Bod Australia Limited (ASX: BDA) develops, manufactures, and distributes personal care products. The Company offers skin, beauty, and health care products to spa industries, department stores, pharmacies, and home shopping networks. Bod Australia markets its products globally.
The company has through the latest release on ASX stated that they had achieved record sales for the quarter ending the December 2018, the few highlights for the same are as follows:
- The company has achieved record revenue of $1.22m for the quarter – with product sales comprising $766,000. Representing a 260% increase in Q1 FY2019 and 129% on PCP (Q2 FY2018).
- Revenue for the quarter also included a net R&D tax rebate of $453,000, allowing the company to recoup some costs from its Phase I Clinical Medicinal Cannabis Trial.
- The expansion of natural medicines range underpinned increased sales; new distribution deals with Priceline for Mamacare and Chemist Warehouse for cannabis.
- In addition to pipe fill orders, company’s base run rate (pull through) grew 248% over the period – providing the Company with a strong baseline revenue platform to expand on over the coming quarters.
- Medicinal cannabis export license for the firm’s unique patented cannabis-based sublingual wafer product secured during the period. Now, the company is actively exploring significant international opportunities.
- Relationship with Australia’s largest pharmacy retailer, Chemist Warehouse Group has progressed – Chemist Warehouse to dispense company’s medicinal cannabis products.
- World first achieved in Phase I Clinical trial – a first global instance that the pharmacokinetics of a full plant extract has been evaluated in blinded conditions
- Inaugural medicinal cannabis prescription received via Cannabis Access Clinics collaboration agreement. Ongoing prescriptions are expected in the coming months.
- The company remains well positioned to continue its international expansion and sales growth across coming quarters.
The company has achieved record revenue for the quarter of $1.22 million comprised of sales of $766,000 for the period, representing a 260% increase in Q1 FY2019 (Q1: 213,000). Revenue generated also includes an R&D grant of $453,170, which recoups costs associated with the firm’s Phase I Clinical trial of its proprietary sublingual cannabis wafer.
The significant growth has been realized with the assistance of recently appointed Chairman, Mr. George Livery and Executive Director, Mr. Stephen Thompson. The company has also generated increased sales from distribution agreements established with Priceline Pharmacy for firm’s premium pregnancy supplement Mamacare and Chemist Warehouse Group for the Company’s cannabis products. Further, the firm has also witnessed considerable product uptake through its national network of independent and specialist retailers.
The firm remains well capitalized with $6.9 Mn cash at the bank as at 31 December 2018. The firm has advised that it had also received $0.45 Mn of additional funds from the Directors following approval sought at the Annual General Meeting on 19 November 2019.
Firm’s cash balance provides it the financial flexibility to build capabilities in key international markets, as well as pursue growth opportunities throughout Australia and Asia.
In the meantime, the stock price of the company has fallen by 17 percent in the past six months as on 15 January 2019. BDA’s shares traded at $0.48, up by 15.663% (intraday) & it has a market capitalization of circa $28.80 Mn as on 16 January 2019.
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