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Press release content from Globe Newswire. The AP news staff was not involved in its creation.

Manhattan Bridge Capital, Inc. Reports Results for 2018

March 18, 2019

GREAT NECK, N.Y., March 18, 2019 (GLOBE NEWSWIRE) -- Manhattan Bridge Capital, Inc. (Nasdaq: LOAN ) announced today that net income for the year ended December 31, 2018 was approximately $4,204,000, or $0.48 per share (based on approximately 8.8 million weighted-average outstanding common shares), versus approximately $3,439,000, or $0.42 per share (based on approximately 8.1 million weighted-average outstanding common shares) for the year ended December 31, 2017, an increase of $765,000 or 22.2%. This increase in net income was mainly due to an increase in operating income as a result of increased lending activity.

Total revenue for the year ended December 31, 2018 was approximately $7,225,000 compared to approximately $5,919,000 for the year ended December 31, 2017, an increase of $1,306,000 or 22.1%. The increase in revenue represents an increase in lending operations. In 2018, approximately $6,168,000 of the Company’s revenue represents interest income on secured, commercial loans that the Company offers to small businesses compared to approximately $5,016,000 in 2017, and approximately $1,057,000 represents origination fees on such loans compared to approximately $903,000 in 2017.

Total operating costs and expenses for the year ended December 31, 2018 were approximately $3,022,000 compared to approximately $2,457,000 for the year ended December 31, 2017, an increase of $565,000 or 23.0%. The increase in operating costs and expenses is primarily attributable to an increase in interest expense resulting from the Company’s use of a line of credit in order to increase its ability to make loans.

As of December 31, 2018, total shareholders’ equity was approximately $32,081,000 compared to approximately $22,247,000 as of December 31, 2017, an increase of $9,834,000, or 44.2%.

Assaf Ran, Chairman of the Board and CEO, stated, “Our challenge for 2018 was to continue to grow while avoiding the new loose standards set by some of our competitors. We believe that thanks to our solid position in the market-place as well as our strong reputation, we managed to achieve that goal. I’m proud to present another year of record high revenue, record high net earnings and no defaults.”

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. We operate the web site: https://www.manhattanbridgecapital.com.

Forward Looking Statements

This press release and the statements of our 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 we discuss our solid position in the market-place as well as our strong reputation, we are 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; and (viii) we may choose to make distributions in our own stock, in which case stockholders may be required to pay income taxes in excess of the cash dividends you receive. The risk factors contained in our Annual Report on Form 10-K for the fiscal year ended December 31, 2018 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 SUBSIDIARYCONSOLIDATED BALANCE SHEETSDECEMBER 31, 2018 AND 2017

2018 2017 Assets Loans receivable $ 54,836,127 $ 45,124,000 Interest receivable on loans 596,777 535,045 Cash 203,682 136,441 Cash - restricted 151,375 --- Deferred financing costs 42,040 45,269 Other assets 73,131 55,941 Total assets $ 55,903,132 $ 45,896,696 - ---------- - ----------

Liabilities and Stockholders’ Equity

Liabilities: Line of credit $ 16,622,147 $ 16,914,594 Senior secured notes (net of deferred financing costs of $547,499 and $622,584) 5,452,501 5,377,416 Deferred origination fees 404,676 298,471 Accounts payable and accrued expenses 183,716 167,559 Dividends payable 1,158,717 891,983 - ---------- - ---------- Total liabilities 23,821,757 23,650,023 Commitments and contingencies Stockholders’ equity: Preferred shares - $.01 par value; 5,000,000 shares authorized; none issued --- --- Common shares - $.001 par value; 25,000,000 authorized; 9,874,191 and 8,319,036 issued; 9,655,977 and 8,108,934 outstanding 9,874 8,319 Additional paid-in capital 33,110,536 23,167,511 Treasury stock, at cost – 218,214 and 210,102 shares (590,234) (541,491) Accumulated deficit (448,801) (387,666) - ---------- - ---------- Total stockholders’ equity 32,081,375 22,246,673 - ---------- - ---------- Total liabilities and stockholders’ equity $ 55,903,132 $ 45,896,696 - ---------- - ----------

MANHATTAN BRIDGE CAPITAL, INC. AND SUBSIDIARYCONSOLIDATED STATEMENTS OF OPERATIONSFOR THE YEARS ENDED DECEMBER 31, 2018 AND 2017

2018 2017 Interest income from loans $ 6,167,600 $ 5,015,987 Origination fees 1,056,962 902,950 - --------- - Total Revenue 7,224,562 5,918,937 - --------- - - --------- - Operating costs and expenses: Interest and amortization of deferred financing costs 1,699,064 1,226,728 Referral fees 1,708 3,701 General and administrative expenses 1,321,724 1,227,003 - --------- - - --------- - Total operating costs and expenses 3,022,496 2,457,432 - --------- - - --------- - Income from operations 4,202,066 3,461,505 Other income 3,000 --- Loss on write-down of investment in privately held company --- (20,000) - --------- - - --------- - Income before income tax expense 4,205,066 3,441,505 Income tax expense (642 ) (2,971 ) - --------- - - --------- - Net income $ 4,204,424 $ 3,438,534 - --------- - - --------- - Basic and diluted net income per common share --Basic $ 0.48 $ 0.42 - --------- - - --------- - --Diluted $ 0.48 $ 0.42 - --------- - - --------- - Weighted average number of common shares outstanding --Basic 8,792,207 8,117,280 - --------- - - --------- - --Diluted 8,799,044 8,128,685 - --------- - - --------- -

