Rice Capital Management Plus Inc. today reported weak financial results for the second quarter ended June 30.

Gross revenue for the second quarter totalled $4.9 million compared to $4.6 million for the same period in 2000. Operating income slipped to $438,000 for the six months ended June 30th compared to $1.6 million for the same period in 2000. Earnings before interest, taxes, depreciation and amortization was a loss of $188,000 in 2001 compared to an earnings of $791,000 in 2000.

The corporate and development expenses, which include strategic research, corporate and development personnel, technology development, overhead costs and the costs of new market analysis of potential acquisitions, for the six months ended June 30, 2001, totalled $612,000 a decrease of $213,000 from the $825,000 incurred for 2000.

The net loss for the six months ended June 30th, 2001 amounted to $498,000 after deducting amortization of goodwill of $228,000 compared to the net income of $166,000 for 2000 after amortization of goodwill of $186,000. Net loss per common share, on a fully diluted basis, amounted to 1.3¢ per common share for 2001 compared to a net income of 0.7¢ per common share for 2000.

Commenting on the second quarter’s results, Rice Capital president and CEO Tom Rice said “We made several initial assertions when we embarked upon this public venture one of which was we originally stated that the investment was suitable for patient capital. In July, 1999, we laid out a three year business plan to achieve the first stage of our growth to which we remain on target”

“The past six months have shown us that revenues can be volatile during a time of economic uncertainty within the financial markets. In future months, revenues should be enhanced when consumers move their investments from short term vehicles to longer term guaranteed investment certificates and/or mutual funds. On the positive side our assets continued to accumulate during this period of time,” says Rice. “We are beginning to see the results of our corporate development efforts in attracting new associates. We are receiving many inquiries as the impact of consolidation and new regulatory environment is beginning to be felt in the independent distribution community of the financial services sector.”