SOURCE: CreditRiskMonitor.com, Inc.

November 08, 2012 08:00 ET

CreditRiskMonitor 9 Month Operating Results for 2012

VALLEY COTTAGE, NY--(Marketwire - Nov 8, 2012) - CreditRiskMonitor (OTCQX: CRMZ) reported that revenues were $2.82 million and $8.21 million for the 3 and 9 months ended September 30, 2012, respectively, an increase of 9% over the comparable periods last year. For the same periods, income from operations was $442,000 and $724,000, respectively, compared to $249,000 and $736,000 for the comparable 2011 periods. Cash, cash equivalents and marketable securities at the end of the nine-month period increased $1.16 million to $9.44 million from the 2011 year-end balance of $8.28 million.

Jerry Flum, CEO, said, "We're still growing sales in spite of the current difficult economic environment. Our short-term results continue to be negatively impacted by our continued investment in infrastructure and new data content, as well as the addition of new employees to improve our service. Although this strategy impacts profitability in the short-term, we believe our long-term prospects are enhanced. Our balance sheet is strong, allowing us the flexibility to manage our company toward longer-term goals which create greater shareholder value."

 
CREDITRISKMONITOR.COM, INC.
STATEMENTS OF OPERATIONS
FOR THE 3 AND 9 MONTHS ENDED SEPTEMBER 30, 2012 AND 2011
(Unaudited)
 
    3 Months Ended     9 Months Ended  
    September 30,     September 30,  
    2012     2011     2012     2011  
                                 
Operating revenues   $ 2,822,056     $ 2,580,339     $ 8,207,538     $ 7,559,650  
                                 
Operating expenses:                                
  Data and product costs     914,186       716,226       2,777,343       2,196,463  
  Selling, general and administrative expenses     1,427,830       1,572,311       4,591,402       4,502,063  
  Depreciation and amortization     37,880       42,753       114,436       125,482  
                                 
    Total operating expenses     2,379,896       2,331,290       7,483,181       6,824,008  
                                 
Income from operations     442,160       249,049       724,357       735,642  
Other income, net     13,851       52,096       26,468       87,015  
                                 
Income before income taxes     456,011       301,145       750,825       822,657  
Provision for income taxes     (182,473 )     (72,260 )     (312,352 )     (254,711 )
                                 
Net income   $ 273,538     $ 228,885     $ 438,473     $ 567,946  
                                 
Net income per share:                                
  Basic   $ 0.03     $ 0.03     $ 0.06     $ 0.07  
  Diluted   $ 0.03     $ 0.03     $ 0.05     $ 0.07  
                                   
 
CREDITRISKMONITOR.COM, INC.
BALANCE SHEETS
SEPTEMBER 30, 2012 AND DECEMBER 31, 2011
 
    Sept. 30,     Dec. 31,  
    2012     2011  
    (Unaudited)        
                 
ASSETS                
Current assets:                
  Cash and cash equivalents   $ 7,689,332     $ 6,531,204  
  Marketable securities     1,754,534       1,753,072  
  Accounts receivable, net of allowance     1,244,477       1,551,213  
  Other current assets     264,705       451,143  
                 
    Total current assets     10,953,048       10,286,632  
                 
Property and equipment, net     281,599       306,810  
Goodwill     1,954,460       1,954,460  
Prepaid and other assets     51,892       23,232  
                 
    Total assets   $ 13,240,999     $ 12,571,134  
                 
LIABILITIES AND STOCKHOLDERS' EQUITY                
  Current liabilities:                
  Deferred revenue   $ 6,620,644     $ 6,471,494  
  Accounts payable     86,022       60,941  
  Accrued expenses     735,901       1,087,163  
  Accrued income taxes     430,676       157,385  
                 
    Total current liabilities     7,873,243       7,776,983  
                 
Other liabilities     5,108       3,714  
                 
Total liabilities     7,878,351       7,780,697  
                 
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 7,943,462 and 7,920,462 shares, respectively     79,434       79,204  
  Additional paid-in capital     28,731,187       28,597,679  
  Accumulated deficit     (23,447,973 )     (23,886,446 )
                 
    Total stockholders' equity     5,362,648       4,790,437  
                 
    Total liabilities and stockholders' equity   $ 13,240,999     $ 12,571,134  
                     

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 and competes with Dun & Bradstreet. 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 Information

  • CONTACT:
    CreditRiskMonitor.com, Inc.
    Jerry Flum
    CEO
    (845) 230-3030
    ir@crmz.com