Manhattan Bridge Capital earnings increased 3.0% in the third quarter of 2026, as higher loan-origination fees and lower interest expense offset weaker interest income. The lender reported net income of approximately $1.238 million on October 21, while revenue edged up 0.9% to $2.054 million. Despite the quarterly improvement, nine-month revenue and profit remained below their year-earlier levels.
Key Takeaways
- Third-quarter net income increased, but basic and diluted earnings per share remained at $0.11.
- Competition reduced lending rates and fees, leaving nine-month revenue down 7.5% despite increased lending activity.
- The board expanded the aggregate buyback authorization to 250,000 shares and extended it through October 8, 2027.
Table of Contents
- Manhattan Bridge Capital earnings benefit from fees
- Nine-month results show continued pricing pressure
- Buyback authorization expands beyond completed purchases
- Conclusion
Manhattan Bridge Capital earnings benefit from fees
The company’s third-quarter 2026 results announcement showed origination-fee revenue rising to approximately $392,000 from $265,000 a year earlier. That increase more than offset a decline in interest income to $1.662 million from $1.770 million for the three months ended September 30.
Manhattan Bridge Capital attributed the lower interest income primarily to reduced rates charged to borrowers amid increased competition. The revenue mix therefore shifted toward origination fees rather than interest earned on loans.
Interest expense and amortization of deferred financing costs fell to $369,477 from $421,980. Those savings helped profit rise even as general and administrative expenses increased to $447,275 from $413,518. Net income compared with approximately $1.202 million a year earlier, although rounded per-share earnings were unchanged.
| Item | Details |
|---|---|
| Net loans receivable | $59.479 million at September 30, 2026, versus $60.219 million at December 31, 2025. |
| Lines of credit | $17.035 million at September 30, 2026, versus $17.601 million at December 31, 2025. |
| Total assets | $61.480 million at September 30, 2026, versus $62.351 million at December 31, 2025. |
| Shareholders’ equity | $42.789 million at September 30, 2026, versus $43.100 million at December 31, 2025. |
Nine-month results show continued pricing pressure
For the nine months ended September 30, 2026, revenue declined to approximately $6.166 million from $6.665 million. Net income fell 8.1% to $3.665 million, with basic and diluted earnings per share dropping to $0.32 from $0.35.
The company said revenue fell despite increases in both the number of loans originated and capital deployed. Lower interest rates and origination fees charged to borrowers outweighed the benefit of that additional activity, illustrating the distinction between lending volume and revenue growth.
Nine-month interest income declined to approximately $5.099 million from $5.504 million, while origination fees fell to $1.067 million from $1.161 million. Lower financing expense partly cushioned the effect of reduced revenue and higher administrative costs.
Manhattan Bridge Capital provides short-term, secured nonbank loans to real estate investors in the New York metropolitan area, including New Jersey and Connecticut, and in Florida. Its loans are principally backed by real estate collateral and personal guarantees from borrowers’ principals.
Buyback authorization expands beyond completed purchases
On October 8, 2026, the board increased the existing repurchase program’s aggregate authorization from 100,000 to 250,000 shares and extended its term through October 8, 2027. The expanded authorization is not a statement that those shares have already been purchased.
As of September 30, the company had repurchased 61,185 shares under the program for approximately $248,000. That total included 54,985 shares purchased during the first nine months of 2026 for approximately $219,000.
Conclusion
The quarter’s fee gains and financing-cost savings improved profit, but did not erase the nine-month decline. The expanded repurchase program remains authorized through October 8, 2027; subsequent disclosures will show how much of that authorization the company uses.
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