KENT Kent Financial Services, Inc. (MM)

KENT FINANCIAL SERVICES, INC. ("Kent") (NASDAQ: KENT) reported a net loss for the three months ended June 30, 2006 of $158,000 or $.05 per share, compared to a net loss of $275,000, or $.10 per share, for the comparable period in 2005. For the six months ended June 30, 2006 the net loss was $323,000, or $.12 per share, compared to a net loss of $246,000, or $.09 per share, for the comparable period in the prior year. Kent has 2,802,932 shares outstanding. This 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 Financial Services cautions investors not to place undue reliance on forward-looking statements, which speak only to management's expectations on this date. Per share earnings reported in the text of the news release are fully diluted earnings per share. -0- *T KENT FINANCIAL SERVICES, INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2006 AND 2005 (in thousands, except per share data) (Unaudited) Three Months Ended Six Months Ended June 30, June 30, ------------------ ----------------- 2006 2005 2006 2005 --------- -------- -------- -------- Revenues: Seminar fees $ 116 $ 28 $ 167 $ 28 Management fee income - - - 12 Interest and dividends 147 94 288 176 Investing gains (losses) 5 ( 83) ( 11) ( 30) Other income 11 24 27 182 --------- -------- -------- -------- Total revenues 279 63 471 368 --------- -------- -------- -------- Expenses: General and administrative 474 343 874 617 --------- -------- -------- -------- Loss before income taxes, minority interest and extraordinary item ( 195) ( 280) ( 403) ( 249) Provision for income taxes 6 2 7 22 --------- -------- -------- -------- Loss before minority interest and extraordinary item ( 201) ( 282) ( 410) ( 271) Minority interest in subsidiaries losses 25 7 59 25 --------- -------- -------- -------- Loss before extraordinary item ( 176) ( 275) ( 351) ( 246) Extraordinary gain due to purchase of subsidiary stock 18 - 28 - --------- -------- -------- -------- Net loss ($ 158) ($ 275) ($ 323) ($ 246) ========= ======== ======== ======== Basic and diluted net loss per common share: Loss per share before extraordinary item ($ 0.06) ($ 0.10) ($ 0.13) ($ 0.09) Extraordinary gain 0.01 - 0.01 - --------- -------- -------- -------- Net loss per share ($ 0.05) ($ 0.10) ($ 0.12) ($ 0.09) ========= ======== ======== ======== Weighted average number of common shares outstanding (in 000's) 2,803 2,831 2,803 2,837 ========= ======== ======== ======== CONDENSED CONSOLIDATED BALANCE SHEET AS OF JUNE 30, 2006 (in thousands) (Unaudited) Assets Current Assets Cash and cash equivalents $ 1,299 Short-term investments 12,106 Securities owned 106 Other current assets 102 -------- Total current assets 13,613 Property and equipment, net 2 Goodwill 90 -------- Total assets $ 13,705 ======== Liabilities and Stockholders' Equity Liabilities $ 1,008 Minority interest in subsidiaries 5,245 Stockholders' equity 7,452 -------- Total liabilities and stockholders' equity $ 13,705 ======== *T