AI Analysis | Feedback

null

AI Analysis | Feedback

• General Contracting: JFB Construction manages and oversees all aspects of a construction project, from planning and procurement to execution and completion.
• Design-Build Services: The company provides a comprehensive integrated approach, handling both the design and construction phases of a project under a single contract.
• Construction Management: JFB offers expert oversight and coordination for complex construction projects, ensuring they are completed on time, within budget, and to specified quality standards.
• Pre-Construction Consulting: These services include initial project planning, feasibility studies, cost estimation, and value engineering to optimize project outcomes before physical construction begins.
• Specialized Commercial and Residential Construction: JFB undertakes the construction of various types of commercial buildings, such as office spaces and retail centers, as well as large-scale residential developments.

AI Analysis | Feedback

AI Analysis | Feedback

null

AI Analysis | Feedback

Joseph F. Basile, III Chief Executive Officer, President, Secretary and Chairman of the Board

Joseph F. Basile, III is a third-generation developer and general contractor with over a decade of experience in construction and development, land acquisition, and other entrepreneurial ventures. He founded JFB Construction & Development Inc. in 2014 and has overseen its growth since inception. Mr. Basile has extensive experience in land acquisition and development, including retail centers, multifamily properties, and office buildings. He is also involved with other business ventures such as laundromats, franchise ventures, and private lending. As of January 2025, Mr. Basile sold half of his ownership interest in Loose Cannon LLC and The Laundry Tub LLC. He continues to own and manage Capo 7 LLC, Aura Commercial, LLC, and Loose Cannon, LLC, which are real estate holding companies. He also beneficially owns The Laundry Tub LLC, Basile Aviation LLC, and Basile Hospitality LLC, and co-manages Rare Capital Partners LLC through Basile Family Investments LLC.

Ruben Calderon Chief Financial Officer, Principal Accounting Officer and Treasurer

Ruben Calderon, a New York native, graduated from Baruch College in NYC. He initially worked for a corporate accounting firm before opening his own accounting firm in 2008. He built his practice to serve over 5,000 personal and business clients. In 2020, Mr. Calderon sold his business and relocated to Florida.

Bill Dyer Chief Operating Officer

Bill Dyer is a seasoned leader with over 30 years of experience in the development and construction industry. He possesses a strong background in real estate development, civil engineering, and general contracting, having overseen major projects and guided teams nationwide. Before becoming COO of JFB Construction Holdings, Mr. Dyer held senior leadership roles with several respected firms, where he directed large-scale development initiatives and managed operations, budgets, and strategic growth.

Jesus Rolon Chief Construction Officer

Jesus Rolon was appointed Chief Construction Officer, effective May 5, 2025. He is a professional with over 25 years of experience in the construction industry, with a background in developing quick-service restaurants, retail spaces, health and fitness facilities, and national franchises. Prior to joining JFB Construction, Mr. Rolon served as the Director of Design and Construction at Planet Fitness Corporate, where he managed a $44 million capital expenditure budget and oversaw the expansion of corporate club locations. His experience also includes roles as a Senior Project Manager at Save A Lot Food stores, where he supervised over 100 construction projects, and a Project Management role for an Applebee's franchise at Specialty Restaurant Development.

Ed McWhorter Vice President of Construction

Ed McWhorter brings 30 years of performance-driven construction experience, encompassing commercial construction, retail centers, tenant improvements, commercial office buildings, parking garages, hospitality, student housing, multi-family residences, and civil and infrastructure improvements throughout the Southeast. He was associated with the same company for nineteen years, during which he led its growth to become one of "Engineering News-Record's" Top 400 Contractors.

AI Analysis | Feedback

The key risks to JFB Construction (symbol: JFB) are:

1. Lack of Sustained Profitability and Revenue Growth: JFB Construction has demonstrated a lack of clear revenue growth and has sustained losses, with revenue declining by 20.4% over the past year. The company remains unprofitable, which raises concerns about its ongoing financial viability and ability to deliver real progress beyond recent headlines.
2. Controlled Company Status and Limited Shareholder Influence: CEO and Chairman Joseph F. Basile III holds significant voting power, controlling approximately 71.68% of the voting rights post-IPO. This "controlled company" structure limits the influence of other shareholders, as the single shareholder can exert substantial control over company decisions.
3. High Price-to-Sales (P/S) Ratio and Valuation Risk: JFB Construction's Price-to-Sales (P/S) multiple of 5.9x significantly exceeds the average for its peer group (3.2x) and the broader U.S. construction industry (1.5x). This disparity suggests that the market is pricing in substantial growth or a unique advantage that has not yet materialized, creating a risk of a market correction towards industry-average valuation levels if growth does not quickly occur.

