Shareholder update - Rua reports on quarterly sales
21/10/2024 12:48 NZDT, MKTUPDTE
Kia ora koutou katoa,
Ko te pae tawhiti whaia kia tata, ko te pae tata whakamaua kia tina. Tena tatou e whakapono ana ki tenei kaupapa. He mahi nui kei mua i ta tatou pakihi me te mea hoki, kua rite matou mo aua mahi.
We are pleased to bring you the latest updates from Rua Bioscience as we continue to advance our mission of creating cannabinoid-derived medicines that change people’s lives.
Revenue shoots up in FY25
We are delighted to report a significant sales increase, with Q1 FY25 unaudited sales reaching $223k, compared to $86k in FY24. Following successful product launches in Germany, Australia and New Zealand in the last quarter, sales are increasing. Notably, our legacy genetics have been enthusiastically received in Australia, while Germany continues to show strong growth following regulatory changes in April this year.
Feedback from the German market suggests that demand is strong and will remain so for the foreseeable future as German patients and doctors become more familiar with the new regulations in place which remove cannabis from the narcotics schedule. In addition, in the last week, the majority of doctors in Germany are now able to prescribe medical cannabis for insurance reimbursement without securing prior approval of the health insurance companies. This has the potential to further increase the market demand. This is perfect timing for Rua as we will be introducing a new product into Germany before Christmas which is expected to yield a strong following.
In addition, feedback from Australian doctors and patients is very favourable for our new dried flower product produced from New Zealand legacy genetics. This is evidence that our strategy of using NZ sourced legacy genetics will resonate with doctors and patients in our key markets. Product differentiation is key in this very competitive market.
Closer to home, our first dried flower product in New Zealand has been well received and growing as doctors and patients become familiar with the product. We expect to launch another dried flower product to the market before Christmas.
We expect to see all markets continue to grow over the medium term as medicinal cannabis gains acceptance and is understood as a legitimate, safe and efficacious treatment option in our key markets. Importantly this means our sales revenue will continue to grow as we are now firmly established in three key markets with strong revenue growth. In addition, we are expected to launch Rua product in a fourth key market, United Kingdom, in the next two months.
It is for these reasons that we expect FY25 revenue to show significant growth.
Further capital required for growth
To support this growth trajectory, Rua is undertaking a capital raise to secure funds for expanding our international market presence. This is crucial to our success as the funds will be used primarily for working capital and marketing activities.
The planned capital raise will facilitate our growth in international markets, allowing us to strengthen our foothold and continue our plans of delivering health-focused solutions globally.
Details will be made available at the Annual Shareholders Meeting on 4th November, 2024.
Key meeting dates
Our Annual Shareholder Meeting is scheduled for Monday, 4th November, 2024. This meeting will be held virtually, providing all shareholders the opportunity to participate conveniently from their locations. Full details and participation instructions are available on our website ruabio.com/events and social media.
Following the ASM, we invite you to our Community and Shareholder Open Day at our Mangaoporo facility near Ruatorea on Tuesday, 5th November, 2024. This open day is an excellent chance to engage with some of our board and management. We will be opening the gates and providing tours through the facility to show case our legacy cannabis genetics breeding and discovery programme. We will be sharing kai following the tour so please RSVP to info@ruabio.com. More information can be found on our website ruabio.com/events and social media.
Web site
ruabio.com/events
www.facebook.com/ruabioscience
Linked In
www.linkedin.com/company/rua-bioscience
ENDS
The person who authorised this announcement:
Paul Naske
Chief Executive Officer
paul.naske@ruabio.com
+64 21 445154