a
60 Cutter Mill Rd.
Suite 205
Great Neck, NY
11021
Tel: 516.444.3400
Fax: 516.444.3404

 

Press Releases

Contact:
Assaf Ran, CEO
Inbar Evron-Yogev, CFO
(212) 489-6800
SOURCE: Manhattan Bridge Capital, Inc.

Manhattan Bridge Capital, Inc. Reports First Quarter Financial Results;
Increased Revenues

                                                       

NEW YORK, May 12, 2009 / GLOBE Newswire / -- Manhattan Bridge Capital, Inc. (Nasdaq: LOAN - news)

Manhattan Bridge Capital, Inc. announced today that total revenues for the three month period ended March 31, 2009 were approximately $232,000 compared to approximately $165,000 for the three month period ended March 31, 2008 an increase of $67,000 or 41%. In 2009, $194,000 of the Company’s revenue represented interest income on the short and long term secured commercial loans that the Company offers to small businesses compared to $147,000 for the same period in 2008, and $38,000 represents origination fees on such loans compared to $18,000 for the same period in 2008.

 Income from operations for the period ended March 31, 2009 were approximately $99,000 compared to a loss from operations of approximately ($7,000) for the period ended March 31, 2008, an increase of $106,000. This increase in income from operations resulted mainly from increase in revenue from short and long term secured commercial loans and a decrease in general and administrative expense.     

Net income for the three month period ended March 31, 2009 was $0.03 per basic and diluted share (based on 3.326 million shares), or $85,609, versus net income of 0.04 per basic and diluted share (based on 3.236 million shares) or 139,741 for the period ended March 31, 2008, a decrease of approximately $54,000. This decrease in net income is mainly due to income from discontinued operations of approximately $73,000 that was recorded in the three month period ended March 31, 2008.      

 As of March 31, 2009, the Company reported approximately $6,049,000 of outstanding short term loans and $977,000 of cash and cash equivalents and marketable securities.              

As of March 31, 2009 total shareholders’ equity was $7,051,000 compared to $6,988,000 As of March 31, 2008, an increase of $63,000.

Assaf Ran, Chairman of the Board and CEO stated, “I am pleased with the 41% increase in revenues for the first quarter and confidant in our ability to maintain the path of growth and robust shareholders’ value.”

Manhattan Bridge Capital, Inc., provides short term, secured, non–banking, commercial loans to small businesses. In addition we developed innovative software and a related web site that allows retail businesses and other service providers to reach prospective customers and clients for their goods and services in a more effective way than traditional on-line and print yellow pages searches. We operate several web sites including: http://www.manhattanbridgecapital.com. and  http://www.nextyellow.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 or Plan of Operation”, 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, 2009
(unaudited)

December 31 ,2008
(audited)

Current assets:

   

 

Cash and cash equivalents          

$ 517,391

$ 884,296

Investment in marketable securities

459,747

499,207

             Total cash and cash equivalents and investment in marketable securities

 

977,138

 

1,383,503

 

 

 

Short term loans

6,048,880

5,362,060

         Interest receivable on short term loans

67,370

79,674

Due from purchaser

23,881

23,881

Other current assets

25,978

8,813

            Total current assets

7,143,247

6,857,931

 

 

 

         Long term loans

---

200,000

Property and equipment, net

8,199

9,421

Security deposit

17,515

17,515

Investment in privately held company, at cost

100,000

100,000

                
            Total assets

 

$ 7,268,961

 

$ 7,184,867

Liabilities and Shareholders’ Equity


Current liabilities:

 

 

Accounts payable and accrued expenses

$ 140,492

$ 130,375

Deferred origination fees

51,947

53,106

Income taxes payable

25,108

11,104

        Total current liabilities

217,547

194,585

             
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; 3,405,190 issued and 3,325,760 outstanding

 

3,405

 

3,405

Additional paid-in capital

9,414,844

9,399,861

Treasury stock, at cost- 79,430 shares

(239,944)

