DELAWARE		04-3284631
(State or other jurisdiction of		(I.R.S. Employer
incorporation or organization)		Identification No.)

 

 

 

Large accelerated filer  [  ]	Accelerated filer  [  ]
Non-accelerated filer  [  ]    (Do not check if a smaller reporting company)	Smaller reporting company  [X]

 

 

Investors Capital Holdings, Ltd. report on form 10-Q

Quarter Ended June 30, 2011

 

 

 

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		June 30, 2011				March 31, 2011
Assets
Current Assets
Cash and cash equivalents		$	4,737,602			$	4,587,195
Deposit with clearing organization, restricted			175,000				175,000
Accounts receivable			5,511,646				6,798,638
Note receivable -  (current)			32,988				108,169
Loans receivable from registered representatives (current), net of allowance			730,360				721,664
Prepaid income taxes			0				157,880
Securities owned at fair value			227,841				17,384
Investments			50,000				50,000
Prepaid expenses			1,204,114				1,073,969
			12,669,551				13,689,899
Property and equipment, net			547,472				597,735
Long Term Investments
Loans receivable from registered representatives			733,735				616,583
Note receivable			495,000				495,000
Investments			216,499				214,555
Non-qualified deferred compensation investment			1,123,606				1,089,572
Cash surrender value life insurance policies			698,294				680,429
			3,267,134				3,096,139
Other Assets
Deferred tax asset, net			1,247,784				1,218,773
Capitalized software, net			141,798				132,131
Other assets			15,308				15,808
			1,404,890				1,366,712
TOTAL ASSETS		$	17,889,047			$	18,750,485
Liabilities and Stockholders' Equity
Current Liabilities
Accounts payable		$	1,114,707			$	1,109,400
Accrued expenses			2,526,630				2,078,705
Income taxes payable			307,345				0
Commissions payable			3,302,110				3,246,898
Notes payable			996,273				1,527,969
Unearned revenues			128,011				113,486
Securities sold, not yet purchased, at fair value			16				0
			8,375,092				8,076,458
Long-Term Liabilities
Non-qualified deferred compensation plan			1,221,721				1,176,096
			1,221,721				1,176,096
Total liabilities			9,596,813				9,252,554
Stockholders' Equity:
Common stock, $.01 par value, 10,000,000 shares authorized;
6,617,614 issued and 6,613,729 outstanding at June 30, 2011;
6,618,259 issued and 6,614,374 outstanding at March 31, 2011			66,176				66,183
Additional paid-in capital			12,327,455				12,279,380
Accumulated deficit			(4,129,923	)			(2,874,214	)
Less: Treasury stock, 3,885 shares at cost			(30,135	)			(30,135	)
Accumulated other comprehensive income			58,661				56,717
Total stockholders' equity			8,292,234				9,497,931
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY		$	17,889,047			$	18,750,485

 

 

 

 

 

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Investors Capital Corporation ("ICC") is duly registered under the Securities Exchange Act of 1934 (the “Exchange Act”), the Investment Advisers Act of 1940 and applicable state law to provide broker-dealer and investment advisory services nationwide.  ICC’s national network of independent financial representatives is licensed to provide these services through ICC under the regulatory purview of the Securities and Exchange Commission (the “SEC”), the Financial Industry Regulatory Authority (“FINRA”) and state securities regulators.  ICC executes and clears its public customer accounts on a fully disclosed basis through Pershing, LLC (“Pershing”).  ICC, doing business as Investors Capital Advisors (“ICA”), also provides investment advisory services.

 

●	ICC Insurance Agency, Inc. facilitates the sale of insurance and annuities by our representatives.

 

●	Investors Capital Holdings Securities Corporation ("ICH Securities") holds cash, cash equivalents, interest income and dividend income for ICH.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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 asset or liability.  Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. A fair value measurement assumes that the transaction to sell the asset or transfer the liability occurs in the principal market for the asset or liability or, in the absence of a principal market, the most advantageous market. Valuation techniques that are consistent with the market, income or cost approach are used to measure fair value.

 

 

●	Level 1 - Inputs are unadjusted quoted prices in active markets for identical assets or liabilities the Company have the ability to access.

 

●	Level 2 - Inputs are inputs (other than quoted prices included within Level 1) that are observable for the asset or liability, either directly or indirectly.

 

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Level 3 - Inputs include unobservable inputs for the asset or liability and rely on management's own assumptions about the assumptions that market participants would use in pricing the asset or liability. (The unobservable inputs should be developed based on the best information available in the circumstances and may include the Company’s own data.)