
Income Tax Disclosure [Text Block] | NOTE 11. INCOME TAXES The Company and its non-Canadian subsidiaries file a consolidated U.S. federal income tax return. USCAN and Galileo file separate tax returns in Canada. See income tax information for Galileo in Note 2, Discontinued Operations. Provisions for income taxes include deferred taxes for temporary differences in the bases of assets and liabilities for financial and tax purposes resulting from the use of the liability method of accounting for income taxes. The Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”), was signed into law on March 27, 2020. While a number of the CARES Act’s provisions will be reflected in future accounting periods, certain income tax accounting measures are reflected in the period of enactment. The business tax provisions of the Act include temporary changes to income and non-income-based tax laws. Some of the key income tax provisions that may affect the Company include: ● Eliminating the 80% of taxable income limitations by allowing corporate entities to fully utilize net operating loss (NOL) carryforwards generated during the 2019 and 2020 fiscal years to offset taxable income in the 2019, 2020 or 2021 fiscal years and reinstating the limitation with the 2022 fiscal year; ● Allowing net operating losses generated in fiscal years 2019, 2020 or 2021 (tax years 2018, 2019 and 2020) to be carried back five years; ● Allowing entities to deduct more of their charitable cash contributions made during calendar year 2020 by increasing the taxable income limitation to 25% from 10%. ● Modification of the adjusted taxable income limitation from 30% to 50% for fiscal years 2020 and 2021 (tax years 2019 and 2020) for computing deductible interest. The Company has reviewed the key income tax provisions of the CARES Act and it appears that they will not materially impact the Company. For U.S. federal income tax purposes at March 31, 2020, the Company has U.S. federal net operating loss carryovers of $9.0 million with $2.0 million and $2.7 million expiring in fiscal years 2035 and 2036, respectively, and $4.3 million with no expiration. The carryover amount of $4.3 million, which was generated after fiscal year 2018, may be carried forward indefinitely with no limitation on usage prior to fiscal year 2022, but certain limitations apply to the utilization of net operating losses thereafter. The Company has capital loss carryovers of $1.1 million with $728,000 and $348,000 expiring in fiscal years 2022 and 2023, respectively. The Company has charitable contribution carryovers totaling approximately $55,000 with $19,000; $5,000; $10,000; $5,000 and $16,000 expiring in fiscal years 2020, 2021, 2023, 2024, and 2025, respectively. If certain changes in the Company's ownership should occur, there could be an annual limitation on the amount of net operating loss carryovers that could be utilized. For Canadian income tax purposes, USCAN has total net operating loss carryovers of $81,000 expiring in fiscal year 2040 and no capital loss carryovers. A valuation allowance is provided when it is more likely than not that some portion of the deferred tax amount will not be realized. At March 31, 2020, and June 30, 2019, a valuation allowance of $3.0 million and $1.9 million, respectively, was included to fully reserve for net operating loss carryovers, other carryovers and certain book/tax differences in the balance sheet. |
ACCUMULATED OTHER COMPREHENSIVE
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | 9 Months Ended |
Mar. 31, 2020 | |
Stockholders' Equity Note [Abstract] | |
Comprehensive Income (Loss) Note [Text Block] | NOTE 12. ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) The following tables present the change in accumulated other comprehensive income (loss) (“AOCI”) by component: Nine Months Ended March 31, Three Months Ended March 31, (dollars in thousands) 2020 2019 2020 2019 Beginning Balance $ (206 ) $ 1,858 $ (205 ) $ (258 ) Foreign currency translation adjustment, net of tax 1 197 1 196 28 Reclassification as a result of adoption of accounting guidance 2 - (2,089 ) - - Ending Balance $ (9 ) $ (230 ) $ (9 ) $ (230 ) 1. Amounts include no tax expense or benefit. 2. Effective July 1, 2018, upon the adoption of ASU 2016-01, the Company no longer has an available-for-sale category for equity securities for which changes in fair value are recognized in other comprehensive income (loss). |
FINANCIAL INFORMATION BY BUSINE
FINANCIAL INFORMATION BY BUSINESS SEGMENT | 9 Months Ended |
Mar. 31, 2020 | |
Segment Reporting [Abstract] | |
Segment Reporting Disclosure [Text Block] | NOTE 13. FINANCIAL INFORMATION BY BUSINESS SEGMENT The Company operates principally in two business segments on a continuing operations basis: providing investment management services to USGIF and ETF clients; and investing for its own account in an effort to add growth and value to its cash position. The former segment of investment management services in Canada is discussed in Note 2, Discontinued Operations. The following schedule details total revenues and income for continuing operations by business segment: (dollars in thousands) Investment Management Services Corporate Investments Consolidated Nine months ended March 31, 2020 Net operating revenues $ 2,605 $ - $ 2,605 Investment loss $ - $ (3,922 ) $ (3,922 ) Loss from equity method investments $ - $ (146 ) $ (146 ) Other income $ 90 $ - $ 90 Loss from continuing operations before income taxes $ (1,884 ) $ (4,252 ) $ (6,136 ) Depreciation and amortization $ 143 $ 9 $ 152 Gross identifiable assets at March 31, 2020 $ 5,240 $ 11,479 $ 16,719 Total assets held related to discontinued operations $ - Deferred tax asset $ - Consolidated total assets at March 31, 2020 $ 16,719 Nine months ended March 31, 2019 Net operating revenues $ 2,694 $ - $ 2,694 Investment loss $ - $ (2,231 ) $ (2,231 ) Loss from equity method investments $ - $ (52 ) $ (52 ) Other income $ 27 $ - $ 27 Loss from continuing operations before income taxes $ (1,837 ) $ (2,395 ) $ (4,232 ) Depreciation and amortization $ 164 $ - $ 164 Three months ended March 31, 2020 Net operating revenues $ 914 $ - $ 914 Investment loss $ - $ (441 ) $ (441 ) Loss from equity method investments $ - $ (91 ) $ (91 ) Other income $ 29 $ - $ 29 Loss from continuing operations before income taxes $ (883 ) $ (599 ) $ (1,482 ) Depreciation and amortization $ 47 $ 3 $ 50 Three months ended March 31, 2019 Net operating revenues $ 857 $ - $ 857 Investment income $ - $ 2,100 $ 2,100 Income from equity method investments $ - $ 3 $ 3 Other income $ 7 $ - $ 7 Income (loss) from continuing operations before income taxes $ (626 ) $ 2,064 $ 1,438 Depreciation and amortization $ 54 $ - $ 54 Net operating revenues from investment management services includes operating revenues from USGIF of $713,000 and $2.2 million, respectively, for the three and nine months ended March 31, 2020, and $720,000 and $2.2 million, respectively, for the three and nine months ended March 31, 2019. Net operating revenues from investment management services also include operating revenues from ETF clients of $201,000 and $455,000, respectively, for the three and nine months ended March 31, 2020, and $137,000 and $456,000, respectively, for the three and nine months ended March 31, 2019. |
CONTINGENCIES AND COMMITMENTS
CONTINGENCIES AND COMMITMENTS | 9 Months Ended |
Mar. 31, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies Disclosure [Text Block] | NOTE 14. CONTINGENCIES AND COMMITMENTS The Company continuously reviews all investor, employee and vendor complaints, and pending or threatened litigation. The likelihood that a loss contingency exists is evaluated through consultation with legal counsel, and a loss contingency is recorded if probable and reasonably estimable. During the normal course of business, the Company may be subject to claims, legal proceedings, and other contingencies. These matters are subject to various uncertainties, and it is possible that some of these matters may be resolved unfavorably. The Company establishes accruals for matters for which the outcome is probable and can be reasonably estimated. Management believes that any liability in excess of these accruals upon the ultimate resolution of these matters will not have a material adverse effect on the consolidated financial statements of the Company. The Board has authorized a monthly dividend of $0.0025 per share through June 2020, at which time it will be considered for continuation by the Board. Payment of cash dividends is within the discretion of the Company’s Board of Directors and is dependent on earnings, operations, capital requirements, general financial condition of the Company, and general business conditions. The total amount of cash dividends expected to be paid to class A and class C shareholders from April to June 2020 is approximately $113,000. See Note 15, Subsequent Events, for a borrowing that was entered into subsequent to March 31, 2020. During the quarter ended March 31, 2020, the outbreak of the COVID-19 pandemic and the resulting actions to control or slow the spread has had a significant detrimental effect on the global and domestic economies and financial markets. The Company continues to monitor the impact of COVID-19, but at the date of this report it is too early to determine the full impact this virus may have on the financial markets and economy. Should this emerging macro-economic risk continue for an extended period, there could be an adverse material financial impact to our business and investments, including a material reduction in our results of operations. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 9 Months Ended |
