Siebert Announces Second Quarter 2020 Results
August 13 2020 - 9:29AM
Business Wire
- Revenue more than doubled to $27.4 million in the first half of
2020 compared to $13.5 million in the first half of 2019, largely
due to recent acquisitions*
- Newly acquired business lines of stock loan and market making
increased 74% and 31%, respectively, from the prior quarter
- Entered into an agreement with East West Bank for a $10 million
line of credit
Siebert Financial Corp. (NASDAQ:SIEB) (“Siebert”), a provider of
financial services, today announced results for the second quarter
of 2020, reporting revenue of $12.6 million, net income of $0.5
million, and basic and diluted earnings per share ("EPS") of
$0.02.
Gloria E. Gebbia, controlling shareholder and board member of
Siebert, commented on the quarter saying, “We are pleased with our
results and are excited to see our numerous acquisitions fueling
growth for our company. In regard to the COVID-19 crisis, we have
started reopening some of our branch offices while ensuring
compliance with federal, state, and local laws as well as health
and safety guidelines. We are proud of our employees’ commitment to
continue to provide exceptional service during these challenging
times and plan to fully reopen our branch offices once it is safe
and in compliance to do so. In addition, we entered into an
agreement with East West Bank for a $10 million line of credit to
continue to expand our business and add shareholder value.”
Andrew H. Reich, CFO of Siebert, commented on Siebert’s
performance during the quarter saying, “Our recent acquisitions
have been the primary driver of our revenue growth of $13.9 million
or 103% in 2020 from the comparative 2019 period.* Despite the
COVID-19 crisis, during the first half of 2020 we have almost
surpassed our 2019 total year revenue and are on track to generate
some of the highest revenues in the company’s history. In addition,
new business lines acquired from StockCross performed very well
this quarter as stock loan and market making increased 74% and 31%,
respectively, from the prior quarter.”
*Results reported on the 2020 Q2 10Q are shown for Siebert and
StockCross on a combined basis for historical periods in accordance
with accounting guidance for common-control transactions.
Notice to Investors
This communication is provided for informational purposes only
and is neither an offer to sell nor a solicitation of an offer to
buy any securities in the United States or elsewhere.
About Siebert Financial Corp.
Siebert Financial Corp. is a holding company that conducts its
retail brokerage business through its wholly-owned subsidiary,
Muriel Siebert & Co., Inc., which became a member of the New
York Stock Exchange ("NYSE") in 1967 when Ms. Siebert became the
first woman to own a seat on the NYSE and the first to head one of
its member firms. The company conducts its investment advisory
business through its wholly-owned subsidiary, Siebert AdvisorNXT,
Inc., a registered investment advisor, and its insurance business
through its wholly-owned subsidiary, Park Wilshire Companies, Inc.,
a licensed insurance agency. Siebert conducts operations through
its wholly-owned subsidiary, Siebert Technologies, LLC., a
developer of robo-advisory technology. Siebert also offers prime
brokerage services through its fifth wholly-owned subsidiary, WPS
Prime Services, LLC, a broker-dealer registered with the SEC.
Siebert is headquartered in New York City with offices throughout
the continental U.S. More information is available at
www.siebert.com.
Cautionary Note Regarding Forward-Looking Statements
The statements contained in this press release, that are not
historical facts, including statements about our beliefs and
expectations, are “forward-looking statements” within the meaning
of the U.S. Private Securities Litigation Reform Act of 1995.
Forward-looking statements include statements preceded by, followed
by or that include the words “may,” “could,” “would,” “should,”
“believe,” “expect,” “anticipate,” “plan,” “estimate,” “target,”
“project,” “intend” and similar words or expressions. In addition,
any statements that refer to expectations, projections, or other
characterizations of future events or circumstances are
forward-looking statements.
These forward-looking statements, which reflect our management’s
beliefs, objectives, and expectations as of the date hereof, are
based on the best judgement of our management. All forward-looking
statements speak only as of the date on which they are made. Such
forward-looking statements are subject to certain risks,
uncertainties and assumptions relating to factors that could cause
actual results to differ materially from those anticipated in such
statements, including, without limitation, the following: economic,
social and political conditions, global economic downturns
resulting from extraordinary events such as the COVID-19 pandemic
and other securities industry risks; interest rate risks; liquidity
risks; credit risk with clients and counterparties; risk of
liability for errors in clearing functions; systemic risk; systems
failures, delays and capacity constraints; network security risks;
competition; reliance on external service providers; new laws and
regulations affecting our business; net capital requirements;
extensive regulation, regulatory uncertainties and legal matters;
failure to maintain relationships with employees, customers,
business partners or governmental entities; the inability to
achieve synergies or to implement integration plans and other
consequences associated with risks and uncertainties detailed in
our filings with the SEC, including our most recent filings on
Forms 10-K and 10-Q.
We caution that the foregoing list of factors is not exclusive,
and new factors may emerge, or changes to the foregoing factors may
occur, that could impact our business. We undertake no obligation
to publicly update or revise these statements, whether as a result
of new information, future events or otherwise, except to the
extent required by the federal securities laws.
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version on businesswire.com: https://www.businesswire.com/news/home/20200813005189/en/
Investor Relations: Siebert Financial Corp. John T. Gebbia (310)
432-2196
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