JERSEY CITY, N.J., Feb. 16 /PRNewswire-FirstCall/ -- Hudson Holding Corporation (BULLETIN BOARD: HDHL) announced that it filed its results for the fiscal quarter ended December 31, 2009 with the Securities and Exchange Commission today.
"We made significant progress this quarter in our firm wide review of our business lines. We closed on $4.8 million in financing, further strengthening our cash position while currently having no debt on our balance sheet. The loss for the quarter on a GAAP basis was primarily the result of certain non cash charges," said Tony Sanfilippo, Chief Executive Officer. "We are committed to reinvesting in our business by actively recruiting quality people and expanding our product offering in our effort to broaden our institutional business. The recent addition of a fundamental research product to complement our strong trading platform is an important step in repositioning Hudson as a full service firm. We believe our value proposition will be enhanced by these new initiatives."
Three Months Ended Nine Months Ended December 31, December 31, ----------------- ----------------- (unaudited) 2009 2008 2009 2008 ---- ---- ---- ---- Sales and trading $5,926,885 $8,755,272 $16,587,944 $18,389,992 Commissions and fees 3,934,397 3,332,552 14,067,925 10,820,772 Net interest and other income 150,097 135,390 504,450 788,013 ------- ------- ------- ------- Total revenues $10,011,379 $12,223,214 $31,160,319 $29,998,777 ----------- ----------- ----------- ----------- Net loss $(1,124,711) $(174,385) $(4,465,451) $(1,140,866) =========== ========= =========== =========== Basic and diluted EPS $(0.02) $(0.00) $(0.09) $(0.03) ====== ====== ====== ======
Total revenues for the three months ended December 31, 2009 was approximately $10 million as compared to $12.2 million during the same period in the prior fiscal year, a decrease of 18%. Net trading gains for the three months ended December 31, 2009 was approximately $5.9 million as compared to $8.7 million during the same period in the prior fiscal year, representing a decrease of 32%. Commission revenues increased 18% for the three months ended December 31, 2009, to approximately $3.9 million from $3.3 million during the same period in the prior fiscal year, primarily due to an expansion of our institutional sales effort. The net loss increased to approximately $1.1 million for the three months ended December 31, 2009, from a $0.2 million loss during the same period in the prior fiscal year.
Total revenues increased 4% for the nine months ended December 31, 2009, to approximately $31.2 million from $30 million for the same period in the prior fiscal year. Net trading gains decreased 10% for the nine months ended December 31, 2009, to approximately $16.6 million from $18.4 million during the same period in the prior fiscal year. Commission revenues increased 30% for the nine months ended December 31, 2009, to approximately $14.1 million from $10.8 million during the same period in the prior fiscal year, primarily due to a significant expansion of our institutional sales effort. The net loss increased to approximately $4.5 million for the nine months ended December 31, 2009, from a $1.1 million loss during the same period in the prior fiscal year.
December 31, March 31, 2009 2009 ---- ---- (unaudited) Hudson Holding Corporation -------------------------- Stockholders' equity $15,061,295 $13,637,689 =========== =========== Total assets $18,449,657 $17,106,939 =========== =========== Hudson Securities, Inc. ----------------------- Net capital $8,625,190 $6,109,287 ========== ========== Excess net capital $7,625,190 $5,109,287 ========== ==========
Hudson Holding Corporation is a publicly traded company on the OTC Bulletin Board under the symbol "HDHL" and is the parent of Hudson Securities, Inc. and Hudson Technologies, Inc. Hudson Securities, Inc. is dedicated to meeting the liquidity needs of its clients--institutions, hedge funds, asset managers, and broker dealers--by providing execution solutions and making markets in over 15,000 U.S. and foreign securities and ADRs. As a registered broker-dealer under the Securities Exchange Act of 1934, Hudson Securities is a member of the Financial Industry Regulatory Authority ("FINRA") and has been in business since 1984. Hudson Technologies provides technology services to Hudson Securities and client companies.
Certain statements contained herein constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on current expectations, estimates and projections about the Company's industry, management's beliefs and certain assumptions made by management. Readers are cautioned that any such forward-looking statements are not guarantees of future performance and are subject to certain risks, uncertainties and assumptions that are difficult to predict. Because such statements involve risks and uncertainties, the actual results and performance of the Company may differ materially from the results expressed or implied by such forward-looking statements. Given these uncertainties, readers are cautioned not to place undue reliance on such forward-looking statements. Unless otherwise required by law, the Company also disclaims any obligation to update its view of any such risks or uncertainties or to announce publicly the result of any revisions to the forward-looking statements made here; however, readers should review carefully reports or documents the Company files periodically with the Securities and Exchange Commission.
