Manhattan Bridge Capital Reports Mixed Q3 Results, Net Income Up 3.8% for Nine Months

Manhattan Bridge Capital, Inc. (MBC) reported its financial results for the third quarter and the nine months ended September 30, 2024, reflecting a mixed performance compared to the previous fiscal period. Total revenue for the three months ended September 30, 2024, was approximately $2.31 million, a decrease of $121,000 or 5.0% from $2.43 million in the same period of 2023. However, for the nine months ended September 30, 2024, total revenue increased to approximately $7.33 million, up $99,000 or 1.4% from $7.23 million in the prior year.

The decline in quarterly revenue was attributed to a decrease in interest income on secured commercial loans, which fell to approximately $1.95 million from $1.99 million year-over-year. Additionally, origination fees for secured commercial loans decreased to approximately $360,000 from $441,000. Despite these declines, the company reported an increase in income from operations for the nine-month period, rising to approximately $4.27 million from $4.10 million in 2023.

Net income for the three months ended September 30, 2024, was approximately $1.40 million, down from $1.45 million in the same quarter of 2023, representing a decrease of 3.3%. Conversely, net income for the nine months increased to approximately $4.28 million, up from $4.13 million in the previous year, marking a 3.8% rise.

As of September 30, 2024, MBC's loans receivable totaled $68.71 million, a decrease from $73.05 million at the end of 2023. Total assets also declined to $70.70 million from $76.43 million, while total liabilities decreased significantly to $27.43 million from $33.50 million. The accumulated deficit improved to $(1.23 million) from $(1.57 million), and total stockholders’ equity increased slightly to $43.27 million from $42.93 million.

The company reported net cash provided by operating activities of approximately $4.00 million for the nine months ended September 30, 2024, down from $4.14 million in the same period of 2023. Collections from loans also decreased significantly to $33.75 million from $44.51 million year-over-year.

Strategically, MBC has maintained its focus on short-term, secured loans for real estate investors in the New York metropolitan area and Florida. The company has a credit line of $32.5 million, with an outstanding amount of approximately $19.17 million as of September 30, 2024, at an interest rate of about 8.4%. The company continues to comply with all covenants related to its credit agreements and has initiated a share buyback program, repurchasing 56,294 shares at a cost of approximately $271,000 as of April 10, 2024.