SOURCE: CreditRiskMonitor.com, Inc.

CreditRiskMonitor Announces 2Q Results

NEWS RELEASE

CreditRiskMonitor (OTCQX: CRMZ) reported that revenues increased 2% and 3% to $3.00 million and $5.97 million for the 3 and 6 months ended June 30, 2014, respectively, compared to prior year periods. For the same periods, income from operations was $262,100 and $127,000, respectively, compared to $109,700 and $168,300 for the comparable 2013 periods. Cash, cash equivalents and marketable securities at the end of the six-month period increased $737,000 to $8.78 million versus the 2013 year-end balance of $8.05 million.

 

Jerry Flum, CEO said, “Sales growth has slowed down as the sales cycle has lengthened. In spite of this slowdown we made the decision to acquire additional data content and enhance our product offering. We realize that this will adversely impact short-term results but we expect the additional content will have a positive impact on our operating results in the long-term. Our 2nd quarter’s operating results were favorably impacted by a $220,000 refund received for sales taxes previously paid on third party content, and the final $60,000 refund was received in the 3rd quarter. We are still debt free and continuing to generate strong free cash flow.

 

CREDITRISKMONITOR.COM, INC.

 

STATEMENTS OF OPERATIONS

 

FOR THE 3 AND 6 MONTHS ENDED JUNE 30, 2014 AND 2013

 

(Unaudited)

 

 

 

 

 

 

 

 

 

 

 

 

 

3 Months Ended

 

6 Months Ended

 

 

 

June 30,

 

June 30,

 

 

 

2014

 

2013

 

2014

 

2013

 

 

 

 

 

 

 

 

 

 

 

Operating revenues

 

$

2,998,010

 

 

$

2,933,752

 

 

$

5,967,398

 

 

$

5,799,259

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Data and product costs

 

 

1,021,519

 

 

 

1,136,238

 

 

 

2,322,964

 

 

 

2,172,966

 

 

Selling, general and administrative expenses

 

 

1,657,116

 

 

 

1,652,682

 

 

 

3,403,526

 

 

 

3,387,410

 

 

Depreciation and amortization

 

 

57,240

 

 

 

35,117

 

 

 

113,911

 

 

 

70,553

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total operating expenses

 

 

2,735,875

 

 

 

2,824,037

 

 

 

5,840,401

 

 

 

5,630,929

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income from operations

 

 

262,135

 

 

 

109,715

 

 

 

126,997

 

 

 

168,330

 

 

Other income (expense), net

 

 

13,247

 

 

 

(36069

)

 

 

21,822

 

 

 

(42430

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income before income taxes

 

 

275,382

 

 

 

73,646

 

 

 

148,819

 

 

 

125,900

 

 

Provision for income taxes

 

 

(58,613

)

 

 

(29,293

)

 

 

(71,241

)

 

 

(49,944

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income

 

$

216,769

 

 

$

44,353

 

 

$

77,578

 

 

$

75,956

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income per share:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic and diluted

 

$

0.03

 

 

$

0.01

 

 

$

0.01

 

 

$

0.01

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 Weighted average number of shares outstanding:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

 

7,959,200

 

 

 

7,946,462

 

 

 

7,958,926

 

 

 

7,946,462

 

 

Diluted

 

 

8,211,239

 

 

 

8,231,872

 

 

 

8,223,004

 

 

 

8,246,052

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

CREDITRISKMONITOR.COM, INC.

 

BALANCE SHEETS

 

JUNE 30, 2014 AND DECEMBER 31, 2013

 

 

 

 

 

 

 

 

 

 

June 30, 

 

 

 

Dec. 31, 

 

 

 

 

 

2014

 

 

 

2013

 

 

 

 

 

(Unaudited)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

ASSETS

 

 

 

 

 

 

 

 

 

Current assets:

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

7,390,831

 

 

$

6,649,432

 

 

Marketable securities

 

 

1,393,590

 

 

 

1,398,022

 

 

Accounts receivable, net of allowance

 

 

1,304,905

 

 

 

1,707,582

 

 

Other current assets

 

 

776,815

 

 

 

581,132

 

 

 

 

 

 

 

 

 

 

 

 

Total current assets

 

 

10,866,141

 

 

 

10,336,168

 

 

 

 

 

 

 

 

 

 

 

 

Property and equipment, net

 

 

367,210

 

 

 

422,682

 

 

Goodwill

 

 

1,954,460

 

 

 

1,954,460

 

 

Other assets

 

 

40,077

 

 

 

23,653

 

 

 

 

 

 

 

 

 

 

 

 

Total assets

 

$

13,227,888

 

 

$

12,736,963

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

LIABILITIES AND STOCKHOLDERS’ EQUITY

 

 

Current liabilities:

 

 

 

 

 

 

 

 

 

Deferred revenue

 

$

6,972,478

 

 

$

6,692,052

 

 

Accounts payable

 

 

75,634

 

 

 

86,478

 

 

Accrued expenses

 

 

1,417,657

 

 

 

1,280,316

 

 

 

 

 

 

 

 

 

 

 

 

Total current liabilities

 

 

8,465,769

 

 

 

8,058,846

 

 

 

 

 

 

 

 

 

 

 

 

Deferred taxes on income

 

 

725,615

 

 

 

783,096

 

 

Other liabilities

 

 

4,470

 

 

 

5,099

 

 

 

 

 

 

 

 

 

 

 

 

Total liabilities

 

 

9,195,854

 

 

 

8,847,041

 

 

 

 

 

 

 

 

 

 

 

 

Stockholders’ equity:

 

 

 

 

 

 

 

 

 

Preferred stock, $.01 par value; authorized 5,000,000 shares; none issued

 

 

  

 

 

 

  

 

 

Common stock, $.01 par value; authorized 25,000,000 shares; issued and outstanding 7,959,200 and 7,958,564 shares, respectively

 

 

79,592

 

 

 

79,585

 

 

Additional paid-in capital

 

 

29,023,182

 

 

 

28,958,648

 

 

Accumulated deficit

 

 

(25,070,740

)

 

 

(25,148,311

)

 

 

 

 

 

 

 

 

 

 

 

Total stockholders’ equity

 

 

4,032,034

 

 

 

3,889,922

 

 

 

 

 

 

 

 

 

 

 

 

Total liabilities and stockholders’ equity

 

$

13,227,888

 

 

$

12,736,963

 

 

 

 

 

 

 

 

 

 

 

 

 

Overview

 

CreditRiskMonitor (http://www.crmz.com) is an Internet-based publisher of financial risk analysis and news, designed to save time for busy corporate credit and procurement/supply-chain professionals. The service offers comprehensive commercial credit reports covering over 40,000 public companies worldwide. Over 30% of the Fortune 1,000 already use CreditRiskMonitor’s timely news alerts and reports that feature detailed analyses of financial statements, ratio analysis and trend reports, peer analyses, as well as the Company’s  proprietary FRISK® scores.

 

 

Safe Harbor Statement

 

Certain statements in this press release, including statements prefaced by the words "anticipates", "estimates", “believes", "expects" or words of similar meaning, constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance, expectations or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements, including, among others, those risks, uncertainties and factors referenced from time to time as "risk factors" or otherwise in the Company's Registration Statements or Securities and Exchange Commission Reports. We disclaim any intention or obligation to revise any forward-looking statements, whether as a result of new information, a future event, or otherwise.

 

CONTACT:

 

CreditRiskMonitor.com, Inc.

Jerry Flum, CEO

(845) 230-3030

ir@crmz.com

 

 

 

SOURCE: CreditRiskMonitor