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 Second Quarter Financial Results - Further Increased Revenue

NEW YORK, August 3, 2009 / GLOBE Newswire / -- Manhattan Bridge Capital, Inc. (Nasdaq: LOAN - news)

         Manhattan Bridge Capital, Inc. announced today that total revenue for the three month period ended June 30, 2009 was approximately $250,000 compared to approximately $179,000 for the three month period ended June 30, 2008 an increase of $71,000 or 40%. For the three month period ended June 30, 2009, $204,000 of the Company's revenue represented interest income on the short term secured commercial loans that the Company offers to small businesses compared to $164,000 for the same period in 2008, and $46,000 represents origination fees on such loans compared to $15,000 for the same period in 2008.

       Income from operations for the three month period ended June 30, 2009 was approximately $78,000 compared to approximately $18,000 for the same period ended June 30, 2008, an increase of $60,000. This increase in income from operations resulted mainly from increased revenue from short term secured commercial loans and a decrease in general and administrative expense.

      Net income for the three month period ended June 30, 2009 was $0.02 per basic and diluted share (based on 3.3 million shares), or $60,001, versus net income of $0.02 per basic and diluted share (based on 3.2 million shares) or $52,173 for the three month period ended June 30, 2008. This increase in net income was mainly due to an increase in income from operations, offset by an increase in income tax expense and a decrease in other income.

      Total revenue for the six month period ended June 30, 2009 was approximately $482,000 compared to approximately $344,000 for the six month period ended June 30, 2008 an increase of $138,000 or 40%. For the six month period ended June 30, 2009, $398,000 of the Company's revenue represented interest income on the short term secured commercial loans that the Company offers to small businesses compared to $311,000 for the same period in 2008, and $84,000 represents origination fees on such loans compared to $33,000 for the same period in 2008.
      Net income for the six month period ended June 30, 2009 was $0.04 per basic and diluted share (based on 3.3 million shares), or $145,610, versus net income of $0.06 per basic and diluted share (based on 3.2 million shares) or $191,914 for the same period in 2008, a decrease of approximately $46,000. This decrease in net income was mainly due to income from discontinued operations of approximately $73,000 that was recorded in the six month period ended June 30, 2008, an increase in income tax expense of approximately $69,000 and a decrease in other income of approximately $70,000, offset by an increase in income from operations of $166,000.
      As of June 30, 2009, the Company reported approximately $6,896,000 of outstanding short term loans and $456,000 of cash and cash equivalents and marketable securities.
As of June 30, 2009 total shareholders' equity was $7,217,000 compared to $6,990,000 as of December 31, 2008, an increase of $227,000.

Assaf Ran, Chairman of the Board and CEO stated, "The second quarter results represent a solid pattern of growth that has been taking place for more than two years." “With the recent board decision to allow management to increase the loans portfolio up to $14 million, I’m confident in our ability to maintain this trend,” added Mr. Ran

Manhattan Bridge Capital, Inc., provides short term, secured, non-banking, commercial loans to small businesses. 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 SHEET

Assets

  June 30, 2009
  (Unaudited)

  December 31,2008
(Audited)

Current assets:

   

 

Cash and cash equivalents          

$ 96,790

$ 884,296

Investment in marketable securities

359,251

499,207

        Total cash and cash equivalents and investment in marketable securities at fair value

456,041

1,383,503

 

 

 

Short term loans

6,896,177

5,362,060

         Interest receivable on short term loans

91,696

79,674

Due from purchaser

23,881

23,881

Other current assets

36,659

8,813

       Total current assets

7,504,454

6,857,931

 

 

 

        Long term loans

---

200,000

Property and equipment, net

6,976

9,421

Security deposit

17,515

17,515

Investment in privately held company, at cost

100,000

100,000

                
            Total assets

 

$ 7,628,945

 

$ 7,184,867

Liabilities and Shareholders’ Equity


Current liabilities:

 

 

Line of Credit

$ 158,028

$ ---

Accounts payable and accrued expenses

94,058

130,375

Deferred origination fees

97,965

53,106

Income taxes payable

62,182

11,104

        Total current liabilities

412,233

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

9,445,520

9,399,861

Treasury stock, at cost- 79,430 shares

(239,944)

(239,944)

Accumulated other comprehensive income (loss)

5,073

(30,088)

Accumulated deficit

(1,997,342)

(2,142,952)

           Total shareholders’ equity

7,216,712

6,990,282

             
 Total liabilities and shareholders’ equity

 

$ 7,628,945

 

$ 7,184,867

 


 

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

 

Three Months
Ended June 30,

Six Months
Ended June 30,

 

2009

2008

2009

2008

 

Interest income from short term loans

 

$ 203,917

 

$ 163,924

 

