Tuxis Corp. : October 22, 2013 Tuxis Corporation Announces Third Quarter 2013 Financial Results

Tuxis Corporation Announces Third Quarter 2013 Financial Results

October 22, 2013 - Tuxis Corporation (Ticker: TUXS) today reported its financial results for the third quarter ended September 30, 2013.
Tuxis recorded a net loss of $1,183 or $0.00 per share for the three months ended September 30,
2013 compared to a net loss of $21,288 or $0.02 per share for the three months ended September
30, 2012. Revenue from rental income was $121,218 for the three months ended September 30,
2013 compared to $117,256 for the three months ended September 30, 2012. Tuxis recorded a net loss of $78,067 or $0.07 per share for the nine months ended September 30, 2013 compared to a net loss of $312,247 or $0.28 per share for the nine months ended September 30, 2012. Revenue from rental income was $357,708 for the nine months ended September 30, 2013 compared to
$351,349 for the nine months ended September 30, 2012. The Company's primary source of revenue is rental income from its self storage facilities. Tuxis had an adjusted EBITDA of
$17,132 for the nine months ended September 30, 2013 compared to an adjusted EBITDA loss of
$148,221 for the nine months ended September 30, 2012.
The Company's book value per share at September 30, 2013 was $5.38 (shareholders' equity of
$6,098,488 divided by 1,133,477 shares issued and outstanding).
The Company's unaudited balance sheet, statements of income, and statements of cash flows as of and for the third quarter and nine months ended September 30, 2013 including a reconciliation of net loss to adjusted EBITDA, are appended to the copy of this press release on www.tuxis.com.

About Tuxis

Tuxis Corporation is engaged through subsidiaries in self storage and real estate development. Tuxis Self Storage at Heritage Park, Clinton, Connecticut, is a 184 unit self storage facility which offers a mix of standard and climate control units. Tuxis Self Storage at Millbrook Commons, Millbrook, New York, is a mixed use facility consisting of 141 climate control self storage units including wine storage bins and complemented by rental office space. To learn more about our self storage facilities please visit www.tuxisselfstorage.com. To learn more about Tuxis Corporation, including Rule 15c2-11 information, please visit www.tuxis.com.

Safe Harbor Note

This release contains certain "forward looking statements" made pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These statements involve known and unknown risks, uncertainties and other factors, many of which are beyond the control of Tuxis Corporation, which may cause the company's actual results to be materially different from those expressed or implied by such statements. The forward looking statements made herein are only made as of the date of this release, and the company undertakes no obligation to publicly update such forward looking statements to reflect subsequent events or circumstances.
The Company views book value per share and adjusted EBITDA, non-GAAP financial measures, as an important indicator of financial performance and as a complement to results in accordance with accounting principles generally accepted in the United States of America ("GAAP"). Presented in conjunction with other financial information, the combined presentation can enhance an investor's understanding of the Company's underlying financial condition and results from
operations. The definition of book value as presented in this press release is shareholders' equity divided by currently issued and outstanding shares. The term "adjusted EBITDA" is a financial measure that the Company defines as net income (loss) before dividend and interest income, income taxes, depreciation, and share-based compensation. Adjusted EBITDA is not a substitute for measures determined in accordance with GAAP and may not be comparable to adjusted EBITDA as reported by other companies.
Contact: Thomas O'Malley
Chief Financial Officer
1-212-785-0900, ext. 267 [e-mail] www.tuxis.com

TUXIS CORPORATION CONSOLIDATED BALANCE SHEET September 30, 2013

(Unaudited)

Assets

Current assets

Cash and c ash equivalents	$ 343,504
Investment in sec urities	100,201
Ac c ounts rec eivable	2,321
Refundable inc ome taxes	23,796
Prepaid expenses	51,897
Total c urrent assets	521,719
Property and equipment, net	6,775,126
Other assets	2,129
	6,777,255

Total assets

$ 7,298,974

Liabilities and shareholders' equity

Current liabilities

Ac c ounts payable and ac c rued expenses

$ 53,611

Total c urrent liabilities	53,611
Due to affiliates	1,002,644
Death benefit obligation	144,231
	1,146,875

Total liabilities 1,200,486

Shareholders' equity

Common stock, $0.01 par value, 1,000,100,000 shares authorized;

