NEW YORK, May 19 /PRNewswire-FirstCall/ -- Jesup &
Lamont Inc., (Amex: JLI), a full-service brokerage and investment
banking firm serving retail and institutional clients, today
reported financial results for the Quarter ended March 31, 2010. Revenues for the Quarter
ended March 31, 2010 were
$10,282,086, an increase of 58% from
the $6,507,110 for the same period in
2009. The net income (loss) applicable to common shareholders
for the Quarter ended March 31, 2010
was ($3,822,513) compared to the net
loss of ($3,019,148) for same period
in 2009, or ($0.10) per basic and
fully diluted share in 2010, compared to ($0.10) per basic and fully diluted share in
2009.
Alan Weichselbaum, CEO of Jesup
& Lamont Inc. stated, "We are encouraged by the increase in
revenue over last year. On the expense side, the company was
burdened with a number of onetime expenses such as the settlement
of litigations, consolidation of our business operations and
increased legal and accounting costs related to our proposed merger
with Tri-Artisan partners aggregating to approximately $1.6 million of the quarterly loss." He further
stated, "We look forward to completing the merger later this year
and still believe we are on target to return to profitability
before the end on 2010."
About Jesup & Lamont Inc.
Established in 1877, Jesup & Lamont Inc. has an extensive
history on Wall Street, with its origins encompassing such
successes as providing brokerage services to Standard Oil and
raising capital for the construction of Rockefeller Center. Jesup
& Lamont, through its two wholly owned brokerage subsidiaries,
offers full service broker-dealer and registered investment
advisory services through its approximately 150 registered brokers
in over 20 locations including offices in New York, San
Francisco, Boston,
Boca Raton, Chicago, Fort
Lauderdale and Orlando. The
Company's Jesup & Lamont Securities Corporation subsidiary also
publishes proprietary research on several industries including
Aerospace/Defense, Alternative Energy and Life Sciences/Healthcare
and offers comprehensive investment banking services.
Forward-Looking Statement Disclaimer
This press release contains "forward looking statements" within
the meaning of the Private Securities Litigation Reform Act of
1995. Such forward-looking statements involve known and unknown
risk, uncertainties or other factors which may cause actual
results, performance or achievements of the Company to be
materially different from any future results, performance or
achievements expressed or implied by such forward-looking
statements. Factors that might cause such a difference include,
without limitation, fluctuations in the volume of transactional
services provided by the Company, competition with respect to
financial services commission rates, the effect of general economic
and market conditions, factors affecting the securities brokerage
industry as well as other risks and uncertainties detailed from
time to time in the Company's Securities and Exchange Commission
filings. The Company undertakes no obligation to revise or update
any forward-looking statement.
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JESUP & LAMONT INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
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(UNAUDITED)
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March
31,
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December
31,
|
|
|
|
2010
|
|
2009
|
|
|
Assets
|
|
|
|
|
|
|
|
|
|
|
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Cash and cash equivalents
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$
340,392
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|
345,170
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|
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Bank certificate of deposit
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2,022,174
|
|
2,014,102
|
|
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Marketable securities owned, at market
value
|
16,959
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|
23,288
|
|
|
Securities not readily marketable, at
estimated fair value
|
697,165
|
|
946,080
|
|
|
Commissions and other receivables from
clearing organizations
|
1,621,804
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|
1,559,391
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|
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Other receivables
|
2,176,081
|
|
2,437,989
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|
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Securities borrowed under a secured
demand note
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225,000
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225,000
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|
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Deposits at clearing
organizations
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771,578
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1,312,294
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|
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Prepaid expenses and other
assets
|
1,388,954
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959,710
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Notes receivable, net of allowance of
$561,000
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1,301,273
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|
1,370,984
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|
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Deferred tax asset
|
2,117,000
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|
2,117,000
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|
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Furniture and equipment,
net
|
645,236
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|
669,974
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|
|
Goodwill
|
13,272,165
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|
13,272,165
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Intangible assets - customer lists and
trademarks
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4,043,943
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|
4,072,875
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|
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|
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|
|
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Total assets
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$
30,639,724
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31,326,022
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|
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Liabilities and
Stockholders' Equity
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|
|
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|
|
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Accounts payable, accrued expenses and
other liabilities
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$
9,997,283
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8,360,666
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|
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Due to clearing
organizations
|
1,338,528
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1,314,213
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Accrued preferred stock
dividends
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712,126
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|
753,394
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Securities sold, but not yet
purchased, at market value
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179,712
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170,892
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Secured demand note payable
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225,000
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225,000
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Notes payable
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16,044,285
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16,332,091
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Total liabilities
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28,496,934
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27,156,256
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Stockholders' equity
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Convertible preferred stock, series F,
and G
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$.01 par value, 1,000,000 shares
authorized
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698,437 issued and outstanding
and
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728,575 issued and
outstanding
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6,984
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|
7,285
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|
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Common stock, $.01 par value,
100,000,000 shares authorized
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33,163,330 shares issued and
outstanding
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and 32,548,715 issued and
outstanding
|
331,633
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|
325,487
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Less: Treasury Stock
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(733,765)
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(733,765)
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Capital stock subscribed
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3,251,000
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1,585,000
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Additional paid-in capital
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43,399,399
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43,275,707
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Accumulated deficit
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(44,112,461)
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(40,289,948)
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Total stockholders' equity
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2,142,790
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4,169,766
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|
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Total liabilities and stockholders'
equity
|
$
30,639,724
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31,326,022
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JESUP & LAMONT INC. AND SUBSIDIARIES
(UNAUDITED)
CONDENSED CONSOLIDATED STATEMENTS OF
OPERATIONS
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Three Months ended
March 31,
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2010
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2009
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Revenues
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|
|
|
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Commissions and fees
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$ 8,594,237
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|
5,541,397
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|
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Equity market making trading revenues,
net
|
826,565
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|
383,381
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Investment banking income
|
1,156,371
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|
413,910
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Net gain (loss) on securities received
for banking services
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(295,087)
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168,431
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|
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10,282,086
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6,507,119
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Expenses
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Employee compensation and
benefits
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7,123,415
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4,959,831
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Commissions, clearing and execution
costs
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3,328,787
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2,304,581
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General and administrative
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2,934,437
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1,789,402
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Communications and data
processing
|
197,540
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144,541
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|
|
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|
|
|
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13,584,179
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9,198,355
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|
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Loss from operations
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(3,302,093)
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(2,691,236)
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Other income (expenses)
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Interest income
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8,427
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|
360
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Abandonment of premises
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(106,289)
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-
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Interest expense
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(349,158)
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(236,789)
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(447,020)
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(236,429)
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Net loss
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(3,749,113)
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(2,927,665)
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Accrued preferred stock
dividends
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(73,400)
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(91,483)
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Net loss applicable to common
shareholders
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$(3,822,513)
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|
(3,019,148)
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Basic and diluted net loss per share
applicable to common
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shareholders:
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Net loss per share-basic
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$
(0.10)
|
|
(0.10)
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Net loss per share diluted
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$
(0.10)
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(0.10)
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Weighted average shares
outstanding:
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Basic
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39,158,433
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|
28,933,076
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Diluted
|
39,158,433
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|
28,933,076
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SOURCE Jesup & Lamont Inc.