SG Blocks, Inc. (SGBX): Business Model Canvas [Dec-2025 Updated]

You're digging into SG Blocks, Inc. (SGBX) and wondering how a modular builder ends up owning oil wells-that's the right question, because the late 2025 story is a dramatic pivot into vertical energy integration, largely through their wholly-owned subsidiary, Olenox Corp. Honestly, this isn't just about repurposing containers anymore; they are now actively drilling and producing hydrocarbons while simultaneously fabricating containerized energy systems. With Q3 2025 revenue hitting $1.09 million and a backlog of $1,209,207 from Q2, you need to see the full Business Model Canvas to understand how they plan to service significant debt while managing both construction and energy operations. This isn't your standard construction play; it's an energy infrastructure bet wrapped in steel.

SG Blocks, Inc. (SGBX) - Canvas Business Model: Key Partnerships

You're mapping out the strategic alliances for SG Blocks, Inc. (now Safe & Green Holdings Corp.) as of late 2025. These partnerships are critical because they underpin the company's pivot toward a vertically integrated energy focus, away from its prior construction emphasis.

Olenox Corp. (Wholly-Owned Subsidiary) for Energy Vertical Integration

Olenox Corp. is the engine driving the energy vertical integration strategy, which became the core focus after the company formally exited modular home construction last month (November 2025). This integration is designed to capture greater value by converting natural gas into power, data, or bitcoin, and enhancing oil output via containerized modular micro-refineries. As of October 20, 2025, Olenox announced plans to complete one drilling project during the fourth quarter of 2025, with an ambitious agenda for 2026 targeting an internal production goal of 1,000 BOE per day by the end of that year. Furthermore, Olenox is actively expanding its real property footprint; on September 25, 2025, it entered an agreement to acquire real property in Conroe, Texas, for $3,000,000, contingent on securing a $2,400,000 loan. The subsidiary also received its DOT Number on November 24, 2025, signaling readiness to mobilize its service division assets. For context on the company's financial state during this transition, Safe & Green Holdings Corp. reported Q2 2025 revenue of $721,351 and a net loss of $4.57 million, though total assets grew to $53.74 million by June 30, 2025, largely due to acquisitions.

Oil and Gas Asset Acquisition Partners

The vertical integration is heavily reliant on the assets acquired through partners or direct purchases, which now form the proved reserves as of June 30, 2025. These acquisitions are key to Olenox's production strategy. Here's a breakdown of the major additions during the second quarter of 2025:

The company's Q2 2025 results showed that 100% of gross receivables were concentrated among three customers, and one customer represented approximately 81% of the six-month revenue, showing a high dependency even within the new energy focus.

Three Pines Leasing for U.S. Government Modular Contracts

While the overall modular construction segment is being de-emphasized, specific government contracts remain a source of revenue, often leveraging the container conversion expertise. SG Blocks, Inc. announced in May 2025 that it secured a contract with Three Pines Leasing to supply multiple modular units for a U.S. government agency. This multi-unit order was expected to be the first of several throughout 2025, building on an existing relationship. These units are specifically for portable storage and office spaces, utilizing repurposed shipping containers.

OneQode for Mission-Critical Web Services and Data Center Support

The partnership with OneQode is a technology play, designed to ensure data integrity and operational reliability for the energy division, especially after a major Amazon Web Services outage highlighted infrastructure vulnerabilities. Safe & Green Holdings Corp. and Olenox Corp. announced an Open Collaborative Framework (OCF) with OneQode on October 22, 2025. The goal is to merge OneQode's private infrastructure with Olenox's field operations for better automation and production optimization. The market reacted strongly to this news; on the day of the announcement, SGBX stock gained 97.37%, closing at $4.50, which added about $735K to the valuation, bringing the market cap to $1M at that moment.

The collaboration focuses on several technical objectives:

• Improve reliability of two-way field data collection.
• Design distributed command systems for micro-refinery nodes.
• Assess connectivity using LEO satellites and private routing.
• Develop solutions for third-party oil and gas operators.

It's important to note that institutional backing remains relatively light; institutional ownership for SGBX stood at 11.31% as of September 2025. This partnership, defintely, signals a commitment to technology-enabled energy production.

