Safe & Green Holdings Reports Second Quarter 2024 Results and Provides a Business Update
Safe & Green Holdings Corp. (NASDAQ: SGBX) reported Q2 2024 results, highlighting significant improvements in profitability and operational efficiency. Key points include:
- Record sales pipeline exceeding $25 million
- Gross profit margin increased to 12.7% from 0.7% in Q2 2023
- Operating expenses reduced by 48% year-over-year
- On track for positive cash flow before year-end
- Revenue of $1.3 million, down from $5.1 million in Q2 2023
- Net loss of ($3.9) million, improved from ($5.6) million in Q2 2023
- Adjusted EBITDA loss of ($1.4) million, improved from ($2.3) million in Q2 2023
The company secured new contracts, expanded existing agreements, and implemented cost-saving measures, positioning itself for growth in H2 2024.
Safe & Green Holdings Corp. (NASDAQ: SGBX) ha riportato i risultati del secondo trimestre 2024, evidenziando significativi miglioramenti nella redditività e nell'efficienza operativa. I punti chiave includono:
- Pipeline di vendite record superiore a 25 milioni di dollari
- Margine di profitto lordo aumentato al 12,7% rispetto allo 0,7% nel secondo trimestre 2023
- Spese operative ridotte del 48% su base annua
- In rotta per un flusso di cassa positivo entro la fine dell'anno
- Fatturato di 1,3 milioni di dollari, in calo rispetto ai 5,1 milioni nel secondo trimestre 2023
- Perdita netta di ($3,9) milioni, migliorata rispetto ai ($5,6) milioni nel secondo trimestre 2023
- Perdita EBITDA rettificata di ($1,4) milioni, migliorata rispetto ai ($2,3) milioni nel secondo trimestre 2023
L'azienda ha acquisito nuovi contratti, ampliato gli accordi esistenti e implementato misure di riduzione dei costi, posizionandosi per la crescita nel secondo semestre 2024.
Safe & Green Holdings Corp. (NASDAQ: SGBX) reportó los resultados del segundo trimestre de 2024, destacando mejoras significativas en la rentabilidad y la eficiencia operativa. Los puntos clave incluyen:
- Tubería de ventas récord que supera los 25 millones de dólares
- Margen de ganancia bruta aumentó al 12,7% desde el 0,7% en el segundo trimestre de 2023
- Gastos operativos reducidos en un 48% interanual
- En camino hacia un flujo de caja positivo antes de fin de año
- Ingresos de 1,3 millones de dólares, disminuidos de 5,1 millones en el segundo trimestre de 2023
- Pérdida neta de ($3,9) millones, mejorada desde ($5,6) millones en el segundo trimestre de 2023
- Pérdida EBITDA ajustada de ($1,4) millones, mejorada de ($2,3) millones en el segundo trimestre de 2023
La empresa aseguró nuevos contratos, amplió los acuerdos existentes e implementó medidas de ahorro de costos, posicionándose para un crecimiento en el segundo semestre de 2024.
Safe & Green Holdings Corp. (NASDAQ: SGBX)는 2024년 2분기 실적을 발표하며 수익성과 운영 효율성에서 큰 개선을 강조했습니다. 주요 내용은 다음과 같습니다:
- 역대 판매 파이프라인이 2,500만 달러를 초과함
- 총 이익률이 2023년 2분기 0.7%에서 12.7%로 증가함
- 운영 비용이 연간 48% 감소함
- 연말 전에 긍정적인 현금 흐름 목표 달성 중
- 130만 달러의 수익, 2023년 2분기 510만 달러에서 감소
- 순손실이 ($3.9) 백만으로, 2023년 2분기 ($5.6) 백만에서 개선됨
- 조정된 EBITDA 손실이 ($1.4) 백만으로, 2023년 2분기 ($2.3) 백만에서 개선됨
회사는 새로운 계약을 확보하고 기존 계약을 확장했으며 비용 절감 조치를 시행하여 2024년 하반기 성장에 맞춰 자신을 포지셔닝했습니다.
Safe & Green Holdings Corp. (NASDAQ: SGBX) a publié les résultats du deuxième trimestre 2024, mettant en évidence des améliorations significatives de la rentabilité et de l'efficacité opérationnelle. Les points clés incluent :
- Pipeline de ventes record dépassant 25 millions de dollars
- Marge brute augmentée à 12,7% contre 0,7% au deuxième trimestre 2023
- Dépenses d'exploitation réduites de 48% d'une année sur l'autre
- Sur la bonne voie pour un flux de trésorerie positif avant la fin de l'année
- Chiffre d'affaires de 1,3 million de dollars, en baisse par rapport à 5,1 millions au deuxième trimestre 2023
- Perte nette de ($3,9) millions, améliorée par rapport à ($5,6) millions au deuxième trimestre 2023
- Perte EBITDA ajustée de ($1,4) millions, améliorée par rapport à ($2,3) millions au deuxième trimestre 2023
L'entreprise a sécurisé de nouveaux contrats, élargi les accords existants et mis en œuvre des mesures d'économie de coûts, se positionnant pour une croissance au second semestre 2024.
