Safe and Green Development Corporation Releases Unaudited Financial Information for Resource Group

MIAMI, March 21, 2025 /PRNewswire/ -- Safe and Green Development Corporation (NASDAQ:SGD) ("SGD" or the "Company"), a real estate development and innovation company, is releasing unaudited financial information for Resource Group US Holdings LLC ("Resource Group US Holdings" or "RSG"). As previously announced, SGD has entered into a definitive agreement to acquire 100% of the equity interests in Resource Group US Holdings.

Resource Group US Holdings operates Resource Group US LLC ("RGUS"), an advanced engineered soils and compost business as well as Zimmer Equipment ("ZEI"), a regional logistics and transportation business. The financial information below for 2023 and 2024 displays preliminary, unaudited financial results provided to SGD by Resource Group US Holdings.

The preliminary and unaudited financial results are based on currently available information and are subject to completion of the audit of RSG's financial statements for the years ended December 31, 2024 and December 31, 2023.  The preliminary and unaudited financial results presented in this press release do not present all necessary information for an understanding of RSG's financial condition as of December 31, 2024 and December 31, 2023. RSG's independent registered public accounting firm has not conducted an audit or review of and does not express an opinion or any other form of assurance with respect to, the preliminary unaudited revenue, gross profit, net income (loss) and Adjusted EBITDA results presented in this press release. It is possible that RSG or its independent registered public accounting firm may identify items that require adjustments to the preliminary estimates of revenue, gross profit, net income (loss) and Adjusted EBITDA disclosed in this press release. RSG expects to complete its audited financial statements for the years ended December 31, 2024 and December 31, 2023 in the next few weeks.

For the year ended December 31, 2024, it is estimated that:

RGUS generated revenue of $5.2 million, a gross profit of $5.2 million and a net loss of $1.8 million.

ZEI generated revenue of $13.4 million, a gross profit of $4.8 million and net income of $907 thousand.

RSG as a consolidated entity generated revenue of $18.75 million, with gross profit of $9.4 million and a net loss of $936 thousand.

RECONCILIATION TABLE

RGUS

ZEI

RSG Consolidated

Net Income (Loss)

($1.8)

$907K

($936K)

Addback Interest Expense and Depreciation

$425K

$1.08M

$1.5M