Earth Gen Biofuel Inc. Mid-Year Operations Update.
Earth Gen-Biofuel (OTC:EGBB) has reported a midyear update highlighting a strategic repositioning to enhance its production capacity for tiny homes. Manufacturing operations are centered in a 70,000 sq. ft. facility in Salem, Oregon. New sales strategies targeting RV park developers and municipalities have resulted in increased orders and a broader dealer network. The company plans to build homes in states including Arizona and is addressing affordable housing challenges. Operational upgrades are expected to improve production efficiency and shareholder value.
- Expanded production capacity with operations in a 70,000 sq. ft. facility in Salem, Oregon.
- Increased sales orders resulting from new client relationships and strategies targeting RV park developers and municipalities.
- Enhanced dealer network expanded to nine independent dealers across five states.
- Continuous production of 12 to 15 homes per month, with a plan for increased output.
- Active discussions for large community projects in Arizona and other states to address housing demands.
- The company is not current with its public disclosures, posing risks for investors.
- Limited information on financial conditions or operations available to investors.
Salem, Oregon, Aug. 09, 2021 (GLOBE NEWSWIRE) -- Earth Gen-Biofuel Inc.(OTC:EGBB) midyear update. As one of America’s premier builders of tiny homes, Earth Gen Biofuel Inc. (“EGBB”) continues to expand its production capacity. EGBB manufacturing operations are now concentrated in the International Housing Concepts Inc. (“IHC”), subsidiary in its 70,000 square foot facility in Salem Oregon.
In 2021 EGBB repositioned its sales strategy by focusing on RV Park developers, tiny home retailers, and municipal decision-makers throughout the Pacific Northwest. This has resulted in valuable new relationships and the addition of multiple new clients and increased sales orders. The company has benefited from its expanded network of dealers in providing consumer feedback, resulting in new and exciting floorplans, modern exterior and interior finishes, as well as improved home technology features.
Many of the supply chain issues the company experienced in 2020 have been mitigated through improved relationships with vendors, narrowing of suppliers and a return to reliable product delivery within the global supply-chain. Operations and existing machinery allow for the production of 12 to 15 homes per month. The company has focused on improving manufacturing techniques and has invested in additional capital equipment and technology. IHC has hired and trained additional production staff and skilled laborers. EGBB believes the increased workforce and improvements to the factory floor will create efficiencies and improve production throughput, producing houses faster and meeting the sales demand by building more homes per month.
The additions to the management team that were completed in March 2021 has resulted in increased production-flow and sales orders. Sales and marketing focus is expanding sales in four key distribution channels. Dealers and resellers of RVs and park model homes, Real Estate developers, and property owners with land well-suited for a manufactured housing community. Additionally, State and Local Government are targeted clients and include community leaders and not-for-profit organizations focused on solving the homeless crisis and low-income housing challenges. Large, planned-communities are in the development stages in many cities throughout the United States and we wish to help support this effort providing a realistic housing option for many.
Management continues to cultivate relationships with established RV dealers, manufactured housing communities and developers who plan to use manufactured housing in developing rented homesite communities. EGBB is in active discussions with community planners in both the Northeast and Southwest United States. The Firm’s 2021/22 marketing plan continues to target planned development communities, as well as state and local municipalities with plans to address the low-income housing issues facing many of our nation’s larger cities. The company is in early discussions with Salt Lake City, Utah, Salem, Oregon and Medford, Oregon in attempts to find a solution to providing affordable housing in communities that have an increasing demand for new houses.
During 2021, IHC has expanded its customer base from one to eight communities with locations in Washington, Oregon, and Idaho. The company has increased its dealer network that now includes nine independent dealers and one value-added reseller with locations throughout the Pacific Northwest. The company is now doing business with dealers in five western states. The company is in discussions to build homes for several communities in Southern Oregon and Idaho. IHC continues to supply Hope Valley Resort with homes and has proudly delivered 35 homes to date. The Company is scheduled to deliver eight more Hope Valley Resort homes in the next 45 days. Pending new orders for Hope Valley are projected to reach 8 to 10 homes a month based on information provided by Hope Valley Resort and their plan to add 225 new homes over the next 24 to 30 months.
IHC is in negotiations to build homes for a large community project in Arizona. The company has proposed building an initial production run in its existing plant while the buildout of a new Arizona manufacturing facility takes place. This will provide immediate construction starts at the Salem facility and enable full-line production to transition to Arizona for homes being sold to customers in Arizona, Nevada and Southern California..
IHC has become a valued partner with developers looking for guidance on the strategies for final design and layout of communities. IHC has taken the lead in designing new home configurations to fit into specific locations. The Company’s efforts have resulted in building close relationships with some of the largest RV Park developers in the country, as well as with their staff of buyers.
The company believes it can grow revenues through the introduction of new distribution channels, new products, and additional production capacity. It is anticipated that this will lead to additional sales throughout the Southwest and become the road map for production nationwide.
Operational changes and upgrades are expected to create improved economies of scale through organizational efficiencies, increased buying power and more reliable product throughput, all of which is projected to translate to increased shareholder value.
About the Company
Earth Gen-Biofuel Inc. produces homes and products under the corporate name International Housing Systems Inc. Our goal is not just building housing but creating living environments that meet the needs of owners and enhance the concept of comfortable living in a sustainable and manageable space. The Company’s main manufacturing facility is Salem Oregon. The Company is targeting the domestic needs for housing solutions for broad segments of the market. The company sells its products to Tiny Home Residential Communities, RV Parks, campgrounds and dealers who provide home owners with back yard auxiliary living spaces. IHC sells dealers its line of 280 to 380 square foot towable Tiny Homes that fills the need as off grid and on grid vacation homes that can be moved from site to site. The Company has developed a US based supply chain to support local and national companies and to assure availability of most of the key components used in our manufacturing process. The goal is to deliver high quality homes that employ technology that works for owners of our homes and meets the requirements of sustainability for our environment and the locations where our homes form new communities.
Forward-Looking Statement
This press release may contain “forward-looking” information within the meaning of the Private Securities Litigation Reform Act of 1995. In accordance with the safe harbor provisions of this Act, statements contained herein that look forward in time that include everything other than historical information, involve risks and uncertainties that may affect the Company’s actual results. There can be no assurance that such statements will prove to be accurate and there are a number of important factors that could cause actual results to differ materially from those expressed in any forward-looking statements made by the Company, including, but not limited to, plans and objectives of management for future operations or products, the market acceptance or future success of our products, and our future financial performance. Further caution is given as the Company is not current with its public disclosures and limited information about the Company’s financial condition or operations is available to investors adding additional risk to potential investors.
View our homes at www.homesfromIHC.com
Investor Relations Contact
Hayden Financial Corp.
Robert Gartzman
info@earthgenbiofuel.com
Phone 800-991-8190
FAQ
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