GREAT NECK, N.Y., May 02, 2016 (GLOBE NEWSWIRE) -- Manhattan Bridge Capital, Inc. (NASDAQ:LOAN) announced today that net income for the three month period ended March 31, 2016 was approximately $695,000 or $0.10 per share, versus approximately $476,000 or $0.08 per share for the three month period ended March 31, 2015, an increase in net income of 46.0% or in earnings per share of 25%. This increase is primarily attributable to the increase in revenue and the decrease in operating expenses.

Total revenues for the three month period ended March 31, 2016 were approximately $1,105,000 compared to approximately $912,000 for the three month period ended March 31, 2015, an increase of $193,000 or 21.2%. The increase in revenue represents an increase in lending operations. In 2016, approximately $914,000 of our revenue represents interest income on secured, commercial loans that we offer to small businesses compared to approximately $757,000 for the same period in 2015, and approximately $190,000 represents origination fees on such loans compared to approximately $155,000 for the same period in 2015. The loans are principally secured by collateral consisting of real estate and, generally, accompanied by personal guarantees from the principals of the businesses.

As of March 31, 2016 total stockholders' equity was approximately $18,442,000 compared to approximately $17,743,000 as of December 31, 2015, an increase of $699,000.

On April 25, 2016, MBC Funding II Corp (“Funding”), our wholly owned subsidiary, completed an underwritten public offering of 6% senior notes due April 22, 2026. We guaranteed Funding’s obligations under the Notes, which is secured by our pledge of 100% of the outstanding common shares of Funding owned by us. The gross proceeds to Funding from this offering were approximately $6.0 million, and the net proceeds were approximately $5.3 million, after deducting the underwriting discounts and commissions and other offering expenses. Funding utilized the proceeds to purchase a pool of mortgage loans from us, which we in turn used to pay down the Webster Credit Line.

Assaf Ran, Chairman of the Board and CEO stated, “As we started 2016 we experienced an unusual number of loan pay-offs. We see that as a good indicator of the quality of our portfolio, but it also created a challenge to redeploy the proceeds in order to maintain our growth. We took the necessary steps in order to build a pipe line of qualified loans and as reflected in the financial results we successfully managed to face the challenge," added Mr. Ran.

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. 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 have limited operating history as a REIT; (ii) our loan origination activities, revenues and profits are limited by available funds (iii) we operate in a highly competitive market and competition may limit our ability to originate loans with favorable interest rates; (iv) our chief executive officer is critical to our business and our future success may depend on our ability to retain him; (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 loan portfolio is illiquid; (viii) our due diligence may not uncover all of a borrower’s liabilities or other risks to its business; (ix) borrower concentration could lead to significant losses; (x) our management has no experience managing a REIT; and (xi) 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.

Contact:
Assaf Ran, CEO
Vanessa Kao, CFO
(516) 444-3400

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