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Tel: 516.444.3400
Fax: 516.444.3404

 

Press Releases

Contact:
Assaf Ran, CEO
Vanessa Kao, CFO
(516) 444-3400
SOURCE: Manhattan Bridge Capital, Inc.  

 

Manhattan Bridge Capital, Inc. Reports First Quarter Results
 15.6% Increase in Revenue

LONG ISLAND, N.Y. May 8, 2012 / GLOBE Newswire / -- Manhattan Bridge Capital, Inc. (NASDAQ: LOAN)
Manhattan Bridge Capital, Inc. announced today that total revenues for the three month period ended March 31, 2012 were approximately $392,000 compared to approximately $339,000 for the three month period ended March 31, 2011, an increase of $53,000 or 15.6%.  The increase in revenue represents an increase in lending operations. In 2012, approximately $308,000 of our revenue represents interest income on secured, commercial loans that we offer to small businesses compared to approximately $282,000 for the same period in 2011, and approximately $84,000 represents origination fees on such loans compared to approximately $56,000 for the same period in 2011.
 
Income from operations for the period ended March 31, 2012 was approximately $181,000 compared to approximately $135,000 for the three month period ended March 31, 2011, an increase of $46,000 or 34%. This increase in income from operations is primarily attributable to an increase in revenue and decreases in operating expenses, offset by an increase in interest expense resulting from the Company’s receipt of short term loans in order to increase our ability to make loans.

Net income for the three month period ended March 31, 2012 was $0.03 per basic and diluted share (based on 3.886 million shares and 3.894 million shares, respectively), or approximately $115,000 versus net income of $0.02 per basic and diluted share (based on 3.324 million shares and 3.396 million shares, respectively) or approximately $81,000 for the period ended March 31, 2011, an increase of approximately $34,000.

As of March 31, 2012 total shareholders' equity was approximately $8,206,000 compared to approximately $8,088,000 as of December 31, 2011, an increase of $118,000.

Assaf Ran, Chairman of the Board and CEO stated, “I’m pleased with our performance in the first quarter of 2012. The results represent continued modest but stable organic growth, as we have demonstrated in the past several years. “

            “I am confident that the $3.5 million line of credit transaction that we closed last week will allow us to expedite our growth even further,” added Mr. Ran.
  
Manhattan Bridge Capital, Inc., offers short-term, secured, non-banking loans to real estate investors (also known as hard money) to fund their acquisition and construction of properties located in the New York Metropolitan area. The loans are principally secured by collateral consisting of real estate and, generally, accompanied by personal guarantees from the principals of the businesses. We operate the web site: http://www.manhattanbridgecapital.com

This report contains forward-looking statements within the meaning of section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”).  Forward-looking statements are typically identified by the words “believe,” “expect,” “intend,” “estimate” and similar expressions.  Those statements appear in a number of places in this report and include statements regarding our intent, belief or current expectations or those of our directors or officers with respect to, among other things, trends affecting our financial conditions and results of operations and our business and growth strategies.  These forward-looking statements are not guarantees of future performance and involve risks and uncertainties.  Actual results may differ materially from those projected, expressed or implied in the forward-looking statements as a result of various factors (such factors are referred to herein as “Cautionary Statements”), including but not limited to the following: (i)  the successful integration of new businesses that we may acquire; (ii) the success of new operations which we have commenced and of our new business strategy; (iii) our limited operating history in our new business; (iv) potential fluctuations in our quarterly operating results; and (v) challenges facing us relating to our growth.  The accompanying information contained in this report, including the information set forth under “Management’s Discussion and Analysis of Financial Condition and Results of Operations”, identifies important factors that could cause such differences.  These forward-looking statements speak only as of the date of this report, and we caution potential investors not to place undue reliance on such statements.  We undertake no obligation to update or revise any forward-looking statements.  All subsequent written or oral forward-looking statements attributable to us or persons acting on our behalf are expressly qualified in their entirety by the Cautionary Statements.
# #      

MANHATTAN BRIDGE CAPITAL, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS

 

Assets

March 31,  2012
(unaudited)

December 31,2011
(audited)

Current assets:

   

   

Cash and cash equivalents   

$        41,633

$      221,905

Short term loans receivable

7,373,980

6,916,090

Interest receivable on loans

112,728

109,905

Other current assets

52,745

16,463

            Total current assets

7,581,086

7,264,363

 

 

 

Investment in real estate

146,821

146,821

Long term loans receivable

2,556,591

2,498,262

Property and equipment, net

427

588

Security deposit

6,349

6,349

Investment in privately held company, at cost

100,000

100,000

Deferred financing costs

63,690

72,788

                
            Total assets

 

