Exhibit 99.1
NEWS RELEASE
CONTACT:
CreditRiskMonitor.com, Inc.
Jerry Flum, CEO
(845) 230-3030
info@creditriskmonitor.com
FOR IMMEDIATE RELEASE
CreditRiskMonitor Revenues Up 28%
VALLEY COTTAGE, NY—April 30, 2009—CreditRiskMonitor (Symbol: CRMZ) reported revenues of $1.74 million for the first quarter ended March 31, 2009 compared to $1.37 million for the first quarter of 2008. Cash and marketable securities of $4.28 million at the end of the quarter increased $400,000 from the 2008 year-end balance.
Jerry Flum, CEO, said, “Client retention and satisfaction are stronger than ever, as worries driven by the recession have driven usage of our service to new highs. New business bookings for the first quarter actually grew at a much quicker rate than overall revenue since we take bookings into revenue spread over the term of the subscription. Our operating income for the quarter was negatively impacted by a change in our commission rates on new sales that was implemented at the beginning of the second quarter of 2008, coupled with the Company’s very conservative approach of recognizing the full commission expense when paid.”
CREDITRISKMONITOR.COM, INC.
STATEMENTS OF OPERATIONS
FOR THE 3 MONTHS ENDED MARCH 31, 2009 AND 2008
(UNAUDITED)
| 2009 | 2008 | |||||||
| Operating revenues | $ | 1,743,125 | $ | 1,365,190 | ||||
| Operating expenses: | ||||||||
| Data and product costs | 500,442 | 431,228 | ||||||
| Selling, general and administrative expenses | 1,234,890 | 892,246 | ||||||
| Depreciation and amortization | 23,654 | 17,539 | ||||||
| Total operating expenses | 1,758,986 | 1,341,013 | ||||||
| Income (loss) from operations | (15,861 | ) | 24,177 | |||||
| Other income | 22,548 | 24,726 | ||||||
| Interest expense | — | (7,245 | ) | |||||
| Income before income taxes | 6,687 | 41,658 | ||||||
| Provision for state and local income taxes | 1,463 | 1,890 | ||||||
| Net income | $ | 5,224 | $ | 39,768 | ||||
| Net income per share of common stock: | ||||||||
| Basic | $ | 0.00 | $ | 0.01 | ||||
| Diluted | $ | 0.00 | $ | 0.00 | ||||
| Weighted average number of common shares outstanding: | ||||||||
| Basic | 7,894,462 | 7,694,462 | ||||||
| Diluted | 7,923,630 | 8,113,970 |
CREDITRISKMONITOR.COM, INC.
BALANCE SHEETS
MARCH 31, 2009 AND DECEMBER 31, 2008
| March 31, 2009 | Dec. 31, 2008 | |||||||
| (Unaudited) | ||||||||
| ASSETS | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 896,270 | $ | 912,591 | ||||
| Marketable securities | 3,380,110 | 2,958,996 | ||||||
| Accounts receivable, net of allowance | 1,121,116 | 1,146,066 | ||||||
| Other current assets | 220,271 | 237,883 | ||||||
| Total current assets | 5,617,767 | 5,255,536 | ||||||
| Property and equipment, net | 196,684 | 213,142 | ||||||
| Goodwill | 1,954,460 | 1,954,460 | ||||||
| Prepaid and other assets | 44,168 | 28,109 | ||||||
| Total assets | $ | 7,813,079 | $ | 7,451,247 | ||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||
| Current liabilities: | ||||||||
| Deferred revenue | $ | 4,889,939 | $ | 4,394,803 | ||||
| Accounts payable | 38,513 | 52,758 | ||||||
| Accrued expenses | 474,459 | 610,748 | ||||||
| Total current liabilities | 5,402,911 | 5,058,309 | ||||||
| Other liabilities | 1,956 | 3,424 | ||||||
| Total liabilities | 5,404,867 | 5,061,733 | ||||||
| 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 7,849,462 shares | 78,494 | 78,494 | ||||||
| Additional paid-in capital | 28,292,742 | 28,279,268 | ||||||
| Accumulated deficit | (25,963,024 | ) | (25,968,248 | ) | ||||
| Total stockholders’ equity | 2,408,212 | 2,389,514 | ||||||
| Total liabilities and stockholders’ equity | $ | 7,813,079 | $ | 7,451,247 | ||||
CreditRiskMonitor (http://www.crmz.com) is an Internet-based publisher of financial information, designed to save time for busy corporate credit professionals that competes with Dun & Bradstreet, Equifax and Experian.
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.