Skyx Platforms at Lytham Summit: Strategic Expansion and Safety Focus

On Tuesday, 01 April 2025, Skyx Platforms Corp (NASDAQ: SKYX) participated in the Lytham Partners 2025 Industrials & Basic Materials Investor Summit. Co-CEO Lenny Sakhalow highlighted the company’s innovative plug and play system for fixture installations, aiming to enhance safety and efficiency. The discussion also covered strategic partnerships, licensing deals, and future product expansion, showcasing both opportunities and challenges in scaling operations.

Key Takeaways

• Skyx is pushing for mandatory adoption of its technology in the National Electrical Code (NEC), similar to GFCI outlets.
• The company has formed partnerships with Home Depot and Wayfair and is expanding its product range.
• Skyx aims for cash flow positivity in the latter half of 2025, supported by new product launches.
• A licensing deal with GE is central to scaling operations and enabling third-party manufacturers.
• The total addressable market is substantial, with mandatory NEC adoption potentially increasing opportunities.

Operational Updates

Skyx Platforms is addressing outdated and unsafe fixture installation methods with its plug and play system, which simplifies installation and enhances safety. The company has acquired over 60 lighting and home decor websites to market its products and educate consumers.

• Strategic channels include e-commerce, partnerships with big box retailers, and direct sales to builders and hotels.
• Skyx plans to have 20,000 receptacles installed in the US and Canada by the end of Q1 2025.
• The company is developing new products such as the turbo fan heater and the FanDelier, aiming for a 50% margin on the turbo fan heater.

Regulatory Landscape

Skyx has been working for over 12 years to integrate its technology into the NEC, achieving significant milestones such as ANSI and NEMA standard approvals. The company is now pursuing mandatory adoption, which could lead to widespread manufacturer compliance.

• Skyx’s technology has redefined the definition of a receptacle and is included in 10 NEC paragraphs.
• 20 to 30 countries automatically adhere to NEC provisions, expanding Skyx’s potential market reach.

Licensing and Partnerships

The company is working with GE on a non-exclusive licensing deal to scale operations and enable third-party manufacturers globally. This strategic move is expected to yield high margins of about 85%.

• Skyx has secured strategic capital from major developers, including Lance Schoen, indicating strong confidence in its solutions.

Future Outlook

Skyx is targeting cash flow positivity in the second half of 2025, with Generation 3 of its product line expected in early 2026. The total addressable market remains vast, with mandatory NEC adoption potentially leading to exponential growth.

The full transcript of the conference call provides further insights into Skyx’s strategic vision and operational plans.

Full transcript - Lytham Partners 2025 Industrials & Basic Materials Investor Summit:

Robert Blum, Managing Partner, Lithium Partners: Alright. Hello, everyone, and welcome back. For the next fireside chat, we welcome Skyx platforms, ticker symbol of s k y x on the Nasdaq. My name is Robert Blum, managing partner here at Lithium Partners. For this next fireside chat with things, we’re switch things up just slightly.

I’m a turn the reins over to Chris Abbott. Chris is a portfolio manager at Ten thirty five Capital Management. For those not familiar, Chris and I have had a few discussions in the past at a few of our events, focused on the broader micro cap markets and trends. If you have a chance or haven’t had a chance yet to, view some of those, I would encourage you to, to find those either on YouTube or on our corporate access portal. Fast forwarding, Chris and I ran into each other at a conference here the other day and talked about it having him moderate this panel.

So so here we are today. Chris, thank you so much. And and, of course, Lenny, thank you so much for your participation as well. I’m gonna move aside and turn the floor over.

Chris Abbott, Portfolio Manager, Ten Thirty Five Capital Management: Thanks, Rob, for the opportunity. And today, I’ve got the, pleasure of sitting down with Lenny Sakhalow, co CEO of SkyX. I think the company is really at a pivotal moment as it accelerates adoption of its innovative Sky plug and smart home platform, which was, why I was interested in doing this fires ide chat with you today, Lenny. But with that being said, welcome, and it’s great to speak with you.