SG Blocks, Inc. (SGBX) - Canvas Business Model: Key Activities

You're looking at the core things SG Blocks, Inc. (SGBX) is doing to drive value as of late 2025. The business is clearly pivoting hard into energy assets, which is a major shift from its modular construction roots, so the numbers reflect that dual focus.

Oil and gas drilling and production operations in Texas, Kansas, Oklahoma

The company significantly expanded its footprint in the energy sector through strategic buys. As of the second quarter of 2025, SG Blocks, Inc. (SGBX) had acquired a 51% asset purchase in Winchester Oil & Gas, which brought in over 500+ Texas wells. This followed the May 29, 2025 acquisition of certain assets from Sherman Oil Company, LLC, which added 1,600 acres of oil wells and leases, including 111 wells.

The initial production from the Sherman assets was reported at an average of 45 barrels of oil per day (bopd). However, a key activity is the immediate optimization of these assets. SG Blocks, Inc. (SGBX) expected to ramp production from the Sherman wells to 75+ bopd within the next four months from the May 2025 announcement, by revitalizing the wells. To be fair, only about 10% of those 111 new wells were actively producing at the time of acquisition.

Design and fabrication of containerized energy systems (data centers, micro-refineries)

While the energy asset acquisition is front and center, the core modular business continues. SG Blocks, Inc. (SGBX) is still designing and fabricating code-engineered structures. For instance, in Q2 2025, the company entered a contract with Three Pines Leasing to supply modular office and storage units for a U.S. government agency, using its expertise in repurposing containers. The modular/construction segment faced headwinds, though; Q2 2025 revenue was reported at $721,351, a 40% year-over-year decrease, which the company attributed to fewer jobs in progress. The Q3 2025 revenue was reported at $1.051M.

Repurposing shipping containers into code-engineered modular structures

This activity is the foundation of the original business. SG Blocks, Inc. (SGBX) redesigns and converts heavy-gauge steel cargo shipping containers into SGBlocks, which are green building blocks. The company serves architects, landowners, builders, and developers. The Q2 2025 financial results showed a net loss of $4.57 million. The company ended Q2 2025 with $2.77 million in cash.

Strategic acquisition and optimization of underdeveloped energy assets

The strategy is clearly focused on building an integrated oil & gas platform. This is evidenced by the growth in the balance sheet driven by these energy plays. Total assets for SG Blocks, Inc. (SGBX) grew significantly from $6.07 million at the end of 2024 to $53.74 million as of June 30, 2025, largely due to these acquisitions and capital raises. Furthermore, the company signed a non-binding Letter of Intent (LOI) on August 5, 2025, to acquire a Wyoming-based refinery from Rock Springs Energy Group for $35 million. To support this growth while managing listing requirements, the company restructured a private placement, which reduced potential shareholder dilution by 70%.

Key financial activities supporting this include securing approximately $7.9 million in financing during Q2 2025.

Implementing proprietary enhanced-recovery technologies for oil wells

The optimization of the acquired wells relies on proprietary technology, specifically Olenox technology, for well cleanouts and restimulations. The subsidiary Olenox Energy also touted the reliability of its mission-critical web services in a collaborative partnership with Global Technology Company OneQode, announced on October 22, 2025. This suggests the technology implementation extends beyond just the wellbore to the operational data side of the energy assets.

• Olenox technology is used for well revitalization, cleanouts, and restimulations.
• Olenox received its DOT Number and prepared to mobilize service division assets as of November 24, 2025.
• The company outlined a New Integrated Energy Strategy following the first year under Olenox leadership, reported on November 20, 2025.

SG Blocks, Inc. (SGBX) - Canvas Business Model: Key Resources

Licensed use of recycled shipping containers for construction

• SG Blocks, Inc. leverages its expertise in repurposing shipping containers for construction projects.
• A contract was entered into with Three Pines Leasing to supply modular office and storage units for a U.S. government agency.

SG ECHO modular manufacturing facility in Durant, Oklahoma

• SG Echo factory operations are relocating from Durant, Oklahoma, to a new facility in Conroe, Texas, as of October 2025.
• The Durant facility held the capability to support up to $23 million in additional annual revenue.
• The relocation consolidates manufacturing with Olenox Corp. operations in Conroe, Texas.