MANHATTAN BRIDGE CAPITAL, INC. AND SUBSIDIARYCONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITYFOR THE YEARS ENDED DECEMBER 31, 2018 AND 2017

Additional Common Stock Paid-in Treasury Stock Accumulated Deficit Totals Capital ----------------------------- ---------------- ----------- ------------------ ------------------- ----------- Shares Amount Shares Cost ----------------------------- --------- ------ ----------- ------- ---------- ------------------- ----------- Balance, January 1, 2017 8,312,036 $8,312 $23,134,013 177,000 $(369,335) $(459,100) $22,313,890 ----------------------------- --------- ------ ----------- ------- ---------- ------------------- ----------- Exercise of options 7,000 7 20,433 20,440 ----------------------------- --------- ------ ----------- ------- ---------- ------------------- ----------- Non cash compensation 13,065 13,065 ----------------------------- --------- ------ ----------- ------- ---------- ------------------- ----------- Purchase of treasury shares 33,102 (172,156) (172,156) ----------------------------- --------- ------ ----------- ------- ---------- ------------------- ----------- Dividends paid (2,475,117) (2,475,117) ----------------------------- --------- ------ ----------- ------- ---------- ------------------- ----------- Dividends declared and (891,983) (891,983) payable ----------------------------- --------- ------ ----------- ------- ---------- ------------------- ----------- Net income for the year ended 3,438,534 3,438,534 December 31, 2017 ----------------------------- --------- ------ ----------- ------- ---------- ------------------- ----------- Balance, 8,319,036 8,319 23,167,511 210,102 (541,491) (387,666) 22,246,673 December 31, 2017 ----------------------------- --------- ------ ----------- ------- ---------- ------------------- ----------- Public offering 1,545,786 1,546 9,881,234 9,882,780 ----------------------------- --------- ------ ----------- ------- ---------- ------------------- ----------- Exercise of warrants 9,369 9 48,726 48,735 ----------------------------- --------- ------ ----------- ------- ---------- ------------------- ----------- Non cash compensation 13,065 13,065 ----------------------------- --------- ------ ----------- ------- ---------- ------------------- ----------- Purchase of treasury shares 8,112 (48,743) (48,743) ----------------------------- --------- ------ ----------- ------- ---------- ------------------- ----------- Dividends paid (3,106,842) (3,106,842) ----------------------------- --------- ------ ----------- ------- ---------- ------------------- ----------- Dividends declared and (1,158,717) (1,158,717) payable ----------------------------- --------- ------ ----------- ------- ---------- ------------------- ----------- Net income for the year ended 4,204,424 4,204,424 December 31, 2018 ----------------------------- --------- ------ ----------- ------- ---------- ------------------- ----------- Balance, December 31, 2018 9,874,191 $9,874 $33,110,536 218,214 $(590,234) $(448,801) $32,081,375 ----------------------------- --------- ------ ----------- ------- ---------- ------------------- -----------

MANHATTAN BRIDGE CAPITAL, INC. AND SUBSIDIARYCONSOLIDATED STATEMENTS OF CASH FLOWSFOR THE YEARS ENDED DECEMBER 31, 2018 AND 2017

2018 2017 Cash flows from operating activities: Net income $ 4,204,424 $ 3,438,534 Adjustments to reconcile net income to net cash provided by operating activities - Amortization of deferred financing costs 98,695 129,131 Depreciation 3,711 4,595 Non cash compensation expense 13,065 13,065 Loss on write-down of investment in privately held company --- 20,000 Changes in operating assets and liabilities Interest receivable on loans (61,732) (188,526) Other current and non current assets (19,753) 323 Accounts payable and accrued expenses 16,157 62,019 Deferred origination fees 106,205 (16,940) Net cash provided by operating activities 4,360,772 3,462,201 - ------------ - ------------ Cash flows from investing activities: Issuance of short term loans (51,859,000) (37,871,500) Collections received from loans 42,146,873 27,502,820 Purchase of fixed assets (1,148) (1,666) - ------------ - ------------ Net cash used in investing activities (9,713,275) (10,370,346) - ------------ - ------------ Cash flows from financing activities: Proceeds from public offering, net 9,882,780 --- (Repayments of) proceeds from line of credit, net (292,447) 10,431,746 Dividends paid (3,998,825) (3,288,621) Proceeds from exercise of stock options and warrants 48,735 20,440 Purchase of treasury shares (48,743) (172,156) Deferred financing costs incurred (20,381) (43,122) Net cash provided by financing activities 5,571,119 6,948,287 - ------------ - ------------ Net increase in cash and restricted cash 218,616 40,142 Cash and restricted cash, beginning of year 136,441 96,299 - ------------ - ------------ Cash and restricted cash, end of year $ 355,057 $ 136,441 - ------------ - ------------ Supplemental Cash Flow Information: Taxes paid during the year $ 642 $ 2,971 - ------------ - ------------ Interest paid during the year $ 1,584,508 $ 1,034,097 - ------------ - ------------ Supplement Information – Noncash Information: $ 1,158,717 $ 891,983 Dividend declared and payable - ------------ - ------------

Contact: Assaf Ran, CEO Vanessa Kao, CFO (516) 444-3400 SOURCE: Manhattan Bridge Capital, Inc.