Contacts: Anthony M. Sanfilippo CEO 201-216-0100 Keith R. Knox President 201-216-0100 Andrew Lewin Investor Relations alewin@hudsonsecurities.com HUDSON HOLDING CORPORATION AND SUBSIDIARIES CONSOLIDATED CONDENSED STATEMENTS OF OPERATIONS (Unaudited) Three Months Ended Nine Months Ended December 31, December 31, ---------------- ----------------- 2009 2008 2009 2008 ---- ---- ---- ---- Revenues: Trading gains, net $5,926,885 $8,755,272 $16,587,944 $18,389,992 Commissions and fees 3,934,397 3,332,552 14,067,925 10,820,772 Interest and other income 150,097 135,390 504,450 788,013 ------- ------- ------- ------- 10,011,379 12,223,214 31,160,319 29,998,777 ------- ------ ------ ----- Expenses: Salaries and related costs 2,569,036 1,981,585 7,756,178 6,153,132 Commissions, execution and clearing charges 5,436,110 7,659,977 18,420,564 17,452,554 Communications 1,593,964 1,424,191 4,893,552 4,206,126 Occupancy 488,066 283,501 1,347,078 880,239 Professional fees 198,978 342,272 939,655 1,132,073 Business development 185,944 177,308 532,396 602,321 Other 520,310 401,833 1,514,205 1,141,906 --- -- 10,992,408 12,270,667 35,403,628 31,568,351 ------- ------ ------ ----- Loss before income tax benefit (981,029) (47,453) (4,243,309) (1,569,574) Income tax benefit 143,682 126,932 222,142 (428,708) -------- Net loss $(1,124,711) $(174,385) $(4,465,451) $(1,140,866) =========== ========= =========== =========== Loss per share - basic and diluted $(0.02) $(0.00) $(0.09) $(0.03) ====== ====== ====== ====== Weighted average number of shares outstanding - basic and diluted 57,945,488 45,604,341 51,190,491 42,878,210 ========== ========== ========== ========== HUDSON HOLDING CORPORATION AND SUBSIDIARIES CONSOLIDATED CONDENSED STATEMENTS OF FINANCIAL CONDITION (Unaudited) December 31, March 31, 2009 2009 ---- ---- (unaudited) ASSETS Cash and cash equivalents $8,197,227 $6,694,914 Cash - restricted 378,185 252,408 Receivable from clearing broker 1,765,572 1,294,689 Securities owned, at fair value 3,326,327 2,246,488 Income taxes receivable 401,625 75,040 Furniture, equipment, capitalized software and leasehold improvements, net 895,161 1,182,028 Deferred tax assets 996,000 1,515,000 Other assets 1,122,381 866,027 Prepaid compensation 256,000 1,869,167 Goodwill 1,111,179 1,111,179 --------- --------- $18,449,657 $17,106,940 =========== =========== LIABILITIES AND STOCKHOLDERS' EQUITY Liabilities: Securities sold, but not yet purchased, at fair value $712,839 $637,829 Commissions payable 1,103,487 1,259,987 Income taxes payable 60,827 Payable to clearing brokers - 48,833 Accrued expenses and other liabilities 1,572,036 1,461,774 --------- --------- Total liabilities 3,388,362 3,469,250 --------- --------- Commitments and contingencies Stockholders' equity: Preferred stock, $.001 par value; 1,000,000 shares authorized, none issued - - Common stock, $.001 par value; 200,000,000 shares authorized; 68,723,703 and 47,794,537 shares issued and outstanding at December 31, and March 31, 2009 respectively 68,724 47,795 Additional paid-in capital 23,662,648 17,794,521 Accumulated deficit (8,670,077) (4,204,626) ---------- ---------- Total stockholders' equity 15,061,295 13,637,690 ---------- ---------- $18,449,657 $17,106,940 =========== ===========
Hudson Holding Corporation
CONTACT: Anthony M. Sanfilippo, CEO, +1-201-216-0100, Keith R. Knox,
President, +1-201-216-0100, or Andrew Lewin, Investor Relations,
alewin@hudsonsecurities.com
Web Site: http://www.hudsonsecurities.com/
