NEW YORK--(BUSINESS WIRE)--Siebert Financial Corp. (NASDAQ: SIEB) (“Siebert”), a provider of financial services, today announced great results for the first quarter of 2021, reporting revenue of $18.9 million, an increase of 28% from the first quarter of 2020. In addition, operating income was $3.0 million and basic and diluted earnings per share was $0.07.
Gloria E. Gebbia, controlling shareholder and board member of Siebert, commented on the results of the quarter saying, “We are incredibly excited about such a strong start to 2021. Our strategic acquisitions and initiatives have been driving growth and continue to impact our bottom line. Our investments in personnel and key areas of the business have yielded positive results and have more than offset any reduction in revenue associated with lower interest rates. We are seeing this play out in a huge way with our Securities Finance Group and market making division. We are on path towards a great year and are well-positioned to achieve even greater success going forward.”
Andrew Reich, CFO of Siebert, commented on Siebert’s performance during the quarter saying, “We had stellar results this quarter as operating income is on track to outpace the entire 2020 fiscal year by the second quarter of 2021. Despite the lower interest rate environment, our revenue increased by $4.1 million, or 28% from the prior year.
Our Securities Finance Group achieved revenue of $1.8 million, again beating its highest quarterly revenue due to the onboarding of key personnel and expansion of the stock loan functions. In addition, we have implemented cost saving measures such as reducing our occupancy expenses which are just starting to impact our bottom line.”
Expansion of Clearing Operations
Siebert has also implemented initiatives to enhance its clearing capabilities and provide additional services to clients, corporate services companies, and counterparties. By the fourth quarter of 2021, Siebert is planning to offer clearing services to introducing firms to clear their business through MSCO.
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. Siebert 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.