Mar. 31, 2020 | |
Subsequent Events [Abstract] | |
Subsequent Events [Text Block] | NOTE 15. SUBSEQUENT EVENTS Effective April 12, 2020, the Company was approved for a loan of approximately $442,000 under the Paycheck Protection Program (“PPP”) under the CARES Act. The application for this loan required the Company to, in good faith, certify that the current economic uncertainty made the loan request necessary to support the ongoing operations of the Company. This certification further requires the Company to take into account its current business activity and its ability to access other sources of liquidity sufficient to support ongoing operations in a manner that is not significantly detrimental to the business. The receipt of these funds, and the forgiveness of the loan attendant to these funds, is dependent on the Company having initially qualified for the loan and qualifying for the forgiveness of such loan based on future adherence to the forgiveness criteria as described below. The Company has under 25 employees and is considered a small business. The interest rate on the loan is one percent fixed, and the maturity date is April 12, 2022. Payment terms are to make seventeen consecutive monthly payments of principal and interest in an amount sufficient to fully amortize the loan over the remaining term, commencing six months after the effective date, and a final payment on the earliest of the acceleration of the promissory note; or the maturity date. A key feature of the PPP is that loan proceeds used by borrowers to pay certain expenses during a specified eight-week period (the covered period) are eligible to be forgiven. ● Forgiveness is available to the extent proceeds are used to pay payroll, rent or interest on mortgages, and utilities during the covered period. ● In addition, the CARES Act provides that any amounts forgiven pursuant to this rule are not taxable (i.e., no cancellation of debt income for the borrower). ● The amount of loan forgiveness available to the borrower is reduced if the borrower does not retain its employees or cuts their salaries by more than 25% (not including salaries of highly paid employees). ● A reduction in workforce is measured by comparing the average number of full-time employee equivalents (“FTEEs”) during the period following the loan to a prior equivalent period in either 2019 or early “pre-COVID 2019 period” in 2020. ● Loan forgiveness is reduced by the same percentage the FTEEs are found to have been reduced. A borrower that rehires employees or reverses salary reductions by June 30, 2020, can generally avoid having its loan forgiveness amount reduced. |
Accounting Policies, by Policy
Accounting Policies, by Policy (Policies) | 9 Months Ended |
Mar. 31, 2020 | |
Accounting Policies [Abstract] | |
Basis of Accounting, Policy [Policy Text Block] | U.S. Global Investors, Inc. (the “Company” or “U.S. Global”) has prepared the consolidated financial statements pursuant to accounting principles generally accepted in the United States of America (“U.S. GAAP”) and the rules and regulations of the United States Securities and Exchange Commission (“SEC”) that permit reduced disclosure for interim periods. The financial information included herein reflects all adjustments (consisting solely of normal recurring adjustments), which are, in management’s opinion, necessary for a fair presentation of results for the interim periods presented. The Company has consistently followed the accounting policies set forth in the notes to the consolidated financial statements in the Company’s Form 10-K for the fiscal year ended June 30, 2019, except for the adoption of new accounting pronouncements discussed below. The consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries, U.S. Global Investors (Bermuda) Limited, U.S. Global Investors (Canada) Limited (“USCAN”), and U.S. Global Indices, LLC, and its 65 percent interest in Galileo Global Equity Advisors Inc. (“Galileo”). Effective March 2, 2020, the Company sold its shares in Galileo back to Galileo. Through the date of sale, Galileo was consolidated with the operations of the Company. The non-controlling interest in this subsidiary was included in “Non-Controlling Interest in Subsidiary” in the equity section of the Consolidated Balance Sheets. Frank Holmes, CEO, and Lisa Callicotte, CFO, served as directors of Galileo through March 2, 2020. See Note 2 below for further information. Results of operations of Galileo through the date of sale are presented in the consolidated financial statements as discontinued operations. Operating results for the three and nine months ended March 31, 2020, are not necessarily indicative of the results the Company may expect for the fiscal year ending June 30, 2020 (“fiscal 2020”), particularly in light of the novel coronavirus 19 (“COVID-19”) and its effects on the U.S. and global economies. The COVID-19 pandemic presents ongoing significant economic and societal disruption and market volatility, which have known and yet to be seen impacts to the Company’s business and operating environment driven by significant volatility in the interest rate and financial markets. There are no reliable estimates of how long the pandemic will last, how many people are likely to be affected by it, or its impact on the overall economy. To limit the spread of COVID-19, governments have taken various actions including the issuance of stay-at-home orders and social distancing guidelines, causing some businesses to suspend operations, disrupting the global supply chain, and creating a reduction in demand for many products. This has negatively affected global financial markets and has caused significant financial market depreciation, thus reducing certain of the Company’s assets under management (“AUM”), the revenue related to those assets, and returns on corporate investments. The AUM are the primary source of the Company’s revenues. Revenues and net income are significantly affected by investment performance and the total value and composition of AUM. These factors, in turn, are largely determined by overall investment market performance and investor activity. Should the negative effect on global financial markets continue for an extended period, there could be an adverse material financial impact on the Company’s results of operations, cash flows and financial position resulting from reduced revenues earned on AUM and returns on corporate investments. At this time, the Company cannot reasonably estimate the future impact, given the uncertainty over the duration and severity of the economic crisis. There are two primary consolidation models in U.S. GAAP, the variable interest entity (“VIE”) and voting interest entity models. The Company’s evaluation for consolidation includes whether entities in which it has an interest or from which it receives fees are VIEs and whether the Company is the primary beneficiary of any VIEs identified in its analysis. A VIE is an entity in which either (a) the equity investment at risk is not sufficient to permit the entity to finance its own activities without additional financial support or (b) the group of holders of the equity investment at risk lack certain characteristics of a controlling financial interest. The primary beneficiary is the entity that has the obligation to absorb a majority of the expected losses or the right to receive the majority of the residual returns and consolidates the VIE on the basis of having a controlling financial interest. The Company holds variable interests in, but is not deemed to be the primary beneficiary of, certain funds it advises, specifically, certain funds in U.S. Global Investors Funds (“USGIF” or the “Funds”). The Company’s interests in these VIEs consist of the Company’s direct ownership therein and any fees earned but uncollected. See further information about these funds in Notes 3 and 4. In the ordinary course of business, the Company may choose to waive certain fees or assume operating expenses