10-QPeriod: Q1 FY2015

SPDR GOLD TRUST Quarterly Report for Q1 Ended Dec 31, 2014

Filed February 6, 2015For Securities:GLD

Summary

The SPDR Gold Trust (GLD) reported its quarterly results for the period ending December 30, 2014. The Trust has adopted new accounting standards for investment companies effective October 1, 2014, which involved a change in how the investment in gold is valued and reported. As of December 31, 2014, the Trust held approximately 22.9 million ounces of gold valued at $27.46 billion, with a cost basis of $28.27 billion. For the three months ended December 31, 2014, the Trust reported a net loss of $469.5 million, or ($1.76) per share. This loss was primarily driven by the net change in unrealized depreciation on the investment in gold. During the quarter, there was a net decrease in Shares Outstanding, with redemptions significantly exceeding creations in terms of value and ounces of gold. The Trust continues to operate with no cash reserves, as gold is sold to cover expenses.

Financial Statements
Beta
Operating Expenses$31.68M
Operating Income-$28.54M
Net Income-$469.53M
EPS (Basic)$-1.91
Shares Outstanding (Basic)245.38M

Key Highlights

  • 1As of December 31, 2014, the Trust held 22,901,223 ounces of gold with a fair value of $27.46 billion, compared to a cost of $28.27 billion.
  • 2The Trust adopted accounting provisions for investment companies effective October 1, 2014, changing the valuation of gold to fair value.
  • 3For the three months ended December 31, 2014, the Trust reported a net loss of $469.5 million, or ($1.76) per share.
  • 4Total expenses for the quarter decreased to $28.5 million from $35.3 million in the prior year, partly due to fee waivers.
  • 5There was a net redemption of Shares during the quarter, with 28,600,000 Shares redeemed versus 8,500,000 Shares created.
  • 6The Trust had no cash and cash equivalents at the end of the period, as gold is sold to cover operational expenses.

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