KENT Kent Financial Services, Inc. (MM)

KENT FINANCIAL SERVICES, INC. (the "Company") (NASDAQ:KENT) recorded a net loss of $181,000 or $.06 per share for the year ended December 31, 2005, compared to net income of $949,000 or $.32 per share for the year ended December 31, 2004. Total revenues for the year ended December 31, 2005 were $894,000, compared to $1,930,000 for the year ended December 31, 2004. Results for the year ended December 31, 2004 include a pre-tax gain of $845,000 that the Company recorded in connection with the sale of property. The Company has 2,803,084 shares outstanding. This Press Release contains forward-looking statements which may involve known and unknown risks, uncertainties and other factors that may cause the Company's actual results and performance in future periods to be materially different from any future results or performance suggested by these statements. Kent cautions investors not to place undue reliance on forward-looking statements, which speak only to management's expectations on this date. The per share earnings in the text of this news release are diluted earnings per share. -0- *T KENT FINANCIAL SERVICES, INC. CONSOLIDATED STATEMENTS OF OPERATIONS FOR THE YEARS ENDED DECEMBER 31, 2005 AND 2004 (in thousands, except per share data) Year Ended December 31, --------------- 2005 2004 Revenues: ----- ----- Investing gains (losses) ($ 148) $ 362 Management fee income 12 138 Equity in earnings of T. R. Winston - 138 Equity in losses of Cortech - ( 84) Equity in losses of General Devices - ( 25) Interest 403 116 Other income 326 369 Other: Gain on sale of General Devices 301 - Gain on sale of property - 845 Gain on sale of T. R. Winston - 71 ------- ------ Total revenues 894 1,930 ------- ------ Expenses: General, administrative and other 1,169 936 Interest - 37 ------ ------ Total expenses 1,169 973 ------ ------ Income (loss) before income taxes, minority interest and extraordinary item ( 275) 957 Provision for income taxes 22 56 ------ ------ Income (loss) before minority interest and extraordinary item ( 297) 901 Minority interest in subsidiaries losses 103 48 ------ ------ Income (loss) before extraordinary item ( 194) 949 Extraordinary gain due to purchase of subsidiary stock 13 - ------ ------ Net income (loss) ($ 181) $ 949 ====== ====== Basic and diluted net income (loss) per common share: Income (loss) before extraordinary item ($ 0.07) $ 0.32 Extraordinary gain 0.01 - ------ ------ Net income (loss) ($ 0.06) $ 0.32 ====== ====== Weighted average number of common shares outstanding (in 000's) 2,826 2,921 ====== ====== CONDENSED CONSOLIDATED BALANCE SHEET DECEMBER 31, 2005 (in $000's, except share and per share amounts) ASSETS ------- Cash and cash equivalents $ 1,890 Short-term investments 12,223 Securities owned 141 Property and equipment, net 4 Other assets 123 -------- Total assets $14,381 ======== LIABILITIES AND STOCKHOLDERS' EQUITY ------------------------------------ Liabilities $ 1,027 Minority interest in subsidiaries 5,592 Stockholders' equity 7,762 -------- Total liabilities and stockholders' equity $14,381 ======== *T