of the funds it advises for competitive, regulatory or contractual reasons (see Note 4 for information regarding fee waivers). The Company has not provided financial support to any of these entities outside the ordinary course of business. The Company’s risk of loss with respect to these VIEs is limited to the carrying value of its investments in, and fees receivable from, the entities. The Company does not consolidate these VIEs because it is not the primary beneficiary. The Company’s total exposure to unconsolidated VIEs, consisting of the carrying value of investment securities and receivables for fees, was $6.9 million at March 31, 2020, and $8.8 million at June 30, 2019. Since the Company is not the primary beneficiary of the above funds it advises, the Company evaluated if it should consolidate under the voting interest entity model. Under the voting interest model, for legal entities other than partnerships, the usual condition for control is ownership, directly or indirectly, of more than 50 percent of the outstanding voting shares over an entity. The Company does not have control of any of the above funds it advises; therefore, the Company does not consolidate any of these funds. The Company currently holds a variable interest in a fund organized as a limited partnership advised by Galileo, and during fiscal years 2019 held a variable interest in another fund advised by Galileo, but these entities do not qualify as VIEs. Since they are not VIEs, the Company evaluated if it should consolidate them under the voting interest entity model. Under the voting interest model, for legal entities other than partnerships, the usual condition for control is ownership, directly or indirectly, of more than 50 percent of the outstanding voting shares over an entity. The Company does not have control of the entities and, therefore, does not consolidate them. However, the Company was considered to have the ability to exercise significant influence. Thus, the investments have been accounted for under the equity method of accounting. See further information about these investments in Note 3. All significant intercompany balances and transactions have been eliminated in consolidation. Certain amounts have been reclassified for comparative purposes. Certain quarterly amounts may not add to the year-to-date amount due to rounding. The results of operations for the nine months ended March 31, 2020, are not necessarily indicative of the results to be expected for the entire year. The unaudited interim financial information in these condensed financial statements should be read in conjunction with the consolidated financial statements contained in the Company’s annual report. |
Recent Accounting Pronouncements | Accounting Pronouncements Adopted During the Period In February 2016, the FASB issued ASU 2016-02, Leases In February 2018, the FASB issued ASU 2018-02, Income Statement - Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income Accounting Pronouncements Not Yet Adopted In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments, In April 2019, the FASB issued ASU 2019-04, Codification Improvements to Topic 326, Financial Instruments – Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments In December 2019, the FASB issued ASU 2019-12, Simplifying the Accounting for Income Taxes |
Lessee, Leases [Policy Text Block] | Leases. Fixed lease payments are included in right of use (“ROU”) assets and lease liabilities within other assets and liabilities, respectively, on the Consolidated Balance Sheets. ROU assets and lease liabilities are recognized based on the present value of the future lease payments over the lease term at the commencement date using the Company’s incremental borrowing rate as the discount rate. Fixed lease payments made over the lease term are recorded as lease expense on a straight-line basis. Variable lease payments based on usage, changes in an index or market rate are expensed as incurred. Upon adoption of ASU 2016-02, for existing leases, the Company elected to determine the discount rate based on the remaining lease term as of July 1, 2019. For new leases, the discount rates are based on the entire noncancelable lease term. The Company is the lessor of certain areas of its owned office building under operating leases. The Company determines if a contract is a lease or contains a lease at inception. The Company elected not to separate lease and related non-lease components and account for the combined component as an operating lease. |
Lessor, Leases [Policy Text Block] | The Company is the lessor of certain areas of its owned office building under operating leases. The Company determines if a contract is a lease or contains a lease at inception. The Company elected not to separate lease and related non-lease components and account for the combined component as an operating lease. |
DISCONTINUED OPERATIONS (Tables
DISCONTINUED OPERATIONS (Tables) | 9 Months Ended |
Mar. 31, 2020 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Disposal Groups, Including Discontinued Operations [Table Text Block] | (dollars in thousands) March 31, 2020 June 30, 2019 Assets Cash and cash equivalents $ - $ 1,482 Accounts and other receivables - 200 Prepaid expenses - 52 Net Property and Equipment - 38 Other assets, non-current - 8 Total assets held related to discontinued operations $ - $ 1,780 Liabilities Accounts payable $ - $ 135 Accrued compensation and related costs - 84 Other accrued expenses - 262 Total liabilities held related to discontinued operations $ - $ 481 Nine Months Ended March 31, Three Months Ended March 31, (dollars in thousands) 2020 2019 2020 2019 Revenues Advisory fees $ 235 $ 1,299 $ 50 $ 114 235 1,299 50 114 Expenses Employee compensation and benefits 77 395 23 94 General and administrative 508 810 125 229 Depreciation and amortization 6 7 1 2 591 1,212 149 325 Other Income (Loss) Investment income (loss) 24 23 21 (7 ) Other income (loss) (6 ) 39 (7 ) 33 18 62 14 26 Income (loss) from discontinued operations of investment management services in Canada before income taxes (338 ) 149 (85 ) (185 ) Tax benefit - - - (11 ) Income (loss) from discontinued operations of investment management services in Canada (338 ) 149 (85 ) (174 ) Less: net income (loss) attributable to non-controlling interest from discontinued operations (118 ) 52 (30 ) (61 ) Net income (loss) attributable to U.S. Global Investors, Inc. from discontinued operations of investment management services in Canada $ (220 ) $ 97 $ (55 ) $ (113 ) |
INVESTMENTS (Tables)
INVESTMENTS (Tables) | 9 Months Ended |
Mar. 31, 2020 | |
Disclosure Text Block Supplement [Abstract] | |
Unrealized Gain (Loss) on Investments [Table Text Block] | The following details the components of the Company’s investments recorded at fair value as of March 31, 2020, and June 30, 2019. March 31, 2020 (dollars in thousands) Cost Unrealized Gains (Losses) Fair Value Securities at fair value Common stock - International $ 5,641 $ (3,034 ) $ 2,607 Common stock - Domestic 45 (45 ) - Mutual funds - Fixed income 6,313 - 6,313 Mutual funds - Domestic equity 929 (369 ) 560 Total securities at fair value $ 12,928 $ (3,448 ) $ 9,480 June 30, 2019 (dollars in thousands) Cost Unrealized Gains (Losses) Fair Value Securities at fair value Common stock - International $ 5,641 $ 790 $ 6,431 Common stock - Domestic 45 (45 ) - Mutual funds - Fixed income 8,025 (4 ) 8,021 Mutual funds - Domestic equity 929 (194 ) 735 Total securities at fair value $ 14,640 $ 547 $ 15,187 |
Gain (Loss) on Securities [Table Text Block] | The following summarizes investment income (loss) reflected in earnings from continuing operations: Nine Months Ended Three Months Ended (dollars in thousands) March 31, March 31, Investment Income (Loss) 2020 2019 2020 2019 Unrealized gains (losses) on fair valued securities $ (3,995 ) $ (2,387 ) $ (342 ) $ 1,987 Unrealized losses on equity securities without readily determinable fair values - - (100 ) - Realized gains on sales of fair valued securities - 16 - 16 Realized gain on sale of subsidiary 151 - 151 - Realized foreign currency gains (losses) (234 ) (28 ) (234 ) 16 Impairments in equity securities without readily determinable fair values - (114 ) - (28 ) Dividend and interest income 156 282 84 109 Total Investment Income (Loss) $ (3,922 ) $ (2,231 ) $ (441 ) $ 2,100 |
