Manhattan Bridge Capital, Inc. (Nasdaq: LOAN)
announced today that net income for the year ended December 31,
2022 was approximately $5,212,000, or $0.45 per share (based on
approximately 11.5 million weighted-average outstanding common
shares), versus approximately $4,423,000, or $0.42 per share (based
on approximately 10.5 million weighted-average outstanding common
shares) for the year ended December 31, 2021, an increase of
$789,000, or 17.8%. This increase is primarily attributable to an
increase in revenue, partially offset by increases in interest
expense and general and administrative expenses.
Total revenue for the year ended December 31,
2022 was approximately $8,571,000, compared to approximately
$6,808,000 for the year ended December 31, 2021, an increase of
$1,763,000, or 25.9%. The increase in revenue was due to an
increase in lending operations. In 2022, approximately $6,773,000
of our revenue represents interest income on secured, real estate
loans that we offer to real estate investors compared to
approximately $5,609,000 in 2021, and approximately $1,798,000
represents origination fees on such loans, compared to
approximately $1,199,000 in 2021. The loans are principally secured
by collateral consisting of real estate and accompanied by personal
guarantees from the principals of the borrowers.
Total operating costs and expenses for the year
ended December 31, 2022 were approximately $3,377,000 compared to
approximately $2,402,000 for the year ended December 31, 2021, an
increase of $975,000, or 40.6%. The increase in operating costs and
expenses was primarily attributable to an increase in interest
expense due to higher LIBOR rates relating to the use of our credit
line in order to support our ability to increase loan originations,
the significant reduction in the outstanding balance of our credit
line due to a public offering of our common shares in July 2021,
which gradually increased through December 2022, and a voluntary
waiver from our Chief Executive Officer of his base salary for the
fourth quarter of 2021.
As of December 31, 2022, total shareholders'
equity was approximately $42,864,000, compared to approximately
$43,386,000 as of December 31, 2021.
Assaf Ran, Chairman of the Board and CEO,
stated, “The dramatic interest rate increase during the 2022 fiscal
year changed the dynamics of “Hard Money” lending. We have
experienced a slow real estate market, a tight spread, and a drop
in investor confidence, but also less competition. Although we
benefited tremendously from our low debt-to-equity ratio in this
rough time, and managed to present an all-time annual earnings
record, the increased interest rate on our adjustable-rate line of
credit became an unexpected burden and the main reason that our
earnings per share were only $0.45 for the 2022 fiscal year.”
About Manhattan Bridge Capital,
Inc.
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, including New Jersey and
Connecticut, and in Florida. We operate the website:
https://www.manhattanbridgecapital.com.
Forward Looking Statements
This press release and the statements of the
Company’s representatives related thereto contain or may contain
forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995. Statements that are not
statements of historical fact may be deemed to be forward-looking
statements. Without limiting the generality of the foregoing, words
such as “plan,” “project,” “potential,” “seek,” “may,” “will,”
“expect,” “believe,” “anticipate,” “intend,” “could,” “estimate,”
or “continue” are intended to identify forward-looking statements.
Readers are cautioned that certain important factors may affect the
Company’s actual results and could cause such results to differ
materially from any forward-looking statements that may be made in
this news release. 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, including but not limited to the following: (i) our loan
origination activities, revenues and profits are limited by
available funds; (ii) we operate in a highly competitive market and
competition may limit our ability to originate loans with favorable
interest rates; (iii) our Chief Executive Officer is critical to
our business and our future success may depend on our ability to
retain him; (iv) an increase in interest rates may impact our
profitability; (v) if we overestimate the yields on our loans or
incorrectly value the collateral securing the loan, we may
experience losses; (vi) we may be subject to “lender liability”
claims; (vii) our due diligence may not uncover all of a borrower’s
liabilities or other risks to its business; (viii) borrower
concentration could lead to significant losses and (ix) 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. The risk factors contained in our Annual Report on Form 10-K
for the fiscal year ended December 31, 2022 filed with the
Securities and Exchange Commission identify important factors that
could cause such differences. These forward-looking statements
speak only as of the date of this press release, and we caution
potential investors not to place undue reliance on such statements.
We undertake no obligation to publicly update any forward-looking
statements, whether as a result of new information, future events
or otherwise, except as required by applicable law.
