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 Results for Fiscal Year 2012

 

          NEW YORK, N.Y. March 22, 2013 / GLOBE Newswire / -- Manhattan Bridge Capital, Inc. (NASDAQ: LOAN)
Manhattan Bridge Capital, Inc. announced today that total revenue for the year ended December 31, 2012 was $1,816,000 compared to $1,400,000 for the year ended December 31, 2011, an increase of $416,000 or 29.7%. The increase in revenue represents an increase in lending operations. In 2012, $1,476,000 of the Company’s revenue represents interest income on secured, commercial loans that the Company offers to small businesses compared to $1,142,000 in 2011, and $340,000 represents origination fees on such loans compared to $259,000 in 2011.

Total operating costs and expenses for the year ended December 31, 2012 were $1,151,000 compared to $1,031,000 for the year ended December 31, 2011, an increase of $120,000 or 11.6%. This increase in operating costs and expenses is primarily attributable to an increase in interest and amortization of debt service costs of approximately $124,000, which is primarily attributable to the Company’s receipt of short term loans and a line of credit in order to increase its ability to make loans.

Net income for the year ended December 31, 2012 was $0.09 per basic share and per diluted share (based on 4.320 million shares and 4.326 million shares, respectively), or $389,000, versus $0.07 per basic share and per diluted share (based on 3.634 million shares and 3.646 million shares, respectively), or $257,000 for the year ended December 31, 2011. This increase is primarily attributable to an increase in revenue, offset by increases in interest and amortization of debt service costs and in income tax expense.

As of December 31, 2012 total shareholders' equity was $8,479,000 compared to $8,088,000 as of December 31, 2011, an increase of $391,000.

Assaf Ran, Chairman of the Board and CEO, stated, “Our performance during the year 2012 reflects consistency of responsible growth in revenue as we are firmly keeping costs low in order to enhance net earnings. Once again, we have successfully avoided defaults.”

“In 2012 we also became bankable, and established a line of credit with Sterling National Bank. This is an outstanding achievement, in times when lenders are usually not able to receive conventional bank financing.” 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
December 31, 2012 and 2011

 

Assets

2012

2011

Current assets:

   

   

Cash and cash equivalents   

$      240,693

$      221,905

Short term loans receivable

11,022,866

6,916,090

         Interest receivable on loans

160,342

109,905

Other current assets

18,903

16,463

            Total current assets

11,442,804

7,264,363

 

 

 

Investment in real estate

146,821

146,821

Long term loans receivable

2,601,500

2,498,262

Property and equipment, net

0

588

Security deposit

6,491

6,349

Investment in privately held company, at cost

100,000

100,000

Deferred financing costs

41,735

72,788

                
            Total assets

 

$ 14,339,351

 

$ 10,089,171

Liabilities and Stockholders’ Equity


Current liabilities:

 

 

Short term loans

$   1,399,465

$   1,159,465

Line of credit

3,500,000

---

Senior secured notes

500,000

---

Accounts payable and accrued expenses

70,403

60,072

Deferred origination fees

122,242

112,780

Income taxes payable

268,256

168,786

       Total current liabilities

5,860,366

1,501,103

Long term liabilities:

 

 

Senior secured notes

---

500,000

                 Total liabilities

5,860,366

2,001,103

             
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; 4,405,190 issued; 4,298,059 and 4,324,459 outstanding

 

  4,405

 

4,405

Additional paid-in capital

9,687,159

9,656,280

Treasury stock, at cost - 107,131 and 80,731 shares

(269,972)

(241,400)

Accumulated deficit

(942,607)

(1,331,217)

           Total stockholders’ equity

8,478,985

8,088,068

             
 Total liabilities and stockholders’ equity

 

$ 14,339,351

 

$ 10,089,171

 


 

MANHATTAN BRIDGE CAPITAL, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
FOR THE YEARS ENDED DECEMBER 31, 2012 and 2011

 

               2012

 

               2011

Interest income from loans

$ 1,475,800

 

$ 1,141,531

Origination fees

339,767

 

258,917

Total Revenue

1,815,567

 