Safe & Green Holdings Corp. (NASDAQ: SGBX) hat die Ergebnisse für das zweite Quartal 2024 veröffentlicht und erhebliche Verbesserungen in der Rentabilität und betrieblichen Effizienz hervorgehoben. Wichtige Punkte sind:
- Rekordverkäufe, die 25 Millionen Dollar übersteigen
- Bruttogewinnmarge von 0,7% im zweiten Quartal 2023 auf 12,7% gestiegen
- Betriebskosten um 48% im Jahresvergleich gesenkt
- Auf dem Weg zu positivem Cashflow vor Jahresende
- Umsatz von 1,3 Millionen Dollar, zurückgegangen von 5,1 Millionen Dollar im zweiten Quartal 2023
- Nettoverlust von ($3,9) Millionen, verbessert von ($5,6) Millionen im zweiten Quartal 2023
- Bereinigter EBITDA-Verlust von ($1,4) Millionen, verbessert von ($2,3) Millionen im zweiten Quartal 2023
Das Unternehmen hat neue Verträge gesichert, bestehende Vereinbarungen erweitert und Kostensenkungsmaßnahmen umgesetzt, um sich für das Wachstum in der zweiten Hälfte von 2024 zu positionieren.
- Record sales pipeline exceeding $25 million
- Gross profit margin increased to 12.7% from 0.7% in Q2 2023
- Operating expenses reduced by 48% year-over-year
- On track to achieve positive cash flow before year-end
- Adjusted EBITDA loss improved to ($1.4) million from ($2.3) million in Q2 2023
- Expanded agreements with existing customers
- Potential $1.4 million non-dilutive working capital from Employee Retention Tax Credit
- Revenue decreased to $1.3 million from $5.1 million in Q2 2023
- Net loss of ($3.9) million, though improved from previous year
- Negative stockholders' equity of ($4.8) million as of June 30, 2024
The Q2 2024 results for Safe & Green Holdings Corp. present a mixed picture. While revenue decreased significantly to
- Gross profit increased over four-fold to
$159,000 - Gross profit margin improved to
12.7% from0.7% - Operating expenses reduced by
48% - Record sales pipeline of over
$25 million
The company's focus on operational efficiency and high-margin projects is yielding results. However, the net loss and negative stockholders' equity remain concerns. The potential refinancing of the Waldron facility and expected ERTC payment could provide much-needed working capital. The company's guidance of achieving positive cash flow before year-end is encouraging but should be viewed cautiously given the current financial position.
Safe & Green Holdings' Q2 results reflect a strategic shift towards profitability over revenue growth. The record
- Increasing adoption of modular construction in retail and government sectors
- Growing emphasis on sustainable building practices
- Rising demand for quick, cost-effective construction solutions
The expanded agreements with existing customers, including a
Gross profit increases over four-fold; operating expenses reduced
Reports record sales pipeline in excess of
On track to achieve positive cash flow before year-end
MIAMI, Aug. 14, 2024 (GLOBE NEWSWIRE) -- Safe & Green Holdings Corp. (NASDAQ: SGBX) (“Safe & Green Holdings” or the “Company”), a leading developer, designer, and fabricator of modular structures, reported results for the three months ended June 30, 2024.
Key Highlights:
- Record sales pipeline in excess of
$25 million and positive outlook for H2 2024 - Gross profit margin in Q2 2024 increased to
12.7% compared to0.7% for Q2 2023 - Operating expenses declined by
$2.7 million in Q2 2024 versus the same period last year - Company reaffirms guidance it is on track to achieve positive cash flow before year-end
- Received a term sheet from a premier lender to refinance the Waldron facility on favorable terms; expected to provide non-dilutive working capital
- Expected receipt of Employee Retention Tax Credit (ERTC) payment within the next year, which would provide
$1.4 million of non-dilutive working capital - Promoted David Cross to Executive Vice President of SG Echo, LLC
- Completed 2024 annual audit by International Code Council (ICC) Evaluation Service and granted recertification of ESR for certification and use of shipping containers in modular construction
- Expanded agreement to manufacture seven additional container-based electrical distribution centers as part of a multi-unit order for a client serving the big box retailer market
- Granted an expanded contract, valued in excess of
$1 million , to construct an additional 11 container modules and related services for a government contractor to be used by a major U.S. government agency
Paul Galvin, Chairperson and Chief Executive Officer of Safe & Green Holdings commented, “We continue to execute our business strategy with a focus on profitable revenue growth and operational efficiency. I am pleased to report we have been awarded several important contracts, including expanded agreements with existing customers, that highlight both our quality and exceptional customer service. In addition, I’m pleased to report that our sales pipeline has grown significantly during the quarter and is now in excess of
Tricia Kaelin, Chief Financial Officer of Safe & Green Holdings, further noted, “The financial discipline we have instilled across the organization is yielding tangible results. Our ability to enhance gross profit while reducing operating expenses is a clear indication of our focus on creating a leaner, more profitable company. As a result, we remain on track to achieve positive cash flow before year end. In addition, we will continue to optimize our cost structure and prioritize investments that drive long-term returns.”
