Why did MGLD's operating profit plummet in Q4 2024?

The operating income of The Marygold Companies Inc. (MGLD) declined by $1.12 million in Q4 2024 compared to the previous year. This decrease in operating profit can be attributed to several factors: 1. **Revenue Decline**: The company reported a decrease in revenue to $8,004,000 from $8,457,000 in the same quarter the previous year. This reduction was primarily due to lower revenue in the fund management segment and the food products segment. 2. **Fund Operations Costs**: The operating expenses increased to $7,754,000 from $7,363,000, driven by higher fund operations costs. This indicates that the increased expenses outweighed the revenue, leading to a decrease in operating profit. In summary, the operating profit of MGLD declined in Q4 2024 due to a combination of reduced revenue and increased expenses, particularly in the fund management segment. |code|Ticker|Name|Date|Operating Income YoY|Operating Income|market_code| |---|---|---|---|---|---|---| |MGLD|MGLD.A|The Marygold|2024 Q1|-203.05803737101016|-847000|170| |MGLD|MGLD.A|The Marygold|2024 Q2|-642.1383647798742|-862000|170| |MGLD|MGLD.A|The Marygold|2024 Q3|-653.1818181818182|-1217000|170| |MGLD|MGLD.A|The Marygold|2024 Q4|-648.936170212766|-2580000|170|