MANHATTAN BRIDGE CAPITAL, INC. AND
SUBSIDIARY CONSOLIDATED BALANCE SHEETS
DECEMBER 31, 2022 and 2021
|
Assets |
|
2022 |
|
|
2021 |
| Loans receivable |
$ |
74,483,463 |
|
$ |
65,715,364 |
| Interest receivable on
loans |
|
1,363,502 |
|
|
955,443 |
| Cash |
|
103,540 |
|
|
142,546 |
| Other assets |
|
59,566 |
|
|
64,745 |
| Operating lease right-of-use
asset, net |
|
262,222 |
|
|
317,080 |
| Deferred financing costs,
net |
|
7,708 |
|
|
10,539 |
|
Total assets |
$ |
76,280,001 |
|
$ |
67,205,717 |
|
Liabilities and Stockholders’ Equity |
|
|
|
| Liabilities: |
|
|
|
|
Line of credit |
$ |
24,994,234 |
|
|
$ |
15,645,970 |
|
| Senior secured notes (net of
deferred financing costs of $247,155 and $322,241,
respectively) |
|
5,752,845 |
|
|
|
5,677,759 |
|
| Deferred origination fees |
|
669,128 |
|
|
|
580,461 |
|
| Accounts payable and accrued
expenses |
|
289,868 |
|
|
|
154,169 |
|
| Operating lease liability |
|
273,485 |
|
|
|
324,248 |
|
| Dividends payable |
|
1,436,868 |
|
|
|
1,436,868 |
|
|
Total liabilities |
|
33,416,428 |
|
|
|
23,819,475 |
|
| Commitments and
contingencies |
|
|
|
| Stockholders’ equity: |
|
|
|
| Preferred shares - $.01 par
value; 5,000,000 shares authorized; none issued |
|
--- |
|
|
|
--- |
|
| Common shares - $.001 par
value; 25,000,000 shares authorized; 11,757,058 issued; 11,494,945
outstanding |
|
11,757 |
|
|
|
11,757 |
|
| Additional paid-in
capital |
|
45,535,811 |
|
|
|
45,522,746 |
|
| Treasury stock, at cost –
262,113 shares |
|
(798,939 |
) |
|
|
(798,939 |
) |
| Accumulated deficit |
|
(1,885,056 |
) |
|
|
(1,349,322 |
) |
|
Total stockholders’ equity |
|
42,863,573 |
|
|
|
43,386,242 |
|
| Total liabilities and
stockholders’ equity |
$ |
76,280,001 |
|
|
$ |
67,205,717 |
|
MANHATTAN BRIDGE CAPITAL, INC. AND
SUBSIDIARY CONSOLIDATED STATEMENTS OF
OPERATIONS FOR THE YEARS ENDED DECEMBER 31, 2022
and 2021
|
|
|
2022 |
|
|
|
2021 |
|
|
Interest income from loans |
$ |
6,772,889 |
|
|
$ |
5,608,660 |
|
|
Origination fees |
|
1,798,075 |
|
|
|
1,199,230 |
|
|
Total Revenue |
|
8,570,964 |
|
|
|
6,807,890 |
|
|
Operating costs and expenses: |
|
|
|
|
Interest and amortization of deferred financing costs |
|
1,822,825 |
|
|
|
1,045,548 |
|
|
Referral fees |
|
4,500 |
|
|
|
7,532 |
|
|
General and administrative expenses |
|
1,549,251 |
|
|
|
1,348,838 |
|
|
Total operating costs and expenses |
|
3,376,576 |
|
|
|
2,401,918 |
|
|
|
|
|
|
|
Income from operations |
|
5,194,388 |
|
|
|
4,405,972 |
|
|
Other income |
|
18,000 |
|
|
|
18,000 |
|
|
Income before income tax expense |
|
5,212,388 |
|
|
|
4,423,972 |
|
|
Income tax expense |
|
(650 |
) |
|
|
(647 |
) |
|
Net income |
$ |
5,211,738 |
|
|
$ |
4,423,325 |
|
|
|
|
|
|
|
Basic and diluted net income per common share outstanding: |
|
|
|
|
--Basic |
$ |
0.45 |
|
|
$ |
0.42 |
|
|
--Diluted |
$ |
0.45 |
|
|
$ |
0.42 |
|
|
|
|
|
|
|
Weighted average number of common shares outstanding |
|
|
|
|
--Basic |
|
11,494,945 |
|
|
|
10,524,055 |
|
|
--Diluted |
|
11,494,945 |
|
|
|
10,524,055 |
|
MANHATTAN BRIDGE CAPITAL, INC. AND
SUBSIDIARY CONSOLIDATED STATEMENTS OF CHANGES IN
STOCKHOLDERS’ EQUITY FOR THE YEARS ENDED DECEMBER
31, 2022 and 2021
|
|
Common Stock |
Additional Paid-in Capital |
Treasury Stock |
Accumulated Deficit |
Totals |
|
|
Shares |
Amount |
|
Shares |
Cost |
|
|
|
Balance, January 1, 2021 |
9,882,058 |
$9,882 |
$33,157,096 |
262,113 |
$(798,939 |
) |
$ (403,849 |
) |
$ 31,964,190 |
|
|
Public offering, net |
1,875,000 |
|
1,875 |
|
12,352,585 |
|
|
|
|
12,354,460 |
|
|
Non cash compensation |
|
|
|
13,065 |
|
|
