Manhattan Bridge Capital, Inc. Reports Third Quarter Financial Results -- Further Increased Revenue and Earnings

• Press Release
• Source: Manhattan Bridge Capital, Inc.
• On 7:30 am EST, Monday November 2, 2009

NEW YORK, Nov. 2, 2009 (GLOBE NEWSWIRE) -- Manhattan Bridge Capital, Inc. (Nasdaq:LOAN - News), (the "Company") announced today that total revenue for the three month period ended September 30, 2009 was approximately $289,000 compared to approximately $200,000 for the same period in 2008, an increase of $89,000 or 44.5%. For the three month period ended September 30, 2009, $235,000 of the Company's revenue represented interest income on the short term secured commercial loans that the Company offers to small businesses compared to $178,000 for the same period in 2008, and $54,000 represents origination fees on such loans compared to $22,000 for the same period in 2008.

Related Quotes

Symbol	Price	Change
LOAN	1.00	-0.05

{"s" : "loan","k" : "c10,l10,p20,t10","o" : "","j" : ""}

Income from operations for the three month period ended September 30, 2009 was approximately $140,000 compared to approximately $44,000 for the same period ended September 30, 2008, an increase of $96,000. This increase in income from operations resulted mainly from increased revenue from short term secured commercial loans.

Net income for the three month period ended September 30, 2009 was $0.03 per basic and diluted share (based on 3.3 million shares), or $83,593, versus net income of $0.02 per basic and diluted share (based on 3.2 million shares) or $48,809 for the three month period ended September 30, 2008. This increase in net income was mainly due to an increase in income from operations, offset by an increase in income tax expense and a decrease in other income.

Total revenues for the nine month period ended September 30, 2009 were $770,000 versus total revenues of $544,000 for the nine month period ended September 30, 2008. For the nine month period ended September 30, 2009, $633,000 of the Company's revenue represented interest income on the short term secured commercial loans that the Company offers to small businesses compared to $489,000 for the same period in 2008, and $137,000 represents origination fees on such loans compared to $55,000 for the same period in 2008.

Net income for the nine month period ended September 30, 2009 was $0.07 per basic and diluted share (based on 3.3 million shares), or $229,203, versus net income of $0.07 per basic and diluted share (based on 3.2 million shares) or $240,723 for the same period in 2008, a decrease of approximately $12,000. This decrease in net income was mainly due to income from discontinued operations of approximately $73,000 that was recorded in the nine month period ended September 30, 2008, an increase in income tax expense of approximately $109,000 and a decrease in other income of approximately $92,000, offset by an increase in income from operations of $262,000.

As of September 30, 2009, the Company reported approximately $6,965,000 of outstanding short term loans and $601,000 of cash and cash equivalents and marketable securities.

As of September 30, 2009 total shareholders' equity was $7,392,000 compared to $6,990,000 as of December 31, 2008, an increase of $402,000.

Assaf Ran, Chairman of the Board and CEO, stated, "The financial results of the third quarter reflect the steady growth pattern of the Company. As we started leveraging our portfolio I am confident that we will continue growing our revenue and earnings."

"Market conditions are still working in our favor as many banks are reluctant to lend even to qualified borrowers," added Mr. Ran.

The Company recently announced a stock repurchase program as management believes that the Company's stock price is undervalued at the marketplace.

Manhattan Bridge Capital, Inc., provides short term, secured, non-banking, commercial loans to small businesses. We operate the web site: http://www.manhattanbridgecapital.com

Forward-looking statements in this release are made pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Any forward-looking statements contained herein, including those related to the Company's future performance are based upon the Company's historical performance and on current plans, estimates and expectations, which are subject to various risks and uncertainties, and other factors that could cause actual results to differ materially from the future results expressed or implied by the forward-looking statements, including, but not limited to, the impact of competition, product demand and pricing, and those described in the reports and statements filed by the Company with the Securities and Exchange Commission, including, among others, those described in the Company's Annual Report on Form 10-K.

