Safe & Green Holdings Expands Contract with Government Contractor to Refurbish 19 Container Modules for a Major U.S. Agency
Safe & Green Holdings Corp. (SGBX) secures a contract to refurbish 19 container modules for a major U.S. government agency, valued at over $300,000, showcasing the company's expertise in modular construction.
Safe & Green Holdings Corp.'s new contract for refurbishing container modules is a positive development that may influence the company's financial performance in the short term. The contract value of over $300,000, while not substantial for large corporations, could be significant for a smaller firm like Safe & Green Holdings, depending on their revenue scale and profit margins. Modular construction is a growing industry, benefiting from trends in sustainability and the need for quick deployment of structures in various sectors, including government operations.
Investors should note that government contracts often come with stringent quality requirements and the potential for future business, suggesting that Safe & Green Holdings has a reliable and quality-driven operational model. The fact that this is a repeat business for the company indicates customer satisfaction and could hint at a strong competitive position within the modular construction niche.
Analyzing the financial implications of this contract requires understanding the context within Safe & Green Holdings' overall financial health. The immediate revenue boost of $300,000 is a positive, but one must also consider the costs associated with the refurbishment process. The company's ability to manage these costs effectively will determine the actual impact on their bottom line.
Additionally, the timing of the contract completion and delivery by May 2024 is important for cash flow projections and could affect quarterly financial reporting. If this contract is part of a larger strategic push into government contracts, it could be indicative of a diversifying revenue stream, which is typically favored by investors seeking stability in their investments.
03/21/2024 - 08:30 AM
Refurbished Container Modules
MIAMI, FL, March 21, 2024 (GLOBE NEWSWIRE) -- Safe & Green Holdings Corp. (NASDAQ: SGBX) (“Safe & Green Holdings” or the “Company”), a leading developer, designer, and fabricator of modular structures, today announced it has received a new contract from a government contractor to refurbish 19 container modules to be used by a major U.S. government agency.
David Cross, Vice President of Business Development at Safe and Green Holdings, remarked, "We are pleased to report that our client, a premier government contractor, has selected Safe and Green Holdings to refurbish these modular units for an important, undisclosed agency within the U.S. government. Our enduring partnership with this contractor and their end customer is a source of pride, and we have now been selected to refurbish 19 modular units we initially built for them. The refurbishment will take place at our Durant, Oklahoma facility, and the refurbished modules will be delivered to a government facility in Virgina. This ongoing collaboration is a further testament to the exceptional quality of our products as well as our proficiency in modular construction."
The contract is valued at more than $300,000 and the units are expected to be delivered in May of 2024.
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/
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 new contract from a longstanding customer to refurbish 19 pre-existing container modules for a government agency. While the Company believes these forward-looking statements are reasonable, undue reliance should not be placed on any such forward-looking statements, which are based on information available to us on the date of this release. These forward-looking statements are subject to various risks and uncertainties, many of which are difficult to predict that could cause actual results to differ materially from current expectations and assumptions from those set forth or implied by any forward-looking statements. Important factors that could cause actual results to differ materially from current expectations include, but are not limited to, the Company’s ability to successfully complete the refurbishment of the 19 pre-existing container modules, and the factors discussed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022, and its subsequent filings with the SEC, including subsequent periodic reports on Forms 10-Q and 8-K. The information in this release is provided only as of the date of this release, and we undertake no obligation to update any forward-looking statements contained in this release on account of new information, future events, or otherwise, except as required by law. [TA1]
Investor Relations: SGBX@crescendo-ir.com
What is the latest announcement from Safe & Green Holdings Corp. (SGBX)?
Safe & Green Holdings Corp. (SGBX) has announced a new contract to refurbish 19 container modules for a major U.S. government agency.
Who is the Vice President of Business Development at Safe & Green Holdings Corp. (SGBX)?
David Cross is the Vice President of Business Development at Safe & Green Holdings Corp. (SGBX).
Where will the refurbishment of the container modules take place?
The refurbishment of the container modules will take place at Safe & Green Holdings Corp. (SGBX) facility in Durant, Oklahoma.
What is the value of the contract secured by Safe & Green Holdings Corp. (SGBX)?
The contract secured by Safe & Green Holdings Corp. (SGBX) is valued at more than $300,000.
When are the refurbished units expected to be delivered?
The refurbished units are expected to be delivered in May of 2024.
