1. SGD raised compost prices by 25%, reflecting strong market demand. 2. Consistent orders remained intact despite price increases. 3. Operational enhancements support stronger unit economics and recurring revenues. 4. SGD will publish monthly third-party inventory reports for transparency. 5. Investments in new equipment aim to improve product quality.
FAQ
Why Bullish?
The 25% price increase shows strong demand and pricing power. Historically, companies that can increase prices without losing customers often see stock price appreciation.
How important is it?
Increased pricing strategy indicates strong operational performance, which can positively influence stock prices. The proactive approach to transparency through inventory reports also builds investor confidence.
Why Short Term?
The immediate effects of price increases will likely result in boosted revenues soon. However, sustained impact relies on maintaining demand levels long-term.
Safe and Green Development Corporation (SGD) Announces Significant Pricing Increase on Compost Purchase Orders
MIAMI, FL, Dec. 16, 2025 (GLOBE NEWSWIRE) -- Safe and Green Development Corporation (NASDAQ: SGD) has successfully implemented a 25% price increase on its recurring weekly compost purchase orders at the Myakka, Florida facility. This strategic adjustment follows the acceptance of revised pricing by a high-volume customer, who has not reduced their order volume.
Implications of the Price Increase
The price increase reflects a robust demand for the Company’s compost products, signifying increasing pricing power within its materials processing platform. This adjustment not only enhances gross revenue but also supports improved unit economics while maintaining steady order volumes.
- Customer Relationship: Pricing increased without a reduction in order volume.
- Revenue Impact: Direct contribution to gross revenue and improved unit economics.
- Operational Strategy: Aligns with ongoing enhancements in throughput, material consistency, and reliability.
Operational Enhancements Supporting Growth
Safe and Green Development Corporation is actively enhancing its operational capacity through the deployment of newly acquired equipment. Notably, the planned integration of the Company’s Microtec mill is expected to facilitate the production of higher-value engineered soil and compost-based products.
David Villarreal, CEO of Safe and Green Development Corporation, commented on the achievement: “The ability to increase pricing on a recurring, high-volume customer without impacting demand reflects the operational progress we have made at the Myakka site.”
Villarreal further stressed the importance of these improvements, stating, “We believe these enhancements position the Company to deliver stronger unit economics and more durable recurring revenues.”
Commitment to Transparency and Shareholder Communication
In a move to enhance transparency, Safe and Green Development Corporation will begin publishing a monthly third-party inventory flyover report for its Myakka site. This report will be accessible via sgdevco.com/media, reinforcing the Company’s commitment to maintaining shareholder confidence through open communication regarding daily operations and inventory activities.
About Safe and Green Development Corporation
Founded in 2021, Safe and Green Development Corporation focuses on real estate development and environmental solutions, primarily through the direct acquisition and indirect investment in properties across the United States for future green housing projects. Through its subsidiary, Resource Group US Holdings LLC, the Company operates a permitted 80+ acre organics processing facility in Florida, expanding into the production of sustainable, high-margin potting media and soil substrates using advanced milling technology.
Forward-Looking Statements
This announcement may contain forward-looking statements as defined by the Securities Act of 1933 and the Securities Exchange Act of 1934. These statements may involve risks and uncertainties that could cause actual results to differ significantly from past performance or present expectations.
Factors that could impact actual outcomes include the Company’s ability to maintain pricing levels, improve throughput and material consistency, and execute operational and strategic initiatives. For any investor inquiries, please contact info@sgdevco.com.