AI Analysis | Feedback

AI Analysis | Feedback

JFB Construction Holdings (symbol: JFB) operates across several key segments within the construction and real estate development sectors. Its main products and services include commercial construction, residential construction, real estate development, and heavy civil construction.

The company's commercial construction segment encompasses projects such as office buildings, retail centers, hospitality establishments, industrial facilities, and franchise business build-outs. Residential construction services include home remodels, luxury single-family homes, equestrian facilities, and multi-family units. Additionally, JFB Construction is involved in real estate development, which includes the acquisition, development, and sale of properties. The company also undertakes heavy civil construction projects, such as highways, bridges, and airports, primarily within the United States. JFB Construction provides general contracting and construction management services across 36 U.S. states.

The addressable market for JFB Construction's main products and services is the U.S. construction market, which is projected to reach approximately $1.59 trillion by 2029. The company is particularly focused on expanding its presence in the Southern Atlantic region and exploring opportunities in the hospitality, industrial, and residential construction sectors.

AI Analysis | Feedback

JFB Construction (symbol: JFB) is expected to drive future revenue growth over the next 2-3 years through several strategic initiatives and market opportunities:

1. Securing New Contracts and Expanding Project Pipeline: JFB Construction has demonstrated a strong ability to secure new contracts, evidenced by over $69.5 million in new contracts in 2025 and a significant 93% year-over-year revenue increase in Q1 2025. This continuous influx of new projects is a primary driver of revenue growth.
2. Diversification into Multiple Business Verticals: The company is actively expanding its project portfolio across various sectors, including hospitality (with a focus on extended-stay hotels), commercial retail, industrial, and high-end residential real estate development. This diversification broadens JFB's market reach and mitigates reliance on any single industry, positioning it to capitalize on diverse market demands.
3. Geographic Expansion and Market Penetration: JFB Construction plans to expand into new markets within the United States through strategic partnerships and joint ventures. The company particularly targets high-growth regions, such as Florida and the Southeast US, which are experiencing significant population growth and construction demand.
4. Strategic Acquisitions of Smaller Construction Companies: A key inorganic growth strategy for JFB involves the selective acquisition of smaller, often family-oriented, construction companies. This approach allows JFB to integrate existing goodwill, established business relationships, and client bases, thereby expanding its operational footprint and market share.
5. Leveraging IPO Proceeds and PIPE Investment for Growth Initiatives: The capital raised from JFB's initial public offering (IPO) in early 2025 and a subsequent $44 million Private Investment in Public Equity (PIPE) in September 2025 will be strategically deployed. These funds are allocated to support key growth initiatives, including further geographic expansion, upgrades to equipment for larger-scale projects, and enhancing marketing and sales efforts to strengthen brand recognition.

AI Analysis | Feedback

Share Repurchases

• In September 2025, JFB Construction announced that approximately $12 million from the net proceeds of a private placement would be used to repurchase Class B Common Stock held by CEO Joseph F. Basile III.

Share Issuance

• In March 2025, JFB Construction completed its Initial Public Offering (IPO), issuing 1,250,000 units at $4.125 per unit, which raised gross proceeds of $5,156,250. Each unit comprised one share of Class A common stock and one warrant.
• In October 2025, the company closed a Private Investment in Public Equity (PIPE) financing, generating approximately $43,895,000 in gross proceeds through the sale of 4,389,500 shares of Series C convertible preferred stock and the issuance of over 16 million warrants.

Inbound Investments

• In October 2025, JFB Construction secured approximately $43.9 million in gross proceeds from a private investment in public equity (PIPE) financing, with American Ventures LLC, Series XIV JFB, acting as the sole investor.

Capital Expenditures

• For the year ending December 31, 2024, JFB Construction reported cash used in investing activities amounting to $817,534, primarily allocated for vehicle acquisitions and the construction of its headquarters.
• The net proceeds from the company's IPO in March 2025 were intended, in part, for business expansion and equipment.