QualityStocks would like to highlight Simulated Environment Concepts, Inc., (PINKSHEETS: SMEV) developer of a variety of products for wellness, relaxation, weight loss, and rehabilitation.
In the company’s news yesterday,
Simulated Environment Concepts announced its long anticipated plans of making an investment into the production process to significantly reduce the cost of manufacturing, thereby strengthening cash flow and profitability. According to the press release, execution may likely occur within the next few weeks.
“This will be an important benchmark for us,” commented Dr. Ella Frenkel, Chairman and CEO of Simulated Environment Concepts, Inc. (SE Concepts). “With a retail price tag north of $25k, if the cost of manufacturing the Spa Capsule was greatly lowered, profit margins could soar.”
Over the past six years, SE Concepts has generated a yearly average of a couple million dollars in sales. However, between production cost and marketing expenses, the company has been left with tight profit margins, hampering its ability to grow. The investment in production could significantly increase profit margins and support growth potential as well as further global expansion.
Dr. Ilya Spivak, Marketing Director and co-inventor of the SpaCapsule stated, “We’ve searched for the best method of reducing production cost for years. Now that we’ve identified new techniques, we intend to exploit this discovery. We will reduce cost while building a better product and improving our level of service.”
With nearly 500 units currently contracted for delivery worldwide, there could not be a better time for SE Concepts to make this move. SE Concepts believes it’s primed for a rapid growth spurt over the next few years as new orders, sales and distribution contracts occur regularly.
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