 $ 397,615

 

 $ 311,385

Origination fees

               45,666

              14,808

83,945

32,633

Subscription revenues, net

----

43

----

          100

     Total Revenue

             249,583

           178,775

           481,560

           344,118

 

   

   

 

 

Operating costs and expenses:

 

 

 

 

Web development expenses

               ----

12,336

----

24,672

General and administrative expenses

   
             171,840

   
 148,759

   
305,103

   
309,182

     Total operating costs and expenses

 

             171,840

 

161,095

                  
           305,103

                  
            333,854

Income from operations

                77,743

              17,680

            176,457

              10,264

 

 

 

 

 

Interest and dividend income

6,614

16,371

15,838

41,122

Realized (loss) gain on marketable securities

(5,940)

18,122

(5,940)

18,122

Realized gain on marketable securities that were previously marked down

18,658

                     ----

18,658

                     ----

Other income

                     ----

                     ----

                     ----

              39,000

     Total other income

               19,332

              34,493

              28,556

              98,244

Income from continuing operations before income tax (expense) benefit

                    
               97,075

52,173

           205,013

           108,508

Income tax (expense) benefit

(37,074)

----

(59,403)

10,489

Income from continuing operations

               60,001

52,173

145,610

118,997

Discontinued Operations:

 

 

 

 

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

                     ----

                     ----

                     ----

              72,917

Income from discontinued operations

                     ----

                     ----

                     ----

              72,917

Net Income

    $         60,001

    $       52,173

    $     145,610

    $     191,914

 

 

 

 

 

Basic net income per common share outstanding:

 

 

 

 

Continuing operations

     $       0.02

     $       0.02

     $       0.04

     $       0.04

Discontinued operations

               ----

               ----

               ----

               0.02

Net income per common share-Basic

     $       0.02

     $       0.02

    $        0.04

    $        0.06

Diluted net income per common share outstanding:

 

 

 

 

Continuing operations

     $       0.02

     $       0.02

     $       0.04

     $       0.04

Discontinued operations

               ----

               ----

               ----

               0.02

Net income per common share- Diluted

     $       0.02

     $       0.02

    $        0.04

    $        0.06

Weighted average number of common shares outstanding

 

 

 

 

--Basic

    3,325,760

     3,236,460

    3,325,760

    3,236,460

--Diluted

    3,328,942

     3,237,406

    3,325,980

    3,238,215

 

MANHATTAN BRIDGE CAPITAL, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(unaudited)
Six Months Ended June 30,

 

 

 2009

 

 2008

Cash flows from operating activities:

 

 

 

 

  Net income

 

    $     145,610

 

    $     191,914

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

 

 

 

 

  Gain on the sale of  Jewish Directories

 

----

 

(72,917)

  Depreciation and amortization

 

2,445

 

27,065

  Non cash compensation expense

 

45,659

 

52,688

  Realized loss (gain) on sale of marketable securities

 

5,940

 

(18,122)

  Realized gain on marketable securities that were previously marked down

 

(18,658)

 

----

  Changes in operating assets and liabilities:

 

 

 

 

       Interest receivable on short term loans

 

(12,022)

 

(12,062)

       Due from purchaser

 

----

 

20,000

       Other current and non current assets

 

(27,846)

 

(21,990)

       Accounts payable and accrued expenses

 

(36,316)

 

(40,918)

       Deferred origination fees

 

44,859

 

15,299

       Income tax payable

 

51,078

 

----

              Net cash provided by operating activities

 

200,749

 

140,957

 

 

 

 

 

Cash flows from investing activities:

 

 

 

 

   Proceeds from sale of marketable securities, auction rate securities and annuity contract

 

187,834

 

1,670,388

   Investment in marketable securities, auction rate securities and annuity contract

 

----

 

(1,175,000)

   Issuance of short term and long term loans

 

(4,058,604)

 

(2,221,123)

   Collection received from short term loans

 

2,724,487

 

2,000,149

   Cash received on sale of Jewish Directories

 

----

 

97,222

             Net cash (used in) provided by investing activities

 

(1,146,283)

 

371,636

 

 

 

 

 

Cash flows from financing activities:

 

 

 

 

    Use of line of credit

 

158,028

 

----

              Net cash provided by financing activities

 

158,028

 

----

 

 

 

 

 

Net (decrease) increase in cash

 

         (787,506)

 

           512,593

Cash and cash equivalents, beginning of the year

 

884,296

 

621,724

Cash and cash equivalents, end of period

 

    $      96,790

 

    $  1,134,317

 

 

 

 

 

Supplemental Cash Flow Information:

 

 

 

 

Taxes paid during the period

 

$ 8,325

 

$5,766

Interest paid during the period

 

$ 72

 

$4,356