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

Manhattan Bridge Capital, Inc. Reports Third Quarter Results

- New Record for the Lending Operations

         
 Long Island, N.Y. October 30, 2013 / GLOBE Newswire / -- Manhattan Bridge Capital, Inc. (NASDAQ: LOAN)

Manhattan Bridge Capital, Inc. announced today that total revenues for the three month period ended September 30, 2013 were approximately $585,000 compared to approximately $491,000 for the three month period ended September 30, 2012, an increase of $94,000 or 19.1%. The increase in revenue represents an increase in lending operations. For the three month periods ended September 30, 2013 and 2012, approximately $479,000 and $402,000, respectively, of our revenues were attributable to interest income on the secured commercial loans that we offer to small businesses, and approximately $106,000 and $89,000, respectively, of our revenues were attributable to origination fees on such loans.
Net income for the three month period ended September 30, 2013 was $0.05 per basic and diluted share (based on 4.263 million shares and 4.288 million shares, respectively), or $193,921, versus net income of $0.04 per basic and diluted share (based on 4.324 million shares and 4.327 million shares, respectively) or $161,600 for the three month period ended September 30, 2012, an increase of approximately $32,000. This increase in net income was mainly due to an increase in revenue and a decrease in general and administrative expenses, offset by an increase in interest and amortization of debt service costs.

As of September 30, 2013 total shareholders' equity was $8,864,000 compared to $8,722,000 as of June 30, 2013 and $8,479,000 as of December 31, 2012.

Total revenues for the nine month period ended September 30, 2013 were approximately $1,673,000 compared to approximately $1,298,000 for the nine month period ended September 30, 2012, an increase of $375,000, or 28.9%. The increase in revenue represents an increase in lending operations. For the nine month periods ended September 30, 2013 and 2012, revenues of approximately $1,371,000 and $1,042,000, respectively, were attributable to interest income on the secured commercial loans that we offer to small businesses, and approximately $302,000 and $256,000, respectively, were attributable to origination fees on such loans.   

Net income for the nine month period ended September 30, 2013 was $0.12 per basic and diluted share (based on 4.274 million shares and 4.289 million shares, respectively), or $524,991, versus net income of $0.08 per basic share and diluted share (based on 4.324 million shares and 4.330 million shares, respectively) or $356,647 for the same period in 2012, an increase of approximately $168,000. This increase in net income was mainly due to an increase in revenue, offset by an increase in interest and amortization of debt service costs.

Assaf Ran, Chairman of the Board and CEO stated, “The results of the third quarter demonstrate an all-time record of revenue and net earnings for our lending operations, while we maintain a portfolio of performing loans which had never experienced a default.”

“As the marketplace recovers and in some cases even exceeds the pre-2008 crisis levels, we enhance our risk control measures even more.” added Mr. Ran.

Manhattan Bridge Capital, Inc., provides 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 New York Metropolitan area. 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

September 30, 2013
(Unaudited)

December 31,2012
(audited)

Current assets:

   

   

Cash and cash equivalents          

$         69,045

$        240,693

Short term loans receivable

11,363,000

11,022,866

         Interest receivable on loans

173,208

160,342

Other current assets

35,057

18,903

            Total current assets

11,640,310

11,442,804

 

 

 

Investment in real estate

146,821

146,821

Long term loans receivable

4,037,000

2,601,500

Security deposit

6,637

6,491

Investment in privately held company, at cost

100,000

100,000

Deferred financing costs

9,099

41,735

                
            Total assets

 

$   15,939,867

 

$   14,339,351

Liabilities and Shareholders’ Equity


Current liabilities:

 

 

Short term loans

$    1,319,465

$     1,399,465

Line of credit

4,800,000

3,500,000

Senior secured notes

500,000

500,000

Accounts payable and accrued expenses

16,048

70,403

Deferred origination fees

160,392

122,242

Income taxes payable

280,219

268,256

       Total liabilities, all current

     7,076,124

5,860,366

             
Commitments and contingencies

 

 

Stockholders’ equity:

 

 

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

---

 

---

Common shares - $.001 par value; 25,000,000 authorized; 4,433,190 and 4,405,190 issued; 4,256,190 and 4,298,059 outstanding