Oil and gas leases and reserves in key US energy regions

SG Blocks, Inc.'s subsidiary, Olenox Corp., operates across Texas, Kansas, and Oklahoma. The portfolio expansion includes:

Proprietary AI algorithms for wellsite production monitoring

• Olenox Corp. intends to implement an AI Algorithm to streamline wellsite production and operator input.
• Proprietary enhanced-recovery technologies are used to support field operations.

Financial Position Data as of June 30, 2025, and Related Periods

You should note the following figures from the latest reported balance sheet and income statement data:

• Cash and cash equivalents: $2.77 million as of June 30, 2025.
• Total assets: $53.74 million as of June 30, 2025.
• Total Debt: $12.19 million (latest reported).
• Revenue (Q2 2025): $721,351.
• Net Loss (Q2 2025): $4.57 million.
• Shares Outstanding: 30.9 million as of June 30, 2025.

The company signed a Letter of Intent to acquire a Wyoming refinery for $35 million.

SG Blocks, Inc. (SGBX) - Canvas Business Model: Value Propositions

You're looking at the core value delivered by SG Blocks, Inc. (SGBX) through its modular construction platform. Here's the breakdown of the numbers supporting those propositions as of late 2025.

Speed and Sustainability: Rapid deployment of modular structures using recycled containers

The value proposition centers on speed and using recycled shipping containers. While specific project deployment times in 2025 aren't public, the market context for modular construction is strong. The parent company, Safe & Green Holdings Corp., has a Debt / Equity ratio of 0.49 as of September 2025, which speaks to the financial structure supporting these operations. Furthermore, the company reported 31 employees, with Revenue Per Employee at $109,126 for the last twelve months ending September 2025.

Integrated Energy Solution: End-to-end value chain from hydrocarbon production to power/data output

SG Blocks, Inc.'s parent company has strategically moved into the energy sector, which underpins this value proposition. As of June 30, 2025, total assets increased to $53.74M from $6.07M at year-end 2024, partly due to acquisitions like the 51% asset purchase of Winchester Oil & Gas, which includes 500+ Texas wells. The company also secured $7.9M in financing during that period.

Mission-Critical Infrastructure: Containerized data centers and generators for reliable power

The demand for containerized data centers is a key driver. The global containerized data center market grew from USD 13.29 billion in 2024 to USD 16.11 billion in 2025. North America holds approximately 34% of this global share. For the parent company, Safe & Green Holdings Corp., the cash position at the end of Q2 2025 was $2.77M, and by September 2025, it was reported at $3.02M, against total debt of $12.2M.

Code Compliance: Exclusive ESR number from the International Code Council (ICC)

Code compliance is validated by the ICC Evaluation Service Report (ESR). SG Blocks, Inc. utilizes the number ESR-3764, which was originally reissued in April 2018 and was subject to renewal in April 2019. This report demonstrates compliance to AC 462, the Acceptance Criteria for Structural Building Materials from Shipping Containers.

Debt Reduction: Strategic restructuring to reduce dilution and debt

The company has actively worked on its balance sheet. In a September 2025 settlement, Safe & Green Holdings Corp. reached a definitive agreement with EDI International, PC and PVE, LLC, which provided a 'significant recovery' to the company, though the exact amount is undisclosed. Separately, post-Q2 2025, the company restructured its private placement, reducing potential dilution by 70%. As of September 2025, the company reported total liabilities of $24.0M falling due within a year, against cash of $3.02M, resulting in a net debt of about $9.17M.

• The stock underwent a 1:64 reverse split on September 8, 2025.
• The last reported earnings date was Friday, November 14, 2025, before market open.
• The parent company reported a Q2 2025 revenue of $721,351.
• The parent company reported a Q2 2025 net loss of $4.57M.

SG Blocks, Inc. (SGBX) - Canvas Business Model: Customer Relationships

You're looking at the relationships SG Blocks, Inc. (SGBX) maintains with its customers, which have clearly pivoted toward the energy sector as of late 2025. The relationship structure now reflects the strategic exit from modular home construction, which was completed in November 2025, concentrating instead on Olenox Corp's energy initiatives.