Lenny Sakhalow, Co CEO, Skyx Platforms: Well, thank you, and thank you very much, Robert, and the Latham team, and I appreciate your moderating, Chris.

Chris Abbott, Portfolio Manager, Ten Thirty Five Capital Management: My pleasure. Well, maybe we should start at the beginning. What’s the core problem Skyx is solving, and how does your solution uniquely address it?

Lenny Sakhalow, Co CEO, Skyx Platforms: Well, we’re we’re addressing probably the the oldest problem that hasn’t been solved and hadn’t been solved until we came along in the home and buildings with respect to putting in fixtures and that that have any weighted kind of device attached to it, like a light or a fan. And and, you know, that’s it’s you know, we’ve we’ve we have so many technological developments in the last hundred years, but this is the last bastion of of of old school technology where you had to wire from the junction box three wires and and twist them and then to install any kind of fixture in the ceiling to get power and to get the best best location for light and for fans, etcetera. We we’ve come we’ve we’ve developed a a very elegant receptacle and plug that and once the receptacle is in the put in with three wires easily installed with probably within a minute and screwed into the junction box, any anything to plug into it really takes it takes a minute or so just to click in, and you’ve totally lit up your appliance, your fixture or fan or whatever it may be in the future.

Chris Abbott, Portfolio Manager, Ten Thirty Five Capital Management: I always think about it as the GFCI outlet for for lights as opposed to the wall outlet. Right?

Lenny Sakhalow, Co CEO, Skyx Platforms: Exactly. Exactly. And with respect to as you discussed, the GFCI, which was about forty years ago, became a standard, you know, for home for homes with or buildings with respect to wet areas and kitchens now and basements and bar areas, you’ve you know, that became a mandatory because it was all about safety. And so the reason why we’re now in 10 code per 10 paragraphs in the National Electrical Code and we’ve become a standard is because of safety and the fact that according to the National Fire Protection Association, which is the umbrella organization to the NEC, you know, we there there are hundreds of of deaths a year just caused by fires that started in the ceiling from fixtures that weren’t put in correctly. And we know that the hazardous incidents are are a lot more.

They’re not recorded, ladder falls, electric shocks, etcetera. And so we’ve we’ve solved, well, not only an age old problem of installation, but we’ve solved a a a very big safety issue. And that’s what makes it very exciting.

Chris Abbott, Portfolio Manager, Ten Thirty Five Capital Management: Absolutely. I was gonna come to this later, but since we kinda stumbled into it, you guys are one vote away from making this not only a standard, mandated NEC standard, which would mean like the GFCI, you’d have to be installed in all new homes as well as all regulated, I guess, renovations at a home. Can you discuss what’s left in your process to become mandated? How much how much you’ve put into that? And then I think on your most recent earnings call at the end of the year, you also discussed a a potential additional pathway for NAC approval.

Lenny Sakhalow, Co CEO, Skyx Platforms: Sure. So our process this process has been over twelve years. You know? So for a company to go through this and come up with a solution and get into the national electrical code as we are already, it’s it’s been a twelve year process. And getting 10 paragraphs, and then subsequently, we’ve gotten the approval by the by ANSI, which which is the American national standardization institute, and that has to do with buildings and standards like rebar and concrete that go into buildings.

We’ve been approved as a standard by ANSI as well as NEMA, the National Electrical Manufacturers Association. So we’ve checked all the boxes, and the last one with respect to the NEC has been is mandatory. So right now, as we speak, what we’ve accomplished is one historical result of of having the definition of a receptacle chip being changed, not only from a wall outlet where you plug in your lamp or your charger, which is the the original definition of a receptacle over a hundred years ago, but now a second defined receptacle in the National Electrical Code being our receptacle, our our the the receptacle that the plug goes into. So one, we redefine that, and that has allowed us today to get to get for Builder to get the certificate of occupancy just by having the receptacle in our our receptacle as well our outlet as well as, like, a wall outlet. But the next thing is is the one of the committees on National Electrical Code approving us for mandatory.

