RILY / BRC Group Holdings — Sum-of-the-Parts Workbook

Source data: Q1 2026 10-Q and 12/31/2025 13F. Holding prices auto-refresh from Yahoo via our proxy. Edit any blue field to recalc.
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Notes & caveats: (1) Company renamed B. Riley Financial → BRC Group Holdings Jan 1, 2026 (ticker still RILY). (2) RILY does not carry warrant/option derivative liabilities on the balance sheet — the 913,692 exchange warrants ($10 strike) and 2.75M registered warrant shares are equity-classified. The closest analog is the preferreds (RILYP/RILYL), which I show in a separate "Equity-classified, cash-paying" block — treat them as debt-like if you wish. (3) Holding share counts use the most recent 13F (12/31/2025) updated for known activity. BW is the dominant position and the only one with material price movement materiality. (4) Operating segments are valued via editable revenue multiples — change them based on your view.

Live SOTP per share

Equity portfolio
$0
+ Operating segments
$0
+ Other investments
$0
+ Cash & loans
$0
– Deferred corp. cap-gains tax
$0
– Senior debt (effective)
$0
– Preferred (face)
$0
– Preferred arrears
$0
Implied equity value
$0
÷ Diluted shares
37.54M
SOTP / share
$0.00
Market price
$9.05
Premium / (discount)

1. Public equity holdings + RILY's cost basis & deferred corp tax

RILY pays corporate income tax (~21% fed + state) on realized gains. Deferred tax liability reduces NAV. Edit cost basis/sh and the corporate rate below: Corporate tax rate: %
TickerCompany Shares (M)Price ($) Mkt val ($M) RILY's cost / sh ($)Cost basis ($M) Unrealized gain ($M)Deferred tax ($M) After-tax val ($M)% port
Totals
Notes on positions & cost basis
BW is the dominant position — 27.45M sh = ~31% stake, board seat. Q1 2026 alone added $229M of unrealized gain. Year-end 2025 BW carrying value was $174M ($6.34 × 27.45M), so cost basis is likely $150–220M depending on lot-level treatment — I defaulted $7.50/sh as a midpoint, verify against the 10-K investment schedule. For other positions cost basis defaults to current price (zero gain); edit if you have actuals.

2. Operating segments — franchise revenue × multiple

SegmentWhat it is Q1'26 reported rev ($M) Less: investment gain in rev ($M) Core franchise Q1 rev ($M) Annualized rev ($M) Multiple (x rev) Implied value ($M)
Total operating segments
Why this matters for Capital Markets ⚠
Reported Q1 2026 Cap Markets revenue of $172M is heavily inflated by BW mark-to-market gains flowing through trading revenue (Q1 2026 alone added ~$229M of BW gain at the firm level; ~$130M of that lands in Cap Markets revenue). Multiplying that by anything double-counts BW (already in section 1). Default subtraction of $130M leaves ~$42M of core franchise revenue (IB fees + S&T commissions + direct lending NII), annualizing to ~$168M — in line with B. Riley Securities' standalone post-carve-out run rate ($211M adj. revenue in 2024, declining). Lower the multiple if you doubt the franchise value; raise the subtraction if you think more of reported revenue is principal investing.

3. Other investments & cash

LineSourceCarrying value ($M)Haircut %Marked value ($M)
Total other investments & cash

4. Senior debt — sliding between face and market

Debt mark factor: 100% = subtract at face (worst-case for common), 0% = subtract at current market (best case, assumes buyback). Private debt (Oaktree, RILYM) always at face.
Market (0%) Face (100%) 100% → Effective public-bond value:
InstrumentCouponMaturity Face ($M)Mkt price ($) Mkt value ($M)Discount to face
Total face value
Buyback optionality
Public bonds trade at a discount; company has been opportunistically repurchasing and bond-for-equity exchanging. Difference between face and market is theoretical capital structure savings (not currently in NAV).

5. Equity-classified, cash-paying (treat as debt-like if you wish)

SeriesCoupon Dep shares (M)Face / DS ($)Face ($M) Mkt price ($)Mkt value ($M) Qtrly div / DS ($)Qtrs in arrearsArrears ($M)
Total preferredTotal arrears
Preferred dividends were suspended Jan 2025. Both series are cumulative — arrears accrue and must be cleared before any common dividend can resume. After 6 quarters in arrears, preferred holders gain the right to nominate 2 additional directors. Edit "Qtrs in arrears" to reflect current count or model future quarters.
Re warrants & stock options
Warrants outstanding: ~913,692 exchange warrants at $10.00 strike (issued during 2025 debt-for-equity exchanges) plus an S-1 registered 2.75M warrant shares for resale. All equity-classified — they dilute share count rather than appear as a balance-sheet liability. Already reflected in the 37.54M diluted share count below. Edit the share count cell to model further dilution.

6. Your cost basis & tax-on-exit estimator

Lot / PositionTicker SharesCost / sh ($)Total basis ($) Current price ($)Current value ($) Gain / (loss) ($)TypeTax rate %Tax owed ($)Net proceeds ($)
Totals
Type: LT = long-term (held > 1 yr, lower rate). ST = short-term (taxed as ordinary income). Edit rate per row for your bracket / state. Add rows by editing the JS array at top of file.

Share count & market price

Basic shares outstandingM
+ Warrants / exchange dilutionM
Diluted shares (used in SOTP)37.54 M
Current market price$

Cash & balance-sheet items

Cash & equivalents (Q1'26)$M
Loans receivable (FV)$M
Other assets (net of liab.)$M
Sources: Q1 2026 10-Q debt & segment data; Yahoo Finance / Nasdaq pricing as of May 11, 2026; 13F filing 12/31/2025 (fintel.io). Not investment advice. Figures will drift — refresh prices weekly. All inputs in the blue boxes are live-editable; the SOTP recalculates on every keystroke.