Financial Results for the Three Months Ended June 30, 2024
Revenue for the three months ended June 30, 2024, was
Gross profit for the three months ended June 30, 2024, was
Operating expenses for three months ended June 30, 2024 were
The net loss attributable to common shareholders was approximately (
The Company’s Adjusted EBITDA loss for the three months ended June 30, 2024, was approximately (
The Company believes the presentation of EBITDA and Adjusted EBITDA is relevant and useful by enhancing the readers’ ability to understand the Company’s operating performance. The Company’s management utilizes EBITDA and Adjusted EBITDA as a means to measure performance.
The Company’s measurements of EBITDA and Adjusted EBITDA may not be comparable to similar titled measurements reported by other companies. EBITDA and Adjusted EBITDA are not measurements of financial performance under GAAP and should not be considered as an alternative to net income (loss) attributable to common stockholders or as an indication of operating performance or any other measures of financial performance derived in accordance with GAAP. The Company does not consider these non-GAAP measures to be substitutes for or superior to the information provided by its GAAP financial results. The non-GAAP information should be read in conjunction with our consolidated financial statements and related notes. These measures also should not be construed as an inference that our future results will be unaffected by the non-recurring, unusual or non-operational items for which these non-GAAP measures make adjustments.
The following is a reconciliation of EBITDA and Adjusted EBITDA to the nearest GAAP measure, net gain (loss) attributable to common stockholders:
Three Months Ended June 30, 2024 | Three Months Ended June 30, 2023 | Six Months Ended June 30, 2024 | Six Months Ended June 30, 2023 | |||||||||||||
Net loss attributable to common stockholders of Safe & Green Holdings Corp. | $ | (3,858,693 | ) | $ | (5,555,524 | ) | $ | (8,528,857 | ) | $ | (9,074,964 | ) | ||||
Addback interest expense | 1,889,328 | 523,971 | 3,172,084 | 811,343 | ||||||||||||
Addback interest income | — | (9,454 | ) | (9,570 | ) | (18,816 | ) | |||||||||
Addback depreciation and amortization | 15,125 | 160,455 | 91,512 | 298,767 | ||||||||||||
EBITDA (non-GAAP) | (1,954,240 | ) | (4,880,552 | ) | (5,274,831 | ) | (7,983,670 | ) | ||||||||
Common stock deemed dividend | - | — | 670,881 | — | ||||||||||||
Addback litigation expense | 168,500 | — | 312,245 | 17,361 | ||||||||||||
Addback stock issued for services | — | 47,500 | 251,361 | 484,825 | ||||||||||||
Addback stock compensation expense | 348,308 | 2,554,262 | 527,336 | 3,210,631 | ||||||||||||
Adjusted EBITDA (non-GAAP) | $ | (1,437,432 | ) | $ | (2,278,790 | ) | $ | (3,513,008 | ) | $ | (4,270,853 | ) | ||||
At June 30, 2024, the Company had cash and cash equivalents of
About Safe & Green Holdings Corp.
Safe & Green Holdings Corp., a leading modular solutions company, operates under core capabilities which include the development, design, and fabrication of modular structures, meeting the demand for safe and green solutions across various industries. The firm supports third-party and in-house developers, architects, builders, and owners in achieving faster execution, greener construction, and buildings of higher value. The Company’s subsidiary, Safe and Green Development Corporation, is a leading real estate development company. Formed in 2021, it focuses on the development of sites using purpose-built, prefabricated modules built from both wood and steel, sourced from one of SG Holdings’ factories and operated by the SG Echo subsidiary. For more information, visit https://www.safeandgreenholdings.com/ and follow us at @SGHcorp on Twitter.
Safe Harbor Statement
Certain statements in this press release constitute "forward-looking statements" within the meaning of the federal securities laws. Words such as "may," "might," "will," "should," "believe," "expect," "anticipate," "estimate," "continue," "predict," "forecast," "project," "plan," "intend" or similar expressions, or statements regarding intent, belief, or current expectations, are forward-looking statements. These forward-looking statements are based upon current estimates and assumptions and include statements regarding the Company’s financial results for the three months ended June 30, 2024, the Company’s guidance it is on track to achieve positive cash flow before year-end, the Company’s receipt of a term sheet from a premier lender to refinance the Waldron facility to provide non-dilutive working capital, the Company’s expected receipt of the Employee Tax Retention Credit (ERTC) payment within the next year, which would provide
Investor Relations:
Crescendo Communications, LLC
(212) 671-1020
sgbx@crescendo-ir.com
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