And we we know we’ve checked all the boxes, and now we’re going through the process. But what’s been an interesting development recently is that we’ve we’ve gotten some very senior level, high level assistance from from a a very influential and knowledgeable professional who has opened the opportunity where we now understand there’s about four other avenues for getting mandatory that is available to us. Any one of those could be a factor. And so that is a a It also one one avenue could be having an influence on the the NEC itself, let alone other organizations that have the ability to grant mandatory. We’ve we’ve we’ve achieved what we what we needed to.

We’ve proven what we needed to do, and now we’ve kinda gotta get through the bureau the bureaucracy of this. And the industry is generally given about two years to to be to adopt. But once it’s once it’s formulated as mandatory, all of the manufacturers, etcetera, have to start getting ready and getting you know, acquiring supplies and, you know, of course, you know, perhaps licensing our technology. So it’s it’ll be we’ll feel it immediately even though, let’s say, the the the mandatory date may be deferred. So we’re very excited about this development.

It’s a and there’s there’s precedent for this, and we’ve we’ve it’s been a it’s been a new development for us in a in a really positive way. It’s increased the the our our likelihood. You know, for us, we believe it’s a question of when we get mandatory, not if. But now our our pathways for that are are have been have been multiplied.

Chris Abbott, Portfolio Manager, Ten Thirty Five Capital Management: So great to have more shots on goal to use

Lenny Sakhalow, Co CEO, Skyx Platforms: the Exactly. Exactly.

Chris Abbott, Portfolio Manager, Ten Thirty Five Capital Management: Well, maybe I’ll I’ll parlay the regulatory side and say maybe can you can walk us through kinda your go to market strategy? I know you guys acquired the Bellamy lighting websites and and then, obviously, the retail partnerships with Home Depot and Wayfair recently. So maybe we can touch on You

Lenny Sakhalow, Co CEO, Skyx Platforms: know, it’s it’s the multiple channels that we’ve targeted and that we’re executing on. So the we started with the the the websites and where we have over 60, you know, lighting and home decor websites. That’s it gave us a platform to be able to to market and educate what what our product is, how it works, how it gets installed, and, you know, using that model of we call it lead and seed. So we’re leading the market, and we’re taking third party manufacturers’ product, and we’re enabling, you know, consumers initially to to buy with our retrofit kit and make it plug and play. And so we’ve we’ve accelerated the those sales, and we started to just with do it with the high end items and as we’re landing more and more product now, you know, ready to go and ready to be installed.

And so that those websites primarily have been serving the b the b to c market to the consumer. We just hired Huey Long, who was worked at Amazon e commerce. Had started actually Amazon Basics, Walmart, Ashley Furniture that went online. They’re they’re very big in wholesale, not just retail. And he has built a billion dollar business with Ashley Furniture.

And we’re you we’re gonna be using the our websites to to support our b to b model. So as we as we go traditional way to builders and developers where we could supply product directly, etcetera, there’s a very big and a growing trend for builders and the professional to be buying the the this these products online. So Home Depot is seeing that as well, not just consumers, but the builders and the developers buying it online. So we our plan is to con continue to build out our websites, our 60 websites that support the b to b and the b to c. And so that’s a a really important aspect.

So as a channel, the the the builder, pro is important. We’ve targeted not just we announced many projects that we’ve launched and will be launching to include the commercial and real estate development builders and also to hotels, which we’ve already begun to supply as we plan to help hotels because they’re required to renovate every seven years, five to seven years, some are earlier than seven. And so we’ve we think that that’s a great channel, you know, on the commercial development side. Then we go

Chris Abbott, Portfolio Manager, Ten Thirty Five Capital Management: to the

Lenny Sakhalow, Co CEO, Skyx Platforms: big box where we’re going retail. Right?

Chris Abbott, Portfolio Manager, Ten Thirty Five Capital Management: I can only imagine there’s quite the backlog in the hotel upgrades via

Lenny Sakhalow, Co CEO, Skyx Platforms: There is. And with COVID, even more delayed with some of these hotels. And then we’ve got the big box where we’re selling to already Home Depot and and others, you know, that will come online, we believe, and as well as the you know, as we then we get to the other websites like a Wayfair, which we’ve announced the collaboration so that, you know, they all have seen how we how we’re selling online, you know, with our plug and play solution. And they’re very very, very much, you know, part of that growth and our growth strategy. And there’s and they’re feeling the lighting companies are realizing that the velocity of their lighting sales or turnover, people wanting easily replacing their fixtures by clicking them in and clicking them out, it becomes more fashion oriented and that they their their time for replacing fixtures, you know, is gonna move, you know, below ten years to, you know, where today maybe ten to twelve, but, you know, we think it’s gonna, you know, be, you know, be much lower.