Fair Value, Assets Measured on Recurring Basis [Table Text Block] | The following presents fair value measurements, as of March 31, 2020, and June 30, 2019, for the major categories of U.S. Global’s investments measured at fair value on a recurring basis: March 31, 2020 Quoted Prices Significant Other Inputs Significant Unobservable Inputs (dollars in thousands) (Level 1) (Level 2) (Level 3) Total Securities at fair value Common stock - International $ 2,386 $ 221 $ - $ 2,607 Common stock - Domestic - - - - Mutual funds - Fixed income 6,313 - - 6,313 Mutual funds - Domestic equity 560 - - 560 Total securities at fair value $ 9,259 $ 221 $ - $ 9,480 June 30, 2019 Quoted Prices Significant Other Inputs Significant Unobservable Inputs (dollars in thousands) (Level 1) (Level 2) (Level 3) Total Securities at fair value Common stock - International $ 5,599 $ 832 $ - $ 6,431 Common stock - Domestic - - - - Mutual funds - Fixed income 8,021 - - 8,021 Mutual funds - Domestic equity 735 - - 735 Total securities at fair value $ 14,355 $ 832 $ - $ 15,187 |
Equity Securities without Readily Determinable Fair Value [Table Text Block] | The carrying value of equity securities without readily determinable fair values has been adjusted as follows: Nine Months Ended Three Months Ended March 31, March 31, (dollars in thousands) 2020 2019 2020 2019 Carrying amount, beginning of period $ 1,404 $ 2,207 $ 1,488 $ 602 Adjustments: Purchases 75 100 75 100 Reclassification to securities at fair value - (1,499 ) - - Impairments - (114 ) - (28 ) Other downward adjustments (124 ) (49 ) (108 ) (29 ) Upward adjustments 163 - 63 - Carrying amount, end of period $ 1,518 $ 645 $ 1,518 $ 645 |
INVESTMENT MANAGEMENT AND OTH_2
INVESTMENT MANAGEMENT AND OTHER FEES (Tables) | 9 Months Ended |
Mar. 31, 2020 | |
Investment Management and Other Fees [Abstract] | |
Disaggregation of Revenue [Table Text Block] | The following table presents operating revenues disaggregated by performance obligation: Nine Months Ended March 31, Three Months Ended March 31, (dollars in thousands) 2020 2019 2020 2019 USGIF advisory fees $ 2,413 $ 2,469 $ 753 $ 785 USGIF performance fees paid (391 ) (372 ) (79 ) (110 ) ETF advisory fees 455 456 201 137 Total Advisory Fees 2,477 2,553 875 812 USGIF administrative services fees 128 141 39 45 Total Operating Revenue $ 2,605 $ 2,694 $ 914 $ 857 |
RESTRICTED CASH (Tables)
RESTRICTED CASH (Tables) | 9 Months Ended |
Mar. 31, 2020 | |
Cash and Cash Equivalents [Abstract] | |
Restrictions on Cash and Cash Equivalents [Table Text Block] | Restricted cash represents cash invested in a money market account as collateral for credit facilities that is not available for general corporate use. A reconciliation of cash, cash equivalents, and restricted cash reported from the consolidated balance sheets to the statements of cash flows is shown below: (dollars in thousands) March 31, 2020 June 30, 2019 Cash and cash equivalents $ 2,086 $ 1,466 Restricted cash 1,025 1,025 Total cash, cash equivalents, and restricted cash $ 3,111 $ 2,491 |
LEASES (Tables)
LEASES (Tables) | 9 Months Ended |
Mar. 31, 2020 | |
Disclosure Text Block Supplement [Abstract] | |
Lease, Cost [Table Text Block] | The components of lease expense included in general and administrative expense on the Consolidated Statements of Operations and qualitative information concerning the company’s operating leases were as follows: Nine Months Ended Three Months Ended March 31, March 31, (dollars in thousands) 2020 2020 Operating lease cost $ 39 $ 13 Short-term lease cost 76 26 Total lease cost $ 115 $ 39 Cash paid for amounts included in measurement of lease liabilities: Operating cash flows from operating leases $ 39 $ 13 Right-of-use assets obtained in exchanged for: Net operating lease liabilities $ 141 $ - Weighted-average remaining lease term (in years) 2.08 Weighted-average discount rate 4.11 % |
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block] | Maturities of lease liabilities from continuing operations as of March 31, 2020, are as follows: (dollars in thousands) Fiscal Year Operating Leases 2020 (excluding the nine months ended March 31, 2020) $ 13 2021 53 2022 44 Total lease payments 110 Less imputed interest (5 ) Total $ 105 |
Lessor, Operating Lease, Payments to be Received, Maturity [Table Text Block] | A summary analysis of annual undiscounted cash flows to be received on leases as of March 31, 2020, is as follows: (dollars in thousands) Fiscal Year Operating Leases 2020 (excluding the nine months ended March 31, 2020) $ 24 2021 97 2022 81 2023 34 Total lease payments $ 236 |
EARNINGS PER SHARE (Tables)
EARNINGS PER SHARE (Tables) | 9 Months Ended |
Mar. 31, 2020 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | The following table sets forth the computation for basic and diluted EPS: Nine Months Ended March 31, Three Months Ended March 31, (dollars in thousands, except per share data) 2020 2019 2020 2019 Income (Loss) from Continuing Operations $ (5,962 ) $ (3,678 ) $ (1,557 ) $ 892 Income (Loss) from Discontinued Operations (338 ) 149 (85 ) (174 ) Less: Net Income (Loss) Attributable to Non-Controlling Interest from Discontinued Operations (118 ) 52 (30 ) (61 ) Net Income (Loss) Attributable from Discontinued Operations to U.S. Global Investors, Inc. (220 ) 97 (55 ) (113 ) Net Income (Loss) Attributable to U.S. Global Investors, Inc. $ (6,182 ) $ (3,581 ) $ (1,612 ) $ 779 Weighted average number of outstanding shares Basic 15,127,118 15,141,061 15,121,950 15,132,408 Effect of dilutive securities Employee stock options - - - - Diluted 15,127,118 15,141,061 15,121,950 15,132,408 Earnings Per Share Attributable to U.S. Global Investors, Inc. Basic Net Income (Loss) per Share Income (loss) from continuing operations $ (0.40 ) $ (0.24 ) $ (0.11 ) $ 0.06 Income (loss) from discontinued operations $ (0.01 ) $ - $ - $ (0.01 ) Net income (loss) $ (0.41 ) $ (0.24 ) $ (0.11 ) $ 0.05 Diluted Net Income (Loss) per Share Income (loss) from continuing operations $ (0.40 ) $ (0.24 ) $ (0.11 ) $ 0.06 Income (loss) from discontinued operations $ (0.01 ) $ - $ - $ (0.01 ) Net income (loss) $ (0.41 ) $ (0.24 ) $ (0.11 ) $ 0.05 |
ACCUMULATED OTHER COMPREHENSI_2
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Tables) | 9 Months Ended |
Mar. 31, 2020 | |
Stockholders' Equity Note [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | The following tables present the change in accumulated other comprehensive income (loss) (“AOCI”) by component: Nine Months Ended March 31, Three Months Ended March 31, (dollars in thousands) 2020 2019 2020 2019 Beginning Balance $ (206 ) $ 1,858 $ (205 ) $ (258 ) Foreign currency translation adjustment, net of tax 1 197 1 196 28 Reclassification as a result of adoption of accounting guidance 2 - (2,089 ) - - Ending Balance $ (9 ) $ (230 ) $ (9 ) $ (230 ) 1. Amounts include no tax expense or benefit. 2. Effective July 1, 2018, upon the adoption of ASU 2016-01, the Company no longer has an available-for-sale category for equity securities for which changes in fair value are recognized in other comprehensive income (loss). |
FINANCIAL INFORMATION BY BUSI_2
FINANCIAL INFORMATION BY BUSINESS SEGMENT (Tables) | 9 Months Ended |
Mar. 31, 2020 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | The following schedule details total revenues and income for continuing operations by business segment: (dollars in thousands) Investment Management Services Corporate Investments Consolidated Nine months ended March 31, 2020 Net operating revenues $ 2,605 $ - $ 2,605 Investment loss $ - $ (3,922 ) $ (3,922 ) Loss from equity method investments $ - $ (146 ) $ (146 ) Other income $ 90 $ - $ 90 Loss from continuing operations before income taxes $ (1,884 ) $ (4,252 ) $ (6,136 ) Depreciation and amortization $ 143 $ 9 $ 152 Gross identifiable assets at March 31, 2020 $ 5,240 $ 11,479 $ 16,719 Total assets held related to discontinued operations $ - Deferred tax asset $ - Consolidated total assets at March 31, 2020 $ 16,719 Nine months ended March 31, 2019 Net operating revenues $ 2,694 $ - $ 2,694 Investment loss $ - $ (2,231 ) $ (2,231 ) Loss from equity method investments $ - $ (52 ) $ (52 ) Other income $ 27 $ - $ 27 Loss from continuing operations before income taxes $ (1,837 ) $ (2,395 ) $ (4,232 ) Depreciation and amortization $ 164 $ - $ 164 Three months ended March 31, 2020 Net operating revenues $ 914 $ - $ 914 Investment loss $ - $ (441 ) $ (441 ) Loss from equity method investments $ - $ (91 ) $ (91 ) Other income $ 29 $ - $ 29 Loss from continuing operations before income taxes $ (883 ) $ (599 ) $ (1,482 ) Depreciation and amortization $ 47 $ 3 $ 50 Three months ended March 31, 2019 Net operating revenues $ 857 $ - $ 857 Investment income $ - $ 2,100 $ 2,100 Income from equity method investments $ - $ 3 $ 3 Other income $ 7 $ - $ 7 Income (loss) from continuing operations before income taxes $ (626 ) $ 2,064 $ 1,438 Depreciation and amortization $ 54 $ - $ 54 |
BASIS OF PRESENTATION (Details)
BASIS OF PRESENTATION (Details) - USD ($) $ in Millions | Jul. 01, 2019 | Mar. 02, 2020 | Mar. 31, 2020 | Jun. 30, 2019 |
Galileo [Member] | ||||
BASIS OF PRESENTATION (Details) [Line Items] | ||||
Percentage of shares owned by parent | 65.00% | |||
Variable Interest Entity, Not Primary Beneficiary [Member] | ||||
BASIS OF PRESENTATION (Details) [Line Items] | ||||
