SOURCE: CreditRiskMonitor

CreditRiskMonitor

May 09, 2017 11:43 ET

CreditRiskMonitor Announces 1Q Results

VALLEY COTTAGE, NY--(Marketwired - May 9, 2017) -  CreditRiskMonitor (OTCQX: CRMZ) reported that for the 3 months ended March 31, 2017 revenues increased 4% to $3.24 million compared to $3.12 million in last year's first quarter. Net loss for the quarter was approximately $244,300 compared to a net loss of approximately $90,300 in the prior year period. Cash and cash equivalents decreased approximately $378,900 since 2016 year-end, to $8.84 million, and was down $39,000 from the balance at March 31, 2016.

Jerry Flum, CEO, said, "Our quarterly results were negatively impacted primarily by a planned increase in our staff to support new product and marketing efforts. The Company had a change in our marketing leadership in early 2017 resulting in a deferral of planned programs. We have hired a new Chief Marketing Officer who is currently reviewing our 2017 marketing plans. We're still debt free and our strong cash position will allow us to implement these marketing initiatives."

 
CREDITRISKMONITOR.COM, INC.
STATEMENTS OF OPERATIONS
FOR THE 3 MONTHS ENDED MARCH 31, 2017 AND 2016
 
             
    2017     2016  
             
             
Operating revenues   $ 3,236,250     $ 3,117,143  
                 
Operating expenses:                
  Data and product costs     1,396,160       1,255,792  
  Selling, general and administrative expenses     2,113,245       1,970,439  
  Depreciation and amortization     50,006       50,626  
                 
    Total operating expenses     3,559,411       3,276,857  
                 
Loss from operations     (323,161 )     (159,714 )
Other income, net     4,807       17,911  
                 
Loss before income taxes     (318,354 )     (141,803 )
Benefit from income taxes     74,061       51,477  
                 
Net loss   $ (244,293 )   $ (90,326 )
                 
Net loss per share of common stock:                
  Basic and diluted   $ (0.02 )   $ (0.01 )
                 
Weighted average number of common shares outstanding:                
  Basic and diluted     10,722,401       10,722,321  
 
 
CREDITRISKMONITOR.COM, INC.
BALANCE SHEETS
MARCH 31, 2017 AND DECEMBER 31, 2016
 
             
    March 31,     Dec. 31,  
    2017     2016  
    (Unaudited)        
ASSETS            
Current assets:            
  Cash and cash equivalents   $ 8,843,482     $ 9,222,343  
  Accounts receivable, net of allowance of $30,000     1,921,864       2,090,676  
  Other current assets     359,962       487,257  
                 
    Total current assets     11,125,308       11,800,276  
               
Property and equipment, net     438,493       430,324  
Goodwill     1,954,460       1,954,460  
Other assets     48,762       23,763  
                 
    Total assets   $ 13,567,023     $ 14,208,823  
                 
                 
LIABILITIES AND STOCKHOLDERS' EQUITY                
Current liabilities:                
  Deferred revenue   $ 8,283,321     $ 8,088,958  
  Accounts payable     66,983       96,725  
  Accrued expenses     764,869       1,282,126  
                 
    Total current liabilities     9,115,173       9,467,809  
                 
Deferred taxes on income     681,198       762,403  
Other liabilities     13,907       12,574  
                 
    Total liabilities     9,810,278       10,242,786  
                 
Stockholders' equity:                
  Preferred stock, $.01 par value; authorized 5,000,000 shares; none issued     --       --  
  Common stock, $.01 par value; authorized 32,500,000 shares; issued and outstanding 10,722,401 shares     107,224       107,224  
  Additional paid-in capital     29,454,464       29,419,463  
  Accumulated deficit     (25,804,943 )     (25,560,650 )
                 
    Total stockholders' equity     3,756,745       3,966,037  
                 
    Total liabilities and stockholders' equity   $ 13,567,023     $ 14,208,823  
                     

Overview

CreditRiskMonitor (http://www.crmz.com) is a Web-based publisher of financial information, designed to save time and help busy corporate credit and procurement professionals manage risk. The service offers comprehensive commercial credit reports covering public companies worldwide. Over 35% of the Fortune 1000 already use CreditRiskMonitor's timely news alerts and reports that feature detailed analyses of financial statements, ratio analysis and trend reports, peer analyses, bond agency ratings, as well as the Company's proprietary FRISK® scores, which have been proven predictive in anticipating corporate financial stress, including bankruptcy.

Safe Harbor Statement

Certain statements in this press release may 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. More information about these risks, uncertainties and factors can be found in the "Risk Factors" of the Company's Registration Statements or Securities and Exchange Commission Reports. We disclaim any intention or obligation to update or revise any forward-looking statements.

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