So it becomes more the fashion, and I’m tired of these outdoor lights or these sconces, and you you just replace them because it’s so easy. You don’t need a electrician, etcetera. You just click them in and click it out. Yeah. What we’re doing is much lower.

In all these sales initially, we’re getting the receptacles out there. So that’s why we call that the our razors. Right? So we’ve we’ve announced that by the end of this quarter, the q one of twenty twenty five, we will have about 20,000 out there in The US and in Canada. Yeah.

Right? And so and we think that throughout the year, we’ll be adding tens of thousands more. Once you have the receptacle in, then it becomes very interchangeable, and it’s because we know that anything that plugs into that is our technology as well. And, you know, and anything that’s smart or a sensor or a chip or a sound that plugs in that connects to either side, the receptacle or the plug, is our patents. So I I’d like to say all roads lead to Rome.

So we know that no matter what gets plugged into it, you know, that’ll we’re gonna we’re gonna benefit from it from a revenue perspective.

Chris Abbott, Portfolio Manager, Ten Thirty Five Capital Management: All roads lead to Skyx.

Lenny Sakhalow, Co CEO, Skyx Platforms: Exactly. Exactly.

Chris Abbott, Portfolio Manager, Ten Thirty Five Capital Management: You know, it that was a great overview of your multipronged sales strategy, and I think it’s one of my favorite things about the company is just the the strategy into how to lead and enter into the market has been really quite sound in my opinion. But I noticed you forgot one of the most exciting parts, which is the GE licensing deal.

Lenny Sakhalow, Co CEO, Skyx Platforms: Yeah. Well as well. Right. That’s a good really good question. I didn’t forget it, but it’s a never do.

But it’s a it’s a very it’s ultimately, you know, once we’re mandatory by the way, this will be global because 20 to 30 countries automatically pick follow our national electrical code, the code provisions. But the the the way we scale and the way we enable other manufacturers and distributors is to license our our technology, and that’s really an important part of our strategy. And it gives us leverage. You know, we’re not manufacturing and supplying the world. It’s an open platform.

We know that from models of Apple and what we learned about the Sony Betamax and the VHS VHS tapes that, you know, it doesn’t pay to keep everything in your pocket with respect to intellectual property. So with the licensing that we’re working with with GE is not exclusive, and and there’s opportunities for us to license, you know, with or without GE to third parties around the world. And so we’re very excited about that, and we think that it’s a that the margins are great. You know, we target about 85% of margins. You know, that’s our intellectual property.

We have global patents. So we feel very good about this this part of the business as we scale. So thanks for asking.

Chris Abbott, Portfolio Manager, Ten Thirty Five Capital Management: Yeah. Of course. It’s funny. You know, I talked to so many small companies, and in many cases, that would be all we would talk about. But in this case, we’ve got so many different partners, so many big names, so many different things going on that’s you know, I had to remind you about the g No.

Lenny Sakhalow, Co CEO, Skyx Platforms: That’s a that’s fair. Fair enough.

Chris Abbott, Portfolio Manager, Ten Thirty Five Capital Management: That’s great, though. I mean, obviously, so much going on. One of the big milestones I’ve been looking for for a long time, and I think we’re almost there, is broadening the assortment beyond just the pendant lights into the wall sconces, the lights, all the other the interesting lights that that make this a program that then the builders and the hoteliers could use and maybe the insurance guys get involved with. So so where are we in kind of broadening that category coverage, and how do we think that rolls out over the

Lenny Sakhalow, Co CEO, Skyx Platforms: next Well, that’s been a critical element to, you know, supplying the hotels and the and the big developers. We have the fairly broad range already of the pendants and indoor lighting. We’ve we’ve landed already the wall sconces for indoor and outdoor where they’re they’re ready to go. And then in production are our fans and our and then the surface mount, the hi hats, the the the spots, which we have global patents on. And those are in that market, it’s billions of units.