            MANHATTAN BRIDGE CAPITAL, INC. AND SUBSIDIARIES
                     CONSOLIDATED BALANCE SHEETS


 Assets                                      September 30, December 31,
                                                 2009         2008
                                              -----------  -----------
                                              (Unaudited)   (Audited)

 Current assets:
 Cash and cash equivalents                    $   239,874  $   884,296
 Investment in marketable securities              361,176      499,207
                                              ------------------------
     Total cash and cash equivalents and
      investment in marketable securities
      at fair value                               601,050    1,383,503


 Short term loans                               6,964,627    5,362,060
 Interest receivable on short term loans          119,197       79,674
 Due from purchaser                                    --       23,881
 Other current assets                              28,443        8,813
                                              ------------------------
     Total current assets                       7,713,317    6,857,931

 Long term loans                                       --      200,000
 Property and equipment, net                        6,216        9,421
 Security deposit                                  17,515       17,515
 Investment in privately held company, at cost    100,000      100,000
                                              ------------------------

     Total assets                             $ 7,837,048  $ 7,184,867
                                              ========================

 Liabilities and Shareholders' Equity
 Current liabilities:
 Line of Credit                               $   156,582  $        --
 Accounts payable and accrued expenses             97,103      130,375
 Deferred origination fees                         99,636       53,106
 Income taxes payable                              92,182       11,104
                                              ------------------------
     Total liabilities, all current               445,503      194,585
                                              ------------------------

 Commitments and contingencies
 Shareholders' equity:

 Preferred shares - $.01 par value; 5,000,000
  shares authorized; no shares issued                  --           --
 Common shares - $.001 par value; 25,000,000
  authorized; 3,405,190
  issued and 3,325,760 outstanding                  3,405        3,405
 Additional paid-in capital                     9,461,141    9,399,861
 Treasury stock, at cost- 79,430 shares          (239,944)    (239,944)
 Accumulated other comprehensive income (loss)     80,692      (30,088)
 Accumulated deficit                           (1,913,749)  (2,142,952)
                                              ------------------------
     Total shareholders' equity                 7,391,545    6,990,282
                                              ------------------------

 Total liabilities and shareholders' equity   $ 7,837,048  $ 7,184,867
                                              ========================

             MANHATTAN BRIDGE CAPITAL, INC. AND SUBSIDIARIES
                  CONSOLIDATED STATEMENTS OF OPERATIONS
                               (unaudited)

                                Three Months          Nine Months
                                ------------          -----------
                             Ended September 30,   Ended September 30,
                             -------------------   -------------------
                               2009       2008       2009       2008

 Interest income from short
  term loans                $ 235,249  $ 177,650  $ 632,864  $ 489,035
 Origination fees              53,359     22,438    137,304     55,071
 Subscription revenues, net        --         38         --        138
                            ------------------------------------------
     Total Revenue            288,608    200,126    770,168    544,244
                            ------------------------------------------

 Operating costs and expenses:
 Web development expenses          --     12,336         --     37,008
 General and administrative
  expenses                    148,164    143,520    453,267    452,702
                            ------------------------------------------
     Total operating costs
      and expenses            148,164    155,856    453,267    489,710
                            ------------------------------------------
 Income from operations       140,444     44,270    316,901     54,534
                            ------------------------------------------

 Interest and dividend income   3,581     17,885     19,419     59,007
 Realized (loss) gain
  on marketable securities         --         --     (5,940)    18,122
 Realized (loss) gain
  on marketable
  securities that were
  previously marked down       (8,004)        --     10,654         --
 Other income                      --         --         --     39,000
                            ------------------------------------------
     Total other (expenses)
      income                   (4,423)    17,885     24,133    116,129
                            ------------------------------------------
 Income from continuing
  operations before
  income tax expense          136,021     62,155    341,034    170,663
 Income tax expense           (52,428)   (13,346)  (111,831)    (2,857)
                            ------------------------------------------
 Income from continuing
  operations                   83,593     48,809    229,203    167,806
                            ------------------------------------------
 Discontinued Operations:
 Gain on the sale of the
  Directories business (net
  of tax effect of 0 in
  2008)                            --         --         --     72,917
                            ------------------------------------------
 Income from discontinued
  operations                       --         --         --     72,917
                            ------------------------------------------
 Net Income                 $  83,593  $  48,809  $ 229,203  $ 240,723
                            ==========================================