 

4,433

 

  4,405

Additional paid-in capital

9,731,718

9,687,159

Treasury stock, at cost – 177,000 and 107,131 shares

(369,335)

(269,972)

Accumulated deficit

(503,073)

(942,607)

           Total stockholders’ equity

8,863,743

8,478,985

             
 Total liabilities and stockholders’ equity

 

$  15,939,867

 

$  14,339,351


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

 

Three Months
Ended
September 30,

Nine Months
Ended
September 30,

 

2013

2012

2013

2012

 

Interest income from loans

 

$  479,118

 

$  402,119

 

$ 1,371,420

 

 $ 1,042,183

Origination fees

105,920

           89,191

301,775

255,514

     Total Revenue

585,038

491,310

1,673,195

     1,297,697

 

 

   

 

 

Operating costs and expenses:

 

 

 

 

Interest and amortization of debt service costs

119,272

              86,779

 

323,478

 

186,851

Referral fees

312

1,232

1,242

4,891

General and administrative expenses

 

172,420

        
 183,586

 

550,145

 

547,769

     Total operating costs and expenses

 

292,004

            271,597

874,865

739,511

 

 

 

 

 

Income from operations

293,034

        219,713

798,330

       558,186

 

Other income

   6,887

   6,887

20,661

20,661

 

Income before income tax expense

299,921

               
226,600

818,991

      578,847

Income tax expense

(106,000)

(65,000)

(294,000)

(222,200)

 

Net Income

$  193,921

   $ 161,600

$  524,991

   $  356,647

 

 

 

 

 

Basic and diluted net income per common share outstanding:

 

 

 

 

--Basic

$          0.05

$         0.04

    $           0.12

    $       0.08

--Diluted

$          0.05

   $             0.04

    $           0.12

    $       0.08

 

 

 

 

 

Weighted average number of common shares outstanding

 

 

 

 

--Basic

    4,263,194

    4,324,258

    4,273,544

   4,324,392

--Diluted

    4,287,698

    4,327,305

    4,289,225

   4,330,435

 

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

            Nine Months Ended September 30,

 

 

 2013

 

 2012

Cash flows from operating activities:

 

 

 

 

  Net Income

 

    $   524,991

 

    $   356,647

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

 

 

 

 

  Amortization of deferred financing costs

 

32,636

 

17,948

  Depreciation

 

---

 

482

  Non cash compensation expense

 

22,048

 

19,304

  Changes in operating assets and liabilities:

 

 

 

 

       Interest receivable on loans

 

(12,866)

 

(34,841)

       Other current and non current assets

 

(16,300)

 

(37,770)

       Accounts payable and accrued expenses

 

(54,355)

 

(46,362)

       Deferred origination fees

 

38,150

 

15,993

       Income taxes payable

 

11,963

 

21,470

              Net cash provided by operating activities

 

546,267

 

312,871

 

 

 

 

 

Cash flows from investing activities:

 

 

 

 

   Issuance of short term loans

 

(12,020,500)

 

(11,148,500)

   Collections received from loans

 

10,244,866

 

7,874,691

             Net cash used in investing activities

 

(1,775,634)

 

(3,273,809)

 

 

 

 

 

Cash flows from financing activities:

 

 

 

 

    Proceeds from loans and line of credit, net

 

1,220,000

 

2,950,000

    Purchase of treasury shares

 

(99,363)

 

(2,607)

    Proceeds from exercise of stock options

 

22,540

 

---

    Dividend paid ($0.01 per share)

 

(85,458)

 

---

              Net cash provided by financing activities

 

1,057,719

 

2,947,393

 

 

 

 

 

Net decrease in cash and cash equivalents

 

(171,648)

 

          (13,545)

Cash and cash equivalents, beginning of period

 

240,693

 

221,905

Cash and cash equivalents, end of period

 

    $       69,045        

 

    $   208,360

 

 

 

 

 

Supplemental Cash Flow Information:

 

 

 

 

Taxes paid during the period

 

$     282,037

 

$     200,730

Interest paid during the period

 

$     290,840       

 

$     152,879