(239,944)

Accumulated other comprehensive loss

(69,548)

(30,088)

Accumulated deficit

(2,057,343)

(2,142,952)

           Total shareholders’ equity

7,051,414

6,990,282

             
 Total liabilities and shareholders’ equity

 

$ 7,268,961

 

$ 7,184,867


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

 

 Three Months Ended March 31,

 

 

        2009

       2008

 

 

 

 

 

 

 

 

 

Interest income from short and long term loans

        $ 193,698

        $ 147,461

 

Origination fees

             38,279

             17,825

 

Subscription revenues, net

---

57

 

            Total Revenue

231,977

165,343

 

 

Operating costs and expenses:

 

 

 

Web development expenses

---

12,336

 

General and administrative expenses

133,263

160,422

 

             Total operating costs and expenses

133,263

172,758

 

 

 

 

 

Income (loss) from operations

98,714

(7,415)

 

 

 

 

 

Interest and dividend income

9,224

24,749

 

Other income

---

39,000

 

             Total other income

9,224

63,749

 

 

 

 

 

Income from continuing operations before income tax (expense) benefit

 

107,938

 

56,334

 

Income tax (expense) benefit

(22,329)

10,490

 

Income from continuing operations

85,609

66,824

 

 

 

 

 

Discontinued Operations:

 

 

 

Gain on the sale of the Jewish Directories (net of tax effect of 0 in 2008)

 

---

 

72,917

 

Income from discontinued operations

---

72,917

 

Net Income

$85,609

$139,741

 

 

 

 

 

Basic and Diluted net income per common share outstanding:

 

 

 

 

Continuing operations

$ 0.03

$ 0.02

 

Discontinued operations

$ ---

$ 0.02

 

    Net income per common share

$ 0.03

$ 0.04

 

 

 

 

Weighted average number of common shares outstanding

 

 

 

--Basic and Diluted

3,325,760

3,236,460

 

 

 

 

 

 


MANHATTAN BRIDGE CAPITAL, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(unaudited)
   Three Months ended March 31,

 

 

 2009

 

 2008

 

 

 

 

 

Cash flows from operating activities:

 

 

 

 

  Net Income

 

$ 85, 609

 

$ 139,741

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

 

 

 

 

  Gain on the sale of the Directories business

 

----

 

(72,917)

  Depreciation and amortization

 

1,222

 

13,507

  Non cash compensation expense

 

14,983

 

21,916

  Changes in operating assets and liabilities net of effects of disposition:

 

 

 

 

       Interest receivable on short term and long term loans

 

12,304

 

410

       Other current and non current assets

 

(17,165)

 

(20,615)

       Accounts payable and accrued expenses

 

10,117

 

(4,535)

       Deferred origination fees

 

(1,159)

 

(4,597)

       Income tax payable

 

14,004

 

----

              Net cash provided by operating activities

 

119,915

 

72,910

 

 

 

 

 

Cash flows from investing activities:

 

 

 

 

   Investment in auction rate securities

 

----

 

(1,175,000)

   Short term and long term loans made

 

(1,785,529)

 

(956,597)

   Collections received from short term loans

 

1,298,709

 

1,330,000

   Cash received on sale of the Directories business

 

----

 

72,917

             Net cash used in investing activities

 

(486,820)

 

(728,680)

 

 

 

 

 

Cash flows from financing activities:

 

 

 

 

    Use of lines of credit

               

----

 

314,488

              Net cash provided by financing activities

 

----

 

314,488

             

 

 

 

 

Net decrease in cash and cash equivalents

 

(366,905)

 

(341,282)

Cash and cash equivalents, beginning of period

 

884,296

 

621,724

Cash and cash equivalents, end of period

 

$ 517,391

 

$ 280,442

 

 

 

 

 

Supplemental Cash Flow Information:

 

 

 

 

Taxes paid during the period

 

$ 8,325

 

$ 5,767

Interest Paid during the period

 

$ ----

 

$ 942