Kent Financial Services, Inc. Reports Earnings

Business Wire, March 26, 1999

BEDMINSTER, N.J.--(BUSINESS WIRE)--March 26, 1999--KENT FINANCIAL SERVICES, INC. (the "Company") (NASDAQ - KENT) reported net income for 1998 of $532,000 or $.27 basic and fully diluted earnings per share, compared to a net loss of $1,150,000 or $.56 basic and fully diluted loss per share, in 1997. Total revenues for the year ended December 31, 1998 were $5.2 million, compared to $3.2 million for the year ended December 31, 1997. Net investing gains were $1,651,000 in 1998, compared to net investing losses of $987,000 in 1997.

The Company has 1,991,658 shares outstanding. -0-

                    KENT FINANCIAL SERVICES, INC.
                    CONSOLIDATED OPERATING RESULTS
            FOR THE YEARS ENDED DECEMBER 31, 1998 AND 1997
                 (in thousands, except per share data)

                                             Year Ended
                                             December 31,
                                            1998      1997
Revenues:
 Brokerage commissions and fees           $ 1,697   $ 1,688
 Principal transactions:
    Trading                                   703     1,610
    Investing gains (losses)                1,651   (   987)
 Underwriting and placement fees,
    net of related expenses                   153      --
 Interest, dividend and other                 979       876
          Total revenues                    5,183     3,187

Expenses:
 Brokerage                                  1,772     2,242
 General, administrative and other          2,596     1,911
 Interest                                     280       287
          Total expenses                    4,648     4,440

Earnings (loss) before income taxes           535   ( 1,253)
Income taxes (benefit)                          3   (   103)
Net earnings (loss)                       $   532   ($1,150)

Basic earnings (loss)
per common share                          $   .27   ($  .56)

Diluted earnings (loss)
 per common share                         $   .27   ($  .56)


                 CONSOLIDATED CONDENSED BALANCE SHEET
                           December 31, 1998
                            (in thousands)


Cash and cash equivalents                              $ 8,217
Securities owned                                         5,064
Receivable from clearing broker                          1,269
Net property and equipment                               1,214
Other assets                                               194
         Total assets                                  $15,958

Liabilities                                            $ 3,436
Stockholders' equity                                    12,522
         Total liabilities and stockholders' equity    $15,958