$ 10,454,964

 

$ 10,089,171

Liabilities and Shareholders’ Equity


Current liabilities:

 

 

Short term loans

$   1,159,465

$   1,159,465

Short term loans (related party)

265,000

---

Accounts payable and accrued expenses

70,776

60,072

Deferred origination fees

107,035

112,780

Income taxes payable

146,236

168,786

       Total current liabilities

1,748,512

1,501,103

Long term liabilities:

 

 

Senior secured notes

500,000

500,000

                 Total liabilities

2,248,512

2,001,103

             
Commitments and contingencies

 

 

Shareholders’ equity:

 

 

Preferred shares - $.01 par value; 5,000,000 shares authorized; no shares issued

 

---

 

---

Common shares - $.001 par value; 25,000,000 authorized; 4,405,190 issued and 4,324,459 outstanding

 

4,405

 

4,405

Additional paid-in capital

9,659,696

9,656,280

Treasury stock, at cost- 80,731 shares

(241,400)

(241,400)

Accumulated deficit

(1,216,249)

(1,331,217)

           Total shareholders’ equity

8,206,452

8,088,068

             
 Total liabilities and shareholders’ equity

 

$ 10,454,964

 

$ 10,089,171


MANHATTAN BRIDGE CAPITAL, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
 (unaudited)

 

 Three Months Ended March 31,

 

 

        2012

        2011

 

 

 

 

 

Interest income from loans

        $ 307,602

        $ 282,365

 

Origination fees

             84,224

             56,436

 

            Total revenue

391,826

338,801

 

 

Operating costs and expenses:

 

 

 

Interest and amortization of debt service costs

             41,141

             25,775

 

Referral fees

2,129

648

 

General and administrative expenses

167,976

176,970

 

             Total operating costs and expenses

211,246

203,393

 

 

 

 

 

Income from operations

180,580

135,408

 

 

 

 

 

Other income

6,887

7,410

 

 

 

 

 

Income from operations before income tax expense

187,467

142,818

 

Income tax expense

(72,500)

(62,000)

 

Net income

$114,967

$80,818

 

 

 

 

 

Basic and diluted net income per common share outstanding:

 

 

 

 

--Basic

$ 0.03

$ 0.02

 

--Diluted

$ 0.03

$ 0.02

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average number of common shares outstanding:

 

 

 

--Basic

3,886,103

3,324,459

 

--Diluted

3,893,642

3,395,825

 

 

 

 

 

 

MANHATTAN BRIDGE CAPITAL, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(unaudited)

   Three Months ended March 31,

 

 

 2012

 

 2011

 

 

 

 

 

Cash flows from operating activities:

 

 

 

 

  Net income

 

$ 114,967

 

$ 80,818

  Adjustments to reconcile net income to net cash provided by  
     operating activities -

 

 

 

 

  Amortization of deferred financing costs

 

9,099

 

9,099

  Depreciation

 

161

 

758

  Non cash compensation expense

 

3,416

 

11,250

    Changes in operating assets and liabilities:

 

 

 

 

       Interest receivable on loans

 

(2,823)

 

(21,005)

       Other current and non current assets

 

(36,281)

 

(15,652)

       Accounts payable and accrued expenses

 

10,704

 

2,101

       Deferred origination fees

 

(5,745)

 

5,801

       Income taxes payable

 

(22,551)

 

(38,001)

              Net cash provided by operating activities

 

70,947

 

35,169

 

 

 

 

 

Cash flows from investing activities:

 

 

 

 

   Investment in real estate

 

---

 

(675,000)

   Issuance of short term loans

 

(2,776,500)

 

(1,275,129)

   Collections received from loans

 

2,260,281

 

1,158,000

             Net cash used in investing activities

 

(516,219)

 

(792,129)

 

 

 

 

 

Cash flows from financing activities:

 

 

 

 

    Proceeds from loans and line of credit, net

               

265,000

 

603,845

              Net cash provided by financing activities

 

265,000

 

603,845

             

 

 

 

 

Net decrease in cash and cash equivalents

 

(180,272)

 

(153,115)

Cash and cash equivalents, beginning of period

 

221,905

 

386,023

Cash and cash equivalents, end of period

 

$ 41,633

 

$ 232,908

 

 

 

 

 

Supplemental Cash Flow Information:

 

 

 

 

Taxes paid during the period

 

$ 95,050

 

$ 100,001

Interest paid during the period

 

$ 32,042

 

$ 16,676