Exhibit No. 99.1
FIRST MONTAUK FINANCIAL CORP. ANNOUNCES
FINANCIAL RESULTS FOR 2007
Red Bank, NJ - April 1, 2008 - First Montauk Financial Corp. (OTC/BB: FMFK), a
nationwide provider of investment services through independent financial
professionals, today announced its financial results for the year ended December
31, 2007.
Revenues for the year ended December 31, 2007 decreased $11.4 million, or 22%,
to $39.5 million from $50.9 million for the year ended December 31, 2006. The
decrease in revenues is primarily attributable to a decline in the number of
producing registered representatives which are affiliated with the Company.
The Company reported a net loss applicable to common stockholders of $2.2
million, or ($0.14) per basic and diluted share compared to a net loss
applicable to common stockholders for 2006 of $1.0 million, or ($0.06) per basic
and diluted share.
Commenting on the results, Victor K. Kurylak, the Company's President and CEO
stated, "We continue to have complete confidence in our many outstanding
affiliates and financial professionals who service over 45,000 retail and
institutional accounts with over $3 billion in total customer assets. This past
year presented many challenges to Montauk Financial, but most importantly
brought closure to a number of issues that have hindered the growth and
operations of the company over the last several years. We have made significant
strides in our cost reduction efforts and negotiated a financing arrangement to
bring new capital into the firm. We remain focused on the growth of our business
through enhanced support of our financial professionals and the addition of new
relationships."
Montauk Financial Group is a service mark of First Montauk Securities Corp.,
Member NASD/SIPC. First Montauk Financial Corp. is the parent company of First
Montauk Securities Corp., a registered securities broker/dealer headquartered in
Red Bank, NJ. The Company's ability to offer quality support services, research,
web-based information systems and a competitive commission payout structure has
attracted independent, professional registered representatives across the
country. Additional information is available at the Company's website at
www.montaukfinancial.com.
Statements contained in this news release regarding expected financial results
of the Company and First Montauk Securities Corp., are forward-looking
statements, subject to uncertainties and risks, many of which are beyond the
Company's control, including, but not limited to, market conditions, interest
rate and currency fluctuations, dependence on key personnel, each of which may
be impacted, among other things, by economic, competitive or regulatory
conditions. These and other applicable risks are summarized under the caption
"Factors Affecting Forward Looking Statements" in the Company's Form 10-K for
the year ended December 31,2007 as filed with the Securities and Exchange
Commission. Forward-looking statements by their nature involve substantial risks
and uncertainties. As a result, actual results may differ materially depending
on many factors, including those described above. The Company cautions that
historical results are not necessarily indicative of the Company's future
performance.
FIRST MONTAUK FINANCIAL CORP. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
In 000's (except per share amounts)
Years ended December 31,
2007 2006
---- ----
Revenues $ 39,556 $ 50,960
Expenses 41,625 51,770
------ ------
Net loss before income taxes (2,069) (810)
Income taxes 16 27
-- --
Net loss $ (2,085) $ (837)
=========== ===========
Net loss applicable
to common stockholders $ (2,209) $ (1,005)
=========== ==========
Loss per share:
Basic $ (0.14) $ (0.06)
======== ==========
Diluted $ (0.14) $ (0.06)
======== ==========
Weighted average
number of shares of
stock outstanding
Basic 15,635,136 17,004,254
Diluted 15,635,136 17,004,254
CONTACT:
Victor K. Kurylak
President, CEO
732-842-4700, ext. 4230
info@montaukfinancial.com
www.montaukfinancial.com