Steel Partners Holdings L.P. (NYSE: SPLP) shares barely moved Wednesday. The company, a diversified global holding company, announced operating results for the second quarter ended June 30, 2024. The financial results of Steel Connect, Inc. have been included in the Company's consolidated financial statements since May 1, 2023.
During the current quarter, the Company recorded a $71.5 million non-cash accounting adjustment to net income as a result of a release of a portion of Steel Connect's valuation allowance for certain pre-existing deferred tax assets. The release resulted in a one-time non-cash adjustment to income tax benefit of $71.5 million. This adjustment to net income has no cash impact and is not expected to reoccur.
Revenue for the three months increased $32,234, or 6.4%, as compared to the same period last year.
The Company recorded gains of $986 for the three months ended June 30, 2024, as compared to losses of $3,121 for the three months ended June 30, 2023. These gains and losses were due to unrealized gains and losses related to the mark-to-market adjustments on the Company's portfolio of securities.
Net income for the three months ended June 30, 2024 were $124,946, as compared to $58,615 for the same periods in 2023.
SPLP shares closed Tuesday at $36.70.