Net Assets | $ 6.9 | $ 8.8 | ||
Accounting Standards Update 2016-02 [Member] | ||||
BASIS OF PRESENTATION (Details) [Line Items] | ||||
New Accounting Pronouncement or Change in Accounting Principle, Description | the Company's total assets and total liabilities increased by less than $400,000 |
DISCONTINUED OPERATIONS (Detail
DISCONTINUED OPERATIONS (Details) - Galileo [Member] $ in Thousands, $ in Millions | Mar. 02, 2020USD ($) | Mar. 02, 2020CAD ($) | Dec. 30, 2019CAD ($) | Mar. 31, 2020USD ($) | Mar. 31, 2019USD ($) | Mar. 31, 2020USD ($) | Mar. 31, 2019USD ($) | Jun. 30, 2019USD ($) |
DISCONTINUED OPERATIONS (Details) [Line Items] | ||||||||
Disposal Group, Including Discontinued Operation, Description and Timing of Disposal | USCAN entered into a binding letter of intent dated December 30, 2019, with Galileo whereby Galileo, pursuant to a capital restructuring, agreed to repurchase all of its common shares owned by USCAN for $1.0 million (Canadian). The transaction was subject to the approval of Canadian securities regulatory authorities and to the satisfaction of other closing conditions. The transaction closed effective March 2, 2020. Proceeds of approximately $746,000 were received (the equivalent of $1.0 million Canadian on the closing date of sale), and a realized gain of approximately $151,000 was recorded. In addition, approximately $228,000 in foreign currency loss was released from accumulated other comprehensive income (loss) into current year loss upon closing the sale. After the transaction, the Company has not and will not have continuing involvement with the operations of Galileo, except for an equity method investment in a fund managed by Galileo. | |||||||
Disposal Group, Including Discontinued Operation, Consideration (in Dollars) | $ 1 | |||||||
Proceeds from Sales of Business, Affiliate and Productive Assets | $ 746 | $ 1 | ||||||
Gain (Loss) on Disposition of Business | 151 | |||||||
Foreign Currency Transaction Gain (Loss), before Tax | $ (228) | |||||||
Revenue from Contract with Customer, Including Assessed Tax | $ 50 | $ 114 | $ 235 | $ 1,299 | ||||
Galileo [Member] | ||||||||
DISCONTINUED OPERATIONS (Details) [Line Items] | ||||||||
Aggregate Fees Waived and Expenses Borne | 19 | 66 | 39 | 227 | ||||
Galileo [Member] | CANADA | Foreign Tax Authority [Member] | ||||||||
DISCONTINUED OPERATIONS (Details) [Line Items] | ||||||||
Deferred Tax Assets, Valuation Allowance | $ 183 | |||||||
Investment Performance [Member] | Investment Management Services - Canada [Member] | Investment and Advisory Services [Member] | ||||||||
DISCONTINUED OPERATIONS (Details) [Line Items] | ||||||||
Revenue from Contract with Customer, Including Assessed Tax | $ 0 | $ 0 | $ 0 | $ 870 |
DISCONTINUED OPERATIONS (Deta_2
DISCONTINUED OPERATIONS (Details) - Disposal Groups, Including Discontinued Operations - Galileo [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | Jun. 30, 2019 | |
Assets | |||||
Cash and cash equivalents | $ 0 | $ 0 | $ 1,482 | ||
Accounts and other receivables | 0 | 0 | 200 | ||
Prepaid expenses | 0 | 0 | 52 | ||
Net Property and Equipment | 0 | 0 | 38 | ||
Other assets, non-current | 0 | 0 | 8 | ||
Total assets held related to discontinued operations | 0 | 0 | 1,780 | ||
Liabilities | |||||
Accounts payable | 0 | 0 | 135 | ||
Accrued compensation and related costs | 0 | 0 | 84 | ||
Other accrued expenses | 0 | 0 | 262 | ||
Total liabilities held related to discontinued operations | 0 | 0 | $ 481 | ||
Revenues | |||||
Revenues | 50 | $ 114 | 235 | $ 1,299 | |
Expenses | |||||
Employee compensation and benefits | 23 | 94 | 77 | 395 | |
General and administrative | 125 | 229 | 508 | 810 | |
Depreciation and amortization | 1 | 2 | 6 | 7 | |
149 | 325 | 591 | 1,212 | ||
Other Income (Loss) | |||||
Investment income (loss) | 21 | (7) | 24 | 23 | |
Other income (loss) | (7) | 33 | (6) | 39 | |
14 | 26 | 18 | 62 | ||
Income (loss) from discontinued operations of investment management services in Canada before income taxes | (85) | (185) | (338) | 149 | |
Tax benefit | 0 | (11) | 0 | 0 | |
Income (loss) from discontinued operations of investment management services in Canada | (85) | (174) | (338) | 149 | |
Less: net income (loss) attributable to non-controlling interest from discontinued operations | (30) | (61) | (118) | 52 | |
Net income (loss) attributable to U.S. Global Investors, Inc. from discontinued operations of investment management services in Canada | (55) | (113) | (220) | 97 | |
Investment Advisory Services [Member] | |||||
Revenues | |||||
Revenues | $ 50 | $ 114 | $ 235 | $ 1,299 |
INVESTMENTS (Details)
INVESTMENTS (Details) - USD ($) $ in Thousands, shares in Millions | 3 Months Ended | 9 Months Ended | |||||||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2019 | Jun. 30, 2019 | Dec. 31, 2018 | Nov. 30, 2018 | Jun. 30, 2018 | |
INVESTMENTS (Details) [Line Items] | |||||||||
Equity Securities, FV-NI | $ 9,480 | $ 9,480 | $ 15,187 | ||||||
Equity Securities, FV-NI, Cost | $ 12,928 | $ 12,928 | 14,640 | ||||||
Market value of investments to Company's total assets | 56.70% | 56.70% | |||||||
Other investments | $ 1,518 | $ 1,518 | 1,404 | ||||||
Equity Method Investments | 150 | 150 | 309 | ||||||
Foreign Currency Transaction Gain (Loss), before Tax | (228) | (228) | $ (22) | ||||||
Equity Securities without Readily Determinable Fair Value, Amount | 1,518 | $ 645 | 1,518 | 645 | $ 1,488 | 1,404 | $ 602 | $ 2,207 | |
Equity Securities without Readily Determinable Fair Value, Impairment Loss, Cumulative Amount | 251 | 251 | |||||||
Equity Securities without Readily Determinable Fair Value, Downward Price Adjustment, Cumulative Amount | 777 | 777 | |||||||
Equity Securities without Readily Determinable Fair Value, Downward Price Adjustment, Annual Amount | 108 | 29 | 124 | 49 | |||||
Equity Securities without Readily Determinable Fair Value, Upward Price Adjustment, Cumulative Amount | 781 | 781 | |||||||
Equity Securities without Readily Determinable Fair Value, Upward Price Adjustment, Annual Amount | 63 | 0 | 163 | 0 | |||||
Income (Loss) from Equity Method Investments | (91) | 3 | (146) | (52) | |||||
Fair Value, Inputs, Level 1 [Member] | |||||||||
INVESTMENTS (Details) [Line Items] | |||||||||
Equity Securities, FV-NI | $ 9,259 | $ 9,259 | $ 14,355 | ||||||
Percentage of Financial Assets Derived From Level 1 Inputs Measured at Fair Value | 98.00% | 98.00% | 95.00% | ||||||
Fair Value, Inputs, Level 2 [Member] | |||||||||
INVESTMENTS (Details) [Line Items] | |||||||||
Equity Securities, FV-NI | $ 221 | $ 221 | $ 832 | ||||||
Percentage of Financial Assets Derived From Level 2 Inputs Measured at Fair Value | 2.00% | 2.00% | 5.00% | ||||||
Galileo Technology and Blockchain Fund LP [Member] | |||||||||
INVESTMENTS (Details) [Line Items] | |||||||||
Equity Method Investments | $ 150 | $ 150 | |||||||
Equity Method Investment, Aggregate Cost | $ 230 | ||||||||
Equity Method Investment, Ownership Percentage | 22.00% | 22.00% | |||||||
Income (Loss) from Equity Method Investments | $ (91) | $ 3 | $ (146) | (2) | |||||
U.S. Global Investors Funds [Member] | |||||||||
INVESTMENTS (Details) [Line Items] | |||||||||
Equity Securities, FV-NI | 6,900 | 6,900 | $ 8,800 | ||||||
Equity Securities [Member] | |||||||||
INVESTMENTS (Details) [Line Items] | |||||||||
Debt and Equity Securities, Unrealized Gain (Loss) | (442) | (4,000) | |||||||
HIVE Blockchain Technologies Ltd. ("HIVE") [Member] | |||||||||
INVESTMENTS (Details) [Line Items] | |||||||||
Equity Securities, FV-NI | $ 1,300 | $ 1,300 | $ 3,600 | ||||||
Investment Owned, Balance, Shares (in Shares) | 10 | 10 | 10 | ||||||
Investment Owned, at Cost | $ 2,400 | $ 2,400 | |||||||
Investment Owned, Direct Percentage | 3.10% | 3.10% | |||||||
Galileo Technology and Blockchain Fund [Member] | |||||||||
INVESTMENTS (Details) [Line Items] | |||||||||
Equity Method Investment, Aggregate Cost | $ 401 | ||||||||
Income (Loss) from Equity Method Investments | $ (50) | ||||||||
Galileo Technology and Blockchain Fund [Member] | Minimum [Member] | |||||||||
INVESTMENTS (Details) [Line Items] | |||||||||
Equity Method Investment, Ownership Percentage | 20.00% | ||||||||
Galileo Technology and Blockchain Fund [Member] | Maximum [Member] | |||||||||
INVESTMENTS (Details) [Line Items] | |||||||||
Equity Method Investment, Ownership Percentage | 25.00% | ||||||||
Thunderbird Entertainment Group [Member] | Equity Securities [Member] | |||||||||
INVESTMENTS (Details) [Line Items] | |||||||||
Equity Securities, FV-NI | $ 562 | $ 562 | $ 1,100 | ||||||
Investment Owned, Direct Percentage | 2.50% | 2.50% | |||||||
Thunderbird Entertainment Group [Member] | Equity Securities [Member] | Fair Value, Inputs, Level 1 [Member] | |||||||||
INVESTMENTS (Details) [Line Items] | |||||||||
Equity Securities, FV-NI | $ 361 | $ 361 | 377 | ||||||