Mhmm. And those are also standard and smart. And and then exit signs because we the the hotels and the developers need those and the emergency lights. And just take an exit sign, for example. Those have to be maintained and inspected at least once a year because there’s a battery backup battery in those that’s like put in, like like, an old school fixture, so you have electrician come and there’s wires.

You gotta cut off the power. But with our solution, you know, a maintenance person could come and click in the click out the old exit sign and click in the new one, bring the old one back to the warehouse and check the battery. You know, they get damaged quite often in some of these buildings and hotels, and same thing with the emergency lights. So the solution, the big developers and the hoteliers have really you know, like the whole idea, and you can imagine how many high hats they have and spots in those built big buildings and ballrooms, etcetera. And the So so they’re all LED.

Chris Abbott, Portfolio Manager, Ten Thirty Five Capital Management: You know? I’ve recently gotten into the habit of counting lights whenever I go into a room, and it’s surprising how many lights there are.

Lenny Sakhalow, Co CEO, Skyx Platforms: There there are it is a compared to wall outlets, it’s a people don’t realize that it’s a it’s a it’s a six to 10 x times. Yeah. Know? And so it’s really, you know, really really amazing on that. And so the and as we speak about the hotels, one of our we raised a preferred round at a $2 conversion price above market or premium to market.

We raised 11,000,000, now 12,000,000 with Lance Schoen or the Schoen or group that’s owned 60 Marriotts and 20 Hilton’s to invest in in the you know, what what does he know that we don’t know? He he knows he’s now number one gonna be a consumer buyer of our product. Mhmm. And he obviously believes in what he does. And with his hotels, you know, he’s got renovations happening, you know, all the time, right, in cycles.

So we’re very it was a great it was another validation. We’ve we’ve got a lot of major developers that are shareholders that have put in strategic capital. So we you know, they all get it, and they all see that this is a a great solution for what they have. And this is all before mandatory. So our our our opportunity in terms of getting to our our TAM, our total addressable market is huge without mandatory.

And with mandatory, it’s it’s it becomes kind of astronomical. And and that, know, from a, you know, from a accomplishment perspective.

Chris Abbott, Portfolio Manager, Ten Thirty Five Capital Management: Well, you sort of stole my next question out of my mouth, which was, do you need NEC mandatory for this to be successful? But clearly not. So this is great. And and then the next thing I’m really excited about, specifically a product that you guys have that I think is really unique is the turbo fan slash heater. I plan on doing a renovation, so maybe you can give me some sort of idea when to start it, when that’s gonna stores.

Sure.

Lenny Sakhalow, Co CEO, Skyx Platforms: Sure. And, you know, we have a it’s it’s a unique, one of a kind. We have the global patents for a a four season all in one fan that has a turbo heater under underneath it under the fan. It’s part of the fan. So you’re getting the the the heater that everyone has on the floor that’s a fire hazard because this is all about safety as well.

And it’s now part of the fan, you know, so you use the fan in the winter and the and the heat and the, you know, the fan in the summer and the the heat in the the winter. And, you know, you’ve got a four oh, you know, not only a four season, but one that people could save energy, but because they could just heat the bedroom and not the whole house. Right? So in a very safe way. So the we have we we we we are looking at the second half of twenty five to start to actually start selling those.

We think the we know we know the margins are strong on those. We target over 50% or more. Mhmm. And it’s part of the component where we believe it’ll get us to cash flow positive in the second half of twenty twenty five, which has been part of our expectation that we’ve put out publicly. So it’s an important part, and that’s there’s no one else has it.

It’ll be smart as well, so it’ll have the smart features. You could use Alexa, Google, you could talk to it. It’ll have an emergency light, just like our generation And and so we also have another product, which you may not have seen, Chris, called the fan the FanDelier. It’s it’s beautiful. A it’s it’s a light it’s a light round light.