|
|
13,065 |
|
|
Dividends paid |
|
|
|
|
|
|
(3,931,930 |
) |
|
(3,931,930 |
) |
|
Dividends declared and payable |
|
|
|
|
|
|
(1,436,868 |
) |
|
(1,436,868 |
) |
|
Net income for the year ended December 31, 2021 |
|
|
|
|
|
|
4,423,325 |
|
|
4,423,325 |
|
|
Balance, December 31, 2021 |
11,757,058 |
|
11,757 |
|
45,522,746 |
262,113 |
|
(798,939 |
) |
|
(1,349,322 |
) |
|
43,386,242 |
|
|
Non cash compensation |
|
|
|
13,065 |
|
|
|
|
13,065 |
|
|
Dividends paid |
|
|
|
|
|
|
(4,310,604 |
) |
|
(4,310,604 |
) |
|
Dividends declared and payable |
|
|
|
|
|
|
(1,436,868 |
) |
|
(1,436,868 |
) |
|
Net income for the year ended December 31, 2022 |
|
|
|
|
|
|
5,211,738 |
|
|
5,211,738 |
|
|
Balance, December 31, 2022 |
11,757,058 |
$ |
11,757 |
$ |
45,535,811 |
262,113 |
$ |
(798,939 |
) |
$ |
(1,885,056 |
) |
$ |
42,863,573 |
|
MANHATTAN BRIDGE CAPITAL, INC. AND
SUBSIDIARY CONSOLIDATED STATEMENTS OF CASH
FLOWS FOR THE YEARS ENDED DECEMBER 31, 2022 and
2021
|
|
|
2022 |
|
|
|
2021 |
|
|
Cash flows from operating activities: |
|
|
|
|
|
|
|
|
Net income |
$ |
5,211,738 |
|
|
$ |
4,423,325 |
|
|
Adjustments to reconcile net income to net cash provided by
operating activities - |
|
|
|
|
Amortization of deferred financing costs |
|
113,736 |
|
|
|
87,353 |
|
|
Depreciation |
|
2,307 |
|
|
|
2,265 |
|
|
Non cash compensation expense |
|
13,065 |
|
|
|
13,065 |
|
|
Adjustment to operating lease right-of-use asset and liability |
|
4,096 |
|
|
|
3,960 |
|
|
Changes in operating assets and liabilities |
|
|
|
|
Interest receivable on loans |
|
(408,059 |
) |
|
|
(128,207 |
) |
|
Other assets |
|
5,742 |
|
|
|
(443 |
) |
|
Accounts payable and accrued expenses |
|
135,699 |
|
|
|
(14,771 |
) |
|
Deferred origination fees |
|
88,667 |
|
|
|
212,823 |
|
|
Net cash provided by operating activities |
|
5,166,991 |
|
|
|
4,599,370 |
|
|
|
|
|
|
|
Cash flows from investing activities: |
|
|
|
|
Issuance of short term loans |
|
(60,915,596 |
) |
|
|
(49,267,892 |
) |
|
Collections received from loans |
|
52,147,497 |
|
|
|
41,650,498 |
|
|
Purchase of fixed assets |
|
(2,871 |
) |
|
|
--- |
|
|
Net cash used in investing activities |
|
(8,770,970 |
) |
|
|
(7,617,394 |
) |
|
Cash flows from financing activities: |
|
|
|
|
Proceeds from public offering, net |
|
--- |
|
|
|
12,354,460 |
|
|
Proceeds from (repayment of) line of credit, net |
|
9,348,264 |
|
|
|
(4,662,903 |
) |
|
Dividends paid |
|
(5,747,472 |
) |
|
|
(4,990,124 |
) |
|
Deferred financing costs incurred |
|
(35,819 |
) |
|
|
--- |
|
|
Net cash provided by financing activities |
|
3,564,973 |
|
|
|
2,701,433 |
|
|
|
|
|
|
|
Net decrease in cash and restricted cash |
|
(39,006 |
) |
|
|
(316,591 |
) |
|
Cash and restricted cash, beginning of year* |
|
142,546 |
|
|
|
459,137 |
|
|
Cash, end of year |
$ |
103,540 |
|
|
$ |
142,546 |
|
|
|
|
|
|
|
|
|
|
|
|
Supplemental Cash Flow Information: |
|
|
|
|
Taxes paid during the year |
$ |
650 |
|
|
$ |
647 |
|
|
Interest paid during the year |
$ |
1,581,935 |
|
|
$ |
982,491 |
|
|
Operating leases paid during the year |
$ |
63,621 |
|
|
$ |
63,481 |
|
|
|
|
|
|
|
Supplemental Information – Noncash Information: Dividend declared
and payable |
$ |
1,436,868 |
|
|
$ |
1,436,868 |
|
* At January 1, 2021, cash and restricted cash
included $327,483 of restricted cash.
Contact:
Assaf Ran, CEO
Vanessa Kao, CFO
(516) 444-3400
SOURCE: Manhattan Bridge Capital, Inc.
Grafico Azioni Manhattan Bridge Capital (NASDAQ:LOAN)
Storico
Da Gen 2025 a Feb 2025
Grafico Azioni Manhattan Bridge Capital (NASDAQ:LOAN)
Storico
Da Feb 2024 a Feb 2025
