LONG ISLAND, N.Y. August 13, 2014 / GLOBE Newswire / -- Manhattan Bridge Capital, Inc. (NASDAQ: LOAN)

Manhattan Bridge Capital, Inc. announced today that its total revenue for the three month period ended June 30, 2014 was approximately $630,000 compared to approximately $554,000 for the three month period ended June 30, 2013, an increase of $76,000 or 13.7%. For the three month period ended June 30, 2014, approximately $518,000 of the Company's revenue represents interest income on the secured, commercial loans that the Company offers to small businesses compared to approximately $448,000 for the same period in 2013, and approximately $112,000 represents origination fees on such loans compared to approximately $106,000 for the same period in 2013. The increase in revenue represents an increase in lending operations.

Income from operations for the three month period ended June 30, 2014 was approximately $331,000 compared to approximately $247,000 for the same period ended June 30, 2013, an increase of $84,000 or 34.0%. This increase in income from operations resulted mainly from an increase in revenue and a decrease in general and administrative expenses, offset by an increase in interest and amortization of debt service costs.

Net income for the three month period ended June 30, 2014 was $0.10 per basic and diluted share (based on 4.284 million shares and 4.323 million shares), or $421,000, versus net income of $0.04 per basic and diluted share (based on 4.275 million shares and 4.289 million shares) or $158,000 for the three month period ended June 30, 2013. This increase in net income is mainly due to an increase in income from operations and a decrease in income tax expense as the Company believes it currently satisfies all of the requirements to be taxed as a REIT.

Total revenue for the six month period ended June 30, 2014 was approximately $1,239,000 compared to approximately $1,088,000 for the six month period ended June 30, 2013, an increase of $151,000 or 13.9%. For the six month period ended June 30, 2014, approximately $1,025,000 of the Company's revenue represents interest income on the secured, commercial loans that the Company offers to small businesses compared to approximately $892,000 for the same period in 2013, and approximately $214,000 represents origination fees on such loans compared to approximately $196,000 for the same period in 2013. The increase in revenue represents an increase in lending operations.

Income from operations for the six month period ended June 30, 2014 was approximately $647,000 compared to approximately $505,000 for the same period ended June 30, 2013, an increase of $142,000 or 28.1%. This increase in income from operations resulted mainly from an increase in revenue and a decrease in general and administrative expenses, offset by an increase in interest and amortization of debt service costs.

Net income for the six month period ended June 30, 2014 was $0.15 per basic and diluted share (based on 4.270 million shares and 4.304 million shares), or $629,000, versus net income of $0.08 per basic and diluted share (based on 4.279 million shares and 4.290 million shares) or $331,000 for the same period in 2013, an increase of $298,000. This increase in net income is mainly due to an increase in income from operations and a decrease in income tax expense as the Company believes it currently satisfies all of the requirements to be taxed as a REIT.
           

As of June 30, 2014 total shareholders' equity was approximately $9,456,000 compared to approximately $8,893,000 as of December 31, 2013, an increase of $563,000.

The Company completed a public offering of 1,754,386 common shares at a price to the public of $2.85 per share on July 31, 2014. As a result of the offering, the Company believes it currently satisfies all of the requirements to be taxed as a Real Estate Investment Trust and intends to elect REIT status beginning with its 2014 tax year.  As a REIT, the Company will generally not be subject to income taxes on its income, so long as it meets certain requirements, including distributing 90% of its taxable income to shareholders.  
Assaf Ran, Chairman of the Board and CEO stated, “The second quarter results reflect a pattern of constant growth and increased net earnings while maintaining disciplined underwriting practices in order to continue to avoid defaults.  As we have accomplished a successful stock offering in the beginning of the third quarter, I'm confident in our ability to sustain this record," added Mr. Ran.

Manhattan Bridge Capital, Inc. offers short-term secured, non–banking loans (sometimes referred to as ‘‘hard money’’ loans) to real estate investors to fund their acquisition, renovation, rehabilitation or improvement of properties located in the 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 condition 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 )we may not qualify as a REIT; (ii) we have a no operating history as a REIT;(iii) our loan origination activities, revenues and profits are limited by available funds (iv)we operate in a highly competitive market and competition may limit our ability to originate loans with favorable interest rates; (v) our chief executive officer is critical to our business and our future success may depend on our ability to retain him; (vi) if we overestimate the yields on our loans or incorrectly value the collateral securing the loan, we may experience losses; (vii) we may be subject to “lender liability” claims; (viii) our loan portfolio is illiquid; (ix) our due diligence may not uncover all of a borrower’s liabilities or other risks to its business; (x) borrower concentration could lead to significant losses; (xi) our management has no experience managing a REIT; and (xii) we may choose to make distributions in our own stock, in which case you may be required to pay income taxes in excess of the cash dividends you receive.   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.