StockNews.AI
LOAN
StockNews.AI
117 days

Manhattan Bridge Capital, Inc. Reports First Quarter Results for 2025

1. LOAN reported Q1 2025 net income of $1,373,000, down 7.0% year-over-year. 2. Total revenue declined 11.6% to approximately $2,274,000 from $2,573,000. 3. Interest income on loans dropped significantly due to decreased loans receivable. 4. CEO noted market concerns due to interest rate delays and global uncertainty. 5. The company maintains strong borrower relationships and low leverage positioning.

Earnings
+0.2%Current Return
VS
+2.28%S&P 500
$5.1204/24 07:07 AM EDTEvent Start
$5.1304/25 01:53 PM EDTLatest Updated
13m saved
Insight
Article

FAQ

Why Bearish?

The decline in net income and total revenue indicates financial stress. A historical precedent occurred in mid-2018 when rising interest rates similarly affected loan income streams across similar firms, leading to share price declines.

How important is it?

The earnings report directly reflects the company's operational health. Decreasing revenue might influence investor decisions and stock performance in the near future.

Why Short Term?

Financial performance indicators can impact investor sentiment swiftly. Immediate market reactions may be observed as stakeholders digest the earnings results.

Related Companies

REITCEXPKG
GREAT NECK, N.Y., April 24, 2025 (GLOBE NEWSWIRE) -- Manhattan Bridge Capital, Inc. (Nasdaq: LOAN) (the “Company”) announced today that its net income for the three months ended March 31, 2025 was approximately $1,373,000, or $0.12 per share (based on approximately 11.4 million weighted-average outstanding common shares), compared to approximately $1,476,000, or $0.13 per share (based on approximately 11.4 million weighted-average outstanding common shares) for the three months ended March 31, 2024, a decrease of $103,000, or 7.0%. This decrease is primarily attributable to a decrease in interest income from loans, partially offset by a decrease in interest expense. Total revenues for the three months ended March 31, 2025 were approximately $2,274,000 compared to approximately $2,573,000 for the three months ended March 31, 2024, a decrease of $299,000, or 11.6%. The decrease in revenue was primarily attributable to lower interest income, resulting from a reduction in loans receivable, period over period. For the three months ended March 31, 2025, approximately $1,834,000 of the Company’s revenue represents interest income on secured commercial loans that the Company offers to real estate investors, compared to approximately $2,142,000 for the same period in 2024, and approximately $440,000 and $431,000, respectively, represent origination fees on such loans. The loans are principally secured by collateral consisting of real estate and accompanied by personal guarantees from the principals of the borrowers. As of March 31, 2025, total shareholders' equity was approximately $43,326,000. Assaf Ran, Chairman of the Board and Chief Executive Officer of the Company, stated, “The first quarter of 2025 began with an optimistic consensus among the real estate investor community. However, due to the delays in the reduction of interest rates and global economic uncertainty, we now sense some concerns about the likelihood of an immediate recovery of the real estate market. Again, thanks to our low leverage, strict underwriting, and strong relationships with our borrowers, we believe that we remain well-positioned to navigate these challenges.” 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. For example, when the Company discusses its belief that it remains well-positioned to navigate market challenges, it is 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 due diligence may not uncover all of a borrower’s liabilities or other risks to its business; (vii) borrower concentration could lead to significant losses; (viii) 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; (ix) an increase in interest rates may impact our profitability; (x) we may be unsuccessful in our efforts to extend or replace our existing credit line; and (xi) we may be unsuccessful in our efforts to refinance our 6% senior secured notes, due April 22, 2026. The risk factors contained in our Annual Report on Form 10-K for the fiscal year ended December 31, 2024 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     AssetsMarch 31, 2025 (unaudited) December 31, 2024                 (audited)Loans receivable, net of deferred origination and other fees$63,672,278 $65,405,731Interest and other fees receivable on loans 1,618,826  1,521,033Cash          201,363  178,012Cash – restricted 21,769  23,750Other assets 119,642  62,080Right-of-use asset – operating lease, net 140,836  154,039Deferred financing costs, net 12,706  16,171         Total assets$65,787,420 $67,360,816 Liabilities and Stockholders’ EquityLiabilities:   Line of credit$14,825,735 $16,427,874Senior secured notes (net of deferred financing