Safe & Green Holdings Corp, a developer, designer, and fabricator of modular structures, has announced that its subsidiary, SG Echo LLC, has secured a purchase order to supply over 150 modular units to an existing infrastructure solutions customer.
The purchase order is expected to generate revenue of approximately $11.3 million, commencing immediately and continuing over the next six months. This follows a recent follow-on order for 40 units with the same customer, announced in October 2023.
The company anticipates that the order will utilize a significant portion of its remaining manufacturing capacity across its two operational facilities.
Paul Galvin, Chairperson and CEO of Safe & Green Holdings, expressed optimism about the project, stating, “This contract will not only generate meaningful revenue but also provide attractive margins. Importantly, the project is slated to commence immediately, and we aim to complete the project during the first half of 2024 – an ambitious but achievable goal. We look forward to expanding our relationship with this customer and anticipate additional sizable orders in the near future.”
Tricia Kaelin, Chief Financial Officer of Safe & Green Holdings, added, “We are off to a strong start in 2024. Upon completion of the project in the second quarter of 2024, this one contract alone will generate more revenue than we recorded in the entire first half of 2023. Moreover, as we increase throughput at our facilities, we anticipate attractive margins and meaningful cash flow from the project.”
Price Action: SGBX shares are up 2.27% at $0.45 premarket on the last check Thursday.