1,133,477 issued and outstanding 11,335

Series A participating preferred stoc k, $0.01 par value, 100,000

shares authorized, -0- shares issued and outstanding	-
Additional paid in capital	10,435,911
Notes receivable for c ommon stoc k issued	(21,632)
Other c omprehensive inc ome	(3,913)
Ac c umulated deficit	(4,323,213)
Total shareholders' equity	6,098,488
Total liabilities and shareholders' equity	$ 7,298,974

TUXIS CORPORATION CONSOLIDATED STATEMENTS OF INCOME (Unaudited)

Revenues

Three Months Ended Nine Months Ended

September 30, September 30,

2013 2012 2013 2012

Rental inc ome and other fees

$ 121,218 $

117,256

$ 357,708

$ 351,349

Expenses

General and administrative 45,317 51,305 154,580 153,154

Compensation and benefits 41,486 44,344 161,913 319,385

Deprec iation 31,659 31,889 93,611 95,451

Professional 6,720 11,684 24,083 27,031

Share-based c ompensation - - 6,000 63,193

125,182 139,222 440,187 658,214

Other inc ome

Dividends and interest 2,781 678 4,412 1,848

Loss before income taxes (1,183) (21,288) (78,067) (305,017) Inc ome tax expense - - - 7,230

Net loss

$ (1,183) $

(21,288) $

(78,067)

$ (312,247)

Basic and diluted per share net loss

$ (0.00) $

(0.02) $

(0.07) $

(0.28)

Basic and diluted average shares outstanding 1,123,436 1,118,577 1,120,214 1,114,391

TUXIS CORPORATION CONSOLIDATED STATEMENTS OF CASH FLOWS Nine Months Ended September 30, 2013 and 2012 (Unaudited)

Cas h flows from operating activities

2013 2012

Net los s

Adjus tments to reconcile net los s to net cas h provided by

(us ed in) operating activities

$ (78,067)

$ (312,247)

Depreciation 93,611 95,451

Share-bas ed compens ation expens e 6,000 63,193

Decreas e (increas e) in accounts receivable 5,205 (6,239) Increas e in refundable income taxes (9,939) - Increas e in prepaid expens es (27,094) (20,247) (Decreas e) increas e in accounts payable and accrued expens es (5,111) 731 (Decreas e) increas e in due to affiliates (12,826) 102,080 (Decreas e) increas e in death benefit obligation (20,250) 165,029

Net cas h (us ed in) provided by operating activities (48,471) 87,751

Cas h flows from inves ting activities

Fixed as s et acquis itions (60,318) (15,546) Real es tate development (32,367) (19,241) Proceeds from s ales of inves tment s ecurities 100,000 - Purchas e of inves tment s ecurities (4,113) -

Net cas h provided by (us ed in) inves ting activities 3,202 (34,787)

Cas h flows from financing activities

Forgivenes s of indebtednes s 35,164 - Prepayment of promis s ory note 900 650

Is s uance of s tock upon exercis e of s tock options 17,731 23,681

Promis s ory note accepted with exercis e of s tock options (17,582) (23,482) Net cas h provided by financing activities 36,213 849

Net (decreas e) increas e in cas h and cas h equivalents (9,056) 53,813

Cas h and cas h equivalents

Beginning of period 352,560 462,968

End of period

$ 343,504

$ 516,781

Supplemental dis clos ure:

TUXIS CORPORATION

NON-GAAP FINANCIAL MEASURE AND RECONCILIATION

(Unaudited)

The Company views adjusted EBITDA, a non-GAAP financial measure, as a complement to results in accordance with accounting principles generally accepted in the United States of America ("GAAP"). The term "adjusted EBITDA" is a financial measure that the Company defines as net income (loss) before dividends and interest income, income taxes, depreciation, and share-based compensation. Adjusted EBITDA is not a substitute for measures determined in accordance with GAAP and may not be comparable to adjusted EBITDA as reported by other companies. A reconciliation of net loss to adjusted EBITDA for nine months ended September

30, 2013 and 2012, respectively, is set forth in the following table:

	2013		2012
Net los s	$ (78,067)		$ (312,247)
Adjustments:
Dividends , interes t, and other income	(4,412)		(1,848)
Depreciation	93,611		95,451
Share-bas ed compens ation	6,000		63,193
Income tax expens e	-		7,230
Adjus ted EBITDA	$ 17,132		$ (148,221)