Thunderbird Entertainment Group [Member] | Equity Securities [Member] | Fair Value, Inputs, Level 2 [Member] | |||||||||
INVESTMENTS (Details) [Line Items] | |||||||||
Equity Securities, FV-NI | 201 | 201 | 675 | ||||||
GoldSpot Discoveries, Inc. [Member] | Equity Securities [Member] | |||||||||
INVESTMENTS (Details) [Line Items] | |||||||||
Equity Securities, FV-NI | $ 695 | $ 695 | 1,700 | ||||||
Investment Owned, Direct Percentage | 7.50% | 7.50% | |||||||
GoldSpot Discoveries, Inc. [Member] | Equity Securities [Member] | Fair Value, Inputs, Level 1 [Member] | |||||||||
INVESTMENTS (Details) [Line Items] | |||||||||
Equity Securities, FV-NI | $ 675 | $ 675 | 1,600 | ||||||
GoldSpot Discoveries, Inc. [Member] | Equity Securities [Member] | Fair Value, Inputs, Level 2 [Member] | |||||||||
INVESTMENTS (Details) [Line Items] | |||||||||
Equity Securities, FV-NI | $ 20 | $ 20 | $ 157 |
INVESTMENTS (Details) - Compone
INVESTMENTS (Details) - Components of Company's Equity Securities Measured at Fair Value - USD ($) $ in Thousands | Mar. 31, 2020 | Jun. 30, 2019 |
Securities at fair value | ||
Securities, Cost | $ 12,928 | $ 14,640 |
Securities, Unrealized Gains (Losses) | (3,448) | 547 |
Securities, Fair Value | 9,480 | 15,187 |
Common Stock - International [Member] | ||
Securities at fair value | ||
Securities, Cost | 5,641 | 5,641 |
Securities, Unrealized Gains (Losses) | (3,034) | 790 |
Securities, Fair Value | 2,607 | 6,431 |
Common Stock - Domestic [Member] | ||
Securities at fair value | ||
Securities, Cost | 45 | 45 |
Securities, Unrealized Gains (Losses) | (45) | (45) |
Securities, Fair Value | 0 | 0 |
Fixed Income Securities [Member] | ||
Securities at fair value | ||
Securities, Cost | 6,313 | 8,025 |
Securities, Unrealized Gains (Losses) | 0 | (4) |
Securities, Fair Value | 6,313 | 8,021 |
Mutual Funds, Domestic Equity [Member] | ||
Securities at fair value | ||
Securities, Cost | 929 | 929 |
Securities, Unrealized Gains (Losses) | (369) | (194) |
Securities, Fair Value | $ 560 | $ 735 |
INVESTMENTS (Details) - Investm
INVESTMENTS (Details) - Investment Income (Loss) Reflected in Earnings - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Investments Debt And Equity Securities Abstract | ||||
Unrealized gains (losses) on fair valued securities | $ (342) | $ 1,987 | $ (3,995) | $ (2,387) |
Unrealized losses on equity securities without readily determinable fair values | (100) | 0 | 0 | 0 |
Realized gains on sales of fair valued securities | 0 | 16 | 0 | 16 |
Realized gain on sale of subsidiary | 151 | 0 | 151 | 0 |
Realized foreign currency gains (losses) | (234) | 16 | (234) | (28) |
Impairments in equity securities without readily determinable fair values | 0 | (28) | 0 | (114) |
Dividend and interest income | 84 | 109 | 156 | 282 |
Total Investment Income (Loss) | $ (441) | $ 2,100 | $ (3,922) | $ (2,231) |
INVESTMENTS (Details) - Fair Va
INVESTMENTS (Details) - Fair Value, Assets Measured on Recurring Basis - USD ($) $ in Thousands | Mar. 31, 2020 | Jun. 30, 2019 |
INVESTMENTS (Details) - Fair Value, Assets Measured on Recurring Basis [Line Items] | ||
Total securities at fair value | $ 9,480 | $ 15,187 |
Fair Value, Inputs, Level 1 [Member] | ||
INVESTMENTS (Details) - Fair Value, Assets Measured on Recurring Basis [Line Items] | ||
Total securities at fair value | 9,259 | 14,355 |
Fair Value, Inputs, Level 2 [Member] | ||
INVESTMENTS (Details) - Fair Value, Assets Measured on Recurring Basis [Line Items] | ||
Total securities at fair value | 221 | 832 |
Fair Value, Inputs, Level 3 [Member] | ||
INVESTMENTS (Details) - Fair Value, Assets Measured on Recurring Basis [Line Items] | ||
Total securities at fair value | 0 | 0 |
Common Stock - International [Member] | ||
INVESTMENTS (Details) - Fair Value, Assets Measured on Recurring Basis [Line Items] | ||
Total securities at fair value | 2,607 | 6,431 |
Common Stock - International [Member] | Fair Value, Inputs, Level 1 [Member] | ||
INVESTMENTS (Details) - Fair Value, Assets Measured on Recurring Basis [Line Items] | ||
Total securities at fair value | 2,386 | 5,599 |
Common Stock - International [Member] | Fair Value, Inputs, Level 2 [Member] | ||
INVESTMENTS (Details) - Fair Value, Assets Measured on Recurring Basis [Line Items] | ||
Total securities at fair value | 221 | 832 |
Common Stock - International [Member] | Fair Value, Inputs, Level 3 [Member] | ||
INVESTMENTS (Details) - Fair Value, Assets Measured on Recurring Basis [Line Items] | ||
Total securities at fair value | 0 | 0 |
Common Stock - Domestic [Member] | ||
INVESTMENTS (Details) - Fair Value, Assets Measured on Recurring Basis [Line Items] | ||
Total securities at fair value | 0 | 0 |
Common Stock - Domestic [Member] | Fair Value, Inputs, Level 1 [Member] | ||
INVESTMENTS (Details) - Fair Value, Assets Measured on Recurring Basis [Line Items] | ||
Total securities at fair value | 0 | 0 |
Common Stock - Domestic [Member] | Fair Value, Inputs, Level 2 [Member] | ||
INVESTMENTS (Details) - Fair Value, Assets Measured on Recurring Basis [Line Items] | ||
Total securities at fair value | 0 | 0 |
Common Stock - Domestic [Member] | Fair Value, Inputs, Level 3 [Member] | ||
INVESTMENTS (Details) - Fair Value, Assets Measured on Recurring Basis [Line Items] | ||
Total securities at fair value | 0 | 0 |
Fixed Income Securities [Member] | ||
INVESTMENTS (Details) - Fair Value, Assets Measured on Recurring Basis [Line Items] | ||
Total securities at fair value | 6,313 | 8,021 |
Fixed Income Securities [Member] | Fair Value, Inputs, Level 1 [Member] | ||
INVESTMENTS (Details) - Fair Value, Assets Measured on Recurring Basis [Line Items] | ||
Total securities at fair value | 6,313 | 8,021 |
Fixed Income Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ||
INVESTMENTS (Details) - Fair Value, Assets Measured on Recurring Basis [Line Items] | ||
Total securities at fair value | 0 | 0 |
Fixed Income Securities [Member] | Fair Value, Inputs, Level 3 [Member] | ||
INVESTMENTS (Details) - Fair Value, Assets Measured on Recurring Basis [Line Items] | ||
Total securities at fair value | 0 | 0 |
Mutual Funds, Domestic Equity [Member] | ||
INVESTMENTS (Details) - Fair Value, Assets Measured on Recurring Basis [Line Items] | ||
Total securities at fair value | 560 | 735 |
Mutual Funds, Domestic Equity [Member] | Fair Value, Inputs, Level 1 [Member] | ||
INVESTMENTS (Details) - Fair Value, Assets Measured on Recurring Basis [Line Items] | ||
Total securities at fair value | 560 | 735 |
Mutual Funds, Domestic Equity [Member] | Fair Value, Inputs, Level 2 [Member] | ||
INVESTMENTS (Details) - Fair Value, Assets Measured on Recurring Basis [Line Items] | ||
Total securities at fair value | 0 | 0 |
Mutual Funds, Domestic Equity [Member] | Fair Value, Inputs, Level 3 [Member] | ||
INVESTMENTS (Details) - Fair Value, Assets Measured on Recurring Basis [Line Items] | ||
Total securities at fair value | $ 0 | $ 0 |
INVESTMENTS (Details) - Equity
INVESTMENTS (Details) - Equity Securities without Readily Determinable Fair Value - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Equity Securities without Readily Determinable Fair Value [Abstract] | ||||
Carrying amount, beginning of period | $ 1,488 | $ 602 | $ 1,404 | $ 2,207 |
Adjustments: | ||||
Purchases | 75 | 100 | 75 | 100 |
Reclassification to securities at fair value | 0 | 0 | 0 | (1,499) |
Impairments | 0 | (28) | 0 | (114) |
Other downward adjustments | (108) | (29) | (124) | (49) |
Upward adjustments | 63 | 0 | 163 | 0 |
Carrying amount, end of period | $ 1,518 | $ 645 | $ 1,518 | $ 645 |
INVESTMENT MANAGEMENT AND OTH_3
INVESTMENT MANAGEMENT AND OTHER FEES (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | Jun. 30, 2019 | |
U.S. Global Investors Funds [Member] | |||||
INVESTMENT MANAGEMENT AND OTHER FEES (Details) [Line Items] | |||||
Aggregate Fees Waived and Expenses Borne | $ 141 | $ 164 | $ 407 | $ 541 | |
U.S. Global Investors Funds [Member] | Equity Funds [Member] | |||||
INVESTMENT MANAGEMENT AND OTHER FEES (Details) [Line Items] | |||||
Base percentage adjustment, fund performance not within benchmark index | 0.25% | 0.25% | |||
Minimum performance to designated benchmark over prior rolling twelve months, percent | 5.00% | 5.00% | |||
U.S. Global ETFs [Member] | |||||
INVESTMENT MANAGEMENT AND OTHER FEES (Details) [Line Items] | |||||
Unitary Management Fee, Percentage of Average Net Assets | 0.60% | ||||
Fund Clients [Member] | |||||
INVESTMENT MANAGEMENT AND OTHER FEES (Details) [Line Items] | |||||
Receivables, Net, Current | $ 264 | $ 264 | $ 201 | ||
Fund Clients [Member] | U.S. Global Investors Funds [Member] | |||||
INVESTMENT MANAGEMENT AND OTHER FEES (Details) [Line Items] | |||||
Receivables, Net, Current | 167 | 167 | 159 | ||
Fund Clients [Member] | U.S. Global ETFs [Member] | |||||
INVESTMENT MANAGEMENT AND OTHER FEES (Details) [Line Items] | |||||