Direct B2B contracts for large-scale modular projects (e.g., government agencies)

While the core business shifted, historical relationships with large entities established the foundation for B2B trust. These relationships were built on providing code-engineered cargo shipping containers for safe and sustainable construction. Past clients included the US Army and Navy, US Department of Veteran Affairs, The City of Santa Monica, and the Port of Houston Authority. As of the Q3 2025 period, total revenue was reported around $4.98M, reflecting the current scale of project-based revenue streams, though the exact split between legacy construction and new energy contracts isn't itemized here.

The company's market capitalization as of October 23, 2025, stood at $3.33M.

• Past government/institutional clients: US Army and Navy, US Department of Veteran Affairs.
• Past commercial clients: Marriott Hotels & Resorts, Starbucks, Equinox.
• Historical revenue for the last twelve months as of Q2 2024 was $8.19M, showing a significant decline from prior periods.

Long-term relationships with energy sector clients for oil/gas supply

The customer relationship focus in the energy sector is now driven by Olenox Corp, SGBX's wholly owned subsidiary, which specializes in acquiring and optimizing underdeveloped oil and gas assets in Texas, Oklahoma, and Kansas. The relationships here are centered on future production and service delivery rather than just construction modules. Olenox has an internal production target of 1,000 BOE per day by the end of 2026, pursued through legacy wellsite revitalization, drilling, and acquisitions.

Olenox is executing an aggressive drilling program, targeting completion of one project in Q4 2025. A specific property acquisition in Conroe, Texas, was agreed upon for $3,000,000, contingent on securing a $2,400,000 loan. These asset-level activities define the basis for future long-term supply and service relationships.

Dedicated sales team for marketing Olenox Energy's third-party services

Olenox Corp operates across three synergistic divisions: Oil and Gas, Energy Services, and Energy Technologies. The sales effort is now geared toward marketing the capabilities across these divisions, including specialized well services and proprietary enhanced-recovery technologies. The company is also focusing on containerized energy systems, such as generators, modular data centers, and containerized micro-refineries. The relationship management involves integrating Olenox's energy expertise with Machfu's IIoT technology.

Investor relations focused on communicating the new energy strategy

Investor relationships are currently managed to communicate the significant strategic pivot. The company outlined a new integrated energy strategy on November 20, 2025, following the first year under Olenox leadership. This communication effort emphasizes the exit from modular home construction and the concentration on the energy vertical. The company fixed the record date for determining stockholders for the 2025 Annual Meeting of Stockholders as the close of business on November 21, 2025, with the meeting set for December 29, 2025.

• Key IR Communication Event: New Integrated Energy Strategy outline on November 20, 2025.
• Upcoming Shareholder Action: 2025 Annual Meeting of Stockholders on December 29, 2025.
• Financial Performance Context: Cash flow increased by over $2.53M in the most recent quarter due to debt management.
• Stock Performance Context: Stock traded at $4.06 on December 4, 2025.

The investor base is being managed through communications like the Investor Presentation 2025.

SG Blocks, Inc. (SGBX) - Canvas Business Model: Channels

You're looking at the structure of how Safe & Green Holdings Corp., formerly SG Blocks, Inc., gets its value propositions to its customers as of late 2025. It's a mix of direct operations and strategic partnerships, especially now with the energy pivot.

The company has formally exited the modular home construction sector, completing outstanding projects last month relative to November 2025, to focus on its integrated energy strategy.

Here's a look at the key channel components and associated hard numbers:

• Direct sales force targeting government and commercial entities
• Subsidiary Olenox Energy for direct energy asset transactions
• SG ECHO manufacturing facility for direct fabrication and delivery
• Third-party leasing companies (e.g., Three Pines Leasing) for government access

The channel execution is now heavily tied to the Olenox Energy focus. Olenox Energy announced an aggressive drilling agenda slated to begin Q4 2025.

