The LED Lighting Market's Growth Is In Double Digit Rates And Order Books Are Growing – Applied UV (NASDAQ: AUVI) Sub Just Secured A Multi-Million Order From A Leading Luxury Developer

The global LED lighting market, thanks to players like Applied UV Inc. AUVI, is witnessing significant growth. The market size was valued at $68.9 billion in 2022 and is projected to reach $264.08 billion by 2029, exhibiting a compound annual growth rate (CAGR) of 17.6% during the forecast period.

One of the primary drivers of the market’s growth is the rising need for energy-efficient light sources. LED lights consume less energy and have a longer lifespan compared to traditional lighting sources such as incandescent bulbs, fluorescent tubes, and halogen lamps. As a result, LED lights are gaining popularity in both the residential and commercial sectors, leading to a surge in demand.

Additionally, increasing environmental awareness and conscious efforts toward sustainability are also contributing to the growth of the LED lighting market. LED lights are free from toxic materials such as mercury that pose a threat to the environment and human health. Therefore, they are considered eco-friendly and have become the preferred choice for lighting solutions in many sectors.

Governments worldwide are implementing favorable policies to encourage the adoption of LED lighting. In many countries, subsidies, incentives, and tax benefits are offered to consumers who opt for LED lights. These government initiatives have resulted in increased awareness and adoption of LED lights, further fueling the market’s growth.

The increasing LED lighting adoption and growth of the market is good news for companies like Applied UV, Universal Display Corporation OLED, Energy Focus Inc. EFOI, and LSI Industries Inc. LYTS that are developing products to meet growing demand.

Within the industry, Applied UV seems to have carved a niche for itself as a provider of proprietary surface and air disinfection technology focused on Improving Indoor Air Quality (IAQ), specialty LED lighting, luxury mirrors and commercial furnishings – all of which serves clients globally in both the commercial and retail segments.

The company’s products address needs in the healthcare, hospitality, food preservation, cannabis, education, and winery vertical markets. Applied UV has established strategic manufacturing partnerships and alliances, including Canon, Acuity, Johnson Controls, USHIO, Siemens, Grainger, and a global network of 64 dealers and distributors in 52 countries, offering a complete suite of products through its two wholly owned subsidiaries — SteriLumen Inc. and MunnWorks LLC.

Multi-Million Dollar Order From Premier Developer

Applied UV’s growth and recent announcement of purchase orders totaling $4.55 million could interest investors and watchers of the LED lighting industry. The company recently revealed that its wholly owned subsidiary LED Supply Co. had secured a multi-million dollar purchase agreement from an unnamed premier co-living rental property developer The X Company (“X Co.”).

The purchase orders consist of $2.67 million received and the balance of $1.88 million assured by the end of the second quarter. LED Supply Co. will provide back-lit mirrors, LED lighting and control systems for X Co.’s growing billion-dollar portfolio of properties. The orders will be fulfilled by LED Supply Co., in partnership with MunnWorks, who will manufacture the backlit mirrors in its newly acquired 100,000-square-foot Brooklyn, NY facility.

“Having access to the MunnWorks’ high-end U.S.-made decorative backlit mirrors and case goods, at competitive prices, allows us to provide a better-quality product to our residents while staying within our allotted budget on a project,” Ben Brichta, Partner at X Co., said.

The premier co-living rental property developer reports that it is active in six markets, with 5,000 beds in its current portfolio and over $1 billion in construction activity. The company says it is fully integrated — able to acquire, design, build and operate its real estate assets.

X Co. buildings offer a high level of amenities and resident experiences in their unique combination of private rentals, co-living suites and co-working spaces. They also offer residents an unconventional club environment supporting the growing work-from-home segment with a state-of-the-art gym and fitness studios, social activities and dramatic shared spaces.

The orders more than double X Co.’s previous orders with LED Supply Co. and expands them to include backlit mirrors supplied by Applied UV subsidiary MunnWorks, with subsequent orders planned for later this year. The joint order is the first in what the company expects to be many collaborative sales efforts forecasted as part of the merger of Applied UV, LED Supply Co. and PURO Lighting announced in January of this year.

Featured Photo by Ron Lach on Pexels

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