costs of $78,214 and $96,985, respectively)  5,921,786   5,903,015Accounts payable and accrued expenses 194,801  232,236Operating lease liability 153,571  167,119Loan holdback 50,000  50,000Dividends payable 1,315,445  1,315,445Total liabilities 22,461,338  24,095,689 Commitments and contingencies       Stockholders’ equity:   Preferred shares - $.01 par value; 5,000,000 shares authorized; none issued and outstanding  ---   ---Common shares - $.001 par value; 25,000,000 shares authorized; 11,757,058 issued; 11,438,651 outstanding  11,757   11,757Additional paid-in capital 45,565,207  45,561,941Less: Treasury stock, at cost – 318,407 shares (1,070,406)  (1,070,406)Accumulated deficit (1,180,476)  (1,238,165)         Total stockholders’ equity 43,326,082  43,265,127Total liabilities and stockholders’ equity$ 65,787,420 $ 67,360,816 MANHATTAN BRIDGE CAPITAL, INC. AND SUBSIDIARY CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited)  Three Months Ended March 31,  2025 2024Revenue:  Interest income from loans$1,833,914$2,142,487Origination fees 439,799 430,591        Total revenue 2,273,713 2,573,078 Operating costs and expenses:  Interest and amortization of deferred financing costs 451,365 690,589Referral fees 144 500General and administrative expenses 453,570 410,278         Total operating costs and expenses 905,079 1,101,367   Income from operations 1,368,634 1,471,711Other income 4,500 4,500Net income$1,373,134$1,476,211   Basic and diluted net income per common share outstanding:  --Basic$0.12$0.13--Diluted$0.12$0.13   Weighted average number of common shares outstanding:  --Basic 11,438,651 11,438,673--Diluted 11,438,651 11,438,673  MANHATTAN BRIDGE CAPITAL, INC. AND SUBSIDIARY CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY (unaudited)  FOR THE THREE MONTHS ENDED MARCH 31, 2025 Common SharesAdditional Paid-in CapitalTreasury StockAccumulated DeficitTotals       SharesAmount SharesCost  Balance, January 1, 202511,757,058$11,757$45,561,941318,407$(1,070,406)$(1,238,165)$43,265,127 Non-cash compensation   3,266    3,266 Dividends declared and payable      (1,315,445)  (1,315,445) Net income.     1,373,134  1,373,134 Balance, March 31, 202511,757,058$11,757$45,565,207318,407$(1,070,406)$(1,180,476)$43,326,082  FOR THE THREE MONTHS ENDED MARCH 31, 2024 Common SharesAdditional Paid-in CapitalTreasury StockAccumulated DeficitTotals       SharesAmount SharesCost  Balance, January 1, 202411,757,058$11,757$45,548,876316,407$(1,060,606)$(1,567,321)$42,932,706Non-cash compensation   3,266    3,266 Purchase of treasury shares   2,000 (9,800)  (9,800)Dividends declared and payable      (1,315,445)  Net income.     1,476,211  1,476,211 Balance, March 31, 202411,757,058$11,757$45,552,142318,407$(1,070,406)$(1,406,555)$43,086,938  MANHATTAN BRIDGE CAPITAL, INC. AND SUBSIDIARY CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited)  Three Months Ended March 31,   2025  2024Cash flows from operating activities:  Net income$1,373,134$1,476,211Adjustments to reconcile net income to net cash provided by operating activities -  Amortization of deferred financing costs 22,237 21,954Adjustment to right-of-use asset - operating lease and liability (345) 121Depreciation 1,390 1,055Non-cash compensation expense 3,266 3,266Changes in operating assets and liabilities:  Interest and other fees receivable on loans (110,915) (231,202)Other assets (58,952) (35,153)Accounts payable and accrued expenses (37,435) (31,600)Deferred origination and other fees (11,437) (63,996)Net cash provided by operating activities 1,180,943 1,140,656   Cash flows from investing activities:  Issuance of short-term loans (10,940,040) (9,538,000)Collections received from loans 12,698,051 10,102,525Net cash provided by investing activities 1,758,011 564,525   Cash flows from financing activities:  Repayment of line of credit, net (1,602,139) (1,701,661)Dividend paid (1,315,445) (1,287,073)Purchase of treasury shares --- (9,800Net cash used in financing activities (2,917,584) (2,998,534)   Net increase (decrease) in cash 21,370 (1,293,353)Cash and restricted cash, beginning of period(1) 201,762 1,691,995Cash and restricted cash, end of period(2)$223,132$398,642 Supplemental Disclosure of Cash Flow Information:  Cash paid during the period for interest$437,993$667,488Cash paid during the period for operating leases$15,991$16,370   Supplemental Schedule of Noncash Financing Activities:  Dividend declared and payable$1,315,445$1,315,445   Supplemental Schedule of Noncash Operating and Investing Activities:  Reduction in interest receivable in connection with the increase in loans receivable$13,122$112,271 (1) At December 31, 2024 and 2023, cash and restricted cash included $23,750 and $1,587,773, respectively, of restricted cash. (2) At March 31, 2025 and 2024, cash and restricted cash included $21,769 and $311,545, respectively, of restricted cash. SOURCE: Manhattan Bridge Capital, Inc.  

Related News