The SG ECHO manufacturing facility is undergoing a significant channel shift. Safe & Green Holdings Corp. announced plans in October 2025 to relocate the SG Echo factory from Durant, Oklahoma, to Conroe, Texas, to consolidate with the Olenox subsidiary. The acquisition of the Conroe property is valued at $3,000,000, contingent upon securing a $2,400,000 loan. The original Durant facility is intended for sale to generate working capital. The Durant facility previously featured approximately 70,000 square feet of modular manufacturing space.

The channel involving third-party leasing companies is focused on government access. Safe & Green Holdings Corp. entered a contract in May 2025 with Three Pines Leasing of Ocilla, GA, to supply multiple modular units expected to be leased by a U.S. government agency. This contract was expected to be the first of several throughout 2025.

You can see the scale of the business, which informs the channel capacity, in the table below:

The direct energy asset transactions via Olenox are positioning the Company as a fully integrated, technology-enabled, value-added energy producer. This includes containerized generators, modular data centers, bitcoin mining units, and containerized micro-refineries.

The company's stock price on December 5, 2025, was $3.62 USD. Finance: draft 13-week cash view by Friday.

SG Blocks, Inc. (SGBX) - Canvas Business Model: Customer Segments

You're looking at the customer base for SG Blocks, Inc. (SGBX) as of late 2025, and honestly, the landscape has shifted dramatically. The company has fully exited the housing sector, so the focus is now laser-sharp on infrastructure and energy plays. This means the customer segments are less about general construction and more about mission-critical, specialized modular needs.

U.S. Government agencies requiring portable office and storage units

This segment remains active, leveraging SG Blocks, Inc.'s core competency in repurposing shipping containers. As of May 27, 2025, the company secured a contract via Three Pines Leasing to supply multiple modular units intended for lease by a U.S. government agency. Management indicated this multi-unit order was anticipated to be the first of several additional contracts expected throughout the remainder of 2025, building on an existing relationship.

• Contract secured via Three Pines Leasing for government agency use.
• Units involve repurposing and modifying shipping containers into portable storage and office spaces.
• Expectation of entering into several additional contracts throughout 2025.

Energy sector companies needing oil and gas supply and services

This is the new core focus, driven by the Olenox subsidiary. As of the second quarter of 2025, SG Blocks, Inc. significantly expanded its energy footprint through acquisitions. They acquired 111 wells from Sherman Oil and a 51% asset purchase of Winchester Oil & Gas, which includes 500+ Texas wells. The subsidiary, Olenox Corp., is building a fully integrated oil and gas platform. They plan to complete one drilling project in Q4 2025 and have set an aggressive internal production target of 1,000 BOE per day by the end of 2026. This pivot is a major driver of recent corporate activity, including a reported total asset increase to $53.74 million as of June 30, 2025.

Data center operators and Bitcoin miners requiring modular power solutions

While the energy segment is the current priority, the company explicitly sees strong potential here, utilizing its containerized construction capabilities for industrial applications. This includes providing modular solutions for modular data centers and bitcoin mining systems. Though specific 2025 contract values for this exact sub-segment aren't detailed, it falls under the broader industrial application focus that complements their energy technology push.

Commercial developers needing non-residential modular structures

Even with the housing exit, the development arm, SG DevCorp, still supports a real estate pipeline. This pipeline reportedly includes over 4,000 modular units. The company's Q2 2025 revenue was $721,351, a 40% decrease from Q2 2024's $1.21 million, reflecting fewer construction jobs in progress as the company manages the strategic transition. For the six months ended June 30, 2025, total revenue was $1,287,705.

Here's the quick math on where the company stood financially as of mid-2025, which gives you context on the scale of the current customer base activity:

To be fair, the revenue figures reflect the winding down of older construction contracts while the energy assets are still ramping up production targets for 2026. Finance: draft 13-week cash view by Friday.

SG Blocks, Inc. (SGBX) - Canvas Business Model: Cost Structure

The cost structure for SG Blocks, Inc., now operating under Safe & Green Holdings Corp., is heavily influenced by its evolving operational footprint and financing obligations as of late 2025. The company is actively managing costs associated with its modular construction segment and its newer energy ventures.

Oil and gas drilling and production operating expenses are now integrated following the strategic consolidation of SG Echo factory operations into the Conroe, Texas property, merging with the Olenox subsidiary. While specific 2025 operating expense figures for this segment aren't itemized in the latest reports, the move aims at 'lowering overhead' and enhancing logistics through resource sharing.