Receivables, Net, Current | $ 97 | $ 97 | $ 42 | ||
Investor Class Shares [Member] | U.S. Global Investors Funds [Member] | |||||
INVESTMENT MANAGEMENT AND OTHER FEES (Details) [Line Items] | |||||
Administrative fee rate | 0.05% | ||||
Institutional Class Shares [Member] | U.S. Global Investors Funds [Member] | |||||
INVESTMENT MANAGEMENT AND OTHER FEES (Details) [Line Items] | |||||
Administrative fee rate | 0.04% |
INVESTMENT MANAGEMENT AND OTH_4
INVESTMENT MANAGEMENT AND OTHER FEES (Details) - Disaggregation of Revenue - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Disaggregation of Revenue [Line Items] | ||||
Revenues | $ 914 | $ 857 | $ 2,605 | $ 2,694 |
Base Advisory Fee [Member[ | Investment and Advisory Services [Member] | U.S. Global Investors Funds [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 753 | 785 | 2,413 | 2,469 |
Investment Performance [Member] | Investment and Advisory Services [Member] | U.S. Global Investors Funds [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | (79) | (110) | (391) | (372) |
Investment and Advisory Services [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 875 | 812 | 2,477 | 2,553 |
Investment and Advisory Services [Member] | U.S. Global ETFs [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 201 | 137 | 455 | 456 |
Administrative Service [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 39 | 45 | 128 | 141 |
Administrative Service [Member] | U.S. Global Investors Funds [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | $ 39 | $ 45 | $ 128 | $ 141 |
RESTRICTED CASH (Details) - Res
RESTRICTED CASH (Details) - Restrictions on Cash and Cash Equivalents - USD ($) $ in Thousands | Mar. 31, 2020 | Jun. 30, 2019 | Mar. 31, 2019 | Jun. 30, 2018 |
Restrictions on Cash and Cash Equivalents [Abstract] | ||||
Cash and cash equivalents | $ 2,086 | $ 1,466 | ||
Restricted cash | 1,025 | 1,025 | ||
Total cash, cash equivalents, and restricted cash | $ 3,111 | $ 2,491 | $ 2,995 | $ 5,766 |
NOTES RECEIVABLE (Details)
NOTES RECEIVABLE (Details) - Note Receivable #1 [Member] $ in Thousands | 12 Months Ended |
Jun. 30, 2019USD ($) | |
NOTES RECEIVABLE (Details) [Line Items] | |
Note Receivable, Interest Rate | 15.00% |
Note recievable, Maturity | November 2021 |
Note Receivable, Face Amount | $ 199 |
LEASES (Details)
LEASES (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | Jun. 30, 2019 | |
LEASES (Details) [Line Items] | |||||
Description of Lessor Leasing Arrangements, Operating Leases | The Company is the lessor of certain areas of its owned office building under operating leases expiring in various years through fiscal year 2023. | ||||
Lease Income | $ 23 | $ 64 | |||
Lessor Contracts, Asset | 8 | $ 8 | $ 0 | ||
Lessor, Operating Lease, Description | The Company may terminate the building leases with one hundred eighty days written notice if it sells the property. If the Company terminates the lease, the Company will pay the tenant a termination fee of the lesser of six months of the base monthly rent or the base monthly rent times the number of months remaining in the initial term. | ||||
Continuing Operations [Member] | |||||
LEASES (Details) [Line Items] | |||||
Lease expenses | 39 | $ 36 | $ 115 | $ 132 | |
Discontinued Operations [Member] | |||||
LEASES (Details) [Line Items] | |||||
Lease expenses | $ 14 | $ 27 | $ 74 | $ 81 |
LEASES (Details) - Lease, Cost
LEASES (Details) - Lease, Cost $ in Thousands | 3 Months Ended | 9 Months Ended |
Mar. 31, 2020USD ($) | Mar. 31, 2020USD ($) | |
Lease, Cost [Abstract] | ||
Operating lease cost | $ 13 | $ 39 |
Short-term lease cost | 26 | 76 |
Total lease cost | 39 | 115 |
Operating cash flows from operating leases | 13 | 39 |
Net operating lease liabilities | $ 0 | $ 141 |
Weighted-average remaining lease term (in years) | 2 years 29 days | 2 years 29 days |
Weighted-average discount rate | 4.11% | 4.11% |
LEASES (Details) - Schedule of
LEASES (Details) - Schedule of Future Minimum Rental Payments for Operating Leases $ in Thousands | Mar. 31, 2020USD ($) |
Schedule of Future Minimum Rental Payments for Operating Leases [Abstract] | |
2020 (excluding the nine months ended March 31, 2020) | $ 13 |
2021 | 53 |
2022 | 44 |
Total lease payments | 110 |
Less imputed interest | (5) |
Total | $ 105 |
LEASES (Details) - Lessor, Ope
LEASES (Details) - Lessor, Operating Lease, Payments to be Received, Maturity $ in Thousands | Mar. 31, 2020USD ($) |
Lessor, Operating Lease, Payments to be Received, Maturity [Abstract] | |
2020 (excluding the nine months ended March 31, 2020) | $ 24 |
2021 | 97 |
2022 | 81 |
2023 | 34 |
Total lease payments | $ 236 |
BORROWINGS (Details)
BORROWINGS (Details) $ in Millions | 9 Months Ended |
Mar. 31, 2020USD ($) | |
Debt Disclosure [Abstract] | |
Credit facility with a one-year maturity for working capital | $ 1 |
Amended credit agreement expiration date | May 31, 2020 |
Debt Instrument, Collateral Amount | $ 1 |
STOCKHOLDERS' EQUITY (Details)
STOCKHOLDERS' EQUITY (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | Jun. 30, 2019 | |
STOCKHOLDERS' EQUITY (Details) [Line Items] | |||||
Repurchasing Amount (in Dollars) | $ 74 | $ 24 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 2,000 | 2,000 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price (in Dollars per share) | $ 2.74 | $ 2.74 | |||
Number of options granted | 0 | 0 | 0 | 0 | |
Number of options, options forfeited | 0 | 0 | 2,000 | 0 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period | 0 | 0 | 0 | 0 | |
Share-based Payment Arrangement, Noncash Expense (in Dollars) | $ 0 | $ 0 | $ 0 | $ 2 | |
Share-based Payment Arrangement, Nonvested Award, Option, Cost Not yet Recognized, Amount (in Dollars) | 0 | $ 0 | |||
Monthly Dividends Paid [Member] | |||||
STOCKHOLDERS' EQUITY (Details) [Line Items] | |||||
Common Stock, Dividends, Per Share, Cash Paid (in Dollars per share) | $ 0.0025 | $ 0.0025 | |||
Common Class A [Member] | |||||
STOCKHOLDERS' EQUITY (Details) [Line Items] | |||||
Repurchasing Amount (in Dollars) | $ 68 | $ 9 | $ 74 | $ 24 | |
Number of shares repurchased | 69,420 | 8,075 | 72,820 | 20,075 | |
Share Repurchase Plan [Member] | |||||
STOCKHOLDERS' EQUITY (Details) [Line Items] | |||||
Stock repurchase program, authorized amount (in Dollars) | $ 2,750 | $ 2,750 |
EARNINGS PER SHARE (Details)
EARNINGS PER SHARE (Details) - shares | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Share-based Payment Arrangement, Option [Member] | ||||
EARNINGS PER SHARE (Details) [Line Items] | ||||
Employee stock options excluded from diluted EPS | 2,000 | 4,000 | 2,000 | 4,000 |
EARNINGS PER SHARE (Details) -
EARNINGS PER SHARE (Details) - Schedule of Earnings Per Share, Basic and Diluted - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Earnings Per Share Basic And Diluted Abstract | ||||
Income (Loss) from Continuing Operations (in Dollars) | $ (1,557) | $ 892 | $ (5,962) | $ (3,678) |
Income (Loss) from Discontinued Operations (in Dollars) | (85) | (174) | (338) | 149 |
Less: Net Income (Loss) Attributable to Non-Controlling Interest from Discontinued Operations (in Dollars) | (30) | (61) | (118) | 52 |
Net Income (Loss) Attributable from Discontinued Operations to U.S. Global Investors, Inc. (in Dollars) | (55) | (113) | (220) | 97 |
Net Income (Loss) Attributable to U.S. Global Investors, Inc. (in Dollars) | $ (1,612) | $ 779 | $ (6,182) | $ (3,581) |
Weighted average number of outstanding shares | ||||
Basic (in Shares) | 15,121,950 | 15,132,408 | 15,127,118 | 15,141,061 |
Employee stock options (in Shares) | 0 | 0 | 0 | 0 |
Diluted (in Shares) | 15,121,950 | 15,132,408 | 15,127,118 | 15,141,061 |
Basic Net Income (Loss) per Share | ||||
Income (loss) from continuing operations | $ (0.11) | $ 0.06 | $ (0.40) | $ (0.24) |
Income (loss) from discontinued operations | 0 | (0.01) | (0.01) | 0 |
Net income (loss) | (0.11) | 0.05 | (0.41) | (0.24) |
Diluted Net Income (Loss) per Share | ||||
Income (loss) from continuing operations | (0.11) | 0.06 | (0.40) | (0.24) |
Income (loss) from discontinued operations | 0 | (0.01) | (0.01) | 0 |
Net income (loss) | $ (0.11) | $ 0.05 | $ (0.41) | $ (0.24) |
INCOME TAXES (Details)
INCOME TAXES (Details) - USD ($) $ in Thousands | Mar. 27, 2020 | Mar. 31, 2020 | Jun. 30, 2019 |
INCOME TAXES (Details) [Line Items] | |||
Valuation allowance | $ 3,000 | $ 1,900 | |
Domestic Tax Authority [Member] | |||
INCOME TAXES (Details) [Line Items] | |||
