Galexxy Holdings Inc. (OTC:GXXY) Stock Rallies Over 7%: Here is why
As the trading week comes to a close, it may be a good time for investors to consider looking into those stocks that may have managed to come into focus in a big way on Thursday. One such company was Galexxy Holdings Inc. (OTC:GXXY), and it could be a good move to take a closer look at the announcement.
On Thursday, the company’s fully owned subsidiary unit, VendGenie, was in the news after it announced that it had expanded its commercial lease and supply agreement with Delta 88 LLC. Additionally, VendGenie also expanded its marketing program with Delta 88. Delta 88’s associated company, uVending LLC, had also been a party to the agreement.
However, more importantly, it was announced by the company that the agreement would also lead to the expansion of its revenues from the initial revenue run rate of $9 million to more than $12.75 in year two. In the news release, it was also noted that the agreement would lead to the installation of more than 100 new smart kiosks a month by the second year.
By May 2025, that figure could go up to 600 kiosk installations. Phase 2 started in collaboration with Delta 88 in August 2023. In that phase, new installations were made across locations in Pennsylvania. The co-founder of Delta 88, Rodney Orta, spoke about the developments as well. He noted that the first units were being placed in locations in Pennsylvania, and expansion had also started in the state of Texas.
In this context, VendGenie would be responsible for providing geospatial advertising solutions geared towards boosting foot traffic at the vending units. That would be achieved through the use of the insights gleaned from the marketing insights data program provided by Galexxy Holdings. Michael Bragi of Galexxy Holdings noted that everyone at the company was excited about the collaboration with Delta 88 since it had considerable potential to produce recurring product revenues in light of the strategic placement of the VendGenie Smart Kiosks.
On September 6, the company was also in the news cycle after it made an announcement with regard to the projected revenues from its subsidiary units. It could be a good idea to take a look at some of the highlights from the announcement from Galexxy. The company announced that in the first full year of product supply, its 100% owned subsidiary, Wellbeing Farms, was projected to generate $7.5 million in revenues.
The company’s 60%-owned subsidiary, Galexxy LLC, is looking to generate $10 million in revenues in the first 6 months and total revenues of $20 million in 2024. The company also noted that its 69 %-owned subsidiary unit, ABC Holdings LLC, had been generating as much as $1.1 million through the sales of AVALOO sales revenues. Galexxy Holdings announced that it expected revenues to go up twofold through the introduction of new products, the installation of VendGenie kiosks, and higher synergies in the operations.