Manufacturing and labor costs at the SG ECHO facility are undergoing a significant shift due to the relocation from Durant, Oklahoma, to Conroe, Texas. The acquisition of the Conroe property is valued at approximately $3 million, which is dependent on securing a $2.4 million loan from a third party. The sale of the Durant facility is planned to generate working capital to offset some of these facility-related costs.

High interest and principal payments on significant debt facilities include obligations from recent financing activities. For example, a $174,000 Promissory Note issued in late 2024 requires nine monthly payments of $21,653.34, starting November 15, 2024, covering both interest and principal. The company has faced warnings that it 'may have trouble making interest payments on debt.'

General and administrative costs, including legal fees for litigation resolution, saw a major change in the third quarter of 2025. SG Blocks, Inc. reached a definitive settlement agreement with EDI International, PC, and PVE, LLC, fully executed on September 11, 2025. EDI/PVE agreed to pay SG Blocks an undisclosed amount in full settlement, which brings 'full and final closure to the long-running litigation and eliminating uncertainty around the case,' thereby eliminating ongoing legal costs.

Capital expenditures for energy asset acquisitions, such as the previously announced Letter of Intent (LOI) for a Wyoming refinery for $35 million, represent a potential future cost outlay, though final 2025 CapEx figures related to this specific energy asset acquisition are not yet finalized in the available reports. Trailing twelve months (ttm) capital expenditures were reported at $446.99K.

Here's a look at some key trailing twelve-month financial context figures:

The primary drivers impacting the Cost Structure include:

• Monthly debt service payments of $21,653.34.
• Facility relocation costs, including a property acquisition of $3 million.
• Historical Accrued G&A of $176,432 (as of year-end 2021).
• Elimination of future legal costs post-September 2025 settlement.
• Potential energy asset CapEx commitment of $35 million (LOI).

SG Blocks, Inc. (SGBX) - Canvas Business Model: Revenue Streams

You're looking at the revenue streams for Safe & Green Holdings Corp. (SGBX) as of late 2025, mapping out where the cash is coming from across its diversified operations. It's a mix of construction, energy, and one-time financial events.

The core construction business saw its Q3 2025 total revenue land at $1.05 million, a decrease from the $1.75 million reported in the same period last year. To be fair, the construction services segment remains the primary revenue driver, but it experienced a decline in Q2 2025, reporting revenue of $721,351.

Here's a look at the key components feeding into the top line:

• Revenue from modular construction projects: Q3 2025 total revenue was $1.05 million.
• Revenue conversion from construction backlog: Maintained a construction backlog of $1.21 million as of Q2 2025, expected to convert within 12 months.

The company is actively building out its energy segment through its subsidiary, Olenox Energy. This segment is intended to provide revenue from oil and gas production from owned and optimized assets, though specific production revenue figures for Q3 2025 aren't explicitly broken out in the latest reports, only that the oil and gas sector contributed new revenue streams.

The Olenox Energy side shows concrete financial activity related to asset expansion. For instance, on September 25, 2025, Olenox Corp. entered a Purchase Agreement to acquire real property in Conroe, Texas, for $3,000,000. This expansion follows the Q2 2025 acquisition of Sherman Oil, adding 111 wells, and a 51% asset purchase of Winchester Oil & Gas, bringing in 500+ Texas wells.

Third-party service revenue from Olenox Energy, covering well maintenance and tooling, is part of this energy vertical, but specific dollar amounts for this service line aren't detailed in the recent releases.

Finally, there are proceeds from litigation settlements. SG Blocks, Inc. finalized a definitive settlement agreement with EDI International, PC and PVE, LLC, on September 11, 2025, which requires EDI/PVE to pay SG Blocks an undisclosed sum. This resolution is noted to strengthen the balance sheet and eliminate ongoing legal costs.

Here is a summary of the quantifiable figures related to these revenue and asset streams:

The company's total assets also grew significantly, reaching $53.74 million as of June 30, 2025, up from $6.07 million at the end of 2024, largely driven by these energy acquisitions. Finance: draft 13-week cash view by Friday.