1,400,448

Operating costs and expenses:

 

 

 

Interest and amortization of debt service costs

280,654

 

156,769

Referral fees

6,133

 

7,897

General and administrative expenses

864,398

 

866,705

     Total operating costs and expenses

1,151,185

 

1,031,371

 

 

 

 

Income from operations

664,382

 

369,077

 

 

 

 

Other income

27,548

 

79,329

Income before income tax expense

691,930

 

448,406

Income tax expense

    (303,320)

 

(191,882)

Net income

    $   388,610

 

    $   256,524

 

 

 

 

Basic and diluted net income per common share outstanding:

 

 

 

--Basic

$0.09

 

$0.07

--Diluted

$0.09

 

$0.07

Weighted average number of common shares outstanding

 

 

 

--Basic

4,320,050

 

3,634,048

--Diluted

4,326,329

 

3,646,074

                                  


MANHATTAN BRIDGE CAPITAL, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY
FOR THE YEARS ENDED DECEMBER 31, 2012 and 2011

 

Common Stock Additional Paid-in

Capital

Treasury Stock

Accumulated Deficit

Totals

 

 

 

 

 

 

 

Shares

Amount

 

Shares

Cost

 

 

Balance, January 1, 2011

3,405,190

$3,405

$9,588,849

80,731

$(241,400)

$(1,587,741)

$7,763,113

Non cash compensation

 

 

68,431

 

 

 

68,431

Grant of restricted shares

1,000,000

1,000

(1,000)

 

 

 

 

Net income  for the year ended December 31, 2011

 

 

 

 

 

 

         256,524

 

256,524

Balance, December 31, 2011

4,405,190

4,405

9,656,280

80,731

(241,400)

(1,331,217)

8,088,068

Non cash compensation

 

 

30,879

 

 

 

30,879

Purchase of treasury shares

 

 

 

26,400

(28,572)

 

(28,572)

Net income  for the year ended December 31, 2012

 

 

 

 

 

 

          388,610

 

388,610

Balance, December 31, 2012

4,405,190

$4,405

$9,687,159

107,131

$(269,972)

$(942,607)

$8,478,985


 

MANHATTAN BRIDGE CAPITAL, INC.  AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
FOR THE YEARS ENDED DECEMBER 31, 2012 and 2011

 

2012

 

2011

Cash flows from operating activities:
   Net income

 

$ 388,610

 

 

$ 256,524

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

 

 

 

      Amortization of deferred financing costs

47,078

 

36,395

      Depreciation

588

 

1,837

      Non cash compensation expense

30,879

 

68,431

   Changes in operating assets and liabilities

 

 

 

       Interest receivable on loans

(50,437)

 

(18,312)

       Other current and non current assets

(2,582)

 

8,130

       Accounts payable and accrued expenses

10,331

 

3,667

       Deferred origination fees

9,462

 

36,352

       Income taxes payable

99,470

 

(11,727)

              Net cash provided by operating activities

533,399

 

381,297

 

 

 

 

Cash flows from investing activities:

 

 

 

Investment in real estate (net of proceeds of $528,179 from partial exercises of options)

---

 

(146,821)

Issuance of short term loans

(15,173,500)

 

(8,512,537)

Collections received from loans

  10,963,486

 

7,254,478

              Net cash used in investing activities

(4,210,014)

 

(1,404,880)

 

Cash flows from financing activities:

 

 

 

       Proceeds from loans and line of credit, net

3,740,000

 

859,465

       Purchase of treasury shares

(28,572)

 

---

       Deferred financing costs incurred

(16,025)

 

---

             Net cash provided by financing activities

3,695,403

 

859,465

 

 

 

 

Net increase (decrease) in cash and cash equivalents

18,788

 

(164,118)

 

 

 

 

Cash and cash equivalents, beginning of year

221,905

 

386,023

 

 

 

 

Cash and cash equivalents, end of year

$ 240,693

 

$ 221,905

 

 

 

 

Supplemental Cash Flow Information:

 

 

 

Taxes paid during the year

$203,850

 

$203,727

Interest paid during the year

$234,835

 

$120,375