Manhattan Bridge Capital, Inc (LOAN)

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Manhattan Bridge Capital, Inc. Reports Results for 2017Net Income increases by 21.2% to over $3.4 million
GLOBENEWSWIRE 5:05 AM ET 3/19/2018

GREAT NECK, N.Y., March 19, 2018 (GLOBE NEWSWIRE) --

Manhattan Bridge Capital, Inc. (LOAN) announced today that net income for the year ended December 31, 2017 was approximately $3,439,000, or $0.42 per share (based on approximately 8.1 million weighted-average outstanding common shares), versus approximately $2,837,000, or $0.37 per share (based on approximately 7.6 million weighted-average outstanding common shares), for the year ended December 31, 2016, an increase of $602,000 or 21.2%. This increase in net income was mainly due to an increase in operating income as a result of increased lending activity.


Total revenue for the year ended December 31, 2017 was approximately $5,919,000 compared to approximately $4,649,000 for the year ended December 31, 2016, an increase of $1,270,000 or 27.3%. The increase in revenue represents an increase in lending operations. In 2017, approximately $5,016,000 of the Company’s revenue represents interest income on secured, commercial loans that the Company offers to small businesses compared to approximately $3,845,000 in 2016, and approximately $903,000 represents origination fees on such loans compared to approximately $804,000 in 2016.

Total operating costs and expenses for the year ended December 31, 2017 were approximately $2,457,000 compared to approximately $1,794,000 for the year ended December 31, 2016, an increase of $663,000 or 37.0%. The increase in operating costs and expenses is primarily attributable to an increase in interest and amortization of deferred financing costs resulting from the Company’s use of a line of credit and the issuance in 2016 of senior secured notes by the Company’s wholly-owned subsidiary in order to increase its ability to make loans.

Assaf Ran, Chairman of the Board and CEO, stated, “During the year 2017 we’ve continued to demonstrate controlled and responsible growth, while maintaining our impressive track record of no defaults. In August 2017, the Company increased its bank line of credit from $14 million to $20 million. This allowed us to further increase our loan portfolio and set new Company records for both revenue and net earnings. As a REIT, the increased earnings allowed us to increase the cash dividend we pay stockholders once again, to $.12 per share quarterly. As we look forward to continued success in 2018, we are committed to disciplined underwriting in order to prepare for a possible slowing economy.”

About Manhattan Bridge Capital, Inc.(LOAN)
Manhattan Bridge Capital, Inc. (LOAN) 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 around the New York metropolitan area. We operate the web site: http://www.manhattanbridgecapital.com

Forward Looking Statements

This press release and the statements of our 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. For example, when we state that we offer increased dividends and growth and success in 2018 we are using 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) if we overestimate the yields on our loans or incorrectly value the collateral securing the loan, we may experience losses; (v) we may be subject to “lender liability” claims; (vi) our loan portfolio is illiquid; (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; (ix) our management has limited experience managing a real estate investment trust; and (x) 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 risk factors contained in our Annual Report on Form 10-K for the fiscal year ended December 31, 2017 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.