In a stunning turn of events, Safe & Green Holdings, a prominent player in the modular structures industry, unveiled its financial results for the third quarter (Q3) ending September 30, 2023, causing its stock to skyrocket by over 1000%. The company, known for its innovative approach to residential, commercial, and point-of-care medicine structures, witnessed a significant surge in its stock value, leaving investors in awe.
As of Wednesday’s closing bell, the stock of Safe & Green Holdings rested at a modest $0.48. However, Thursday morning marked a game-changing moment as trading resumed at the same value, only to skyrocket to an impressive $5.85 at present.
At the time of this publication, Safe & Green Development Corp stock (SGD) has witnessed a surge.
Safe & Green Development Corp
Current Price: $5.85
Change : +5.37
Change (%): (1,118.75%)
Volume: 8.1M
Source: Tomorrow Events Market Data
Safe and Green Holdings Q3 2023 Financial Results:
Revenue for the third quarter of 2023 reached $4.0 million, showing a slight dip from the $4.1 million reported during the same period in 2022. The reduction can be primarily attributed to the absence of medical revenue in the 2023 third quarter, though this was partially offset by a substantial increase in manufacturing and construction services revenue. The latter segment experienced a remarkable 48% boost, generating $4.0 million in revenue compared to the corresponding period last year.
However, this surge in revenue did not translate into an improved gross profit. The total gross profit (loss) for the third quarter of 2023 was reported at ($536) thousand, a notable contrast to the ($165) thousand reported in the third quarter of 2022. This dip was largely a consequence of the decline in medical revenue during the period.
Operating expenses for the third quarter of 2023 amounted to $2.4 million, slightly surpassing the $2.3 million incurred during the same period in 2022. The elevated expenses in 2023 were attributed to significant costs associated with the development of SG DevCo and Safe and Green Medical Corp (“WELLglobal HealthSM”), which were absent during the same period last year.
The net loss attributable to common shareholders for the third quarter of 2023 was approximately $3.6 million, or $(0.23) per share. This compares to a net loss of $2.5 million, or $(0.18) per share, in the third quarter of 2022.
In terms of adjusted EBITDA, the company reported approximately ($1.4) million for the third quarter ended September 30, 2023, a slight improvement from the ($1.5) million reported for the same period in 2022. Both EBITDA and Adjusted EBITDA are considered non-GAAP financial measures.
Financial Position and Outlook
As of September 30, 2023, and December 31, 2022, Safe & Green Holdings maintained a cash balance and short-term investments of $713 thousand and $600 thousand, respectively. The stockholders’ equity stood at $5.7 million as of September 30, 2023, in contrast to $14.4 million as of September 30, 2022. Despite this reduction, the company remains confident in its financial stability, believing it possesses adequate cash and borrowing capacity to sustain near-term operations.
