MagneGas, the clean technology company in the renewable resources and environmental solutions industries, has employed a new sales executive and is in the process of expanding its product offerings to better meet growing client demand.
Since 2010, MagneGas has been successful in penetrating the wholesale industrial gas industry through the introduction of the MagneGas clean technology product for the legacy acetylene market. MagneGas’s acquired its wholly-owned subsidiary ESSI in November 2014, which is now part of the MagneGas Welding Supply division. This critical acquisition brought a deep customer base that quickly validated the MagneGas2® product as a strong competitive alternative to acetylene for metal cutting and fabrication.
ESSI also brought an immediate diversification of revenue, providing revenue growth opportunities in non-proprietary industrial gases and traditional welding supplies. MagneGas has since used the MagneGas2 product as a key wedge product to establish relationships with leading industrial, manufacturing, construction, demolition and fabrication companies across the southeastern US markets.
Many of MagneGas’s largest clients have inquired about the company’s ability to deliver a wider array of products in the industrial tool category. The company recognised this as a significant low-risk growth opportunity that is highly complementary to the company’s current product offering. As a result, the company chose to add a highly experienced sales executive from a leading competitor this week. This executive brings a deep client relationship base with some of the largest companies in the construction, manufacturing, demolition, refurbishment, utilities and heavy industries across the southeastern US. Furthermore, this executive is expected to quickly transition approximately $1,000,000 in existing annual client revenues to MagneGas over the coming months.
”We are aggressively improving our core sales platform to maximise organic growth”
Scott Mahoney, Chief Financial Officer of MagneGas
Ermanno Santilli, CEO of MagneGas, commented, “We are very pleased to expand our sales team beyond our current product knowledge base.”
Santilli continued, “We are excited to add these clients to our existing business model, and equally importantly, we look forward to bringing these new product offerings to our existing customer base. We see strong cross-sales synergies across the entire client base, as many of our current clients have a strong demand for our new products. We also see the ability to leverage our newly acquired customer relationships to springboard organically into new markets across the southeast and Sun Belt states. We are hopeful this will translate into accelerated revenue growth in the remainder of 2017 and beyond.”
Scott Mahoney, Chief Financial Officer of MagneGas, stated,”MagneGas is increasingly focused on driving immediate revenue growth by adding experienced sales executives with deep client relationships. We executed this same model in Sarasota, Florida, and Huntington, Indiana. This is a process we look to replicate many times going forward.”
“This approach provides an accelerated ability to leverage our sales team and our existing customer base to drive more profitable, cash-flow efficient growth. We are aggressively improving our core sales platform to maximise organic growth, and prepare for our desired expansion via acquisition in the coming quarters. We believe this approach will maximise the near-term value of our disruptive technology to generate lasting shareholder value,” Mahoney added.