FRMO FRMO Corporation (PK)

FRMO Corp. (the “Company” or “FRMO”) (Pink Sheets:FRMO) today reported its financial results for its 2014 second quarter, which ended November 30, 2013 (May Fiscal Year).

Financial Highlights

FRMO’s 2014 net income for the three months ending November 30, 2013 increased 25% over the same period in the prior year to $1,050,758 from $838,373 ($0.02 per share in each period, basic and diluted). For the six months ended November 30, 2013, constituting the first half of the current fiscal year ending May 31, 2014, net income was up 30% to $2,453,988 ($0.06 per share, basic and diluted) from $1,892,533 ($0.05 per share, basic and diluted) for the same period in the prior year

Shareholders’ Equity increased by $4.65 million to $88.01 million ($2.03 per share) at November 30, 2013 from $83.37 million ($1.93 per share) at May 31, 2013. Current assets, comprised primarily of cash and equivalents and investments available for sale, amounted to $80.8 million as of November 30, 2013 and $74.8 million as of May 31, 2013. Total liabilities were $14.2 million as of November 30, 2013 compared to $12.7 million at the end of fiscal 2013, the majority of each being deferred taxes.

Further details are available in the Quarterly Report of the Company’s Consolidated Financial Statements for the quarter ended November 30, 2013. These statements have been filed on the OTC Markets Group Disclosure and News Services (DNS), which may be accessed at www.otcmarkets.com/stock/FRMO/filings. These documents are also available on the FRMO web site at www.frmocorp.com.

Conference Call

Murray Stahl, Chairman and CEO, and Steven Bregman, President and CFO, of FRMO Corp. will host a conference call on Thursday, February 6, 2014 at 4:15 p.m. ET. The call can be accessed by dialing 1-888-576-4387 (domestic toll free) or 719-325-2354 (international toll) and entering the following conference ID: 7380319. A replay will be available from 6:15 p.m. on the day of the teleconference until March 7, 2014. To listen to the archived call, dial 1-888-203-1112 (domestic toll free) or 719-457-0820 (international toll), and enter conference ID number 7380319.

    Condensed Consolidated Balance Sheets (in thousands)       November 30,    

     May 31,     

2013 2013   Assets Current Assets: Cash and cash equivalents $ 26,058 $ 26,525 Investments, available for sale, at fair value 53,216 47,306 Other   1,509   1,012 Total Current Assets 80,783 74,843 Investment in unconsolidated limited liability company 11,192 10,974 Participation in Horizon Kinetics revenue stream   10,200   10,200 Total Assets $ 102,175 $ 96,017   Liabilities and Stockholders' Equity Current Liabilities: Deferred Tax Liability $ 7,802 $ 5,852 Redeemable preferred stock - 50 Other current liabilities   2,122   2,510 Total Current Liabilities 9,924 8,412 Deferred Tax Liability - non-current   4,237   4,238 Total Liabilities 14,161 12,650 Stockholders' Equity   88,014   83,367   Total Liabilities and Stockholders' Equity $ 102,175 $ 96,017     Condensed Consolidated Statements of Income (amounts in thousands, except share data)           Three Months Ended Six Months Ended November 30,   November 30, November 30,   November 30, 2013   2012     2013   2012 (Unaudited) Revenue: Consultancy and advisory fees $ 928 $ 508 $ 1,607 $ 1,050

Income from investment partnerships and limited liability companies

218 505 1,475 955 Other   460   436   906   1,341 Total Revenue 1,606 1,449 3,988 3,346 Total Expenses   151   197   364   442   Income from Operations 1,455 1,252 3,624 2,904 Provision for Income Taxes   404   414   1,170   1,011   Net Income $ 1,051 $ 838 $ 2,454 $ 1,893   Basic and Diluted Earnings per Common Share $ 0.02 $ 0.02 $ 0.06 $ 0.05   Weighted Average Common Shares Outstanding Basic 43,272,412 39,138,154 43,264,540 39,138,154 Diluted 43,693,129 39,188,154 43,658,657 39,188,154  

About FRMO Corp.

FRMO Corp. invests in and receives revenues based upon consulting and advisory fee interests in the asset management sector.

FRMO has 43,311,972 shares of common stock outstanding.

For more information, visit our Web site at www.frmocorp.com.

Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995 – With the exception of historical information, the matters discussed in this press release are forward-looking statements that involve a number of risks and uncertainties. Words like “believe,” “expect” and “anticipate” mean that these are our best estimates as of this writing, but that there can be no assurances that expected or anticipated results or events will actually take place, so our actual future results could differ significantly from those statements. Factors that could cause or contribute to such differences include, but are not limited to: our ability to maintain our competitive advantages, the general economics of the financial industry, our ability to finance growth, our ability to identify and close acquisitions on terms favorable to the Company, and a sustainable market.

Further information on our risk factors is contained in our quarterly and annual reports as filed on our website www.frmocorp.com and on www.otcmarkets.com/stock/FRMO/filings.

FRMO Corp.Thérèse Byars, 646-495-7337Corporate Secretarytbyars@frmocorp.comwww.frmocorp.com