Other Information Pertaining to Income Taxes | The Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”), was signed into law on March 27, 2020. While a number of the CARES Act’s provisions will be reflected in future accounting periods, certain income tax accounting measures are reflected in the period of enactment. The business tax provisions of the Act include temporary changes to income and non-income-based tax laws. Some of the key income tax provisions that may affect the Company include: ● Eliminating the 80% of taxable income limitations by allowing corporate entities to fully utilize net operating loss (NOL) carryforwards generated during the 2019 and 2020 fiscal years to offset taxable income in the 2019, 2020 or 2021 fiscal years and reinstating the limitation with the 2022 fiscal year; ● Allowing net operating losses generated in fiscal years 2019, 2020 or 2021 (tax years 2018, 2019 and 2020) to be carried back five years; ● Allowing entities to deduct more of their charitable cash contributions made during calendar year 2020 by increasing the taxable income limitation to 25% from 10%. ● Modification of the adjusted taxable income limitation from 30% to 50% for fiscal years 2020 and 2021 (tax years 2019 and 2020) for computing deductible interest. | ||
Operating loss carryover | 9,000 | ||
Capital Loss Carryforward [Member] | Domestic Tax Authority [Member] | |||
INCOME TAXES (Details) [Line Items] | |||
Tax credit carryforward | 1,100 | ||
Charitable Contributions [Member] | Domestic Tax Authority [Member] | |||
INCOME TAXES (Details) [Line Items] | |||
Tax credit carryforward | 55 | ||
Expiring in Fiscal Year 2022 [Member] | Capital Loss Carryforward [Member] | Domestic Tax Authority [Member] | |||
INCOME TAXES (Details) [Line Items] | |||
Tax credit carryforward | 728 | ||
Expiring in Fiscal Year 2023 [Member] | Capital Loss Carryforward [Member] | Domestic Tax Authority [Member] | |||
INCOME TAXES (Details) [Line Items] | |||
Tax credit carryforward | 348 | ||
Expiring in Fiscal Year 2035 [Member] | Domestic Tax Authority [Member] | |||
INCOME TAXES (Details) [Line Items] | |||
Operating loss carryover | 2,000 | ||
Expiring in Fiscal Year 2036 [Member] | Domestic Tax Authority [Member] | |||
INCOME TAXES (Details) [Line Items] | |||
Operating loss carryover | 2,700 | ||
No Expiration Date [Member] | Domestic Tax Authority [Member] | |||
INCOME TAXES (Details) [Line Items] | |||
Operating loss carryover | 4,300 | ||
CANADA | Expiring Fiscal Year 2040 [Member] | Foreign Tax Authority [Member] | |||
INCOME TAXES (Details) [Line Items] | |||
Operating loss carryover | 81 | ||
Expiring in Fiscal Year 2023 [Member] | Charitable Contributions [Member] | Domestic Tax Authority [Member] | |||
INCOME TAXES (Details) [Line Items] | |||
Tax credit carryforward | 10 | ||
Expiring in Fiscal Year 2020 [Member] | Charitable Contributions [Member] | Domestic Tax Authority [Member] | |||
INCOME TAXES (Details) [Line Items] | |||
Tax credit carryforward | 19 | ||
Expiring in Fiscal Year 2024 [Member] | Charitable Contributions [Member] | Domestic Tax Authority [Member] | |||
INCOME TAXES (Details) [Line Items] | |||
Tax credit carryforward | 5 | ||
Expiring in Fiscal Year 2025 [Member] | Charitable Contributions [Member] | Domestic Tax Authority [Member] | |||
INCOME TAXES (Details) [Line Items] | |||
Tax credit carryforward | 16 | ||
Expiring in Fiscal Year 2021 [Member] | Charitable Contributions [Member] | Domestic Tax Authority [Member] | |||
INCOME TAXES (Details) [Line Items] | |||
Tax credit carryforward | $ 5 |
ACCUMULATED OTHER COMPREHENSI_3
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Details) - Schedule of Accumulated Other Comprehensive Income (Loss) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | ||
Schedule of Accumulated Other Comprehensive Income (Loss) [Abstract] | |||||
Accumulated other comprehensive income (loss), net of tax | $ (205) | $ (258) | $ (206) | $ 1,858 | |
Foreign currency translation adjustment, net of tax | [1] | 196 | 28 | 197 | 1 |
Reclassification as a result of adoption of accounting guidance | [2] | 0 | 0 | 0 | (2,089) |
Accumulated other comprehensive income (loss), net of tax | $ (9) | $ (230) | $ (9) | $ (230) | |
[1] | Amounts include no tax expense or benefit. | ||||
[2] | Effective July 1, 2018, upon the adoption of ASU 2016-01, the Company no longer has an available-for-sale category for equity securities for which changes in fair value are recognized in other comprehensive income (loss). |
FINANCIAL INFORMATION BY BUSI_3
FINANCIAL INFORMATION BY BUSINESS SEGMENT (Details) - Investment Management Services [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
U.S. Global Investors Funds [Member] | ||||
FINANCIAL INFORMATION BY BUSINESS SEGMENT (Details) [Line Items] | ||||
Net operating revenues | $ 713 | $ 720 | $ 2,200 | $ 2,200 |
U.S. Global ETFs [Member] | ||||
FINANCIAL INFORMATION BY BUSINESS SEGMENT (Details) [Line Items] | ||||
Net operating revenues | $ 201 | $ 137 | $ 455 | $ 456 |
FINANCIAL INFORMATION BY BUSI_4
FINANCIAL INFORMATION BY BUSINESS SEGMENT (Details) - Schedule Details of Financial Information by Business Segment - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | Jun. 30, 2019 | |
Segment Reporting Information [Line Items] | |||||
Net operating revenues | $ 914 | $ 857 | $ 2,605 | $ 2,694 | |
Investment loss | (441) | 2,100 | (3,922) | (2,231) | |
Loss from equity method investments | (91) | 3 | (146) | (52) | |
Other income | 29 | 7 | 90 | 27 | |
Loss from continuing operations before income taxes | (1,482) | 1,438 | (6,136) | (4,232) | |
Depreciation and amortization | 50 | 54 | 152 | 164 | |
Identifiable assets | 16,719 | 16,719 | |||
Total assets held related to discontinued operations | 0 | 0 | |||
Deferred tax asset | 0 | 0 | |||
Consolidated total assets | 16,719 | 16,719 | $ 23,744 | ||
Investment Management Services [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Net operating revenues | 914 | 857 | 2,605 | 2,694 | |
Investment loss | 0 | 0 | 0 | 0 | |
Loss from equity method investments | 0 | 0 | 0 | 0 | |
Other income | 29 | 7 | 90 | 27 | |
Loss from continuing operations before income taxes | (883) | (626) | (1,884) | (1,837) | |
Depreciation and amortization | 47 | 54 | 143 | 164 | |
Identifiable assets | 5,240 | 5,240 | |||
Corporate Investments [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Net operating revenues | 0 | 0 | 0 | 0 | |
Investment loss | (441) | 2,100 | (3,922) | (2,231) | |
Loss from equity method investments | (91) | 3 | (146) | (52) | |
Other income | 0 | 0 | 0 | 0 | |
Loss from continuing operations before income taxes | (599) | 2,064 | (4,252) | (2,395) | |
Depreciation and amortization | 3 | $ 0 | 9 | $ 0 | |
Identifiable assets | $ 11,479 | $ 11,479 |
CONTINGENCIES AND COMMITMENTS (
CONTINGENCIES AND COMMITMENTS (Details) - Forecast [Member] $ / shares in Units, $ in Thousands | 3 Months Ended |
Jun. 30, 2020USD ($)$ / shares | |
Monthly Dividend Authorized [Member] | |
CONTINGENCIES AND COMMITMENTS (Details) [Line Items] | |
Monthly Dividend Declared | $ / shares | $ 0.0025 |
Class A and C [Member] | |
CONTINGENCIES AND COMMITMENTS (Details) [Line Items] | |
Amount of cash dividends to be paid to class A and C shareholders | $ | $ 113 |
SUBSEQUENT EVENTS (Details)
SUBSEQUENT EVENTS (Details) - Subsequent Event [Member] - Paycheck Protection Program ("PPP") [Member] | Apr. 12, 2020USD ($) |
SUBSEQUENT EVENTS (Details) [Line Items] | |
Borrowings under Guaranteed Investment Agreements | $ 442,000 |
Debt Instrument, Interest Rate, Stated Percentage | 1.00% |
Debt Instrument, Payment Terms | Payment terms are to make seventeen consecutive monthly payments of principal and interest in an amount sufficient to fully amortize the loan over the remaining term, commencing six months after the effective date, and a final payment on the earliest of the acceleration of the promissory note; or the maturity date. |
Debt Instrument, Description | A key feature of the PPP is that loan proceeds used by borrowers to pay certain expenses during a specified eight-week period (the covered period) are eligible to be forgiven. ● Forgiveness is available to the extent proceeds are used to pay payroll, rent or interest on mortgages, and utilities during the covered period. ● In addition, the CARES Act provides that any amounts forgiven pursuant to this rule are not taxable (i.e., no cancellation of debt income for the borrower). ● The amount of loan forgiveness available to the borrower is reduced if the borrower does not retain its employees or cuts their salaries by more than 25% (not including salaries of highly paid employees). ● A reduction in workforce is measured by comparing the average number of full-time employee equivalents (“FTEEs”) during the period following the loan to a prior equivalent period in either 2019 or early “pre-COVID 2019 period” in 2020. ● Loan forgiveness is reduced by the same percentage the FTEEs are found to have been reduced. A borrower that rehires employees or reverses salary reductions by June 30, 2020, can generally avoid having its loan forgiveness amount reduced. |
Maximum [Member] | |
SUBSEQUENT EVENTS (Details) [Line Items] | |
Number of Employees | 25 |