 Basic net income per
  common share outstanding:
 Continuing operations      $    0.03  $    0.02  $    0.07  $    0.05
 Discontinued operations           --                    --       0.02
                            ------------------------------------------
 Net income per common
  share-Basic               $    0.03  $    0.02  $    0.07  $    0.07
                            ==========================================
 Diluted net income per
  common share outstanding:
 Continuing operations      $    0.03  $    0.02  $    0.07  $    0.05
 Discontinued operations           --                    --       0.02
                            ------------------------------------------
 Net income per common
  share- Diluted            $    0.03  $    0.02  $    0.07  $    0.07
                            ==========================================
 Weighted average number
  of common shares
  outstanding
 --Basic                    3,325,760  3,236,460  3,325,760  3,236,460
 --Diluted                  3,333,628  3,237,953  3,327,364  3,238,121


             MANHATTAN BRIDGE CAPITAL, INC. AND SUBSIDIARIES
                  CONSOLIDATED STATEMENTS OF CASH FLOWS
                               (unaudited)

                                                   Nine Months Ended
                                                     September 30,
                                                    2009       2008
                                                 ---------------------
 Cash flows from operating activities:
   Net income                                    $ 229,203  $  240,723
   Adjustments to reconcile net income to net
    cash provided by operating activities:
   Gain on the sale of  discontinued operations         --     (72,917)
   Depreciation and amortization                     3,205      40,624
   Non cash compensation expense                    61,280      79,032
   Realized loss (gain) on sale of marketable
    securities                                       5,940     (18,122)
   Realized gain on marketable securities that
    were previously marked down                    (10,654)         --
   Changes in operating assets and liabilities:
     Interest receivable on short term loans       (39,523)    (23,508)
     Due from purchaser                             23,881      35,000
     Other current and non current assets          (19,630)     (7,435)
     Accounts payable and accrued expenses         (33,272)    (38,670)
     Deferred origination fees                      46,530      58,061
     Income taxes payable                           81,078       9,104
                                                 ---------------------
       Net cash provided by operating activities   348,038     301,892
                                                 ---------------------

 Cash flows from investing activities:
   Proceeds from sale of marketable securities,
    auction rate securities and annuity contract   253,525   1,844,070
   Investment in marketable securities, auction
    rate securities and annuity contract                --  (1,175,000)
   Issuance of short term and long term loans   (4,988,030) (4,543,977)
   Collection received from short term loans     3,585,463   3,166,897
   Cash received on sale of Jewish Directories          --      97,222
                                                 ---------------------
       Net cash used in investing activities    (1,149,042)  (610,788)
                                                 ---------------------

 Cash flows from financing activities:
   Use of line of credit                           156,582          --
                                                 ---------------------
       Net cash provided by financing activities   156,582          --
                                                 ---------------------

 Net decrease in cash                             (644,422)   (308,896)
 Cash and cash equivalents, beginning of the year  884,296     621,724
                                                 ---------------------
 Cash and cash equivalents, end of period        $ 239,874  $  312,828
                                                 =====================

 Supplemental Cash Flow Information:
 Taxes paid during the period                    $  30,753  $   11,465
                                                 =====================
 Interest paid during the period                 $     746  $    4,421
                                                 =====================

Manhattan Bridge Capital, Inc.
Assaf Ran, CEO
Inbar Evron-Yogev, CFO
(212) 489-6800