Mhmm. It’s got a fan in the middle of it. Mhmm. And it’s a so it’s a it’s a it’s a fan and a light that’s that’s very, very, very attractive. And so that’ll be another product that we’re getting really great response from.

And that we it’s our invention as well. Again, works in the you know, with a smart attack, you know, part smart option.

Chris Abbott, Portfolio Manager, Ten Thirty Five Capital Management: Plenty of breaking news at Lithium here.

Lenny Sakhalow, Co CEO, Skyx Platforms: Yeah. The Fandelier. Okay. I love it. It’ll be it’s really really exciting.

And so, you know, as we start to open up the the minds of the other developers, you know, the the fact that we can we’ll license this, that we’ll have the receptacles in the in the ceilings and sconces ready to go, and all you need is something else to plug into it, like a light or a fan, and someone else is gonna vent something, and they’re gonna license it so they could plug it into our outlet.

Chris Abbott, Portfolio Manager, Ten Thirty Five Capital Management: It’s a whole ecosystem on

Lenny Sakhalow, Co CEO, Skyx Platforms: the It’s an ecosystem. Could be a you know, it could be anything. So we and so we’ll have and our generation three, you know, we’ll have a lot of other features, you know, because it’s voice activated. We could have nine one one, different things.

Chris Abbott, Portfolio Manager, Ten Thirty Five Capital Management: When should we expect generation three to be available now that we’ve just got a couple of minutes? I’ll leave it with that one.

Lenny Sakhalow, Co CEO, Skyx Platforms: Yeah. Well, you know, I think to be conservative in terms of actual sales, I think we’re looking at, you know, maybe, you know, 2026, early ’20 ’20 ’6.

Chris Abbott, Portfolio Manager, Ten Thirty Five Capital Management: That’s fair. It sounds like you’ve got a lot of play on your plate with expanding the product lineup, and then you’ve got the turbo fan heater and the fan delayer coming that it’s a lot for the second half of twenty five.

Lenny Sakhalow, Co CEO, Skyx Platforms: So Yeah. And that’s really where you know, it’s all about focusing on product and landing it, you know, that’s really if there’s any, you know, shifting of of deliveries or etcetera, it has an impact on revenues, but it’s not a catastrophic one. It may you know, may sales may be in the quarter earlier or quarter later than we thought, but, you know, it’s it’ll you know, we we we’re confident that it’s we’re gonna benefit.

Chris Abbott, Portfolio Manager, Ten Thirty Five Capital Management: Well, as a guy who’s followed the company for a long time, I I’ve been pleased with the progress you guys have made. Yes. Certainly, there’s been delays that have come along from kind of things that have happened outside of your control, chip shortages, COVID, etcetera. And now we’re we’re kinda staring down tariffs, but I think you guys have done a a good job of executing to your goals. And the vision of the company is just fantastic, and I can’t wait to see where it goes.

Lenny Sakhalow, Co CEO, Skyx Platforms: Yeah. Thank you. It’s exciting.

Chris Abbott, Portfolio Manager, Ten Thirty Five Capital Management: Alright. With that, I’ll turn it back over to Rob and and let him wrap up.

Robert Blum, Managing Partner, Lithium Partners: Well, Chris, thank you so much for stepping in

Chris Abbott, Portfolio Manager, Ten Thirty Five Capital Management: and

Robert Blum, Managing Partner, Lithium Partners: moderating. Lending, of course, thank you so much for your participation here in the in the event. Appreciate it as well. I’ll say to everyone watching here, if you have any questions, would like to schedule a meeting here with SkyX, you can shoot me an email, bloom,blum,@lithiumpartners.com, and I’ll go ahead and route that over to the company here. We have additional presentations and fireside chats coming up next, so please stick around for more.

Again, Chris, Lenny, thank you so much.

Lenny Sakhalow, Co CEO, Skyx Platforms: Thank you.

Chris Abbott, Portfolio Manager, Ten Thirty Five Capital Management: Thanks, Rob. Thanks, Lenny. Bye.

Lenny Sakhalow, Co CEO, Skyx Platforms: Bye.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.